Exhibit 10.2

 

AMENDMENT NUMBER ONE TO COMMON STOCK PURCHASE WARRANT

 

THIS AMENDMENT NUMBER ONE (the “Amendment”) is entered into by and between
Redback Networks Inc. (the “Company”) and Nokia Finance International B.V.
(“Nokia”), effective as of August 5, 2003, regarding that certain Common Stock
Purchase Warrant dated May 21, 2002 (the “Warrant”).

 

BACKGROUND

 

A. Nokia currently holds the Warrant which is exercisable to purchase Common
Stock effective in November 2003.

 

B. Nokia does not intend to exercise the Warrant, and the parties have agreed to
terminate the Warrant as set forth in this Amendment.

 

C. Section 16 of the Warrant provides that any term of the Warrant may be
amended and the observance of any terms of the Warrant may be waived with the
written consent of the Company and the holders holding warrants representing the
right to purchase a majority of the Shares issuable upon exercise of the
outstanding Warrant.

 

NOW, THEREFORE, in consideration of the mutual premises and covenants set forth
in this Amendment, and for other good and valuable consideration, the receipt
and adequacy of which are hereby acknowledged, the parties agree as follows:

 

1. Representations. The parties represent and warrant that they have all due
authority to execute and enter into this Amendment, and that this Amendment is
binding upon each such party, and enforceable against such party in accordance
with its terms. Nokia further represents and warrants that it is the sole holder
of the Warrant and that it has not transferred all or any portion of the
Warrant.

 

2. Amendment. The first sentence of Section 1(b) of the Warrant is amended and
restated in its entirety to read as follows: “Notwithstanding anything to the
contrary contained herein, this Warrant shall terminate and shall no longer be
exercisable upon the earlier to occur of (a) August 1, 2003 and (b) a
Termination Event (as such term is defined in the Investor’s Rights Agreement,
dated as of May 21, 2002, between the Holder and the Company (the “Investor’s
Rights Agreement”)).”

 

3. Miscellaneous. This Amendment may be executed in counterparts, each of which
shall be deemed an original, and all of which will constitute one instrument.
This Amendment shall be governed by Delaware law.

 

IN WITNESS WHEREOF, the parties have entered into this Amendment effective as of
August 5, 2003.

 

REDBACK NETWORKS INC.,

a Delaware corporation

     

NOKIA FINANCE

INTERNATIONAL B.V.

By:  

/s/    Thomas L. Cronan III      

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      By:  

/s/    Hannu Mustonen

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Title

 

Senior Vice President of Finance and Administration and Chief Financial Officer
(Principal Financial and Accounting Officer)

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      Title  

Director

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