Exhibit 10.17

 

March 27, 2000

 

Ms. Pam Simonton

 

Dear Pam:

 

We are proud to invite you to join our team.

 

Our offer of employment is to join Exelixis, Inc. as Vice President, Corporate
Technology Development reporting to Lloyd Kunimoto, Senior Vice President,
Business Development.

 

Other terms of employment include:

 

Compensation: Your initial starting annual salary will be Two-hundred ten
thousand ($210,000) dollars, paid twice a month.

 

Options for Equity: You will also be eligible to receive a stock option for One
Hundred Thousand (100,000) shares of Exelixis stock pursuant to our standard
Stock Plan and subject to approval by the Board of Directors. Options vest over
4 years, and are 25% vested on the first anniversary of employment and then
continue to vest 1/36th of the total grant on the 1st of each month over the
next 3 years.

 

Review: Your performance will be formally reviewed no less than annually and you
will be eligible to receive an incentive bonus of up to twenty-five percent of
your annual salary based on achievement of key milestones.

 

Relocation: In order to accommodate a new hire’s personal situation and
individual preference as to how they would like to coordinate the activities
associated with their move to the Bay Area, Exelixis provides benefit packages
available under the Company’s Relocation Plan. Employees are eligible to

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Ms. Pam Simonton

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March 27, 2000

 

receive the specific benefits offered under either Relocation Assistance Option
A or B as outlined in the attached policy. Please contact Human Resources
regarding any specific questions you may have pertaining to this program.

 

Start Date: To be determined.

 

Benefits: All full-time employees of Exelixis, Pharmaceuticals, Inc., enjoy a
generous benefits package which is outlined on the attached Summary of Benefits.

 

Confidentiality: As you are aware, it is very important for us to protect our
confidential information and proprietary material. Therefore, as a condition of
employment, you will need to sign the attached Proprietary Information and
Inventions Agreement.

 

Other: In addition to performing the duties and responsibilities of your
position, you will be expected to perform other duties and responsibilities that
may be assigned to you from time to time. No provision of this letter shall be
construed to create an express or implied employment contract for a specific
period of time. Either you or the Company may terminate this employment
relationship at any time, with or without cause. This letter shall be governed
by the laws of the State of California. Also, by signing this letter, you are
indicating that you are legally authorized to work in the U.S.

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Ms. Pam Simonton

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March 27, 2000

 

You may accept this offer of employment by signing both copies of this letter
and Proprietary information and Invention agreements and returning one of each
to me.

 

Pam, we look forward to your coming on board!

 

Sincerely,

 

Lisa Benthein

Director, Human Resources

 

ACCEPTED BY:

 

 

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Pam Simonton   Date

 

Enclosures:    Benefit Summary      Proprietary Information and Inventions
Agreement