Oculus Innovative Sciences, Inc.

On January 7, 2021, the Company awarded stock options to certain executive officers of the Company. The grant was part of the annual company-wide grant to all employees in recognition of their services. The exercise price of the options is based on the closing price of our common stock of $8.03 per share on January 7, 2021, and the options vest in three equal tranches on the first, second and third anniversary of the grant date. All options vest upon change of control. Any unvested options will expire if the employment of the respective executive terminates prior to the vesting date. The option grants are as follows:

In case of termination without cause, Ms. Trombly may also be awarded a bonus, upon determination by the Corporation’s Board of Directors or Compensation Committee, as appropriate, to be made in its sole discretion as to whether to grant a bonus, and if such bonus is granted, the amount, form and payment schedule. For the avoidance of doubt, Ms. Trombly shall not be entitled to any bonus solely for reason of termination, unless the Board of Directors or the Compensation Committee, as appropriate, in its sole discretion awards such bonus.

In a study conducted by the Departments of Endodontics and Cell Biology and Anatomy at Louisiana State University School of Dentistry published in the Journal of Endodontics, Regenerative Endodontics, Endocyn® demonstrated less cellular toxicity compared to traditional endodontic irrigants such as sodium hypochlorite. The full study can be found here: http://www.sciencedirect.com/science/article/abs/pii/S0099239917310439.

In January 2021, we received notice of an approval from The European Chemicals Agency, or ECHA, in accordance with Article 95 of the EU Biocidal Products Regulation, or Regulation (EU) No 528/2012 concerning the making available on the market and use of biocidal products, as amended by Regulation (EU) No 334/20141, to include our patented HOCl technology as a biocide to the list of active substances and suppliers. This approval includes PT 1 (human hygiene), PT 2 (disinfectants and algaecides not intended for direct application to humans or animals), PT 3 (veterinary hygiene), and PT 4 (food and feed area) product types. The products associated with this approval are MucoClyns™ for human hygiene to be marketed and commercialized by us, MicrocynAH® for animal heath to be marketed and commercialized through our partner, Petagon Limited, and Microsafe for disinfectant use to be marketed and commercialized through our partner, MicroSafe Group Dubai.

On January 7, 2021, we awarded stock options to certain executive officers of the Company. The grant was part of the annual company-wide grant to all employees in recognition of their services. The exercise price of the options is based on the closing price of our common stock of $8.03 per share on January 7, 2021, and the options vest in three equal tranches on the first, second and third anniversary of the grant date. All options vest upon change of control. Any unvested options will expire if the employment of the respective executive terminates prior to the vesting date. The option grants are as follows:

In addition, Ms. Trombly is not entitled to certain benefits if she did not comply with the non-competition or the confidentiality provisions of the employment agreement, whether during or after the terms of her employment. Furthermore, we are under no obligation to pay the above-mentioned benefits if Ms. Trombly does not comply with the non-solicitation provisions of the employment agreement, which prohibit a terminated executive from interfering with the business relations of our Company or any of our affiliates and from soliciting employees of our Company. These provisions apply during the term of employment and for two years following termination.