<SEC-DOCUMENT>0000894627-16-000073.txt : 20160315
<SEC-HEADER>0000894627-16-000073.hdr.sgml : 20160315
<ACCEPTANCE-DATETIME>20160315145917
ACCESSION NUMBER:		0000894627-16-000073
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		3
CONFORMED PERIOD OF REPORT:	20160315
ITEM INFORMATION:		Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20160315
DATE AS OF CHANGE:		20160315

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			VAALCO ENERGY INC /DE/
		CENTRAL INDEX KEY:			0000894627
		STANDARD INDUSTRIAL CLASSIFICATION:	CRUDE PETROLEUM & NATURAL GAS [1311]
		IRS NUMBER:				760274813
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-32167
		FILM NUMBER:		161506612

	BUSINESS ADDRESS:	
		STREET 1:		9800 RICHMOND AVE.
		STREET 2:		SUITE 700
		CITY:			HOUSTON
		STATE:			TX
		ZIP:			77042
		BUSINESS PHONE:		713-499-1465

	MAIL ADDRESS:	
		STREET 1:		9800 RICHMOND AVE.
		STREET 2:		SUITE 700
		CITY:			HOUSTON
		STATE:			TX
		ZIP:			77042
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>egy-20160315x8k.htm
<DESCRIPTION>8-K
<TEXT>
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			8-K
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			<a name="_GoBack"></a><font style="display: inline;">&nbsp;</font>
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			<font style="display: inline;font-weight:bold;font-size:18pt;">UNITED STATES </font>
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			<font style="display: inline;font-weight:bold;font-size:18pt;">SECURITIES AND EXCHANGE COMMISSION </font>
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			<font style="display: inline;font-weight:bold;">Washington, D.C. 20549 </font>
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			<font style="display: inline;font-weight:bold;font-size:18pt;">FORM 8-K </font><font style="display: inline;">&nbsp;</font>
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			<font style="display: inline;font-weight:bold;">CURRENT REPORT </font>
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		<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">Pursuant to Section&nbsp;13 or 15(d) </font>
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		<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">of the Securities Exchange Act of 1934 </font>
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		<p style="margin:12pt 0pt 0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">Date of Report (Date of earliest event reported): </font><font style="display: inline;font-weight:bold;">March 10</font><font style="display: inline;font-weight:bold;">, 2016</font>
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		<p style="margin:12pt 0pt 0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 24pt">
			<font style="display: inline;font-weight:bold;font-size:24pt;">VAALCO Energy, Inc. </font>
		</p>
		<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;">(Exact name of registrant as specified in its charter) </font>
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			<font style="display: inline;">&nbsp;</font>
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					<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;font-weight:bold;">Delaware</font></p>
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					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
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					<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;font-weight:bold;font-size:8pt;">001-32167</font></p>
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						<font style="display: inline;">&nbsp;</font></p>
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					<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;font-weight:bold;font-size:8pt;">76-0274813</font></p>
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					<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;font-weight:bold;font-size:8pt;">(State or other jurisdiction</font></p>
					<p style="margin:0pt 0pt 1pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;font-weight:bold;font-size:8pt;">of incorporation)</font></p>
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						<font style="display: inline;">&nbsp;</font></p>
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					<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;font-weight:bold;font-size:8pt;">(Commission</font></p>
					<p style="margin:0pt 0pt 1pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;font-weight:bold;font-size:8pt;">File Number)</font></p>
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						<font style="display: inline;">&nbsp;</font></p>
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						<font style="display: inline;font-weight:bold;font-size:8pt;">(IRS Employer</font></p>
					<p style="margin:0pt 0pt 1pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;font-weight:bold;font-size:8pt;">Identification No.)</font></p>
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				<td colspan="3" valign="middle" style="width:313.55pt;height:12.00pt;padding:0pt;">
					<p style="margin:0pt;line-height:normal;font-family:Times New Roman;overflow: hidden;font-size:0pt;">
						<font style="display: inline;">&nbsp;</font></p>
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					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;overflow: hidden;font-size:0pt;">
						&nbsp;</p>
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					<p style="margin:0pt 0pt 1pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-weight:bold;font-size:10pt;">9800 Richmond Avenue, Suite 700</font></p>
					<p style="margin:0pt 0pt 1pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-weight:bold;font-size:10pt;">Houston, Texas</font></p>
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					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
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					<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;font-weight:bold;font-size:8pt;">77042</font></p>
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				<td colspan="3" valign="top" style="width:313.55pt;padding:0pt;">
					<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;font-weight:bold;font-size:8pt;">(Address of principal executive offices)</font></p>
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					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;">&nbsp;</font></p>
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				<td valign="top" style="width:149.75pt;padding:0pt;">
					<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
						<font style="display: inline;font-weight:bold;font-size:8pt;">(Zip Code)</font></p>
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		<p style="margin:0pt;line-height:normal;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
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		<p style="margin:12pt 0pt 0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;">Registrant&#x2019;s telephone number, including area code: (713)&nbsp;623-0801 </font>
		</p>
		<p style="margin:6pt 0pt 0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;">Not Applicable </font>
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		<p style="margin:0pt;text-align:center;line-height:100%;font-family:Times New Roman;font-size: 8pt">
			<font style="display: inline;font-weight:bold;font-size:8pt;">(Former Name or former address if changed since last report.) </font>
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			<font style="display: inline;">&nbsp;</font>
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			<font style="display: inline;">&nbsp;</font>
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		<p style="margin:12pt 0pt 0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: </font>
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			<font style="display: inline;">&nbsp;</font>
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					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">&#x2610;</font></p>
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					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) </font></p>
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						<font style="display: inline;font-size:10pt;">&#x2610;</font></p>
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					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) </font></p>
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					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">&#x2610;</font></p>
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					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) </font></p>
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						<font style="display: inline;font-size:10pt;">&#x2610;</font></p>
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				<td valign="top" style="width:96.00%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) </font></p>
				</td>
			</tr>
		</table></div>
		<p style="margin:0pt;line-height:normal;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 8pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;border-bottom:1pt none #D9D9D9 ;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 12pt">

		</p>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;border-bottom:1pt none #D9D9D9 ;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;;font-size: 12pt"><font style="display: inline;"></font><font style="display: inline;font-weight:bold;font-size:10pt;">Item 5.02</font><font style="display: inline;font-weight:bold;font-size:10pt;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-weight:bold;font-size:10pt;"></font><font style="display: inline;font-weight:bold;font-size:10pt;">Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers</font><font style="display: inline;font-weight:bold;font-size:10pt;">.</font><font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-style:italic;font-size:10pt;">Adopti</font><font style="display: inline;font-weight:bold;font-style:italic;font-size:10pt;">on of VAALCO Energy, Inc. 2016 </font><font style="display: inline;font-weight:bold;font-style:italic;font-size:10pt;">Stock Appreciation Rights Plan</font>
		</p>
		<p style="margin:0pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">On March 10, 2016, the board of directors (the &#x201C;Board&#x201D;) of VAALCO Energy, Inc. (the &#x201C;Company&#x201D;) adopted the &#x201C;VAALCO Energy, Inc. 2016 Stock Appreciation Rights Plan&#x201D; (the &#x201C;Plan&#x201D;). The purpose of the Plan is to foster and promote the long-term financial success of the Company and to increase shareholder value by: (a)&nbsp;encouraging the commitment of selected key employees, consultants and outside directors (collectively, &#x201C;Service Providers&#x201D;), (b)&nbsp;motivating superior performance of Service Providers by means of long-term performance related incentives, (c)&nbsp;encouraging and providing Service Providers with a program for obtaining ownership interests in the Company which link and align their personal interests to those of the Company&#x2019;s shareholders, (d)&nbsp;attracting and retaining Service Providers by providing competitive compensation opportunities, and (e)&nbsp;enabling Service Providers to share in the long-term growth and success of the Company. The Plan only provides for incentive awards that are only made in the form of Stock Appreciation Rights payable in cash (&#x201C;SARs&#x201D;). No shares of common stock were reserved in connection with the adoption of the Plan since no shares will be issued pursuant to the Plan.</font>
		</p>
		<p style="margin:0pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;">Governance of the Plan</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">The Compensation Committee of the Board (the &#x201C;Committee&#x201D;) will have the complete power and authority to (i)&nbsp;select grantees who will participate in the Plan (&#x201C;Grantees&#x201D;); (ii)&nbsp;determine the size and duration of incentive awards; (iii)&nbsp;determine the terms and conditions of incentive awards and incentive agreements; (iv)&nbsp;construe and interpret the Plan and any incentive agreement or other agreement entered into under the Plan; and (v)&nbsp;establish, amend, or waive rules for the Plan&#x2019;s administration.&nbsp;&nbsp;Further, the Committee will make all other determinations which may be necessary or advisable for the administration of the Plan.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">Notwithstanding the foregoing, any incentive awards that are to be granted under the Plan to outside directors will be approved by the Board, or made in accordance with a policy or program that is approved by the Board.&nbsp;&nbsp;With respect to the grant of incentive awards to outside directors, all rights, powers and authorities vested in the Committee under the Plan with respect thereto will instead be exercised by the Board.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;">Eligible Participants</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">Incentive awards may be granted only to individuals who, at the time of grant, are Service Providers.&nbsp;&nbsp;The Committee may from time to time designate those Service Providers, if any, to be granted incentive awards under the Plan, the number of SARs which will be granted to each such individual, and any other terms or conditions relating to the incentive awards as it may deem appropriate to the extent consistent with the provisions of the Plan.&nbsp;&nbsp;A Grantee who has been granted an incentive award may, if otherwise eligible, be granted additional incentive awards at any time.&nbsp; </font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-style:italic;font-size:10pt;">Grant</font><font style="display: inline;font-size:10pt;">.&nbsp;&nbsp;The Committee may grant SARs to any Service Provider.&nbsp;&nbsp;A SAR is the right to receive an amount equal to the Spread with respect to a share of common stock (&#x201C;Share&#x201D;) upon the exercise of the SAR.&nbsp;&nbsp;The &#x201C;Spread&#x201D; is the difference between the SAR Price per share specified in a SAR Award on the date of grant and the fair market value per share on the date of exercise of the SAR. </font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-style:italic;font-size:10pt;">General Provisions</font><font style="display: inline;font-size:10pt;">.&nbsp;&nbsp;The terms</font><font style="display: inline;font-size:10pt;"> and conditions of each SAR will be evidenced by an incentive agreement.&nbsp;&nbsp;The SAR Price per share will not be less than one hundred percent of the fair market value of a Share on the date of grant of the SAR.&nbsp;&nbsp;The term of the SAR will be determined by the Committee but may not be greater than ten years from the date of grant. The Committee may not include any feature for the deferral of compensation other than deferral of the recognition of income until exercise of a vested SAR.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-style:italic;font-size:10pt;">Exercise</font><font style="display: inline;font-size:10pt;">.&nbsp;&nbsp;SARs are exercisable subject to such terms and conditions as the Committee may specify in the incentive agreement for the SAR Award.&nbsp;&nbsp;A SAR Award may be exercised by the delivery of a signed written notice of exercise to the Company, which must be received and accepted by the Company as of a date set by the Company </font>
		</p>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt"><font style="display: inline;font-size:10pt;">in advance of the effective date of the proposed exercise.&nbsp;&nbsp;The notice must set forth the number of SARs with respect to which the SAR Award is to be exercised.&nbsp;&nbsp;No SAR granted to an officer, director or ten percent beneficial owner of any class of the Company&#x2019;s equity securities may be exercised prior to six months from the date of grant, except in the event of the death or disability of such Grantee which occurs prior to the expiration of such six-month period if so permitted under the incentive agreement.&nbsp; </font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-style:italic;font-size:10pt;">Settlement</font><font style="display: inline;font-size:10pt;">.&nbsp;&nbsp;Upon exercise of a SAR, the Grantee will receive an amount equal to the Spread.&nbsp;&nbsp;The Spread, less applicable withholdings</font><font style="display: inline;font-size:10pt;">, will be payable only in cash, within ten calendar days from the exercise date.&nbsp;&nbsp;In no event may any SAR be settled in any manner other than by delivery of a cash payment from the Company.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;">Form of Incentive Agreement</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">Each Grantee to whom an incentive award is granted will be required to enter into an incentive agreement with the Company, in such a form as is provided by the Committee.&nbsp;&nbsp;The incentive agreement will contain specific terms as determined by the Committee, in its discretion, with respect to the Grantee&#x2019;s particular incentive award.&nbsp;&nbsp;Such terms need not be uniform among all Grantees or any similarly situated Grantees.&nbsp;&nbsp;The incentive agreement may include, without limitation, vesting, forfeiture and other provisions particular to the particular Grantee&#x2019;s incentive award, as well as, for example, provisions to the effect that the Grantee (a)&nbsp;may not disclose any confidential information acquired during employment with the Company, (b) must abide by all the terms and conditions of the Plan and such other terms and conditions as may be imposed by the Committee, (c) must not interfere with the employment or other service of any employee, (d) must not compete with the Company or become involved in a conflict of interest with the interests of the Company or (e) will forfeit an incentive award if terminated for cause.&nbsp;&nbsp;An incentive agreement will include such terms and conditions as are determined by the Committee, in its discretion, to be appropriate with respect to any individual Grantee.&nbsp; </font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">The Committee may specify in an incentive agreement that the Grantee&#x2019;s rights, payments, and benefits with respect to an incentive award will be subject to reduction, cancellation, forfeiture, or recoupment upon the occurrence of certain specified events, in addition to any otherwise applicable vesting or performance conditions of the incentive award.&nbsp;&nbsp;Such events may include, but are not limited to, termination of employment with or without cause, violation of material policies of the Company or its affiliate, breach of noncompetition, confidentiality, or other restrictive covenants that may apply to the Grantee, or other conduct by the Grantee that is detrimental to the business or reputation of the Company or its affiliate.</font><a name="_Toc445112184"></a><a name="_Toc229564450"></a><a name="_Toc188154757"></a>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;">Termination of E</font><font style="display: inline;font-weight:bold;font-size:10pt;">mployment</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">Unless otherwise expressly provided in the Grantee&#x2019;s incentive agreement, if the Grantee&#x2019;s employment is terminated for any reason other than due to his death, disability, retirement or for cause, any non-vested portion of any outstanding SAR Award at the time of such termination will automatically expire and terminate and no further vesting will occur after the termination date.&nbsp;&nbsp;In such event, except as otherwise expressly provided in his incentive agreement, the Grantee will be entitled to exercise his rights only with respect to the portion of the incentive award that was vested as of his termination of employment date for a period that will end on the earlier of (i) the expiration date set forth in the incentive agreement or (ii) ninety days after the date of his termination of employment. </font><a name="_Toc445112185"></a><a name="_Toc229564451"></a><a name="_Toc188154758"></a>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;">Termination of </font><font style="display: inline;font-weight:bold;font-size:10pt;">Employment for C</font><font style="display: inline;font-weight:bold;font-size:10pt;">ause</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">U</font><font style="display: inline;font-size:10pt;">nless otherwise expressly provided in the Grantee&#x2019;s incentive agreement, in the event of the termination of a Grantee&#x2019;s employment for cause, all vested and non-vested SAR Awards granted to such Grantee will immediately expire, and will not be exercisable to any extent, as of 12:01 a.m. (CST) on the date of such termination of employment.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;">Retirement</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">Unless otherwise expressly provided in the Grantee&#x2019;s incentive agreement, upon the termination of employment due</font><font style="display: inline;font-size:10pt;"> to the Grantee&#x2019;s retirement: </font>
		</p>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<div style="width:100%"><table style="width:100%;" cellpadding="0" cellspacing="0"><tr><td style="width:72pt;"><p style="width:72pt;font-size:0pt;"></p></td><td valign="top" align="left" style="width: 18.00pt; display: inline;">
			<p style="border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;line-height:100%;font-size: 10pt;margin:0pt;">
				<font style="margin:0pt;font-family:Symbol;border-bottom:1pt none #D9D9D9;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:normal;line-height:100%;font-size:10pt;;"> &#xB7;</font>
			</p>
		</td><td style="width:0pt;"><p style="width:0pt;width:0pt;font-size:0pt;"></p></td><td align="left" valign="top">
			<p style="border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;line-height:100%;font-size: 10pt;margin:0pt;">
			<font style="display: inline;font-size:10pt;color:#000000;">any non-vested portion of any outstanding SAR Award will immediately terminate and no further vesting will occur; and</font></p></td></tr></table></div>
		<div style="width:100%"><table style="width:100%;" cellpadding="0" cellspacing="0"><tr><td style="width:72pt;"><p style="width:72pt;font-size:0pt;"></p></td><td valign="top" align="left" style="width: 18.00pt; display: inline;">
			<p style="border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;line-height:100%;font-size: 10pt;margin:0pt;">
				<font style="margin:0pt;font-family:Symbol;border-top:1pt none #D9D9D9;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:normal;line-height:100%;font-size:10pt;;"> &#xB7;</font>
			</p>
		</td><td style="width:0pt;"><p style="width:0pt;width:0pt;font-size:0pt;"></p></td><td align="left" valign="top">
			<p style="border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;line-height:100%;font-size: 10pt;margin:0pt;">
			<font style="display: inline;font-size:10pt;color:#000000;">any vested SAR Award will expire on the earlier of (A) the expiration date set forth in the incentive agreement for such incentive award; or (B) the expiration of six months after the date of his termination of employment due to retirement.</font><a name="_Toc445112187"></a><a name="_Toc229564453"></a><a name="_Toc188154760"></a><a name="_Ref376526226"></a></p></td></tr></table></div>
		<p style="margin:0pt 0pt 12pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;line-height:100%;font-size: 10pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;line-height:100%;font-size: 10pt">
			<font style="display: inline;font-family:Times New Roman;font-style:normal;font-size:10pt;color:#000000;">Disability or Death</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;color:#000000;">Unless otherwise expressly provided in the Grantee&#x2019;s incentive agreement, upon termination of employment as a result of the Grantee&#x2019;s disability or death: </font>
		</p>
		<div style="width:100%"><table style="width:100%;" cellpadding="0" cellspacing="0"><tr><td style="width:72pt;"><p style="width:72pt;font-size:0pt;"></p></td><td valign="top" align="left" style="width: 18.00pt; display: inline;">
			<p style="border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;line-height:100%;font-size: 10pt;margin:0pt;">
				<font style="margin:0pt 0pt 12pt;font-family:Symbol;border-bottom:1pt none #D9D9D9;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:normal;line-height:100%;font-size:10pt;;"> &#xB7;</font>
			</p>
		</td><td style="width:0pt;"><p style="width:0pt;width:0pt;font-size:0pt;"></p></td><td align="left" valign="top">
			<p style="border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;line-height:100%;font-size: 10pt;margin:0pt;">
			<font style="display: inline;font-size:10pt;color:#000000;">any non-vested portion of any outstanding SAR Award will immediately terminate upon termination of employment and no further vesting will occur; and</font></p></td></tr></table></div>
		<div style="width:100%"><table style="width:100%;" cellpadding="0" cellspacing="0"><tr><td style="width:72pt;"><p style="width:72pt;font-size:0pt;"></p></td><td valign="top" align="left" style="width: 18.00pt; display: inline;">
			<p style="border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;line-height:100%;font-size: 10pt;margin:0pt;">
				<font style="margin:0pt 0pt 12pt;font-family:Symbol;border-top:1pt none #D9D9D9;border-bottom:1pt none #D9D9D9;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:normal;line-height:100%;font-size:10pt;;"> &#xB7;</font>
			</p>
		</td><td style="width:0pt;"><p style="width:0pt;width:0pt;font-size:0pt;"></p></td><td align="left" valign="top">
			<p style="border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;line-height:100%;font-size: 10pt;margin:0pt;">
			<font style="display: inline;font-size:10pt;color:#000000;">any vested incentive award will expire on the earlier of either (A)&nbsp;the expiration date set forth in the incentive agreement or (B)&nbsp;the one (1) year anniversary date of the Grantee&#x2019;s termination of employment date.&nbsp; </font><a name="_Toc445112188"></a><a name="_Toc229564454"></a><a name="_Toc188154761"></a></p></td></tr></table></div>
		<p style="margin:12pt 0pt 12pt 72pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;line-height:100%;font-size: 10pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:12pt 0pt 12pt 72pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;line-height:100%;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;color:#000000;">Continuation</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;color:#000000;">Subject</font><font style="display: inline;font-size:10pt;color:#000000;"> to the conditions and limitations of the Plan and applicable law, in the event that a Grantee ceases to be an employee, outside director or consultant, as applicable, for whatever reason, the Committee and Grantee may mutually agree with respect to any outstanding SAR Award then held by the Grantee (i)&nbsp;for an acceleration or other adjustment in any vesting schedule applicable to the incentive award; (ii) for a continuation of the exercise period following termination for a longer period than is otherwise provided under such incentive award; or (iii) to any other change in the terms and conditions of the incentive award.&nbsp;&nbsp;In the event of any such change to an outstanding incentive award, a written amendment to the Grantee&#x2019;s incentive agreement will be required.&nbsp;&nbsp;No amendment to a Grantee&#x2019;s incentive award will be made to the extent compensation payable pursuant thereto as a result of such amendment would be considered deferred compensation that is not excepted from taxation or penalties under Code Section 409A, unless otherwise determined by the Committee.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<a name="_Toc445112189"></a><a name="_Ref376526082"></a><a name="_Ref376525958"></a><a name="_Ref376524903"></a><font style="display: inline;font-size:10pt;color:#000000;">Incentive awards granted under the Plan are not be transferable or assignable other than: (a) by will or the laws of descent and distribution or (b) pursuant to a qualified domestic relations order (as defined under Code Section 414(p)).</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;line-height:100%;font-size: 10pt">
			<font style="display: inline;font-size:10pt;color:#000000;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;color:#000000;">Change in Control</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;color:#000000;">Notwithstanding any contrary provision in the Plan, in the event of a Change in Control (as defined in the Plan), all of the SAR Awards then outstanding will become 100% vested and immediately and fully exercisable effective of the day immediately preceding the Change in Control date.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;color:#000000;">Amendment</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;color:#000000;">The Board and the Committee each have the power and authority to terminate or amend the Plan at any time in its discretion.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;color:#000000;">The foregoing is a summary description of certain terms of the Plan and is qualified in its entirety by reference to the full text of the Plan, a copy of which is filed with this Current Report on Form 8-K as Exhibit&nbsp;10.1 and is incorporated herein by reference. A copy of the form of Stock Appreciation Rights Award Agreement to be issued pursuant to the Plan is filed with this Current Report on Form 8-K as Exhibit&nbsp;10.2 and is incorporated herein by reference.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">

		</p>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;;font-size: 10pt"><font style="display: inline;font-weight:bold;font-style:italic;font-size:10pt;">Notice of Fred Brazelton&#x2019;s Intent Not to Stand for Reelection</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">On March 11, 2016, Fred Brazelton notified the Board that he does not intend to stand for reelection at the Company&#x2019;s 2016 Annual Meeting Stockholders. </font><font style="display: inline;font-size:10pt;">As a result, the Board approved the reduction of the size of the Board from </font><font style="display: inline;font-size:10pt;">seven</font><font style="display: inline;font-size:10pt;"> to </font><font style="display: inline;font-size:10pt;">six</font><font style="display: inline;font-size:10pt;"> members effective with the election of directors at the </font><font style="display: inline;font-size:10pt;">2016 </font><font style="display: inline;font-size:10pt;">Annual Meeting</font><font style="display: inline;font-size:10pt;"> of Stockholders</font><font style="display: inline;font-size:10pt;">.</font><font style="display: inline;font-size:10pt;">&nbsp;</font><font style="display: inline;font-size:10pt;">Mr. </font><font style="display: inline;font-size:10pt;">Brazelton&#x2019;s</font><font style="display: inline;font-size:10pt;"> decision </font><font style="display: inline;font-size:10pt;">not to stand for reelection</font><font style="display: inline;font-size:10pt;"> was not the result of any disagreement with the Company or any of its affiliates on any matter relating to the Company&#x2019;s operations, policies or practices.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="font-weight:bold;display: inline;font-size:10pt;">Item 9.01</font><font style="font-weight:bold;display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="font-weight:bold;display: inline;font-size:10pt;">Financial Statements and Exhibits.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">(d)</font><font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">Exhibits.</font>
		</p>
		<div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;margin-left:0pt;">
			<tr>
				<td valign="top" style="width:122.40pt;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;height:1.00pt;padding:0pt 6.5pt;">
					<p style="margin:0pt;line-height:normal;font-family:Times New Roman;height:1.00pt;overflow:hidden;font-size:0pt;">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td valign="top" style="width:356.40pt;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;height:1.00pt;padding:0pt 6.5pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;height:1.00pt;overflow:hidden;font-size:0pt;">
						&nbsp;</p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:122.40pt;padding:0pt 6.5pt;">
					<p style="margin:0pt 0pt 12pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">Exhibit Number</font></p>
				</td>
				<td valign="top" style="width:356.40pt;padding:0pt 6.5pt;">
					<p style="margin:0pt 0pt 12pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">Description</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:122.40pt;padding:0pt 6.5pt;">
					<p style="margin:0pt 0pt 12pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">10</font><font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">.1</font></p>
				</td>
				<td valign="top" style="width:356.40pt;padding:0pt 6.5pt;">
					<p style="margin:0pt 0pt 12pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">VAALCO Energy, Inc. 2016 Stock Appreciation Rights Plan</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:122.40pt;padding:0pt 6.5pt;">
					<p style="margin:0pt 0pt 12pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">10.2</font></p>
				</td>
				<td valign="top" style="width:356.40pt;padding:0pt 6.5pt;">
					<p style="margin:0pt 0pt 12pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">Form of Stock Appreciation Rights Award Agreement to be entered into in connection with the VAALCO Energy, Inc. 2016 Stock Appreciation Rights Plan</font></p>
				</td>
			</tr>
		</table></div>
		<p style="margin:0pt;line-height:normal;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:center;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">

		</p>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-align:center;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;;font-size: 10pt"><font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;"></font><font style="display: inline;font-weight:bold;font-size:10pt;">SIGNATURE</font>
		</p>
		<p style="margin:0pt;line-height:normal;text-align:center;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;line-height:normal;text-align:center;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;font-size:10pt;">Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.</font>
		</p>
		<div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;">
			<tr>
				<td valign="top" style="width:49.08%;height:4.00pt;padding:0pt;">
					<p style="margin:0pt;line-height:normal;font-family:Times New Roman;height:4.00pt;overflow: hidden;font-size:0pt;">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td valign="top" style="width:03.70%;height:4.00pt;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;height:4.00pt;overflow: hidden;font-size:0pt;">
						&nbsp;</p>
				</td>
				<td valign="top" style="width:24.14%;height:4.00pt;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;height:4.00pt;overflow: hidden;font-size:0pt;">
						&nbsp;</p>
				</td>
				<td valign="top" style="width:23.08%;height:4.00pt;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;height:4.00pt;overflow: hidden;font-size:0pt;">
						&nbsp;</p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:49.08%;padding:0pt;">
					<p style="margin:0pt;line-height:normal;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td colspan="3" valign="top" style="width:50.92%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-weight:bold;font-size:10pt;">VAALCO Energy, Inc.</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:49.08%;padding:0pt;">
					<p style="margin:0pt;line-height:normal;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td colspan="3" valign="top" style="width:50.92%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">(Registrant)</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:49.08%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td colspan="3" valign="top" style="width:50.92%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:49.08%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td colspan="3" valign="top" style="width:50.92%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:49.08%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td colspan="3" valign="top" style="width:50.92%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:49.08%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">&nbsp;Date: </font><font style="display: inline;font-size:10pt;">March 1</font><font style="display: inline;font-size:10pt;">5</font><font style="display: inline;font-size:10pt;">, 2016</font></p>
				</td>
				<td valign="top" style="width:03.70%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">By:</font></p>
				</td>
				<td valign="top" style="width:24.14%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">/s/ Eric J. Christ</font></p>
				</td>
				<td valign="top" style="width:23.08%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:49.08%;padding:0pt;">
					<p style="margin:0pt;line-height:normal;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td colspan="3" valign="top" style="width:50.92%;padding:0pt;">
					<p style="margin:0pt 0pt 0pt 17.8pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">Eric J. Christ</font></p>
					<p style="margin:0pt 0pt 0pt 17.8pt;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;font-size:10pt;">Vice President, General Counsel and Corporate Secretary </font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:49.08%;padding:0pt;">
					<p style="margin:0pt;line-height:normal;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td colspan="3" valign="top" style="width:50.92%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:49.08%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
				</td>
				<td colspan="3" valign="top" style="width:50.92%;padding:0pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
				</td>
			</tr>
		</table></div>
		<p style="margin:0pt;line-height:normal;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:center;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 12pt">

		</p>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-align:center;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;;font-size: 12pt"><font style="display: inline;"></font><font style="display: inline;font-weight:bold;font-size:10pt;">EXHIBIT INDEX</font>
		</p>
		<div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;margin-left:0pt;">
			<tr>
				<td valign="top" style="width:117.90pt;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;height:1.00pt;padding:0pt 6.5pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;height:1.00pt;overflow:hidden;font-size: 1pt">
						<font style="display: inline;font-size:1pt;">4</font></p>
				</td>
				<td valign="top" style="width:360.90pt;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;height:1.00pt;padding:0pt 6.5pt;">
					<p style="margin:0pt;line-height:100%;font-family:Times New Roman;height:1.00pt;overflow:hidden;font-size:0pt;">
						&nbsp;</p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:117.90pt;padding:0pt 6.5pt;">
					<p style="margin:0pt 0pt 12pt;text-align:justify;text-justify:inter-ideograph;line-height:100%;font-family:Times New Roman;font-size: 10pt">
						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">Exhibit Number</font></p>
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						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">Description</font></p>
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						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">10</font><font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">.1</font></p>
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						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">VAALCO Energy, Inc. 2016 Stock Appreciation Rights Plan</font></p>
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						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">10.2</font></p>
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						<font style="font-weight:bold;display: inline;font-weight:normal;font-size:10pt;">Form of Stock Appreciation Rights Award Agreement to be entered into in connection with the VAALCO Energy, Inc. 2016 Stock Appreciation Rights Plan</font></p>
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<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>egy-20160315ex101f5b352.htm
<DESCRIPTION>EX-10.1
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			Exhibit 10.1
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			&nbsp;

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			<a name="_GoBack"></a><font style="display: inline;font-family:Times New Roman;font-size:24pt;">VAALCO Energy, Inc.</font>
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			<font style="display: inline;">201</font><font style="display: inline;">6</font><font style="display: inline;">&nbsp;</font><font style="display: inline;">S</font><font style="display: inline;">tock</font><font style="display: inline;">&nbsp;</font><font style="display: inline;">Appreciation Rights </font><font style="display: inline;">P</font><font style="display: inline;">lan</font>
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			<font style="display: inline;">&nbsp;</font>
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			<font style="display: inline;font-size:18pt;">(Effective</font><font style="display: inline;font-size:18pt;"> as of</font><font style="display: inline;font-size:18pt;">&nbsp;</font><font style="display: inline;font-size:18pt;">March </font><font style="display: inline;font-size:18pt;">10</font><font style="display: inline;font-size:18pt;">, &nbsp;</font><font style="display: inline;font-size:18pt;">201</font><font style="display: inline;font-size:18pt;">6</font><font style="display: inline;font-size:18pt;">)</font>
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			<font style="display: inline;">&nbsp;</font>
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			&nbsp;
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		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-align:center;text-indent:36pt;text-justify:inter-ideograph;font-family:Times New Roman;;font-size: 14pt"><font style="display: inline;font-weight:bold;font-size:14pt;">VAALCO Energy, Inc. </font><font style="display: inline;font-weight:bold;font-size:14pt;">201</font><font style="display: inline;font-weight:bold;font-size:14pt;">6</font><font style="display: inline;font-weight:bold;font-size:14pt;">&nbsp;</font><font style="display: inline;font-weight:bold;font-size:14pt;">Stock </font><font style="display: inline;font-weight:bold;font-size:14pt;">Appreciation Rights </font><font style="display: inline;font-weight:bold;font-size:14pt;">Plan</font>
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		<p style="margin:0pt 0pt 12pt;text-align:center;text-decoration:underline;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;text-decoration:none;">Section 1.</font><br /><font style="display: inline;color:#000000;"></font><br /><font style="display: inline;color:#000000;"></font><a name="_Toc188154638"></a><a name="_Toc229564334"></a><a name="_Toc445112115"></a><font style="display: inline;color:#000000;">GENERAL PROVISIONS RELATING TO</font><br /><font style="display: inline;color:#000000;">PLAN GOVERNANCE, COVERAGE AND BENEFITS</font>
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		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154639"></a><a name="_Toc229564335"></a><a name="_Toc445112116"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">1.1</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Background and Purpose</font></font>
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			<font style="display: inline;color:#000000;">VAALCO Energy, Inc.</font><font style="display: inline;color:#000000;">, a</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">Delaware </font><font style="display: inline;color:#000000;">corporation</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">(the &#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">Company</font><font style="display: inline;color:#000000;">&#x201D;), has adopted this plan document, entitled &#x201C;</font><font style="display: inline;color:#000000;">VAALCO Energy, Inc. </font><font style="display: inline;color:#000000;">201</font><font style="display: inline;color:#000000;">6</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">Stock</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">Appreciation Rights </font><font style="display: inline;color:#000000;">Plan&#x201D; (the &#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">Plan</font><font style="display: inline;color:#000000;">&#x201D;), effective as </font><font style="display: inline;color:#000000;">of</font><font style="display: inline;color:#000000;"> March </font><font style="display: inline;color:#000000;">10</font><font style="display: inline;color:#000000;">, 201</font><font style="display: inline;color:#000000;">6</font><font style="display: inline;font-weight:bold;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">(the &#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">Effective Date</font><font style="display: inline;color:#000000;">&#x201D;). </font>
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			<font style="display: inline;color:#000000;">The purpose of the Plan is to foster and promote the long-term financial success of the Company and to increase </font><font style="display: inline;color:#000000;">shareholder </font><font style="display: inline;color:#000000;">value by: (a)&nbsp;encouraging the commitment of selected key Employees, Consultants and </font><font style="display: inline;color:#000000;">Outside Director</font><font style="display: inline;color:#000000;">s, (b)&nbsp;motivating superior performance of key Employees, Consultants and </font><font style="display: inline;color:#000000;">Outside Director</font><font style="display: inline;color:#000000;">s by means of long-term performance related incentives, (c)&nbsp;encouraging and providing key Employees, Consultants and </font><font style="display: inline;color:#000000;">Outside Director</font><font style="display: inline;color:#000000;">s with a program for obtaining ownership interests in the Company which link and align their personal interests to those of the Company&#x2019;s </font><font style="display: inline;color:#000000;">shareholders, </font><font style="display: inline;color:#000000;">(d)&nbsp;attracting and retaining key Employees, Consultants and </font><font style="display: inline;color:#000000;">Outside Director</font><font style="display: inline;color:#000000;">s by providing competitive compensation opportunities, and (e)&nbsp;enabling key Employees, Consultants and </font><font style="display: inline;color:#000000;">Outside Director</font><font style="display: inline;color:#000000;">s to </font><font style="display: inline;color:#000000;">share</font><font style="display: inline;color:#000000;"> in the long-term growth and success of the Company.</font>
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			<font style="display: inline;color:#000000;">The Plan </font><font style="display: inline;color:#000000;">only </font><font style="display: inline;color:#000000;">provides for </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s &nbsp;</font><font style="display: inline;color:#000000;">that are </font><font style="display: inline;color:#000000;">only</font><font style="display: inline;color:#000000;"> made</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">in the form of Stock Appreciation Rights</font><font style="display: inline;color:#000000;"> payable in cash</font><font style="display: inline;color:#000000;">. &nbsp;</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">It is not intended to be a plan that is subject to the Employee Retirement Income Security Act of 1974, as amended (&#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">ERISA</font><font style="display: inline;color:#000000;">&#x201D;)</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;color:#000000;">The Plan will be interpreted, construed and administered consistent with its status as a plan that is not subject to ERISA.</font>
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			<font style="display: inline;color:#000000;">The Plan will remain in effect, subject to the right of the Board </font><font style="display: inline;color:#000000;">or Committee </font><font style="display: inline;color:#000000;">to amend or terminate the Plan at any time pursuant to </font><font style="display: inline;text-decoration:underline;color:#000000;">Section&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">4.6</font><font style="display: inline;color:#000000;">.</font><font style="display: inline;color:#000000;">&nbsp;</font>
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		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref376526207"></a><a name="_Toc188154640"></a><a name="_Toc229564336"></a><a name="_Toc445112117"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">1.2</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Definitions</font></font>
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			<font style="display: inline;color:#000000;">The following terms shall have the meanings set forth below:</font>
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			<a name="_Toc445112118"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(a)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Affiliate</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Any Subsidiary and any other </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Person </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">that, directly or through one or more intermediaries, is controlled by the Company, as determined by the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Board or the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Committee.</font><font style="display: inline;color:#000000;">&nbsp;</font></font>
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			<a name="_Toc445112119"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(b)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Applicable Laws</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The requirements relating to the administration of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s under U.S. state corporate laws, U.S. federal and state </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">tax and </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">securities laws, the Code, any stock exchange or quotation system on which the Common Stock is listed or quoted, and the applicable laws of any foreign country or jurisdiction where </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s are, or will be, granted under the Plan, including regulations and other authoritative guidance issued thereunder by the appropriate governmental authority.</font></font>
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		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">1</font></font>

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</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112120"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(c)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;">Authorized Officer</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> &nbsp;The Chairman of the Board, the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">CEO</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, the Chief Financial Officer</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, the General Counsel</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">or any other senior officer of the Company to whom </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">the Board or Committee has</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> delegate</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">d</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> the authority to execute any Incentive Agreement for and on behalf of the Company</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">No officer or director shall be an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Authorized Officer</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> with respect to any Incentive Agreement for himself.</font></font>
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		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154642"></a><a name="_Toc229564338"></a><a name="_Toc445112121"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(d)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Board</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The then-current Board of Directors of the Company.</font></font>
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		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc229564339"></a><a name="_Toc445112122"></a><a name="_Toc188154644"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(e)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Cause</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">When used in connection </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">with the termination of a Grantee&#x2019;s Employment, shall mean the termination of the Grantee&#x2019;s Employment by the Company or any Affiliate by reason of (i)&nbsp;the conviction of the Grantee by a court of competent jurisdiction as to which no further appeal can be taken of a crime involving moral turpitude or a felony; (ii)&nbsp;the commission by the Grantee of a material act of fraud upon the Company or any Affiliate, or any customer or supplier thereof; (iii)&nbsp;the misappropriation of any funds or property of the Company or any Affiliate, or any customer or supplier thereof; (iv)&nbsp;the willful and continued failure by the Grantee to perform the material duties assigned to him that is not cured to the reasonable satisfaction of the Company within 30 days after written notice of such failure is provided to Grantee by the Board or </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">CEO</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> (or by another officer of the Company or an Affiliate who has been designated by the Board or </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">CEO</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> for such purpose); (v)&nbsp;the engagement by the Grantee in any direct and material conflict of interest with the Company or any Affiliate without compliance with the Company&#x2019;s or Affiliate&#x2019;s conflict of interest policy, if any, then in effect; or (vi)&nbsp;the engagement by the Grantee, without the written approval of the Board or </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">CEO</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, in any material activity which competes with the business of the Company or any Affiliate or which would result in a material injury to the business, reputation or goodwill of the Company or any Affiliate.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112123"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:25pt;"><font style="display: inline;color:#000000;">(f)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">CEO</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The then-current Chief Executive Officer of the Company.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154645"></a><a name="_Toc229564341"></a><a name="_Toc445112124"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(g)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Change in Control</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Any of the events described in and subject to Section&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">3.6</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154646"></a><a name="_Toc229564342"></a><a name="_Toc445112125"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(h)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Code</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">U</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.S. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Internal Revenue Code of 1986</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, as amended, and the regulations and other authority promulgated thereunder by the appropriate governmental authority. References herein to any provision of the Code shall refer to any successor provision thereto.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154647"></a><a name="_Toc229564343"></a><a name="_Toc445112126"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:26pt;"><font style="display: inline;color:#000000;">(i)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Committee</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The committee appointed by the</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> Board to administer the Plan. The Committee shall b</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">e comprised of not less than t</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">wo</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> members of the Compensation Committee of the Board who are Independent Directors</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> &nbsp;(</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">or any successor committee or subcommittee of th</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">e Board designated by the Board)</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">. &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> &nbsp;T</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">he Committee may be the Compensation Committee of the Board </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">(</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">or any subcommittee of the Compensation Committee</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">)</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font><font style="display: inline;color:#000000;"> &nbsp; &nbsp;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The Board shall have the power to fill vacancies on the Committee arising by resignation, death, removal or otherwise. </font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">The Board, in its sole discretion, may</font><font style="display: inline;color:#000000;"> divide</font><font style="display: inline;color:#000000;"> the powers and duties of the Committee among one or more separate committees, or </font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">2</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt"><font style="display: inline;">retain all powers and duties of the Committee in a single Committee. </font><font style="display: inline;">&nbsp;</font><font style="display: inline;">The members of the Committee shall serve at the discretion of the Board.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154648"></a><a name="_Toc229564344"></a><a name="_Toc445112127"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:25pt;"><font style="display: inline;color:#000000;">(j)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;font-weight:normal;color:#000000;">Common </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;color:#000000;">Stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.&nbsp;&nbsp;The common </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> of the Company,</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> $0.10</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">par value</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">per </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">S</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">hare</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, and any class of common </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> into which such common </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s may hereafter be converted, reclassified or recapitalized.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154649"></a><a name="_Toc229564345"></a><a name="_Toc445112128"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(k)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Company</font><font style="display: inline;color:#000000;">.</font><font style="display: inline;color:#000000;"> &nbsp; &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">VAALCO</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Energy, Inc. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">and any successor in interest thereto.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154650"></a><a name="_Toc229564346"></a><a name="_Toc445112129"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:26pt;"><font style="display: inline;color:#000000;">(l)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Consultant</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">An independent agent, consultant, attorney, or any other individual who is not an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Outside Director</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> or an Employee and who, in the opinion of the Committee, is (i)&nbsp;in a position to contribute to the growth or financial success of the Company (or any </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Affiliate</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">), (ii) is a natural person and (iii) provides bona fide services to the Company (or any </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Affiliate</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">), which services are not in connection with the offer or sale of securities in a capital raising transaction, and do not directly or indirectly promote or maintain a market for the Company&#x2019;s securities.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112130"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:21pt;"><font style="display: inline;color:#000000;">(m)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Date of Grant</font><font style="display: inline;color:#000000;">.</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The effective date on which an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> is made to a Grantee as set forth in the applicable Incentive Agreement.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154652"></a><a name="_Toc229564348"></a><a name="_Toc445112131"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(n)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Disability</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Disability means that the Grantee, because of ill health, physical or mental disability or any other reason beyond his control, is unable to perform his employment duties for a period of six (6) continuous months, as determined in good faith by the Committee.&nbsp;&nbsp;A determination of Disability may be made by a physician selected or approved by the Committee and, in this respect, the Grantee shall submit to any reasonable examination(s) required by such physician upon request.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154653"></a><a name="_Toc229564349"></a><a name="_Toc445112132"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(o)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Employee</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Any employee of the Company (or any Parent or Subsidiary) within the meaning of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Code Section&nbsp;3401(c)</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> including, without limitation, officers who are members of the Board.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154654"></a><a name="_Toc229564350"></a><a name="_Toc445112133"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(p)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Employment</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Employment means that the individual is employed as an Employee, or engaged as a Consultant or </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Outside Director</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, by the Company (or any Parent or Subsidiary), or by any corporation issuing or assuming an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> in any transaction described in Code Section 424(a), or by a parent corporation or a subsidiary corporation of such corporation issuing or assuming such </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, as the parent-subsidiary relationship shall be determined at the time of the corporate action described </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">in Code Section&nbsp;424(a)</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">. &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">In this regard, neither the transfer of</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> an Employee</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> from Employment by the Company to Employment by any Parent or Subsidiary, nor the transfer of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">an Employee </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">from Employment by any Parent or Subsidiary to Employment by the Company, shall be deemed to be a termination of Employment</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">. &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> Moreover, the Employment of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">an Employee </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">shall not be deemed to have been terminated because of an approved </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">and authorized </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">leave of absence from active Employment.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The term &#x201C;Employment&#x201D; for purposes of the Plan shall include (i)&nbsp;active performance of agreed services by a Consultant for the Company (or any Parent or Subsidiary) or (ii)&nbsp;current membership on the Board by an </font><font style="display: inline;color:#000000;">Outside Director</font><font style="display: inline;color:#000000;">.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">

		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">3</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;;font-size: 12pt"><font style="display: inline;">All determinations hereunder regarding Employment, and termination of Employment, shall be made by the Committee in its discretion.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154655"></a><a name="_Toc229564351"></a><a name="_Toc445112134"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(q)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Exchange Act</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">U</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.S. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Securities Exchange Act of 1934, as amended.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154656"></a><a name="_Toc229564352"></a><a name="_Toc445112135"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:25pt;"><font style="display: inline;color:#000000;">(r)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Fair Market Value</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">While the Company </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">is a </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Publicly Held Corporation</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, the Fair Market Value of one Share on the date in question shall be (i)&nbsp;the closing sales price on such day for a Share as quoted on the New York Stock Exchange (&#x201C;NYSE&#x201D;), the National Association of Securities Dealers Automated Quotation System (&#x201C;NASDAQ&#x201D;) or the national securities exchange on which Shares are then principally listed or admitted to trading, or (ii)&nbsp;if not quoted on NYSE or other national securities exchange, the average of the closing bid and asked prices for a Share as quoted by the National Quotation Bureau&#x2019;s &#x201C;Pink Sheets&#x201D; or the National Association of Securities Dealers&#x2019; OTC Bulletin Board System.&nbsp;&nbsp;If there was no public trade of Common Stock on the date in question, Fair Market Value shall be determined by reference to the last preceding date on which such a trade was so reported.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">If the Company is not a </font><font style="display: inline;color:#000000;">Publicly Held Corporation</font><font style="display: inline;color:#000000;"> at the time a determination of the Fair Market Value of the Common </font><font style="display: inline;color:#000000;">Stock</font><font style="display: inline;color:#000000;"> is required to be made hereunder, the determination of Fair Market Value for purposes of the Plan shall be made by the Committee in its </font><font style="display: inline;color:#000000;">sole </font><font style="display: inline;color:#000000;">discretion. </font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">In this respect, the Committee may rely on such financial data, appraisals, valuations, experts, and other sources as, in its sole and absolute discretion, it deems advisable under the circumstances.&nbsp;&nbsp;With respect to SARs</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">subject to </font><font style="display: inline;color:#000000;">an </font><font style="display: inline;color:#000000;">exception</font><font style="display: inline;color:#000000;"> from the application of </font><font style="display: inline;color:#000000;">Code Section 409A</font><font style="display: inline;color:#000000;"> for stock rights</font><font style="display: inline;color:#000000;">, &nbsp;</font><font style="display: inline;color:#000000;">the </font><font style="display: inline;color:#000000;">Fair Market Value shall be determined by the Committee consistent with the requirements of Section&nbsp;409A in order to satisfy the exception under </font><font style="display: inline;color:#000000;">Code </font><font style="display: inline;color:#000000;">Section 409A</font><font style="display: inline;color:#000000;">.&nbsp; </font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154657"></a><a name="_Toc229564353"></a><a name="_Toc445112136"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:24pt;"><font style="display: inline;color:#000000;">(s)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Grantee</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Any Service Provider </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">who is granted an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> under the Plan.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154659"></a><a name="_Toc229564355"></a><a name="_Toc445112137"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:25pt;"><font style="display: inline;color:#000000;">(t)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Incentive Agreement</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The written agreement entered into between the Company and the Grantee setting forth the terms and conditions pursuant to which an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> is granted under the Plan</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112138"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(u)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> (or Award)</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A grant of a</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> SAR</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> award under the Plan to a Grantee.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112139"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(v)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Independent Director</font><font style="display: inline;font-size:10pt;color:#000000;">. &nbsp;</font><font style="display: inline;font-size:10pt;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> member of the Board who qualifies as (</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">i</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">)</font><font style="display: inline;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">an &#x201C;independent director&#x201D; under Section 303A of the New York </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> Exchange Listed Company Manual, (</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ii</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">)</font><font style="display: inline;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">an &#x201C;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Outside Director</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&#x201D; within the meaning of Code Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">162(m), and (</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">iii</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">) a &#x201C;non-employee dir</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ector&#x201D; as defined in Rule 16b-3 under the Exchange Act.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112140"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:21pt;"><font style="display: inline;color:#000000;">(w)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Insider</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">While</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> the Company is a </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Publicly Held Corporation</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, an individual who is, on the relevant date, an officer, director or ten percent (10%) beneficial owner of any class of the Company&#x2019;s equity securities that is registered pursuant to Section&nbsp;12 of the Exchange Act, all as defined under Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">16 of the Exchange Act.</font></font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">4</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112141"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(x)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Outside Director</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A member of the Board who is not, at the time of grant of an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">E</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">mployee</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.&nbsp; </font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154667"></a><a name="_Toc229564363"></a><a name="_Toc445112142"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(y)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Parent</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Any corporation (whether now or hereafter existing) which constitutes a &#x201C;parent&#x201D; of the Company, as defined </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">in Code Section&nbsp;424(e)</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font><font style="display: inline;color:#000000;">&nbsp;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112143"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:24pt;"><font style="display: inline;color:#000000;">(z)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Person</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ny individual, corporation, partnership, association, joint-</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> company, trust, unincorporated organization, government or political subdivision thereof or other entity. </font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154672"></a><a name="_Toc229564368"></a><a name="_Toc445112144"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:19pt;"><font style="display: inline;color:#000000;">(aa)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Plan</font><font style="display: inline;font-size:10pt;color:#000000;">.</font><font style="display: inline;font-size:10pt;color:#000000;"> &nbsp; &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">VAALCO Energy, Inc. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">201</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">6</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Appreciation Rights </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Plan, as effective on the Effective Date, which is set forth herein and as it may be amended from time to time.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112145"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:18pt;"><font style="display: inline;color:#000000;">(bb)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Publicly Held Corporation</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A corporation issuing any class of common equity securities required to be registered under Section&nbsp;12 of the Exchange Act.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;font-size:10pt;color:#000000;">(</font><font style="display: inline;font-weight:bold;font-family:Times New Roman;font-weight:bold;font-style:italic;color:#000000;">cc)</font><font style="display: inline;font-weight:bold;font-family:Times New Roman;font-weight:bold;font-style:italic;color:#000000;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-weight:bold;font-family:Times New Roman;font-weight:bold;font-style:italic;color:#000000;">Retirement</font><font style="display: inline;font-weight:bold;font-family:Times New Roman;font-weight:bold;font-style:italic;color:#000000;">.</font><font style="display: inline;font-size:10pt;color:#000000;"> &nbsp; &nbsp;</font><font style="display: inline;color:#000000;">The voluntary termination of Employment constituting retirement for age (i) on any date after the Employee attains</font><font style="display: inline;color:#000000;"> the normal retirement age of 65</font><font style="display: inline;color:#000000;"> years, or (ii) an earlier retirement date for age as expressly agreed to by the Committee and designated by the Committee in the Employee&#x2019;s Incentive Agreement.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112147"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:18pt;"><font style="display: inline;color:#000000;">(dd)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">SAR Price</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Fair Market V</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">alue per</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">against which the Spread is calculated</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, as set forth in the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> Agreement</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112148"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:19pt;"><font style="display: inline;color:#000000;">(ee)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Service Provider</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">An Employee, </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Outside Director</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, or Consultant.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc229564376"></a><a name="_Toc445112149"></a><a name="_Toc188154680"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;font-family:Times New Roman;color:#000000;">(ff)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;">Securities Act</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> &nbsp;The U</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.S. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Securities Act of 1933, as amended.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc229564377"></a><a name="_Toc445112150"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:19pt;"><font style="display: inline;color:#000000;">(gg)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Share</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> of the Common </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> of the Company.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154682"></a><a name="_Toc229564379"></a><a name="_Toc445112151"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:19pt;"><font style="display: inline;color:#000000;">(hh)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Spread</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The difference between the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">P</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">rice per </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> specified in a SAR </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ward on the Date of Grant </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">and the Fair Market Value </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">per </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> on the date of exercise of the SAR.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154683"></a><a name="_Toc229564380"></a><a name="_Toc445112152"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:24pt;"><font style="display: inline;color:#000000;">(ii)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Stock</font><font style="display: inline;color:#000000;"> Appreciation Right or SAR</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> Appreciation Right as described in Section&nbsp;2.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">1</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154685"></a><a name="_Toc229564382"></a><a name="_Toc445112153"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(jj)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Subsidiary</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Any company (whether a corporation, partnership, joint venture or other form of entity) in which the Company or a corporation in which the Company owns a majority of the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s of capital </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, directly or indirectly, owns a greater than 50% equity interest</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154687"></a><a name="_Toc229564383"></a><a name="_Toc445112154"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">1.3</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Plan Administration</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154688"></a><a name="_Toc229564384"></a><a name="_Toc445112155"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(a)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Authority of the Committee</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Except as may be limited by law and subject to the provisions herein, the Committee shall have the complete power and authority to (i)&nbsp;select Grantees who shall participate in the Plan; (ii)&nbsp;determine the size</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font>
		</font>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">5</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt"><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">and</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> duration of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s; (iii)&nbsp;determine the terms and conditions of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s and Incentive Agreements; (iv)&nbsp;&nbsp;construe and interpret the Plan and any Incentive Agreement or other agreement entered into under the Plan; and (v)&nbsp;establish, amend, or waive rules for the Plan&#x2019;s administration.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> Further, the Committee shall make all other determinations which may be necessary or advisable for the administration of the Plan.</font></p>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Notwithstanding any other provision of the Plan, any Incentive Awards that are to be granted under the Plan to Outside Directors shall be approved by the Board, or made in accordance with a policy or program that is approved by the Board; provided, however, the Committee may recommend such Incentive Awards, policy or program to the Board for its approval.&nbsp;&nbsp;With respect to the grant of Incentive Awards to Outside Directors, all rights, powers and authorities vested in the Committee under the Plan with respect thereto shall instead be exercised by the Board, and thus any reference in the Plan to the Committee shall be deemed to include a reference to the Board when acting in such capacity. When the Board exercises its authority to act in its capacity as the Committee hereunder with respect to an Incentive Award for an Outside Director, it shall so designate with respect to any action that it undertakes in such capacity.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154689"></a><a name="_Toc229564385"></a><a name="_Toc445112156"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(b)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Meetings</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The Committee shall designate a chairman from among its members who shall preside at its meetings, and shall designate a secretary, without regard to whether that </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">individual </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">is a member of the Committee, who shall keep the minutes of the proceedings and all records, documents, and data pertaining to its administration of the Plan. Meetings shall be held at such times and places as shall be determined by the Committee and the Committee may hold telephonic meetings.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> The Committee may take any action otherwise proper under the Plan by the affirmative vote, taken with or without a meeting, of a majority of its members. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The Committee may authorize any one or more of its members or any officer of the Company to execute and deliver documents on behalf of the Committee.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154690"></a><a name="_Toc229564386"></a><a name="_Toc445112157"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(c)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Decisions Binding</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">All determinations and decisions of the Committee shall be made in its discretion pursuant to the provisions of the Plan, and shall be final, conclusive and binding on all </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">P</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ersons including the Company, its </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">shareholder</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s, Employees, Grantees, and their estates and beneficiaries. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The Committee&#x2019;s decisions and determinations with respect to </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">the Plan or </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">any </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> need not be uniform and may be made selectively among </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">,</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> Grantees</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> and </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">other </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Persons</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, whether or not such </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s are similar or such </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Persons </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">are similarly situated.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154691"></a><a name="_Toc229564387"></a><a name="_Toc445112158"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(d)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Modification of Outstanding </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Subject to </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">requirements of any Applicable Law, </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">the Committee may, in its discretion, provide for the extension of the exercisability of an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, accelerate the vesting or exercisability of an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, eliminate or make less restrictive any restrictions contained in an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, waive any restriction or other provisions of an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, or otherwise amend or modify an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> in any manner that&nbsp;&nbsp;(i) is not adverse to the Grantee to whom such </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> was granted, (ii) is consented to by such Grantee, </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">and </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">(iii)</font><font style="display: inline;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">does not cause the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> to provide for the deferral of compensation in a manner that does not comply with </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">the requirements to preclude taxation </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">or penalties </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">under </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Code Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">409A</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font></font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">6</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154692"></a><a name="_Toc229564388"></a><a name="_Toc445112159"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(e)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Delegation of Authority</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The Committee may delegate to designated officers or other </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">E</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">mployees any of its duties and authority under the Plan pursuant to such conditions or limitations as the Committee may establish from time to time, including, without limitation, the authority to recommend Grantees and the terms of their </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s; provided, however, the Committee may not delegate to any </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">P</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">erson the authority to grant </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112160"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:25pt;"><font style="display: inline;color:#000000;">(f)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Limitation of Liability</font><font style="display: inline;font-size:10pt;color:#000000;">. &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The Committee and each member thereof shall be entitled to, in good faith, rely or act upon any report</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">,</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">opinion, calculation </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">or other information furnished by any </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">E</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">mployee, the Company&#x2019;s independent certified public accountants, </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">legal </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">counsel or other advisors to the Company, or any consultant, attorney, accountant or other advisor retained by the Committee to assist in the administration of the Plan. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Neither the Board nor the Committee, nor any member of either, shall be liable for any act, omission, interpretation, decision, construction or determination made in good faith in connection with the Plan or any </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154693"></a><a name="_Toc229564389"></a><a name="_Toc445112161"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(g)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Expenses of Committee</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The Committee may employ legal counsel, including, without limitation, independent legal counsel and counsel regularly employed by the Company, and other agents as the Committee may deem appropriate for the administration of the Plan. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">All expenses incurred by the Committee in interpreting and administering the Plan, including, without limitation, meeting expenses and professional fees, shall be paid by the Company.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154695"></a><a name="_Toc229564391"></a><a name="_Toc445112162"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(h)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Indemnification</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Each </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">individual</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> who is or was a member of the Committee shall be indemnified by the Company against and from any damage, loss, liability, cost and expense that may be imposed upon or reasonably incurred by him in connection with or resulting from any claim, action, suit, or proceeding to which he may be a party or in which he may be involved by reason of any action taken or failure to act under the Plan, except for any such act or omission constituting willful misconduct or gross negligence. Each such </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">individual </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">shall be indemnified by the Company for all amounts paid by him in settlement thereof, with the Company&#x2019;s approval, or paid by him in satisfaction of any judgment in any such action, suit, or proceeding against him, provided he shall give the Company an opportunity, at its own expense, to handle and defend the same before he undertakes to handle and defend it on his own behalf. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The foregoing right of indemnification shall not be exclusive of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">(i) </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">any other rights of indemnification to which </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">each </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">such </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">individual </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">may be entitled (</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">)&nbsp;under the Company&#x2019;s </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">C</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ertificate of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">I</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ncorporation or </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">B</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ylaws, (</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">B</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">)&nbsp;pursuant to any separate indemnification or hold harmless agreement with the Company</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> or an Affiliate</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> or</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> &nbsp;(</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">C</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">)&nbsp;as a matter of law, contract or otherwise, or (i</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">i</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">)&nbsp;any power that the Company </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">or an Affiliate </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">may have to indemnify them or hold them harmless.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref376525200"></a><a name="_Ref376525380"></a><a name="_Ref376525570"></a><a name="_Ref376526053"></a><a name="_Ref376526430"></a><a name="_Toc445112163"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">1.4</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">No </font><font style="display: inline;color:#000000;">Reserve</font><font style="display: inline;color:#000000;"> of </font><a name="_Toc188154696"></a><a name="_Toc229564392"></a><font style="display: inline;color:#000000;">Common </font><font style="display: inline;color:#000000;">Stock</font><font style="display: inline;color:#000000;"> for </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The only type of Incentive Award available for grants under the Plan </font><font style="display: inline;color:#000000;">is a </font><font style="display: inline;color:#000000;">SAR payable in cash only.&nbsp;&nbsp;Because no Incentive Award is payable in Shares or any other property, except cash, no Shares are reserved for grants of Incentive Awards under the Plan</font><font style="display: inline;color:#000000;">.&nbsp; </font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">7</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154699"></a><a name="_Toc229564395"></a><a name="_Toc445112164"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">1.5</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Participation</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154700"></a><a name="_Toc229564396"></a><a name="_Toc445112165"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(a)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Eligibility</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s may be granted only to </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">individuals </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">who, at the time of grant, are </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Service Providers</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.&nbsp;&nbsp;The Committee shall from time to time designate those </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Service Providers</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, if any, to be granted </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s under the Plan, the number of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SARs w</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">hich shall be granted to each such </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">individual, </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">and any other terms or conditions relating to the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s as it may deem appropriate to the extent consistent with the provisions of the Plan. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A Grantee who has been granted an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> may, if otherwise eligible, be granted additional </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s at any time.&nbsp; </font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154702"></a><a name="_Toc229564398"></a><a name="_Toc445112166"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">1.6</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Type of </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The </font><font style="display: inline;color:#000000;">only </font><font style="display: inline;color:#000000;">type of </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">available </font><font style="display: inline;color:#000000;">under the Plan </font><font style="display: inline;color:#000000;">is </font><font style="display: inline;color:#000000;">a SAR</font><font style="display: inline;color:#000000;"> payable only in cash and not </font><font style="display: inline;color:#000000;">in </font><font style="display: inline;color:#000000;">Shares.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:center;text-decoration:underline;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;text-decoration:none;">Section 2.</font><br /><font style="display: inline;color:#000000;"></font><br /><font style="display: inline;color:#000000;"></font><a name="_Toc445112167"></a><font style="display: inline;color:#000000;">S</font><font style="display: inline;color:#000000;">TOCK APPRECIATION RIGHTS</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154718"></a><a name="_Toc229564413"></a><a name="_Toc445112168"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">2.1</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Stock</font><font style="display: inline;color:#000000;"> Appreciation Rights</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154719"></a><a name="_Toc229564414"></a><a name="_Toc445112169"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(a)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Grant</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The Committee may grant </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SARs </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">to any </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Service Provider</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.&nbsp;&nbsp;A SAR is the right to receive an amount equal to the Spread with respect to a </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> upon the exercise of the SAR.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> &nbsp;T</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">he grant of SARs </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">to a Grantee </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">shall be evidenced by an Incentive Agreement.&nbsp;&nbsp;Any SARs granted under the Plan are intended to satisfy the requirements under Code Section 409A to the effect that such SARs do not provide for the deferral of compensation that is subject to taxation under Code Section 409A.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154720"></a><a name="_Toc229564415"></a><a name="_Toc445112170"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(b)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">General Provisions</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The terms and conditions of each SAR shall be evidenced by an Incentive Agreement. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR P</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">rice per </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> shall not be less than one hundred percent (100%) of the Fair Market Value of a </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> on the Date of G</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">rant of the SAR. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The term of the SAR shall be determined by the Committee but shall not be greater than ten (10) years from the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">D</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ate of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">G</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">rant. The Committee </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">shall not </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">include any feature for the deferral of compensation other than deferral of</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> the</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> recognition of income until exercise of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">a vested </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154721"></a><a name="_Toc229564416"></a><a name="_Toc445112171"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(c)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Exercise</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SARs shall be exercisable subject to such terms and conditions as the Committee shall specify in the Incentive Agreement for the SAR </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A SAR Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> shall be exercised by the delivery of a signed written notice of exercise to the Company, which must be received </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">and accepted </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">by the Company </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">as of a date set by the Company in advance of the effective date of the proposed exercise.&nbsp;&nbsp;The notice shall set forth the number of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SARs</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> with respect to which the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> is to be exercised.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> &nbsp; &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">No SAR granted to an </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Insider</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> may be exercised prior to six (6) months from the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">D</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ate of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">G</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">rant, except in the event of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">death or Disability </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">of such Grantee </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">which occurs prior to the expiration of such six-month period if so permitted under the Incentive Agreement.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> &nbsp; &nbsp;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154722"></a><a name="_Toc229564417"></a><a name="_Toc445112172"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(d)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Settlement</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Upon exercise of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">a &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR, the Grantee shall receive an amount equal to the Spread.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> The Spread, less applicable withholdings, shall be payable only in</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font>
		</font>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">8</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt"><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">cash</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, within </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ten (10)</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> calendar days </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">from</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> the exercise date.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">In no event shall any SAR be settled in any manner other than by delivery of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">a cash payment</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> from the Company</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font></p>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112173"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">2.2</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">No Rights as a </font><font style="display: inline;color:#000000;">Shareholder</font><font style="display: inline;color:#000000;">.</font><font style="display: inline;color:#000000;">&nbsp;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The </font><font style="display: inline;color:#000000;">Grantee </font><font style="display: inline;color:#000000;">(or any permitted transferee thereof) </font><font style="display: inline;color:#000000;">shall have no rights as a </font><font style="display: inline;color:#000000;">shareholder </font><font style="display: inline;color:#000000;">with respect to an</font><font style="display: inline;color:#000000;">y &nbsp;</font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:center;text-decoration:underline;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;text-decoration:none;">Section 3.</font><br /><font style="display: inline;color:#000000;"></font><br /><font style="display: inline;color:#000000;"></font><a name="_Toc188154741"></a><a name="_Toc229564434"></a><a name="_Toc445112174"></a><font style="display: inline;color:#000000;">PROVISIONS RELATING TO PLAN PARTICIPATION</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154742"></a><a name="_Toc229564435"></a><a name="_Toc445112175"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">3.1</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Incentive Agreement</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Each Grantee to whom an </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> is granted shall be required to enter into an Incentive Agreement with the Company, in such a form as is provided by the Committee. </font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">The Incentive Agreement shall contain specific terms as determined by the Committee, in its discretion, with respect to the Grantee&#x2019;s particular </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">. &nbsp;</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">Such terms need not be uniform among all Grantees or any similarly situated Grantees. </font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">The Incentive Agreement may include, without limitation, vesting, forfeiture and other provisions particular to the particular Grantee&#x2019;s </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">, as well as, for example, provisions to the effect that the Grantee (a)&nbsp;shall not disclose any confidential information acquired during Employment with the Company, (b) shall abide by all the terms and conditions of the Plan and such other terms and conditions as may be imposed by the Committee, (c) shall not interfere with the employment or other service of any employee, (d) shall not compete with the Company or become involved in a conflict of interest wi</font><font style="display: inline;color:#000000;">th the interests of the Company or</font><font style="display: inline;color:#000000;"> (e) shall forfeit an </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> if terminated for Cause. </font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">An Incentive Agreement shall include such terms and conditions as are determined by the Committee, in its discretion, to be appropriate with respect to any individual Grantee. </font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">The Incentive Agreement shall be signed by the Grantee to whom the </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> is made and by an </font><font style="display: inline;color:#000000;">Authorized Officer</font><font style="display: inline;color:#000000;">.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The Committee may specify in an Incentive Agreement that the Grantee&#x2019;s rights, payments, and benefits with respect to an </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> shall be subject to reduction,&nbsp;&nbsp;cancellation, forfeiture, or recoupment upon the occurrence of certain specified events, in addition to any otherwise applicable vesting or performance conditions of the </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">.&nbsp;&nbsp;Such events may include, but shall not be limited to, termination of Employment with or without Cause, violation of material policies of the Company or its Affiliate, breach of noncompetition, confidentiality, or other restrictive covenants that may apply to the Grantee, or other conduct by the Grantee that is detrimental to the business or reputation of the Company or its Affiliate.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154743"></a><a name="_Toc229564436"></a><a name="_Toc445112176"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">3.2</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">No Employment</font><font style="display: inline;color:#000000;"> Rights Conferred</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Nothing in the Plan or any instrument executed pursuant to the Plan shall create any Employment rights (including without limitation, rights to continued Employment) in any Grantee or affect the right of the Company to terminate the Employment of any Grantee at any time without regard to the existence of the Plan.</font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">9</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref376525716"></a><a name="_Ref376525866"></a><a name="_Ref376525909"></a><a name="_Ref376526392"></a><a name="_Toc188154745"></a><a name="_Toc229564438"></a><a name="_Toc445112177"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">3.3</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Transferability</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s granted under the Plan shall not be transferable or assignable other than: (a) by will or the laws of descent and distribution or (b) pursuant to a qualified domestic relations order (as defined under Code Section 414(p))</font><font style="display: inline;color:#000000;">. &nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The designation by a Grantee of a beneficiary of an </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> shall not constitute transfer of the </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">. &nbsp;</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">No transfer by will or by the laws of descent and distribution shall be effective to bind the Company unless the Committee has been furnished with a copy of the deceased Grantee&#x2019;s enforceable will or such other evidence as the Committee deems necessary to establish the validity of the transfer. Any attempted transfer in violation of this </font><font style="display: inline;text-decoration:underline;color:#000000;">Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">3.3</font><font style="display: inline;color:#000000;"> shall be void and ineffective. </font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">All determinations under this </font><font style="display: inline;text-decoration:underline;color:#000000;">Section&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">3.3</font><font style="display: inline;color:#000000;"> shall be made by the Committee in its discretion.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">In the case of the exercise of an </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> by a </font><font style="display: inline;color:#000000;">Person </font><font style="display: inline;color:#000000;">acquiring the right to exercise such </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> by reason of the death or Disability of a Grantee, the Committee may require reasonable evidence as to the ownership of such </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> or the authority of such</font><font style="display: inline;color:#000000;"> Person</font><font style="display: inline;color:#000000;">. &nbsp;</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">The Committee may also require such consents and releases of taxing authorities as it deems advisable.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref376525232"></a><a name="_Ref376525429"></a><a name="_Ref376526023"></a><a name="_Ref376526370"></a><a name="_Ref376526413"></a><a name="_Toc188154749"></a><a name="_Toc229564442"></a><a name="_Toc445112178"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">3.4</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Change in </font><font style="display: inline;color:#000000;">Stock</font><font style="display: inline;color:#000000;"> and Adjustments</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154750"></a><a name="_Toc229564443"></a><a name="_Toc445112179"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(a)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Changes in Law or Circumstances</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.&nbsp;&nbsp;Subject to Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">3.6</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> (which only applies in the event of a Change in Control), in the event of any change in </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">pplicable </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">L</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">aw or any change in circumstances which r</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">esults in or would result in</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> dilution of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">any</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> rights granted under the Plan, or which otherwise warrants an equitable adjustment because it interferes with the intended operation of the Plan, then, if the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Board or the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Committee should so determine, in its discretion, that such change equitably requires an adjustment in the terms and conditions of outstanding </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s, such adjustment shall be made in accordance with such determination. </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Board or the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Committee shall give notice to each applicable Grantee of such adjustment which shall be effective and binding.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154751"></a><a name="_Toc229564444"></a><a name="_Toc445112180"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(b)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Exercise of Corporate Powers</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">The existence of the Plan or outstanding </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s hereunder shall not affect in any way the right or power of the Company or its </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">shareholder</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s to make or authorize any or all adjustments, recapitalization, reorganization or other changes in the Company&#x2019;s capital structure or its business or any merger or consolidation of the Company, or any issue of bonds, debentures, preferred or prior preference </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s ahead of or affecting the Common </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> or the rights thereof, or the dissolution or liquidation of the Company</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> or an Affiliate</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, or any sale or transfer of all or any part of its assets or business, or any other corporate act or proceeding whether of a similar character or otherwise.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref376525996"></a><a name="_Toc188154752"></a><a name="_Toc229564445"></a><a name="_Toc445112181"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(c)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Recapitalization of the Company</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Subject to Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">3.6</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> (which only applies in the event of a Change in Control), if while there are </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s outstanding, the Company shall effect any subdivision or consolidation of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s or other capital readjustment, the payment of a </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> dividend, </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> split, combination of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s, </font>
		</font>
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		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">10</font></font>

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</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt"><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">recapitalization or other increase or reduction in the number of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s outstanding, without receiving compensation therefor in money, services or property, then (i) in the event of an increase in the number of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s outstanding, </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">the SAR </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Price or Fair Market Value of the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">outstanding </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s shall be proportionately reduced; and (ii)&nbsp;in the event of a reduction in the number of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s outstanding, be proportionately reduced, and the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Price of the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">outstanding </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s shall be proportionately increased.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> The </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Board of the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Committee shall take such action and whatever other action it deems appropriate, in its discretion, so that the value of each outstanding </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> to the Grantee shall not be adversely affected by a corporate event described in this </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Section&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">3.4(c)</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">,</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> to the extent permitted </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">without creating taxation or penalties </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">under Code Section 409A</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font></p>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154753"></a><a name="_Toc229564446"></a><a name="_Toc445112182"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(d)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Issue of Common </font><font style="display: inline;color:#000000;">Stock</font><font style="display: inline;color:#000000;"> by the Company</font><font style="display: inline;font-size:10pt;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Except as hereinabove expressly provided in this Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">3.4</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> and subject to </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Section&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">3.6</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">in the event of a Change in Control, the issue by the Company of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> of any class, or securities convertible into </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">stock</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> of any class, for cash or property, or for labor or services, either upon direct sale or upon the exercise of rights or warrants to subscribe therefor, or upon any conversion of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s or obligations of the Company convertible into such </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">share</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s or other securities, shall not affect, and no adjustment by reason thereof shall be made with respect to, the number or </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Price </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">of </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">any </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s then outstanding.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">A &#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">Corporate Event</font><font style="display: inline;color:#000000;">&#x201D; means any of the following: (i) a dissolution or liquidation of the Company, (ii) a sale of all or substantially all of the Company&#x2019;s assets, or (iii) a merger, consolidation or combination involving the Company (other than a merger, consolidation or combination (A) in which the Company is the continuing or surviving corporation and (B) which does not result in the outstanding </font><font style="display: inline;color:#000000;">Share</font><font style="display: inline;color:#000000;">s being converted into or exchanged for different securities, cash or other property, or any combination thereof). </font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">In the event of a Corporate Event, the </font><font style="display: inline;color:#000000;">Board or the </font><font style="display: inline;color:#000000;">Committee shall take whatever other action it deems </font><font style="display: inline;color:#000000;">to be </font><font style="display: inline;color:#000000;">appropriate to preserve the rights of Grantees holding outstanding </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Notwithstanding the previous paragraph</font><font style="display: inline;color:#000000;">s</font><font style="display: inline;color:#000000;"> of this </font><font style="display: inline;text-decoration:underline;color:#000000;">Section&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">3.4</font><font style="display: inline;color:#000000;">, but subject to the accelerated vesting and other provisions of </font><font style="display: inline;text-decoration:underline;color:#000000;">Section&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">3.6</font><font style="display: inline;color:#000000;"> that apply in the event of a Change in Control, in the event of a Corporate Event (</font><font style="display: inline;color:#000000;">as </font><font style="display: inline;color:#000000;">described in the previous paragraph), the Committee, shall have the right and power to effectuate one or more of the following alternatives </font><font style="display: inline;color:#000000;">in its discretion, </font><font style="display: inline;color:#000000;">with respect to outstanding </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s, which may vary among individual Grantees and may vary among </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s held by any individual Grantee:</font>
		</p>
		<p style="margin:0pt 0pt 12pt 72pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<a name="_Ref376526157"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:26pt;"><font style="display: inline;color:#000000;">(i)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">cancel, effective immediately prior to the occurrence of the Corporate Event, </font><font style="display: inline;color:#000000;">an </font><font style="display: inline;color:#000000;">outstanding </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> (whether or not then exercisable) and, in full consideration of such cancellation, pay to the Grantee an amount in cash equal to the excess of (A) the value, as determined by the </font><font style="display: inline;color:#000000;">Board or the </font><font style="display: inline;color:#000000;">Committee, of the property (including cash) received by the holders of Common </font><font style="display: inline;color:#000000;">Stock</font><font style="display: inline;color:#000000;"> as a result of such Corporate Event over (B) the </font><font style="display: inline;color:#000000;">SAR Price </font><font style="display: inline;color:#000000;">of such </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">; provided, however, this </font><font style="display: inline;text-decoration:underline;color:#000000;">subsection </font><font style="display: inline;text-decoration:underline;color:#000000;">(i)</font><font style="display: inline;color:#000000;"> shall be inapplicable to an </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> granted within six (6) months before the occurrence of the </font>
		</font>
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		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">11</font></font>

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</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 72pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt"><font style="display: inline;color:#000000;">Corporate Event if the Grantee is an </font><font style="display: inline;color:#000000;">Insider</font><font style="display: inline;color:#000000;">, the Company is subject to Section 16 of the Exchange Act,</font><font style="display: inline;color:#000000;"> and such disposition is not exempt under Rule 16b-3 (or other rules preventing liability of the </font><font style="display: inline;color:#000000;">Insider</font><font style="display: inline;color:#000000;"> under Section 16(b) of the Exchange Act) and, in that event, the provisions hereof shall be applicable to such </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">only </font><font style="display: inline;color:#000000;">after expiration of six (6) months from the </font><font style="display: inline;color:#000000;">D</font><font style="display: inline;color:#000000;">ate of </font><font style="display: inline;color:#000000;">G</font><font style="display: inline;color:#000000;">rant; or</font></p>
		</p>
		<p style="margin:0pt 0pt 12pt 72pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:24pt;"><font style="display: inline;color:#000000;">(ii)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">provide for the exchange or substitution of each </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> outstanding immediately prior to such Corporate Event (whether or not then exercisable) for another award and, incident thereto, make an equitable adjustment as determined by the </font><font style="display: inline;color:#000000;">Board or the </font><font style="display: inline;color:#000000;">Committee, in its discretion, in the </font><font style="display: inline;color:#000000;">SAR </font><font style="display: inline;color:#000000;">Price of the </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">; or</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 72pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">(iii)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">effect one or more of the following alternatives in an equitable and appropriate manner to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan, which alternatives may vary among individual Grantees:</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;"> &nbsp;(</font><font style="display: inline;color:#000000;">A</font><font style="display: inline;color:#000000;">) accelerate the time at which SARs then outstanding may be exercised so that such </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s may be exercised in full for a limited period of time on or before a specified date (before or after the Corporate Event) fixed by the Committee, after which specified date all such unexercised </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s and all rights of Grantees thereunder shall terminate, or (</font><font style="display: inline;color:#000000;">B</font><font style="display: inline;color:#000000;">) require the mandatory surrender by all or selected Grantees of some or all of the outstanding SARs held by such Grantees (irrespective of whether such </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s are then exercisable under the provisions of the Plan) as of a date, before or after such Corporate Event, that is specified by the </font><font style="display: inline;color:#000000;">Board or the </font><font style="display: inline;color:#000000;">Committee, in which event the </font><font style="display: inline;color:#000000;">Board or the </font><font style="display: inline;color:#000000;">Committee shall thereupon cancel such </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s and the Company shall pay (or cause to be paid) to each Grantee an amount of cash per </font><font style="display: inline;color:#000000;">SAR </font><font style="display: inline;color:#000000;">equal to the excess, if any, of the amount calculated by the </font><font style="display: inline;color:#000000;">Board or the </font><font style="display: inline;color:#000000;">Committee, in its discretion as exercised in good faith, as the then </font><font style="display: inline;color:#000000;">F</font><font style="display: inline;color:#000000;">air </font><font style="display: inline;color:#000000;">M</font><font style="display: inline;color:#000000;">arket </font><font style="display: inline;color:#000000;">V</font><font style="display: inline;color:#000000;">alue of the </font><font style="display: inline;color:#000000;">Share</font><font style="display: inline;color:#000000;">s subject to </font><font style="display: inline;color:#000000;">SAR Award </font><font style="display: inline;color:#000000;">over </font><font style="display: inline;color:#000000;">its </font><font style="display: inline;color:#000000;">SAR P</font><font style="display: inline;color:#000000;">rice; or</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 72pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">(iv)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">provide for assumption of the Plan and such outstanding </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s by the surviving entity or its parent.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The </font><font style="display: inline;color:#000000;">Board or </font><font style="display: inline;color:#000000;">Committee, in its discretion, shall have the authority to take whatever action it deems to be necessary or appropriate to effectuate the provisions of this </font><font style="display: inline;text-decoration:underline;color:#000000;">Section&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">3.4</font><font style="display: inline;color:#000000;">.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref376525887"></a><a name="_Toc188154756"></a><a name="_Toc229564449"></a><a name="_Toc445112183"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">3.5</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Termination of Employment, Death, Disability and Retirement</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154757"></a><a name="_Toc229564450"></a><a name="_Toc445112184"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(a)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Termination of Employment</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Unless otherwise expressly provided in the Grantee&#x2019;s Incentive Agreement, if the Grantee&#x2019;s Employment is terminated for any reason other than due to his death, Disability, Retirement or for Cause, any non-vested portion of any </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">outstanding </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Award </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">at the time of such termination shall automatically expire and terminate and no further vesting shall occur after the termination date</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">In such event, except as otherwise expressly provided in his Incentive Agreement, the Grantee shall be entitled to exercise his rights only with respect to the portion of the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> that was vested as of his termination of Employment date for a period </font>
		</font>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">12</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt"><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">that shall end on the earlier of (i) the expiration date set forth in the Incent</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">ive Agreement or (ii) ninety</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> &nbsp;(</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">9</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">0) days after the date of his termination of Employment</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font></p>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154758"></a><a name="_Toc229564451"></a><a name="_Toc445112185"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(b)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Termination of Employment for Cause</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Unless otherwise expressly provided in the Grantee&#x2019;s Incentive Agreement, in the event of the termination of a Grantee&#x2019;s Employment for Cause, all vested and non-vested </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">s granted to such Grantee shall immediately expire, and shall not be exercisable to any extent, as of 12:01 a.m. (CST) on the date of such termination of Employment.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154759"></a><a name="_Toc229564452"></a><a name="_Toc445112186"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(c)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Retirement</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Unless otherwise expressly provided in the Grantee&#x2019;s Incentive Agreement, upon the termination of Employment due to the Grantee&#x2019;s Retirement:</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 72pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:26pt;"><font style="display: inline;color:#000000;">(i)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">any non-vested portion of any outstanding </font><font style="display: inline;color:#000000;">SAR </font><font style="display: inline;color:#000000;">Award</font><font style="display: inline;color:#000000;"> shall immediately terminate and no further vesting shall occur; and</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 72pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:24pt;"><font style="display: inline;color:#000000;">(ii)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">any vested </font><font style="display: inline;color:#000000;">SAR </font><font style="display: inline;color:#000000;">Award</font><font style="display: inline;color:#000000;"> shall expire on the earlier of (A) the expiration date set forth in the Incentive Agreement for such </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">; or (B) the e</font><font style="display: inline;color:#000000;">xpiration of </font><font style="display: inline;color:#000000;">six </font><font style="display: inline;color:#000000;">(</font><font style="display: inline;color:#000000;">6) months</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">after the date of his termination of Employment due to Retirement.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref376526226"></a><a name="_Toc188154760"></a><a name="_Toc229564453"></a><a name="_Toc445112187"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(d)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Disability or Death</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Unless otherwise expressly provided in the Grantee&#x2019;s Incentive Agreement, upon termination of Employment as a result of the Grantee&#x2019;s Disability or death:</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 72pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:26pt;"><font style="display: inline;color:#000000;">(i)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">any non-vested portion of any outstanding </font><font style="display: inline;color:#000000;">SAR </font><font style="display: inline;color:#000000;">Award</font><font style="display: inline;color:#000000;"> shall immediately terminate upon termination of Employment and no further vesting shall occur; and</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 72pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:24pt;"><font style="display: inline;color:#000000;">(ii)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">any vested </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> shall expire on the earlier of either (A)&nbsp;the expiration date set forth in the Incentive Agreement or (B)&nbsp;the one </font><font style="display: inline;color:#000000;">(1) </font><font style="display: inline;color:#000000;">year anniversary date of the Grantee&#x2019;s termination of Employment date.</font><font style="display: inline;color:#000000;"> &nbsp; &nbsp;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154761"></a><a name="_Toc229564454"></a><a name="_Toc445112188"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(e)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Continuation</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Subject to the conditions and limitations of the Plan and </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">A</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">pplicable </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">L</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">aw</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">,</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> in the event that a Grantee ceases to be an Employee, </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Outside Director</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> or Consultant, as applicable, for whatever reason, the Committee and Grantee may mutually agree with respect to any outstanding </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">SAR </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> then held by the Grantee (i)</font><font style="display: inline;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">for an acceleration or other adjustment in any vesting schedule applicable to the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">; (ii) for a continuation of the exercise period following termination for a longer period than is otherwise provided under such </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">; or (iii) to any other change in the terms and conditions of the </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">. &nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">&nbsp;</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">In the event of any such change to an outstanding </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">, a written amendment to the Grantee&#x2019;s Incentive Agreement shall be required.&nbsp;&nbsp;No amendment to a Grantee&#x2019;s </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">Incentive Award</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;"> shall be made to the extent compensation payable pursuant thereto as a result of such amendment would be considered deferred compensation </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">that is </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">not excepted from </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">taxation </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">or penalties </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;font-style:normal;color:#000000;">under Code Section 409A, unless otherwise determined by the Committee.</font></font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">13</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref376524903"></a><a name="_Ref376525958"></a><a name="_Ref376526082"></a><a name="_Toc445112189"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">3.6</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Change in Control</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Notwithstanding any contrary provision in the Plan, in the event of a Change in Control (as defined below),</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">a</font><font style="display: inline;color:#000000;">ll of the SAR Awards then outstanding shall become 100% vested and immediately and fully exercisable</font><font style="display: inline;color:#000000;"> effective of the day immediately preceding the Change in Control date.</font><font style="display: inline;color:#000000;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">For all purposes of this Plan, a &#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">Change in Control</font><font style="display: inline;color:#000000;">&#x201D; of the Company means the occurrence of any one or more of the following events:</font><font style="display: inline;color:#000000;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(a)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">The acquisition by any individual, entity or group (within the meaning of Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;color:#000000;">13(d)(3) or 14(d)(2) of the Exchange Act (a &#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">Person</font><font style="display: inline;color:#000000;">&#x201D;</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;"> as used in this </font><font style="display: inline;text-decoration:underline;color:#000000;">Section&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">3.6</font><font style="display: inline;color:#000000;"> only)</font><font style="display: inline;color:#000000;">) of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of fifty percent (50%) or more of either (i) the then outstanding </font><font style="display: inline;color:#000000;">share</font><font style="display: inline;color:#000000;">s of common </font><font style="display: inline;color:#000000;">stock</font><font style="display: inline;color:#000000;"> of the Company (the &#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">Outstanding Company </font><font style="display: inline;font-weight:bold;color:#000000;">Stock</font><font style="display: inline;color:#000000;">&#x201D;) or (ii) the combined voting power of the then outstanding voting securities of the Company entitled to vote generally in the election of directors (the &#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">Outstanding Company Voting Securities</font><font style="display: inline;color:#000000;">&#x201D;); provided, however, that the following acquisitions shall not constitute a Change in Control: (i)</font><font style="display: inline;">&nbsp;</font><font style="display: inline;color:#000000;">any acquisition directly from the Company or any Subsidiary, (ii) any acquisition by the Company or any Subsidiary or by any employee benefit plan (or related trust) sponsored or maintained by the Company or any Subsidiary, or (iii) any acquisition by any corporation pursuant to a reorganization, merger, consolidation or similar business combination involving the Company (a &#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">Merger</font><font style="display: inline;color:#000000;">&#x201D;), if, following such Merger, the conditions described in </font><font style="display: inline;text-decoration:underline;color:#000000;">Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">3.6(c)</font><font style="display: inline;color:#000000;"> (below) are satisfied;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(b)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Individuals who, as of the Effective Date, constitute the Board of Directors of the Company (the &#x201C;</font><font style="display: inline;font-weight:bold;color:#000000;">Incumbent Board</font><font style="display: inline;color:#000000;">&#x201D;) cease for any reason to constitute at least a majority of the Board; provided, however, that any individual becoming a director subsequent to the Effective Date whose election, or nomination for election by the Company&#x2019;s </font><font style="display: inline;color:#000000;">shareholder</font><font style="display: inline;color:#000000;">s, was approved by a vote of at least a majority of the directors then comprising the Incumbent Board shall be considered a member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a result of either an actual or threatened election contest (as such terms are used in Rule</font><font style="display: inline;">&nbsp;</font><font style="display: inline;color:#000000;">14a-11 of Regulation 14A promulgated under the Exchange Act) or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<a name="_Ref376526301"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(c)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">The consummation </font><font style="display: inline;color:#000000;">of a Merger</font><font style="display: inline;color:#000000;"> involving the Company</font><font style="display: inline;color:#000000;">, unless immediately following such Merger, (i) substantially all of the holders of the Outstanding Company Voting Securities immediately prior to Merger beneficially own, directly or indirectly, more than fifty percent (50%) of the common </font><font style="display: inline;color:#000000;">stock</font><font style="display: inline;color:#000000;"> of the corporation resulting from such Merger (or its parent corporation) in substantially the same proportions as their ownership of Outstanding Company Voting Securities immediately prior to such Merger and (ii) at least a majority of the members of the board of directors of the corporation resulting from such Merger (or its parent corporation) were members of the Incumbent Board at the time of the execution of the initial agreement providing for such Merger;</font><font style="display: inline;color:#000000;">&nbsp;</font></font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">14</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(d)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">The sale, consummation, </font><font style="display: inline;color:#000000;">or other disposition of all or substantially all of the assets of the Company, unless immediately following such sale or other disposition, (i) substantially all of the holders of the Outstanding Company Voting Securities immediately prior to the consummation of such sale or other disposition beneficially own, directly or indirectly, more than fifty percent (50%) of the common </font><font style="display: inline;color:#000000;">stock</font><font style="display: inline;color:#000000;"> of the corporation acquiring such assets in substantially the same proportions as their ownership of Outstanding Company Voting Securities immediately prior to the consummation of such sale or disposition, and (ii) at least a majority of the members of the board of directors of such corporation (or its parent corporation) were members of the Incumbent Board at the time of execution of the initial agreement or action of the Board providing for such sale or other disposition of assets of the Company</font><font style="display: inline;color:#000000;">; or</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:23pt;"><font style="display: inline;color:#000000;">(e)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">The approval by the </font><font style="display: inline;color:#000000;">shareholders </font><font style="display: inline;color:#000000;">of the Company or the Board of a plan for the complete liquidation or dissolution of the Company.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">In the event that any acceleration of vesting </font><font style="display: inline;color:#000000;">of</font><font style="display: inline;color:#000000;"> an </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> in connection with a Change </font><font style="display: inline;color:#000000;">in</font><font style="display: inline;color:#000000;"> Control would subject a Grantee to any excise tax pursuant to </font><font style="display: inline;color:#000000;">Code Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;color:#000000;">4999</font><font style="display: inline;color:#000000;"> (which excise tax would be the Grantee&#x2019;s obligation) due to the characterization of such acceleration of vesting, payment or benefit as an &#x201C;excess parachute payment&#x201D; under </font><font style="display: inline;color:#000000;">Code Section 280G</font><font style="display: inline;color:#000000;">, the Grantee may elect, in his sole discretion, to reduce the amount </font><font style="display: inline;color:#000000;">resulting from </font><font style="display: inline;color:#000000;">any </font><font style="display: inline;color:#000000;">such </font><font style="display: inline;color:#000000;">acceleration of vesting under </font><font style="display: inline;color:#000000;">the</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> in order to avoid such characterization.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref376526349"></a><a name="_Toc188154763"></a><a name="_Toc229564456"></a><a name="_Toc445112190"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">3.7</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Exchange of </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="font-size:12pt;display: inline;color:#000000;">T</font><font style="font-size:12pt;display: inline;color:#000000;">he Committee may, in its discretion, grant </font><font style="font-size:12pt;display: inline;color:#000000;">Incentive Award</font><font style="font-size:12pt;display: inline;color:#000000;">s to Grantees on the condition that such Grantees surrender to the Committee for cancellation such other </font><font style="font-size:12pt;display: inline;color:#000000;">Incentive Award</font><font style="font-size:12pt;display: inline;color:#000000;">s (including, without limitation, </font><font style="font-size:12pt;display: inline;color:#000000;">Incentive Award</font><font style="font-size:12pt;display: inline;color:#000000;">s with higher</font><font style="font-size:12pt;display: inline;color:#000000;"> SAR</font><font style="font-size:12pt;display: inline;color:#000000;">&nbsp;</font><font style="font-size:12pt;display: inline;color:#000000;">P</font><font style="font-size:12pt;display: inline;color:#000000;">rices) as the Committee directs.&nbsp;&nbsp;No surrender of </font><font style="font-size:12pt;display: inline;color:#000000;">Incentive Award</font><font style="font-size:12pt;display: inline;color:#000000;">s shall be made under this </font><font style="font-size:12pt;display: inline;text-decoration:underline;color:#000000;">Section&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">3.7</font><font style="font-size:12pt;display: inline;color:#000000;">&nbsp;</font><font style="font-size:12pt;display: inline;color:#000000;">if such surrender causes any </font><font style="font-size:12pt;display: inline;color:#000000;">Incentive Award</font><font style="font-size:12pt;display: inline;color:#000000;"> to provide for the deferral of compensation in a manner that is subject to taxation </font><font style="font-size:12pt;display: inline;color:#000000;">or penalties </font><font style="font-size:12pt;display: inline;color:#000000;">under </font><font style="font-size:12pt;display: inline;color:#000000;">Code Section 409A</font><font style="font-size:12pt;display: inline;color:#000000;">, unless otherwise determined by the Committee.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:center;text-decoration:underline;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;text-decoration:none;">Section 4.</font><br /><font style="display: inline;color:#000000;"></font><br /><font style="display: inline;color:#000000;"></font><a name="_Toc188154764"></a><a name="_Toc229564458"></a><a name="_Toc445112191"></a><font style="display: inline;color:#000000;">GENERAL</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154765"></a><a name="_Toc229564459"></a><a name="_Toc445112192"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">4.1</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Effective Date and Grant Period</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The Plan shall be effective upon the Effective Date</font><font style="display: inline;color:#000000;">.&nbsp; </font><font style="display: inline;color:#000000;">No </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s may be granted under the Plan on or after the date which is ten (10) years following the Effective Date</font><font style="display: inline;color:#000000;">.&nbsp; </font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154766"></a><a name="_Toc229564460"></a><a name="_Toc445112193"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">4.2</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Funding and Liability of Company</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">No provision of the Plan shall require the Company, for the purpose of satisfying any obligations under the Plan, to purchase assets or place any assets in a trust or other entity to which contributions are made, or otherwise to segregate any assets.</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;"> In addition, the Company shall not be required to maintain separate bank accounts, books, records or other evidence of the </font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">15</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt"><font style="display: inline;">existence of a segregated or separately maintained or administered fund for purposes of the Plan. </font><font style="display: inline;">&nbsp;</font><font style="display: inline;">Any liability or obligation of the Company to any Grantee with respect to an </font><font style="display: inline;">Incentive Award</font><font style="display: inline;"> shall be based solely upon any contractual obligations that may be created by this Plan and any Incentive Agreement, and no such liability or obligation of the Company shall be deemed to be secured by any pledge or other encumbrance on any property of the Company.&nbsp; </font><font style="display: inline;">None of the</font><font style="display: inline;"> Company, </font><font style="display: inline;">any </font><font style="display: inline;">Affiliate, </font><font style="display: inline;">the Board or the </font><font style="display: inline;">Committee shall be required to give any security or bond for the performance of any obligation that may be created by the Plan.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref376525770"></a><a name="_Toc188154767"></a><a name="_Toc229564461"></a><a name="_Toc445112194"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">4.3</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Withholding Taxes</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The Company or any Affiliate is authorized to </font><font style="display: inline;color:#000000;">(a) </font><font style="display: inline;color:#000000;">withhold from any payment due under </font><font style="display: inline;color:#000000;">an</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;"> or from any compensation or other amount owing to a Grantee</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;"> the </font><font style="display: inline;color:#000000;">cash </font><font style="display: inline;color:#000000;">amount of any applicable withholding taxes with respect to </font><font style="display: inline;color:#000000;">exercise of the</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> under the Plan, and </font><font style="display: inline;color:#000000;">(b)</font><font style="display: inline;color:#000000;"> take any other action </font><font style="display: inline;color:#000000;">that is </font><font style="display: inline;color:#000000;">deemed to be </font><font style="display: inline;color:#000000;">necessary</font><font style="display: inline;color:#000000;"> or appropriate</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;"> in the </font><font style="display: inline;color:#000000;">goo</font><font style="display: inline;color:#000000;">d &nbsp;</font><font style="display: inline;color:#000000;">faith </font><font style="display: inline;color:#000000;">opinion of the Company or Affiliate</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;"> to satisfy all obligations for the payment of taxes.&nbsp; </font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154771"></a><a name="_Toc229564466"></a><a name="_Toc445112195"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">4.4</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">No Guarantee of Tax Consequences</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">None of the Company, any Affiliate, the Board or the Committee</font><font style="display: inline;color:#000000;"> make</font><font style="display: inline;color:#000000;">s</font><font style="display: inline;color:#000000;"> any commitment or guarantee that any </font><font style="display: inline;color:#000000;">United States </font><font style="display: inline;color:#000000;">federal, state, local</font><font style="display: inline;color:#000000;">, &nbsp;</font><font style="display: inline;color:#000000;">or foreign tax treatment will apply or be available to any </font><font style="display: inline;color:#000000;">Person </font><font style="display: inline;color:#000000;">participating or eligible to participate hereunder.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Neither the Company, any Affiliate, the Board, nor the Committee shall be liable to any </font><font style="display: inline;color:#000000;">Grantee </font><font style="display: inline;color:#000000;">or any other </font><font style="display: inline;color:#000000;">Person </font><font style="display: inline;color:#000000;">as to any </font><font style="display: inline;color:#000000;">expected or realized </font><font style="display: inline;color:#000000;">tax consequences </font><font style="display: inline;color:#000000;">for any </font><font style="display: inline;color:#000000;">Grantee </font><font style="display: inline;color:#000000;">or other </font><font style="display: inline;color:#000000;">Person </font><font style="display: inline;color:#000000;">due to the grant, exercise, vesting, or other taxable event involving any </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154772"></a><a name="_Toc229564467"></a><a name="_Toc445112196"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">4.5</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Designation of Beneficiary by </font><font style="display: inline;color:#000000;">Grantee</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Each Grantee may, from time to time, name any beneficiary or beneficiaries (who may be named contingently or successively) to whom any benefit under the Plan is to be paid in case of his death before he receives any or all of such benefit. </font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">Each such designation shall revoke all prior designations by the same Grantee, shall be in a form prescribed by the Committee, and will be effective only when filed by the Grantee in writing with the Committee (or its delegate), and received and accepted during the Grantee&#x2019;s lifetime.&nbsp;&nbsp;In the absence of any such designation, benefits remaining unpaid at the Grantee&#x2019;s death shall be paid to the Grantee&#x2019;s estate.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154774"></a><a name="_Toc229564469"></a><a name="_Ref376524869"></a><a name="_Ref376525331"></a><a name="_Ref376526475"></a><a name="_Toc445112197"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">4.6</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Amendment and Termination</font><font style="display: inline;color:#000000;"> of Plan</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The Board </font><font style="display: inline;color:#000000;">and the Committee </font><font style="display: inline;color:#000000;">shall </font><font style="display: inline;color:#000000;">each </font><font style="display: inline;color:#000000;">have the power and authority to terminate or amend the Plan at any time in its discretion</font><font style="display: inline;color:#000000;">.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Subject to the provisions of </font><font style="display: inline;color:#000000;">the last paragraph of this </font><font style="display: inline;text-decoration:underline;color:#000000;">Section&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">4.6</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;"> no amendment, modification, suspension, discontinuance or termination of the Plan shall impair the rights of any </font><font style="display: inline;color:#000000;">Grantee </font><font style="display: inline;color:#000000;">under any </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> previously granted under the Plan without such </font><font style="display: inline;color:#000000;">Grantee</font><font style="display: inline;color:#000000;">&#x2019;</font><font style="display: inline;color:#000000;">s &nbsp;</font><font style="display: inline;color:#000000;">consent</font><font style="display: inline;color:#000000;">;</font><font style="display: inline;color:#000000;"> provided</font><font style="display: inline;color:#000000;">, however, </font><font style="display: inline;color:#000000;">such consent shall not be required with respect to any Plan amendment, modification or other such action if the Committee determines</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;"> in its sole discretion</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;">&nbsp;</font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">16</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt"><font style="display: inline;">that such amendment, modification or other such action is not reasonably likely to significantly reduce or diminish the benefits provided to the </font><font style="display: inline;">Grantee </font><font style="display: inline;">under such </font><font style="display: inline;">Incentive Award</font><font style="display: inline;">. &nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">Notwithstanding any other provision of the Plan or any </font><font style="display: inline;">Incentive </font><font style="display: inline;">Agreement to the contrary, the Committee may, in its sole discretion and without the consent of any </font><font style="display: inline;">Grantee</font><font style="display: inline;">, amend the Plan </font><font style="display: inline;">and</font><font style="display: inline;"> any </font><font style="display: inline;">Incentive </font><font style="display: inline;">Agreement, to take effect retroactively or otherwise, as it deems </font><font style="display: inline;">to be </font><font style="display: inline;">necessary </font><font style="display: inline;">or appropriate </font><font style="display: inline;">in order for the Company, the Plan, or </font><font style="display: inline;">the</font><font style="display: inline;">&nbsp;</font><font style="display: inline;">Incentive </font><font style="display: inline;">Agreemen</font><font style="display: inline;">t to satisfy or conform to any Applicable L</font><font style="display: inline;">aw, or to meet the requirements of any </font><font style="display: inline;">applicable </font><font style="display: inline;">accounting standard. </font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154775"></a><a name="_Toc229564470"></a><a name="_Toc445112198"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">4.7</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Requirements of </font><font style="display: inline;color:#000000;">Applicable </font><font style="display: inline;color:#000000;">Law</font><a name="_Toc188154776"></a><a name="_Toc229564471"></a><font style="display: inline;color:#000000;">s</font><font style="display: inline;color:#000000;">&nbsp;</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The granting of </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s under the Plan shall be subject to all </font><font style="display: inline;color:#000000;">A</font><font style="display: inline;color:#000000;">pplicable </font><font style="display: inline;color:#000000;">L</font><font style="display: inline;color:#000000;">aws</font><font style="display: inline;color:#000000;">. &nbsp;</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">Notwithstanding any provisions in the Plan to the contrary, any portion of the payments and benefits provided under the Plan</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">shall be subject to a clawback or other recovery by the Company to the extent necessary to comply with </font><font style="display: inline;color:#000000;">A</font><font style="display: inline;color:#000000;">pplicable </font><font style="display: inline;color:#000000;">L</font><font style="display: inline;color:#000000;">aw including, without limitation, the requirements of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 or any Securities and Exchange Commission rule, as determined by the Committee.</font><font style="display: inline;color:#000000;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112199"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">4.8</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Treatment for Other Compensation Purposes</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The amount of any compensation received or deemed to be received by a </font><font style="display: inline;color:#000000;">Grantee </font><font style="display: inline;color:#000000;">pursuant to an </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> shall not be deemed part of a </font><font style="display: inline;color:#000000;">Grantee</font><font style="display: inline;color:#000000;">&#x2019;s regular, recurring compensation for purposes of any termination, indemnity or severance pay laws, and shall not be included in or have any effect on the determination of benefits under any other compensation or benefit plan, program or arrangement of the Company or an Affiliate, including any </font><font style="display: inline;color:#000000;">retirement </font><font style="display: inline;color:#000000;">or severance benefits plan, unless </font><font style="display: inline;color:#000000;">otherwise </font><font style="display: inline;color:#000000;">expressly provided by the terms of any such </font><font style="display: inline;color:#000000;">other </font><font style="display: inline;color:#000000;">plan, program or arrangement.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112200"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:22pt;"><font style="display: inline;color:#000000;">4.9</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">No Obligation to Exercise Awards; No Right to Notice of Expiration Date</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The grant of a SAR Award</font><font style="display: inline;color:#000000;"> imposes no obligation upon the </font><font style="display: inline;color:#000000;">Grantee </font><font style="display: inline;color:#000000;">to exercise the </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">.&nbsp;&nbsp;The Company, its Affiliates and the Committee have no obligation to inform a </font><font style="display: inline;color:#000000;">Grantee</font><font style="display: inline;color:#000000;"> of the date on which </font><font style="display: inline;color:#000000;">an outstanding</font><font style="display: inline;color:#000000;"> SAR is no longer exercisable</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;"> except </font><font style="display: inline;color:#000000;">as such expiration </font><font style="display: inline;color:#000000;">date </font><font style="display: inline;color:#000000;">is set forth </font><font style="display: inline;color:#000000;">in the </font><font style="display: inline;color:#000000;">Incentive </font><font style="display: inline;color:#000000;">Agreement</font><font style="display: inline;color:#000000;"> for such SAR Award</font><font style="display: inline;color:#000000;">.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154778"></a><a name="_Toc229564473"></a><a name="_Toc445112201"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:17pt;"><font style="display: inline;color:#000000;">4.10</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Rule 16b-3 Securities Law Compliance for </font><font style="display: inline;color:#000000;">Insider</font><font style="display: inline;color:#000000;">s</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">While </font><font style="display: inline;color:#000000;">the Company is a </font><font style="display: inline;color:#000000;">Publicly Held Corporation</font><font style="display: inline;color:#000000;">, transactions under the Plan with respect to </font><font style="display: inline;color:#000000;">Insider</font><font style="display: inline;color:#000000;">s are intended to comply with all applicable conditions of Rule 16b-3 under the Exchange Act to the extent Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;color:#000000;">16 of the Exchange Act is applicable to the Company. </font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">Any ambiguities or inconsistencies in the construction of an </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> or the Plan shall be interpreted to give effect to such intention, and to the extent any provision of the Plan or action by the Committee fails to so comply, it shall be deemed null and void to the extent permitted by </font><font style="display: inline;color:#000000;">Applicable L</font><font style="display: inline;color:#000000;">aw and deemed advisable by the Committee in its discretion.</font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">17</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154780"></a><a name="_Toc229564475"></a><a name="_Toc445112202"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:17pt;"><font style="display: inline;color:#000000;">4.11</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Compliance with Code Section 409A</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">It is intended that </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s granted under the Plan shall be exempt from, or if not exempt, in compliance with, the applicable requirements to preclude taxation </font><font style="display: inline;color:#000000;">or penalties </font><font style="display: inline;color:#000000;">under Code Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;color:#000000;">409A.&nbsp;&nbsp;In that respect, the Company</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">reserves the right to amend the Plan</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">and any outstanding Incentive Agreement, to the extent deemed necessary or appropriate, in its discretion, either to exempt such </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> from taxation under </font><font style="display: inline;color:#000000;">Code </font><font style="display: inline;color:#000000;">Section 409A or to comply with the requirements of </font><font style="display: inline;color:#000000;">Code </font><font style="display: inline;color:#000000;">Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;color:#000000;">409A </font><font style="display: inline;color:#000000;">in order </font><font style="display: inline;color:#000000;">to preclude taxation </font><font style="display: inline;color:#000000;">or penalties </font><font style="display: inline;color:#000000;">thereunder.&nbsp; </font>
		</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The</font><font style="display: inline;color:#000000;"> Plan is intended to comply, and shall be administered </font><font style="display: inline;color:#000000;">and interpreted </font><font style="display: inline;color:#000000;">consistently</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;"> with </font><font style="display: inline;color:#000000;">Code </font><font style="display: inline;color:#000000;">Section</font><font style="display: inline;">&nbsp;</font><font style="display: inline;color:#000000;">4</font><font style="display: inline;color:#000000;">09A</font><font style="display: inline;color:#000000;"> and the regulations and </font><font style="display: inline;color:#000000;">other authoritative </font><font style="display: inline;color:#000000;">guidance promulgated thereunder</font><font style="display: inline;color:#000000;"> to the extent applicable</font><font style="display: inline;color:#000000;">. &nbsp;</font><font style="display: inline;color:#000000;"> &nbsp;T</font><font style="display: inline;color:#000000;">he Company shall have the authority to take any action, or refrain from taking any action, with respect to th</font><font style="display: inline;color:#000000;">e</font><font style="display: inline;color:#000000;"> Plan or any </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> that </font><font style="display: inline;color:#000000;">it deems to be </font><font style="display: inline;color:#000000;">necessary </font><font style="display: inline;color:#000000;">or appropriate </font><font style="display: inline;color:#000000;">to ensure compliance with </font><font style="display: inline;color:#000000;">Code Section 409A</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">or an exception from the application of Code Section 409A</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">(provided that the Company shall choose the action that best preserves the value of payments and benefits provided to </font><font style="display: inline;color:#000000;">Grantee </font><font style="display: inline;color:#000000;">that is con</font><font style="display: inline;color:#000000;">sistent with Code Section 409A</font><font style="display: inline;color:#000000;">)</font><font style="display: inline;color:#000000;">. &nbsp;</font><font style="display: inline;color:#000000;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Ref433628897"></a><a name="_Toc434935778"></a><a name="_Toc445112203"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:17pt;"><font style="display: inline;color:#000000;">4.12</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Persons Residing Outside of the United States</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Notwithstanding any provision of the Plan to the contrary, in order to comply with the Applicable Laws in other countries in which the Company or any of its Affiliates operates or has Employees, the Committee, in its discretion, shall have the power and authority to (a)&nbsp;determine which Affiliates shall be covered by the Plan; (b) determine which Persons employed outside the United States are eligible to participate in the Plan; (c) amend or vary the terms and provisions of the Plan and the terms and conditions of any </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> granted to Persons who reside outside the United States; (d)&nbsp;establish subplans and modify exercise procedures and terms and procedures to the extent such actions may be necessary or advisable, with any such subplans and modifications to Plan terms and procedures established under this </font><font style="display: inline;text-decoration:underline;color:#000000;">Section&nbsp;</font><font style="display: inline;text-decoration:underline;color:#000000;">4.12</font><font style="display: inline;color:#000000;"> to</font><font style="display: inline;color:#000000;"> be attached to the Plan document as Appendices; and take any action, before or after an </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> is made, that it deems advisable to obtain or comply with any Applicable Laws or regulatory exemptions or approvals.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112204"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:17pt;"><font style="display: inline;color:#000000;">4.13</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">No Restriction on Corporate Action</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">Nothing contained in the Plan shall be construed to prevent the Company or any Affiliate from taking any action which is deemed by the Company or such Affiliate to be appropriate or in its best interest, whether or not such action would have an adverse effect on the Plan or any </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;"> made under the Plan.&nbsp;&nbsp;No Grantee or other Person shall have any claim against the Company, any Affiliate, or the Board or the Committee as a result of any such action.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154785"></a><a name="_Toc229564480"></a><a name="_Toc445112205"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:17pt;"><font style="display: inline;color:#000000;">4.14</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Successors to Company</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">All obligations of the Company under the Plan with respect to </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">s granted hereunder shall be binding on any successor to the Company, whether the existence of such successor is the result of a direct or indirect purchase, merger, consolidation, or otherwise, of all or substantially all of the business and/or assets of the Company.</font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">18</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154786"></a><a name="_Toc229564481"></a><a name="_Toc445112206"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:17pt;"><font style="display: inline;color:#000000;">4.15</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Miscellaneous Provisions</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="display: inline;color:#000000;">(a)</font><font style="display: inline;color:#000000;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">No Service Provider or other Person shall have any claim or right to be granted an Incentive Award under the Plan.&nbsp;&nbsp;Neither the Plan nor any action taken hereunder, shall be construed as giving any Service Provider any right to be retained in the Employment or other service of the Company or any Parent or Subsidiary.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="display: inline;color:#000000;">(b)</font><font style="display: inline;color:#000000;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">The expenses of the Plan shall be borne by the Company.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-align:justify;text-justify:inter-ideograph;text-decoration:none;font-family:Times New Roman;font-weight:normal;font-size: 12pt">
			<font style="display: inline;color:#000000;">(c)</font><font style="display: inline;color:#000000;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">By accepting any </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">, each Grantee and each </font><font style="display: inline;color:#000000;">Person </font><font style="display: inline;color:#000000;">claiming by or through </font><font style="display: inline;color:#000000;">Grantee </font><font style="display: inline;color:#000000;">shall be deemed to have indicated his </font><font style="display: inline;color:#000000;">complete </font><font style="display: inline;color:#000000;">acceptance of </font><font style="display: inline;color:#000000;">all </font><font style="display: inline;color:#000000;">the </font><font style="display: inline;color:#000000;">terms and conditions of the </font><font style="display: inline;color:#000000;">Plan</font><font style="display: inline;color:#000000;"> and the Incentive Agreement</font><font style="display: inline;color:#000000;">.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154787"></a><a name="_Toc229564482"></a><a name="_Toc445112207"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:17pt;"><font style="display: inline;color:#000000;">4.16</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Severability</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">If any provision of the Plan or any </font><font style="display: inline;color:#000000;">Incentive</font><font style="display: inline;color:#000000;"> Agreement</font><font style="display: inline;color:#000000;"> is or becomes or is deemed to be invalid, illegal, or unenforceable in any jurisdiction as to any Person or </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">, or would disqualify the Plan or </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">under any </font><font style="display: inline;color:#000000;">A</font><font style="display: inline;color:#000000;">pplicable </font><font style="display: inline;color:#000000;">Law</font><font style="display: inline;color:#000000;">, such provision shall be </font><font style="display: inline;color:#000000;">(a)&nbsp;</font><font style="display: inline;color:#000000;">construed o</font><font style="display: inline;color:#000000;">r deemed amended to conform to A</font><font style="display: inline;color:#000000;">pplicable </font><font style="display: inline;color:#000000;">L</font><font style="display: inline;color:#000000;">aw or </font><font style="display: inline;color:#000000;">(b)&nbsp;</font><font style="display: inline;color:#000000;">if it cannot be construed or deemed amended without, in the determination of the Committee, materially altering the intent of the Plan or the </font><font style="display: inline;color:#000000;">Incentive Award</font><font style="display: inline;color:#000000;">, such provision shall be stricken as to such jurisdiction, Person or </font><font style="display: inline;color:#000000;">Incentive</font><font style="display: inline;color:#000000;"> Agreement</font><font style="display: inline;color:#000000;">,</font><font style="display: inline;color:#000000;"> and </font><font style="display: inline;color:#000000;">thereafter </font><font style="display: inline;color:#000000;">the remainder of the Plan and any such </font><font style="display: inline;color:#000000;">Incentive</font><font style="display: inline;color:#000000;"> Agreement</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">shall remain in full force and effect.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc445112208"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:17pt;"><font style="display: inline;color:#000000;">4.17</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Rules of Construction</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The section and other headings contained in the Plan are for reference purposes only and shall not affect the meaning or interpretation of the Plan. Unless the context clearly requires otherwise: (a) </font><font style="display: inline;color:#000000;">words of the masculine gender used herein shall </font><font style="display: inline;color:#000000;">include the feminine and neuter;</font><font style="display: inline;color:#000000;"> (b)&nbsp;</font><font style="display: inline;color:#000000;">references to the plural include the singular and to the singular include the plural; (</font><font style="display: inline;color:#000000;">c</font><font style="display: inline;color:#000000;">) the terms &#x201C;includes&#x201D; and &#x201C;including&#x201D; are not limiting; (</font><font style="display: inline;color:#000000;">d</font><font style="display: inline;color:#000000;">) the term &#x201C;or&#x201D; has the inclusive meaning represented by the phrase &#x201C;and/or&#x201D;; and (</font><font style="display: inline;color:#000000;">e</font><font style="display: inline;color:#000000;">) any grammatical form or variant of a term defined in the Plan shall be construed to have a meaning corresponding to the definition of the term set forth herein. The terms &#x201C;hereof,&#x201D; &#x201C;hereto,&#x201D; &#x201C;hereunder&#x201D; and similar terms in the Plan refer to the Plan as a whole and not to any particular provision of the Plan.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-align:left;text-decoration:none;font-weight:bold;font-family:Times New Roman;font-size: 12pt">
			<a name="_Toc188154789"></a><a name="_Toc229564484"></a><a name="_Toc445112209"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:17pt;"><font style="display: inline;color:#000000;">4.18</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;color:#000000;"></font><font style="display: inline;color:#000000;">Governing Law</font></font>
		</p>
		<p style="margin:0pt 0pt 24pt;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The Plan shall be interpreted, construed and constructed in accordance with the laws of the State of</font><font style="display: inline;color:#000000;"> Texas</font><font style="display: inline;color:#000000;">&nbsp;</font><font style="display: inline;color:#000000;">without regard to its conflicts of law provisions, except as may be superseded by </font><font style="display: inline;color:#000000;">A</font><font style="display: inline;color:#000000;">pplicable </font><font style="display: inline;color:#000000;">L</font><font style="display: inline;color:#000000;">aws of the United States.</font>
		</p>
		<p style="margin:0pt 0pt 24pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			&nbsp;
		</p></div><div style="margin-left:72pt;margin-right:72pt;">
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">

		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">19</font></font>

		</p>

</div><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;border-top:1pt none #D9D9D9 ;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;;font-size: 12pt"><font style="display: inline;">IN WITNESS WHEREOF, the Company has caused this Plan to be duly executed</font><font style="display: inline;">,</font><font style="display: inline;"> in its name and on its behalf by its duly </font><font style="display: inline;">Authorized Officer</font><font style="display: inline;">, on this </font><font style="display: inline;">10</font><font style="display: inline;font-size:6pt;top:-4pt;position:relative;line-height:100%">th</font><font style="display: inline;">&nbsp;</font><font style="display: inline;">day of</font><font style="display: inline;">&nbsp;</font><font style="display: inline;">March</font><font style="display: inline;">&nbsp;</font><font style="display: inline;">201</font><font style="display: inline;">6</font><font style="display: inline;">, to be effective as of the Effective Date.</font>
		</p>
		<p style="margin:0pt;line-height:normal;font-family:Times New Roman;font-size: 10pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;margin-left:216pt;">
			<tr>
				<td valign="top" style="width:478.80pt;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;height:1.00pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:normal;font-family:Times New Roman;height:1.00pt;overflow:hidden;font-size:0pt;">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:478.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;text-decoration:none;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;font-weight:bold;text-decoration:none;">VAALCO Energy, Inc. </font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:478.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;text-decoration:underline;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:478.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;text-decoration:underline;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:478.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;border-bottom:1pt none #D9D9D9 ;text-decoration:underline;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">By:</font><font style="display: inline;">&nbsp;</font><font style="display: inline;">/s/ Steven P. Guidry</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:478.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;text-decoration:underline;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:478.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;border-bottom:1pt none #D9D9D9 ;text-decoration:underline;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Name:</font><font style="display: inline;"> &nbsp; &nbsp;</font><font style="display: inline;">Steven P. Guidry</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:478.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;text-decoration:underline;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:478.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;border-bottom:1pt none #D9D9D9 ;text-decoration:underline;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Title:</font><font style="display: inline;"> &nbsp; &nbsp;</font><font style="display: inline;">Chief Executive Officer</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;width:478.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;text-decoration:underline;font-family:Times New Roman;font-size: 10pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
		</table></div>
		<p style="margin:0pt;line-height:normal;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p><font size="1"> </font></p><div style="width:100%">

		<p style="margin:0pt;font-family:Times New Roman;font-size: 12pt">

			<a name="docnum"></a><font style="text-indent:0pt;margin-left:0pt; padding-right:232pt;"></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:center"><font style="display: inline;"></font><font style="display: inline;font-size:10pt;">1</font></font>

		</p>

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</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10.2
<SEQUENCE>3
<FILENAME>egy-20160315ex102d3e7f9.htm
<DESCRIPTION>EX-10.2
<TEXT>
<!--HTML document created with Certent Powered by Crossfire 5.17.1.24-->
<!--Created on: 3/15/2016 1:57:46 PM-->
<html>
	<head>
		<title>
			Exhibit 10.2
		</title>
	</head>
	<body><div style="margin-left:72pt;margin-right:72pt;">
		<p style="margin:0pt;text-align:center;line-height:100%;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<a name="_GoBack"></a><font style="display: inline;font-weight:bold;">STOCK APPRECIATION RIGHTS AWARD AGREEMENT</font><br /><font style="display: inline;font-weight:bold;"></font>
		</p>
		<p style="margin:0pt;line-height:normal;text-align:center;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;text-align:center;line-height:100%;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">VAALCO ENERGY, INC.</font>
		</p>
		<p style="margin:0pt;text-align:center;line-height:100%;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">2016 STOCK APPRECIATION RIGHTS PLAN</font><br /><font style="display: inline;font-weight:bold;"></font>
		</p>
		<p style="margin:0pt;text-align:center;line-height:100%;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;font-style:italic;">Grantee:</font><font style="display: inline;font-weight:bold;"> _______________________</font>
		</p>
		<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;text-indent:36pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">1.</font><font style="display: inline;font-weight:bold;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 28.8pt 0pt 0pt;"></font><font style="display: inline;font-weight:bold;"></font><font style="display: inline;font-weight:bold;">Grant of Stock Appreciation Rights. </font><font style="display: inline;">As of the </font><font style="display: inline;font-weight:bold;">Grant Date</font><font style="display: inline;"> (identified in </font><font style="display: inline;">Section 16 </font><font style="display: inline;">below), VAALCO Energy, Inc., a Delaware corporation (the &#x201C;</font><font style="display: inline;font-weight:bold;">Company</font><font style="display: inline;">&#x201D;) hereby grants a Stock Appreciation Rights Award (the &#x201C;</font><font style="display: inline;font-weight:bold;">SAR Award</font><font style="display: inline;">&#x201D;) to the </font><font style="display: inline;font-weight:bold;">Grantee</font><font style="display: inline;"> (identified above), an Employee of the Company, to exercise the Stock Appreciation Rights (&#x201C;</font><font style="display: inline;font-weight:bold;">SARs</font><font style="display: inline;">&#x201D;) subject to the SAR Award for the number of shares of the Company&#x2019;s common stock, $.10 par value per share (the &#x201C;</font><font style="display: inline;font-weight:bold;">Common Stock</font><font style="display: inline;">&#x201D;), as identified in </font><font style="display: inline;">Section 16</font><font style="display: inline;"> (the &#x201C;</font><font style="display: inline;font-weight:bold;">Shares</font><font style="display: inline;">&#x201D;).&nbsp;&nbsp;This SAR Award is subject to the terms and conditions of this agreement (the &#x201C;</font><font style="display: inline;font-weight:bold;">Agreement</font><font style="display: inline;">&#x201D;) and the VAALCO Energy, Inc. 2016 Stock Appreciation Rights Plan (the &#x201C;</font><font style="display: inline;font-weight:bold;">Plan</font><font style="display: inline;">&#x201D;).&nbsp;&nbsp;The Plan is hereby incorporated herein in its entirety by reference.</font>
		</p>
		<p style="margin:0pt;line-height:normal;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;text-indent:36pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">2.</font><font style="display: inline;font-weight:bold;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 28.8pt 0pt 0pt;"></font><font style="display: inline;font-weight:bold;"></font><font style="display: inline;font-weight:bold;">Definitions</font><font style="display: inline;">.</font><font style="display: inline;"> &nbsp; &nbsp;</font><font style="display: inline;">All capitalized terms used herein shall have the meanings set forth in the Plan unless otherwise provided herein. </font><font style="display: inline;">Section 16 </font><font style="display: inline;">sets forth definitions for certain of the capitalized terms used in this Agreement.</font><a name="_Ref318373640"></a>
		</p>
		<p style="margin:0pt;line-height:normal;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;text-indent:36pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">3.</font><font style="display: inline;font-weight:bold;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 28.8pt 0pt 0pt;"></font><font style="display: inline;font-weight:bold;"></font><font style="display: inline;font-weight:bold;">SAR Term</font><font style="display: inline;">.&nbsp; </font><font style="display: inline;">The SAR Award shall commence on the Grant Date (identified in </font><font style="display: inline;">Section 19 </font><font style="display: inline;">below) and terminate on the fifth (5th) anniversary of the Grant Date as specified in </font><font style="display: inline;">Section 16</font><font style="display: inline;">.&nbsp;&nbsp;The period during which the SAR Award is in effect and may be exercised is referred to herein as the </font><font style="display: inline;">&#x201C;SAR Period&#x201D;</font><font style="display: inline;">.</font>
		</p>
		<p style="margin:0pt;line-height:normal;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;text-indent:36pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">4.</font><font style="display: inline;font-weight:bold;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 28.8pt 0pt 0pt;"></font><font style="display: inline;font-weight:bold;"></font><font style="display: inline;font-weight:bold;">SAR Price</font><font style="display: inline;">.</font><font style="display: inline;"> &nbsp; &nbsp;</font><font style="display: inline;">The SAR Price per Share is identified in </font><font style="display: inline;">Section 16</font><font style="display: inline;">.</font>
		</p>
		<p style="margin:0pt;line-height:normal;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;text-indent:36pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">5.</font><font style="display: inline;font-weight:bold;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 28.8pt 0pt 0pt;"></font><font style="display: inline;font-weight:bold;"></font><font style="display: inline;font-weight:bold;">Vesting</font><font style="display: inline;">.</font><font style="display: inline;"> &nbsp; &nbsp;</font><font style="display: inline;">The total number of Shares subject to this SAR shall vest in accordance with the vesting schedule described in </font><font style="display: inline;">Section 16 </font><font style="display: inline;">(the &#x201C;</font><font style="display: inline;">Vesting Schedule&#x201D;)</font><font style="display: inline;">.&nbsp;&nbsp;The SARs may be exercised at any time after they become vested, in whole or in part, during the SAR Period.&nbsp;&nbsp;The right of exercise provided herein shall be cumulative so that if the SAR Award is not exercised to the maximum extent permissible after vesting, the vested portion of the SAR Award that has not been exercised shall remain exercisable, in whole or in part, at any time during the SAR Period subject to Section 8. </font>
		</p>
		<p style="margin:0pt;line-height:normal;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;text-indent:36pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;font-weight:bold;">6.</font><font style="display: inline;font-weight:bold;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 28.8pt 0pt 0pt;"></font><font style="display: inline;font-weight:bold;"></font><font style="display: inline;font-weight:bold;">Method of Exercise</font><font style="display: inline;">.</font>
		</p>
		<p style="margin:0pt;line-height:normal;text-indent:36pt;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(a)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Stock SAR Exercise Agreement</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;To exercise a SAR, the Grantee (or in the case of exercise after Grantee&#x2019;s death or incapacity, the Grantee&#x2019;s executor, administrator, heir or legal representative, as the case may be) must deliver an executed stock SAR exercise agreement on the form provided by the Company (the &#x201C;</font><font style="display: inline;font-family:Times New Roman;font-weight:bold;color:#000000;">Exercise Agreement</font><font style="display: inline;font-family:Times New Roman;color:#000000;">&#x201D;) to the Company at least one business day before the proposed exercise date.&nbsp;&nbsp;The Exercise Agreement sets forth the Grantee&#x2019;s election to exercise the SAR Award and the number of vested SARs being exercised.&nbsp;&nbsp;If someone other than Grantee </font>
		</p>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt"><font style="display: inline;font-family:Times New Roman;color:#000000;">exercises the SAR, then such Person must submit documentation reasonably acceptable to the Company verifying that such Person has the legal right to exercise the SAR.&nbsp;&nbsp;The Grantee may withdraw notice of exercise of the SAR in a writing directed to the Company that is received by the Company prior to the close of business on the business day that immediately precedes the proposed exercise date.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(b)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Limitations on Exercise</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;The SAR may not be exercised unless such exercise is in compliance with Applicable Laws, as determined by the Company.&nbsp;&nbsp;The SAR may not be exercised for fewer than one Share or for a fractional Share, unless the entire remaining vested SARs subject to the SAR Award are being exercised, which exercise includes a fractional Share.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;text-decoration:none;color:#000000;font-family:Calibri;font-weight:bold;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">7.</font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 28.8pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">Payment for SARs upon Exercise</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;"> &nbsp;Upon exercise of the SAR Award during the SAR Period, the Grantee (or other Person with the right to exercise the SAR) will be entitled to receive payment of an amount determined by multiplying the Spread (described below) by the number of vested SARs as to which the SAR Award has been exercised, less applicable tax and any other required withholdings.&nbsp;&nbsp;The amount due shall be payable by the Company in a cash lump sum payment within ten (10) calendar days after the exercise date.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;color:#000000;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;color:#000000;">The term &#x201C;Spread&#x201D; means the difference in U. S. dollars between the SAR Price on the Grant Date as specified in </font><font style="display: inline;color:#000000;">Section 16</font><font style="display: inline;color:#000000;">, and the Fair Market Value of one Share of Common Stock on the exercise date of the vested SAR.&nbsp;&nbsp;The maximum gross amount of any cash payment payable upon exercise of a vested SAR (before tax withholdings) is limited to </font><font style="display: inline;color:#000000;">_______ percent (___</font><font style="display: inline;color:#000000;">%) of the SAR Price of the exercised SAR on its Grant Date.&nbsp;&nbsp;Any amount</font><font style="display: inline;color:#000000;"> of Spread in excess of this ___</font><font style="display: inline;color:#000000;">% limit shall be disregarded and not payable to Grantee or any other Person as of the exercise date or any future date.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-family:Calibri;font-weight:bold;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:26pt;"><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">8.</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:num"><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">Termination of Employment</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">Voluntary or involuntary termination of Employment shall affect Grantee&#x2019;s rights</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;"> under the SAR as follows:</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-decoration:none;font-family:Calibri;font-weight:bold;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;"><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">(a)</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;font-weight:normal;color:#000000;">Termination for Cause.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">The entire SAR Award, including any vested portion thereof, shall expire and terminate on the date of termination of Employment and shall not be exercisable to any extent if Grantee&#x2019;s Employment is terminated for Cause (as defined in the Plan at the time of such termination of Employment) effective as of 12:01 a.m. (CST) on the date of such termination</font><font style="display: inline;font-weight:normal;text-decoration:none;color:#000000;">.</font></font>
		</p>
		<div style="width:100%"><table style="width:100%;" cellpadding="0" cellspacing="0"><tr><td style="width:36pt;"><p style="width:36pt;font-size:0pt;"></p></td><td valign="top" align="left" style="width: 100%;text-indent:36pt; display: inline;">
			<p style="border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt;margin:0pt 0pt 12pt;">
				<font style="margin:0pt 0pt 12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;text-decoration:none;color:#000000;text-decoration:none;border-bottom:1pt none #D9D9D9;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size:12pt;;;padding:0pt 23pt 0pt 0pt;"> (a)</font>
			<font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Retirement</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;In the event of Grantee&#x2019;s Retirement at or after attaining (i)&nbsp;age 65 and (ii)&nbsp;at least ten (10) years of Employment service, all of the SARs subject to the SAR Award shall automatically become 100% vested as of the date of termination of Employment without regard to the Vesting Schedule.&nbsp;&nbsp;Upon termination of Employment due to the Grantee&#x2019;s Retirement at or after attaining age 65 but without ten (10) years of Employment service, any non-vested portion of the SAR Award shall immediately terminate and no further vesting shall occur.&nbsp;&nbsp;Any vested portion of the SAR Award to the extent not exercised shall expire on the expiration of six&nbsp;(6) months after the date of termination of Employment due to Retirement; provided, however, in no event may any SAR be exercised by anyone after expiration of the SAR Period. </font></p></td></tr></table></div>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(c)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Death or Disability</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;If Grantee&#x2019;s Employment is terminated due to death or Disability, then (i)&nbsp;any non-vested portion of the SAR shall immediately expire on the termination of Employment date and (ii) any vested portion of the SAR Award to the extent not exercised by Grantee shall expire on the one-year anniversary date of the termination of Employment date or, in the case of death, by the Person or Persons to whom Grantee&#x2019;s rights under the SAR Award have passed by will or by the laws of descent and distribution or, in the case of Disability, by Grantee or Grantee&#x2019;s legal representative; provided, however, in no event may any SAR be exercised by anyone after expiration of the SAR Period.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(d)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Other Involuntary Termination or Voluntary Termination</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;If Grantee&#x2019;s Employment is terminated for whatever reason, or Grantee resigns for any reason, either voluntarily or involuntarily, except for Cause, Retirement, death or Disability as set out above, then (i)&nbsp; any non-vested portion of the SAR Award shall immediately</font><font style="display: inline;font-family:Times New Roman;color:#000000;"> expire on the termination of Employment date and (ii)&nbsp;any vested portion of the SAR Award to the extent not exercised shall expire one hundred twenty (120) days after such termination date; provided, however, in no event may any SAR be exercised by anyone after expiration of the SAR Period.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-family:Calibri;font-weight:bold;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">9.</font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 28.8pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">Independent Legal and Tax Advice</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;"> &nbsp;Grantee acknowledges that the Company has advised Grantee to obtain independent legal and tax advice regarding the grant and exercise of any SAR.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-family:Calibri;font-weight:bold;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="text-indent:0pt;margin-left:0pt; padding-right:17.5pt;"><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">10.</font></font><font style="text-indent:0pt;margin-left:0pt; padding-right:4pt;text-align:left"><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">Reorganization of Company</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;"> &nbsp;The</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;"> existence of the SAR shall not affect in any way the right or power of the Company or its shareholders to make or authorize any or all adjustments, recapitalizations, reorganizations or other changes in Company&#x2019;s capital structure or its business, or any merger or consolidation of the Company, or any issue of bonds, debentures, preferred or prior preference stock ahead of or affecting the Shares or the rights thereof, or the dissolution or liquidation of the Company, or any sale or transfer of al</font><font style="display: inline;font-weight:normal;text-decoration:none;color:#000000;">l or </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">any part of its assets or business, or any other corporate act or proceeding, whether of a similar character or otherwise.</font></font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-family:Calibri;font-weight:bold;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">11.</font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">Adjustment of Shares</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">.&nbsp; </font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">In the event of stock dividends, spin-offs of assets or other extraordinary dividends, stock splits, combinations of shares, recapitalizations, mergers, consolidations, reorganizations, liquidations, issuances of rights or warrants and similar transactions or events involving Company, appropriate adjustments may be made to the terms and provisions of the SAR as provided in the Plan.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-family:Calibri;font-weight:bold;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">12.</font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">No Guarantee of Employment</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;"> &nbsp;The SAR Award shall not confer upon Grantee any right to continued Employment (or any other relationship) with the Company or any affiliate thereof.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-family:Calibri;font-weight:bold;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">13.</font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">Grantee Confidentiality Obligations</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">.&nbsp;&nbsp;In accepting the SAR Award, Grantee acknowledges that Grantee is obligated under Company&#x2019;s policy and Applicable Laws to protect and safeguard the confidentiality of trade secrets and other proprietary and confidential information belonging to the Company and its affiliates, and that such obligations continue beyond termination of Employment. </font>
		</p>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-family:Calibri;font-weight:bold;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">14.</font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">Withholding of Taxes</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;">.</font><font style="display: inline;font-family:Times New Roman;font-weight:normal;text-decoration:none;color:#000000;"> &nbsp;The Company shall have the right to (a) make deductions from the Spread otherwise deliverable upon exercise of a SAR in an amount sufficient to satisfy withholding of any federal, state or local taxes required by law, and (b) take such other action as may be necessary or appropriate to satisfy any such tax withholding obligations.</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-decoration:none;font-family:Calibri;font-weight:bold;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">15.</font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:none;color:#000000;">General.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(a)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Notices</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;All notices under this Agreement shall be mailed or delivered by hand to the parties at their respective addresses set forth beneath their signatures below or at such other address as may be designated in writing by either of the parties to one another, or to their permitted transferees if applicable.&nbsp;&nbsp;Notices shall be effective upon receipt.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(b)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Transferability of SAR.</font><font style="display: inline;font-family:Times New Roman;color:#000000;"> &nbsp;The SAR Award, or any portion thereof, is transferable only to the extent permitted under the Plan at the time of transfer (i) by will or by the laws of descent and distribution, or (ii) by a qualified domestic relations order (as defined in Section 414(p) of the Internal Revenue Code).&nbsp;&nbsp;No right or benefit hereunder shall in any manner be liable for or subject to any debts, contracts, liabilities, obligations or torts of Grantee or any permitted transferee thereof.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(c)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Amendment and Termination</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;Subject to the terms of the Plan, no amendment, modification or termination of this Agreement shall be made at any time without the written consent of Grantee and Company. </font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(d)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">No Guarantee of Tax Consequences</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;The Company makes no commitment or guarantee that any tax treatment will apply or be available to Grantee or any other person.&nbsp;&nbsp;The Grantee has been advised, and provided with the opportunity, to obtain independent legal and tax advice regarding the grant and exercise of any SAR.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(e)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Severability</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;In the event that any provision of this Agreement shall be held illegal, invalid, or unenforceable for any reason, such provision shall be fully severable, but shall not affect the remaining provisions of the Agreement, and the Agreement shall be construed and enforced as if the illegal, invalid, or unenforceable provision had not been included herein.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(f)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Supersedes Prior Agreements</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;This Agreement shall supersede and replace all prior agreements and understandings, oral or written, between the Company and the Grantee regarding the grant of the SARs covered hereby.&nbsp;&nbsp;Grantee hereby acknowledges and represents that Grantee has not relied on any communications, promises, statements, inducements, or representations, oral or written, by the Company or any other Person, in connection with the Plan or the Agreement except as expressly set forth in this Agreement.</font>
		</p>
		<p style="margin:0pt 0pt 12pt 36pt;text-indent:36pt;border-top:1pt none #D9D9D9 ;text-decoration:none;font-weight:normal;font-family:Calibri;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-size: 12pt">
			<font style="display: inline;font-family:Times New Roman;color:#000000;">(g)</font><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Calibri;text-indent:0pt;margin-left:0pt;padding:0pt 25.2pt 0pt 0pt;"></font><font style="display: inline;font-family:Times New Roman;color:#000000;"></font><font style="display: inline;font-family:Times New Roman;text-decoration:underline;color:#000000;">Governing Law</font><font style="display: inline;font-family:Times New Roman;color:#000000;">.&nbsp;&nbsp;This Agreement shall be construed in accordance with the laws of the State of Texas, without regard to its conflict of law provisions, to the extent federal law does not supersede and preempt Texas law.</font>
		</p>
		<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">

		</p>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;;font-size: 12pt"><font style="display: inline;font-family:Times New Roman;color:#000000;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;font-weight:bold;">16.</font><font style="display: inline;font-weight:bold;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-weight:bold;"></font><font style="display: inline;font-weight:bold;">Definitions and Other Terms.</font><font style="display: inline;"> &nbsp;The following capitalized terms shall have those meanings set forth opposite them:</font>
		</p>
		<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.02%;line-height:100%;margin-bottom:0pt;margin-left:0pt;">
			<tr>
				<td colspan="3" valign="top" style="width:48.72%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;height:1.00pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;height:1.00pt;overflow:hidden;font-size:0pt;">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td valign="top" style="width:48.72%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;height:1.00pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;height:1.00pt;overflow:hidden;font-size:0pt;">
						&nbsp;</p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:32.24%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt 22.5pt;text-indent: -22.5pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">(a)&nbsp;&nbsp;&nbsp;Grantee:</font></p>
				</td>
				<td colspan="4" valign="top" style="width:67.76%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:32.24%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">(b)&nbsp;&nbsp;&nbsp;Grant Date:</font></p>
				</td>
				<td colspan="4" valign="top" style="width:67.76%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:32.24%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt 22.5pt;text-indent: -22.5pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">(c)&nbsp;&nbsp;Number of SARS:</font></p>
				</td>
				<td colspan="4" valign="top" style="width:67.76%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">SARS representing ______________ Shares of the Company&#x2019;s Common Stock.</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:32.24%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt 22.5pt;text-indent: -22.5pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">(d)&nbsp;&nbsp;SAR Price (FMV of the Shares on Grant Date):&nbsp; </font></p>
				</td>
				<td colspan="4" valign="top" style="width:67.76%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">____________($_________) per each SAR,</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:32.24%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">(e) SAR Exercise Period:&nbsp; </font></p>
				</td>
				<td colspan="4" valign="top" style="width:67.76%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Grant Date through the ______ annual anniversary of the Grant Date (until 5:00 p.m. CST)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:32.24%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">(f)&nbsp;&nbsp;SAR Vesting Schedule:&nbsp; </font></p>
				</td>
				<td colspan="4" valign="top" style="width:67.76%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Provided that the Grantee remains in Employment, SARs for </font><font style="display: inline;">_____</font><font style="display: inline;">% of the SARs covered by this Agreement (rounded down to the next whole number of Shares) shall vest on the first anniversary of the Grant Date; SARs for </font><font style="display: inline;">____</font><font style="display: inline;">% of the SARs covered by this Agreement (rounded up to the next whole number of Shares) shall vest on the second anniversary of the Grant Date; and the remaining SARs covered by this Agreement shall vest on the third anniversary of the Grant Date, as follows:</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="width:32.24%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
				<td colspan="4" valign="top" style="width:67.76%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
				</td>
			</tr>
			<tr>
				<td colspan="2" valign="top" style="width:38.70%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;text-decoration:underline;">Date</font></p>
				</td>
				<td colspan="3" valign="top" style="width:61.30%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;text-decoration:underline;">Vested Number of SARs</font></p>
				</td>
			</tr>
			<tr>
				<td colspan="2" valign="top" style="width:38.70%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 6pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">First Anniversary of Grant Date</font></p>
				</td>
				<td colspan="3" valign="top" style="width:61.30%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt"><hr style="border-bottom-style:solid;width:100%;height:1.5pt; ;color:#a0a0a0" align="center"></hr>
				</td>
			</tr>
			<tr>
				<td colspan="2" valign="top" style="width:38.70%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 12pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Second</font><font style="display: inline;"> Anniversary of Grant Date</font></p>
				</td>
				<td colspan="3" valign="top" style="width:61.30%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt"><hr style="border-bottom-style:solid;width:100%;height:1.5pt; ;color:#a0a0a0" align="center"></hr>
				</td>
			</tr>
			<tr>
				<td colspan="2" valign="top" style="width:38.70%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 12pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Third</font><font style="display: inline;"> Anniversary of Grant Date</font></p>
				</td>
				<td colspan="3" valign="top" style="width:61.30%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt"><hr style="border-bottom-style:solid;width:100%;height:1.5pt; ;color:#a0a0a0" align="center"></hr>
				</td>
			</tr>
			<tr>
				<td colspan="2" valign="top" style="width:38.70%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 12pt 36pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">TOTAL</font></p>
				</td>
				<td colspan="3" valign="top" style="width:61.30%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;padding:0pt 6.5pt"><hr style="border-bottom-style:solid;width:100%;height:1.5pt; ;color:#a0a0a0" align="center"></hr>
				</td>
			</tr>
		</table></div>
		<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt 0pt 12pt;text-indent:36pt;color:#000000;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">Notwithstanding the foregoing Vesting Schedule or any provision herein to the contrary, in the event of a Change in Control (as defined in the Plan) while Grantee is in Employment, all of the SARs shall automatically become 100% vested and fully exercisable as of the date immediately preceding the Change in Control date.&nbsp; </font>
		</p>
		<p style="margin:0pt 0pt 12pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<p style="margin:0pt;text-align:center;line-height:100%;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">[</font><font style="display: inline;font-style:italic;">Signature page follows</font><font style="display: inline;">.]</font>
		</p>
		<p style="margin:0pt;text-indent:36pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">

		</p>
		<p><font size="1"> </font></p><hr size="3" style="color:#999999" width="100%" align="center"></hr><p style="page-break-after:always">&nbsp;</p>
		<p style="margin:0pt;text-indent:36pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;;font-size: 12pt"><font style="display: inline;font-weight:bold;"></font><font style="display: inline;font-weight:bold;">IN WITNESS WHEREOF</font><font style="display: inline;">, the Company has caused this Agreement to be executed on its behalf by its duly authorized officer and Grantee has hereunto executed this Agreement, to be effective as of the Grant Date.</font>
		</p>
		<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
			<font style="display: inline;">&nbsp;</font>
		</p>
		<div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;margin-left:216pt;line-height:100%;margin-bottom:0pt;">
			<tr>
				<td valign="top" style="width:262.80pt;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;height:1.00pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;height:1.00pt;overflow:hidden;font-size:0pt;">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;font-weight:bold;">VAALCO ENERGY, INC.</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
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			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
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			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">By: </font><font style="display: inline;text-decoration:underline;">&nbsp;</font></p>
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			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">_________</font><font style="display: inline;">_____________________</font></p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Steven Guidry, Chief Executive Officer</font></p>
				</td>
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			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
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				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Date: </font></p>
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				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;text-align:left;line-height:100%;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">__________</font><font style="display: inline;">___________________</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;font-style:italic;">Address for Notices</font><font style="display: inline;">:</font></p>
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			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
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				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">VAALCO Energy, Inc.</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">9800 Richmond Avenue, Suite 700</font></p>
				</td>
			</tr>
			<tr>
				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Houston, Texas 77042</font></p>
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				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Attn: </font><font style="display: inline;">Eric J. Christ, General Counsel</font></p>
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				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
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				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;font-weight:bold;">GRANTEE</font></p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;text-decoration:underline;">________________________</font></p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Signature</font></p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">________________________</font></p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Printed Name</font></p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">________________________</font></p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Date</font></p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						&nbsp;</p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">________________________</font></p>
					<p style="margin:0pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">Address for Notice</font></p>
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			</tr>
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					<p style="margin:0pt;line-height:normal;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
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				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt;line-height:normal;text-align:left;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
				</td>
			</tr>
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				<td valign="top" style="border-bottom:1pt none #D9D9D9 ;border-top:1pt none #D9D9D9 ;border-right:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;width:262.80pt;padding:0pt 6.5pt">
					<p style="margin:0pt 0pt 12pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
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					<p style="margin:0pt 0pt 12pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
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					<p style="margin:0pt 0pt 12pt;line-height:100%;text-align:justify;text-justify:inter-ideograph;font-family:Times New Roman;font-size: 12pt">
						<font style="display: inline;">&nbsp;</font></p>
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						<font style="display: inline;">&nbsp;</font></p>
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						<font style="display: inline;">&nbsp;</font></p>
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