Common use of Additional Option Clause in Contracts

Additional Option. On the date of this Agreement, the Company will grant the Executive an Option (“Option 4”) under the Plan for the purchase of 352,231 shares of common stock of the Company at a purchase price of $3.57 per Share, which Option shall be evidenced by an agreement in substantially the form attached hereto as Exhibit A. The shares underlying Option 4 are intended to represent a one percent (1.0%) ownership interest in the Company as of the date hereof (based on the number of shares of Fully Diluted Equity of the Company as of the date hereof, after giving effect to the issuance of Option 4). “Fully Diluted Equity of the Company” means the common stock of the Company outstanding as of the determination date, assuming the exercise on such date of all outstanding options, warrants and other rights to purchase common stock of the Company or securities convertible into common stock of the Company and the conversion on such date of all securities convertible into common stock of the Company.

Additional Option. On the date of this Agreement, the Company will grant the Executive an Option (“Option 4”) under the Plan for the purchase of 352,231 355,731 shares of common stock of the Company at a purchase price of $3.57 per Share, which Option shall be evidenced by an agreement in substantially the form attached hereto as Exhibit A. The shares underlying Option 4 are intended to represent a one percent (1.0%) ownership interest in the Company as of the date hereof (based on the number of shares of Fully Diluted Equity of the Company as of the date hereof, after giving effect to the issuance of Option 4). “Fully Diluted Equity of the Company” means the common stock of the Company outstanding as of the determination date, assuming the exercise on such date of all outstanding options, warrants and other rights to purchase common stock of the Company or securities convertible into common stock of the Company and the conversion on such date of all securities convertible into common stock of the Company.