EXHIBIT 10.2
FORM OF
ARCTIC CAT INC.
DIRECTOR
NON-QUALIFIED
STOCK OPTION
AGREEMENT
THIS OPTION AGREEMENT is made as of
the 1st day of April 20 (the
“Option Date”), between ARCTIC CAT INC., a Minnesota
corporation (the “Company”), and
,
a non-employee member of the Board of Directors of the Company (the
“Optionee”).
WHEREAS, the Company desires, by
affording the Optionee an opportunity to purchase shares of its
Common Stock, $.01 par value (the “Common Stock”), as
hereinafter provided, to carry out the purpose of the 2007 Omnibus
Stock and Incentive Plan (the “2007 Stock Plan”) of the
Company approved by its shareholders;
NOW, THEREFORE, in consideration of
the mutual covenants hereinafter set forth and for other good and
valuable consideration, the parties hereto have agreed, and do
hereby agree, as follows:
1.
Grant of Option . The Company hereby grants to the
Optionee the right and Option (hereinafter called the
“Option”) to purchase from the Company all or any part
of an aggregate amount of 11,000 shares of the Common Stock of the
Company on the terms and conditions herein set forth. This
grant does not qualify as an incentive stock option under
Section 422 of the Internal Revenue Code of 1986, as
amended.
2.
Purchase Price . The purchase price of the shares of
the Common Stock covered by the Option shall be
$ per
share.
3.
Term of Option . The term of the Option shall be for a
period expiring ten (10) years from the Option Date. In
no event shall the Option be exercisable after the expiration of
the term of the Option.
4.
Exercise of Option. During the first year the Option is
outstanding it may not be exercised with respect to any of the
shares covered thereby. The Option may thereafter be
exercised during the term specified in Section 3 as
follows:
(a)
from and after 12 months from the
Option Date, the Option may be exercised as to 3,667
shares;
(b)
from and after 24 months from the
Option Date, the Option may be exercised as to an additional 3,667
shares; and
(c)
from and after 36 months from the
Option Date, the Option may be exercised as to an additional 3,666
shares.
