FARO Technologies, Inc. Summary of Director Compensation Program

        Initial Equity Grant:

Upon election of the board, each non-employee director will receive shares of restricted stock with a value equal to $100,000. The number of restricted shares granted will be determined by dividing $100,000 by the closing price of FARO common stock on the date of the non-employee director’s election to the Board. The shares of restricted stock will vest on the third anniversary of the grant date, subject to the non-employee director’s continued membership on the Board.

        Annual Equity Grant:

On the day following the annual meeting of shareholders, each non-employee director will receive shares of restricted stock with a value equal to $70,000. The number of restricted shares granted will be det