FIRST COMMUNITY BANCORP /CA/
MATERIAL CONTRACTS
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<p align="right" style="margin:0in 0in .0001pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit&nbsp;10.1</font></b></p>

<p align="right" style="margin:0in 0in .0001pt;text-align:right;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">FIRST
COMMUNITY BANCORP 2003 STOCK INCENTIVE PLAN</font></b></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">(as amended
and restated February&nbsp;8, 2006)</font></b></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">1.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160;&#160;&#160; </font></i><i><font style="font-style:italic;">Purpose of the Plan.&#160; </font></i>The purpose of this First Community Bancorp
2003 Stock Incentive Plan is to offer certain Employees, Non-Employee Directors,
and Consultants the opportunity to acquire a proprietary interest in the
Company. Through the Plan, the Company and its subsidiaries seek to attract,
motivate, and retain highly competent persons. The success of the Company and
its affiliates are dependent upon the efforts of these persons. The Plan
provides for the grant of options, restricted stock awards, performance stock
awards, and stock appreciation rights. An option granted under the Plan may be
a Non-Statutory Stock Option or an Incentive Stock Option, as determined by the
Administrator. This Plan amends and restates the 2003 Plan.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160;&#160;&#160; </font></i><i><font style="font-style:italic;">Definitions.</font></i>&#160; As used herein, the following definitions
shall apply.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;2003 Plan&#148; shall mean the
First Community Bancorp 2003 Stock Incentive Plan, originally adopted as of April&nbsp;18,
2003, and as amended and restated hereby.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Act&#148; shall mean the
Securities Act of 1933, as amended.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Administrator&#148; shall mean
the Board or any one of the Committees.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Affiliate&#148; shall mean any
parent or subsidiary (as defined in Sections 424(e)&nbsp;and (f)&nbsp;of the
Code) of the Company.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;APB 25&#148; shall mean Opinion
25 of the Accounting Principles Board, as amended, and any successor thereof.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Award&#148; shall mean an
Option, Stock Award, or a SAR.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Board&#148; shall mean the Board
of Directors of the Company.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Cause&#148; shall have the
meaning given to it under the Participant&#146;s employment agreement with the
Company or Affiliate, or a policy of the Company or an Affiliate. If the
Participant does not have an employment agreement or the employment agreement
does not define this term, or the Company or an Affiliate does not have a
policy that defines this term, then Cause shall include malfeasance or gross
misfeasance in the performance of duties or conviction of illegal activity in
connection therewith or any conduct detrimental to the interests of the Company
or an Affiliate which results in termination of the Participant&#146;s service with
the Company or an Affiliate, as determined by the Administrator.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Change in Control&#148; shall
mean:</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;&nbsp;the consummation of a plan of dissolution or liquidation
of the Company;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)&nbsp;&nbsp;the individuals who, as of the effective date hereof,
are members of the Board (&#147;Incumbent Board&#148;), cease for any reason to
constitute at least two-thirds of the members of the Board; provided, however,
that if the election, or nomination for election by the Company&#146;s shareholders,
of any new director was approved by a vote of at least</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">two-thirds
of the Incumbent Board, such new director shall, for purposes of this Plan, be
considered as a member of the Incumbent Board; provided, further, however, that
no individual shall be considered a member of the Incumbent Board if such
individual initially assumed office as a result of either an actual or
threatened &#147;election contest&#148; or other actual or threatened solicitation of
proxies or consents by or on behalf of an individual, entity or group (within
the meaning of Section&nbsp;13(d)&nbsp;or 14(d)&nbsp;of the Exchange Act)(a &#147;Person&#148;)
other than the Board (a &#147;Proxy Contest&#148;) including by reason of any agreement
intended to avoid or settle any election contest or Proxy Contest;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)&nbsp;&nbsp;the
consummation of a plan of reorganization, merger or consolidation involving the
Company, except for a reorganization, merger or consolidation where (A)&nbsp;the
shareholders of the Company immediately prior to such reorganization, merger or
consolidation own directly or indirectly at least 70% of the combined voting
power of the outstanding voting securities of the company resulting from such
reorganization, merger or consolidation (the &#147;Surviving Company&#148;) in
substantially the same proportion as their ownership of voting securities of
the Company immediately prior to such reorganization, merger or consolidation,
and (B)&nbsp;the individuals who were members of the Incumbent Board immediately
prior to the execution of the agreement providing for such reorganization,
merger or consolidation constitute at least two-thirds of the members of the
board of directors of the Surviving Company, or of a company beneficially
owning, directly or indirectly, a majority of the voting securities of the
Surviving Company;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.5in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iv)&nbsp;&nbsp;the sale of all or substantially all the assets of the
Company to another person; or</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(v)&nbsp;&nbsp;the acquisition by another Person of beneficial
ownership (within the meaning of Rule&nbsp;13d-3 promulgated under the Exchange
Act) of stock representing more than fifty percent (50%) of the voting power of
the Company then outstanding by another Person.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Code&#148; shall mean the
Internal Revenue Code of 1986, as amended.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Committee&#148; shall mean a committee
appointed by the Board in accordance with Section&nbsp;3 below.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Common Stock&#148; shall mean
the common stock of the Company, no par value.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Company&#148; shall mean First
Community Bancorp, a California corporation.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Consultant&#148; shall mean any
natural person who performs bona fide services for the Company or an Affiliate
as a consultant or advisor, excluding Employees and Non-Employee Directors.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Date of Grant&#148; shall mean
the effective date as of which the Administrator grants an Option to an
Optionee, a Stock Award to a Grantee, or a SAR to an Optionee.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Disability&#148; shall mean
total and permanent disability as defined in Section&nbsp;22(e)(3)&nbsp;of the
Code.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Employee&#148; shall mean any
individual who is a common-law employee of the Company or an Affiliate.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2</font></p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Exchange Act&#148; shall mean
the Securities Exchange Act of 1934, as amended.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Exercise Price,&#148; in the
case of an Option, shall mean the exercise price of a share of Optioned Stock. &#147;Exercise
Price,&#148; in the case of a SAR, shall be determined by the Administrator but
shall not be less than 100% of the Fair Market Value of a Share on the Date of
Grant of such SAR.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Fair Market Value&#148; shall
mean, as of any date, the value of Common Stock determined as follows:</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;&nbsp;If the Common Stock is listed on any established stock
exchange or a national market system, including without limitation, the Nasdaq
National Market or The Nasdaq SmallCap Market of The Nasdaq Stock Market, its
Fair Market Value shall be the closing sales price for such stock (or the
closing bid, if no sales were reported) as quoted on such exchange or system
for the last market trading day prior to the time of determination, as reported
in <i><font style="font-style:italic;">The Wall Street Journal</font></i> or
such other source as the Administrator deems reliable;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)&nbsp;&nbsp;If the Common Stock is regularly quoted by a recognized
securities dealer but selling prices are not reported, its Fair Market Value
shall be the mean between the high bid and low asked prices for the Common
Stock quoted by such recognized securities dealer on the last market trading
day prior to the day of determination; or</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)&nbsp;&nbsp;In the absence of an established market for the Common
Stock, its Fair Market Value shall be determined, in good faith, by the
Administrator.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;FASB&#148; shall mean the Financial Accounting Standards
Board.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Granted Stock&#148; shall mean
the shares of Common Stock that were granted pursuant to a Stock Award.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Grantee&#148; shall mean any
person who is granted a Stock Award.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Incentive Stock Option&#148;
shall mean an Option intended to qualify as an incentive stock option within
the meaning of Section&nbsp;422 of the Code.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Mature Shares&#148; shall mean
Shares that had been held by the Participant for a meaningful period of time
such as six months or such other period of time that is consistent with FASB&#146;s
interpretation of APB 25.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Non-Employee Director&#148;
shall mean a non-employee member of the Board.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Non-Statutory Stock Option&#148;
shall mean an Option not intended to qualify as an Incentive Stock Option.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Notice of Stock Appreciation
Rights Grant&#148; shall mean the notice delivered by the Company to the Optionee
evidencing the grant of an SAR.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Notice of Stock Option
Grant&#148; shall mean the notice delivered by the Company to the Optionee
evidencing the grant of an Option.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3</font></p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Option&#148; shall mean a stock
option granted pursuant to the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Option Agreement&#148; shall
mean a written agreement that evidences an Option in such form as the
Administrator shall approve from time to time.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Optioned Stock&#148; shall mean
the Common Stock subject to an Option.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Optionee&#148; shall mean any
person who receives an Option or a SAR.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Participant&#148; shall mean an
Optionee or a Grantee.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Performance Stock Award&#148;
shall mean an Award granted pursuant to Section&nbsp;9 of the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Plan&#148; shall mean this First
Community Bancorp 2003 Stock Incentive Plan, as amended and restated to date.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Qualified Note&#148; shall mean
a recourse note, with a market rate of interest, that may, at the discretion of
the Administrator, be secured by the Optioned Stock or otherwise.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Restricted Stock Award&#148;
shall mean an Award granted pursuant to Section&nbsp;8 of the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Risk of Forfeiture&#148; shall
mean the Grantee&#146;s risk that the Granted Stock may be forfeited and returned to
the Company in accordance with Section&nbsp;8 or 9 of the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Rule&nbsp;16b-3&#148; shall mean
Rule&nbsp;16b-3 promulgated under the Exchange Act or any successor to Rule&nbsp;16b-3.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;SAR&#148; or &#147;Stock Appreciation
Right&#148; shall mean a stock appreciation right granted pursuant to the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;SAR Agreement&#148; shall mean a
written agreement that evidences a SAR in such form as the Administrator shall
approve from time to time.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Service&#148; shall mean the performance of
services for the Company (or any Affiliate) by an Employee, Non-Employee
Director, or Consultant, as determined by the Administrator in its sole
discretion. Service shall not be considered interrupted in the case of: (i)&nbsp;a
change of status (<i><font style="font-style:italic;">i.e.,</font></i> from
Employee to Consultant, Non-Employee Director to Consultant, or any other
combination); (ii)&nbsp;transfers between locations of the Company or between
the Company and any Affiliate; or (iii)&nbsp;a leave of absence approved by the
Company or an Affiliate. A leave of absence approved by the Company or an
Affiliate shall include sick leave, military leave, or any other personal leave
approved by an authorized representative of the Company or an Affiliate.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Service Provider&#148; shall
mean an Employee, Non-Employee Director, or Consultant.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Share&#148; shall mean a share
of Common Stock.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Stock Award&#148; shall mean a
Restricted Stock Award or a Performance Stock Award.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Stock Award Agreement&#148;
shall mean a written agreement that evidences a Restricted Stock Award or
Performance Stock Award in such form as the Administrator shall approve from
time to time.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4</font></p>

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</div>
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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Tax&#148; or &#147;Taxes&#148; shall mean
the federal, state, and local income, employment and excise tax liabilities
incurred by the Participant in connection with his/her Awards.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;10% Shareholder&#148; shall mean
the owner of stock (as determined under Section&nbsp;424(d)&nbsp;of the Code)
possessing more than 10% of the total combined voting power of all classes of
stock of the Company (or any Affiliate).</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Termination Date&#148; shall
mean the date on which a Participant&#146;s Service terminates, as determined by the
Administrator in its sole discretion.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Vesting Event&#148; shall mean
the earlier of: (i)&nbsp;the occurrence of a Change in Control; (ii)&nbsp;the
termination of a Participant&#146;s Service (other than for Cause) following the
approval by the shareholders of the Company of any matter, plan or transaction
which would constitute a Change in Control; (iii)&nbsp;the death of the
Participant, for all Stock Awards granted with an effective date of November&nbsp;2,
2005 and afterward.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160;&#160;&#160; </font></i><i><font style="font-style:italic;">Administration of the Plan.</font></i></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;Except as otherwise provided for below, the Plan shall
be administered by (i)&nbsp;the Board or (ii)&nbsp;a Committee, which Committee
shall be constituted to satisfy applicable laws.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;&nbsp;<i><font style="font-style:italic;">Section&nbsp;162(m).&nbsp;&nbsp;</font></i>To
the extent that the Administrator determines that it is desirable to qualify
Awards as &#147;performance-based compensation&#148; within the meaning of Section&nbsp;162(m)
of the Code, the Plan shall be administered by a Committee comprised solely of
two or more &#147;outside directors&#148; within the meaning of Section&nbsp;162(m) of the
Code.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)&nbsp;&nbsp;<i><font style="font-style:italic;">Rule&nbsp;16b-3.&nbsp;&nbsp;</font></i>To
the extent desirable to qualify transactions hereunder as exempt under Rule&nbsp;16b-3,
the transactions contemplated hereunder shall be structured to satisfy the
requirements for exemption under Rule&nbsp;16b-3.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;<i><font style="font-style:italic;">Powers of the Administrator.&nbsp;&nbsp;</font></i>Subject
to the provisions of the Plan and in the case of specific duties delegated by
the Administrator, and subject to the approval of relevant authorities,
including the approval, if required, of any stock exchange or national market
system upon which the Common Stock is then listed, the Administrator shall have
the authority, in its sole discretion:</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;&nbsp;to determine the Fair Market Value of the Common Stock;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)&nbsp;&nbsp;to select the Service Providers to whom Awards may,
from time to time, be granted under the Plan;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)&nbsp;&nbsp;to determine whether and to what extent Awards are
granted under the Plan;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iv)&nbsp;&nbsp;to determine the number of Shares that pertain to each
Award;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(v)&nbsp;&nbsp;to approve the terms of the Option
Agreements, Stock Award Agreements, and SAR Agreements;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">5</font></p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(vi)&nbsp;&nbsp;to determine the terms and conditions, not inconsistent
with the terms of the Plan, of any Award. Such terms and conditions may
include, but are not limited to, the Exercise Price, the status of an Option
(Non-Statutory Stock Option or Incentive Stock Option), the time or times when
Awards may be exercised, any vesting acceleration or waiver of forfeiture
restrictions, and any restriction or limitation regarding any Award or the Shares
relating thereto, based in each case on such factors as the Administrator, in
its sole discretion, shall determine;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(vii)&nbsp;&nbsp;to determine the method of payment of the Exercise
Price;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(viii)&nbsp;&nbsp;to reduce the Exercise Price of any Option to the
then current Fair Market Value if the Fair Market Value of the Optioned Stock
has declined since the Date of Grant of such Option;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ix)&nbsp;&nbsp;to delegate to others responsibilities to assist in
administering the Plan;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(x)&nbsp;&nbsp;to construe and interpret the terms of the Plan, Option
Agreements, Stock Award Agreements, SAR Agreements and any other documents
related to the Awards;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(xi)&nbsp;&nbsp;to interpret and administer the terms of the Plan to
comply with all Tax rules&nbsp;and regulations; and</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman"><font style="font-size:10.0pt;">(xii)&nbsp;&nbsp;</font>to adopt, alter and repeal such administrative
rules, guidelines and practices governing the operation of the Plan as it shall
from time to time deem advisable</font>.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c)&nbsp;&nbsp;<i><font style="font-style:italic;">Effect of
Administrator&#146;s Decision.&nbsp;&nbsp;</font></i>All decisions, determinations,
and interpretations of the Administrator shall be final and binding on all
Participants and any other holders of any Awards. The Administrator&#146;s decisions
and determinations under the Plan need not be uniform and may be made
selectively among Participants whether or not such Participants are similarly
situated.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d)&nbsp;&nbsp;<i><font style="font-style:italic;">Liability.&nbsp;&nbsp;</font></i>No
member of the Committee shall be personally liable by reason of any contract or
other instrument executed by such member or on his/her behalf in his/her
capacity as a member of the Committee for any mistake of judgment made in good
faith, and the Company shall indemnify and hold harmless each member of the
Committee and each other employee, officer or director of the Company to whom
any duty or power relating to the administration or interpretation of the Plan
may be allocated or delegated, against any cost or expense (including counsel
fees) or liability (including any sum paid in settlement of a claim) arising
out of any act or omission to act in connection with the Plan unless arising
out of such person&#146;s own fraud or bad faith. The foregoing right of
indemnification shall not be exclusive of any other rights of indemnification
to which such persons may be entitled under the Company&#146;s Articles of
Incorporation or Bylaws, as a matter of law, or otherwise, or any power the
Company may have to indemnify them or hold them harmless.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">6</font></p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160;&#160;&#160; </font></i><i><font style="font-style:italic;">Stock Subject To The Plan.</font></i></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;<i><font style="font-style:italic;">Basic Limitation.&nbsp;&nbsp;</font></i>The
total number of Options, Stock Awards, and SARs that may be awarded under the
Plan may not exceed 2,500,000, subject to the adjustments provided for in Section&nbsp;11
of the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;<i><font style="font-style:italic;">Additional Shares.&nbsp;&nbsp;</font></i>In the event
that any outstanding Award expires or is canceled or otherwise terminated, the
Shares that pertain to the unexercised Award shall again be available for the
purposes of the Plan. In the event that Shares issued under the Plan are
reacquired by the Company at their original purchase price, such Shares shall
again be available for the purposes of the Plan, except that the aggregate
number of Shares which may be issued upon the exercise of Incentive Stock
Options shall in no event exceed 2,500,000 Shares, subject to the adjustments
provided for in Section&nbsp;11 of the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">5.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160;&#160;&#160; </font></i><i><font style="font-style:italic;">Eligibility.&nbsp;&nbsp;</font></i>The persons eligible to participate in the Plan shall be limited to
Employees, Non-Employee Directors, and Consultants who have the potential to
impact the long-term success of the Company and/or its Affiliates and who have
been selected by the Administrator to participate in the Plan.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">6.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160;&#160;&#160; </font></i><i><font style="font-style:italic;">Option Terms.&nbsp;&nbsp;</font></i>Each Option shall be evidenced by an Option Agreement, in the form
approved by the Administrator and may contain such provisions as the
Administrator deems appropriate; provided, however, that each Option Agreement
shall comply with the terms specified below. No person may be granted (in any
calendar year) Options to purchase more than 250,000 Shares, subject to the
adjustments provided for in Section&nbsp;11 of the Plan. Each Option Agreement
evidencing an Incentive Stock Option shall, in addition, be subject to Section&nbsp;7
below.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;<i><font style="font-style:italic;">Exercise Price.</font></i></font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;&nbsp;The Exercise Price of an Option shall be determined by
the Administrator but shall not be less than 100% of the Fair Market Value of a
Share on the Date of Grant of such Option.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)&nbsp;&nbsp;Notwithstanding the foregoing, where the outstanding
shares of stock of another corporation are changed into or exchanged for shares
of Common Stock without monetary consideration to that other corporation, then,
subject to the approval of the Board, Options may be granted in exchange for unexercised,
unexpired stock options of the other corporation and the exercise price of the
Optioned Shares subject to each Option so granted may be fixed at a price less
than 100% of the Fair Market Value of the Common Stock at the time such Option
is granted if said exercise price has been computed to be not less than the
exercise price set forth in the stock option of the other corporation, with
appropriate adjustment to reflect the exchange ratio of the shares of stock of
the other corporation into the shares of Common Stock of the Company.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)&nbsp;&nbsp;The consideration to be paid for the Shares to be
issued upon exercise of an Option, including the method of payment, shall be
determined by the Administrator and may consist entirely of (A)&nbsp;cash, (B)&nbsp;check,
(C)&nbsp;Mature Shares, (D)&nbsp;Qualified Note, or (e)&nbsp;any combination of
the foregoing methods of payment. The Administrator may also permit Optionees,
either on a selective or aggregate</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">7</font></p>

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<p style="margin:0in 0in .0001pt .75in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">basis,
to simultaneously exercise Options and sell the shares of Common Stock thereby
acquired, pursuant to a brokerage or similar arrangement, approved in advance
by the Administrator, and use the proceeds from such sale as payment of part or
all of the exercise price of such shares. Notwithstanding the foregoing, a
method of payment may not be used if it causes the Company to: (i)&nbsp;recognize
compensation expense for financial reporting purposes; (ii)&nbsp;violate Section&nbsp;402
of the Sarbanes-Oxley Act of 2002 or any regulations adopted pursuant thereto;
or (iii)&nbsp;violate Regulation&nbsp;O, promulgated by the Board of Governors
of the Federal Reserve System, as determined by the Administrator in its sole
discretion.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;<i><font style="font-style:italic;">Vesting.</font></i>&nbsp;&nbsp;Any
Option granted hereunder shall be exercisable and shall vest at such times and
under such conditions as determined by the Administrator and set forth in the
Option Agreement, but in the case of an Optionee who is not an officer of the
Company, a Non-Employee Director, or a Consultant, an Option or Shares purchased
thereunder shall vest at a rate of at least 20% per year. An Option may not be
exercised for a fraction of a Share. Notwithstanding anything herein to the
contrary, upon the occurrence of a Vesting Event, all Options that are
outstanding on the date of the Vesting Event shall become exercisable on such
date (whether or not previously vested).</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c)&nbsp;&nbsp;<i><font style="font-style:italic;">Term of Options.&nbsp;&nbsp;</font></i>No Option
shall have a term in excess of 10&nbsp;years measured from the Date of Grant of
such Option.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d)&nbsp;&nbsp;<i><font style="font-style:italic;">Procedure for
Exercise.&nbsp;&nbsp;</font></i>An Option shall be deemed to be exercised when
written notice of such exercise has been given to the Administrator in
accordance with the terms of the Option Agreement by the person entitled to
exercise the Option and full payment of the applicable Exercise Price for the
Share being exercised has been received by the Administrator. Full payment may,
as authorized by the Administrator, consist of any consideration and method of
payment allowable under Subsection&nbsp;(a)(iii)&nbsp;above. In the event of a
cashless exercise, the broker shall not be deemed to be an agent of the
Administrator.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(e)&nbsp;&nbsp;<i><font style="font-style:italic;">Effect of Termination
of Service.</font></i></font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;&nbsp;<i><font style="font-style:italic;">Termination of
Service.&nbsp;&nbsp;</font></i>Upon termination of an Optionee&#146;s Service, other
than due to death, Disability, or Cause, the Optionee may exercise his/her Option,
but only on or prior to the date that is three months following the Optionee&#146;s
Termination Date, and only to the extent that the Optionee was entitled to
exercise such Option on the Termination Date (but in no event later than the
expiration of the term of such Option, as set forth in the Notice of Stock
Option Grant to the Option Agreement). If, on the Termination Date, the
Optionee is not entitled to exercise the Optionee&#146;s entire Option, the Shares
covered by the unexercisable portion of the Option shall revert to the Plan.
If, after termination of Service, the Optionee does not exercise his/her Option
within the time specified herein, the Option shall terminate, and the Optioned
Stock shall revert to the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)&nbsp;&nbsp;<i><font style="font-style:italic;">Disability of
Optionee.&nbsp;&nbsp;</font></i>In the event of termination of an Optionee&#146;s
Service due to his/her Disability, the Optionee may exercise his/her Option,
but only on or prior to the date that is twelve months following the
Termination Date,</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">8</font></p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">and
only to the extent that the Optionee was entitled to exercise such Option on
the Termination Date (but in no event later than the expiration date of the
term of his/her Option, as set forth in the Notice of Stock Option Grant to the
Option Agreement). To the extent the Optionee is not entitled to exercise the
Option on the Termination Date, or if the Optionee does not exercise the Option
to the extent so entitled within the time specified herein, the Option shall
terminate, and the Optioned Stock shall revert to the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)&nbsp;&nbsp;<i><font style="font-style:italic;">Death of Optionee.&nbsp;&nbsp;</font></i>In
the event that an Optionee should die while in Service, the Optionee&#146;s Option
may be exercised by the Optionee&#146;s estate or by a person who has acquired the
right to exercise the Option by bequest or inheritance, but only on or prior to
the date that is twelve months following the date of death, and only to the
extent that the Optionee was entitled to exercise the Option at the date of
death (but in no event later than the expiration date of the term of his/her
Option, as set forth in the Notice of Stock Option Grant to the Option
Agreement). If, at the time of death, the Optionee was not entitled to exercise
his/her entire Option, the Shares covered by the unexercisable portion of the
Option shall immediately revert to the Plan. If after death, the Optionee&#146;s
estate or a person who acquires the right to exercise the Option by bequest or
inheritance does not exercise the Option within the time specified herein, the
Option shall terminate, and the Optioned Stock shall revert to the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iv)&nbsp;&nbsp;<i><font style="font-style:italic;">Cause.&nbsp;&nbsp;</font></i>In
the event of termination of an Optionee&#146;s Service due to Cause, the Optionee&#146;s
Options shall terminate on the Termination Date.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(v)&nbsp;&nbsp;To the extent
that the Company does not violate Section&nbsp;402 of the Sarbanes-Oxley Act of
2002 or any regulations adopted pursuant thereto or Regulation&nbsp;O,
promulgated by the Board of Governors of the Federal Reserve System (as
determined by the Administrator in its sole discretion), the Administrator
shall have complete discretion, exercisable either at the time an Option or SAR
is granted or at any time while the Option or SAR remains outstanding, to:</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(A)&nbsp;&nbsp;extend the period of time for which the Option or SAR is
to remain exercisable following the Optionee&#146;s cessation of Service from the
limited exercise period otherwise in effect for that Option or SAR to such
greater period of time as the Administrator shall deem appropriate, but in no
event beyond the expiration of the Option or SAR term; and/or</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(B)&nbsp;&nbsp;permit the Option or SAR to be exercised, during the
applicable post-Service exercise period, not only with respect to the number of
vested Shares for which such Option or SAR is exercisable at the time of the
Optionee&#146;s cessation of Service but also with respect to one or more additional
installments in which the Optionee would have vested had the Optionee continued
in Service.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(f)&nbsp;&nbsp;<i><font style="font-style:italic;">Shareholder Rights.&nbsp;&nbsp;</font></i>Until
the issuance (as evidenced by the appropriate entry on the books of the Company
or of a duly authorized transfer agent of the Company) of the stock certificate
evidencing such Shares, no right to vote or receive dividends or any</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">9</font></p>

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</div>
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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">other
rights as a shareholder shall exist with respect to the Optioned Stock,
notwithstanding the exercise of the Option. The Company shall issue (or cause
to be issued) such certificate promptly upon exercise of the Option. No
adjustment will be made for a dividend or other right for which the record date
is prior to the date the stock certificate is issued, except as provided in Section&nbsp;11
below.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(g)&nbsp;&nbsp;<i><font style="font-style:italic;">Non-transferability
of Options.&nbsp;&nbsp;</font></i>Options may not be sold, pledged, assigned,
hypothecated, transferred, or disposed of in any manner other than by will or
by the laws of descent and distribution and may be exercised, during the
lifetime of the Optionee, only by the Optionee. Notwithstanding the immediately
preceding sentence, the Administrator may permit an Optionee to transfer any
Award which is not an Incentive Stock Option to one or more of the Optionee&#146;s
immediate family members or to trusts established in whole or in part for the
benefit of the Optionee and/or one or more of such immediate family members.
For purposes of the Plan, (i)&nbsp;the term <i><font style="font-style:italic;">&#147;immediate
family&#148; </font></i>shall mean the Optionee&#146;s spouse and issue (including
adopted and step children) and (ii)&nbsp;the phrase &#147;immediate family members
or to trusts established in whole or in part for the benefit of the Optionee
and/or one or more of such immediate family members&#148; shall be further limited,
if necessary, so that neither the transfer of an Award other than an Incentive
Stock Option to such immediate family member or trust, nor the ability of a
Optionee to make such a transfer shall have adverse consequences to the Company
or the Optionee by reason of Section&nbsp;162(m) of the Code.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">7.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160;&#160;&#160; </font></i><i><font style="font-style:italic;">Incentive Stock Options.&nbsp;&nbsp;</font></i>The terms specified below shall be applicable
to all Incentive Stock Options, and these terms shall, as to such Incentive
Stock Options, supercede any conflicting terms in Section&nbsp;6 above. Options
which are specifically designated as Non-Statutory Stock Options when issued
under the Plan shall <i><font style="font-style:italic;">not </font></i>be
subject to the terms of this Section.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;<i><font style="font-style:italic;">Eligibility.&nbsp;&nbsp;</font></i>Incentive
Stock Options may only be granted to Employees.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;<i><font style="font-style:italic;">Exercise Price.&nbsp;&nbsp;</font></i>The
Exercise Price of an Incentive Stock Option shall not be less than 100% of the
Fair Market Value of a Share on the Date of Grant of such Option, except as
otherwise provided for in Subsection&nbsp;(d)&nbsp;below.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c)&nbsp;&nbsp;<i><font style="font-style:italic;">Dollar Limitation.&nbsp;&nbsp;</font></i>In
the case of an Incentive Stock Option, the aggregate Fair Market Value of the
Optioned Stock (determined as of the Date of Grant of each Option) with respect
to Options granted to any Employee under the Plan (or any other option plan of
the Company or any Affiliate) that may for the first time become exercisable as
Incentive Stock Options during any one calendar year shall not exceed the sum
of $100,000. To the extent the Employee holds two or more such Options which
become exercisable for the first time in the same calendar year, the foregoing
limitation on the exercisability of such Options as Incentive Stock Options
shall be applied on the basis of the order in which such Options are granted.
Any Options in excess of such limitation shall automatically be treated as
Non-Statutory Stock Options.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">10</font></p>

<div style="margin:0in 0in .0001pt;"><hr size="2" width="100%" noshade color="gray" align="left"></div>

</div>
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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d)&nbsp;&nbsp;<i><font style="font-style:italic;">10% Shareholder.&nbsp;&nbsp;</font></i>If
any Employee to whom an Incentive Stock Option is granted is a 10% Shareholder,
then the Exercise Price shall not be less than 110% of the Fair Market Value of
a Share on the Date of Grant of such Option, and the Option term shall not
exceed five years measured from the Date of Grant of such Option.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(e)&nbsp;&nbsp;<i><font style="font-style:italic;">Change in Status.&nbsp;&nbsp;</font></i>In
the event of an Optionee&#146;s change of status from Employee to Consultant or to
Non-Employee Director, an Incentive Stock Option held by the Optionee shall
cease to be treated as an Incentive Stock Option and shall be treated for tax
purposes as a Non-Statutory Stock Option three months and one day following
such change of status.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(f)&nbsp;&nbsp;<i><font style="font-style:italic;">Approved Leave of
Absence.&nbsp;&nbsp;</font></i>If an Optionee is on an approved leave of
absence, and the Optionee&#146;s reemployment upon expiration of such leave is not
guaranteed by statute or contract, including Company policies, then on the 91st
day of such leave any Incentive Stock Option held by the Optionee shall cease
to be treated as an Incentive Stock Option and shall be treated for tax
purposes as a Non-Statutory Stock Option.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">8.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160;&#160;&#160; </font></i><i><font style="font-style:italic;">Restricted Stock Award.&nbsp;&nbsp;</font></i>Each Restricted Stock Award shall be
evidenced by a Stock Award Agreement, in the form approved by the Administrator
and may contain such provisions as the Administrator deems appropriate;
provided, however, such Stock Award Agreement shall comply with the terms
specified below.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;<i><font style="font-style:italic;">Risk of Forfeiture.</font></i></font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;&nbsp;<i><font style="font-style:italic;">General Rule.&nbsp;&nbsp;</font></i>Shares
issued pursuant to a Restricted Stock Award shall initially be subject to a
Risk of Forfeiture. The Risk of Forfeiture shall be set forth in the Stock
Award Agreement, and shall comply with the terms specified below.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)&nbsp;&nbsp;<i><font style="font-style:italic;">Lapse of Risk of
Forfeiture.&nbsp;&nbsp;</font></i>The Risk of Forfeiture shall lapse as the
Grantee vests in the Granted Stock. The Grantee shall vest in the Granted Stock
at such times and under such conditions as determined by the Administrator and
set forth in the Stock Award Agreement. Notwithstanding the foregoing, upon the
occurrence of a Vesting Event, the Grantee shall become 100% vested in those
shares of Granted Stock that are outstanding on the date of the Vesting Event.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)&nbsp;&nbsp;<i><font style="font-style:italic;">Forfeiture of
Granted Stock.&nbsp;&nbsp;</font></i>Except as otherwise determined by the Administrator
in its discretion, the Granted Stock that is subject to a Risk of Forfeiture
shall automatically be forfeited and immediately returned to the Company on the
Grantee&#146;s Termination Date or the date on which the Administrator determines
that any other conditions to the vesting of the Restricted Stock were not
satisfied during the designated period of time.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;<i><font style="font-style:italic;">Rights as a
Stockholder.&nbsp;&nbsp;</font></i>Upon vesting of a Restricted Stock Award,
the Grantee shall have the rights of a stockholder with respect to the voting
of the vested shares of Granted Stock, subject to the conditions contained in
the Stock Award Agreement.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">11</font></p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c)&nbsp;&nbsp;<i><font style="font-style:italic;">Dividends.&nbsp;&nbsp;</font></i>The Stock Award
Agreement may require or permit the immediate payment, waiver, deferral or
investment of dividends paid on the Granted Stock.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d)&nbsp;&nbsp;<i><font style="font-style:italic;">Non-transferability
of Restricted Stock Award.&nbsp;&nbsp;</font></i>Except as otherwise provided
for in Section&nbsp;12 of the Plan, Restricted Stock Awards may not be sold,
pledged, assigned, hypothecated, transferred, or disposed of in any manner
other than by will or by the laws of descent and distribution and may be
exercised, during the lifetime of the Grantee, only by the Grantee.
Notwithstanding the immediately preceding sentence, the Administrator may
permit a Grantee to transfer any Award which is not an Incentive Stock Option
to one or more of the Grantee&#146;s immediate family members or to trusts
established in whole or in part for the benefit of the Grantee and/or one or
more of such immediate family members. For purposes of the Plan, (i)&nbsp;the
term <i><font style="font-style:italic;">&#147;immediate family&#148; </font></i>shall
mean the Grantee&#146;s spouse and issue (including adopted and step children) and (ii)&nbsp;the
phrase &#147;immediate family members or to trusts established in whole or in part
for the benefit of the Grantee and/or one or more of such immediate family
members&#148; shall be further limited, if necessary, so that neither the transfer
of an Award other than an Incentive Stock Option to such immediate family
member or trust, nor the ability of a Grantee to make such a transfer shall
have adverse consequences to the Company or the Grantee by reason of Section&nbsp;162(m)
of the Code.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">9.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160;&#160;&#160; </font></i><i><font style="font-style:italic;">Performance Stock Award.&nbsp;&nbsp;</font></i>Each Performance Stock Award shall be
evidenced by a Stock Award Agreement, in the form approved by the
Administrator, and may contain such provisions as the Administrator deems
appropriate; provided, however, such Stock Award Agreement shall comply with
the terms specified below.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;<i><font style="font-style:italic;">Risk of Forfeiture.</font></i></font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;&nbsp;<i><font style="font-style:italic;">General Rule.&nbsp;&nbsp;</font></i>Shares
issued pursuant to a Performance Stock Award shall initially be subject to a
Risk of Forfeiture. The Risk of Forfeiture shall be set forth in the Stock
Award Agreement, and shall comply with the terms specified below.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman"><font style="font-size:10.0pt;">(ii)&nbsp;&nbsp;<i><font style="font-style:italic;">Lapse of Risk of
Forfeiture.&nbsp;&nbsp;</font></i>The Risk of Forfeiture shall lapse as the
Grantee vests in the Granted Stock. The Grantee shall vest in or accelerate
vesting in the Granted Stock, in whole or in part, if certain goals established
by the Administrator are achieved over a designated period of time, but not in any
event more than 10&nbsp;years.&#160; </font>At
the discretion of the Administrator, the goals may be based upon the attainment
of one or more of the following business criteria (determined either in
absolute terms or relative to the performance of one or more similarly situated
companies or a published index covering the performance of a number of
companies): </font>net income; return
on average assets (&#147;ROA&#148;); cash ROA; cash ROA; return on average equity (&#147;ROE&#148;);
cash ROE; earnings per share (&#147;EPS&#148;); cash EPS; stock price; and efficiency
ratio.&#160;
Performance goals may be established on a Company-wide basis or
with respect to one or more business units or divisions. When establishing
performance goals, the Administrator may exclude any or all &#147;extraordinary
items&#148; as determined under U.S. generally accepted accounting principles
including, without limitation, the</p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">12</font></p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">charges or costs associated with restructurings of the Company,
discontinued operations, other unusual or non-recurring items, and the
cumulative effects of accounting changes. The Administrator may also adjust the
performance goals for any performance cycle as it deems equitable in
recognition of unusual or non-recurring events affecting the Company, changes
in applicable tax laws or accounting principles, or such other factors as the
Administrator deems appropriate.&#160;&#160;
Notwithstanding the foregoing, upon the occurrence of a Vesting Event,
the Grantee shall become 100% vested in those shares of Granted Stock that are
outstanding on the date of the Vesting Event.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)&nbsp;&nbsp;<i><font style="font-style:italic;">Forfeiture of
Granted Stock.&nbsp;&nbsp;</font></i>The Granted Stock that is subject to a
Risk of Forfeiture shall automatically be forfeited and immediately returned to
the Company on the Grantee&#146;s Termination Date or the date on which the
Administrator determines that any other conditions to the vesting of the
Performance Stock Award, including performance goals, were not satisfied during
the designated period of time.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;<i><font style="font-style:italic;">Rights as a
Stockholder.&nbsp;&nbsp;</font></i>Upon vesting of a Performance Stock Award,
the Grantee shall have the rights of a stockholder with respect to the voting
of the vested shares of Granted Stock, subject to the conditions contained in
the Stock Award Agreement.</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c)&nbsp;&nbsp;<i><font style="font-style:italic;">Dividends.&nbsp;&nbsp;</font></i>The
Stock Award Agreement may require or permit the immediate payment, waiver,
deferral or investment of dividends paid on Granted Stock.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d)&nbsp;&nbsp;<i><font style="font-style:italic;">Non-transferability of Performance Stock Award.&nbsp;&nbsp;</font></i>Except
as otherwise provided for in Section&nbsp;12 of the Plan, Performance Stock
Awards may not be sold, pledged, assigned, hypothecated, transferred, or
disposed of in any manner other than by will or by the laws of descent and
distribution and may be exercised, during the lifetime of the Grantee, only by
the Grantee. Notwithstanding the immediately preceding sentence, the
Administrator may permit a Grantee to transfer any Award which is not an
Incentive Stock Option to one or more of the Grantee&#146;s immediate family members
or to trusts established in whole or in part for the benefit of the Grantee
and/or one or more of such immediate family members. For purposes of the Plan, (i)&nbsp;the
term <i><font style="font-style:italic;">&#147;immediate family&#148; </font></i>shall
mean the Grantee&#146;s spouse and issue (including adopted and step children) and (ii)&nbsp;the
phrase &#147;immediate family members or to trusts established in whole or in part
for the benefit of the Grantee and/or one or more of such immediate family
members&#148; shall be further limited, if necessary, so that neither the transfer
of an Award other than an Incentive Stock Option to such immediate family
member or trust, nor the ability of a Grantee to make such a transfer shall
have adverse consequences to the Company or the Grantee by reason of Section&nbsp;162(m)
of the Code.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">10.</font><font size="1" style="font-size:8.5pt;">&#160;&#160; </font><i><font style="font-style:italic;">Stock Appreciation Rights.&nbsp;&nbsp;</font></i>Each SAR shall be evidenced by a SAR
Agreement, in the form approved by the Administrator and may contain such
provisions as the Administrator deems appropriate; provided, however, that each
SAR Agreement shall comply with the terms specified below. No person may be
granted (in any calendar year) SARs that pertain to more than 250,000 Shares,
subject to the adjustments provided for in Section&nbsp;11 of the Plan.</p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">13</font></p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;<i><font style="font-style:italic;">Exercise Price.&nbsp;&nbsp;</font></i>The
Exercise Price of a SAR shall be determined by the Administrator but shall not
be less than 100% of the Fair Market Value of a Share on the Date of Grant of
such SAR.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;<i><font style="font-style:italic;">Vesting.&nbsp;&nbsp;</font></i>Any
SAR granted hereunder shall be exercisable and shall vest at such times and
under such conditions as determined by the Administrator and set forth in the
SAR Agreement. Notwithstanding anything herein to the contrary, upon the
occurrence of a Vesting Event, all SARs that are outstanding on the date of the
Vesting Event shall become exercisable on such date (whether or not previously
vested).</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c)&nbsp;&nbsp;<i><font style="font-style:italic;">Term of SARs.&nbsp;&nbsp;</font></i>No
SAR shall have a term in excess of 10&nbsp;years measured from the Date of
Grant of such SAR.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d)&nbsp;&nbsp;<i><font style="font-style:italic;">Non-transferability
of SARs.&nbsp;&nbsp;</font></i>SARs may not be sold, pledged, assigned,
hypothecated, transferred, or disposed of in any manner other than by will or by
the laws of descent and distribution and may be exercised, during the lifetime
of the Optionee, only by the Optionee. Notwithstanding the immediately
preceding sentence, the Administrator may permit an Optionee to transfer any
Award which is not an Incentive Stock Option to one or more of the Optionee&#146;s
immediate family members or to trusts established in whole or in part for the
benefit of the Optionee and/or one or more of such immediate family members.
For purposes of the Plan, (i)&nbsp;the term <i><font style="font-style:italic;">&#147;immediate
family&#148; </font></i>shall mean the Optionee&#146;s spouse and issue (including
adopted and step children) and (ii)&nbsp;the phrase &#147;immediate family members
or to trusts established in whole or in part for the benefit of the Optionee
and/or one or more of such immediate family members&#148; shall be further limited,
if necessary, so that neither the transfer of an Award other than an Incentive
Stock Option to such immediate family member or trust, nor the ability of a
Optionee to make such a transfer shall have adverse consequences to the Company
or the Optionee by reason of Section&nbsp;162(m) of the Code.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(e)&nbsp;&nbsp;<i><font style="font-style:italic;">Procedure for Exercise.&nbsp;&nbsp;</font></i>A SAR
shall be deemed to be exercised when written notice of such exercise has been
given to the Administrator in accordance with the terms of the SAR Agreement by
the person entitled to exercise the SAR. Upon exercise of a SAR, the Optionee
(or any person having the right to exercise the SAR after his or her death)
shall receive an amount equal to the amount by which the Fair Market Value (on
the date of surrender) of a Share exceeds the Exercise Price of such SAR. The
Company shall pay this amount in the form of: (i)&nbsp;Common Stock; (ii)&nbsp;cash;
or (iii)&nbsp;a combination of Common Stock and cash, as determined by the
Administrator.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(f)&nbsp;&nbsp;<i><font style="font-style:italic;">Effect of Termination
of Service.</font></i></font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;&nbsp;<i><font style="font-style:italic;">Termination of
Service.&nbsp;&nbsp;</font></i>Upon termination of an Optionee&#146;s Service, other
than due to death, Disability, or Cause, the Optionee may exercise his/her
SARs, but only on or prior to the date that is three months following the
Optionee&#146;s Termination Date, and only to the extent that the Optionee was
entitled to exercise such SARs on the Termination Date (but in no event later
than the expiration of the term of such SAR, as set forth in the Notice of
Stock Appreciation Rights Grant to the SAR Agreement). If, on the Termination
Date, the Optionee is not entitled to exercise all of the Optionee&#146;s SARs, then
the Shares that pertain to the unexercisable SARs shall revert to the Plan. If,
after termination of Service, the Optionee does not exercise his/her SARs
within the time specified herein, the SARs shall terminate, and the Shares that
pertain to the SARs shall revert to the Plan.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">14</font></p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)&nbsp;&nbsp;<i><font style="font-style:italic;">Disability of
Optionee.&nbsp;&nbsp;</font></i>In the event of termination of an Optionee&#146;s
Service due to his/her Disability, the Optionee may exercise his/her SARs, but
only on or prior to the date that is twelve months following the Termination
Date, and only to the extent that the Optionee was entitled to exercise such
SARs on the Termination Date (but in no event later than the expiration date of
the term of his/her SAR, as set forth in the Notice of Stock Appreciation
Rights Grant to the SAR Agreement). To the extent the Optionee is not entitled
to exercise the SARs on the Termination Date, or if the Optionee does not
exercise the SARs to the extent so entitled within the time specified herein,
the SARs shall terminate, and the Shares that pertain to the SARs shall revert
to the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)&nbsp;&nbsp;<i><font style="font-style:italic;">Death of Optionee.&nbsp;&nbsp;</font></i>In
the event that an Optionee should die while in Service, the Optionee&#146;s SARs may
be exercised by the Optionee&#146;s estate or by a person who has acquired the right
to exercise the SARs by bequest or inheritance, but only on or prior to the
date that is twelve months following the date of death, and only to the extent
that the Optionee was entitled to exercise the SARs at the date of death (but
in no event later than the expiration date of the term of his/her SAR, as set
forth in the Notice of Stock Appreciation Rights Grant to the SAR Agreement).
If, at the time of death, the Optionee was not entitled to exercise all of
his/her SARs, the Shares that pertain to the unexercisable SARs shall
immediately revert to the Plan. If after death, the Optionee&#146;s estate or a
person who acquires the right to exercise the SARs by bequest or inheritance
does not exercise the SARs to the extent so entitled within the time specified
herein, the SARs shall terminate, and the Shares that pertain to the SARs shall
revert to the Plan.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iv)&nbsp;&nbsp;<i><font style="font-style:italic;">Cause.&nbsp;&nbsp;</font></i>In
the event of termination of an Optionee&#146;s Service due to Cause, the Optionee&#146;s
SARs shall terminate on the Termination Date.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">11.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">Adjustments Upon Changes in Capitalization.</font></i></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;<i><font style="font-style:italic;">Changes in Capitalization.&nbsp;&nbsp;</font></i>The
limitations set forth in Sections 4, 6, and 10 of the Plan, the number of
Shares that pertain to each outstanding Award, and the Exercise Price of each
Option and SAR shall be proportionately adjusted for any increase or decrease
in the number of issued and outstanding Shares resulting from a stock split,
reverse stock split, stock dividend, recapitalization, combination or
reclassification of the Common Stock, or any other increase or decrease in the
number of issued and outstanding Shares, effected without the receipt of
consideration by the Company. Such adjustment shall be made by the
Administrator, to the extent possible, so that the adjustment shall not result
in an accounting consequence under APB 25 and FASB Interpretation No.&nbsp;44,
as amended, and so that the adjustment shall not result in any taxes to the
Company or the Participant. The Administrator&#146;s determination with respect to
the adjustment shall be final, binding, and conclusive.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">15</font></p>

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</div>
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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;<i><font style="font-style:italic;">Dissolution or
Liquidation.&nbsp;&nbsp;</font></i>In the event of the proposed dissolution or
liquidation of the Company, the Administrator shall notify each Participant as
soon as practicable prior to the effective date of such proposed transaction.
In such event, the Administrator, in its discretion, may provide for a Participant
to fully vest in his/her Option and SAR, and the Right of Forfeiture to lapse
on his/her Granted Stock. To the extent it has not been previously exercised,
an Award will terminate upon termination or liquidation of the Company.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">12.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">Deferral of Stock Awards and SARs.&nbsp;&nbsp;</font></i>The Administrator, in its sole discretion,
may permit a Grantee to defer his/her Stock Awards, and an Optionee to defer
his/her SARs pursuant to the terms and conditions provided for in the First
Community Bancorp Directors Deferred Compensation Plan.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">13.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">Cancellation and Regrant of Awards.&nbsp;&nbsp;</font></i>The Administrator shall have the authority to
effect, at any time and from time to time, with the consent of the affected
Optionee, the cancellation of any or all outstanding Options or SARs and to grant
in substitution new Options or SARs covering the same or a different number of
Shares but with an Exercise Price per Share based on the Fair Market Value per
Share on the new Date of Grant of the Option or SAR. The Administrator shall
also have the authority to effect, at any time and from time to time, with the
consent of the affected Grantee, the cancellation of any or all outstanding
Stock Awards and to grant in substitution new Stock Awards covering the same or
a different number of Shares. Notwithstanding the foregoing or anything in this
Plan to the contrary, the Administrator may not take any action which would
constitute a &#147;repricing&#148; of Options or other Awards without recommending that
such repricing be subject to the approval of the Company&#146;s shareholders prior
to effectiveness.&#160; &#160;For purposes of Section&nbsp;4 hereof, Shares
underlying any Award cancelled by the Company in such exchange shall be
available for issuance under the Plan; furthermore, except with respect to a
Participant subject to Section&nbsp;162(m) of the Code, a grant of any Award to
a Participant pursuant to such exchange shall be disregarded for purposes of
determining whether such Participant has exceeded any limitations hereunder
limiting the amount of any type of Award or aggregate amount of Awards that may
be granted to a Participant (except to the extent the number of Shares
underlying such Awards exceeds the number of Shares underlying the Participant&#146;s
cancelled Awards).</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">14.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">Share Escrow/Legends.&nbsp;&nbsp;</font></i>Unvested Shares issued under the Plan may, in
the Administrator&#146;s discretion, be held in escrow by the Company until the
Participant&#146;s interest in such Shares vests or may be issued directly to the
Participant with restrictive legends on the certificates evidencing those
unvested Shares.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">15.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">Tax Withholding.</font></i></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;For corporate purposes, the Company&#146;s obligation to
deliver Shares upon the exercise of Options, deliver Shares or cash upon the
exercise of SARs, or deliver Shares or remove any restrictive legends upon
vesting of such Shares under the Plan shall be subject to the satisfaction of
all applicable federal, state and local income and employment tax withholding
requirements.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">16</font></p>

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</div>
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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;To
the extent permitted under Section&nbsp;402 of the Sarbanes-Oxley Act of 2002
and the regulations adopted pursuant thereto, the Administrator may, in its
discretion, provide any or all holders of Non-Statutory Stock Options or SARS,
or unvested Shares under the Plan with the right to use previously vested Shares
in satisfaction of all or part of the Taxes incurred by such holders in
connection with the exercise of their Non-Statutory Stock Options or SARs, or
the vesting of their Shares; provided, however, that this form of payment shall
be limited to the withholding amount calculated using the minimum statutory
rates. Such right may be provided to any such holder in either or both of the
following formats:</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;&nbsp;<i><font style="font-style:italic;">Stock Withholding:&nbsp;&nbsp;</font></i>The
election to have the Company withhold, from the Shares otherwise issuable upon
the exercise of such Non-Statutory Stock Option or SAR, or the vesting of such
Shares, a portion of those Shares with an aggregate Fair Market Value equal to
the Taxes calculated using the minimum statutory withholding rates interpreted
in accordance with APB 25 and FASB Interpretation No.&nbsp;44.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .75in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)&nbsp;&nbsp;<i><font style="font-style:italic;">Stock Delivery:&nbsp;&nbsp;</font></i>The
election to deliver to the Company, at the time the Non-Statutory Stock Option
or SAR is exercised or the Shares vest, one or more Shares previously acquired
by such holder (other than in connection with the Option or SAR exercise, or
Share vesting triggering the Taxes) with an aggregate Fair Market Value equal
to the Taxes calculated using the minimum statutory rates interpreted in
accordance with APB 25 and FASB Interpretation No.&nbsp;44.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">16.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">Effective Date and Term of the Plan.&nbsp;&nbsp;</font></i>The Plan, as an amendment and restatement of
the 2003 Plan, was adopted by the Board on April&nbsp;21, 2004, and shall
become effective on the date of its approval by the Company&#146;s shareholders.
Unless sooner terminated by the Administrator, the Plan shall continue until April&nbsp;17,
2010. When the Plan terminates, no Awards shall be granted under the Plan
thereafter. The termination of the Plan shall not affect any Shares previously
issued or any Award previously granted under the Plan.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">17.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">Time of Granting Awards.&nbsp;&nbsp;</font></i>The Date of Grant of an Award shall, for all
purposes, be the date on which the Administrator makes the determination to
grant such Award, or such other date as determined by the Administrator;
provided, however, that any Award granted prior to the date on which the Plan
is approved by the Company&#146;s shareholders shall be subject to the shareholder&#146;s
approval of the Plan. Notice of the determination shall be given to each
Service Provider to whom an Award is so granted within a reasonable period of
time after the date of such grant.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">18.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">Amendment and Termination of the Plan.</font></i></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;<i><font style="font-style:italic;">Amendment and
Termination.&nbsp;&nbsp;</font></i>The Board may at any time amend, alter,
suspend, or discontinue the Plan, but no amendment, alteration, suspension, or
discontinuation shall be made which would impair the rights of any Participant
under any grant theretofore made without his/her consent. In addition, to the
extent necessary and desirable to comply with Section&nbsp;422 of the Code (or
any other applicable law or regulation, including the requirements of any stock
exchange or national market system upon which the Common Stock is then listed),
the Company shall obtain shareholder approval of any Plan amendment in such a
manner and to such a degree as required.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">17</font></p>

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<div style="font-family:Times New Roman;">

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;<i><font style="font-style:italic;">Effect of Amendment
and Termination.&nbsp;&nbsp;</font></i>Any such amendment or termination of the
Plan shall not affect Awards already granted, and such Awards shall remain in
full force and effect as if this Plan had not been amended or terminated,
unless mutually agreed otherwise between the Participant and the Board, which
agreement must be in writing and signed by the Participant and the Company.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">19.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">Regulatory Approvals.</font></i></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)&nbsp;&nbsp;The implementation of the Plan, the granting of any
Awards and the issuance of any Shares upon the exercise of any granted Awards
shall be subject to the Company&#146;s procurement of all approvals and permits
required by regulatory authorities having jurisdiction over the Plan, the Awards
granted under it, and the Shares issued pursuant to it.</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt .5in;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)&nbsp;&nbsp;No
Shares or other assets shall be issued or delivered under the Plan unless and
until there shall have been compliance with all applicable requirements of
federal and state securities laws, including the filing and effectiveness of
the Form&nbsp;S-8 registration statement (if required) for the Shares issuable
under the Plan, and all applicable listing requirements of any stock exchange
(or the Nasdaq National Market, if applicable) on which the Common Stock is
then listed for trading (if any).</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">20.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">No Employment/Service Rights.&nbsp;&nbsp;</font></i>Nothing in the Plan shall confer upon the
Participant any right to continue in Service for any period of specific
duration or interfere with or otherwise restrict in any way the rights of the
Company (or any Affiliate employing or retaining such person) or of the
Participant, which rights are hereby expressly reserved by each, to terminate
such person&#146;s Service at any time for any reason, with or without cause.</p>

<p style="margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">21.</font><i><font size="1" style="font-size:8.5pt;font-style:italic;">&#160;&#160; </font></i><i><font style="font-style:italic;">Governing Law.&nbsp;&nbsp;</font></i>This Plan shall be governed by California law, applied without regard
to conflict of laws principles.</p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">18</font></p>

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