Exhibit 10.1

 

April 28, 2005

 

Jeffrey A. Kupp

2825 Amherst Avenue

Dallas, Texas 75225

 

Dear Jeff,

 

I am pleased to offer you the position of Chief Financial Officer at Microtune,
Inc. headquartered in Plano, Texas. You will be reporting directly to me and
will receive a starting annual salary of $225,000.

 

Microtune will additionally offer a sign-on bonus of $25,000, minus standard
taxes and deductions, which will be paid within the first month of employment.
If you should leave the company voluntarily before the end of the first year,
you will be required to pay back this bonus. Upon the one year anniversary of
the start date of your employment, you will receive an additional bonus of
$15,000.

 

Once you have become an employee of Microtune, you will be granted stock options
to purchase 365,000 shares of Microtune Common Stock at an exercise price equal
to the fair market value on the date of grant and upon approval of the Board of
Directors. The date of grant will be your start date of employment. The shares
shall vest as follows: (i) 70,000 shares shall vest upon the one year
anniversary of the start date of your employment; (ii) 70,000 shares shall vest
monthly thereafter (5,833.33 shares per month) in the second year of your
employment; (iii) 65,000 shares shall vest monthly thereafter (5,416.66 shares
per month) in the third year of your employment; (iv) 65,000 shares shall vest
monthly thereafter in the fourth year of your employment; and (v) 65,000 shares
shall vest monthly thereafter in the fifth year of your employment.
Additionally, upon the second anniversary of the start date of your employment,
30,000 shares shall vest. Your eligibility to purchase shares of Microtune will
be governed by the Microtune 2000 Stock Option Plan, and your continued
employment.

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Page 2

 

Jeffrey A. Kupp

April 28, 2005

 

As an officer of the company, you will enter into our standard Change of Control
Agreement. Microtune will review the terms of its standard Change of Control
Agreement and the Corporate Governance Provisions it will adopt as part of its
Derivative Shareholder Settlement to ensure that its officers who are party to
its standard Change of Control Agreement are awarded all appropriate bonus
opportunities as part of their severance payments under the standard Change of
Control Agreement. If Microtune determines that the standard Change of Control
Agreement needs to be amended to ensure that bonus opportunities are protected,
Microtune will, upon consultation and approval of the Compensation Committee of
its Board of Directors, and with consideration of your suggested
recommendations, amend such agreements accordingly. Alternatively, Microtune
may, in its sole discretion, and upon consultation with its attorneys, and with
consideration of your suggested recommendations, modify the language in the
Corporate Governance Provisions to protect its officers’ bonus opportunities
under its Change of Control Agreements.

 

In addition, as an officer of the company, you will be entitled to participate
in Microtune’s Management Bonus Plan, which will be adopted in the future upon
consultation and approval of the Compensation Committee of its Board of
Directors.

 

Microtune has an extensive benefits program. Coverage for these benefits will be
effective on your date of hire and is subject to the terms of our group policy.

 

I would appreciate your confirmation of acceptance of this offer by signing and
returning the attached copy of this letter today. The Company also requires that
you sign the Microtune, Inc. Confidential Information Agreement, Code of Ethics
Agreement and Invention Assignment Agreement. You understand and agree that
nothing in this offer letter shall be construed as constituting an employment
agreement and that your employment with Microtune will be on an “at will” basis.

 

 

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Page 3

 

Jeffrey A. Kupp

April 28, 2005

 

The success of Microtune is based upon the contributions of its employees. To
ensure our success, we seek out the best and brightest employees, those with
extraordinary energy, tenacity, and resourcefulness. We feel you possess these
qualities, and that this career opportunity will prove to be a valuable
experience for you.

 

Very truly yours,

 

 

James A. Fontaine

Chief Executive Officer

 

I accept this offer of employment with Microtune, Inc. with a start date of no
later than May 9, 2005.

 

/s/ Jeffrey A. Kupp

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Jeffrey A. Kupp

 

April 28, 2005

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Date

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Page 4

 

Jeffrey A. Kupp

April 28, 2005

 

Also, I acknowledge the sign-on bonus of $25,000. Should I decide to voluntarily
resign my employment with Microtune, Inc. before the one-year anniversary of my
employment date, I will repay Microtune, Inc. 100% of the sign-on bonus.

 

/s/ Jeffrey A. Kupp

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Jeffrey A. Kupp

 

April 28, 2005

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Date