<SEC-DOCUMENT>0001415889-14-000062.txt : 20140108
<SEC-HEADER>0001415889-14-000062.hdr.sgml : 20140108
<ACCEPTANCE-DATETIME>20140108130854
ACCESSION NUMBER:		0001415889-14-000062
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		7
CONFORMED PERIOD OF REPORT:	20140108
ITEM INFORMATION:		Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers
ITEM INFORMATION:		Regulation FD Disclosure
ITEM INFORMATION:		Other Events
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20140108
DATE AS OF CHANGE:		20140108

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Ideal Power Inc.
		CENTRAL INDEX KEY:			0001507957
		STANDARD INDUSTRIAL CLASSIFICATION:	ELECTRICAL INDUSTRIAL APPARATUS [3620]
		IRS NUMBER:				141999058
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-36216
		FILM NUMBER:		14515821

	BUSINESS ADDRESS:	
		STREET 1:		5004 BEE CREEK RD.
		STREET 2:		SUITE 600
		CITY:			SPICEWOOD
		STATE:			TX
		ZIP:			78669
		BUSINESS PHONE:		512-264-1542

	MAIL ADDRESS:	
		STREET 1:		5004 BEE CREEK RD.
		STREET 2:		SUITE 600
		CITY:			SPICEWOOD
		STATE:			TX
		ZIP:			78669

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	Ideal Power Converters, Inc.
		DATE OF NAME CHANGE:	20101215
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>ip8k_jan82014.htm
<DESCRIPTION>FORM 8-K
<TEXT>
<html>
<head>
    <title>ip8k_jan82014.htm</title>
    <!--Licensed to: secconn26-->
    <!--Document Created using EDGARizerAgent 5.4.5.1-->
    <!--Copyright 1995 - 2013 Thomson Reuters. All rights reserved.-->
</head>
<body bgcolor="#ffffff" style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<hr style="MARGIN-TOP: -5px; COLOR: #000000" noshade size="4">
<hr style="MARGIN-TOP: -10px; COLOR: #000000" noshade size="1">
</div>

<div id="HDR">&#160;</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 14pt; FONT-WEIGHT: bold">SECURITIES AND EXCHANGE COMMISSION</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">WASHINGTON, D.C. 20549</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 14pt; FONT-WEIGHT: bold">FORM 8-K</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">CURRENT REPORT</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Pursuant to Section 13 or 15(d) of the</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Securities Exchange Act of 1934</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Date of report (Date of earliest event reported): January 8, 2013</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 14pt; FONT-WEIGHT: bold">IDEAL POWER INC.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">(Exact name of registrant as specified in Charter)</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;</font></div>

<div>
<table cellpadding="0" cellspacing="0" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr>
<td valign="top" width="24%">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Delaware</font></div>
</td>
<td align="left" valign="bottom" width="2%"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160; </font></td>
<td valign="top" width="24%">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">001-36216</font></div>
</td>
<td align="left" valign="bottom" width="2%"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160; </font></td>
<td valign="top" width="24%">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">14-1999058</font></div>
</td>
</tr><tr>
<td valign="top" width="24%">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">(State or other jurisdiction of</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">incorporation or organization)</font></div>
</td>
<td align="left" valign="bottom" width="2%"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160; </font></td>
<td valign="top" width="24%">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">(Commission File No.)</font></div>
</td>
<td align="left" valign="bottom" width="2%"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160; </font></td>
<td valign="top" width="24%">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">(IRS Employee Identification No.)</font></div>
</td>
</tr></table>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">5004 Bee Creek Road, Suite 600</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Spicewood, Texas 78669</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">(Address of Principal Executive Offices)</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">512-264-1542</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">(Issuer Telephone number)</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; 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 (see General Instruction A.2 below).</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">[&#160;&#160;] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">[&#160;&#160;] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR240.14a-12)</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">[&#160;&#160;] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)).</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">[&#160;&#160;] Pre-commencement communications pursuant to Rule 13e-(c) under the Exchange Act (17 CFR 240.13(e)-4(c))</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div id="PGBRK" style="TEXT-INDENT: 0pt; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<table border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr valign="top">
<td align="right" style="WIDTH: 121px">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman">ITEM&#160; 5.02</font></font></div>
</td>
<td align="left" width="813">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">DEPARTURE OF DIRECTORS OR CERTAIN OFFICERS; ELECTION OF DIRECTORS; APPOINTMENT OF CERTAIN OFFICERS; COMPENSATORY ARRANGEMENTS OF CERTAIN OFFICERS</font></div>
</td>
</tr></table>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">&#160;</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>On December 20, 2013 R. Daniel Brdar accepted an offer from Ideal Power Inc. (the &#8220;Company&#8221;) for the position of Chief Executive Officer.&#160;&#160;Mr. Brdar will also act as the Chairman of the Board of Directors.&#160;&#160;Mr. Brdar&#8217;s employment begins on January 8, 2014 (the &#8220;Effective Date&#8221;), the date on which he will also become a director and Chairman of the Board of Directors.&#160;&#160;Mr. Brdar has not been appointed to any committee of the Board of Directors, and is not currently expected to be appointed to a committee.&#160;&#160;Paul Bundschuh, the Company&#8217;s former Chief Executive Officer, has been appointed as President and Chief Commercial Officer effective January 8, 2014.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>From March 2011 to May 2013, Mr. Brdar, age 53, was Chief Operating Officer of Petra Solar Inc.&#160;&#160;Prior to his employment with Petra Solar Inc., Mr. Brdar was Chief Executive Officer of FuelCell Energy, Inc., a publicly traded company, from January&#160;2006 to February&#160;2011, President from August&#160;2005 to February&#160;2011 and Chairman of the Board of Directors from January 2007 until April 7, 2011. Prior to his employment with FuelCell Energy, Inc., which began in 2000, Mr. Brdar held management positions at General Electric Power Systems from 1997 to 2000 where he focused on new product introduction programs and was product manager for its gas turbine technology. Mr.&#160;Brdar was Associate Director, Office of Power Systems Product Management at the U.S. Department of Energy where he held a variety of positions from 1988 to 1997 including directing the research, development and demonstration of advanced power systems including gas turbines, gasification systems and fuel cells. Mr.&#160;Brdar received a B.S. in Engineering from the University of Pittsburgh in 1981. Among other qualifications, Mr.&#160;Brdar has executive leadership experience, including management positions at General Electric and his service as associate director within the U.S. Department of Energy. Mr. Brdar has extensive experience in research and development and manufacturing industries.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>There is no family relationship between Mr. Brdar and any of the Company&#8217;s officers and directors.&#160;&#160;Other than the employment transaction described herein, Mr. Brdar has not entered into any transaction, and there is no currently proposed transaction, in which the Company is to be a participant and Mr. Brdar will have a direct or indirect material interest.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>Pursuant to the terms of an Employment Agreement entered into on the Effective Date, the term of Mr. Brdar&#8217;s employment will be three years.&#160;&#160;Before the expiration of the second year, the Compensation Committee of the Company&#8217;s Board of Directors (the &#8220;Compensation Committee&#8221;) will review his performance and, assuming that his performance is satisfactory, the term of his employment will be extended for an additional year.&#160;&#160;During the third year and each subsequent year of his employment, the Compensation Committee will review Mr. Brdar&#8217;s performance and, assuming it is satisfactory, extend his employment for an additional year.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>As compensation for his services, Mr. Brdar will receive an annual salary of $300,000 per year.&#160;&#160;Each year, Mr. Brdar and the Compensation Committee will meet to discuss performance objectives and targets for him, personally, and for the Company for the year (the &#8220;Performance Goals&#8221;).&#160;&#160;If the Performance Goals are satisfactorily achieved during the period or periods designated, as determined by the Compensation Committee, Mr. Brdar will be eligible to receive a target performance bonus in the amount of 60% of his annual salary.&#160;&#160;For the first year of his employment, he will receive a bonus that is no less than 25% of his annual salary.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>The Company has issued a non-qualified stock option to Mr. Brdar (the &#8220;Inducement Option&#8221;) to purchase 250,000 shares of the Company&#8217;s common stock at a per share exercise price equal to the closing price of the common stock on the Effective Date.&#160;&#160;The right to purchase the shares subject to the Inducement Option will vest in equal increments over a period of four years, beginning on the first anniversary of the Effective Date and continuing thereafter on each subsequent anniversary date.&#160;&#160;The Inducement Option will have a term of 10 years and will not be subject to the terms of the Company&#8217;s 2013 Equity Incentive Plan.&#160;&#160;Beginning with the 2015 calendar year and continuing through the 2018 calendar year, Mr. Brdar will also receive, for each year in which the Performance Goals are met, an additional option to purchase 50,000 shares of the Company&#8217;s common stock (the &#8220;Target Option&#8221;).&#160;&#160;The per share exercise price of each Target Option will be equal to the closing price of the common stock on the first business day of the calendar year.&#160;&#160;The right to purchase the shares subject to each Target Option will vest in equal increments over a period of four years, beginning on the 31st day of December in the year in which the Performance Goals are met.&#160;&#160;The Target Option will have a term of 10 years and will be subject to the terms of the Company&#8217;s 2013 Equity Incentive Plan.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div id="PGBRK" style="TEXT-INDENT: 0pt; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB2" style="LETTER-SPACING: 9pt">&#160;&#160;&#160;</font>&#160;If Mr. Brdar&#8217;s services are terminated at the election of the Company he will be entitled to receive (i) his accrued but unpaid annual salary and the value of unused paid time off through the effective date of the termination; (ii) his accrued but unpaid bonus, if any; (iii) business expenses incurred prior to the effective date of termination; and (iv) severance (the &#8220;Severance Payment&#8221;) consisting of one year of his annual salary, less legal deductions.&#160;&#160;The Company may elect in its sole discretion whether to pay the Severance Payment in one lump sum or on regular pay days for the one year period following termination of Mr. Brdar&#8217;s employment.&#160;&#160;Mr. Brdar will be entitled to continue to participate in employee benefit plans, at the Company&#8217;s sole expense, for a period of one year following the termination of his employment.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>If Mr. Brdar&#8217;s services are terminated as a result of a change in control, he will be entitled to receive<font style="DISPLAY: inline; FONT-SIZE: 10pt">&#160;</font>(i) his accrued but unpaid annual salary and the value of unused paid time off through the effective date of the termination; (ii) his accrued but unpaid bonus, if any; (iii) business expenses incurred prior to the effective date of termination; and (iv) an amount equal to his annual salary for one year.&#160;&#160;In addition, any equity award that was scheduled to vest following the termination of his employment will vest immediately.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>Mr. Brdar will be entitled to receive the same benefits and opportunities to participate in any of the Company&#8217;s employee benefit plans which may now or hereafter be in effect on a general basis for executive officers or employees.&#160;&#160;During his employment, the Company will provide, at the Company&#8217;s sole expense, health insurance benefits for Mr. Brdar, his spouse and his children under the same policy or policies generally available to other executive officers of the Company.&#160;&#160;Additional benefits, such as life insurance coverage, may be provided to him, if approved by the Compensation Committee.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>The discussion above is only a brief overview of the terms and conditions included in the Employment Agreement and the Inducement Option and is qualified in its entirety by the Employment Agreement and the Inducement Option, which are attached as exhibits 10.1 and 10.2 to this Current Report.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>Effective January 8, 2014, Paul Bundschuh resigned from the Company&#8217;s board of directors.&#160;&#160;Mr. Bundschuh&#8217;s resignation was not a result of any disagreement relating to the Company&#8217;s operations, policies or practices.&#160;&#160;Also effective January 8, 2014, William C. Alexander, the Company&#8217;s Chief Technology Officer, was appointed to the Company&#8217;s board of directors.&#160;&#160;Mr. Alexander has not been appointed to any committee of the board of directors and is not currently expected to be appointed to a committee.&#160;&#160;Mr. Alexander&#8217;s appointment was not a result of any arrangement or understanding between him and any other persons pursuant to which he was selected as a director.&#160;&#160;Information regarding transactions between the Company and Mr. Alexander that require reporting pursuant to Item 404(a) of Regulation S-K has been reported in the registration statement on Form S-1, as amended, originally filed by the Company with the Securities and Exchange Commission on August 6, 2013 and declared effective on November 21, 2013.&#160;&#160;The information is incorporated herein by reference.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">ITEM 7.01&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;REGULATION FD DISCLOSURE</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>On January 8, 2014, the Company issued a press release announcing a conference call that will take place on January 13, 2014.&#160;&#160;A copy of the press release is attached to this Current Report on Form 8-K as exhibit 99.1 and is incorporated herein by this reference.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">ITEM 8.01&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;OTHER EVENTS</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>On January 8, 2014 the Company issued a press release relating to Mr. Brdar&#8217;s appointment as the Company&#8217;s Chief Executive Officer and Chairman of the Board of Directors.&#160;&#160;A copy of the press release is attached to this Current Report on Form 8-K as exhibit 99.2.</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman">ITEM 9.</font>01&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;FINANCIAL STATEMENTS AND EXHIBITS</font></div>

<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<table border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr valign="top" bgcolor="#cceeff">
<td align="right" style="WIDTH: 125px">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">Exhibit 10.1</font></div>
</td>
<td align="left" width="809">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">Employment Agreement between Ideal Power Inc. and R. Daniel Brdar</font></div>
</td>
</tr></table>
</div>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<table border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr valign="top">
<td align="right" style="WIDTH: 125px">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Exhibit 10.2</font></div>
</td>
<td align="left" width="809">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Ideal Power Inc. Non-Qualified Stock Option Award</font></div>
</td>
</tr></table>
</div>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<table border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr valign="top" bgcolor="#cceeff">
<td align="right" style="WIDTH: 125px">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">Exhibit 99.1</font></div>
</td>
<td align="left" width="809">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">Press release issued January 8, 2014</font></div>
</td>
</tr></table>
</div>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<table border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr valign="top">
<td align="right" style="WIDTH: 125px">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Exhibit 99.2</font></div>
</td>
<td align="left" width="809">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Press release issued January 8, 2014</font></div>
</td>
</tr></table>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div id="PGBRK" style="TEXT-INDENT: 0pt; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">&#160;</font></div>

<div style="TEXT-ALIGN: center; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">SIGNATURE</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 72pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Current Report to be signed on its behalf by the undersigned hereunto duly authorized.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Dated:&#160;&#160;January 8, 2014</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">
<div align="center">
<table bgcolor="white" cellpadding="0" cellspacing="0" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr>
<td width="50%"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></td>
<td width="50%">
<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">IDEAL POWER INC.</font></font></div>

<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><br>
&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">By: <font style="TEXT-DECORATION: underline">/s/ Timothy Burns</font></font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;&#160;&#160;&#160;&#160; Timothy Burns</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;&#160;&#160;&#160;&#160; Chief Financial Officer</font></font></div>
</td>
</tr></table>
</div>

<div>&#160;</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div id="PGBRK" style="TEXT-INDENT: 0pt; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">EXHIBIT INDEX</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center">&#160;</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">
<div style="TEXT-ALIGN: justify; TEXT-INDENT: 0pt; DISPLAY: block">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<table border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr valign="top">
<td align="right" style="WIDTH: 126px">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Exhibit No.</font></div>
</td>
<td align="left" width="808">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Description</font></div>
</td>
</tr></table>
</div>

<br>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<table border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr valign="top" bgcolor="#cceeff">
<td align="right" style="WIDTH: 125px">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">Exhibit 10.1</font></div>
</td>
<td align="left" width="809">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">Employment Agreement between Ideal Power Inc. and R. Daniel Brdar</font></div>
</td>
</tr></table>
</div>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<table border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr valign="top">
<td align="right" style="WIDTH: 125px">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Exhibit 10.2</font></div>
</td>
<td align="left" width="809">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Ideal Power Inc. Non-Qualified Stock Option Award</font></div>
</td>
</tr></table>
</div>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<table border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr valign="top" bgcolor="#cceeff">
<td align="right" style="WIDTH: 125px">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">Exhibit 99.1</font></div>
</td>
<td align="left" width="809">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">Press release issued January 8, 2014</font></div>
</td>
</tr></table>
</div>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<table border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr valign="top">
<td align="right" style="WIDTH: 125px">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Exhibit 99.2</font></div>
</td>
<td align="left" width="809">
<div style="TEXT-ALIGN: left; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Press release issued January 8, 2014</font></div>
</td>
</tr></table>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>
</body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>ex10-1.htm
<DESCRIPTION>EMPLOYMENT AGREEMENT BETWEEN IDEAL POWER INC. AND R. DANIEL BRDAR
<TEXT>
<html>
<head>
    <title>ex10-1.htm</title>
    <!--Licensed to: secconn26-->
    <!--Document Created using EDGARizerAgent 5.4.5.1-->
    <!--Copyright 1995 - 2013 Thomson Reuters. All rights reserved.-->
</head>
<body bgcolor="#ffffff" style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">
<div style="TEXT-ALIGN: right"><font style="FONT-WEIGHT: bold">Exhibit 10.1</font></div>

<div>&#160;</div>

<div>
<div style="TEXT-ALIGN: center; TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160; </font><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">EMPLOYMENT AGREEMENT</font></div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>This <font style="DISPLAY: inline; FONT-WEIGHT: bold">EMPLOYMENT AGREEMENT</font> (&#8220;Agreement&#8221;), which is dated January 8, 2014 (the &#8220;Effective Date&#8221;), is made by and between Ideal Power Inc., a Delaware corporation, located at 5004 Bee Creek Road, Suite 600, Spicewood, Texas, 78669 and hereinafter referred to as &#8220;Company&#8221;, and R. Daniel Brdar, whose address is 109 Lake Ridge Road, Southbury, Connecticut 06488, hereinafter referred to as &#8220;Executive.&#8221;&#160;&#160;The purpose of this Agreement is to confirm the terms of the employment relationship between Company and Executive.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="FONT-STYLE: italic; DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font style="DISPLAY: inline; TEXT-DECORATION: underline">RECITALS</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">WHEREAS, </font>Company wishes to retain the services of Executive, and Executive wishes to render services to Company, as its Chief Executive Officer and, until otherwise removed in accordance with Article IV, Section 4 of Company&#8217;s bylaws, the Chairman of the Board of Directors (for which position no additional compensation will be paid);</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">WHEREAS,</font> Company and Executive wish to set forth in this Agreement the duties and responsibilities that Executive has agreed to undertake on behalf of Company, and the responsibilities that Company will owe to Executive.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">THEREFORE,</font> in consideration of the foregoing and of the mutual promises contained in this Agreement, Company and Executive (who are sometimes individually referred to as a &#8220;Party&#8221; and collectively referred to as the &#8220;Parties&#8221;) agree as follows:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="FONT-STYLE: italic; DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font style="DISPLAY: inline; TEXT-DECORATION: underline">AGREEMENT</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>1.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">TERM</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>Company hereby employs Executive as Company&#8217;s Chief Executive Officer pursuant to the terms of this Agreement and Executive hereby accepts employment with Company pursuant to the terms of this Agreement.&#160;&#160;This Agreement is effective on January 8, 2014, and will continue until December 31, 2016 (the &#8220;Initial Term&#8221;).&#160;&#160;Before the expiration of the second year of the Initial Term, the Compensation Committee will review Executive&#8217;s performance and, if Executive&#8217;s performance is satisfactory, the term of Executive&#8217;s employment will be extended for an additional year (the &#8220;Extension&#8221;).&#160;&#160;During the third year of the Initial Term and each one year Extension thereafter, the Compensation Committee will review Executive&#8217;s performance and, if it is satisfactory, continue Executive&#8217;s employment for an additional one year Extension.&#160;&#160;In this Agreement the word &#8220;Term&#8221; shall, depending on the context used, refer to the Initial Term or to any subsequent Extension.&#160;&#160;Irrespective of the foregoing, this Agreement may be terminated pursuant to Section 11 or Section 12 below.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>2.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">GENERAL DUTIES</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>Executive shall devote his entire productive time, ability, and attention to Company&#8217;s business during Executive&#8217;s employment.&#160;&#160;Executive shall report to Company&#8217;s Board of Directors (the &#8220;Board&#8221;) and agrees to keep the Board fully informed with regard to critical issues affecting the value and reputation of Company.&#160;&#160;Furthermore, in his capacity as Chief Executive Officer, Executive shall be primarily responsible for the exercise of the powers and the discharge of the duties of Company that are not reserved to the Board, and shall have authority and control over all personnel of Company, shall be responsible for managing the overall operations of Company and shall act as the main point of communication between the Board and Company&#8217;s operations.&#160;&#160;Executive shall do and perform all services, acts, or things necessary or advisable to discharge his duties under this Agreement, and such other duties as are commonly performed by an employee of his rank in a publicly traded corporation or which may, from time to time, be prescribed by Company through the Board.&#160;&#160;Executive agrees to cooperate with and work to the best of his ability with Company&#8217;s management team, which includes the Board and the officers and other employees, to continually improve Company&#8217;s reputation in its industry for quality products and performance.</font></div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-1-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>For a limited time, which shall be determined by the Board, Executive will act as the Chairman of the Board without additional compensation.&#160;&#160;Executive acknowledges that he may be removed as Chairman of the Board in accordance with Article IV, Section 4 of Company&#8217;s bylaws.&#160;&#160;Executive further acknowledges that any removal from the office of Chairman of the Board will not constitute a breach of this Agreement and will not entitle Executive to severance or any other payment under this Agreement.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>3.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">NONSOLICITATION AND PROPRIETARY PROPERTY AND CONFIDENTIAL INFORMATION PROVISIONS</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>As a condition of his employment with Company, Executive has executed a Proprietary Information and Inventions Agreement, the terms of which are included by reference into this Agreement.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold">4.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">COMPLIANCE WITH SECURITIES LAWS</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>Executive acknowledges that he is subject to the provisions of Sections 10 and 16 of the Securities Exchange Act of 1934 and the rules and regulations promulgated thereunder.&#160;&#160;Executive acknowledges that Sections 10 and 16 and the rules and regulations promulgated thereunder may prohibit Executive from selling or transferring his securities in Company.&#160;&#160;Executive agrees that he will comply with Company&#8217;s policies, as stated from time to time, relating to selling or transferring Company&#8217;s securities.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>5.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">COMPENSATION</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">a</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Annual Salary</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.&#160;&#160;</font>Company shall pay to Executive an annual base salary in the amount of $300,000.&#160;&#160;The salary paid during Executive&#8217;s employment shall be referred to in this Agreement as the &#8220;Annual Salary&#8221;.&#160;&#160;The Annual Salary shall be subject to any tax withholdings and/or employee deductions that are applicable.&#160;&#160;The Annual Salary shall be paid to Executive in equal installments in accordance with the periodic payroll practices of the Company for its employees.&#160;&#160;The Annual Salary will be subject to review and adjustment at the discretion of the Board no less frequently than annually.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">b</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Bonus</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;&#160;At least annually, Executive and the Compensation Committee of the Board of Directors shall meet to establish (i) performance standards and goals (&#8220;Standards and Goals&#8221;) to be met by Executive and (ii) cash bonus targets based on the Standards and Goals that are achieved.&#160;&#160;The Standards and Goals will support a cash bonus of 60% of Executive&#8217;s Annual Salary, provided, however, that Executive will receive a cash bonus of no less than 25% of the Annual Salary for the first year of the Term.&#160;&#160;The Standards and Goals and the bonus targets shall be mutually agreed to by Executive and the Compensation Committee.&#160;&#160;Nothing in this subsection (b) shall prevent Executive and the Compensation Committee from mutually agreeing to alternatives to the computation of the bonus to be paid to Executive in accordance with this subsection (b) (the &#8220;Bonus&#8221;), which may be implemented and paid to Executive in place of the Bonus described herein.&#160;&#160;The Bonus shall be subject to any applicable tax withholdings and/or employee deductions.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(c)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Cost of Living Adjustment</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.&#160;&#160;</font>Commencing as of January 1, 2015, and on each January 1st thereafter, the then effective Annual Salary shall be increased (but not decreased) by an amount which shall reflect the increase, if any, in the cost of living during the previous 12 months by adding to the Annual Salary an amount computed by multiplying the Annual Salary by the percentage by which the level of the Consumer Price Index for the Austin Metropolitan Area, as reported on January 1st of the new year by the Bureau of Labor Statistics of the United States Department of Labor has increased over its level as of January 1st of the prior year.</font></div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-2-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(d)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Participation In Employee Benefit Plans</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;Executive shall have the same rights, privileges, benefits and opportunities to participate in any of Company&#8217;s employee benefit plans which may now or hereafter be in effect on a general basis for executive officers or employees.&#160;&#160;During Executive&#8217;s employment, Company shall provide, at Company&#8217;s sole expense, health insurance (including dental) benefits for Executive, his spouse and children, under the same policy or policies generally available to other executive officers of Company.&#160;&#160;At the discretion of the Board, Company may also provide, at its sole expense (i) disability insurance which, in the event of Executive&#8217;s disability, will replace no less than 60% of the Annual Salary being paid to Executive at the time the disability occurred and (ii) life insurance in an amount to be agreed upon by the Board and Executive.&#160;&#160;Irrespective of the foregoing, Company may change any benefits contractor, or discontinue any benefit without replacement, in its sole discretion, and any such change or discontinuance will not be a breach of this Agreement.&#160;&#160;In the event Executive receives payments from the disability insurer, Company shall have the right to offset such payments against the Annual Salary otherwise payable to Executive during the period for which such payments are made.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>6.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">EQUITY COMPENSATION</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 72pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">In accordance with that certain offer letter dated December 19, 2013 (the &#8220;Employment Offer&#8221;), Company has issued to Executive an option (the &#8220;Inducement Option&#8221;) to purchase 250,000 shares of Company&#8217;s common stock.&#160;&#160;The per share exercise price is equal to the closing price of Company&#8217;s common stock on January 8, 2014.&#160;&#160;The right to purchase the common stock will vest in equal increments over 4 years, on the 31st day of December, beginning on December 31, 2014.&#160;&#160;The term of the Inducement Option is 10 years.&#160;&#160;Beginning with the 2015 calendar year and continuing through the 2018 calendar year, Executive will receive, for each year in which the Standards and Goals are met, an additional option to purchase 50,000 shares of Company&#8217;s common stock (the &#8220;Target Option&#8221;).&#160;&#160;Therefore, assuming the Standards and Goals are met in all four years, Executive will receive Target Options covering an additional 200,000 shares of common stock.&#160;&#160;The per share exercise price will be equal to the closing price of the common stock on the day the Compensation Committee determines that the Standards and Goals have been met.&#160;&#160;The right to purchase the shares subject to each Target Option will vest in equal increments over a period of four years, beginning on the 31st day of December in the year in which the Standards and Goals are met.&#160;&#160;The Target Option will have a term of 10 years and will be subject to the terms of the Company&#8217;s 2013 Equity Incentive Plan.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>7.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">REIMBURSEMENT OF EXPENSES/PAYMENT OF RELOCATION EXPENSES</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(a)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Reimbursement of Business Expenses</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;Company shall promptly reimburse Executive for all reasonable business expenses incurred by Executive in connection with the business of Company.&#160;&#160;However, each such expenditure shall be reimbursable only if Executive furnishes to Company adequate records and other documentary evidence required by federal and state statutes and regulations issued by the appropriate taxing authorities for the substantiation of each such expenditure as an income tax deduction.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(b)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Moving and Temporary Living Allowance</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;Company shall provide to Executive a moving and temporary living allowance of $40,000.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>8.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">PAID TIME OFF</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>Executive shall be entitled to four weeks of paid time off each year; provided, however, failure to use paid time off by the end of the year in which it is earned will prevent the accumulation of additional paid time off in excess of four weeks.</font></div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-3-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>9.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">INDEMNIFICATION OF LOSSES</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>So long as Executive&#8217;s actions were taken in good faith and in furtherance of Company&#8217;s business and within the scope of Executive&#8217;s duties and authority, Company shall indemnify and hold Executive harmless to the full extent of the law from any and all claims, losses and expenses sustained by Executive as a result of any action taken by him to discharge his duties under this Agreement, and Company shall defend Executive, at Company&#8217;s expense, in connection with any and all claims by stockholders or third parties.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>10.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">PERSONAL CONDUCT</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>Executive agrees promptly and faithfully to comply with all present and future policies, requirements, directions, requests and rules and regulations of Company in connection with Company&#8217;s business.&#160;&#160;Executive further agrees to conform to all laws and regulations and not at any time to commit any act or become involved in any situation or occurrence tending to bring Company into public scandal, ridicule or which will reflect unfavorably on the reputation of Company.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>11.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">TERMINATION FOR CAUSE</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>The Board may terminate Executive for cause immediately, without notice, if Company reasonably concludes that Executive has committed fraud, theft, embezzlement, misappropriation of Company funds or other property, or any felony.&#160;&#160;The Board may also terminate Executive for cause for any of the following:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>(a)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Breach by Executive of any material provision of this Agreement;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>(b)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Violation by Executive of any statutory or common law duty of loyalty to Company; or</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>&#160;(c)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;A material violation by Executive of Company's employment policies; or</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>(d)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Commission of such acts of dishonesty, gross negligence, or willful misconduct as would prevent the effective performance of Executive&#8217;s duties or which result in material harm to Company or its business.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>The Board may terminate this Agreement for cause by giving written notice of termination to Executive, provided, however, if the Board declares Executive to be in default of this Agreement under subsection (a) above because Executive fails to substantially perform his material duties and responsibilities under this Agreement, the Board shall deliver a written demand for substantial performance of such duties and responsibilities to Executive.&#160;&#160;Such demand must identify the manner in which the Board believes that Executive has not substantially performed his duties, and Executive shall have a period of 30 days to correct the deficient performance.&#160;&#160;Upon termination for cause, the obligations of Executive and Company under this Agreement shall immediately cease.&#160;&#160;Such termination shall be without prejudice to any other remedy to which Company may be entitled either at law, in equity, or under this Agreement.&#160;&#160;If Executive&#8217;s employment is terminated pursuant to this Section 11, Company shall pay to Executive (i) Executive&#8217;s accrued but unpaid Annual Salary and the value of unused paid time off through the effective date of the termination; (ii) Executive&#8217;s accrued but unpaid Bonus, if any; and (iii) business expenses incurred prior to the effective date of termination.&#160;&#160;Executive shall not be entitled to continue to participate in any employee benefit plans except to the extent provided in such plans for terminated participants, or as may be required by applicable law.</font></div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-4-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>12.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">TERMINATION WITHOUT CAUSE</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(a)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Death</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;Executive&#8217;s employment shall terminate upon the death of Executive.&#160;&#160;Upon such termination, the obligations of Executive and Company under this Agreement shall immediately cease.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(b)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Disability</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;The Board reserves the right to terminate Executive&#8217;s employment upon 30 days written notice if, for a period of 90 days, Executive is prevented from discharging his substantial or material duties due to any physical or mental disability.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(c)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Election By Executive</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;Executive&#8217;s employment may be terminated at any time by Executive upon not less than 30 days written notice by Executive to the Board.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(d)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Election By Company</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;Executive&#8217;s employment may be terminated at any time by Company upon not less than 30 days written notice by the Board to Executive.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(e)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Termination Due to a Change in Control</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;Executive&#8217;s employment may be terminated upon a Change in Control.&#160;&#160;For purposes of this Agreement, the term &#8220;Change in Control&#8221; shall mean the sale or disposition by Company to an unrelated third party of substantially all of its business or assets, or the sale of the capital stock of Company in connection with the sale or transfer of a Controlling Interest in Company to an unrelated third party, or the merger or consolidation of Company with another corporation as part of a sale or transfer of a Controlling Interest in Company to an unrelated third party.&#160;&#160;For purposes of this definition, the term &#8220;Controlling Interest&#8221; means the sale or transfer of Company&#8217;s securities representing greater than 50% of the voting power.&#160;&#160;It will be presumed that a termination is a termination under this subsection (e) rather than a termination under subsection (d) (Election by Company) if Executive&#8217;s employment is terminated during the period that begins when negotiations for the Change in Control begin and ends on the six month anniversary of the closing of the Change in Control transaction and such termination is not a termination for cause pursuant to Section 11 or a termination resulting from Executive&#8217;s death, disability or election pursuant to subsections (a), (b) or (c) of this Section 12.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>If Executive&#8217;s employment is terminated pursuant to subsections (a), (b), or (c) of this Section 12, Company shall pay to Executive (i) Executive&#8217;s accrued but unpaid Annual Salary and the value of unused paid time off through the effective date of the termination; (ii) Executive&#8217;s accrued but unpaid Bonus, if any; and (iii) business expenses incurred prior to the effective date of termination.&#160;&#160;Executive shall not be entitled to continue to participate in any employee benefit plans except to the extent provided in such plans for terminated participants, or as may be required by applicable law.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>If Executive&#8217;s employment is terminated pursuant to subsection (d) of this Section 12, Company shall pay to Executive (i) Executive&#8217;s accrued but unpaid Annual Salary and the value of unused paid time off through the effective date of the termination; (ii) Executive&#8217;s accrued but unpaid Bonus, if any; (iii) business expenses incurred prior to the effective date of termination; and (iv) severance (the &#8220;Severance Payment&#8221;) consisting of one year&#8217;s Annual Salary, less legal deductions.&#160;&#160;Company may elect in its sole discretion whether to pay the Severance Payment in one lump sum or on regular pay days for the one year period following termination of Executive&#8217;s employment.&#160;&#160;For a termination under subsection (d), Executive shall be entitled to continue to participate in employee benefit plans described in Section 5(d), at Company&#8217;s sole expense, for a period of one year following termination of Executive&#8217;s employment.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>If Executive&#8217;s employment is terminated pursuant to subsection (e) of this Section 12, Executive shall be entitled to receive (i) Executive&#8217;s accrued but unpaid Annual Salary and the value of unused paid time off through the effective date of the termination; (ii) Executive&#8217;s accrued but unpaid Bonus, if any; (iii) business expenses incurred prior to the effective date of termination; and (iv) an amount equal to the Annual Salary for one year.&#160;&#160;In addition, any equity award that was scheduled to vest following the termination of Executive&#8217;s employment will vest immediately upon the termination of Executive&#8217;s employment pursuant to subsection (e).</font><br>
</div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-5-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<br>
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>In the event of a termination of Executive&#8217;s employment pursuant to subsections (a), (b), (c) and (d) above, all other rights Executive has under any benefit or stock option plans and programs shall be determined in accordance with the terms and conditions of such plans and programs.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>With the exception of the terms of this Section 12 and any obligations, duties and responsibilities Executive has under the Proprietary Information and Inventions Agreement, upon termination of Executive&#8217;s employment the obligations of Executive and Company under this Agreement shall immediately cease.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>13.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">MISCELLANEOUS</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(a)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Preparation of Agreement</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;It is acknowledged by each Party that such Party either had separate and independent advice of counsel or the opportunity to avail itself or himself of same.&#160;&#160;In light of these facts it is acknowledged that no Party shall be construed to be solely responsible for the drafting hereof, and therefore any ambiguity shall not be construed against any Party as the alleged draftsman of this Agreement.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(b)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Cooperation</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;Each Party agrees, without further consideration, to cooperate and diligently perform any further acts, deeds and things and to execute and deliver any documents that may from time to time be reasonably necessary or otherwise reasonably required to consummate, evidence, confirm and/or carry out the intent and provisions of this Agreement, all without undue delay or expense.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>(c)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">Interpretation</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 108pt"></font>(i)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">Entire Agreement/No Collateral Representations</font>.&#160;&#160;Each Party expressly acknowledges and agrees that this Agreement, including all exhibits attached hereto: (1) is the final, complete and exclusive statement of the agreement of the Parties with respect to the subject matter hereof; (2) supersedes any prior or contemporaneous agreements, promises, assurances, guarantees, representations, understandings, conduct, proposals, conditions, commitments, acts, course of dealing, warranties, interpretations or terms of any kind, oral or written (collectively and severally, the &#8220;Prior Agreements&#8221;), and that any such prior agreements are of no force or effect except as expressly set forth herein; and (3) may not be varied, supplemented or contradicted by evidence of Prior Agreements, or by evidence of subsequent oral agreements.&#160;&#160;Any agreement hereafter made shall be ineffective to modify, supplement or discharge the terms of this Agreement, in whole or in part, unless such agreement is in writing and signed by the Party against whom enforcement of the modification or supplement is sought.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 108pt"></font>(ii)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">Waiver</font>.&#160;&#160;No breach of any agreement or provision herein contained, or of any obligation under this Agreement, may be waived, nor shall any extension of time for performance of any obligations or acts be deemed an extension of time for performance of any other obligations or acts contained herein, except by written instrument signed by the Party to be charged or as otherwise expressly authorized herein.&#160;&#160;No waiver of any breach of any agreement or provision herein contained shall be deemed a waiver of any preceding or succeeding breach thereof, or a waiver or relinquishment of any other agreement or provision or right or power herein contained.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 108pt"></font>(iii)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">Remedies Cumulative</font>.&#160;&#160;The remedies of each Party under this Agreement are cumulative and shall not exclude any other remedies to which such Party may be lawfully entitled.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 108pt"></font>(iv)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">Severability</font>.&#160;&#160;If any term or provision of this Agreement or the application thereof to any person or circumstance shall, to any extent, be determined to be invalid, illegal or unenforceable under present or future laws effective during the term of this Agreement, then and, in that event: (A) the performance of the offending term or provision (but only to the extent its application is invalid, illegal or unenforceable) shall be excused as if it had never been incorporated into this Agreement, and, in lieu of such excused provision, there shall be added a provision as similar in terms and amount to such excused provision as may be possible and be legal, valid and enforceable, and (B) the remaining part of this Agreement (including the application of the offending term or provision to persons or circumstances other than those as to which it is held invalid, illegal or unenforceable) shall not be affected thereby and shall continue in full force and effect to the fullest extent provided by law.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-6-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<br>
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 108pt"></font>(v)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">No Third Party Beneficiary</font>.&#160;&#160;Notwithstanding anything else herein to the contrary, the parties specifically disavow any desire or intention to create any third party beneficiary obligations, and specifically declare that no person or entity, other than as set forth in this Agreement, shall have any rights hereunder or any right of enforcement hereof.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 108pt"></font>(vi)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">Headings; References; Incorporation; Gender</font>.&#160;&#160;The headings used in this Agreement are for convenience and reference purposes only, and shall not be used in construing or interpreting the scope or intent of this Agreement or any provision hereof.&#160;&#160;References to this Agreement shall include all amendments or renewals thereof.&#160;&#160;Any exhibit referenced in this Agreement shall be construed to be incorporated in this Agreement.&#160;&#160;As used in this Agreement, each gender shall be deemed to include the other gender, including neutral genders or genders appropriate for entities, if applicable, and the singular shall be deemed to include the plural, and vice versa, as the context requires.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font>(d)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">Enforcement</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 108pt"></font>(i)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">Applicable Law</font>.&#160;&#160;This Agreement and the rights and remedies of each Party arising out of or relating to this Agreement (including, without limitation, equitable remedies) shall be solely governed by, interpreted under, and construed and enforced in accordance with the laws (without regard to the conflicts of law principles thereof) of the State of Texas, as if this agreement were made, and as if its obligations are to be performed, wholly within the State of Texas.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 108pt"></font>(ii)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">Consent to Jurisdiction and Venue</font>.&#160;&#160;Any action or proceeding arising out of or relating to this Agreement shall be filed in and heard and litigated solely before the state courts of Texas within Travis County.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 108pt"></font>(iii)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">Attorneys&#8217; Fees</font>.&#160;&#160;If court proceedings are required to enforce any provision of this Agreement, the substantially prevailing or successful Party shall be entitled to an award of the reasonable and necessary expenses of litigation, including reasonable attorneys&#8217; fees.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(e)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">No Assignment of Rights or Delegation of Duties by Executive</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.&#160;&#160;</font>Executive&#8217;s rights and benefits under this Agreement are personal to him and therefore (i) no such right or benefit shall be subject to voluntary or involuntary alienation, assignment or transfer; and (ii) Executive may not delegate his duties or obligations hereunder.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(f)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Notices</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;Unless otherwise specifically provided in this Agreement, all notices, demands, requests, consents, approvals or other communications (collectively and severally called &#8220;Notices&#8221;) required or permitted to be given hereunder, or which are given with respect to this Agreement, shall be in writing, and shall be given by: (A) personal delivery (which form of Notice shall be deemed to have been given upon delivery), (B) by private overnight delivery service (which forms of Notice shall be deemed to have been given upon confirmed delivery by the delivery agency), or (C) by mailing in the United States mail by registered or certified mail, return receipt requested, postage prepaid (which forms of Notice shall be deemed to have been given upon the 5th business day following the date mailed).&#160;&#160;Notices shall be addressed to the address hereinabove set forth in the introductory paragraph of this Agreement, or to such other address as the receiving Party shall have specified most recently by like Notice, with a copy to the other Parties hereto.&#160;&#160;Any Notice given to the estate of a Party shall be sufficient if addressed to the party as provided in this subsection.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(g)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Counterparts</font><font style="DISPLAY: inline; FONT-WEIGHT: bold">.</font>&#160;&#160;This Agreement may be executed in counterparts, each of which shall be deemed an original, and all of which together shall constitute one and the same instrument, binding on all parties hereto.&#160;&#160;Any signature page of this Agreement may be detached from any counterpart of this Agreement and reattached to any other counterpart of this Agreement identical in form hereto by having attached to it one or more additional signature pages.</font></div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-7-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 72pt"></font><font style="DISPLAY: inline; FONT-WEIGHT: bold">(h)</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold; TEXT-DECORATION: underline">Execution by All Parties Required to be Binding; Electronically Transmitted Documents</font>.&#160;&#160;This Agreement shall not be construed to be an offer and shall have no force and effect until this Agreement is fully executed by all Parties hereto.&#160;&#160;If a copy or counterpart of this Agreement is originally executed and such copy or counterpart is thereafter transmitted electronically by facsimile or similar device, such facsimile document shall for all purposes be treated as if manually signed by the Party whose facsimile signature appears.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-8-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<br>
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-WEIGHT: bold">IN WITNESS WHEREOF</font>, the parties have executed this Agreement.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div align="center">
<table bgcolor="white" cellpadding="0" cellspacing="0" width="100%" style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-SIZE: 10pt; FONT-FAMILY: times new roman">
<tr>
<td width="39%"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></td>
<td width="61%">
<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Company:</font></font></div>

<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></div>

<div>&#160;</div>

<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">IDEAL POWER INC.</font></font></div>
</td>
</tr><tr>
<td width="39%"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></td>
<td width="61%">
<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></div>

<div>&#160;</div>

<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">By: <font style="TEXT-DECORATION: underline">/s/ Lon E. Bell</font></font></div>
</td>
</tr><tr>
<td width="39%"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></td>
<td width="61%"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></td>
</tr><tr>
<td width="39%"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></td>
<td width="61%">
<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">Its: Chairman</font></font></div>

<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt">Compensation Committee</font></font></div>
</td>
</tr><tr>
<td width="39%"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></td>
<td width="61%"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></td>
</tr><tr>
<td width="39%"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></td>
<td width="61%">
<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></div>

<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></div>

<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-WEIGHT: bold">Executive</font>:</font></font></div>
</td>
</tr><tr>
<td width="39%"><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></td>
<td width="61%">
<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></div>

<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt">&#160;</font></div>

<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; TEXT-DECORATION: underline">/s/ R. Daniel Brdar</font></font></div>

<div><font style="FONT-FAMILY: times new roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">R. Daniel Brdar</font></font></div>
</td>
</tr></table>
</div>

<div>&#160;</div>
</body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-10.2
<SEQUENCE>3
<FILENAME>ex10-2.htm
<DESCRIPTION>IDEAL POWER INC. NON-QUALIFIED STOCK OPTION AWARD
<TEXT>
<html>
<head>
    <title>ex10-2.htm</title>
    <!--Licensed to: secconn26-->
    <!--Document Created using EDGARizerAgent 5.4.5.1-->
    <!--Copyright 1995 - 2013 Thomson Reuters. All rights reserved.-->
</head>
<body bgcolor="#ffffff" style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">
<div style="TEXT-ALIGN: right"><font style="FONT-WEIGHT: bold">Exhibit 10.2</font></div>

<div><br>
&#160;</div>

<div>
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><img src="ex10-20.jpg" alt=""></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">IDEAL POWER INC.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">NON-QUALIFIED STOCK OPTION AWARD AGREEMENT</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">January 8, 2014</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">R. Daniel Brdar</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">109 Lake Ridge Road</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Southbury, Connecticut 06488</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Dear Dan:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>We are pleased to notify you (sometimes referred to as the &#8220;Optionee&#8221;) that, as a material inducement to your employment, the Compensation Committee of the Board of Directors of Ideal Power Inc. (the &#8220;Company&#8221;) has granted to you an option (the &#8220;Option&#8221;) to purchase shares of the Company&#8217;s common stock, $0.001 par value (the &#8220;Common Stock&#8221;), pursuant to and in accordance with this Non-Qualified Stock Option Award Agreement, as supplemented by <font style="DISPLAY: inline; TEXT-DECORATION: underline">Exhibit A,</font> (the &#8220;Award Agreement&#8221;), as follows:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Grant Date:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;January 8, 2014</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Exercise Price:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;[Closing price of one share of the Company&#8217;s common </font><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">stock on January 8, 2014.]</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Number of Option Shares:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;250,000 shares of common stock, par value $0.001</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Expiration Date:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;January 8, 2024</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Type of Option:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Non-Qualified Option</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Vesting Schedule:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;The right to purchase the shares will grant in equal </font><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">increments of 62,500 </font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; shares over a period of 4 years, </font><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">beginning on January 8, 2015 and </font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;continuing thereafter on </font><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">January 8, 2016, 2017, and 2018.</font></div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-1-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">You acknowledge and agree that the Option has been granted pursuant to, and is controlled by, the Award Agreement.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 180pt"></font>Very truly yours,</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 180pt"></font>IDEAL POWER INC.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 180pt"></font>By:&#160; <font style="TEXT-DECORATION: underline">/s/ Lon E. Bell</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 180pt"></font>&#160;&#160;&#160;&#160;&#160;&#160;&#160; Lon E. Bell, Chairman of the Compensation Committee</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Acknowledged and Agreed To:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font id="TAB1" style="MARGIN-LEFT: 216pt"></font><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: times new roman; FONT-SIZE: 10pt; TEXT-DECORATION: underline">/s/ R. Daniel Brdar</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">R. Daniel Brdar</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-2-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">EXHIBIT A</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">TO</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">IDEAL POWER INC.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">NON-QUALIFIED STOCK OPTION AWARD AGREEMENT</font><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">1.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold">General</font>.&#160;&#160;This Option shall be treated as a nonqualified stock option.&#160;&#160;The Option is granted as an employment inducement award pursuant to Rule 5635 of the Rules of The NASDAQ Stock Market, as indicated in the attached Non-Qualified Stock Option Award Agreement which, together with this supplement, is referred to herein as the &#8220;Award Agreement&#8221;.&#160;&#160;All capitalized terms set forth in this supplement that are not otherwise defined shall have the meanings ascribed to them under the Award Agreement.&#160;&#160;The term of the Option shall be for a period of 10 years from the Date of Grant, or such shorter period as prescribed herein.&#160;&#160;The Option shall be exercisable in equal increments over a period of 4 years, beginning on the first anniversary of the date of the Optionee&#8217;s employment and continuing thereafter on each subsequent anniversary date of the Optionee&#8217;s employment, subject to the Optionee providing continued services to the Company as the Chief Executive Officer through such date or as otherwise provided herein.&#160;&#160;The Optionee shall have none of the rights of a stockholder with respect to any of the shares of Common Stock subject to the Option until such shares shall be issued upon the exercise of the Option.&#160;&#160;Nothing herein contained shall confer on the Optionee any right to continue in the employ of the Company or any subsidiary thereof or interfere in any way with the right of the Company or any subsidiary thereof to terminate the employment or service of the Optionee at any time.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">2.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold">Transferability</font>.&#160;&#160;The Option shall not be transferable otherwise than by will or the laws of descent and distribution, and the Option shall be exercisable, during the lifetime of the Optionee, only by the Optionee.&#160;&#160;Without limiting the generality of the foregoing, the Option may not be assigned, transferred (except as aforesaid), pledged or hypothecated in any way (whether by operation of law or otherwise) and shall not be subject to execution, attachment or similar process.&#160;&#160;Any attempted assignment, transfer, pledge, hypothecation or other disposition of the Option contrary to the provisions hereof, and the levy of any execution, attachment, or similar process upon the Option shall be null and void and without effect.</font></div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">3.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold">Termination of Employment and Service</font>.&#160;&#160;The effect on the Option of the Optionee&#8217;s termination of employment and service shall be as follows:</font></div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 18pt; MARGIN-RIGHT: 0pt" align="left">&#160;</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 36pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">(i)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;if the Optionee dies while an employee of the Company, the Optionee&#8217;s estate, or any person who acquires the Option by bequest or inheritance, may exercise the Option to the extent that the Optionee was entitled to do so within the period beginning on the Optionee&#8217;s date of death and ending one year thereafter, <font style="FONT-STYLE: italic; DISPLAY: inline">provided, however,</font> that if the Optionee&#8217;s death occurs prior to January 8, 2018, the Optionee&#8217;s estate, or any person who acquires the Option by bequest or inheritance, will also be entitled to exercise this Option for an additional number of shares of the Company&#8217;s Common Stock, which number shall be computed by multiplying (i) the number of days from January 9th of the year of the Optionee&#8217;s date of death through the date of the Optionee&#8217;s death by (ii) 171.232 <font style="FONT-STYLE: italic; DISPLAY: inline">but provided, further,</font> that no fractional shares shall be issued as a result of this proration;</font></div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 18pt; MARGIN-RIGHT: 0pt" align="left">&#160;</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 36pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">(ii)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;if the Optionee&#8217;s employment by the Company is terminated for Cause, as defined below, the Option shall expire forthwith upon the Optionee&#8217;s termination and may not be exercised thereafter;</font></div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 18pt; MARGIN-RIGHT: 0pt" align="left">&#160;</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 36pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">(iii)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;If the Optionee&#8217;s employment by the Company is terminated as a result of a Change in Control, as defined below, the Optionee may thereafter exercise the Option within the period ending one year after the Optionee&#8217;s termination date, but only to the extent the Option was exercisable on the Optionee&#8217;s termination date.&#160;&#160;It will be presumed that a termination results from a Change in Control if the Optionee&#8217;s employment is terminated during the period that begins when negotiations for the Change in Control begin and ends on the six month anniversary of the closing of the Change in Control transaction and such termination is not a termination for Cause or a termination resulting from the Optionee&#8217;s death, disability or any other reason.</font></div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>
</div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-3-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 36pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB2" style="LETTER-SPACING: 9pt">&#160;&#160;&#160;</font>&#160;(iv)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;if the Optionee&#8217;s employment by the Company terminates for any reason other than death, a Change in Control, or for Cause, the Optionee (or if the Optionee dies after the Optionee&#8217;s termination date, the Optionee&#8217;s estate or any person who acquires the Option by bequest or inheritance) may thereafter exercise the Option within the period ending 3 months after the Optionee&#8217;s termination date, but only to the extent the Option was exercisable on the Optionee&#8217;s termination date.</font></div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>For purposes of this Award Agreement, &#8220;Cause&#8221; shall mean that the Company reasonably concludes that the Optionee has committed fraud, theft, embezzlement, misappropriation of the Company&#8217;s funds or other property, or any felony.&#160;&#160;&#8220;Cause&#8221; may also include any of the following:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>(a)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;a violation by the Optionee of any statutory or common law duty of loyalty to the Company; or</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>(b)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;a material violation by the Optionee of the Company's employment policies;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>(c)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;commission of such acts of dishonesty, gross negligence, or willful misconduct as would prevent the effective performance of the Optionee&#8217;s duties or which result in material harm to the Company or its business; or</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB1" style="MARGIN-LEFT: 36pt"></font>(d)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;any other event which may be defined as &#8220;Cause&#8221; in any employment or services agreement entered into between the Company and the Optionee.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">4.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold">Adjustments</font>.&#160;&#160;If all or any portion of the Option is exercised subsequent to any stock dividend, stock split, recapitalization, combination or exchange of shares, reorganization (including, but not limited to, merger or consolidation), liquidation or other event occurring after the date hereof, as a result of which any shares or other securities of the Company or any other entity (including, but not limited to, any subsidiary of the Company) shall be issued in respect of the outstanding shares of Common Stock, or shares of Common Stock shall be changed into the same or a different number of shares or other securities of the same or any other class or classes, the person or persons so exercising the Option shall receive, for the aggregate price paid upon such exercise, the class and aggregate number of shares or other securities which, if shares of Common Stock (as authorized at the date hereof) had been purchased on the date hereof for the same aggregate price (on the basis of the price per share) and had not been disposed of, such person or persons would be holding at the time of such exercise as a result of such purchase, any and all such stock dividends, stock splits, recapitalizations, combinations or exchanges of shares, reorganizations, liquidations or other events.&#160;&#160;In the event of any corporate reorganization, separation or division (including, but not limited to, split-up, split off, spin-off or sale of assets) as a result of which any cash or shares or other securities of any entity other than the Company (including, but not limited to, any subsidiary of the Company), shall be distributed in respect of the outstanding shares of Common Stock, a committee of the Board shall make such adjustments in the terms of the Option (including, but not limited to, the number of shares covered and the purchase price of such shares) as it may deem appropriate to provide equitably for the Optionee&#8217;s interest in the Option. Upon any adjustment as aforesaid, the minimum number of full shares that may be purchased upon any exercise of the Option as specified in the Award Agreement shall be adjusted proportionately.&#160;&#160;No fractional shares shall be issued upon any exercise of the Option, and the aggregate price paid shall be appropriately reduced on account of any fractional share not issued.&#160;&#160;In the event of a Change in Control, the Option may be assumed or an equivalent award may be substituted by the acquiror.&#160;&#160;In the event that the Option is not so assumed or substituted therefor in a Change in Control, the Option may be terminated in exchange for a cash payment equal to (i) the excess (if any) of the value per share of Common Stock provided to stockholders of the Company generally in connection with the Change in Control (or, if none, the fair market value of a share of Common Stock on the date of the Change in Control or, if not a trading day, on the last trading day preceding the date of the Change in Control) over the exercise price of the Option multiplied by (ii) the number of shares of Common Stock subject to the Option.</font></div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">5.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold">Change in Control</font>.&#160;&#160;&#8220;Change in Control&#8221; shall be defined as the sale or disposition by the Company to an unrelated third party of substantially all of its business or assets, or the sale of the capital stock of the Company in connection with the sale or transfer of a Controlling Interest in the Company to an unrelated third party, or the merger or consolidation of the Company with another corporation as part of a sale or transfer of a Controlling Interest in the Company to an unrelated third party.&#160;&#160;For purposes of this definition, the term &#8220;Controlling Interest&#8221; means the sale or transfer of the Company&#8217;s securities representing at least 50.1% of the voting power.</font></div>
</div>

<br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-4-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">6.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold">Manner of Exercise</font>.&#160;&#160;Subject to the terms and conditions contained in the Award Agreement, the Option may be exercised by giving written notice to the Secretary of the Company at the location of its principal office at the time of exercise, which is currently located at 5004 Bee Creek Road, Suite 600, Spicewood, Texas 78669.&#160;&#160;Such notice shall state the election to exercise the Option and the number of shares in respect of which it is being exercised, shall be signed by the person or persons so exercising the Option and shall be accompanied by instructions to the Secretary to exercise, in whole or in part, along with payment of the full purchase price of said shares by cash, including a personal check made payable to the Company, and by payment to the Company of any withholding tax.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Provided the Option Shares are registered on an effective registration statement, a reoffer prospectus is filed with the Securities and Exchange Commission and the transaction complies with the Company&#8217;s policies, the Rules of The NASDAQ Stock Market and any applicable state and federal securities laws, the Optionee may also exercise this Option as follows:</font></div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 36pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB2" style="LETTER-SPACING: 9pt">&#160;&#160;&#160;</font>&#160;(i)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;through a &#8220;same day sale&#8221; commitment from the Optionee and a broker-dealer that is a member of the Financial Industry Regulatory Authority (a &#8220;FINRA Dealer&#8221;) whereby the Optionee irrevocably elects to exercise the Option and to sell a portion of the shares of Common Stock so purchased to pay for the exercise price, and whereby the FINRA Dealer irrevocably commits upon receipt of such shares of Common Stock to forward the exercise price directly to the Company; or</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 36pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font id="TAB2" style="LETTER-SPACING: 9pt">&#160;&#160;&#160;</font>&#160;(ii)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;through a &#8220;margin&#8221; commitment from the Optionee and a FINRA Dealer whereby the Optionee irrevocably elects to exercise the Option and to pledge the shares of Common Stock so purchased to the FINRA Dealer in a margin account as security for a loan from the FINRA Dealer in the amount of the exercise price, and whereby the FINRA Dealer irrevocably commits upon receipt of such shares of Common Stock to forward the exercise price directly to the Company.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Shares which otherwise would be delivered to the Optionee may be delivered, at the election of the Optionee, to the Company in payment of Federal, state and/or local withholding taxes due in connection with an exercise.&#160;&#160;A certificate or certificates representing said shares shall be delivered as soon as practicable after the notice shall be received by the Company.&#160;&#160;The certificate or certificates for the shares as to which the Option shall have been so exercised shall be registered in the name of the person or persons so exercising the Option and shall be delivered as aforesaid to or upon the written order of the person or persons exercising the Option.&#160;&#160;In the event the Option shall be exercised, pursuant to paragraph 2 hereof, by any person or persons other than the Optionee, such notice shall be accompanied by appropriate proof of the right of such person or the persons to exercise the Option.&#160;&#160;The date of exercise of the Option shall be the date on which the aforesaid written notice, properly executed and accompanied as aforesaid, is received by the Secretary.&#160;&#160;The payment due to the Optionee upon exercise of the Option will be settled solely in Common Stock.&#160;&#160;All shares that shall be purchased upon the exercise of the Option as provided herein shall be fully paid and non-assessable.</font></div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">7.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold">Entire Agreement.</font>&#160;&#160;This Award Agreement constitutes the entire understanding of the parties with respect to the Option.&#160;&#160;The terms of this Award Agreement may not be altered, modified or amended except by a written instrument signed by the relevant parties.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>

<div style="TEXT-INDENT: 36pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">8.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; FONT-WEIGHT: bold">Choice of Law.</font>&#160;&#160;The terms and conditions contained herein and in the Award Agreement shall be governed by and interpreted pursuant to the laws of the State of Delaware, without giving effect to the principles of conflict of laws</font></div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<br>
</div>
</body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>4
<FILENAME>ex99-1.htm
<DESCRIPTION>PRESS RELEASE ISSUED JANUARY 8, 2014
<TEXT>
<html>
<head>
    <title>ex99-1.htm</title>
    <!--Licensed to: SEC Connect-->
    <!--Document Created using EDGARizerAgent 5.4.5.1-->
    <!--Copyright 1995 - 2013 Thomson Reuters. All rights reserved.-->
</head>
<body bgcolor="#ffffff" style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">
<div style="TEXT-ALIGN: right"><font style="FONT-WEIGHT: bold">Exhibit 99.1</font></div>

<div>&#160;</div>

<div style="TEXT-ALIGN: center"><img src="idealpower.jpg" alt=""><br>
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Ideal Power to Host Investor Conference Call on January 13, 2014</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="FONT-STYLE: italic; DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Will introduce new CEO and discuss market opportunities</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">AUSTIN, Texas &#8211; January 8, 2014 &#8211; Ideal Power Inc. (NASDAQ: IPWR), a developer of a disruptive technology in the power conversion industry, today announced that it will host a conference call at 2:00 pm ET on Monday, January 13, 2014 to introduce&#160;&#160;Ideal Power&#8217;s new CEO and discuss market opportunities for its proprietary PPSA technology.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">CEO Dan Brdar and President Paul Bundschuh will host the call. Mr. Brdar joined Ideal Power as CEO and Chairman on January 8, 2014.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">To access the call, please use the following information:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Date:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Monday, January 13, 2014</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Time:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;2:00 pm ET</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">US dial-in:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;1-877-941-1427</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">International:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;1-480-629-9664</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Passcode:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; &#160;&#160;4659460</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Webcast:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; &#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">http://public.viavid.com/index.php?id=107354</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Slides accompanying the presentation will be available on the investor relations section of the Company&#8217;s website at <font style="DISPLAY: inline; TEXT-DECORATION: underline">www.IdealPower.com</font> prior to the start of the conference call and webcast.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">A replay of the call will be available approximately 24 hours after the end of the live event. A playback of the call will be available until 11:59 p.m. ET on January 15, 2014. To listen, call 1-877-870-5176 within the United States or 1-858-384-5517 when calling internationally. Please use the replay pin number 4659460. The webcast replay will be available on the Company&#8217;s website until April 13, 2014.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">About Ideal Power Inc.</font></div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Ideal Power Inc. (NASDAQ: IPWR) has developed a novel, patented power conversion technology called Power Packet Switching Architecture&#8482; (PPSA).&#160;&#160;PPSA improves the size, cost, efficiency, flexibility and reliability of electronic power converters. PPSA can scale across several large and growing markets, including solar photovoltaic generation, electrified vehicle charging, and commercial grid storage.&#160;&#160;Ideal Power also has a licensing-based, capital-efficient business model that can enable it to address these markets simultaneously. Ideal Power has won multiple grants for its PPSA technology, including a $2.5 million grant from the Department of Energy&#8217;s Advanced Research Projects Agency &#8211; Energy program, and market-leading customers are incorporating PPSA as a key component of their systems.&#160;&#160;For more information on Ideal Power, visit <font style="DISPLAY: inline; TEXT-DECORATION: underline">www.IdealPower.com</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><br>
&#160;</div>

<div id="PGBRK" style="TEXT-INDENT: 0pt; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-1-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><br>
<font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Safe Harbor Statement</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">All statements in this release that are not based on historical fact are "forward looking statements". While management has based any forward looking statements included in this release on its current expectations, the information on which such expectations were based may change. These forward looking statements rely on a number of assumptions concerning future events and are subject to a number of risks, uncertainties and other factors, many of which are outside of our control, that could cause actual results to materially differ from such statements.&#160; Such risks, uncertainties, and other factors include, but are not limited to, whether the patents for our technology provide adequate protection and whether we can be successful in maintaining, enforcing and defending our patents, whether demand for our products, which we believe are disruptive, will develop and whether we can compete successfully with other manufacturers and suppliers of energy conversion products, both now and in the future, as new products are developed and marketed.&#160; Furthermore, we operate in a highly competitive and rapidly changing environment where new and unanticipated risks may arise.&#160; Accordingly, investors should not place any reliance on forward-looking statements as a prediction of actual results.&#160; We disclaim any intention to, and undertake no obligation to, update or revise forward-looking statements.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Ideal Power Media Contact:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Mercom Communications</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Wendy Prabhu</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">1.512.215.4452</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; TEXT-DECORATION: underline">idealpower@mercomcapital.com</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; TEXT-DECORATION: underline">www.mercomcapital.com</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Investor Relations Contact:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">MZ North America</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Matt Hayden</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">1.949.259.4986</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; TEXT-DECORATION: underline">matt.hayden@mzgroup.us</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; TEXT-DECORATION: underline">www.mzgroup.us</font></font></div>

<br>
</div>
</body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.2
<SEQUENCE>5
<FILENAME>ex99-2.htm
<DESCRIPTION>PRESS RELEASE ISSUED JANUARY 8, 2014
<TEXT>
<html>
<head>
    <title>ex99-2.htm</title>
    <!--Licensed to: SEC Connect-->
    <!--Document Created using EDGARizerAgent 5.4.5.1-->
    <!--Copyright 1995 - 2013 Thomson Reuters. All rights reserved.-->
</head>
<body bgcolor="#ffffff" style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">
<div style="TEXT-ALIGN: right"><font style="FONT-WEIGHT: bold">Exhibit 99.2<br>
</font></div>

<div style="TEXT-ALIGN: center"><font style="FONT-WEIGHT: bold"><img src="idealpower.jpg" alt=""></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Ideal Power Appoints Global Energy Executive, R. Daniel Brdar, CEO and Chairman of the Board</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="FONT-STYLE: italic; DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Paul Bundschuh Assumes Role of President and Chief Commercial Officer</font><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">AUSTIN, Texas &#8211; January 8, 2014 &#8211; Ideal Power Inc. (NASDAQ: IPWR), a developer of a disruptive technology in the power conversion industry, today announced that R. Daniel Brdar has been appointed as the Company&#8217;s Chief Executive Officer and Chairman of the Board of Directors, effective January 8, 2014. Paul Bundschuh will assume the role of President and Chief Commercial Officer.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">&#8220;We are delighted that Dan has accepted the position of Chairman and CEO. He brings a deep understanding of the power generation and power electronics markets and an impressive track record of building world-class, cross-functional teams, developing innovative products, expanding into global markets, and driving meaningful growth in early-stage companies,&#8221; commented Mr. Bundschuh. &#8220;We continue to make progress in positioning and commercializing our disruptive Power Packet Switching Architecture&#8482; for the power converter markets. Dan will be instrumental in leading us in our next stage of growth and in helping us attain a competitive position in the fast-growing renewable energy, grid storage and other green technology markets both in the U.S. and internationally.&#8221;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Mr. Brdar has over 25 years of experience in the power systems and energy industries and has held a variety of leadership positions during his career. From 2006 through 2011, he was President and CEO of FuelCell Energy Inc., a NASDAQ-listed company with a market cap of over $250 million.&#160;&#160;During his tenure, the company&#8217;s revenues increased 235%, to $100 million, manufacturing production increased by over 200% and over $100 million was raised from institutional and strategic investors. Prior to joining Ideal Power Inc., Mr. Brdar served as the Chief Operating Officer of Petra Solar, a privately held, venture funded solar and smart grid company, where he held full P&amp;L responsibility and led a cross-functional management team across several international markets. From 1997 to 2000, Mr. Brdar held management positions, including Gas Turbine Product Manager, for GE&#8217;s Power Systems Division, a world leader in power generation systems and products. Additionally, Mr. Brdar has extensive research and development experience at the U.S. Department of Energy through various roles at the National Energy Technology Laboratory in Morgantown, WV and Pittsburgh, PA. Mr. Brdar has a BS in Engineering from the University of Pittsburgh.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">"I am thrilled to have the opportunity to lead Ideal Power into its next exciting phase,&#8221; said Mr. Brdar. &#8220;I believe that Ideal Power&#8217;s power conversion architecture is one of the most innovative and disruptive technologies in the market today and will be a competitive presence in several important emerging markets such as power converters for renewable energy applications, including commercial grid storage. I look forward to working with Ideal Power&#8217;s executive team in driving growth for the company and the entire power electronics ecosystem."</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Ideal Power&#8217;s Board of Directors unanimously approved the appointment of R. Daniel Brdar as CEO and Chairman.</font></div>

<br>
<div style="TEXT-INDENT: 0pt; DISPLAY: block"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Inducement Award</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">In accordance with Section 5635(c)(4) of the rules of the NASDAQ Stock Market and in connection with his appointment, Ideal Power will make a stock option grant to Mr. Brdar pursuant to a stand-alone award agreement outside of the Company&#8217;s 2013 Equity Incentive Plan as an inducement material to Mr. Brdar entering into employment with Ideal Power. The inducement grant was approved by the compensation committee of Ideal Power&#8217;s Board of Directors, which is comprised solely of independent directors. Mr. Brdar&#8217;s inducement grant consists of a stock option to purchase up to 250,000 shares of Ideal Power&#8217;s common stock, with a per share exercise price equal to the closing price of the Company&#8217;s common stock on January 8, 2014, the date that his employment will begin. Mr. Brdar&#8217;s option vests and becomes exercisable in four equal annual installments beginning on the one-year anniversary of the date of grant, subject to his continuous service through each vesting date. The option has a term of 10 years from the date of grant.</font><br>
<div id="PGBRK" style="TEXT-INDENT: 0pt; WIDTH: 100%; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div id="FTR">
<div id="GLFTR" style="WIDTH: 100%" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>

<div id="PN" style="PAGE-BREAK-AFTER: always; WIDTH: 100%">
<div style="TEXT-ALIGN: center; WIDTH: 100%"><font style="DISPLAY: inline; FONT-SIZE: 10pt">-1-</font></div>

<div style="TEXT-ALIGN: center; WIDTH: 100%">
<hr style="COLOR: black" noshade size="2">
</div>
</div>

<div id="HDR">
<div id="GLHDR" style="WIDTH: 100%" align="right"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 8pt">&#160; </font></div>
</div>
</div>

<br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">About Ideal Power Inc.</font></div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Ideal Power Inc. (NASDAQ: IPWR) has developed a novel, patented power conversion technology called Power Packet Switching Architecture&#8482; (PPSA). PPSA improves the size, cost, efficiency, flexibility and reliability of electronic power converters. PPSA can scale across several large and growing markets, including solar photovoltaic generation, electrified vehicle charging, and commercial grid storage.&#160;&#160;Ideal Power also has a licensing-based, capital-efficient business model that can enable it to address these markets simultaneously. Ideal Power has won multiple grants for its PPSA technology, including a $2.5 million grant from the Department of Energy&#8217;s Advanced Research Projects Agency &#8211; Energy program, and market-leading customers are incorporating PPSA as a key component of their systems.&#160;&#160;For more information on Ideal Power, visit <font style="DISPLAY: inline; TEXT-DECORATION: underline">www.IdealPower.com</font>.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><br>
<font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Safe Harbor Statement</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">All statements in this release that are not based on historical fact are "forward looking statements". While management has based any forward looking statements included in this release on its current expectations, the information on which such expectations were based may change. These forward looking statements rely on a number of assumptions concerning future events and are subject to a number of risks, uncertainties and other factors, many of which are outside of our control, that could cause actual results to materially differ from such statements. Such risks, uncertainties, and other factors include, but are not limited to, whether the patents for our technology provide adequate protection and whether we can be successful in maintaining, enforcing and defending our patents, whether demand for our products, which we believe are disruptive, will develop and whether we can compete successfully with other manufacturers and suppliers of energy conversion products, both now and in the future, as new products are developed and marketed.&#160;Furthermore, we operate in a highly competitive and rapidly changing environment where new and unanticipated risks may arise.&#160;Accordingly, investors should not place any reliance on forward-looking statements as a prediction of actual results.&#160;We disclaim any intention to, and undertake no obligation to, update or revise forward-looking statements.</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt">
<div style="TEXT-INDENT: 0pt; DISPLAY: block"><br>
</div>
</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Ideal Power Media Contact:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Mercom Communications&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">www.mercomcapital.com</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Wendy Prabhu&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">idealpower@mercomcapital.com</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">1.512.215.4452&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block">&#160;</div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold">Investor Relations Contact:</font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">MZ North America&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">www.mzgroup.us</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Matt Hayden&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="DISPLAY: inline; TEXT-DECORATION: underline">matt.hayden@mzgroup.us</font></font></div>

<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">1.949.259.4986</font><br>
</div>
</body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>6
<FILENAME>idealpower.jpg
<TEXT>
begin 644 idealpower.jpg
M_]C_X``02D9)1@`!`0$`8`!@``#_X0!F17AI9@``34T`*@````@`!`$:``4`
M```!````/@$;``4````!````1@$H``,````!``(```$Q``(````0````3@``
M``````!@`````0```&`````!4&%I;G0N3D54('8U+C`P`/_;`$,``0$!`0$!
M`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!
M`0$!`0$!`0$!`0$!`?_;`$,!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!
M`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`0$!`?_``!$(`"T!
M`0,!(@`"$0$#$0'_Q``?```!!0$!`0$!`0```````````0(#!`4&!P@)"@O_
MQ`"U$``"`0,#`@0#!04$!````7T!`@,`!!$%$B$Q008346$'(G$4,H&1H0@C
M0K'!%5+1\"0S8G*""0H6%Q@9&B4F)R@I*C0U-C<X.3I#1$5&1TA)2E-45597
M6%E:8V1E9F=H:6IS='5V=WAY>H.$A8:'B(F*DI.4E9:7F)F:HJ.DI::GJ*FJ
MLK.TM;:WN+FZPL/$Q<;'R,G*TM/4U=;7V-G:X>+CY.7FY^CIZO'R\_3U]O?X
M^?K_Q``?`0`#`0$!`0$!`0$!`````````0(#!`4&!P@)"@O_Q`"U$0`"`0($
M!`,$!P4$!``!`G<``0(#$00%(3$&$D%1!V%Q$R(R@0@40I&AL<$)(S-2\!5B
M<M$*%B0TX27Q%Q@9&B8G*"DJ-38W.#DZ0T1%1D=(24I35%565UA96F-D969G
M:&EJ<W1U=G=X>7J"@X2%AH>(B8J2DY25EI>8F9JBHZ2EIJ>HJ:JRL[2UMK>X
MN;K"P\3%QL?(R<K2T]35UM?8V=KBX^3EYN?HZ>KR\_3U]O?X^?K_V@`,`P$`
M`A$#$0`_`/[^**_@O_;@_P""M_\`P44^%O\`P4]^,GP"^'_[3&O^&?A-X=_:
M/TSP/H7A2V\$_"N]BTSPQ=ZOH=M+ID.HZMX$U#5IE$-Y.BSWE]<W/SY:9B`:
M_I/_`."Y7[2/QM_91_8"\6_&']G[QW>?#GXCZ9\1OAGHUEXFL=*\/ZS/#I>N
MZ\;/5;/[#XFTC6]+9+NWPC2/8M-'@&&6,Y)_1L?X9YWE^,X-P5;&Y5.IQO&A
M++)4JN+<,,L0L$X?7W/!PE3M]>I<WU>.)^&I:]H\WP>"\0<HQV%XKQ=+"9E&
MGPA*M',8U*>%4\0Z+Q:G]24<7)3O]3J<OMY8>_-"]KRY?V!HK_.O^!W_``44
M_P"#@K]I7PIXU\<?`'XF_&'XM^&OAQ/:V_C._P#!/PE^"FMS:)<WMK/?VEO)
MI4'P^.K7LT]I:W%PD.GV%X[1Q/E.,5^N7_!$K_@NM\<_VF?CUHO['G[8G_".
M>)?%WC/2O$4OPQ^,&FZ+8^#O$%_XI\+:3<:]>^"?&WAS0K"Q\)W#:GH&E:Y>
M:/KNE6'AJXMM5TJ/0[W3M=NO$%I=:5[.>>"_$V2Y?FF80S'A[-UDE/V^:X+*
ML?7JX_`T%2=>56OA\1@\-R*-!2KN$IJK*C%SITZB1Y63^+/#V;8[+L#+`9YE
M?]KU/8Y;B\RP5&E@L96=148TJ->ABL1SRE6<:*E&#IQJM0J3@VC^MZBOYCO^
M#CC]NS]K']B>']C^7]E_XPZI\*#\2)?CS'XV73O#G@K7UU\>$U^#C>'#/_PE
M_AKQ"UHVE'Q'K@B_LYK,3C4I?M@N3#:FW_#/X>?MY?\`!QI\6O!NB?$/X8:Q
M^T]X_P#`GB2*ZG\/^+_"/[-7@37O#NM0V5_=:7>2Z9JVG?".>RO([;4K&\L9
MG@E=8[JUGA8AXV`QX?\`"'.N(.'LOXEAGG#669?F4\13PZS;'8O"554PV*Q.
M$E";6!J4.><\+5J0C"M-NE:32:E&.V=^*&4Y)GF-X?GD_$&88[`0P]2L\LP>
M&Q-+DQ&&P^)A.-\;3K<L8XFG"<ITHI5+Q3:<7+_0]HK\F_\`@C/X[_;6^(G[
M(NJ:_P#M[0?$6W^.*_&+QGI]K%\3O`6G_#KQ$O@6VT+P=)H'D:#IGASPO;RZ
M6VH3ZXUMJ+:?)+<7!O(6NY%M4B@_//\`X.*/^"E/Q\_8L@_9J^&?[+WQ/G^&
MWQ(\?3^./'/CC5=.TCPIKVH1>"="32=`\-:=-I_BS0M?M8K3Q%KNIZ_<Q7=O
M;07`F\(R0K.8WEC/S.7\$9GFG&#X+P.+R[$8]8G%8?Z_2K5JF5M82A5Q%7$1
MQ$*$JKH<E*2A-4.:4W"/*G)'T&.XOR_+>%EQ9C,-CZ&"=##5_J=2C2AF*>*K
M4Z%.A*A.M&DJZG53G%UK1BI2<K19_3A17\<O_!!W_@JS^V9^T-^VSXT_9K_;
M`^*FL?$*WUOX7^+[KPKIGB#PIX*\*:KX4^(OP]UG2KO5-/DM_#7A?PW=N]SX
M;/BF/4[._-Q+:7>CVFR"+;=./Z8OV^?B+XT^$/[$?[67Q3^'.NS>&/'WP[_9
M\^+'C/P;XBM[73[Z?1/$OAWP9J^J:/J<5GJMI?Z;=/9WUM#.L%]975K(4VS0
M2(2I.(N!\UX9XEPO#&.KX&KC,;]0>'Q6%J5IX*I#,:GL:-13J4*5;DA54X5'
M["Z=.3@IKE<C(>+\MXAR#$<0X*CC*>%PKQL:^'Q%.C#%PG@:?M:M-PA7J4N>
M=-PG37MK6G'G<'=+ZXHK^-[_`(-_?^"F'[<7[8G[:7C?X8?M(_'K5_B=X$TG
M]GCQGXTL/#]]X3^'NAPV_B;3/'?PRTBQU07?A7PCH6HO);Z?KVJVZP27CVKB
M[9Y('DCB>/\`LAKEXQX2S#@K.99)F=?!XG%1PU#%.K@9UYT.3$*3A%2Q%##U
M.=<KYE[.VUI,Z.%>)\#Q;E4<WR^CBZ&'EB*V'5/&0HPK<]#E4FXT*U>'*^9<
MK]I?>Z1_&[_P7H_X+4?M"?!3X^Z]^Q?^R9XNN/A4?`.AZ`WQC^)VEZ?82>-=
M2\3>+=#TOQ=I_A?P7K-XM\/#>CZ/X9UC19=4US2[:S\276NWU]IEM?Z=9:3*
M=7_"#X"?MA_\%E/VH_B'8?"G]GS]I7]LSXK^/M0A>[70O"WQ7\9RII^GQNL<
MNK^(-9O=<LM!\+Z)#*Z12ZWXCU32M)CGDB@:\$\L<;^D?\%E_A[XK^+7_!:;
M]HSX7>!;.UOO&/Q"^)OP>\(>&K:^NA8:>VKZ[\(?A?8VLVIWYCE73])LVF-[
MJ^HM%*FGZ9;W=])&Z6[`_P!D_P#P3P^!?[._[!OP,T/X.?!^UL9]4N(K35/B
MA\2[N&V7Q7\5_'(M@FH^*-<O5AAGBTJ*0RV?@_PR";'PEX>2VTR#[1?MJFJZ
MI_2M7'<,>'_A[PM/`<+Y5FV?9UDF7Y@EC,'0KWKXK!T,3B<?F->5.6(E15>M
M[/#X>$X.<8^QI3I4Z,IQ_"<)E?$7'?&W$D\;Q!F>79'D^<8W+TL'BJU'W,-B
MZE&A@L%1C-4:<_8THU<1B)0E:4O:3C.I51^87P3_`."4?_!=#Q5:^&]7^.O_
M``5<\>_"6VOULKO7_"OA+XO_`!8^)GB_1[>8AKO2Y+[[3X8\(+K5K&=IFTW6
M/$>C-<`I#>W,&+AORU\5>`/^"_6B7/B[1O#/[6O[0GQ%\8^`=?UGPYXO^'WA
MGX]^.M-\=V=[HDDJ2W6C:'XJO-#M/%5EJ<44=]X?A\,:OJ^L>(=/OM+N=%TF
M_&HVZM_6%\:?^"P7[!/[./Q,T?X-_%S]H3PUHWQ)U#6-.T;5?#.DV&N^*/\`
MA!I=2DM52Y^).M:!INH>'OA[#:07<6H7UKXLU;2]5M]+(U`Z:UM)#)+^<7[&
M/[9W@S]NKXW_`!1^.'A/5=%+ZQXEM`/"%HRVWB'PAX3L%70?!,7BK29H;74H
MM4U#1=)AN=0U6X@FT^]UF34;+2-2N=.T^TAMOC\BXCXR]AF>=9QPCD?]DPPV
M&Q&#J8GA3"8/`\U2O.-.GAIQPU*MB*.(A[5.L\54Y)8:@E4O-QJ?;XWA;A&I
M4PV48+B#-8YBIUH58X?B?%UL?^[I495)583Q-6G&I1?LG[-X=14:TVH12BX?
MR2W'_!43_@I_X-\1W-AK'[9?[56B>)?#&K2V>J^'O%?Q$\:)>Z3K&F7!CN]*
M\0^%_$D[K'=6EQ&T&H:/K>FG8ZO;WEI]^.O[:O\`@@]_P5`^(G_!1+X+_$WP
M]\<X=)G^.'P"U7PI9^)/%>BV-GHMEX_\*^.K?Q!)X8\13Z!816^GZ7X@M;SP
MKKVE^((=&MK?1I%CTB_M;2Q?49;.'YD_X+K_`/!+#PG^TU^SOXK_`&P_A'X9
M33_VFO@;X2?Q)XK30-,,MY\</A9X:M(Y==T'7+>VFB:\\8^!O#UM>Z_X(UJ*
MTU#6=1M-,N?`4T%W;ZKH5UX;^)_^#24AO&'[<K*<AO#'[/I!'0@ZI\7B"/J*
M]WBW%\'<;^%.;\29=D>7Y9G.1U\!3K4\-AL/0Q.`Q=7,,%AZM/VU"E1EB<#B
M\+B9SHN<?9RDDW".(PTE#Y/AS!<4<&^)65Y#C,YQV8Y/G5'&SHSQ&(KUJ.*P
M]'`8K$4W*E6J5(T,;A:]"G&HZ;YE"6DG1KV?]J]%?S@_\'%?[;/[47[%GPU_
M9DU[]F/XLZE\*M4\=>.?B%I'BRYT_P`/^#]?_MFPTC0/#UYID$L?B[P[X@CM
MOL=Q=W4B/8I:O)Y["=I52(1_SR:'_P`%)/\`@X!UWX$7W[4OAWXI?%[7O@#H
ME]J5GJ_Q1TGX0?!76?"VD3Z)<);ZJ^L_9?AU=7&GV&G3R1Q7M_J5C#ID32(L
MMR`ZY_*^&_"/.^)<AP'$-#.N',NP>98FK@\+3S7&8O#5YXFEB:V%5!*&`K4I
MU:U2A-T:=.K.I..JCS)Q7Z)G_B?E'#^<XW(Z^4Y]CL5@*%+%8B>6X3"XBC##
MU*%+$.LW/&TJD:=*%:*JSJ4X0A+[5FF_]%FBOYN_^"&G_!9[QI^WG/X\^`W[
M3,7A2P^./PZ\'CQ_H7C?P_8_\([I_P`2?`]AJ$&F>*;S6=$C_P")'HWB;PK=
MZIH4UU_8KV&G:QI6J27=GH6G#0=3GN?QR_:&_P""S?\`P42_;^_;5M/V;_\`
M@G?XYNOAKX&\0>.-:\#?!S3/!MMH.C^(/B'INC/J-[+\2O&WC+Q;IDNJZ):7
M/A_2+_Q1+I=A)HEAH'AR%K>]L-3U>WN+NZPP7A)Q5B,^SG(\4\ORQ</X6&.S
M7-<;B9QRJA@ZU.=6AB(8F%&<JD*]*E6J0O3I^SCA\0L0Z$J-2*UQ7B=PW0R;
M*LXPRQV8/.\1/!Y;EN$H0EF5;%TIPI5J$Z$ZL8PG1J5:4)VJ3YW6H^P]M&K!
MR_O1HK^`6S_X*P?\%:?^"7'[7R_![]MOQS?_`!HT'0IM!NO'_P`._%K^&/$U
MOKW@GQ)':7D'B[X:_$+2-/TS68-5BTTW1T4SZH^A_P!JPWNE>)O#[75K(MA^
MN'_!??\`;W_:D_9R^&'[%7QZ_8M^.^N>`?AW\<=-\;/KEQIWAGP+KNF^(;2_
MT#X?^,/AKJ@7Q?X3UZ[L+RYT75/%!EB@NH(I88X%>W$ML\C[8CPBS^EG7#N4
MTLRR3%8;BFCB:V39WA\3B*N4XCZK@YXV=.=6&$E7A4G0C&5%QH5*5;VD.2H[
M5?9Y4/%#)*N49YF=3`9OAZ_#E6A2S;**^'H4\SH_6,3#"1J0ISQ,:,Z<*TI*
MKS5H5*?LY\]-7I^T_J*HK^;*V_X**_'/3_\`@WBB_;:U3XISW/[2E]X6U'PU
M8_$6+1O"G]IOX_N/VC[_`.%5A>?V`NB#PL+NPT*,7D]J^A"V-E92W9MGD8._
MS?\`\&\7_!3K]JS]L+]H3X[?"+]J7XV:A\49+#X/Z=\0/A_9:EX:\#>'_P"S
M'\/^,=+T#Q3);2>$O#7AZ:[DNHO&&A&2"[:[5(K1I85AV3,_FR\,\_ADG%6>
MNME[PO".;XS)LPI*IBOK&(Q&!K8>CB:N"C]4]G4P\/K,*G/6JT)\D9WIJ247
MZ$?$')99OPWDWL<<L3Q/E>$S;!5'##>PH4,;1K5</3Q<OK/M(5Y^PE#EI4ZT
M>>4$IM-M?UNT5_$IX%_X*@?\%!/BI_P6\E_93\*_M$ZPWP"A_;F\;>`5\!6/
MA#X:3Z=<?![X9?$+Q!)KVAQZX_@N;Q$UC>>"O"6I13:DFL_VH+>:2X@U&*<1
MW"9'_!;C_@JI^W]^RM_P4(^)?P;^`?[16M_#WX::)X0^&&IZ3X6L_!OPTUBW
MLKW7O!&DZIJTR7_B3P7K&K2&\U">>Z=;C4)DC>4QP+%"L<2>QAO!OB/$YSEN
M11S')(8W,N'?]9:?M*V/5.C@O;T,.J5=K+Y3CB74KV484YTK4ZG[ZZBI>77\
M5<BP^4X_.98#.)83+\]_U?J<E'!.I5QBHU:[JT4\=&$L.H4M93G"K>I3_=6<
MG'^X*BO\^NP_:\_X.9-5L++5--L/VNK[3M2M+:_L+VU_98\'S6UY97D*7%K=
M6\R?!\I+!<021S0R(2KQNK*2"#7]"_[9_P"T[^V)\`O^"&'A3]HB[\9^*_AU
M^U]I_P`/_P!G.;QUXEU[PAX;L?%FF^,?%7CGP3HGCFVUGPCK7AIM!TV_NH-4
MU*QN[(^';?[&9";>*"5%<<>;>%F9Y3C,CP/^L'"^8U\^SC#9+AXY9F&(Q+PV
M(Q4E"%;&1^I0G2P\922G.$:DT](TY,Z<L\2,OS+"YQC/[$XCP-')LKKYM7EF
M&`H8?ZQ0P\>:=+"OZW*%2NXJ\8SE3@UJYI'[^T5_G>_LT_\`!0/_`(."_P!L
M2U^(EY^S1\7OB#\6X_A19:%?^/8?#_@W]G&UO]%MO$RZZV@^3IFN>$]*U+6[
MC4_^$9UQ;:S\/VFJWADL3&\"27%JL_VY_P`$F?\`@O;^UOX@_:L\!_LJ?MMZ
MC9_$K0_BKXU3X::9XSU'P=H?@?XD_#3XA7T\^EZ#I>K67A;2/#ND:SHE]XF%
MOX=URRUK0XO$6C7%XFIQZTT&E7.B:AZN:>"'$^787-:]'->&LUQ&24%B<RRO
M+<PQ%3,\/0=%XF,IX6M@J')*>'3KTJ=6=.=>FKX>-63C&7G9;XO\/8_$Y91J
MY;Q!EM#-Z_U;`9CC\!0IY?7K*JL.XPQ%'%UN>,:[5&K.G"<*,]*SIQ4I1_MF
MHHHK\:/U8_S%/^"C_P#RF@^/O_9W>A_^G[PS7]?7_!RC_P`HMO'G_96?@[_Z
ME!K^07_@H_\`\IH/C[_V=WH?_I^\,U_7U_P<H_\`*+;QY_V5GX._^I0:_K3B
M;_D??1\_Z\Y9^7#Y_,G#W_(D\;_^ON/_`#SL^$/^#3+_`)(M^V+_`-E0^&'_
M`*BGB2OY\_`X7X>_\%T["S\*(NC6GAG_`(*@ZIH6D6NFC[)!9Z1;?M-7^BII
MUO'#L2.R_LLM8-;*/)>S9K=D:%F0_L[_`,&R_P"TQ^SQ^SO\"?VPK_XZ_'#X
M3_"..?Q[\/\`6+"V^(?C_P`+^$]3U?3],\*>(5O9]#TG6M4L]4UPQ2R16PBT
MBTO9I+N:&TBC>XECB;\9OV)K74?VP/\`@M5\+_%W@^PE^S_$?]MGQ#^T"\$B
MN38>$-'^(6O?&W79;@X^1K3PSI-Z%\S8'NA%#D/*H/T&"P]?#<;>-698JC5I
M97_86$4L35ISAAJKIY)SS49R2IU?9TX5?:<KE[-.TK<ZOXN+K4<1PCX28##U
M:=7,?[9Q+CAZ<XRQ$%/-U&/-"+<Z?M)SI<G,ESM7C?E=OW`_X.W_`/CU_8(_
MZ^/VF_\`T7\`J^2/V"?^#C#3_P!B?]DCX._LOR_LHWGQ"D^%.G>)K!_&,?Q?
M@\-IK9\1>.?$_C+S5T1OAWK+6`M1XC%AL.IW1E^R^?O3S?+3ZW_X.W_^/7]@
MC_KX_:;_`/1?P"KTG_@E/JO_``1,M_\`@G_^SK#^U1#_`,$]&^/L>C>-A\0F
M^,NB_!*Z^)ANS\4/&[:)_P`)3<>*+";7I+C_`(1=M$%@=1D>1=(_L](L6RPJ
M/F,J>1KP4X,_M[AC,^*L)_:^9>RP&55,72Q%#$?VCQ#RXN;P=2E4=&-/VE%J
M4G#GKPNN;EM]%F?]L/Q<XK_L7B'+N&\3_967>TQN94\-4HUJ'U#(>;"PCBJ=
M2FJLI^SJIQ2GR49I-)L_?W_@G5^V;'^WW^RKX*_:;A^'[_#&+QCK7C/2$\'R
M^(U\5R6/_"(>*-3\--<-K2Z+H"S_`&Y]-:[$0TV/[.LHB,DI4N?XP_\`@KOK
M[?MV?\%S_"?[.NER"Z\-^'OB#\!OV4[.YLG:"18KW7-,U#XCWT\O[TPSZ%XF
M\;^+M/FN$0A+3P_#,(6<-O\`[6_V>OBK^Q3I7P!\6^(?V0M<^!MQ\`?A$OB[
M4-=LOV>3X03P+X8U+3M)/CCQ/:#3_!BPZ+I^L7%C?)K=[#Y4,]P=0BO)]QN/
M,;_-6^$/Q%_;+^.G[<'B3]IC]E_P9XU\<_M07/Q#\<?M#6MMX"\`P?$W4_#5
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M_E''^W/_`-FJ?'/_`-5YKU?YO_\`P4`NOV\_%/QCTWXP_M^>`OB%X-^+OC[0
M[.STO7_'7PFTWX0W?BO2?!$5KI<%Q9:5H7ACPGI6HS:';W6G:?<:E!I[WB0_
MV=!=7#+';!?[T?BM\<)OVDO^"#7Q/^.-[J,.K:S\1O\`@GAX[UOQ1?VZA(YO
M&<7PBU;3?&J^6ORQ20>+;'6;::%<K#-#)$"0@-=WB5DM6E/PBSFIB,'CL10G
ME/#N98_`5OK.$Q.)P5?!U*4\/B.2G[6E.M',Y)RA3E%W3@GS*/)X?9M2J+Q.
MRFG0Q>#H55F.>X#!8VDZ&)H4,91Q,*L:U!SG[.I&D\OB[3FI1L^9KE;_`)CO
M^#63_E(?\2/^S4/B%_ZLWX-5_H&U_G,_\&Y'QX^"W[/'[<WC[QQ\=OBGX$^$
M7@^^_9J\;^'+/Q+\0O$VE>%=%N]?OOB%\*;^ST:WU#5[FUMYM2N;+2]2NX;.
M-VG>VL;N94,<$C+_`'R_!+]J_P#9G_:4N/$-I^S_`/'?X5_&6Z\)0Z=<^)[?
MX<>-=#\63:#;ZN]Y%I<VJQZ/>7364>H2:??):/.$6=K2=8R3&V/D_'S`8^7&
M^(Q\<%BY8&&599&>,CAJSPD)?O(<LL0H>QC+GG"-G-/FE&.\DG]'X*X[!1X0
MH8*6+PL<9/,\PE#"2KTEB9Q_=RO&@Y^UDN6,I74&N6,GLF?Q_P#C?]ESQM^U
M/_P<??M4>'?`?B[P1X-U;P%I>B^.[S6/%XU"_O+'1S\#?A5X/O=5\,>'--@#
M^(-6L)?%EI";6ZUGPU:PI?K<?VRLD8MY?V)_X*`?LZ>-/V/_`-DOXK?'[X1?
M'&*.Z^&'PMNIM7/Q6$]K;/XKO3!X?TOQ=H>K>$M"U`:9/#KFKV-Y9>&M8T*_
MT::]BM(-4\4Z/I!U"^3\4?B1^U1I/[(?_!SI\3?B/XKU6UT/X?>+?%_A'X._
M$75]0OAIVFZ1X;^)GP%^&FD:=KNJWCH\,&D>'/&T/A'Q#K$UQL@M]*TN\N9)
M8_(#C^N3XR7'PU^-_P`+/B7\$_B2BZGX(^*/@KQ3\._&&G;K?[0VB^*=(O-#
MU)K.29)XK;4[.*[>ZTR\\J1K+48+:[B'F0H:[>+,PSO+,3X:UZL'6X??!O"5
M:="&%HU/K-&EA\/#,L*ZE2G-SK*FU."YHJC]8I2BE*;D^GA"C@<9@^.</A9J
MCF\>+.*(2J.M->RQ%;%5?J.(4(3CR0=H1=]9NA4UM9+_`":;R^OM5N[S4]5O
MM0U74]3N[G4=3U/5[RYU'5=3U&^GDNK[4=4U"^EGO=0U&^NI9;J^OKR>:[O+
MJ66XN9I)I'=OM3_@G!\4?B'\(?VX?V;?%?PTU*PL=9OOBAX6\':]8:MKGA[P
M_I/BOP%XPUFRT7QQX.O[_P`5ZCI6@/-KOA^XNE\.V]]>I<+XSM_#-]H:/XEL
MM%Q]7?M`?\$.OVZ/A-\5]>\%?"WX=ZK^TC\/(M-\6^)/"/Q4^&5K!J+:QX;\
M,:)KOB2.Q\4^!K*ZOO%?A/Q]?Z=HJ:/;>'5T[5-$UOQIJNB^&?"/B;Q!<ZSI
MQE_07_@D[_P0Q_:,M/C%X/\`VG_VQOAY>_"'P!\(M;M_&?@'X6>*+V&#XC>/
MOB%H)M=4\$:YJ^B:3<WC>$O!7A/7EM_$5W9^)+G3_$FOZQH=AHC>'4T"\U'4
MA_16?\;\&?ZL8^O+.<JQ.'Q>5UJ=#`QKT:F)Q+Q5"I2H899>YT\2ISG^[G2J
M0HNARS=9T8PE*/X'D'!7&-/BG+HRRK,L-5PV:4:]?,'"I'#TX8>O"I7Q"QW+
M.C43AK&<95/:N<5%3<[/^Y#18-./AV^MM5>U?1VT^XAU&6[(ALGTQH)4NY+E
MKCRUBM'M3(TS3;%2$L9-H!Q_)Y_P;,>!;+X8_M-_\%0?AWI5]H>IZ+X,\1?#
M/P]X?U'PWXG\/^--$O?#6G>-OC?#X:N+'Q1X5U/6=!U<2:"-.:YEL=2N6M[P
MW%E?"#4;:[M8/1?^"HGC_P`;>"OV>?B3H.M>/?%=K\(--T6^O-;\$IJ]S%H&
MKB66*WT[0+NU1XFOM/U?6;G3]/M/#=W/+H$NK7MM,NF_;I%F/S3_`,&E#,_C
M/]NAW^_)X;^`$CXZ;WU;XOL^,<#YB>!P.W%?S?E_#=?*?"WQ%S66.C7H9HN'
MZ*PT*,XQA+"YU@JE.K*K*I;VO)B9QJ4E1:BITVJTKN)_0&<YM0Q/B'P%ERP_
M+B,/4SO$^V=5.2IU,FQ=&4/9*#O3G.DI0J.HGS4YQ]GNSW#_`(.SO^2._L<?
M]E+^*?\`ZBWA>ORR_9>_X*Y_L_?L]?\`!'+XS?L+:AX-^)7BCX[?%+2_CIX5
MT^:UTC0;7X=:/I_QAT^?18->U#Q)<^(SJ\DNA:?=3ZB-/L_#$\MSJ<-K9":W
MMI)=2M_U-_X.SO\`DCO[''_92_BG_P"HMX7JQ_P0<_X)L_L,?M-_L!^%OBY\
M>?V;_`_Q+^(TOQ2^)6C7'BCQ!<^)C=7.FZ)JUI'I5I<6EEKUII<L-G#*T*(;
M';)'CSA*Q9F^MR#'\/97X*\+9AQ-@\QQV`PG$]7$4</EE2E2K/'4<SS6KAI5
M95:M!/#KDJ*K&%2,Y-PMI=KX?.L%GN8^+?$>"X?Q6`P>-Q/#U*A6K9A"K4HK
M!U<ORVGB(TU2IU6J[YX.G*4'!)2OK8_(#_@@A\(OB5-XS_;/_:>T73[NP\`_
M`_\`8I^/NE7?B=XY8[:X\?>+?"<EUX8\/:=+A5NKZ+3O#^MZ[?&%W&FPZ?8+
M=B)]6T\R\1_P;EZ-9ZK_`,%6_@E>7422R^'O!7QJUJP+@'R;R3X5^)]#,J9Z
M.+/6KM`1R`Y(]1_?_P"(?V=OASX2_9>^)G[/7P1^'OA#X9^#=;^%OQ*\)>'O
M!O@/P[IGAK0+.^\9^&];LIY[?2M)M;:U-YJ.HZG)=WUV\3W5_>32W-W+-/*[
MM_GM_P#!`#QG:?#?_@K'^SM9^)7314\3K\5OAU<?VJPT][37=:^&'C&'1=,F
MCNA&Z:AJ/B>QTO0;:R8+<2ZE?P6JH9F$9]+*>,)<>9!XR9M0PKP<GP]3PN%P
MG.JF(6!H91G*INM."BIU:U1XN;C!.,/:*A%U.3VD_/S/A9<&9WX4Y96Q*Q7_
M``NSQ&)Q/(Z=!XRMF>4\ZI1DVX4Z4%AH*4VI3Y/;.-/FY(_:_P#P=8Z?:0?M
MR_`C48H(X[N__94\/P7<R(%>=+#XM?%HVWFD`%VB6[E168DA,(,*JBOL'_@H
MW\-;OXL_\&WG[#_Q+DFE?4_@;X8_9G\77,@3S'NM$U/PI>?!VXM9#M+*HNO%
M^@Z@\V1_R#,,2)&-?!/_``=&?$GPUXR_X*#^"/!^@:A!J&H?"G]G/P7X7\8)
M!(K_`-E>)]<\8^/_`!M'I$^TG;<1^%O$?AC4W4G*IJL:,`R,*_HZ\;_L[:WX
MD_X-YH_@C>:4\GBO2?\`@GWX3\31Z/<1O%=?\)3X'\`Z-\4;734CR&34#JVA
MQV=O'(5'VMDCGV*9`/.KY@\EX.\"\77DZ-6EGV"K24])?V?6=2GB)+FU]G+"
M8JG:6RC4@^QWTL$LWXK\8\-17M:=7)<72CR:Q^O452G0B^6]ZD<5AIZ;\T)K
M>Y_)[#\<KZ3_`(-[[OX2WM^LDD'_``4H7POI%D&8R0>$V^#5M\49(V0D@0?\
M)=)JMSN&%,UPHV[\L?K7_@G%X6T?]B3_`(+<_"?X?Z'I]QH_AWQ?^RCX-U'4
M['4;FXDD_M7QY^Q'X-^-_C,?:+EQ)Y)^)FEZV\,;[TMH8UM8T4P)Y?X#^`/$
M?CCXE>%/A_\`LE>'U#6'C?X_Z-XBTB(%W:Y\<>,=-T3X::0K6Z@;Q##)M1@Y
M=C=.BA>2W[__`/!?^3Q1^R#_`,%1O@I\:O`-I'`\G[-'@&;P_?.GDV]]<^'U
M^(7PFUC3[IXA\UQ#X9M=+CN45=@LM0LH^5)`_1\XRZ,,?C^#XSIQEQQE_B!C
MU1YU&'UNM#(XX.O4BM'-6Q,E*W-%>V:^T?!Y5CW/!X+BF4)RCP?CN!\$ZO)S
M3^K49YN\71A)W?([X>+C\,G[)6TBCR__`(-Q?!=Q\<O^"JM_\8?%LLM]K7P[
M^&_QD^,LUYM9H[KQCXWN+3X?W,UQN<X\ZU^)OB&]B+F0BY@B8?.HD3R?_@X[
M_P"4JOQ?_P"Q!^#/_JN=$K]4?^#3+X2R->?MA_'6[1!%%;?#+X2Z#($5I'DN
M)?$7C#Q:C.1OC2-;;P6R*IVS&5S(,P1Y_*[_`(.._P#E*K\7_P#L0?@S_P"J
MYT2O'RS'QQ?CWG.&@TZ64<%4\MIQC\%.*K93CI4X):)0J8Z::6TN9=++U,PP
M<L+X*Y7B)JU3-.+)YA4D_CJ-TLQP<:DWNW*&#@T^L>5];O\`3WP#_P`'5^E>
M!_`O@KP6O[%.H:@OA#PEX<\+B_/QVMH#>C0-'L])%V81\*I!";G[)YQB#OY>
M_;N;&3^J7_!=3QO_`,+-_P"")7COXD#3?[''Q!TC]E_QN-(^U?;_`.RO^$K^
M)/PSU[^S?MWV>T^V?8?M_P!E^U_9;;[1Y7G?9X=_EKC?"C6?^#>I?A;\-5\6
MP?\`!+<^*U\`>#5\3'6/#_[/+ZL?$(\.Z<-:.J//IK3OJ/\`:0N?MS3,96N?
M-,A+EC6A_P`%S?%_PL\=_P#!%#XH^)_@CKW@[Q-\)KV\^`]IX#UCX?7>F7W@
MJ;P_HOQL\#Z':VOANXT9FTK^R]+;39-*@M[`BWLS9-9HD?D%%_(9+AQ\<<#3
MR'@K.^%YQXRRZ.-Q>:5,?5H8YSS'"NE"@\75JPA*+A6JVI\KE"5]5'3]04L]
M7!_&,,YXMR?B*$N%<=+"87+J>"I5L&H8&NJLZRPM.G.46ITJ=Y\RC)='(_ES
M_P""+7_!5?X5?\$PD_:@OOB-\-/B#\2=4^,FE_"N+P=8^"9_#EE86M]\/F^)
M4MY%XFU+7=4M;C3K34)/&6FI;76EZ5KDT:6]])+9[DMX[CN/^"4G[.OQF_X*
M0?\`!4;_`(;">P\)^$_!'AK]IK6/VG_BW<VWB#1X9-+UJZ\:77Q/L?!OA/PE
M<:FWB[5H=2\07NGZ,FLG3WTC2M,DN+W5=7;4DM=.U+Z<_P"#97]EK]G']IRZ
M_;8T_P#:%^"'PR^,MMX8TOX!+X9'Q#\(:/XFG\-?\)%+\:8=<D\/7FI6LUYH
M<^J1Z7IGVRXTN>TGE?3;"0R>99V[Q_G+^Q5!J/[*W_!;KX=?#[X;ZYJFF:;X
M"_;C\2?`.*X%VZW&J^`Y?B?K?PJU/2M5:/RTO(=6\-RRP7D<J&-YG6=46:*)
MD_:LUJ9;7SKQ8PN14*F7\7TN'<!+,,UQBEC,'BL)+)83HT<)AXXBFL+4AAU2
MHSJRIS7MW#$2I8B%-T9?DF6PS"CE/AIB,YK0QO"]7/L9'`Y=A''"XK#8F.;R
MC5JXJO*A-XB$ZSJ58TXS@_8J5%5*$IJJO]-:BBBOX9/[%/YI/VBO^#<_PY^T
M!^V+X]_:XN/VK-<\+WWCCXLV?Q3;P3!\)=/U6UTR:SOM.O4T9=;D\>6,MU&Q
MT]8S>MID#8D+?9OEPWZV_P#!1S]B*Q_X*$?LQ:Y^S;J/Q$N_A=:ZUXK\(>*'
M\667AN'Q5<0-X3U(ZBEDND3ZQH<;K>L1&TYOU,`&X12YVU]W45]7B>-^*,97
MR#$XG-)5*_"ZI+(IO"X&/U!45AU32C##1C7Y?JM#_>HU[\FM^:7-\UA^$.',
M+1SO#T,MC3H\1.I+.8?6<9)8UU/;<]W/$2E0YOK%;_=G1MSNUK1Y?X]1_P`&
ME7@[(W?MM^)L9YQ\#M*SCOC/Q,QG_.#7[*_\$WO^"-'[,'_!-Z_U+QWX*OO%
M'Q2^-VNZ%<>&]4^*WCLV$$NF:'>W5K=ZAHW@KPOI4,>F^&+#4I;"P:_N;FYU
MWQ#<"W>U_M]-,N9M.;]=:*]#.?$WCK/\!5RS->(<3B,#725?#TZ&"P<:\5;]
MW6E@L+AZE2DVKRI3FZ<W\4796X<I\/>#<DQE+,,MR/#T<91=Z->I7QF+E1E:
MW/2CB\17A3J)7M4A%5(W?+)7/Q]_X*O_`/!)C2/^"H\?P)CU;XVZE\'!\$7^
M)3P'3O`UKXS/B(_$5?`:R"7[3XF\.?V;_9/_``@Z;-GVS[9_:3[OL_V5?/\`
MQV_XA*O!_P#T>WXE_P##&Z7_`//,K^PNBGDOB;QQP]EN&RC)\]G@\NPGMOJ^
M&6!RRLJ?MZ]3$U?WF(P56M+GKU:D_?J2MSN,;148HS;P]X/SW,*^:9KD\<7C
M\5[+V]=XS,:3J>PHTL/2_=T,72I1Y:-&G#W81NDW*\FV_P`3OV7/^"/4W[*_
M[!'[4'[$/@[]I/5;^7]I;5?%=U>?%B7X<6]AJ'A#2O&_@GPI\/\`Q+I=EX9M
M_&DL>I377AOP_J,%MJ#:]8-:W&M"<VTPL!'=<Q_P2W_X(A^%_P#@F?\`&CQS
M\9M/^/>J?&#4_&/PUNOAQ!IFH_#NS\'KHUK?>)?#WB.[U"*^M_%OB%[IYG\.
MVEJUJ;>!=K>:9B8U0_NQ17%7X\XKQ.'SS"5LU<J'$E98C.XK!Y?"6/JQIT::
ME.I#"QJTDH4*<5##SHTU[[4;U*CEUT>#.&J%?)\32RU1K9!1>'RB3Q>.E'!T
MG.I4:C3GB94ZLG.K-NI7A5F[Q3E:$%'\@/\`@JU_P23\*?\`!4.V^"SZO\7=
M3^#NL_!N?QNMKJVF^#;7QC_;VF>-H_#)N-.NK:Y\0^'OLG]GW7AFWN;6=)[C
M=]KNHVB&Y7'3_`7_`()EW/P6_P"";/Q*_P""=%_\>]6\;Z!XV\(_&/P1X>^)
M%YX'MM*O?!6@?%^WU.2[L[;PQ'XFOX=4CT;7==UW6X%DUNS^UOJ36A-K'"DA
M_5BBN6/&'$<<GRW(%F4GE.48Z&99=A)8;!R6%QM.M6Q$*\*\L.\2W&KB*\N2
M=:5.U64'!PM%=#X6R&6:X_.W@$LSS/!SP&/Q,<1BX?6<).E1H2HSHQKJ@DZ>
M'HKGC2C43@IJ:G[Q_'I_Q"5>#_\`H]OQ+_X8W2__`)YE?KK_`,$I/^"0NC_\
M$O-6^->J:3\<]3^,7_"Y-.\"V$\&H^`[7P9_8/\`PA-SXIN(Y8I+;Q1XB_M#
M^T/^$F='1UM?L_V12&F\XB/]EJ*]C./$[CG/\MQ.49OGL\9EV,5)8G#/`Y91
M554:U+$4[U,/@J5:/+6HTY^Y4C=JSO%M/RLJ\.^#LDQ^'S3*\FCA<=A74>'K
MK&YC5=-U:,Z%1^SKXNK2ES4JDX^_"5N9R5I)-?YC?_!>W3KJS_X*R?M>1:A:
M20K>ZS\,;R%+B+Y+JPO?@?\`#1X)X]XV36\\9(W#<F1)$WSHZCV']DS_`(+*
M^//`_@30?A9\=-3U76?^$2TVQT+PI\2<3W]]=Z!IT,%CI6C^-8K=6O+F_P!(
MLHHK.V\5QI=W.J64,)\2(=2@N]>U3^O_`/X*=?\`!&C]G_\`X*6S^'_&WB#Q
M/K_P>^./A/1!X9T;XI^%]+LO$-OJGAM+Z74+70O&WA"_O-+B\1V.DW-YJD^B
MS:?KOAS5K&?5+I9=3O+`1V"_BW_Q"/6O_1_MQ_XBW'_]$17[[D?B5X8YKP;D
M&3\4XF>!QN49=@LO=*IEV8XJI3JX'"TL(\5A<3@L'BJ7LL3"E&;IU)*2OR5:
M<G3A4?X_CN"O$?(N+LZS?AC#TL=@LTQ^*QK_`-NP-"C6I8O$U,4L/B</B\7A
MJJJX:=1PC5IKIS0J<M2=,_0K_@C_`/\`!0OX,_M"?%;QY\*+GQ%I\OQ3U7PM
M%XD\"S2:W:2VOB#PUH<RGQ9H&D6;2JQUW3VNM.\07$4!N;K4]#AOKH06]IX6
MOIG_`%!_:Q_;2_9)_9<\(:WXB^/GQ]^&W@*/2[5Y&\.W7B&RU;QYJLO*QV7A
MWX=Z$VI^-_$>H3-PEGHV@WLBC=+/Y5NDLR?SC:/_`,&F]YX>U#^UM`_X*(ZO
MHNJ#3M>T@:EI?[,ALKX:7XI\/ZKX3\2Z<+F#]HI)19Z_X7US6O#VKVX;RM0T
M75M1TVY62UNYXGQX_P#@T6TZ%Y9(OV^)$DG<R3R+^RQ"))I#UDFD_P"&A]\K
MGN[EF/<U^?YIEO@[F>?O-(^(.,P>7SAAO:9?1X<SNI7=2DN2K['&5<"Z="G.
MG"FX1>$K\M2527P\L3[K"YQXGX;+%AI<"8:OCTZO+B)9_E$,,HRY73YZ,<:Z
ME5QDYN3]M3O&,(;MS7X@?\%5/^"G%S^W;X]3PO\`#30M4\#_`+.G@_69=0\.
M:;K9BB\8_$37;<7=I;^-O&T%E<W%CI5I!9W,J>%_!=M<:A'HRW-SJFKZIJ>L
M7-K#H'[2?\&DNG7I\0_MTZL+:7^SH]&_9YTYKPC$/VV:^^,ERELK$@O+Y$$D
MKA`WEKL,A3S8M_46W_!I!IBW$+7G[?%_/:K(AN(;;]F.WM+B6$,/,2&YE^/]
MY'!(RY"2O:7*HV&,,@&T_P!)W["?[!?P%_X)Z_!E/@W\"M-U62WU'59/$7C7
MQKXGNX=1\9>/O$TL*6JZQXAO+6VLK")+*PAM]-TG2=(T_3M(TVS@+16;:A>:
MG?W_`--Q[XA>'R\/<1P=P=B*V-EB_J=&-L%C\/'#PPV.PN-K8K%ULPP^%G7K
M5_JWLU[)5'SU$VJ=*G&)\KPAP9QW6X[H<6\6T:6$6%CB9V^MX.O[1UL'7P5'
M"X2C@L1B8T:-%5^=NI*'NP>M2K4E(^;_`/@JO_P2UTO_`(*?^$O@_P"%-5^,
MNH?!Z+X3>(_%/B&*\T_P5;>,GUQ_$VF:7IIMI(KGQ'X=%@MDNF>:LBR71G,Y
M4I%Y89_;_P#@F_\`L.6/_!//]F;3/V<-.^(MW\4K73/&/BWQ:GBN]\-P^%9Y
M6\575O=/8'2;?6-<C5;-H"JW'V]C,'R8H]N#]Z45_/U3BC/:W#^'X6J8^4LA
MPN)EC*&`^KX51IXF4ZU1U/K"H+%2?/B*TN6=>4%SM*-E%1_:Z?#N34L\K\1T
M\&HYUB<.L+6QOML2W/#J%&FJ?L'6>&C:.'I+FC14_=OS7E)LK^:3]N__`(-N
M/@Y^U)\;?%7Q^^"7QLUC]G3QAX^UJ_\`%OC?P]+X/7QYX0U+QOJ=])J6I>*M
M!2+Q/X4U?PO=:OJ$LNH:I90WVIV!U*:2]TR#3%9K5_Z6Z*.'>*,^X4QD\?D&
M8U<OQ%6E[&LXTZ-:E7I.2E[.MA\33K4*J4E>//3DX.[@XMMAGO#N3<2X6&#S
MO`T\;0IU%6I*4ZM*I1JI6YZ5>A4I5J;:=I<E1*:TFI+0_E;_`&5_^#7OX2_#
M+XL>'?BE^TS^T'J_[1=KX;U2V\0)\/+'P*/!?AOQ'KEA=6]U8#QIJNI^+/&&
MK>(-`22%CJ&A0QZ4-8S%;WU^=.%YI]__`%$>(?#^G>)?#6N>%=1@B?2-?T/4
M_#]];&)&A?3M5L)]-NH#"1Y;1-;3O'Y1&PH=I&WBMRBM>(>+^(^*L5A\9GV9
MU<=6PD7#"+V=##T<-%RC*7L,/A:5"A3E.4(.<XTU.?)!3E)0@EED7"^0\-8>
MOA<ERZG@Z6*DIXE^TK5ZN(DHN,?;5\34K5IQBI2Y(.IR0YYN$8N<K_RK_`'_
M`(-@?!7P,^/?P@^-R?M;^(O%"?"7XI>"OB9;>%)_A#IVF1:U)X*\3:?XDM-'
MFU=/B!?26:74VG16\EZMA<O&K&06[D;#^AW_``5:_P""/GAG_@J%K?P6\0:G
M\:M3^#>I?"#2O&VCB73O`]IXS'B2Q\7W?AN]BCN!<^)?#IT\Z//H-PT)0W0N
M?[5FW"+R5,G[-45ZF(\2.-<5G&7Y_B,\J5,VRJCB,/@,7]3RZ+H4<53G2Q$/
M8PP<</5]K"I--UJ522O>+C*,6O.H<`\)8;*L=DM#*(0RS,JM"OC<+]:Q\E7J
MX6<*E"7M98IUZ?).G%J-*K3B]5)-2DG^:O\`P2[_`."<?A__`()G_`[QA\&]
M%^)-[\5Y_&?Q-U+XC:AXLO\`PM;^$9T^V>&_#/AVTT4:9;:UKZ216">'Y;I;
MQKY6E;4I(OL\8@#R_G[_`,%#_P#@WZ\/?M^_M2>+_P!IC4OVGM:^&=SXKT/P
M=HA\(67PML?$]O8)X1\.6/A])UUF?QOHLEPU\++[6T9T^(6YE,(>4()&_HLH
MKCP7'/%67Y]C>)L)FLZ6>9C3J4L9C_JN!J2K4ZLJ$YQ="KAIX:"E+#4?X=&#
MBH<L6DY)]6*X/X<QN2X3A[%9;&KD^`G3J87!_6<9!4ITE5C"7MJ>(AB)M*O5
MO[2K)2YVY7:37\>G_$)5X/\`^CV_$O\`X8W2_P#YYE?LKXW_`."4FE>-/^"6
MGAS_`()ER?&O4;#2_#]AX4L!\7D\#VT^H72>%OB?#\28W/@X^)HK:)KN2%=(
M8#Q#)Y49-X#(W^CU^NU%=^9^)G&^<3RVIF6>3Q,\HS'#YMES>!RRG]7S#"J2
MH8A*C@J:J.'-+]W652C*[YJ<M+<67>'O!^51Q\,!D\:$<SP%;+,<OKF85/;X
M'$<GMJ#=7%U'34^2+]I2<*L?LS5S\<?^"4/_``2,T?\`X)<WGQTN])^.&I_&
M/_A=EM\.+>>/4?`MKX,_X1[_`(5Y+XYDB>%K;Q/XB_M'^U/^$UD#AQ:?9?[/
M0J9_M!\GX]\1?\&\.F3_`+<VM?MQ^#OVJ[[P]XHN_P!I:^_:8T?P+K'P<M?$
M'A_3_$5Y\0Y/B.?#=_J%G\1_#U_J6B?VI+)82S6R:5?/I[GRIK>Y`G']*%%<
M\/$'B^GFF:YS'.)?VEGF%I8+-<0\%ETEC,+0HT\/3I3H2PCP\%&C2A3<J5*G
M.23YI-RDWO+@?A:>799E,LK7U#)\3/%Y;16+Q\7A<35JSKU*L:T<4J\W*K4G
3/EJU)P3=E%)12****^,/K#__V3\_
`
end
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>7
<FILENAME>ex10-20.jpg
<TEXT>
begin 644 ex10-20.jpg
M_]C_X``02D9)1@`!`0$`>`!X``#_VP!#``@&!@<&!0@'!P<)"0@*#!0-#`L+
M#!D2$P\4'1H?'AT:'!P@)"XG("(L(QP<*#<I+#`Q-#0T'R<Y/3@R/"XS-#+_
MVP!#`0D)"0P+#!@-#1@R(1PA,C(R,C(R,C(R,C(R,C(R,C(R,C(R,C(R,C(R
M,C(R,C(R,C(R,C(R,C(R,C(R,C(R,C+_P``1"`!6`=L#`2(``A$!`Q$!_\0`
M'P```04!`0$!`0$```````````$"`P0%!@<("0H+_\0`M1```@$#`P($`P4%
M!`0```%]`0(#``01!1(A,4$&$U%A!R)Q%#*!D:$((T*QP152T?`D,V)R@@D*
M%A<8&1HE)B<H*2HT-38W.#DZ0T1%1D=(24I35%565UA96F-D969G:&EJ<W1U
M=G=X>7J#A(6&AXB)BI*3E)66EYB9FJ*CI*6FIZBIJK*SM+6VM[BYNL+#Q,7&
MQ\C)RM+3U-76U]C9VN'BX^3EYN?HZ>KQ\O/T]?;W^/GZ_\0`'P$``P$!`0$!
M`0$!`0````````$"`P0%!@<("0H+_\0`M1$``@$"!`0#!`<%!`0``0)W``$"
M`Q$$!2$Q!A)!40=A<1,B,H$(%$*1H;'!"2,S4O`58G+1"A8D-.$E\1<8&1HF
M)R@I*C4V-S@Y.D-$149'2$E*4U155E=865IC9&5F9VAI:G-T=79W>'EZ@H.$
MA8:'B(F*DI.4E9:7F)F:HJ.DI::GJ*FJLK.TM;:WN+FZPL/$Q<;'R,G*TM/4
MU=;7V-G:XN/DY>;GZ.GJ\O/T]?;W^/GZ_]H`#`,!``(1`Q$`/P#W^BBB@`HH
MHH`****`"BBB@`HHHH`****`"BBB@`HHHH`****`"BBB@`HHHH`2L_5=9T[1
M;3[5J5Y%:PYP&D;&X^@'4GV%7)94AA:21@J(I9F/8#J:^7/%7B.Z\3ZY/?W#
M-Y98K!$3Q''V`_KZFMJ%#VK\C*K4Y$>UR?%SPFCE5N;EP/XEMVP?SP:3_A;_
M`(4_Y[77_@.:^>JOZ5HVHZY=BUTVTEN9>X0<*/4GH![FNUX.DE=G/[>;/=O^
M%O\`A3_GM=?^`YH_X6_X4_Y[77_@.:Y+2O@E=RHLFK:I'`3UBMTWD?\``C@?
MH:Z.+X/Z';V=['%<WDLUQ;F)3.4*HVX,&`"@@Y4=^A/K7/*.'75FJ=5]"U_P
MM_PI_P`]KK_P'-'_``M_PI_SVNO_``'->5#P',\TMO\`:?)N(F*,DB9&1[C_
M``K'UCPQJVAC?>6K>03@3Q_,A_'M^.*V6&HMV3(=6HMT>V_\+?\`"?\`SVNO
M_`<UN:)XV\/^(9?)T_48WF_YY."CGZ!@,_AFOEZG1R/#*LD3LDB$,K*<%2.X
M-4\%!K1B6(E?4^P**Y+X>>(Y/$WA2&YN2#=PN8)V`QN8`$-^((/US76UYLHN
M,G%G6FFKH6BBBD,****`"BBB@`HHHH`****`"BBB@`HHHH`****`"BBB@`HH
MHH`****`"BBB@`HHHH`2N/\`%GQ!T_PC?P6=Y:7,SS1>:##MP!DCN1Z5V%>%
M_&[_`)&;3_\`KS_]G:MJ$%.?*S.K)QC=':Z%\5M+U_6[72[>QO8Y;ABJO(%V
MC`)YP?:N_KYG^&W_`"4+2/\`KHW_`*`U?3':JQ-.-.2414IN2NSS>^^,6C6-
M_<V<FG7[/!*T3%=F"5../F]J@_X7=HG_`$#=0_)/_BJ\>\1?\C-JO_7Y-_Z&
M:U/"O@?4O%\5U)I\]I$+9E5_M#LN=V<8PI]*Z_JU&,>:1A[6HW9'JEK\:/#L
M\@2:VO[<$_?:-64?7#9_2NZTO5K'5[%+S3[N.X@?HZ'OZ$=0?8\U\R>(_"^I
M^%[Q+;4HE4R+NCDC;<CCO@_T-;GPQ\1S:)XMM[9G/V2_<02IGC<>$;Z@G'T)
MK.IA8.'-394*TN:TCZ-KS>^^,6C6.H7-G)IU^SP2M$Q79@E3CCYO:O2.U?)_
MB+_D9M5_Z_)O_0S6.%I1J-J1I6FXI6/8?^%W:)_T#=0_)/\`XJC_`(7=HG_0
M-U#\D_\`BJ\H\/\`A#6/$\<[Z5;I*L!42;I53!.<=3[&MO\`X5-XP_Y\(O\`
MP)3_`!KI='#IV;_$Q52J]4CV?PEXPL_%]I<7%G;SPK`X1A-C))&>,$UTE<#\
M,/#.J^&=-OX=4@6)YIE=`L@?(`QV-=]VK@J**FU'8ZH-N*ON<YXL\6V?A"Q@
MNKR*:832^6J18W="2>2..!^=<G_PN[1/^@;J'Y)_\57-_&S4OM'B"PTU6RMK
M`9&'HSGI^2C\Z\S,4@A68H?+9BH;L2`"1^HKMHX:$H)RW9S5*TE)I'TYX3\7
M6?BZQGNK.*:(0R^6R2XW=`0>">.3^5='7AOP3U+R=?O].9L+<P"11ZLA_P`&
M/Y5[E7)7IJG-I;&]*7-&[,7Q/XCM_"^C-J5U#++$KJFV+&[)^I%<5_PN[1/^
M@;J'Y)_\56E\8/\`D1)?^OB+^9KYZKHP]"$X7D95:LHRLCZ\MIUN;6&X4$+*
M@<`]0",U-5/2/^0+8_\`7O'_`.@BKE<3W.E;&;X@8KX;U1E."+24@CM\AKY/
MKZP\1?\`(M:K_P!><W_H!KY11&D=40$LQ``'<UZ&!ZG)B=T=#X/\)7/BO5/)
M5C%9Q8:XGQ]T>@_VCVKZ(T72-.T"P2STZ!(85ZX^\Q]6/<URGA:U@\/Z)!81
M%=X&Z5Q_&YZG^GT`KHH]0![UGB)RJ.W0TI045YFZ)`:<&KCM>\<:5X;A5KR5
MGF<92"(9=AZ^P]S7(1_&<3)?'^S5@\NW9K?=+N,DFY0H/``&"2?I64:$Y*Z1
M;J13LV=#X@DM'\3M]G'[U4`G(Z%O\<8K;L(8Y[<PS1K)&Z[61QD,/0BO)O#/
MB6VO+W9<RF.YE8G,AX=C[^M>N:7]P5K5@X)(49*6J/*/B'\.AHL;:SI",;$G
M]]!U\C/<>JY_+Z=/-J^NF@CN;=X9E5XI%*NC#(8$8(-?,GC+P^WAGQ/=Z<`?
M(SYENQ[QMT_+D?4&M\+7<O=EN85J?+[R/5/@C_R+.H?]?G_LBUZ?7F'P1_Y%
MG4/^OS_V1:]/KBQ'\5G12^!'GVM?%G2M%UBZTV:QO7EMGV,R;,$^V35'_A=V
MB?\`0-U#\D_^*KS#Q_\`\CYK/_7P?Y"HO"OA'4/%UU<6^GS6T3P('8W#,H()
MQQA378L-25-3D<[JSYK(]7A^->@.X62QU&-3_%L1L?7YJ[?1=?TSQ#9_:=,O
M$N(P<,!PR'T93R/QKYM\2>%-5\*W<=OJ<2`2@F*6-MR.!UP?;C@@'FIO!?B"
M?PYXGM+M)"L#N([A,\-&3@Y^G4>XJ9X6$H\U-CC6DI6D?4.>*\\\0?%O0](N
M'MK..349D.&:)@L0/IOYS^`(J7XL:])HWA/[-;R;+B_?R<@X(CQER/T'_`J^
M?8XWFE2.-2SNP50.Y/05GAL/&:YI;%U:KB^6)ZZ/CFV_GP^-OH+SG\]E=3X;
M^*.AZ_<+:/YEE=N<(D^-KGT##C/UQFN0O_@U]D\.RW,6HO+J,41D:/8/+<@9
M*KW]<'OZ"O)P2""."*UC0H54^0AU*D'[Q]>RN4A=PI<J"=HZGVKS3_A=VB?]
M`W4/R3_XJNC^'>OR>(?!UK<W#[[J$FWF8GEF7&"?<J5)]S7SWK]E_9WB+4K+
M:`(+J2-0/0,<?IBL</0C*4HSW1=6HTDX]3Z3\+^)K7Q7I)U"SBECC65HBLN,
M@@`]B?45D>*OB+IOA+5H]/NK2ZGE>$3;H0N`"2,')'/R_J*P/@A<;M!U2US_
M`*NZ63'^\H'_`+)7!_%2[^U_$#4`#E8%CB'X("?U)HA0BZS@]D$JC5-2ZGJO
MAOXGZ7XEUN+2[>TNX9I59E:4+CY1DC@GL#72^(=:M_#VAW.J7*.\,`4LJ8W'
M+!1C/N17SIX#O/L/CK1YLX!N5B/_``/Y/_9J]B^+USY/@.6/.//N(X_K@EO_
M`&6BK0C&K&*V80J-P;9G?\+NT3_H&ZA^2?\`Q5=O>:_#9>%VUZ6"7R5MUN#$
M,;P"`<=<9YKY<LK9KV_M[5/OSRK&OU8X_K7TGX[C2+X?:M&JA52VPH'8`C%.
MO1A"44NH4ZDI)MG,?\+NT3_H&ZA^2?\`Q5'_``N[1/\`H&ZA^2?_`!5>&5UF
MG?#CQ-JNGP7UG9QO;SKOC8SH"1]":Z)8:C'66GS,E5J/8]'_`.%W:)_T#-0_
M)/\`XJO0=)U&/5](M-1B1TCN8EE57QD`C.#BO`?^%3>+_P#GPB_\"4_QKW7P
MQ8SZ;X8TVRNE"SP6R1R*"#A@.>17)B(4HI>S9O2E-OWCE=:^+.DZ+K%UILUC
M>O+;/L9DV8)]LFJ/_"[M$_Z!NH?DG_Q5>8>/_P#D?-9_Z^#_`"%+X/\`!]QX
MPN[FWM[N*W,$8<F12<Y..U=*P]%04I&/M9N5D>H)\;=!+@/I^HJO<A4./PW5
MV'A[Q7H_B6%GTR[$CH,O"PVR)]5/;W'%?/WBOP3J?A%X3>F*6"?(CFA)*Y'8
MY`(/^?6L_P`.ZS/H&O6>HPNRF&0;P#]],_,I]B,TI86G*-Z;&JTXRM(^KZ**
M*\XZQ*\+^-W_`",VG_\`7G_[.U>Z5X7\;O\`D9M/_P"O/_V=JZ,+_%1C7^`Y
MOX;?\E"TC_KHW_H#5],&OF?X;?\`)0M(_P"NC?\`H#5]+FM,;\:]"</\+/E#
MQ%_R,VJ_]?DW_H9KU7X&?\>6M?\`72+^35Y5XB_Y&;5?^OR;_P!#->J_`S_C
MRUG_`*Z1?R:NG$?P/N,J7\0N_&Z!&\,:?<D#S([T1J<=F1B?_017A]O,UM<Q
M3I]^-PZ_4'->\_&=U7P5$I."U[&![G:Y_H:\"I83^$%?XS[`5@R!@<J1D&OE
M'Q%_R,VJ_P#7Y-_Z&:^JK7_CS@_ZYK_*OE7Q%_R,VJ_]?DW_`*&:RP/Q2-,1
MLCT3X0:YI>D6NJKJ.H6UHTCQ%!-(%W8#9QGZUZ;_`,)MX8_Z#^G_`/?]:^7X
MX99<^7&[@==JDXI_V2Y_Y]Y?^^#6M3"QG)R;,X5G%62/K"PU&RU2V%S8W,5S
M`25$D3!ER.HS5RN#^$:/'X%B5T96\^3AA@]:Z?Q%J7]C^'-1U'.&M[=W3/\`
M>Q\H_/%>=*%IN*.N,KQYF?.'C34O[6\9:K=AMR&X9$/JJ_*OZ**V[G1-GP;L
M]2"#>=1>0MCG81Y?\T%<.2223R37T!?Z)_Q9/^S]OSQZ<DQ`[,N)#^H->G5E
M[-02[G'!<W,SQ[P1J7]E>--)NRV$$XC<^BO\I_1LU]15\?`E2""01T(KZNT#
M41JWA_3]0')N+=)&]F(Y'YYKGQT=5(UP[W1ROQ?_`.1#E_Z^(OYFOGJOH7XO
M_P#(AR_]?$7\S7SU6V#_`(?S,Z_QGUMI'_(%L?\`KWC_`/015VJ6D?\`(%L?
M^O>/_P!!%7:\Q[G8MC,\1?\`(LZK_P!><W_H!KY@T+`UJV<C.QMP'N.GZXKZ
M?\1?\BUJO_7G-_Z`:\4^#\T!\5FVEL[9G,+ND[H6D4C'`.<#C/;/O79AI<L)
M,PJJ\XH[K2=!U>]M?/D46RE<HLV0S?AV'UK/U6_NM`AF:^A>-HT+*#T?'H>]
M>IYKE?'[M'X)U*5+2&Z:-%;R9T+*1N&X\$'(&3D'C%8PJN4TFMS24;*Z/G"^
MOKC4KV6[NI#)-*V6)_D/:JU.=@SLP4("20JYP/89YIM>P<(5[O\`##77UG0S
M'<.6N;1O+=CU9<94G]1^%>$5ZY\(7M([:^F$4L3EDCDD:3*.1DC`QP1GWZUS
MXE)TS2B_?/8HNE>2?&_3P8M)U)0`P9[=SZCAE_DWYUZQ&Z^5OW#9C.[/&/6O
M)OBGXLT*_P!.328HY+VXCE\Q9(GVQHP!'7!W=>@X]Z\_#\WM4TCIJVY'<T?@
MC_R+.H?]?G_LBUZ?7F'P1_Y%G4/^OS_V1:]/I8C^*QTO@1\P^/\`_D?-9_Z^
M#_(5V'P/_P"0SJO_`%[I_P"A5Q_C_P#Y'S6?^O@_R%8=I?WE@S-9W<]NS##&
M&0H2/?!KTI0YZ*CY(Y%+EJ7/7_C==VWV'2[/<#=>:TN`>53&,D>Y_D:\:1&D
MD5$!+,0`/4TZ>>:YF::>5Y96.6>1BS'ZDUZ!\-_`M]J>L6VK7UN\.G6SB5#(
MN#.PY4*#U7/)/3M])BE0I:L'>I/0U?CC*QO]'@_A2*1Q]25'_LHKS_PE#Y_C
M'1(\`@WT.0?0.":[;XW#_BI=/../L?\`[.U<=X)_Y'?1/^OR/_T*E1TH?(<_
MXI]1D`@@C(-?(=U'Y-W-$`5V.RX/48-?7O:ODG5_^0S??]?$G_H1K#`[R-<1
MT/7_`('S,VE:O#_"D\;CZE2/_917#_%2R^Q^/[]@,)<+',OXJ`?U!KM/@9_Q
MYZU_UTB_DU9OQOL]NKZ7?@?ZV!X2?]QL_P#L]5!VQ37<F2O10[X'W.S4]7M<
M_P"LACDQ_NL1_P"SUP?B25]5\::FZ<M/?2*F?3>0OZ8K=^%6HC3/%<\K?=-A
M-GZ*`_\`[)6%X3MS?^,](B?YM][&SY[@,"?T!K9+EJ2GY(SO>$8E.5'T77Y$
M!/F65T0#T.4;_P"M7KGQJO5?P_I$*-E9YVE7W`3&?_'Z\X^(%I]C\>ZQ%C&Z
MX,O_`'V`_P#[-6Q\0-3_`+0T/PB"V673]S'.<L<*?U0T27/*G+^MAI\JDC)^
M'EE]N\>Z/%C(2?SCQTV`O_-17N_Q`_Y$/6/^O<_S%>5?!>R\_P`77-TPRMM:
M-@^C,P`_3=7JWQ`_Y$/6/^O<_P`Q7/B97KQ7:QK25J;/F&OH3P5XK\/V7@W2
M[:ZUBSAFC@`>-Y@&4Y/!%?/=2K;3NH98)&4]"$)%==:DJJLV84YN#NCZ>_X3
M;PQ_T']/_P"_ZUNJP9=RD%2,@CO7R+]DN?\`GWE_[X-?6UI_QYP_]<U_E7G8
MBC&E:SW.JE4<[W/F?Q__`,CYK/\`U\'^0KL/@?QK.J_]>Z?^A5Q_C_\`Y'S6
M?^O@_P`A7.I(\>=CLN1@[3C->A*'/14?)'+S<L[GL_QJU>R;2K/24F1[S[2)
MW13DHH5EY],[OTKQVRM);^_M[.!2TL\BQH`.I)P/YU!7I_PFE\,)K$2W`G_M
MI@1"TX'E`XY"8Z-C/7\.M)+V%+34;?M)ZZ'N*($144851@#VI]%%>0=XE>%_
M&[_D9M/_`.O/_P!G:O=*\+^-W_(S:?\`]>?_`+.U=&%_BHQK_`<W\-O^2A:1
M_P!=&_\`0&KZ7-?-'PV_Y*%I'_71O_0&KZ8-:8WXUZ$X?X6?)_B+_D9M5_Z_
M)O\`T,UZK\#/^//6?^ND7\FKRKQ%_P`C-JO_`%^3?^AFM+PQXUU3PG'<QZ:M
ML5N"I?SD+=,XQ@CU-==6#G2Y480DHSNSTKXW7BIH.F661OENC*![(I'_`+.*
M\7M+=KN]@MDSNFD6,8]2<5>UWQ#J7B2^%WJ<_FR*NQ`%"JB^@`KI?A;X:GUG
MQ3!?O$?L.GN)7<C@N.44>^<'Z#WI0C["EKT"3]I/0^B>WX5\G^(O^1FU7_K\
MF_\`0S7UA7R?XB_Y&;5?^OR;_P!#-<^!^)FV)V1ZK\#/^//6?^ND7\FKUNOE
M?0_%>M>&TG32+W[,LY!D'E(^XC./O`XZFM;_`(6EXS_Z#/\`Y*P__$4ZV%G.
M;DFA4ZT8Q29])5YS\9-3^R>#DLU;YKVX52/5%^8_J%_.J_PJ\5ZWXDN=435K
MW[2L"1F,>4B;22V?N@9Z"N6^-.I?:?$]GIZME+2WW$>CN<G]`M94J+C647T+
MG43IW1YI70OXY\3R6[0/K5R8F4H4R,%<8QTIW@71(/$/BZSL+M&>U8.\P5B#
MM"D]1[XKVC_A4W@__GPE_P#`A_\`&NRM6IPE::N84Z<Y*\6?.E?0'P?U+[;X
M+^RLP+V4[Q@?[+?,/U9A^%>.^-=&AT#Q=J&FVZLMO&RM$"2<*RAASWZX_"NR
M^">I^1K]_IS-A;F`2*/5D/\`@Q_*EB$IT>9>H4GRU+,[7XO_`/(AR_\`7Q%_
M,U\]5]"_%_\`Y$27_KXB_F:^>J6#_A_,=?XSZVTG_D#6/_7O'_Z"*N5\U0_$
MSQ?##'#'J^V.-0JC[-"<`#`_@KK_`(<>./$>O>+4L=2U'S[8PNQ3R8UY`XY5
M0:Y:F$G%.3:-HUXMI'J?B+_D6=5_Z\YO_0#7SAX*U9=%\8:;?2-MB679(3T"
ML"I)^F<_A7TAXB_Y%G5?^O.;_P!`-?)]:X-*49)D5W:29]<^</6H[A8;NVEM
MIU#PS(8W4]&4C!'Y&O-?`_C,:II"6MS)_IMJH1\GEU'`;^A]_K74_P!JC^]^
MM<\J,HNQNIJ2N>(^,/!U[X6U&0;'ET]V/D7`&01Z-Z,/U[5SBQ2-&\BHQ1"`
MS`<#/3/Y5]'2W\5Q$T4JI)&XPR.-P/U!JU%X'T!],:TFTF!8YI%GEC3*`N`0
M/ND=`3QTY-=2Q7(O?1SNA=^ZSYRTK2+[6[^.RT^W>:9ST4<*/4GL/<U[UHOA
MN+PWH$.GHP>09>:0#[[GJ?IV'L!74V.CZ=I%N8M/LH+6,]1$@7/U/?\`&H;Q
M,J:RGB'4=EL:4Z7)KU.%UAYQ;/;B:00DY,88[3^%>2^(2!?B(=5&3^->M^*;
MN#3+"6ZN#A5X"]V;L!7B5S.]U<R3R'YY&+&NK#K2YE6?0]N^"/\`R+.H?]?G
M_LBUZ?7F'P1_Y%G4/^OS_P!D6O3Z\_$?Q6=%+X$?,/C_`/Y'S6?^O@_R%=-\
M'M,T_4]5U-+^QMKM$@4JMQ"L@4[NHR#BN9\?_P#(^:S_`-?!_D*[#X'_`/(:
MU7_KW3_T*O0J.V'T[(Y8?Q3UJW\.:):2"2VT;3X7!R&CM44_F!6K29I:\IMO
M<[K6/%?CE`RW^C7'\#Q2H/J"I_\`9J\^\*3>1XPT:4MM"WT.XXZ#>,_I7M_Q
M5\/R:YX3,UK&7NK)_.55&2R8PP'X8/\`P&OGI':.171BKJ05(Z@BO3PS4Z/*
M<59<M2Y]?,0%))``ZDU\B7,@FNII020[LV3U.37IM]\9;J[\/26<>FB*^EB,
M3SB7Y5R,%E7'7T&>/>O+E5G8*JEF8X``R2:6%HRIMN05JBE:Q[7\$(&72-6G
M_A>=$'U52?\`V85;^-5EY_A2TNP/FM[H`GT5E(/ZA:Z'X?:!)X=\(6EI.FRZ
ME)GG7T9NQ]P`H_"E^(EE]O\``.K1`<I#YW3IL(<_H#7*ZB=?F7<WY?W5CYPL
M+U["Y>=!EFAEAZ]I(V0_HU=5\*;4W/Q!L6QE8$EE/_?!`_5A7%UZ=\$K7S/$
MNH71&1%:;/H6<'_V4UZ%=VIR?D<M/6:11^,5I]G\<><!Q<6L<F?<97_V45Q-
MW>R75O8Q/TM(#"ISU'F._P#[.:]2^.5KMNM&NP/OI+$Q^A4C_P!"->1TL.^:
ME%A55IL]I^!]EMTS5KXC_6S)"#C^ZI)_]#%=K\0/^1#UG_KW/\Q69\*++[)X
M!LWQAKB225O^^BH_116G\0/^1#UG_KW/\Q7GU)<U>_F=<5:G\CYAKZ=^'_\`
MR(>C_P#7N/YFOF*NGL/B%XITNQALK+5/*MX%VQI]GB;:/J5)KNQ%*56*43EI
M34'=GTWQ17S;_P`+2\9?]!G_`,E8?_B*]K\`ZI>ZUX+L-0U";SKJ;S-\FT+G
M$C*.%`'0"O/J4)TU>1U0JQF[(\(\?_\`(^:S_P!?!_D*[#X'_P#(9U7_`*]T
M_P#0JX_Q_P#\CYK/_7P?Y"NP^!__`"&M5_Z]T_\`0J[ZO^[_`"1S0_BFA\;=
M,MQ::;J:1HL_FM`[`8+@C(SZXP?SKR?2KA[36+*YB)$D4Z.I![A@:]I^-J9\
M*V$G]V^"_FC_`.%>&(Q1U=3AE.0?>C"ZTK!6TF?8/:BFJP9`RG*D9!]J=7E'
M<)7(^*?A_I?BV^AN[^XO8I(HO*46[HH(R3SE3SS77TE.,G%W0FDU9G":'\*]
M%T'6;;5+6[U!YK=BR++(A4Y!'("`]_6N[HHHE.4G>3",5'8\\O/@_P"'[Z]N
M+N6\U,23RM*P66,`%CDX^3IS4'_"D_#G_/\`:K_W]C_^-UZ515^VJ=R/90['
MG]G\'O"ULRM*MY=`?PS3X!_[Y"UV]E8VNFVJ6ME;QP6Z#"QQKM`JS1S4RG.7
MQ,I1C'9!7G=Y\'_#]]?7%W+>:F))Y6E8++&`"QR<?)TYKT2BB$Y0^%A**EN>
M:_\`"D_#G_/]JO\`W]C_`/C='_"D_#G_`#_:K_W]C_\`C=>ET5?MZG\Q/LH=
MCEO"O@;3?"$MU)83W<IN557^T.K8VYQC"CUK,UOX6:+K^LW.J7=[J(GN&!81
MR(%&```,H3C`'>N[HJ54FI<U]2N2-K6..\,?#K2/"FIOJ%E/>2S-$8L7#HP`
M)!R,*.>/U-=C114RE*3NV-1459'&>)/AOH_BC5O[1O)[V*8QK&1`Z!2!T/*G
MGG]*AT'X7Z-X>UJWU6SO-1::#=M661"IRI4Y`0'H?6NYHJO:3Y>6^A/)&][&
M-XC\.VGB?2&TZ]DGCB9U<M"P#9'3J"/TKCO^%)^'/^?[5?\`O['_`/&Z]*HH
MC4G%6BQN$9.[1YK_`,*4\.?\_P!JO_?V/_XW6MX<^&NC>&-674K*YOY)E1D"
MS2(5P>O10?UKM:*;JS:LV)4X)W2,S7U,GAW4T7[S6LH'UV&OD^OL`@,"K`$$
M8(/>OF?QOX/NO"FLR)Y;MI\K%K:?&05_ND_WA_\`7KJP4TFXLQQ$7HSG;6ZG
MLKE+BWD,<J'*L*[:P\:+<(%G/E3=^>#]*X.BN^4%+<YXR<=CU.S\4"UO(9SB
M01N&*GO@]*]GLKR#4+*&[MG#PS('1O4&ODA9I$&%=@/3-=CX?^(^J^'_``[-
MIULRM*)E>W>1=P13G>N,]S@CZGUKDKX9R2<=S>%9+<^C&'%<KXI\5Z/X<@;[
M;<J;C&5MHR&D;\.P]S@5XGJ'Q(\5ZDA235I(8S_#;J(OU49_6N7=WE=GD9G=
MCDLQR2:BG@VG>;"6(_E1L^)/$UYXEO\`SY\1PJ3Y4"G(0?U/O6)15BRLKK4;
MN.UL[>2>XD.$CC&2?\^M=R2BK+8YFVV>U_!'/_",ZAQP;S_V1:]/KF_!/AP>
M%_#,&GL0UP299V7H9&ZX^@`'X5TE>-5DI5&T>A3344F<%K'PGT/6M7N=2N+O
M44EN7WNL<B!0?;*$_K6GX5\!Z7X0NKBXL+B\E>=`C"X=6``.>,**ZJBDZDW'
ME;T!0BG>PM%%%06)7":]\*O#^M3O=1B6QN'.YC;D;&/J5(Q^6*[NBJC.4'>+
M%**EHSR3_A1MKD9UR8COBV'_`,574>&OAKH/ARX6[CCDN[Q.4FN"#L/JJ@`#
MZ\GWKM*2KE7J25FR%2@G=(6J]W;1WEE/:2@^7/&T;8ZX88/\ZL45D:'FG_"D
M_#G_`#_:K_W]C_\`C==)X4\$:;X/^U?V?-=2_:MF\W#JV-N<8PH_O&NFHJY5
M9R5FR%3BG=(Y[Q3X1L/%UI!;W\MQ&L$AD5H&53G&,'(/%<M_PI/PY_S_`&J_
M]_8__C=>E441JSBK)@X1;NT4=)TR'1]+M]/MRQAMXQ&A<@L0.YP!S3=8TJ'6
MM)N=.N'D2&X38[1D!@/;((_2M&BIN[W*LK6/-/\`A2?AS_G^U7_O['_\;H_X
M4GX<_P"?[5?^_L?_`,;KTNBM/;U/YB/90['FG_"D_#G_`#_:K_W]C_\`C==M
MH.B6_AS1;?2K-Y7@@W;6F(+'<Q8Y(`'4GM6I14RJ3DK29481B[I'!:Q\)]#U
MK5[G4KB[U%);E][K'(@4'VRA/ZUI^%?`>E^$+FXN+"XO)7G0(PN'5@`#GC"B
MNJHH=2;CRMZ"4(IWL8OB/P[9^*=(;3;YI4B+JX:%@&4CT)!'J.G>N/\`^%)^
M'/\`G^U7_O['_P#&Z]*HHC4G%6BQN$9.[11TVP_L[3;>R%S/.L`V++.5+D#I
MD@`'`P.G;UYJ_1147N4%%%%`!1110`4444`%%%%`!1110`4444`%%%%`!111
M0`4444`%%%%`!1110`5!<V\%U"T%S"DL+C#1R*&5A[@T44`8+>`O"KN6.A6>
M3V"8'Y"D_P"%?^$_^@':_D?\:**/:S[BY(]A/^%?^%/^@':_]\G_`!H_X5_X
M4_Z`=K_WR?\`&BBCVL^XN2/8/^%?^%/^@':_]\G_`!H_X5_X4_Z`=K_WR?\`
M&BBCVL^X<D>PO_"O_"G_`$`[7_OD_P"-:FFZ)I6CJR:=I]M:Y'S&*,`M]3U/
MXT453G)K5C44C2HHHJ1A1110`4444`%%%%`!1110`4444`%%%%`!1110`444
84`%%%%`!1110`4444`%%%%`!1110!__9
`
end
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
