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TERMINATION OF STOCK OPTION AGREEMENT
THIS TERMINATION OF STOCK OPTION AGREEMENT (this “ Agreement ”) is made by and between Lightyear Network Solutions, Inc., a Nevada corporation (the “ Company ”), and ____________ (the “ Optionee ”).
Pursuant to the terms of the Company’s 2010 Stock Incentive and Compensation Plan and an Employee Stock Option Agreement between the Company and Optionee (the “ Option Agreement ”), Optionee has been granted an option (the “ Option ”) to purchase a number of common shares of the Company (the “ Shares ”) at an exercise price per Share, both as stated on the signature page to this Agreement.
The parties now desire to terminate the Option and the Option Agreement.
NOW, THEREFORE, for good and valuable consideration including the promises herein, the parties agree as follows:
1. Termination of Option and Option Agreement . Effective as of the time that this Agreement has been executed by both the Optionee and the Company (the “ Effective Time ”), the Option and the Option Agreement are hereby terminated and are no longer in force or effect. All of the liabilities and obligations of the Company and the Optionee relating to or arising from the Option and the Option Agreement are hereby terminated. In addition, the Optionee hereby surrenders the original Option Agreement to the Company for cancelation, effective as of the Effective Time.
2. Bonus Payment . In consideration of the termination of the Option, the Option Agreement and all related liabilities and obligations, the Company shall pay to the Optionee a cash bonus (the “ Bonus ”), in the amount of $1.00 on or before December 31, 2011. The Bonus shall be reduced by the withholding and payroll obligations described in Section 5.
3. Covenants, Representations and Warranties of the Optionee . The Optionee covenants, represents and warrants to the Company as follows:
(a) The Optionee has received a letter (the “ Optionee Letter ”) from the Company, dated December 20, 2011, set