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Exhibit
99.9
ADVANCED MEDICAL OPTICS,
INC.
2002 EMPLOYEE STOCK
PURCHASE PLAN
AS PROPOSED TO BE AMENDED
AND RESTATED
ADVANCED MEDICAL OPTICS,
INC.
2002 EMPLOYEE STOCK
PURCHASE PLAN
(AS PROPOSED TO BE AMENDED
AND RESTATED)
Table of
Contents
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Page
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ARTICLE I. GENERAL PROVISIONS
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1 |
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1.1
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Purposes
of the Plan |
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1 |
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1.2
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Definitions |
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1 |
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1.3
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Stock
Subject to the Plan |
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4 |
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1.4
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Administration by Committee; Rules and Regulations |
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5 |
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ARTICLE II. DESIGNATION OF PARENT AND
SUBSIDIARY CORPORATIONS
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5 |
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2.1
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Designation of Parent and Subsidiary Corporation |
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5 |
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ARTICLE III. GRANT OF OPTIONS TO
ELIGIBLE EMPLOYEES
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5 |
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3.1
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Option
Grants |
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5 |
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3.2
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Exercise
of Options; Option Price |
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7 |
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3.3
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Termination of Employment |
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7 |
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ARTICLE IV. WITHDRAWAL
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8 |
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4.1
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Withdrawal from the Plan |
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8 |
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ARTICLE V. OTHER PROVISIONS
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8 |
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5.1
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Changes
in the Stock and Corporate Events; Adjustment of
Options |
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8 |
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5.2
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Use of
Funds; No Interest Paid |
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9 |
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5.3
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No Rights
as an Employee |
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9 |
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5.4
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Designation of Beneficiary |
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9 |
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5.5
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Conditions to Issuance of Stock Certificates |
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10 |
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5.6
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Notification of Disposition |
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10 |
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5.7
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No Rights
of Stockholders until Shares Issued |
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10 |
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5.8
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Amendment, Suspension or Termination of the Plan |
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10 |
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5.9
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Restriction upon Assignment |
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11 |
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5.10
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Effect
upon Other Plans |
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11 |
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5.11
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Dividends |
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11 |
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5.12
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Notices |
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11 |
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5.13
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Term;
Approval by Stockholders |
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12 |
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5.14
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Headings |
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12 |
i
ADVANCED MEDICAL OPTICS,
INC.
2002 EMPLOYEE STOCK
PURCHASE PLAN
ARTICLE I.
GENERAL
PROVISIONS
1.1 Purposes of the
Plan
Advanced Medical Optics,
Inc., a Delaware corporation (“AMO”), has adopted the
Advanced Medical Optics, Inc. 2002 Employee Stock Purchase Plan
(the “Plan”).
The purposes of the Plan are
as follows:
(1) To assist eligible
employees of AMO and its Designated Parent Corporations and
Designated Subsidiary Corporations (each as defined below) in
acquiring ownership of shares of Common Stock of AMO pursuant to a
plan which is intended to qualify as an “employee stock
purchase plan,” within the meaning of Section 423(b) of the
Code (as defined below).
(2) To help such employees
provide for their future security and to encourage them to remain
in the employment of AMO and its Parent Corporations and Subsidiary
Corporations.
1.2 Definitions
Whenever any of the following
terms is used in the Plan with the first letter or letters
capitalized, it shall have the following meaning unless context
clearly indicates to the contrary (such definitions to be equally
applicable to both the singular and the plural forms of the terms
defined):
(a) “Account”
means the account established for an Eligible Employee under the
Plan with respect to an Offering Period.
(b) “Agent” means
the brokerage firm, bank or other financial institution, entity or
person(s) engaged, retained, appointed or authorized to act as the
agent of AMO or an Employee with regard to the Plan.
(c)
“Authorization” means an Eligible Employee’s
payroll deduction authorization with respect to an Offering Period
provided by such Eligible Employee in accordance with Section
3.1(b).
(d) “Board” means
the Board of Directors of AMO.
(e) “Change in
Control” means the following and shall be deemed to occur if
any of the following events occur:
(i) Any “person,”
as such term is used in Sections 13(d) and 14(d) of the Exchange
Act (a “Person”), is or becomes the
“beneficial owner,” as defined in Rule 13d-3 under the
Exchange Act (a “Beneficial Owner”), directly or
indirectly, of securities of AMO representing (i) 20% or more of
the combined voting power of AMO’s then outstanding voting
securities, which acquisition is not approved in advance of the
acquisition or within 30 days after the acquisition by a majority
of the Incumbent Board (as hereinafter defined) or (ii) 33% or more
of the combined voting power of AMO’s then outstanding voting
securities, without regard to whether such acquisition is approved
by the Incumbent Board;
(ii) Individuals who, as of
June 29, 2002, constitute the Board (the “Incumbent
Board”), cease for any reason to constitute at least a
majority of the Board, provided that any person becoming a
Director subsequent to June 29, 2002 whose election, or nomination
for election by AMO’s stockholders, is approved by a vote of
at least a majority of the Directors then comprising the Incumbent
Board (other than an election or nomination of an individual whose
initial assumption of office is in connection with an actual or
threatened election contest relating to the election of the
Directors of AMO, as such terms are used in Rule 14a-11 of
Regulation 14A promulgated under the Exchange Act) shall, for the
purposes of this Plan, be considered as though such person were a
member of the Incumbent Board of AMO;
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(iii) The consummation of a
merger, consolidation or reorganization involving AMO, other than
one which satisfies both of the following conditions:
(A) a merger, consolidation
or reorganization which would result in the voting securities of
AMO outstanding immediately prior thereto continuing to represent
(either by remaining outstanding or by being converted into voting
securities of another entity) at least 55% of the combined voting
power of the voting securities of AMO or such other entity
resulting from the merger, consolidation or reorganization (the
“Surviving Corporation”) outstanding immediately after
such merger, consolidation or reorganization and being held in
substantially the same proportion as the ownership in AMO’s
voting securities immediately before such merger, consolidation or
reorganization, and
(B) a merger, consolidation
or reorganization in which no Person is or becomes the Beneficial
Owner, directly or indirectly, of securities of AMO representing
20% or more of the combined voting power of AMO’s then
outstanding voting securities; or
(iv) Complete liquidation of
AMO or a sale of all or substantially all of AMO’s
assets.
Additionally, notwithstanding
the preceding provisions of this subsection (e), a Change in
Control shall not be deemed to have occurred if the Person
described in the preceding provisions of this subsection (e) is (1)
an underwriter or underwriting syndicate that has acquired any of
AMO’s then outstanding voting securities solely in connection
with a public offering of AMO’s securities, (2) AMO or any
subsidiary of AMO or (3) an employee stock ownership plan or other
employee benefit plan maintained by the AMO or any of its
subsidiaries that is qualified under the provisions of the Code. In
addition, notwithstanding the preceding provisions of this
subsection (e), a Change in Control shall not be deemed to have
occurred if the Person described in the preceding provisions of
this subsection (e) becomes a Beneficial Owner of more than the
permitted amount of outstanding securities as a result of the
acquisition of voting securities by AMO which, by reducing the
number of voting securities outstanding, increases the proportional
number of shares beneficially owned by such Person, provided
, that if a Change in Control would occur but for the operation of
this sentence and such Person becomes the Beneficial Owner of any
additional voting securities (other than through the exercise of
options granted under any stock option plan of AMO or through a
stock dividend or stock split), then a Change in Control shall
occur.
(f) “Code” means
the Internal Revenue Code of 1986, as amended. Where the context so
requires, a reference to a particular Code section shall also refer
to any successor provision of the Code to such section.
(g) “Committee”
means the committee of the Board appointed to administer the Plan
pursuant to Section 1.4.
(h) “Common
Stock” means the shares of AMO’s Common Stock, $0.01
par value.
(i)
“Compensation” of an Employee means such
Employee’s base earnings, and commissions and similar
incentive compensation, payable to an Eligible Employee by AMO, any
Designated Parent Corporation or any Designated Subsidiary
Corporation on each Payday as compensation for services rendered,
before any reduction elected by an Eligible Employee under a Code
Section 401(k) cash or deferred arrangement or a Code Section 125
cafeteria plan.
(j) “Date of
Exercise” of any Option means the date on which such Option
is exercised, which shall be the last day of the Offering Period
with respect to which the Option was granted, in accordance with
Section 3.2(a) (except as provided in Section 5.1).
(k) “Date of
Grant” of any Option means the date on which such Option is
granted, which shall be the first day of the Offering Period with
respect to which the Option was granted, in accordance with
Section 3.1(a).
(l) “Designated Parent
Corporation” means any Parent Corporation designated by the
Board in accordance with Section 2.1.
(m) “Designated
Subsidiary Corporation” means any Subsidiary Corporation
designated by the Board in accordance with Section 2.1.
(n) “Disability”
means any mental or physical condition which, in the judgment of
the Committee, based on such competent medical evidence as the
Committee may require, renders an individual unable to engage in
any substantial gainful activity for AMO, or any Designated Parent
Corporation or any Designated Subsidiary Corporation for which
he
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or she is reasonably fitted
by education, training, or experience and which condition can be
expected to result in death or which has lasted or can be expected
to last for a continuous period of at least twelve (12) months. The
determination by the Committee, upon opinion of a physician
selected by the Committee, as to whether an Employee has incurred a
Disability shall be final and binding on all persons. If the
employment of an Employee terminates upon the expiration of such
Employee’s medical leave of absence in accordance with the
medical leave of absence policies of AMO or the Parent Corporation
or Subsidiary Corporation employing such individual, as in effect
as of the effective date of the Plan, such termination of
employment shall be deemed to be due to a Disability.
(o) “Eligible
Employee” means an Employee of AMO, any Designated Parent
Corporation or any Designated Subsidiary Corporation who does not,
immediately after the Option is granted, own (directly or through
attribution) stock possessing five percent (5%) or more of the
total combined voting power or value of all classes of Common Stock
or other stock of AMO, a Parent Corporation or a Subsidiary
Corporation (as determined under Section 423(b)(3) of the Code).
For purposes of the foregoing, the rules of Section 424(d) of
the Code with regard to the attribution of stock ownership shall
apply in determining the stock ownership of an individual, and
stock which an Employee may purchase under outstanding options
shall be treated as stock owned by the Employee.
(p) “Employee”
means an individual who renders services to AMO, a Parent
Corporation or a Subsidiary Corporation in the status of an
“employee,” within the meaning of Code Section 3401(c).
“Employee” shall not include any director of AMO, a
Parent Corporation or a Subsidiary Corporation who does not render
services to AMO, a Parent Corporation or a Subsidiary Corporation
in the status of an “employee,” within the meaning of
Code Section 3401(c). During a leave of absence meeting the
requirements of Treasury Regulation Section 1.421-7(h)(2), an
individual shall be treated as an Employee of AMO or the Parent
Corporation or Subsidiary Corporation employing such individual
immediately prior to such leave.
(q) “Exchange
Act” means the Securities Exchange Act of 1934, as amended.
Where the context so requires, a reference to a particular section
of the Exchange Act shall also refer to any successor provision to
such section.
(r) “Fair Market
Value” means: (a) the closing price of a share of Common
Stock on the principal exchange on which shares of Common Stock are
then trading, if any (or as reported on any composite index which
includes such principal exchange), on the trading day previous to
such date, or if shares were not traded on the trading day previous
to such date, then on the next preceding date on which a trade
occurred, or (b) if Common Stock is not traded on an exchange but
is quoted on Nasdaq or a successor quotation system, the mean
between the closing representative bid and asked prices for the
Common Stock on the trading day previous to such date as reported
by Nasdaq or such successor quotation system, or (c) if Common
Stock is not publicly traded on an exchange and not quoted on
Nasdaq or a successor quotation system, the Fair Market Value of a
share of Common Stock as established by the Committee acting in
good faith.
(s) “International
Purchase Plan” means the Advanced Medical Optics, Inc. 2002
International Stock Purchase Plan, as amended.
(t) “Offering
Period” means:
(i) During the period
commencing on or after the date of adoption of the Plan and ending
on October 1, 2004, “Offering Period” means each
six-month period commencing on any April 1 and October 1, or at
such other time or times or such other periods as may be determined
by the Committee; provided, however, that on a one-time basis, the
Offering Period commencing October 1, 2004 shall end on April 30,
2005.
(ii) After April 30, 2005,
“Offering Period” means each six-month period
commencing on any May 1 and November 1, or at such other time or
times or such other periods as may be determined by the
Committee.
(iii) Subject to Section 5.8
hereof, the Committee shall have the power to change the duration
and/or frequency of Offering Periods with respect to future
offerings and shall use its best efforts to notify Employees of any
such change at least 15 days prior to the scheduled beginning of
the first Offering Period to be affected. In no event shall any
Option granted hereunder be exercisable more than 27 months from
its Date of Grant.
Options shall be granted on
the Date of Grant and exercised on the Date of Exercise, as
provided in Section 3.1(a) and 3.2(a), respectively.
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(u) “Option”
means an option to purchase shares of Common Stock granted under
the Plan to an Eligible Employee in accordance with Section
3.1(a).
(v) “Option
Price” means the option price per share of Common Stock
determined in accordance with Section 3.2(b).
(w) “Parent
Corporation” means any corporation, other than AMO, in an
unbroken chain of corporations ending with AMO if, at the time of
the granting of the Option, each of the corporations other than AMO
owns stock possessing 50% or more of the total combined voting
power of all classes of stock in one of the other corporations in
such chain.
(x) “Payday”
means the regular and recurring established day for payment of
Compensation to an Employee of AMO, any Parent Corporation or any
Subsidiary Corporation.
(y) “Plan” means
the Advanced Medical Optics, Inc. 2002 Employee Stock Purchase
Plan, as amended.
(z) “Rule 16b-3”
means Rule 16b-3 promulgated by the Securities and Exchange
Commission under the Exchange Act, or, where the context so
requires, any successor provision to such Rule 16b-3.
(aa) “Subsidiary
Corporation” means any corporation, other than AMO, in an
unbroken chain of corporations beginning with AMO if, at the time
of the granting of the Option, each of the corporations other than
the last corporation in an unbroken chain owns stock possessing 50%
or more of the total combined voting power of all classes of stock
in one of the other corporations in such chain.
1.3 Stock Subject to the
Plan
(a) Subject to the provisions
of Section 5.1 (relating to adjustments upon changes in the Common
Stock) and Section 5.8 (relating to amendments of the Plan), the
aggregate number of shares of Common Stock that may be sold
pursuant to Options granted under the Plan shall not exceed (i) the
number determined in accordance with subsection (b) below, less
(ii) the number of shares of Common Stock sold pursuant to options
granted under the International Purchase Plan.
(b) The aggregate number of
shares of Common Stock that may be sold pursuant to Options granted
under the Plan (before deduction for shares of Common Stock sold
pursuant to options granted under the International Purchase Plan,
in accordance with subsection (a) above) shall be determined as
follows:
(i) Initially, the lesser
of
(A) two hundred ninety
thousand (290,000) shares of Common Stock, or
(B) one percent (1%) of the
shares of Common Stock outstanding as of the June 29,
2002.
(ii) The number of shares set
forth in subparagraph (i) shall be increased each October 1
beginning October 1, 2003 and ending (and including) October 1,
2004, by the lesser of
(A) two hundred ninety
thousand (290,000) shares of Common Stock, or
(B) one percent (1%) of the
shares of Common Stock outstanding as of the last day of the second
quarter of the then current year as reported on AMO’s Form
10-Q for such quarter;
(iii) The number of shares
set forth in subparagraphs (i and ii) shall be increased each
November 1 beginning November 1, 2005, and ending (and including),
November 1, 2014, by the lesser of
(A) four hundred thousand
(400,000) shares of Common Stock, or
(B) one percent (1%) of the
shares of Common Stock outstanding as of the last day of the second
quarter of the then current year as reported on AMO’s Form
10-Q for such quarter;
provided, however ,
that the Board may, by resolution adopted prior to such November 1,
substitute a lower number for that provided pursuant to clauses (A)
and (B) of this subparagraph (iii).
(c) The shares of Common
Stock sold pursuant to Options granted under the Plan may be newly
issued shares or treasury shares of Common Stock, or shares of
Common Stock bought on the New York Stock Exchange or other
nationally recognized exchange, or other market.
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1.4 Administration by Committee;
Rules and Regulations
(a) Appointment of
Committee . The Plan shall be administered by the Committee,
which shall be appointed by the Board and which shall be composed
of not less than two members of the Board, each of whom shall be a
“non-employee director” within the meaning of Rule
16b-3. Each member of the Committee shall serve for a term
commencing on a date specified by the Board and continuing until
the member dies, resigns or is removed from office by the Board.
The Committee in its discretion may utilize the services of an
agent to assist in the administration of the Plan, including
establishing and maintaining an individual securities account under
the Plan for each Employee.
(b) Duties and Powers of
Committee . It shall be the duty of the Committee to conduct
the general administration of the Plan in accordance with the
provisions of the Plan. The Committee shall have the power to
interpret the Plan and the terms of the Options and to adopt such
rules for the administration, interpretation, and application of
the Plan as are consistent therewith and to interpret, amend or
revoke any such rules. In its absolute discretion, the Board may at
any time and from time to time exercise any and all rights and
duties of the Committee under the Plan.
(c) Majority Rule .
The Committee shall act by a majority of its members in office. The
Committee
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