2006 EQUITY INCENTIVE
PLAN
(Amended and Restated
February 26, 2009)
1.
Purposes of the Plan . The purposes of this Plan
are:
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to
attract and retain the best available personnel for positions of
substantial responsibility,
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to
provide additional incentive to Employees, Directors and
Consultants, and
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to
promote the success of the Company’s business.
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The
Plan permits the grant of Incentive Stock Options, Nonstatutory
Stock Options, Restricted Stock, Restricted Stock Units, Stock
Appreciation Rights and Performance Shares.
2.
Definitions . As used herein, the following definitions will
apply:
(a) “
Administrator ” means the Board or any of its
Committees as will be administering the Plan, in accordance with
Section 4 of the Plan.
(b) “
Applicable Laws ” means the requirements relating to
the administration of equity-based awards under U.S. state
corporate laws, U.S. federal and state securities laws, the Code,
any stock exchange or quotation system on which the Common Stock is
listed or quoted and the applicable laws of any foreign country or
jurisdiction where Awards are, or will be, granted under the
Plan.
(c) “
Award ” means, individually or collectively, a grant
under the Plan of Options, SARs, Restricted Stock, Restricted Stock
Units or Performance Shares.
(d) “
Award Agreement ” means the written or electronic
agreement setting forth the terms and provisions applicable to each
Award granted under the Plan. The Award Agreement is subject to the
terms and conditions of the Plan.
(e) “
Board ” means the Board of Directors of the
Company.
(f) “
Change in Control ” Before the February 26, 2009
amendment and restatement of the Plan, Change in Control means the
occurrence of any of the following events:
(i) Any
“person” (as such term is used in Sections 13(d) and
14(d) of the Exchange Act) becomes the “beneficial
owner” (as defined in Rule 13d-3 of the Exchange Act),
directly or indirectly, of securities of the Company representing
fifty percent (50%) or
more of the
total voting power represented by the Company’s then
outstanding voting securities; or
(ii) The
consummation of the sale or disposition by the Company of all or
substantially all of the Company’s assets; or
(iii) A
change in the composition of the Board occurring within a two-year
period, as a result of which fewer than a majority of the directors
are Incumbent Directors. “Incumbent Directors” means
directors who either (A) are Directors as of the effective
date of the Plan, or (B) are elected, or nominated for
election, to the Board with the affirmative votes of at least a
majority of the Incumbent Directors at the time of such election or
nomination (but will not include an individual whose election or
nomination is in connection with an actual or threatened proxy
contest relating to the election of directors to the Company);
or
(iv) The
consummation of a merger or consolidation of the Company with any
other corporation, other than a merger or consolidation which would
result in the voting securities of the Company outstanding
immediately prior thereto continuing to represent (either by
remaining outstanding or by being converted into voting securities
of the surviving entity or its parent) at least fifty percent (50%)
of the total voting power represented by the voting securities of
the Company or such surviving entity or its parent outstanding
immediately after such merger or consolidation
On
or after the February 26, 2009 amendment and restatement of
the Plan, Change in Control means the occurrence of any of the
following events:
(i) A
change in the ownership of the Company which occurs on the date
that any one person, or more than one person acting as a group,
(“Person”) acquires ownership of the stock of the
Company that, together with the stock held by such Person,
constitutes more than fifty percent (50%) of the total voting power
of the stock of the Company; provided, however, that for purposes
of this subsection (i), the acquisition of additional stock by any
one Person, who is considered to own more than fifty percent (50%)
of the total voting power of the stock of the Company will not be
considered a Change in Control; or
(ii) A
change in the effective control of the Company which occurs on the
date that a majority of members of the Board is replaced during any
twelve (12) month period by Directors whose appointment or
election is not endorsed by a majority of the members of the Board
prior to the date of the appointment or election. For purposes of
this clause (ii), if any Person is considered to effectively
control the Company, the acquisition of additional control of the
Company by the same Person will not be considered a Change in
Control; or
(iii) A
change in the ownership of a substantial portion of the
Company’s assets which occurs on the date that any Person
acquires (or has acquired during the twelve (12) month period
ending on the date of the most recent acquisition by such person or
persons) assets from the Company that have a total gross fair
market value equal to or more than fifty percent (50%) of the total
gross fair market value of all of the assets of the Company
immediately prior to such acquisition or acquisitions; provided,
however, that for purposes of this subsection (iii), the following
will not constitute a change in the ownership of a
substantial
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portion of the
Company’s assets: (A) a transfer to an entity that is
controlled by the Company’s stockholders immediately after
the transfer, or (B) a transfer of assets by the Company to:
(1) a stockholder of the Company (immediately before the asset
transfer) in exchange for or with respect to the Company’s
stock, (2) an entity, fifty percent (50%) or more of the total
value or voting power of which is owned, directly or indirectly, by
the Company, (3) a Person, that owns, directly or indirectly,
fifty percent (50%) or more of the total value or voting power of
all the outstanding stock of the Company, or (4) an entity, at
least fifty percent (50%) of the total value or voting power of
which is owned, directly or indirectly, by a Person described in
this subsection (iii)(B)(3). For purposes of this subsection (iii),
gross fair market value means the value of the assets of the
Company, or the value of the assets being disposed of, determined
without regard to any liabilities associated with such
assets.
For
purposes of this Section 2(f), Persons will be considered to
be acting as a group if they are owners of a corporation that
enters into a merger, consolidation, purchase or acquisition of
stock, or similar business transaction with the Company.
Notwithstanding
the foregoing provisions of this definition, a transaction shall
not be deemed a Change in Control unless the transaction qualifies
as a change in control event within the meaning of Code
Section 409A.
(g) “
Code ” means the Internal Revenue Code of 1986, as
amended. Any reference to a section of the Code herein will be a
reference to any successor or amended section of the
Code.
(h) “
Committee ” means a committee of Directors or of other
individuals satisfying Applicable Laws appointed by the Board in
accordance with Section 4 hereof.
(i) “
Common Stock ” means the common stock of the
Company.
(j) “
Company ” means Omniture, Inc., a Delaware
corporation, or any successor thereto.
(k) “
Consultant ” means any person, including an advisor,
engaged by the Company or a Parent or Subsidiary to render services
to such entity.
(l) “
Director ” means a member of the Board.
(m) “
Disability ” means total and permanent disability as
defined in Section 22(e)(3) of the Code, provided that in the
case of Awards other than Incentive Stock Options, the
Administrator in its discretion may determine whether a permanent
and total disability exists in accordance with uniform and
non-discriminatory standards adopted by the Administrator from time
to time.
(n) “
Employee ” means any person, including Officers and
Directors, employed by the Company or any Parent or Subsidiary of
the Company. Neither service as a Director nor payment of a
director’s fee by the Company will be sufficient to
constitute “employment” by the Company.
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(o) “
Exchange Act ” means the Securities Exchange Act of
1934, as amended.
(p) “
Exchange Program ” means a program under which
(i) outstanding Awards are surrendered or cancelled in
exchange for Awards of the same type (which may have lower exercise
prices and different terms), Awards of a different type, and/or
cash, and/or (ii) the exercise price of an outstanding Award
is reduced. The Administrator will determine the terms and
conditions of any Exchange Program in its sole
discretion.
(q) “
Fair Market Value ” means, as of any date, the value
of Common Stock determined as follows:
(i) If
the Common Stock is listed on any established stock exchange or a
national market system, including without limitation the Nasdaq
National Market or The Nasdaq SmallCap Market of The Nasdaq Stock
Market, its Fair Market Value will be the closing sales price for
such stock (or the closing bid, if no sales were reported) as
quoted on such exchange or system on the day of determination, as
reported in The Wall Street Journal or such other source as
the Administrator deems reliable;
(ii) If
the Common Stock is regularly quoted by a recognized securities
dealer but selling prices are not reported, the Fair Market Value
of a Share will be the mean between the high bid and low asked
prices for the Common Stock on the day of determination, as
reported in The Wall Street Journal or such other source as
the Administrator deems reliable; or
(iii) In
the absence of an established market for the Common Stock, the Fair
Market Value will be determined in good faith by the
Administrator.
(r) “
Fiscal Year ” means the fiscal year of the
Company.
(s) “
Incentive Stock Option ” means an Option intended to
qualify as an incentive stock option within the meaning of
Section 422 of the Code and the regulations promulgated
thereunder.
(t) “
Nonstatutory Stock Option ” means an Option that by
its terms does not qualify or is not intended to qualify as an
Incentive Stock Option.
(u) “
Officer ” means a person who is an officer of the
Company within the meaning of Section 16 of the Exchange Act
and the rules and regulations promulgated thereunder.
(v) “
Option ” means a stock option granted pursuant to the
Plan.
(w) “
Optioned Stock ” means the Common Stock subject to an
Award.
(x) “
Parent ” means a “parent corporation,”
whether now or hereafter existing, as defined in Section 424(e) of
the Code.
(y) “
Participant ” means the holder of an outstanding
Award.
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(z) “Performance
Share” means an Award denominated in Shares which may be
earned in whole or in part upon attainment of performance goals or
other vesting criteria as the Administrator may determine pursuant
to Section 10.
(aa) “
Period of Restriction ” means the period during which
the transfer of Shares of Restricted Stock are subject to
restrictions and therefore, the Shares are subject to a substantial
risk of forfeiture. Such restrictions may be based on the passage
of time, the achievement of target levels of performance, or the
occurrence of other events as determined by the
Administrator.
(bb) “
Plan ” means this 2006 Equity Incentive
Plan.
(cc) “
Registration Date ” means the effective date of the
first registration statement that is filed by the Company and
declared effective pursuant to Section 12(g) of the Exchange Act,
with respect to any class of the Company’s
securities.
(dd) “
Restricted Stock ” means Shares issued pursuant to a
Restricted Stock award under Section 7 of the Plan, or issued
pursuant to the early exercise of an Option.
(ee) “
Restricted Stock Unit ” means a bookkeeping entry
representing an amount equal to the Fair Market Value of one Share,
granted pursuant to Section 8. Each Restricted Stock Unit
represents an unfunded and unsecured obligation of the
Company.
(ff) “
Rule 16b-3 ” means Rule 16b-3 of the
Exchange Act or any successor to Rule 16b-3, as in effect when
discretion is being exercised with respect to the Plan.
(gg)
“Section 16(b)” means Section 16(b) of the
Exchange Act.
(hh)
“Service Provider” means an Employee, Director
or Consultant.
(ii) “
Share ” means a share of the Common Stock, as adjusted
in accordance with Section 13 of the Plan.
(jj) “
Stock Appreciation Right ” or “ SAR
” means an Award, granted alone or in connection with an
Option, that pursuant to Section 9 is designated as a
SAR.
(kk) “
Subsidiary ” means a “subsidiary
corporation”, whether now or hereafter existing, as defined
in Section 424(f) of the Code.
3.
Stock Subject to the Plan .
(a)
Stock Subject to the Plan . Subject to the provisions of
Section 13 of the Plan, the maximum aggregate number of Shares
that may be optioned and sold under the Plan is 2,255,296 Shares,
plus (i) the number of Shares which have been reserved
but not issued under the Company’s 1999 Stock Plan (the
“1999 Plan”) as of the Registration Date, up to a
maximum of 287,581 Shares, (ii) any Shares returned to the
1999 Plan as a result of termination of options or repurchase of
Shares issued under such plan, up to a maximum of 8,485,579 Shares,
and (iii) an annual increase to be added on the first day of
the Company’s fiscal year beginning with
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the
Company’s 2007 fiscal year, equal to the lesser of
(A) 60,000,000 Shares, or (B) five percent (5%) of the
outstanding Shares on the last day of the immediately preceding
Company fiscal year. The Shares may be authorized, but unissued, or
reacquired Common Stock.
(b)
Lapsed Awards . If an Award expires or becomes unexercisable
without having been exercised in full, is surrendered pursuant to
an Exchange Program, or, with respect to Restricted Stock,
Restricted Stock Units or Performance Shares, is forfeited to or
repurchased by the Company due to failure to vest, the unpurchased
Shares (or for Awards other than Options or SARs the forfeited or
repurchased Shares) which were subject thereto will become
available for future grant or sale under the Plan (unless the Plan
has terminated). With respect to SARs, only Shares actually issued
pursuant to an SAR will cease to be available under the Plan; all
remaining Shares under SARs will remain available for future grant
or sale under the Plan (unless the Plan has terminated). Shares
that have actually been issued under the Plan under any Award will
not be returned to the Plan and will not become available for
future distribution under the Plan; provided, however, that if
Shares of Restricted Stock or Performance Shares are repurchased by
the Company or are forfeited to the Company due to their failure to
vest, such Shares will become available for future grant under the
Plan. Shares used to pay the exercise price of an Award or to
satisfy the minimum statutory withholding obligations related to an
Award will become available for future grant or sale under the
Plan. Notwithstanding the foregoing and, subject to adjustment as
provided in Section 13, the maximum number of Shares that may
be issued upon the exercise of Incentive Stock Options shall equal
the aggregate Share number stated in Section 3(a), plus, to
the extent allowable under Section 422 of the Code, any Shares
that become available for issuance under the Plan under this
Section 3(b).
(c)
Share Reserve . The Company, during the term of this Plan,
will at all times reserve and keep available such number of Shares
as will be sufficient to satisfy the requirements of the
Plan.
4.
Administration of the Plan .
(i)
Multiple Administrative Bodies . Different Committees with
respect to different groups of Service Providers may administer the
Plan.
(ii)
Section 162(m) . To the extent that the Administrator
determines it to be desirable to qualify Options granted hereunder
as “performance-based compensation” within the meaning
of Section 162(m) of the Code, the Plan will be administered by a
Committee of two or more “outside directors” within the
meaning of Section 162(m) of the Code.
(iii)
Rule 16b-3 . To the extent desirable to qualify
transactions hereunder as exempt under Rule 16b-3, the
transactions contemplated hereunder will be structured to satisfy
the requirements for exemption under Rule 16b-3.
(iv)
Other Administration . Other than as provided above, the
Plan will be administered by (A) the Board or (B) a
Committee, which committee will be constituted to satisfy
Applicable Laws.
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(b)
Powers of the Administrator . Subject to the provisions of
the Plan, and in the case of a Committee, subject to the specific
duties delegated by the Board to such Committee, the Administrator
will have the authority, in its discretion:
(i) to
determine the Fair Market Value;
(ii) to
select the Service Providers to whom Awards may be granted
hereunder;
(iii) to
determine the number of Shares to be covered by each Award granted
hereunder;
(iv) to
approve forms of agreement for use under the Plan;
(v) to
determine the terms and conditions, not inconsistent with the terms
of the Plan, of any Award granted hereunder. Such terms and
conditions include, but are not limited to, the exercise price, the
time or times when Awards may be exercised (which may be based on
performance criteria), any vesting acceleration or waiver of
forfeiture restrictions, and any restriction or limitation
regarding any Award or the Shares relating thereto, based in each
case on such factors as the Administrator will
determine;
(vi) to
institute an Exchange Program;
(vii) to
construe and interpret the terms of the Plan and Awards granted
pursuant to the Plan;
(viii) to
prescribe, amend and rescind rules and regulations relating to the
Plan, including rules and regulations relating to sub-plans
established for the purpose of satisfying applicable foreign
laws;
(ix) to
modify or amend each Award (subject to Section 18(c) of the Plan),
including the discretionary authority to extend the
post-termination exercisability period of Awards longer than is
otherwise provided for in the Plan (subject to compliance with Code
Section 409A);
(x) to
allow Participants to satisfy withholding tax obligations in such
manner as prescribed in Section 14;
(xi) to
authorize any person to execute on behalf of the Company any
instrument required to effect the grant of an Award previously
granted by the Administrator;
(xii) to
allow a Participant to defer the receipt of the payment of cash or
the delivery of Shares that would otherwise be due to such
Participant under an Award
(xiii) to
make all other determinations deemed necessary or advisable for
administering the Plan.
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(c)
Effect of Administrator’s Decision . The
Administrator’s decisions, determinations and interpretations
will be final and binding on all Participants and any other holders
of Awards.
5.
Eligibility . Nonstatutory Stock Options, Restricted Stock,
Restricted Stock Units, Stock Appreciation Rights and Performance
Shares may be granted to Service Providers. Incentive Stock Options
may be granted only to Employees.
(a)
Limitations . Each Option will be designated in the Award
Agreement as either an Incentive Stock Option or a Nonstatutory
Stock Option. However, notwithstanding such designation, to the
extent that the aggregate Fair Market Value of the Shares with
respect to which Incentive Stock Options are exercisable for the
first time by the Participant during any calendar year (under all
plans of the Company and any Parent or Subsidiary) exceeds
$100,000, such Options will be treated as Nonstatutory Stock
Options. For purposes of this Section 6(a), Incentive Stock
Options will be taken into account in the order in which they were
granted. The Fair Market Value of the Shares will be determined as
of the time the Option with respect to such Shares is
granted.
(b)
Term of Option . The term of each Option will be stated in
the Award Agreement. In the case of an Incentive Stock Option, the
term will be ten (10) years from the date of grant or such
shorter term as may be provided in the Award Agreement. Moreover,
in the case of an Incentive Stock Option granted to a Participant
who, at the time the Incentive Stock Option is granted, owns stock
representing more than ten percent (10%) of the total combined
voting power of all classes of stock of the Company or any Parent
or Subsidiary, the term of the Incentive Stock Option will be five
(5) years from the date of grant or such shorter term as may
be provided in the Award Agreement.
(c)
Option Exercise Price and Consideration .
(i)
Exercise Price . The per share exercise price for the Shares
to be issued pursuant to exercise of an Option will be determined
by the Administrator, subject to the following:
(1) In
the case of an Incentive Stock Option
a)
granted to an Employee who, at the time the Incentive Stock Option
is granted, owns stock representing more than ten percent (10%) of
the voting power of all classes of stock of the Company or any
Parent or Subsidiary, the per Share exercise price will be no less
than 110% of the Fair Market Value per Share on the date of
grant.
b)
granted to any Employee other than an Employee described in
paragraph (A) immediately above, the per Share exercise price
will be no less than 100% of the Fair Market Value per Share on the
date of grant.
c)
Notwithstanding the foregoing, Incentive Stock Options may be
granted with a per Share exercise price of less than 100% of the
Fair Market
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Value per Share
on the date of grant pursuant to a transaction described in, and in
a manner consistent with, Section 424(a) of the Code.
(2) In
the case of a Nonstatutory Stock Option, the per Share exercise
price will be no less than 100% of the Fair Market Value per Share
on the date of grant.
(ii)
Waiting Period and Exercise Dates . At the time an Option is
granted, the Administrator will fix the period within which the
Option may be exercised and will determine any conditions that must
be satisfied before the Option may be exercised.
(iii)
Form of Consideration . The Administrator will determine the
acceptable form of consideration for exercising an Option,
including the method of payment. In the case of an Incentive Stock
Option, the Administrator will determine the acceptable form of
consideration at the time of grant. Such consideration may consist
entirely of: (1) cash; (2) check; (3) other Shares,
provided that such Shares have a Fair Market Value on the date of
surrender equal to the aggregate exercise price of the Shares as to
which such Option will be exercised and provided further that
accepting such Shares will not result in any adverse accounting
consequences to the Company, as the Administrator determines in its
sole discretion; (4) consideration received by the Company
under a cashless exercise program (whether through a broker or
otherwise) implemented by the Company in connection with the Plan;
(5) such other consideration and method of payment for the
issuance of Shares to the extent permitted by Applicable Laws; or
(6) any combination of the foregoing methods of
payment.
(i)
Procedure for Exercise; Rights as a Stockholder . Any Option
granted hereunder will be exercisable according to the terms of the
Plan and at such times and under such conditions as determined by
the Administrator and set forth in the Award Agreement. An Option
may not be exercised for a fraction of a Share.
An
Option will be deemed exercised when the Company receives:
(i) notice of exercise (in such form as the Administrator
specify from time to time) from the person entitled to exercise the
Option, and (ii) full payment for the Shares with respect to
which the Option is exercised (together with applicable withholding
taxes). Full payment may consist of any consideration and method of
payment authorized by the Administrator and permitted by the Award
Agreement and the Plan. Shares issued upon exercise of an Option
will be issued in the name of the Participant or, if requested by
the Participant, in the name of the Participant and his or her
spouse. Until the Shares are issued (as evidenced by the
appropriate entry on the books of the Company or of a duly
authorized transfer agent of the Company), no right to vote or
receive dividends or any other rights as a stockholder will exist
with respect to the Optioned Stock, notwithstanding the exercise of
the Option. The Company will issue (or cause to be issued) such
Shares promptly after the Option is exercised. No adjustment will
be made for a dividend or other right for which the record date is
prior to the date the Shares are issued, except as provided in
Section 13 of the Plan.
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Exercising
an Option in any manner will decrease the number of Shares
thereafter available, both for purposes of the Plan and for sale
under the Option, by the number of Shares as to which the Option is
exercised.
(ii)
Termination of Relationship as a Service Provider . If a
Participant ceases to be a Service Provider, other than upon the
Participant’s death or Disability, the Participant may
exercise his or her Option within such period of time as is
specified in the Award Agreement to the extent that the Option is
vested on the date of termination (but in no event later than the
expiration of the term of such Option as set forth in the Award
Agreement). In the absence of a specified time in the Award
Agreement, the Option will remain exercisable for three
(3) months following the Participant’s termination.
Unless otherwise provided by the Administrator, if on the date of
termination the Participant is not vested as to his or her entire
Option, the Shares covered by the unvested portion of the Option
will revert to the Plan. If after termination the Participant does
not exercise his or her Option within the time specified by the
Administrator, the Option will terminate, and the Shares covered by
such Option will revert to the Plan.
(iii)
Disability of Participant . If a Participant ceases to be a
Service Provider as a result of the Participant’s Disability,
the Participant may exercise his or her Option within such period
of time as is specified in the Award Agreement to the extent the
Option is vested on the date of termination (but in no event later
than the expiration of the term of such Option as set forth in the
Award Agreement). In the absence of a specified time in the Award
Agreement, the Option will remain exercisable for twelve
(12) months following the Participant’s termination.
Unless otherwise provided by the Administrator, if on the date of
termination the Participant is not vested as to his or her entire
Option, the Shares covered by the unvested portion of the Option
will revert to the Plan. If after termination the Participant does
not exercise his or her Option within the time specified herein,
the Option will terminate, and the Shares covered by such Option
will revert to the Plan.
(iv)
Death of Participant . If a Participant dies while a Service
Provider, the Option may be exercised following the
Participant’s death within such period of time as is
specified in the Award Agreement to the extent that the Option is
vested on the date of death (but in no event may the option be
exercised later than the expiration of the term of such Option as
set forth in the Award Agreement), by the Participant’s
designated beneficiary, provided such beneficiary has been
designated prior to Participant’s death in a form acceptable
to the Administrator. If no such beneficiary has been designated by
the Participant, then such Option may be exercised by the personal
representative of the Participant’s estate or by the
person(s) to whom the Option is transferred pursuant to the
Participant’s will or in accordance with the laws of descent
and distribution. In the absence of a specified time in the Award
Agreement, the Option will remain exercisable for twelve
(12) months following Participant’s death. Unless
otherwise provided by the Administrator, if at the time of death
Participant is not vested as to his or her entire Option, the
Shares covered by the unvested portion of the Option will
immediately revert to the Plan. If the Option is not so exercised
within the time specified herein, the Option will terminate, and
the Shares covered by such Option will revert to the
Plan.
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(a)
Grant of Restricted Stock . Subject to the terms and
provisions of the Plan, the Administrator, at any time and from
time to time, may grant Shares of Restricted Stock to Service
Providers in such amounts as the Administrator, in its sole
discretion, will determine.
(b)
Restricted Stock Agreement . Each Award of Restricted Stock
will be evidenced by an Award Agreement that will specify the
Period of Restriction, the number of Shares granted, and such other
terms and conditions as the Administrator, in its sole discretion,
will determine. Unless the Administrator determines otherwise, the
Company as escrow agent will hold Shares of Restricted Stock until
the restrictions on such Shares have lapsed.
(c)
Transferability . Except as provided in this Section 7,
Shares of Restricted Stock may not be sold, transferred, pledged,
assigned, or otherwise alienated or hypothecated until the end of
the applicable Period of Restriction.
(d)
Other Restrictions . The Administrator, in its sole
discretion, may impose such other restrictions on Shares of
Restricted Stock as it may deem advisable or
appropriate.
(e)
Removal of Restrictions . Except as otherwise provided in
this Section 7, Shares of Restricted Stock covered by each
Restricted Stock grant made under the Plan will be released from
escrow as soon as practicable after the last day of the Period of
Restriction or at such other time as the Administrator may
determine. The Administrator, in its discretion, may accelerate the
time at which any restrictions will lapse or be removed.
(f)
Voting Rights . During the Period of Restriction, Service
Providers holding Shares of Restricted Stock granted hereunder may
exercise full voting rights with respect to those Shares, unless
the Administrator determines otherwise.
(g)
Dividends and Other Distributions . During the Period of
Restriction, Service Providers holding Shares of Restricted Stock
will be entitled to receive all dividends and other distributions
paid with respect to such Shares unless otherwise provided in the
Award Agreement. If any such dividends or distributions are paid in
Shares, the Shares will be subject to the same restrictions on
transferability and forfeitability as the Shares of Restricted
Stock with respect to which they were paid.
(h)
Return of Restricted Stock to Company . On the date set
forth in the Award Agreement, the Restricted Stock for which
restrictions have not lapsed will revert to the Company and again
will become available for grant under the Plan.
8.
Restricted Stock Units .
(a)
Grant . Restricted Stock Units may be granted at any time
and from time to time as determined by the Administrator. After the
Administrator determines that it will grant Restricted Stock Units
under the Plan, it shall advise the Participant in an Award
Agreement of the terms, conditions, and restrictions related to the
grant, including the number of Restricted Stock Units.
(b)
Vesting Criteria and Other Terms . The Administrator shall
set vesting criteria in its discretion, which, depending on the
extent to which the criteria are met, will
-11-
determine the
number of Restricted Stock Units that will be paid out to the
Participant. The Administrator may set vesting criteria based upon
the achievement of Company-wide, business unit, or individual goals
(including, but not limited to, continued employment), or any other
basis determined by the Administrator in its discretion.
(c)
Earning Restricted Stock Units . Upon meeting the applicable
vesting criteria, the Participant shall be entitled to receive a
payout as specified in the Restricted Stock Unit Award Agreement.
Notwithstanding the foregoing, at any time after the grant of
Restricted Stock Units, the Administrator, in its sole discretion,
may reduce or waive any vesting criteria that must be met to
receive a payout.
(d)
Form and Timing of Payment . Payment of earned Restricted
Stock Units shall be made as soon as practicable after the date(s)
set forth in the Restricted Stock Unit Award Agreement. The
Administrator may only settle earned Restricted Stock Units in
Shares.
(e)
Cancellation . On the date set forth in the Restricted Stock
Unit Award Agreement, all unearned Restricted Stock Units shall be
forfeited to the Company.
9.
Stock Appreciation Rights .
(a)
Grant of SARs . Subject to the terms and conditions of the
Plan, a SAR may be granted to Service Providers at any time and
from time to time as will be determined by the Administrator, in
its sole discretion.
(b)
Number of Shares . The Administrator will have complete
discretion to determine the number of SARs granted to any Service
Provider.
(c)
Exercise Price and Other Terms . The per share exercise
price for the Shares to be issued pursuant to exercise of an SAR
shall be determined by the Administrator and shall be no less than
100% of the Fair Market Value per share on the date of grant.
Otherwise, subject to Section 6(a) of the Plan, the Administrator,
subject to the provisions of the Plan, shall have complete
discretion to determine the terms and conditions of SARs granted
under the Plan; provided, however, that no SAR may have a term of
more than ten (10) years from the date of grant.
(d)
SAR Agreement . Each SAR grant will be evidenced by an Award
Agreement that will specify the exercise price, the term of the
SAR, the conditions of exercise, and such other terms and
conditions as the Administrator, in its sole discretion, will
determine.
(e)
Expiration of SARs . An SAR granted under the Plan will
expire upon the date determined by the Administrator, in its sole
discretion, and set forth in the Award Agreement. Notwithstanding
the foregoing, the rules of Section 6(d) also will apply to
SARs.
(f)
Payment of SAR Amount . Upon exercise of an SAR, a
Participant will be entitled to receive payment from the Company in
an amount determined by multiplying:
(i) The
difference between the Fair Market Value of a Share on the date of
exercise over the exercise price; times
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(ii) The
number of Shares with respect to which the SAR is
exercised.
The
payment upon SAR exercise may only be in Shares of equivalent value
(rounded down to the nearest whole Share).
(a)
Grant of Performance Shares . Subject to the terms and
conditions of the Plan, Performance Shares may be granted to
Participants at any time as shall be determined by the
Administrator, in its sole discretion. The Administrator shall have
complete discretion to determine (i) the number of Shares
subject to a Performance Share award granted to any Participant,
and (ii) the conditions that must be satisfied, which
typically will be based principally or solely on achievement of
performance milestones but may include a service-based component,
upon which is conditioned the grant or vesting of Performance
Shares. Performance Shares shall be granted in the form of units to
acquire Shares. Each such unit shall be the equivalent of one Share
for purposes of determining the number of Shares subject to an
Award. Until the Shares are issued, no right to vote or receive
dividends or any other rights as a stockholder shall exist with
respect to the units to acquire Shares.
(b)
Other Terms . The Administrator, subject to the provisions
of the Plan, shall have complete discretion to determine the terms
and conditions of Performance Shares granted under the Plan.
Performance Share grants shall be subject to the terms, conditions,
and restrictions determined by the Administrator at the time the
stock is awarded, which may include such performance-based
milestones as are determined appropriate by the Administrator. The
Administrator may require the recipient to sign a Performance
Shares Award Agreement as a condition of the award. Any
certificates representing the Shares of stock awarded shall bear
such legends as shall be determined by the
Administrator.
(c)
Performance Share Award Agreement . Each Performance Share
grant shall be evidenced by an Award Agreement that shall specify
such other terms and conditions as the Administrator, in its sole
discretion, shall determine.
11.
Leaves of Absence . Unless the Administrator provides
otherwise, vesting of Awards granted hereunder will be suspended
during any unpaid leave of absence. A Service Provider will not
cease to be an Employee in the case of (i) any leave of
absence approved by the Company or (ii) transfers between locations
of the Company or between the Company, its Parent, or any
Subsidiary. For purposes of Incentive Stock Options, no such leave
may exceed ninety (90) days, unless reemployment upon
expiration of such leave is guaranteed by statute or contract. If
reemployment upon expiration of a leave of absence approved by the
Company is not so guaranteed, then six (6) months and one
(1) day following the commencement of such leave any Incentive
Stock Option held by the Participant will cease to be treated as an
Incentive Stock Option and will be treated for tax purposes as a
Nonstatutory Stock Option.
12.
Transferability of Awards . Unless determined otherwise by
the Administrator, an Award may not be sold, pledged, assigned,
hypothecated, transferred, or disposed of in any manner other than
by will or by the laws of descent or distribution and may be
exercised, during the lifetime of the Participant, only by the
Participant. If the Administrator makes an Award
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transferable,
such Award will contain such additional terms and conditions as the
Administrator deems appropriate.
13.
Adjustments; Dissolution or Liquidation; Merger or Change in
Control.
(a)
Adjustments . In the event that any dividend or other
distribution (whether in the form of cash, Shares, other
securities, or other property), recapitalization, stock split,
reverse stock split, reorganization, merger, consolidation,
split-up, spin-off, combination, repurchase, or exchange of Shares
or other securities of the Company, or other change in the
corporate structure of the Company affecting the Shares occurs, the
Administrator, in order to prevent diminution or enlargement of the
benefits or potential benefits intended to be made available under
the Plan, shall adjust the number and class of Shares that may be
delivered under the Plan and/or the number, class, and price of
Shares covered by each outstanding Award, and the numerical Share
limits in Section 3 of the Plan.
(b)
Dissolution or Liquidation . In the event of the proposed
dissolution or liquidation of the Company, the Administrator will
notify each Participant as soon as practicable prior to the
effective date of such proposed transaction. To the extent it has
not been previously exercised, an Award will terminate immediately
prior to the consummation of such proposed action.
(c)
Change in Control . In the event of a merger or Change in
Control, each outstanding Award will be treated as the
Administrator determines, including, without limitation, that each
Award be assumed or an equivalent option or right substituted by
the successor corporation or a Parent or Subsidiary of the
successor corporation. The Administrator shall not be required to
treat all Awards similarly in the transaction.
In
the event that the successor corporation does not assume or
substitute for the Award, the Participant will fully vest in and
have the right to exercise all of his or her outstanding Options
and Stock Appreciation Rights, including Shares as to which such
Awards would not otherwise be vested or exercisable, all
restrictions on Restricted Stock and Restricted Stock Units will
lapse, and, with respect to Awards with performance-based vesting,
all performance goals or other vesting criteria will be deemed
achieved at 100% on-target levels and all other terms and
conditions met. In addition, if an Option or Stock Appreciation
Right is not assumed or substituted in the event of a Change in
Control, the Administrator will notify the Participant in writing
or electronically that the Option or Stock Appreciation Right will
be exercisable for a period of time determined by the Administrator
in its sole discretion, and the Option or Stock Appreciation Right
will terminate upon the expiration of such period.
For
the purposes of this subsection (c), an Award will be considered
assumed if, following the Change in Control, the Award confers the
right to purchase or receive, for each Share subject to the Award
immediately prior to the Change in Control, the consideration
(whether stock, cash, or other securities or property) received in
the Change in Control by holders of Common Stock for each Share
held on the effective date of the transaction (and if holders were
offered a choice of consideration, the type of consideration chosen
by the holders of a majority of the outstanding Shares); provided,
however, that if such consideration received in the Change in
Control is not solely common stock of the successor corporation or
its
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Parent, the
Administrator may, with the consent of the successor corporation,
provide for the consideration to be received upon the exercise of
an Option or Stock Appreciation Right or upon the payout of a
Restricted Stock Unit or Performance Share, for each Share subject
to such Award, to be solely common stock of the successor
corporation or its Parent equal in fair market value to the per
share consideration received by holders of Common Stock in the
Change in Control.
Notwithstanding
anything in this Section 13(c) to the contrary, an Award that
vests, is earned or paid-out upon the satisfaction of one or more
performance goals will not be considered assumed if the Company or
its successor modifies any of such performance goals without the
Participant’s consent; provided, however, a modification to
such performance goals only to reflect the successor
corporation’s post-Change in Control corporate structure will
not be deemed to invalidate an otherwise valid Award
assumption.
(a)
Withholding Requirements . Prior to the delivery of any
Shares or cash pursuant to an Award (or exercise thereof), the
Company will have the power and the right to deduct or withhold, or
require a Participant to remit to the Company, an amount sufficient
to satisfy federal, state, local, foreign or other taxes (including
the Participant’s FICA obligation) required to be withheld
with respect to such Award (or exercise thereof).
(b)
Withholding Arrangements . The Administrator, in its sole
discretion and pursuant to such procedures as it may specify from
time to time, may permit a Participant to satisfy such tax
withholding obligation, in whole or in part by (i) paying
cash, (ii) electing to have the Company withhold otherwise
deliverable cash or Shares having a Fair Market Value equal to the
minimum statutory amount required to be withheld,
(iii) delivering to the Company already-owned Shares having a
Fair Market Value equal to the minimum statutory amount required to
be withheld, or (iv) selling a sufficient number of Shares
otherwise deliverable to the Participant through such means as the
Administrator may determine in its sole discretion (whether through
a broker or otherwise) equal to the amount required to be withheld.
The Fair Market Value of the Shares to be withheld or delivered
will be determined as of the date that the taxes are required to be
withheld.
15.
No Effect on Employment or Service . Neither the Plan nor
any Award will confer upon a Participant any right with respect to
continuing the Participant’s relationship as a Service
Provider with the Company, nor will they interfere in any way with
the Participant’s right or the Company’s right to
terminate such relationship at any time, with or without cause, to
the extent permitted by Applicable Laws.
16.
Date of Grant . The date of grant of an Award will be, for
all purposes, the date on which the Administrator makes the
determination granting such Award, or such other later date as is
determined by the Administrator. Notice of the determination will
be provided to each Participant within a reasonable time after the
date of such grant.
-15-
17.
Term of Plan . Subject to Section 21 of the Plan, the
Plan will become effective upon its adoption by the Board. It will
continue in effect for a term of ten (10) years unless
terminated earlier under Section 18 of the Plan.
18.
Amendment and Termination of the Plan .
(a)
Amendment and Termination . The Board may at any time amend,
alter, suspend or terminate the Plan.
(b)
Stockholder Approval . The Company will obtain stockholder
approval of any Plan amendment to the extent necessary and
desirable to comply with Applicable Laws.
(c)
Effect of Amendment or Termination . No amendment,
alteration, suspension or termination of the Plan will impair the
rights of any Participant, unless mutually agreed otherwise between
the Participant and the Administrator, which agreement must be in
writing and signed by the Participant and the Company. Termination
of the Plan will not affect the Administrator’s ability to
exercise the powers granted to it hereunder with respect to Awards
granted under the Plan prior to the date of such
termination.
19.
Conditions Upon Issuance of Shares .
(a)
Legal Compliance . Shares will not be issued pursuant to the
exercise of an Award unless the exercise of such Award and the
issuance and delivery of such Shares will comply with Applicable
Laws and will be further subject to the approval of counsel for the
Company with respect to such compliance.
(b)
Investment Representations . As a condition to the exercise
of an Award, the Company may require the person exercising such
Award to represent and warrant at the time of any such exercise
that the Shares are being purchased only for investment and without
any present intention to sell or distribute such Shares if, in the
opinion of counsel for the Company, such a representation is
required.
20.
Inability to Obtain Authority . The inability of the Company
to obtain authority from any regulatory body having jurisdiction,
which authority is deemed by the Company’s counsel to be
necessary to the lawful issuance and sale of any Shares hereunder,
will relieve the Company of any liability in respect of the failure
to issue or sell such Shares as to which such requisite authority
will not have been obtained.
21.
Stockholder Approval . The Plan will be subject to approval
by the stockholders of the Company within twelve (12) months
after the date the Plan is adopted. Such stockholder approval will
be obtained in the manner and to the degree required under
Applicable Laws.
-16-
OMNITURE, INC. 2006 EQUITY
INCENTIVE PLAN
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1.
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The
purpose of the UK Sub-Plan (the “ Sub-Plan
”) of the Omniture, Inc. 2006 Equity Incentive Plan is to
provide incentives for UK tax residents who are present and future
employees of Omniture, Inc. through the grant of options over
Common Stock.
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2.
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This Sub-Plan is governed by the
Omniture, Inc. 2006 Equity Incentive Plan (the “
Plan ”) and all of the provisions of this
Sub-Plan shall be identical to those of the Plan SAVE THAT
(a) “Sub-Plan” shall be substituted for
“Plan,” and (b) the following provisions shall be
stated in this Sub-Plan in order to accommodate the specific
requirements of UK law.
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3.
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The
Sub-Plan shall become effective on the date of its adoption by the
Board. The Sub-Plan shall terminate automatically on the date on
which the Plan terminates in accordance with Section 17 of the
Plan. The Sub-Plan may be terminated by the Board of Directors on
any earlier date.
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4.
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References to Incentive Stock
Options and Nonstatutory Stock Options in the Plan shall not apply
to Options granted under the Sub-Plan.
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5.
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Options granted under the Sub-Plan
shall be known as UK Unapproved Options.
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6.
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Section 5 —
Eligibility of the Plan shall be substituted by
the following:
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“Restricted Stock, Restricted
Stock Units, Stock Appreciation Rights, Performance Shares and UK
Unapproved Options may be granted only to
Employees.”
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Omniture, Inc. 2006 Equity
Incentive Plan — French Sub-Plan
Rules of the Omniture,
Inc.
2006 Equity Incentive Plan for
the
Grant of Options to
Participants in France
The
Board of Directors (the “ Board ”) of
Omniture, Inc. (the “ Company ”) has
established the Omniture, Inc. 2006 Equity Incentive Plan (the
“ U.S. Plan ”) for the benefit of certain
eligible individuals, including employees of the Company and its
Subsidiaries, including its Subsidiary(ies) in France (each a
“French Subsidiary”), of which the Company holds
directly or indirectly at least 10% of the share
capital.
Section 4
of the U.S. Plan authorizes the Board or any committee appointed by
it to administer the U.S. Plan (the “
Administrator ”) to do all things necessary or
advisable in connection with the administration of the U.S. Plan.
Specifically, Section 4(b)(viii) of the U.S. Plan authorizes
the Administrator to establish sub-plans for the purpose of
satisfying applicable foreign laws. The Administrator has
determined that it is advisable to establish a sub-plan for the
purpose of permitting options granted to employees of a French
Subsidiary to qualify for favorable tax and social security
treatment in France. The Administrator, therefore, intends with
this document to establish a sub-plan of the U.S. Plan for the
purpose of granting options which qualify for the favorable tax and
social security treatment in France applicable to options granted
under Sections L. 225-177 to L. 225-186 of the French Commercial
Code, as amended, to qualifying employees of a French Subsidiary
who are residents in France for French tax purposes and/or subject
to the French social security regime (the “ French
Participants ”).
The
terms of the U.S. Plan applicable to options, as set out in
Appendix 1 hereto, shall, subject to the
modifications in these Rules of the Omniture, Inc. 2006 Equity
Incentive Plan for the Grant of Options to Participants in France
(the “ French Plan ”), constitute the
terms applicable to the grant of French-qualified Options to French
Participants.
Under
the French Plan, qualifying French Participants selected at the
Administrator’s discretion will be granted Options only as
defined in Section 2 hereunder.
Capitalized
terms not otherwise defined herein shall have the same meanings as
set forth in the U.S. Plan. The terms set out below will have the
following meaning:
(a) The term “ Closed Period ”
shall mean a closed period as set forth in Section L.225-197-1
of the French Commercial Code, as amended, which is as
follows:
(i) ten (10) quotation days preceding and
following the disclosure to the public of the consolidated
financial statements or the annual statements of the Company;
or
(ii) any period during which the corporate management
of the Company ( i.e. , those involved in the governance of
the Company, such as the Board, a Committee, supervisory
directorate, etc.) possess confidential information which could, if
disclosed to the public, significantly impact the trading price of
the Common Stock, until ten (10) quotation days after the day
such information is disclosed to the public.
If,
after adoption of the French Plan, the French Commercial Code is
amended to modify the definition and/or applicability of the Closed
Periods to French-qualified Options, such amendments shall become
applicable to any French-qualified Options granted under this
French Plan, to the extent permitted or required under French
law.
(b) The term “ Disability ” shall
mean disability as determined in categories 2 and 3 under
Section L. 341-4 of the French Social Security Code, as
amended, and subject to the fulfillment of related
conditions.
(c) The term “ Forced Retirement ”
shall mean forced retirement as determined under Section L.
122-14-13 of the French Labor Code, as amended, and subject to the
fulfillment of related conditions.
(d) The term “ Grant Date ” shall
be the date on which the Administrator both (i) designates the
French Participants, and (ii) specifies the main terms and
conditions of the French-qualified Options, such as the number of
Shares subject to the French-qualified Options.
(e) The term “ Option ” shall
include both:
(i) purchase stock options (rights to acquire Shares
repurchased by the Company prior to the date on which the Option
becomes exercisable); and
(ii) subscription stock options (rights to subscribe for
newly issued Shares).
(a) Subject to Section 3(c) below, any individual who, on
the Grant Date of the French-qualified Option, and to the extent
required under French law, is employed under the terms and
conditions of an employment contract (“ contrat de
travail ”) by a French Subsidiary or who is a
corporate officer of a French Subsidiary (subject to Section 3(b)
below) shall be eligible to receive, at the discretion of the
Administrator, French-qualified Options under this French Plan,
provided he or she also satisfies the eligibility conditions of
Section 5 of the U.S. Plan.
(b) French-qualified Options may not be issued to a
corporate officer of a French Subsidiary, other than the managing
corporate officers ( Président du Conseil
d’Administration, Directeur Général, Directeur
Général Délégué, Membre du
Directoire, Gérant de Sociétés par actions
), unless the corporate officer is employed under the terms and
conditions of an employment contract (“ contrat de
travail ”) by a French Subsidiary, as defined by
French law.
-2-
(c) French-qualified Options may not be issued under the
French Plan to French Participants owning more than ten percent
(10%) of the Company’s share capital or to individuals other
than employees and corporate executives of a French Subsidiary, as
set forth in this Section 3.
Notwithstanding
any provision in the U.S. Plan and except in the case of death,
French-qualified Options may not be transferred to any third party.
The French-qualified Options are exercisable only by the French
Participant during his or her lifetime, subject to Sections 10
(c) and 11 below.
5.
Disqualification of French-qualified Options
In
the event changes are made to the terms and conditions of the
French-qualified Options due to any requirements under Applicable
Laws, or by decision of the Company’s stockholders, the Board
or the Administrator, the Options may no longer qualify as
French-qualified Options. The Company does not undertake nor is it
required to maintain the French-qualified status of the Options,
and by accepting any Award under this French Plan, the French
Participants understand, acknowledge and agree that it will be
their responsibility to bear any additional taxes or social
security contributions that may be payable as a result of the
disqualification of the French-qualified Options.
If
the Options no longer qualify as French-qualified Options, the
Administrator may, in its sole discretion, determine to lift,
shorten or terminate certain restrictions applicable to the vesting
or exercisability of the Options or the sale of the Shares
underlying the Options which have been imposed under this French
Plan or in the applicable Award Agreement delivered to the French
Participant, in order to achieve the favorable tax and social
security treatment applicable to French-qualified
Options.
The
adoption of this French Plan shall not confer upon the French
Participants, or any employees of the French Subsidiary, any
employment rights and shall not be construed as a part of any
employment contracts that the French Subsidiary has with its
employees.
Subject
to the terms of the U.S. Plan, the Administrator reserves the right
to amend or terminate this French Plan at any time in accordance
with applicable French law.
French-qualified
Options may not be granted during a Closed Period so long as and to
the extent such Closed Periods are applicable to Options granted by
the Company.
-3-
9.
Conditions of French-qualified Options
(a)
The exercise price and number of underlying Shares shall not be
modified after the Grant Date, except as provided in
Section 12 of this French Plan, or as otherwise authorized by
French law. Any other modification permitted under the U.S. Plan
may result in the Option no longer qualifying as a French-qualified
Option.
(b)
The French-qualified Options will vest and become exercisable
pursuant to the terms and conditions set forth in the U.S. Plan,
this French Plan and the applicable Award Agreement delivered to
each French Participant.
(c)
The exercise price for French-qualified Options granted under this
French Plan shall be fixed by the Administrator on the Grant Date.
In no event shall the exercise price be less than the greatest of
the following:
(i) with respect to purchase stock options: the higher of
either 80% of the average of the quotation price of the Shares
during the 20 trading days immediately preceding the Grant Date or
80% of the average of the purchase price paid for such Shares by
the Company;
(ii) with respect to subscription stock options: 80% of the
average of the quotation price of such Shares during the 20 trading
days immediately preceding the Grant Date; and
(iii) the minimum exercise price permitted under the U.S.
Plan.
10.
Exercise of French-qualified Options
(a)
At the time French-qualified Options are granted, the Administrator
shall fix the period within which the French-qualified Options vest
and may be exercised and shall determine any conditions that must
be satisfied before the French-qualified Options may be exercised.
Specifically, the Administrator may provide for a period measured
from the Grant Date for the vesting or exercise of the
French-qualified Options or for the sale of Shares acquired
pursuant to the exercise of French-qualified Options, designed to
obtain the favorable tax and social security treatment pursuant to
Section 163 bis C of the French Tax Code, as amended. Such
period for the vesting or exercise of French-qualified Options or
holding period before the sale of Shares shall be set forth in the
applicable Award Agreement or notice of grant. The holding period
of the Shares shall not exceed three years as from the effective
exercise date of the French-qualified Options or such other period
as may be required to comply with French law.
(b)
Upon exercise of French-qualified Options, the full exercise price
and any required withholding tax and/or social security
contributions shall be paid by the French Participant as set forth
in the applicable Award Agreement. Pursuant to a cashless exercise
payment, the French Participant may give irrevocable direction to a
stockbroker to properly deliver the exercise price to the Company.
No delivery, surrendering or attesting to the ownership of
previously owned Shares having a Fair Market Value on the date of
delivery equal to the aggregate exercise price of the Shares may be
used to pay the exercise price.
-4-
(c)
In the event of the death of a French Participant, his or her
French-qualified Options shall thereafter be immediately vested and
exercisable in full under the conditions set forth by
Section 11 of this French Plan.
(d)
If a French Participant is terminated or ceases to be employed by
the Company or a French Subsidiary, his or her Options will be
exercisable according to the provisions of the applicable Award
Agreement.
(e)
If a French Participant is terminated or ceases to be employed by
the Company or a French Subsidiary by reason of Disability (as
defined in this French Plan), his or her French-qualified Options
may benefit from the favorable tax and social security treatment,
even if the date of sale of the Shares subject to the
French-qualified Options occurs prior to the expiration of the
minimum holding period of the Shares, as provided for by
Section 163 bis C of the French Tax Code, as
amended.
(f)
If a French Participant ceases to be employed by the Company or a
French Subsidiary by reason of his or her Forced Retirement (as
defined in this French Plan) or dismissal as defined by
Section 91-ter of Exhibit II to the French Tax Code, as
amended, and as construed by the French tax circulars and subject
to the fulfillment of related conditions, his or her
French-qualified Options may benefit from the favorable tax and
social security treatment, irrespective of the date of sale of the
Shares, provided the exercise of the French-qualified Options was
authorized under the applicable Award Agreement prior to the time
of Forced Retirement or dismissal and the French-qualified Options
are exercised at least three (3) months (or such other period
as may be required by French law) prior to the effective date of
the Forced Retirement or at least three (3) months (or such other
period as may be required by French law) prior to the receipt of
the notice of dismissal by the French Participant as defined by
French law and as construed by French tax and social security
guidelines.
(g)
Any Shares acquired upon exercise of the French-qualified Options
prior to the expiration of the minimum holding period of the
Shares, as provided by Section 163 bis C of the French Tax
Code, as amended, shall be recorded in an account in the name of
the French Participant and must be held with the Company or a
broker or in such manner as the Company may determine in order to
ensure compliance with Applicable Laws including any necessary
holding periods applicable to French-qualified Options.
(h)
To the extent applicable to French-qualified Options granted by the
Company, a specific holding period for the Shares or a restriction
on exercise of the French-qualified Options shall be imposed in the
applicable Award Agreement for any French Participant who qualifies
as a managing director under French law (“ mandataires
sociaux ”), as defined in Section 3(b) above.
In the event of
the death of a French Participant while he or she is actively
employed, all French-qualified Options shall become immediately
vested and exercisable and may be exercised in full by the French
Participant’s heirs for the six (6) month period
following the date of the French Participant’s death (or such
other period as may be required by French law). In the
event
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of the death of
a French Participant after termination of active employment, the
treatment of the French-qualified Options shall be as set forth in
the applicable Award Agreement. Any French-qualified Option that
remains unexercised shall expire six (6) months (or such other
period as may be required by French law) following the date of the
French Participant’s death. The six (6) month exercise
period (or such other period as may be required by French law) will
apply without regard to the term of the French-qualified Option as
described in Section 13 of this French Plan. Any Shares
acquired upon exercise of the French-qualified Options by the
French Participant’s heirs after the French
Participant’s death may benefit from the favorable tax and
social security treatment, even if the date of sale of the Shares
occurs prior to the expiration of the minimum holding period of the
Shares as provided for by Section 163 bis C of the French Tax
Code, as amended.
12.
Adjustments and Change in Control
Adjustments of the
French-qualified Options issued hereunder shall be made to preclude
the dilution or enlargement of benefits under the French-qualified
Options in the event of a transaction by the Company as listed
under Section L. 225-181 of the French Commercial Code, as
amended, and in case of a repurchase of Shares by the Company at a
price higher than the stock quotation price in the open market, and
according to the provisions of Section L. 228-99 of the French
Commercial Code, as amended, as well as according to specific
decrees. Nevertheless, the Administrator, at its discretion, may
determine to make adjustments in the case of a transaction for
which adjustments are not authorized under French law and as
permitted under Section 14(a) of the U.S. Plan, in which case the
Options may no longer qualify as French-qualified
Options.
In the event of an
adjustment upon a Change in Control as set forth in Section 13
(c) of the U.S. Plan, adjustments to the terms and conditions
of the French-qualified Options or underlying Shares may be made
only in accordance with the U.S. Plan and pursuant to applicable
French legal and tax rules. Nevertheless, the Administrator, at its
discretion, may determine to make adjustments in the case of a
transaction for which adjustments are not authorized under French
law, in which case the Options may no longer qualify as
French-qualified Options.
In the event of an
acceleration of vesting and/or exercise due to a Change in Control,
the French Participant could be prohibited from exercising the
French-qualified Options or selling the Shares acquired upon
exercise of the French-qualified Option until the expiration of the
compulsory holding period specified for favorable tax and social
security treatment pursuant to French law. Nevertheless, the
holding period of the Shares, if imposed, shall not exceed three
years as from the effective exercise date of the French-qualified
Options.
13. Term
of French-qualified Options
French-qualified
Options granted pursuant to this French Plan will expire no later
than nine (9) years and (6) six months after the Grant
Date, unless otherwise specified in the applicable Award Agreement.
The Option term will be extended only in the event of the death of
a French Participant, but in no event will any French-qualified
Option be exercisable beyond six (6) months following the date
of death of the French Participant.
-6-
It is intended
that Options granted under this French Plan shall qualify for the
favorable tax and social security treatment applicable to options
granted under Sections L. 225-177 to L. 225-186 of the French
Commercial Code, as amended, and in accordance with the relevant
provisions set forth by French tax law and the French tax
administration, but no undertaking is made to maintain such status.
The terms of this French Plan shall be interpreted accordingly and
in accordance with the relevant provisions set forth by French tax
and social security laws and relevant guidelines published by the
French tax and social security administrations and subject to the
fulfillment of legal, tax and reporting obligations, if
applicable.
In the event of
any conflict between the provisions of this French Plan and the
U.S. Plan, the provisions of this French Plan shall control for any
grants of Options made thereunder to French
Participants.
The French Plan,
in its entirety, was adopted by the Administrator on
September 10, 2008.
-7-
[FORM OF U.S. STOCK OPTION AWARD
AGREEMENT]
2006 EQUITY INCENTIVE
PLAN
STOCK OPTION AWARD
AGREEMENT
Unless otherwise
defined herein, the terms defined in the Omniture, Inc. 2006 Equity
Incentive Plan (the “ Plan ”) will have
the same defined meanings in this Stock Option Award Agreement (the
“ Award Agreement ”).
I. NOTICE
OF STOCK OPTION GRANT
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Participant’s Name:
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[INSERT
NAME]
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Participant’s Address:
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[INSERT
ADDRESS]
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You
have been granted an option to purchase Common Stock of the
Company, subject to the terms and conditions of the Plan and this
Award Agreement, as follows:
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Grant
Number:
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[INSERT GRANT
NO.]
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Date of
Grant:
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[INSERT GRANT
DATE]
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Vesting
Commencement Date:
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[INSERT
VCD]
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Exercise Price
per Share:
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$[INSERT
PRICE/SHARE]
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Total Number of
Shares Granted:
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[INSERT
SHARES]
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Total Exercise
Price:
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$[INSERT X
PRICE]
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Type of
Option:
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Incentive Stock
Option (ISO)
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þ
Nonstatutory Stock Option
(NSO)
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Term/Expiration
Date:
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[INSERT TERM
DATE]
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Subject to
accelerated vesting as set forth below or in the Plan, this Option
may be exercised, in whole or in part, in accordance with the
following vesting schedule:
[INSERT VESTING
SCHEDULE]
This Option shall
be exercisable for three (3) months after Participant ceases
to be a Service Provider, unless such termination is due to
Participant’s death or Disability, in which case this Option
shall be
exercisable for
one (1) year after Participant ceases to be Service Provider.
Notwithstanding the foregoing, in no event may this Option be
exercised after the Term/Expiration Date as provided above and may
be subject to earlier termination as provided in Section 13(c) of
the Plan.
The
Administrator hereby grants to the individual named in the Notice
of Grant attached as Part I of this Agreement (the “
Participant ”) an option (the “
Option ”) to purchase the number of Shares, as
set forth in the Notice of Grant, at the exercise price per share
set forth in the Notice of Grant (the “ Exercise
Price ”), subject to the terms and conditions of the
Plan, which is incorporated herein by reference. Subject to Section
18(c) of the Plan, in the event of a conflict between the terms and
conditions of the Plan and the terms and conditions of this Award
Agreement, the terms and conditions of the Plan will
prevail.
If
designated in the Notice of Grant as an Incentive Stock Option
(“ ISO ”), this Option is intended to
qualify as an Incentive Stock Option under Section 422 of the
Code. However, if this Option is intended to be an Incentive Stock
Option, to the extent that it exceeds the $100,000 rule of Code
Section 422(d) it will be treated as a Nonstatutory Stock Option
(“ NSO ”). Further, if for any reason
this Option (or portion thereof) shall not qualify as an ISO, then,
to the extent of such nonqualification, such Option (or portion
thereof) shall be regarded as a NSO granted under the Plan. In no
event shall the Administrator, the Company or any Parent or
Subsidiary or any of their respective employees or directors have
any liability to Participant (or any other person) due to the
failure of the Option to qualify for any reason as an
ISO.
1.
Right to Exercise . This Option is exercisable during its
term in accordance with the Vesting Schedule set out in the Notice
of Grant and the applicable provisions of the Plan and this Award
Agreement.
2.
Method of Exercise . This Option is exercisable by delivery
of an exercise notice, in the form attached as
Exhibit A (the “ Exercise Notice
”) or in such other form and manner and pursuant to such
procedures as determined by the Administrator, which will state the
election to exercise the Option, the number of Shares in respect of
which the Option is being exercised (the " Exercised
Shares ”), and such other representations and
agreements as may be required by the Company pursuant to the
provisions of the Plan. The Exercise Notice will be completed by
Participant and delivered to the Company. The Exercise Notice will
be accompanied by payment of the aggregate Exercise Price as to all
Exercised Shares together with any applicable tax withholding. This
Option will be deemed to be exercised upon receipt by the Company
of such fully executed Exercise Notice accompanied by such
aggregate Exercise Price, together with any applicable tax
withholding.
No Shares will be
issued pursuant to the exercise of this Option unless such issuance
and exercise comply with Applicable Laws. Assuming such compliance,
for income tax purposes the Exercised Shares will be considered
transferred to Participant on the date the Option is exercised with
respect to such Exercised Shares.
-2-
Payment
of the aggregate Exercise Price will be by any of the following, or
a combination thereof:
3. consideration
received by the Company under a formal cashless exercise program
adopted by the Company in connection with the Plan; or
4. surrender
of other Shares which (a) shall be valued at its Fair Market
Value on the date of exercise, and (b) must be owned free and
clear of any liens, claims, encumbrances or security interests, if
accepting such Shares, in the sole discretion of the Administrator,
shall not result in any adverse accounting consequences to the
Company.
D.
Non-Transferability of Option .
This
Option may not be transferred in any manner otherwise than by will
or by the laws of descent or distribution and may be exercised
during the lifetime of Participant only by Participant. The terms
of the Plan and this Award Agreement shall be binding upon the
executors, administrators, heirs, successors and assigns of
Participant.
This
Option may be exercised only within the term set out in the Notice
of Grant, and may be exercised during such term only in accordance
with the Plan and the terms of this Award Agreement.
1.
Tax Withholding . Participant agrees to make appropriate
arrangements with the Company (or the Parent or Subsidiary
employing or retaining Participant) for the satisfaction of all
Federal, state, local, and foreign income and employment tax
withholding requirements applicable to the Option exercise.
Participant acknowledges and agrees that the Company may refuse to
honor the exercise and refuse to deliver Shares if such withholding
amounts are not delivered at the time of exercise.
2.
Notice of Disqualifying Disposition of ISO Shares . If the
Option granted to Participant herein is an ISO, and if Participant
sells or otherwise disposes of any of the Shares acquired pursuant
to the ISO on or before the later of (a) the date two years
after the Grant Date, or (b) the date one year after the date
of exercise, Participant will immediately notify the Company in
writing of such disposition. Participant agrees that Participant
may be subject to income tax withholding by the Company on the
compensation income recognized by Participant.
3.
Code Section 409A . Under Code Section 409A, an
option that vests after December 31, 2004 that was granted with a
per share exercise price that is determined by the U.S. Internal
Revenue Service (the “ IRS ”) to be less
than the fair market value of a Share on the date of grant (a
“ discounted option ”) may be considered
“ deferred compensation .” An option that
is a “discounted option” may result in (a) income
recognition by Participant (if they are a U.S. taxpayer) prior to
the exercise of the option, (b) an
-3-
additional
twenty percent (20%) tax, and (c) potential penalty and
interest charges. The “discounted option” may also
result in additional state income, penalty and interest tax to the
Participant. Participant acknowledges that the Company cannot and
has not guaranteed that the IRS will agree that the per Share
exercise price of this Option equals or exceeds the Fair Market
Value of a Share on the Date of Grant in a later examination.
Participant agrees that if the IRS determines that the Option was
granted with a per share exercise price that was less than the Fair
Market Value of a Share on the Date of Grant, Participant will be
solely responsible for Participant’s costs related to such a
determination.
The
Board reserves the right, to the extent it deems necessary or
advisable in its sole discretion, to unilaterally alter or modify
this Award Agreement to ensure that all Options provided to
Participants who are U.S. taxpayers are made in such a manner that
either qualifies for exemption from or complies with
Section 409A of the Code; provided, however, that the Company
makes no representation that the Options will be exempt from or
comply with Section 409A of the Code and makes no undertaking
to preclude Section 409A of the Code from applying to the
Options.
G. Entire
Agreement; Governing Law .
The
Plan is incorporated herein by reference. The Plan and this Award
Agreement constitute the entire agreement of the parties with
respect to the subject matter hereof and supersede in their
entirety all prior undertakings and agreements of the Company and
Participant with respect to the subject matter hereof, and may not
be modified adversely to Participant’s interest except by
means of a writing signed by the Company and Participant. This
Award Agreement is governed by the internal substantive laws, but
not the choice of law rules, of Utah. For purposes of litigating
any dispute that arises directly or indirectly from the
relationship of the parties evidenced by this grant or the
Agreement, the parties hereby submit to and consent to the
exclusive jurisdiction of the State of Utah and agree that such
litigation shall be conducted only in the courts of Utah, Fourth
District, or the federal courts for the United States for the
10 th
Circuit, and no other courts, where
this grant is made and/or to be performed.
H. NO
GUARANTEE OF CONTINUED SERVICE .
PARTICIPANT
ACKNOWLEDGES AND AGREES THAT THE VESTING OF SHARES PURSUANT TO THE
VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS A SERVICE
PROVIDER AT THE WILL OF THE COMPANY (OR THE PARENT OR SUBSIDIARY
EMPLOYING OR RETAINING PARTICIPANT) AND NOT THROUGH THE ACT OF
BEING HIRED, BEING GRANTED THIS OPTION OR PURCHASING SHARES
HEREUNDER. PARTICIPANT FURTHER ACKNOWLEDGES AND AGREES THAT THIS
AWARD AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREUNDER AND THE
VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN EXPRESS OR
IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE PROVIDER FOR
THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND WILL NOT
INTERFERE IN ANY WAY WITH PARTICIPANT’S RIGHT OR THE RIGHT OF
THE COMPANY (OR THE PARENT OR SUBSIDIARY EMPLOYING OR RETAINING
PARTICIPANT) TO TERMINATE PARTICIPANT’S RELATIONSHIP AS A
SERVICE PROVIDER AT ANY TIME, WITH OR WITHOUT CAUSE.
Participant hereby explicitly and unambiguously consents to
the collection, use and transfer, in electronic or other form, of
Participant’s personal data as described in this Award
Agreement and any other Option grant materials by and among, as
applicable, the Employer, the Company and its Parents, Subsidiaries
and affiliates for the exclusive purpose of implementing,
administering and managing Participant’s participation in the
Plan.
-4-
Participant understands that the Company and the Employer may
hold certain personal information about Participant, including, but
not limited to, Participant’s name, home address and
telephone number, date of birth, social insurance number or other
identification number, salary, nationality, job title, any shares
of stock or directorships held in the Company, details of all
Options or any other entitlement to shares of stock awarded,
canceled, exercised, vested, unvested or outstanding in
Participant’s favor, for the exclusive purpose of
implementing, administering and managing the Plan
(“Data”).
Participant understands that Data will be transferred to
E*TRADE FINANCIAL, or such other stock plan service provider as may
be selected by the Company in the future, which is assisting the
Company with the implementation, administration and management of
the Plan. Participant understands that the recipients of the Data
may be located in the United States or elsewhere, and that the
recipients’ country (e.g., the United States) may have
different data privacy laws and protections than
Participant’s country. Participant understands that
Participant may request a list with the names and addresses of any
potential recipients of the Data by contacting Participant’s
local human resources representative. Participant authorizes the
Company, E*TRADE FINANCIAL and any other possible recipients which
may assist the Company (presently or in the future) with
implementing, administering and managing the Plan to receive,
possess, use, retain and transfer the Data, in electronic or other
form, for the sole purpose of implementing, administering and
managing Participant’s participation in the Plan. Participant
understands that Data will be held only as long as is necessary to
implement, administer and manage Participant’s participation
in the Plan. Participant understands that Participant may, at any
time, view Data, request additional information about the storage
and processing of Data, require any necessary amendments to Data or
refuse or withdraw the consents herein, in any case without cost,
by contacting in writing Participant’s local human resources
representative. Participant understands, however, that refusing or
withdrawing consent may affect Participant’s ability to
participate in the Plan. For more information on the consequences
of Participant’s refusal to consent or withdrawal of consent,
Participant understands that Participant may contact
Participant’s local human resources
representative.
The
Company may, in its sole discretion, decide to deliver any
documents related to the Participant’s participation in the
Plan by electronic means or to request Participant’s consent
to participate in the Plan by electronic means. Participant hereby
consents to receive such documents by electronic delivery and, if
requested, to agree to participate in the Plan through an on-line
or electronic system established and maintained by the Company or a
third party designated by the Company.
The
provisions of this Award Agreement are severable and if any one or
more provisions are determined to be illegal or otherwise
unenforceable, in whole or in part, the remaining provisions shall
nevertheless be binding and enforceable.
[Remainder of Page
Intentionally Left Blank]
-5-
By
Participant’s signature and the signature of the
Company’s representative below, Participant and the Company
agree that this Option is granted under and governed by the terms
and conditions of the Plan and this Award Agreement. Participant
has reviewed the Plan and this Award Agreement in their entirety,
has had an opportunity to obtain the advice of counsel prior to
executing this Award Agreement and fully understands all provisions
of the Plan and Award Agreement. Participant hereby agrees to
accept as binding, conclusive and final all decisions or
interpretations of the Administrator upon any questions relating to
the Plan and Award Agreement. Participant further agrees to notify
the Company upon any change in the residence address indicated
below.
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OMNITURE,
INC.
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[name of
officer]
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[title of
officer]
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-6-
2006 EQUITY INCENTIVE
PLAN
Omniture,
Inc.
550 East Timpanogos Circle
Orem, Utah 84097
Attention: Stock Plan Administration
1.
Exercise of Option . Effective as of today,
,
, the
undersigned (“ Purchaser ”) hereby elects
to exercise Purchaser’s option (the “
Option ”) to purchase
shares (the “ Shares ”) of the Common
Stock of Omniture, Inc. (the “ Company ”)
under and pursuant to the 2006 Equity Incentive Plan (the “
Plan ”) and the Award Agreement dated
,
(the “ Award Agreement ”). The Exercise
Price for the Shares will be $
.
, as required by the Award Agreement.
2.
Delivery of Payment . Purchaser herewith delivers to the
Company the full Exercise Price for the Shares and any required
withholding taxes to be paid in connection with the exercise of the
Option.
3.
Representations of Purchaser . Purchaser acknowledges that
Purchaser has received, read and understood the Plan and the Award
Agreement and agrees to abide by and be bound by their terms and
conditions.
4. Rights
as Stockholder . Until the issuance (as evidenced by the
appropriate entry on the books of the Company or of a duly
authorized transfer agent of the Company) of the Shares, no right
to vote or receive dividends or any other rights as a stockholder
will exist with respect to the Optioned Stock, notwithstanding the
exercise of the Option. The Shares so acquired will be issued to
Purchaser as soon as practicable after exercise of the Option. No
adjustment will be made for a dividend or other right for which the
record date is prior to the date of issuance, except as provided in
Section 13 of the Plan.
5. Tax
Consultation . Purchaser understands that Purchaser may suffer
adverse tax consequences as a result of Purchaser’s purchase
or disposition of the Shares. Purchaser represents that Purchaser
has consulted with any tax consultants Purchaser deems advisable in
connection with the purchase or disposition of the Shares and that
Purchaser is not relying on the Company for any tax
advice.
6. Entire
Agreement; Governing Law . The Plan and Award Agreement are
incorporated herein by reference. This Exercise Notice, the Plan
and the Award Agreement constitute the entire agreement of the
parties with respect to the subject matter hereof and supersede in
their entirety all prior undertakings and agreements of the Company
and Purchaser with respect to the subject matter hereof, and may
not be modified adversely to the Purchaser’s interest except
by means of a writing signed by the Company and Purchaser. The
terms of this Exercise Notice are governed by, and construed in
accordance with, the internal substantive
laws, but not
the choice of law rules, of Utah. For purposes of litigating any
dispute that arises directly or indirectly from the relationship of
the parties evidenced by the Option or the terms of the Award
Agreement, the parties hereby submit to and consent to the
exclusive jurisdiction of the State of Utah and agree that such
litigation shall be conducted only in the courts of Utah, Fourth
District, or the federal courts for the United States for the
10 th
Circuit, and no other courts, where
this Option grant is made and/or to be performed.
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Accepted
by:
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OMNITURE,
INC.
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By
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Its
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Address :
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Omniture,
Inc.
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550 East
Timpanogos Circle
Orem, Utah 84097
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Attention:
Stock Plan Administration
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Date
Received
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-2-
[FORM OF NON-U.S. STOCK OPTION
AWARD AGREEMENT]
2006 EQUITY INCENTIVE
PLAN
STOCK OPTION AWARD
AGREEMENT
Unless otherwise
defined herein, the terms defined in the Omniture, Inc. 2006 Equity
Incentive Plan (the “ Plan ”) will have
the same defined meanings in this Stock Option Award Agreement
(“ Award Agreement ”).
I. NOTICE
OF STOCK OPTION GRANT
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Participant’s Name:
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[name]
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Participant’s Address:
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[address
1]
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[city state
zip]
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You have been
granted an option to purchase Shares of the Company, subject to the
terms and conditions of the Plan and this Award Agreement,
including Exhibit B for Participant’s country (if
any) as follows:
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Grant
Number:
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[grant
#]
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Date of
Grant:
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Vesting
Commencement Date:
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[vcd]
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Exercise Price
per Share:
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$
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Total Number of
Shares Granted:
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[shares]
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Total Exercise
Price:
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$[total x
price]
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Type of
Option:
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Nonstatutory
Stock Option (NSO)
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Term/Expiration
Date:
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Subject to
accelerated vesting as set forth below or in the Plan, this Option
may be exercised, in whole or in part, in accordance with the
following vesting schedule:
Subject to the
terms of the vesting schedule above, this Option shall be
exercisable for three (3) months after Participant’s
active service as a Service Provider ceases, unless such
termination is due to Participant’s death or Disability, in
which case this Option shall be exercisable for one (1) year
after Participant’s active service as a Service Provider
ceases. Notwithstanding the foregoing, in no event may this Option
be exercised after the Term/Expiration Date as provided above and
may be subject to earlier termination as provided in Section 14(c)
of the Plan.
The
Administrator hereby grants to the individual named in the Notice
of Grant attached as Part I of this Award Agreement (the
“ Participant ”) an Option to purchase
the number of Shares, as set forth in the Notice of Grant, at the
exercise price per share set forth in the Notice of Grant (the
“ Exercise Price ”), subject to the terms
and conditions of the Plan and Exhibit B for
Participant’s country (if any), which are incorporated herein
by reference. Subject to Section 19(c) of the Plan, in the event of
a conflict between the terms and conditions of the Plan, and the
terms and conditions of this Award Agreement (including any terms
in Exhibit B applying to Participant’s country),
the terms and conditions of the Plan will prevail.
1.
Right to Exercise . This Option is exercisable during its
term in accordance with the Vesting Schedule set out in the Notice
of Grant and the applicable provisions of the Plan and this Award
Agreement, including Exhibit B for Participant’s
country (if any).
2.
Method of Exercise . This Option is exercisable by delivery
of an exercise notice, in the form attached as
Exhibit A (the “ Exercise Notice
”) or in such other form and manner as determined by the
Administrator, which will state the election to exercise the
Option, the number of Shares in respect of which the Option is
being exercised (the “ Exercised Shares
”), and such other representations and agreements as may be
required by the Company pursuant to the provisions of the Plan. The
Exercise Notice will be completed by Participant and delivered to
the Company. The Exercise Notice will be accompanied by payment of
the aggregate Exercise Price as to all Exercised Shares together
with any applicable withholding taxes as set forth in
Section F of this Award Agreement. This Option will be deemed
to be exercised upon receipt by the Company of such fully executed
Exercise Notice accompanied by such aggregate Exercise
Price.
No
Shares will be issued pursuant to the exercise of this Option
unless such issuance and exercise comply with Applicable
Laws.
Payment
of the aggregate Exercise Price will be by any of the following, or
a combination thereof, at the election of Participant:
3.
consideration received by the Company under a formal cashless
exercise program adopted by the Company in connection with the
Plan.
D.
Non-Transferability of Option .
This
Option may not be transferred in any manner otherwise than by will
or by the laws of descent or distribution and may be exercised
during the lifetime of Participant only by Participant.
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This
Option may be exercised only within the term set out in the Notice
of Grant, and may be exercised during such term only in accordance
with the Plan and the terms of this Award Agreement (including any
terms in Exhibit B applying to Participant’s
country).
1.
Withholding Taxes . Regardless of any action the Company or
the Parent or Subsidiary employing or retaining Participant (the
“ Employer ”) takes with respect to any
or all income tax, social insurance, payroll tax, payment on
account or other tax-related items related to Participant’s
participation in the Plan and legally applicable to Participant or
deemed by the Company or the Employer to be an appropriate charge
to Participant even if technically due by the Company or the
Employer (“ Tax-Related Items ”),
Participant acknowledges that the ultimate liability for all
Tax-Related Items is and remains Participant’s responsibility
and may exceed the amount actually withheld by the Company or the
Employer. Participant further acknowledges the Company and/or the
Employer (a) make no representations or undertakings regarding
the treatment of any Tax-Related Items in connection with any
aspect of the Option, including, but not limited to, the grant,
vesting or exercise of the Option, the subsequent sale of Shares
acquired pursuant to such exercise and the receipt of dividends, if
any; and (b) do not commit to and are under no obligation to
structure the terms of the grant or any aspect of the Option to
reduce or eliminate Participant’s liability for Tax-Related
Items or achieve any particular tax result. Further, if Participant
has become subject to tax in more than one jurisdiction between the
date of grant and the date of any relevant taxable event,
Participant acknowledges that the Company and/or the Employer (or
former employer, as applicable) may be required to withhold or
account for Tax-Related Items in more than one
jurisdiction.
Prior
to the relevant taxable or tax withholding event, as applicable,
Participant will pay or make adequate arrangements satisfactory to
the Company and/or the Employer to satisfy all Tax-Related Items.
In this regard, Participant authorizes the Company and/or the
Employer, at their discretion, to satisfy the obligations with
regard to all Tax-Related Items legally payable by Participant by
one or a combination of the following:
(i) withholding
from Participant’s wages or other cash compensation paid to
Participant by the Company and/or the Employer; or
(ii) withholding
from proceeds of the sale of Shares acquired upon exercise of the
Option through a voluntary sale or a mandatory sale arranged by the
Company (on Participant’s behalf pursuant to this
authorization); or
(iii) withholding
in Shares to be issued upon exercise of the Option.
To
avoid negative accounting issues, the Company may withhold or
account for Tax-Related Items by considering applicable minimum
statutory withholding amounts or other applicable withholding
rates. If the obligation for Tax-Related Items is satisfied by
withholding in Shares, for tax purposes, Participant is deemed, for
tax purposes only, to have been issued the full number of Shares
subject to the Option notwithstanding that a number of Shares are
held back solely for the purpose of paying the Tax-Related Items
due as a result of any aspect of Participant’s participation
in the Plan.
Finally,
Participant shall pay to the Company or the Employer any amount of
Tax-Related Items that the Company or the Employer may be required
to withhold or account for as a result of Participant’s
participation in the Plan or Participant’s purchase of Shares
that cannot be satisfied by the means previously described.
Participant acknowledges and agrees that the Company may refuse to
honor the exercise and refuse to deliver Shares if Participant
fails to comply with Participant’s obligations in connection
with the Tax-Related Items, as described in this
section.
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2.
Code Section 409A . Under Code Section 409A, an
option that vests after December 31, 2004 that was granted
with a per share exercise price that is determined by the U.S.
Internal Revenue Service (the “ IRS ”) to
be less than the fair market value of a Share on the date of grant
(a “ discounted option ”) may be
considered “ deferred compensation .” An
option that is a “discounted option” may result in
(a) income recognition by Participant (if Participant is a
U.S. taxpayer) prior to the exercise of the option, (b) an
additional twenty percent (20%) tax, and (c) potential penalty and
interest charges. Participant acknowledges that the Company cannot
and has not guaranteed that the IRS will agree that the per share
exercise price of this Option equals or exceeds the fair market
value of a Share on the Date of Grant in a later examination.
Participant agrees that if the IRS determines that the Option was
granted with a per share exercise price that was less than the fair
market value of a Share on the Date of Grant, Participant will be
solely responsible for Participant’s costs related to such a
determination.
The
Board reserves the right, to the extent it deems necessary or
advisable in its sole discretion, to unilaterally alter or modify
this Award Agreement to ensure that all Options provided to
Participants who are U.S. taxpayers are made in such a manner that
either qualifies for exemption from or complies with
Section 409A of the Code; provided, however, that the Company
makes no representation that the Options will be exempt from or
comply with Section 409A of the Code and makes no undertaking
to preclude Section 409A of the Code from applying to the
Options.
G. Entire
Agreement; Governing Law .
The
Plan is incorporated herein by reference. The Plan and this Award
Agreement (including any terms in Exhibit B applying to
Participant’s country), constitute the entire agreement of
the parties with respect to the subject matter hereof and supersede
in their entirety all prior undertakings and agreements of the
Company and Participant with respect to the subject matter hereof,
and may not be modified adversely to Participant’s interest
except by means of a writing signed by the Company and Participant.
This grant of Options and the provisions of the Award Agreement
(including any terms in Exhibit B applying to
Participant’s country) are governed by, and construed in
accordance with, the internal substantive laws, but not the choice
of law rules, of Utah. For purposes of litigating any dispute that
arises directly or indirectly from the relationship of the parties
evidenced by this grant or the Award Agreement (including any terms
in Exhibit B applying to Participant’s country),
the parties hereby submit to and consent to the exclusive
jurisdiction of the State of Utah and agree that such litigation
shall be conducted only in the courts of Utah, Fourth District, or
the federal courts for the United States for the Tenth Circuit, and
no other courts, where this grant is made and/or to be
performed.
H. NO
GUARANTEE OF CONTINUED SERVICE .
PARTICIPANT
ACKNOWLEDGES AND AGREES THAT THE VESTING OF THE OPTION PURSUANT TO
THE VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS AN
EMPLOYEE, CONSULTANT OR NON-EMPLOYEE DIRECTOR AT THE WILL OF THE
COMPANY (AND NOT THROUGH THE ACT OF BEING HIRED, BEING GRANTED AN
OPTION OR PURCHASING SHARES HEREUNDER). PARTICIPANT FURTHER
ACKNOWLEDGES AND AGREES THAT THIS AWARD AGREEMENT, THE TRANSACTIONS
CONTEMPLATED HEREUNDER AND THE VESTING SCHEDULE SET FORTH HEREIN DO
NOT CONSTITUTE AN EXPRESS OR IMPLIED PROMISE OF CONTINUED
ENGAGEMENT AS AN EMPLOYEE, CONSULTANT OR NON-EMPLOYEE DIRECTOR FOR
THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND WILL NOT
INTERFERE WITH PARTICIPANT’S RIGHT OR THE COMPANY’S
RIGHT TO TERMINATE PARTICIPANT’S RELATIONSHIP AS AN EMPLOYEE,
CONSULTANT OR NON-EMPLOYEE DIRECTOR AT ANY TIME.
In
accepting the grant, Participant acknowledges that:
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(1) the
Plan is established voluntarily by the Company, it is discretionary
in nature and it may be modified, amended, suspended or terminated
by the Company at any time;
(2) the
grant of the Option is voluntary and occasional and does not create
any contractual or other right to receive future grants of Options,
or benefits in lieu of Options, even if Options have been granted
repeatedly in the past;
(3) all
decisions with respect to future Option grants, if any, will be at
the sole discretion of the Company;
(4) Participant
is voluntarily participating in the Plan;
(5) the
Option and the Shares underlying the Option are an extraordinary
item that does not constitute compensation of any kind for services
of any kind rendered to the Company or the Employer, and which is
outside the scope of Participant’s employment contract, if
any;
(6) the
Option and the Shares underlying the Option are not intended to
replace any pension rights or compensation;
(7) the
Option and the Shares underlying the Option are not part of normal
or expected compensation or salary for any purposes, including, but
not limited to, calculating any severance, resignation,
termination, redundancy, dismissal, end of service payments,
bonuses, long-service awards, pension or retirement or welfare
benefits or similar payments and in no event should be considered
as compensation for, or relating in any way to, past services for
the Company or the Employer or any Parent or Subsidiary or
affiliate of the Company;
(8) the
Option grant and Participant’s participation in the Plan will
not be interpreted to form an employment or service contract or
relationship with the Company or any Parent, Subsidiary or
affiliate of the Company;
(9) the
future value of the underlying Shares is unknown and cannot be
predicted with certainty;
(10) in
consideration of the grant of the Option, no claim or entitlement
to compensation or damages shall arise from forfeiture of the
Option resulting from termination of Participant’s status as
a Service Provider by the Company or the Employer (for any reason
whatsoever and whether or not in breach of local labor laws) and
Participant irrevocably releases the Company and the Employer from
any such claim that may arise; if, notwithstanding the foregoing,
any such claim is found by a court of competent jurisdiction to
have arisen, then, by signing this Award Agreement, Participant
shall be deemed irrevocably to have waived any entitlement to
pursue such claim;
(11) in
the event of termination of Participant’s status as a Service
Provider (whether or not in breach of local labor laws),
Participant’s right to receive and vest in the Option under
the Plan, if any, will terminate effective as of the date that
Participant is no longer actively a Service Provider and will not
be extended by any notice period mandated under local law (
e.g. , active service would not include a period of
“garden leave” or similar period pursuant to local
law); furthermore, in the event of termination of active service as
a Service Provider (whether or not in breach of local labor laws),
Participant’s right to exercise the Option after termination
of service, if any, will be measured by the date of termination of
Participant’s active service and will not be extended by any
notice period mandated under local law; the Administrator shall
have the exclusive discretion to determine when Participant is no
longer actively a Service Provider for purposes of
Participant’s Option grant;
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(12) the
Option and the benefits under the Plan, if any, will not
automatically transfer to another company in the case of a merger,
take-over or transfer of liability; and
(13) the
Company is not providing any tax, legal or financial advice, nor is
the Company making any recommendations regarding
Participant’s participation in the Plan, or
Participant’s purchase or sale of the underlying Shares.
Participant is hereby advised to consult with Participant’s
own personal tax, legal and financial advisors regarding
Participant’s participation in the Plan before taking any
action related to the Plan.
Participant hereby explicitly and unambiguously consents to
the collection, use and transfer, in electronic or other form, of
Participant’s personal data as described in this Award
Agreement and any other Option grant materials by and among, as
applicable, the Employer, the Company and its Parents, Subsidiaries
and affiliates for the exclusive purpose of implementing,
administering and managing Participant’s participation in the
Plan.
Participant understands that the Company and the Employer may
hold certain personal information about Participant, including, but
not limited to, Participant’s name, home address and
telephone number, date of birth, or other identification number,
salary, nationality, job title, any shares of stock or
directorships held in the Company, details of all Options or any
other entitlement to shares of stock awarded, canceled, exercised,
vested, unvested or outstanding in Participant’s favor, for
the exclusive purpose of implementing, administering and managing
the Plan (“Data”).
Participant understands that Data will be transferred to
E*TRADE FINANCIAL, or such other stock plan service provider as may
be selected by the Company in the future, which is assisting the
Company with the implementation, administration and management of
the Plan. Participant understands that the recipients of the Data
may be located in the United States or elsewhere, and that the
recipients’ country ( e.g. , the United States) may
have different data privacy laws and protections from
Participant’s country. Participant understands that
Participant may request a list with the names and addresses of any
potential recipients of the Data by contacting Participant’s
local human resources representative. Participant authorizes the
Company, E*TRADE FINANCIAL and any other possible recipients which
may assist the Company (presently or in the future) with
implementing, administering and managing the Plan to receive,
possess, use, retain and transfer the Data, in electronic or other
form, for the sole purpose of implementing, administering and
managing Participant’s participation in the Plan. Participant
understands that Data will be held only as long as is necessary to
implement, administer and manage Participant’s participation
in the Plan. Participant understands that Participant may, at any
time, view Data, request additional information about the storage
and processing of Data, require any necessary amendments to Data or
refuse or withdraw the consents herein, in any case without cost,
by contacting in writing Participant’s local human resources
representative. Participant understands, however, that refusing or
withdrawing consent may affect Participant’s ability to
participate in the Plan. For more information on the consequences
of Participant’s refusal to consent or withdrawal of consent,
Participant understands that Participant may contact
Participant’s local human resources
representative.
If
Participant has received this Award Agreement or any other document
related to the Plan translated into a language other than English
and if the meaning of the translated version is different from the
English version, the English version will control, unless otherwise
prescribed by local law.
-6-
The
Company may, in its sole discretion, decide to deliver any
documents related to Participant’s participation in the Plan
by electronic means or to request Participant’s consent to
participate in the Plan by electronic means. Participant hereby
consents to receive such documents by electronic delivery and, if
requested, to agree to participate in the Plan through an on-line
or electronic system established and maintained by the Company or a
third party designated by the Company.
The
provisions of this Award Agreement are severable and if any one or
more provisions are determined to be illegal or otherwise
unenforceable, in whole or in part, the remaining provisions shall
nevertheless be binding and enforceable.
Notwithstanding
any provisions in this Award Agreement, the Option will be subject
to any special terms and conditions set forth in
Exhibit B to this Award Agreement for
Participant’s country. Moreover, if Participant relocates to
one of the countries included in Exhibit B , the
special terms and conditions for such country will be applicable to
Participant, to the extent the Company determines that the
application of such terms and conditions is necessary or advisable
in order to comply with local law or facilitate the administration
of the Plan. Exhibit B constitutes part of this Award
Agreement.
O.
Imposition of Other Requirements .
The
Company reserves the right to impose other requirements on
Participant’s participation in the Plan, on the Option and on
any Shares acquired under the Plan, to the extent the Company
determines it is necessary or advisable in order to comply with
local law or fa
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