EX-10.21



 Exhibit 10.21 

 
 



 
 June 5, 2007 
 Charles A. McWherter 
 Dear Chuck: 
 Metabolex, Inc. (the “Company”) is pleased to offer you employment as Senior Vice President, Research and Preclinical Development on the following terms: 

1. Position, Duties and Responsibilities. Subject to the terms set forth herein, the Company agrees to employ you in the position
of Senior Vice President, Research and Preclinical Development and you hereby accept such employment effective as of a mutually acceptable start date. As Senior Vice President, Research and Preclinical Development, you will report to the
Company’s Chief Executive Officer (“CEO”), and will perform the duties customarily associated with this position and such other duties as are assigned to you by the CEO. You shall devote your full business time and attention to the
business affairs of the Company, except for reasonable vacations and periods of illness or incapacity permitted by the Company’s general employment policies. The employment relationship between you and the Company shall also be governed by the
general employment policies and practices of the Company, including those relating to protection of confidential information and assignment of inventions, except that when the terms of this letter agreement differ from or are in conflict with the
Company’s general employment policies or practices, this letter agreement shall control. 
 2. Compensation and Employee
Benefits. 
 2.1 Base Salary. Your base salary will be two hundred ninety thousand dollars ($290,000) on an
annualized basis, less payroll deductions and required withholdings, paid according to the Company’s regular payroll schedule and procedures. Your base salary may be modified by the Company in its sole discretion. For your initial year of
employment, any merit increase you receive will not be pro rated for the time period for which you were employed by the Company during the year. 
 2.2 Hiring Bonus. On the first regular pay date after the date upon which you commence your employment (your “Employment Commencement Date”) the Company will pay to you a hiring bonus
(the “Hiring Bonus”) in the amount of fifty thousand dollars ($50,000), less payroll deductions and required withholdings. The Hiring Bonus shall be repaid to the Company, in full, if within one (1) year of your Employment
Commencement Date your employment with the Company (and its successors) is terminated either (i) by you or (ii) by the Company for Cause (as defined in Section 7.2(b)). 

 
  
 Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510) 293-8800     www.metabolex.com 







 



 
  
 2.3 Relocation Bonus.
On the first regular pay date after your Employment Commencement Date the Company will pay to you a relocation bonus (the “Relocation Bonus”) in the amount of forty thousand five hundred dollars ($40,500), less payroll deductions and
required withholdings. The Relocation Bonus shall be repaid to the Company, in full, if within one (1) year of your Employment Commencement Date your employment with the Company (and its successors) is terminated either (i) by you or
(ii) by the Company for Cause (as defined in Section 7.2(b)). Attached as Exhibit A is a copy of the Company’s relocation expense policy. 
 2.4 Discretionary Bonus. You will be eligible to participate in the Company’s annual bonus program in recognition of your performance and achievement of agreed upon goals. Your target annual
bonus will be equal to twenty-five percent (25%) of your annual base salary. Your actual bonus, if any, will be determined by the Company’s Board of Directors (“Board”), or a subcommittee thereof, in its sole discretion, based
upon its evaluation of your performance, the Company’s performance, and any other considerations it deems relevant. For your initial year of employment, your bonus will be pro rated for the number of months elapsed in the bonus period
for which you were employed by the Company. You must be employed through the bonus payment date in order to be eligible for any such bonus. Any bonus payment shall be subject to payroll deductions and required withholdings. 

2.5 Employee Benefits. You shall be entitled to all employee benefits, including vacation accrual of twenty (20) days per
year and health and disability benefits, for which you are eligible under the terms and conditions of the standard Company benefit plans, which may be in effect from time to time and provided by the Company to its senior executive-level employees
generally. Currently, such benefits include eight paid holidays and four floating holidays per year, as well as paid sick leave of up to ten days per year. Notwithstanding the foregoing, the Company reserves the right to adopt, amend or discontinue
any employee benefit plan or policy, including changes required by applicable law. 
 2.6 Stock Options. Subject to the
approval of the Board you will be granted a stock option to purchase four hundred fifty thousand (450,000) shares of Company common stock, at a per share exercise price equal to the per share fair market value of the common stock on the date of
grant, as determined by the Board, pursuant to the Company’s equity incentive plan. Option grants are made at regular Board meetings held approximately once each calendar quarter. Your option grant will be considered at the first regular Board
meeting following your employment commencement date. The term of such stock option will be ten (10) years, subject to earlier expiration in the event of the termination of your service with the Company. Such stock option will be immediately
exercisable, if you elect to do so, but the purchased shares shall be subject to repurchase by the Company in the event that your service with the Company terminates before you become vested in the shares, at the lower of (1) the original
exercise price or (2) the then-fair market value of the Company’s common stock. You will be vested in, and the Company’s repurchase right, if applicable, shall not apply as to, twenty-five percent (25%) of the shares covered by
the option on the first year anniversary of your Employment 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
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Commencement Date and the remaining seventy-five percent (75%) of the shares covered by the option will vest in thirty-six (36) equal monthly installments with the first monthly
installment vesting one month following the first year anniversary of your Employment Commencement Date, as long as you remain in continuous service with the Company. Notwithstanding the foregoing, a portion of the shares subject to your outstanding
stock options may vest on an accelerated basis pursuant to Sections 7 or 8. Except as provided herein, such stock options will be subject to the provisions of the equity incentive plan of the Company under which the options are granted and the
applicable form of stock option agreement thereunder (the “Plan Documents”). 
 3. Other Activities During
Employment. 
 3.1 Activities. Except with the prior written consent of the CEO, you will not, during your employment
with the Company, undertake or engage in any other employment, occupation or business enterprise, other than ones in which you are a passive investor. You may engage in civic and not-for-profit activities so long as such activities do not interfere
with the performance of your job duties. 
 3.2 Investments and Interests. Except as permitted by the first sentence of
Section 3.1 and by Section 3.3, during your employment you agree not to acquire, assume or participate in, directly or indirectly, any position, investment or interest known by you to be adverse or antagonistic to the Company, or its
business or prospects, financial or otherwise. 
 3.3 Noncompetition. During the term of your employment by the Company,
except on behalf of the Company, you will not directly or indirectly, whether as an officer, director, stockholder, partner, proprietor, associate, representative, consultant, or in any capacity whatsoever engage in, become financially interested
in, be employed by or have any business connection with any other person, corporation, firm, partnership or other entity whatsoever that competes with the Company anywhere in the world, in any line of business engaged in (or planned to be engaged
in) by the Company; provided, however, that anything above to the contrary notwithstanding, you may own, as a passive investor, securities of any entity, so long as your direct holdings in any one such corporation do not in the aggregate
constitute more than one percent (1%) of the voting stock of such corporation. 
 4. Company Policies; Confidential
Information and Inventions Agreement. You acknowledge your obligations under the Company’s Employee Agreement on Confidential Information and Inventions, a copy of which is attached as Exhibit B. You further acknowledge your obligation to
abide by the Company’s rules, policies and procedures. 
 5. Immigration. The Immigration Reform and Control Act of
1986 requires that every person present proof to the Company of their identity and eligibility and/or authorization to accept employment with the Company. In order to comply with this law, and before you can


  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
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become a Company employee, you must provide appropriate documentation to prove both your identity and legal eligibility to be employed at the Company. Please be sure to bring this
documentation with you to your employee orientation. If you are working in this country on a VISA, you will need to provide copies of this documentation at your employee orientation. Failure to do so may result in over withholding of taxes.

 6. Your Representations and Warranties. 
 6.1 No Breach of Contract. You represent and warrant that the execution and delivery of this letter agreement by you and the performance of your obligations hereunder will not conflict with or
breach any agreement, order or decree to which you are a party or by which you are bound. You warrant that you are subject to no employment agreement or restrictive covenant preventing full performance of your duties under this letter agreement.

 6.2 No Conflict of Interest. You warrant that you are not, to the best of your knowledge and belief, involved in any
situation that might create, or appear to create, a conflict of interest with your loyalty to or duties for the Company. 

6.3 Notification of Materials or Documents from Other Employers. You further warrant that you have not brought and will not bring
to the Company or use in the performance of your responsibilities at the Company any materials or documents of a former employer that are not generally available to the public, unless you have obtained express written authorization from the former
employer for their possession and use. 
 6.4 Notification of Other Post-Employment Obligations. You also understand
that, as part of your employment with the Company, you are not to breach any obligation of confidentiality that you have to former employers, and you agree to honor all such obligations to former employers during your employment with the Company.

 7. Termination of Employment. 
 7.1 At-Will Employment Relationship. Your employment with the Company shall be at-will. Either you or the Company may terminate the employment relationship at any time, with or without Cause and
with or without advance notice. 
 7.2 Termination for Cause. 

(a) If the Company terminates your employment at any time for Cause (as defined below), your salary shall cease on the date of
termination and you shall not be entitled to severance pay, COBRA premium payments, pay in lieu of notice or any other such compensation other than payment of accrued salary and vacation and such other benefits as expressly required in such event by
applicable law or the terms of applicable benefit plans. The continued vesting of any stock options held by you shall cease on your employment termination date, and your right to exercise vested option shares shall be governed by the Plan Documents.


  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
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 (b) Definition of
Cause. For purposes of this agreement, “Cause” means the occurrence of any one or more of the following: (i) your conviction of, or plea of no contest with respect to, any felony or any crime involving fraud, dishonesty or moral
turpitude; (ii) your participation in a fraud or act of dishonesty that results in material harm to the Company; (iii) your intentional material violation of any contract or agreement between you and the Company, including but not limited
to this letter agreement or your Employee Agreement on Confidential Information and Inventions, or your violation of any statutory duty that you owe to the Company, but only if you do not correct such violation within thirty (30) days after
written notice thereof has been provided to you; or (iv) your gross negligence or willful neglect of your job duties, as determined by the Board in good faith, but only if you do not correct such violation within thirty (30) days after
written notice thereof has been provided to you. 
 7.3 Severance Benefits For Termination Without Cause or Resignation for
Good Reason. 
 (a) If the Company terminates your employment without Cause or you resign your employment for Good
Reason (defined below), you will be eligible to receive the severance benefits described in this Section 7.3. You will be eligible to receive, subject to payroll deductions and required withholdings and net of any amounts earned by you pursuant
to any employment or consulting arrangements obtained by you following such termination (other than the activities described in Section 3.1), continuation for twelve (12) months of the greater of (i) your base salary in effect as of
such termination date or (ii) your base salary as set forth in Section 2.1. In addition you will be eligible to receive your potential annual discretionary bonus amount set forth in Section 2.4, determined as if all performance
targets established by the Board have been satisfied, pro-rated for the number of months elapsed in the year in which your employment terminates. This base salary and bonus severance will be paid according to the Company’s payroll procedures
during the twelve (12) month period following the termination date. You agree to notify the Company promptly of any amount earned by you from other employment or a consulting engagement while you are receiving severance payments under this
letter agreement. Moreover, if you timely elect and remain eligible for continued coverage of your group health insurance under COBRA, the Company will pay your premiums for COBRA coverage for up to twelve (12) months following the termination
date, provided that such payments shall cease if you obtain full-time employment within such period. You agree to notify the Company promptly if you become eligible for health care benefits while the Company is paying your COBRA premiums under this
letter agreement. Upon termination without Cause or for Good Reason, the vesting of all stock options held by you shall be accelerated such that the options are fully vested and exercisable as of the termination date. Your receipt of any severance
benefits under this Section 7.3 is contingent upon your signing and making effective a full, general release of all claims against the Company in a form acceptable to the Company containing the language set forth in the Release Agreement
attached as Exhibit C on or after the termination date. 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
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 (b) Definition of Good
Reason. For purposes of this letter agreement, “Good Reason” shall mean any one of the following events that occurs without your consent: (i) the material reduction in your responsibilities, authorities or functions as an employee
of the Company (but not merely a change in reporting relationships); (ii) a reduction in your level of compensation (including base salary and target bonuses under any corporate-performance based bonus or incentive programs), or in fringe
benefits, other than changes applicable to all employees of the Company; (iii) a relocation of your place of employment by more than twenty (20) miles; or (iv) the Company’s material breach of this letter agreement.
Notwithstanding the foregoing, within thirty (30) days after the occurrence of an event or conduct giving rise to Good Reason, you must provide the Company with thirty (30) days’ advance written notice of termination, detailing the
Company’s conduct giving rise to Good Reason (the “Cure Period”) and during the Cure Period, the Company may attempt to rescind or correct the matter giving rise to Good Reason. If the Company does not rescind or correct the conduct
giving rise to Good Reason to your reasonable satisfaction by the expiration of the Cure Period, your employment will then terminate with Good Reason. 
 7.4 Voluntary or Mutual Termination. 
 (a) You may voluntarily
terminate your employment with the Company at any time without Good Reason. If you terminate without Good Reason, your salary shall cease on the date of termination and you shall not be entitled to severance pay, COBRA premium payments, pay in lieu
of notice or any other such compensation other than payment of accrued salary and vacation and such other benefits as expressly required in such event by applicable law or the terms of applicable benefit plans. The continued vesting of any stock
options held by you shall cease on the termination date, and your right to exercise vested option shares shall be governed by the Plan Documents. 
 (b) If at any time during the course of this letter agreement the parties by mutual consent decide to terminate this letter agreement, you and the Company shall do so by separate agreement setting
forth the terms and conditions of such termination. 
 7.5 Application of Section 409A. In the event that any
benefit provided herein shall fail to satisfy the distribution requirement of Section 409A(a)(2)(A) of the United States Internal Revenue Code (the “Code”) as a result of the application of Section 409A(a)(2)(B)(i) of the Code,
the payment of such benefit shall be delayed to the minimum extent necessary so that such benefits are not subject to the provisions of Section 409A(a)(l) of the Code. The Board may attach conditions to or adjust the amounts paid pursuant to
this Section 7.5 to preserve, as closely as possible, the economic consequences that would have applied in the absence of this Section 7.5; provided, however, that no such condition or adjustment shall result in the payments being
subject to Section 409A(a)(l) of the Code. 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
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 8. Change in
Control. 
 8.1 Definitions. 
 (a) “Change in Control” shall mean an Ownership Change Event (as defined below) or a series of related Ownership Change Events (collectively, a “Transaction”) wherein the
stockholders of the Company immediately before the Transaction do not retain direct or indirect beneficial ownership of more than fifty percent (50%) of the total combined voting power of the outstanding securities of the Company or, in the
case of a Transaction described in Section 8.1(b)(iii), the corporation or other business entity to which the assets of the Company were transferred (the “Transferee”), as the case may be. For purposes of the preceding sentence,
indirect beneficial ownership shall include, without limitation, an interest resulting from ownership of the voting securities of one or more corporations or other business entities that own the Company or the Transferee, as the case may be, either
directly or through one or more subsidiary corporations or other business entities. 
 (b) An “Ownership Change
Event” shall be deemed to have occurred if any of the following occurs with respect to the Company: (i) the direct or indirect sale or exchange in a single or series of related transactions by the stockholders of the Company of more than
fifty percent (50%) of the voting stock of the Company; (ii) a merger or consolidation in which the Company is a party; or (iii) the sale, exchange or transfer of all or substantially all of the assets of the Company. 

8.2 Stock Options. At the closing of a Change in Control, your outstanding stock options shall become vested and
exercisable with respect to fifty percent (50%) of your then-unvested shares of the Company’s common stock subject thereto. In addition, in the event that within twelve (12) months following a Change in Control, the Company terminates
your employment without Cause or you resign for Good Reason (a “Change in Control Termination”), any remaining unvested portion of all stock options held by you shall have the vesting accelerated such that all options are fully vested and
exercisable as of the date of the Change in Control Termination (the “Acceleration”). As a precondition of receiving the Acceleration, you must first sign and make effective on or after the termination date a full, general release of
claims against the Company in a form acceptable to the Company containing the language set forth in the Release Agreement attached as Exhibit C. 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
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 8.3 Parachute Payments
After the Listing Date. 
 (a) After the Listing Date (as defined below), if any payment or distribution in the
nature of compensation (within the meaning of Section 280G(b)(2) of the Code) to or for your benefit, whether under this letter agreement or otherwise (a “Payment”), would be subject to the excise tax imposed by Section 4999 of
the Internal Revenue Code of 1986, as amended (the “Code”) (together with any interest or penalties imposed with respect to such excise tax, the “Excise Tax”), then you will be entitled to receive from the Company an additional
payment (the “Gross-Up Payment”) in an amount equal to (i) all Excise Taxes (including any interest or penalties imposed with respect to such taxes) on the Payment (the “First Reimbursement Payment”); (ii) all federal,
state and local income taxes and employment taxes on the First Reimbursement Payment; and (iii) all Excise Taxes (including any interest or penalties imposed with respect to such taxes) on the First Reimbursement Payment. For purposes of this
provision, the term “Listing Date” means the date of the sale of the Company’s securities to the general public pursuant to an initial public offering under a Registration Statement filed with and declared effective by the U.S.
Securities and Exchange Commission under the Securities Act of 1933, as amended. 
 (b) All determinations required to
be made under this Section 8.3 including whether and when a Gross-Up Payment is required and the amount of such Gross-Up Payment and the assumptions to be utilized in arriving at such determination, shall be made by the nationally recognized
certified public accounting firm used by the Company immediately prior to the effective date of the Change in Control or, if such firm declines to serve, such other nationally recognized certified public accounting firm as you may designate (the
“Accounting Firm”). Any determination by the Accounting Firm shall be binding upon the Company and you. The Accounting Firm may make reasonable assumptions and approximations concerning applicable taxes and may rely on reasonable,
good-faith interpretations concerning the application of Sections 280G and 4999 of the Code. 
 9. General Provisions.

 9.1 Severability. Whenever possible, each provision of this letter agreement will be interpreted in such manner as to
be effective and valid under applicable law, but if any provision of this letter agreement is held to be invalid, illegal or unenforceable in any respect under any applicable law or rule in any jurisdiction, such invalidity, illegality or
unenforceability will not affect any other provision or any other jurisdiction, but such invalid, illegal or unenforceable provision will be reformed, construed and enforced in such jurisdiction so as to render it valid, legal, and enforceable
consistent with the intent of the parties insofar as possible. 
 9.2 Notices. Any notices provided hereunder must be in
writing and shall be deemed effective upon the earlier of personal delivery (including personal delivery by fax) or the next day after sending by overnight courier, to the Company at its primary office location and to you at your address as listed
on the Company payroll. 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
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 9.3 Waiver. If
either party should waive any breach of any provisions of this letter agreement, you or the Company shall not thereby be deemed to have waived any preceding or succeeding breach of the same or any other provision of this letter agreement.

 9.4 Entire Agreement. This letter agreement, together with its exhibits, constitutes the entire and exclusive
agreement between you and the Company, and it supersedes any prior agreement, promise, representation, or statement, written or otherwise, between you and the Company with regard to this subject matter. It is entered into without reliance on any
promise, representation, statement or agreement other than those expressly contained or incorporated herein, and it cannot be modified or amended except in a writing signed by you and a duly authorized officer of the Company. 

9.5 Counterparts. This letter agreement may be executed in separate counterparts, any one of which need not contain signatures of
more than one party, but all of which taken together will constitute one and the same letter agreement. 
 9.6 Headings.
The headings of the sections hereof are inserted for convenience only and shall not be deemed to constitute a part hereof nor to affect the meaning thereof. 
 9.7 Successors and Assigns. This letter agreement is intended to bind and inure to the benefit of and be enforceable by you, the Company and your and its respective successors, assigns, heirs,
executors and administrators, except that you may not assign any of your duties hereunder and you may not assign any of your rights hereunder without the written consent of the Company. 

9.8 Governing Law. All questions concerning the construction, validity and interpretation of this letter agreement will be
governed by the law of the State of California as applied to contracts made and to be performed entirely within California. 

9.9 Attorneys’ Fees. If either party hereto brings any action to enforce your or its rights hereunder, the prevailing party
in such action shall be entitled to be paid by the other party such prevailing party’s reasonable attorneys’ fees and costs incurred in such action. 
 Enclosed is your Employee Agreement on Confidential Information and Inventions, which you should read carefully. 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
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 To indicate your acceptance of the
Company’s offer, please sign this letter agreement in the space provided below and return it to me along with the signed Employee Agreement on Confidential Information and Inventions, in the stamped self-addressed envelope, which is enclosed.
This offer shall expire on June 15, 2007 if not accepted prior to such date. If you have any questions regarding this letter agreement, feel free to contact me. 
  

			
	Sincerely,
	
	METABOLEX, INC.
		
	By:	 	/s/ Diana M. Petty
		 	Diana M. Petty
		 	VP of HR & Administration

  

					
	Accepted and agreed:	 		 	
			
	 /s/ Charles A. McWherter
	 		 	June 14, 2007
	Charles A. McWherter	 		 	

 EXHIBIT A – Relocation Expense Policy for New and Transferred Employees 

EXHIBIT B – Employee Agreement on Confidential Information and Inventions 

EXHIBIT C – Release Agreement 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
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 October 10, 2007 

Charles A. McWherter 
 c/o Metabolex, Inc.

 3876 Bay Center Place 
 Hayward, CA
94545 
 Dear Chuck: 
 This letter
agreement (the “Amendment”) amends the terms of your employment agreement dated June 5, 2007 (the “Original Agreement”) with Metabolex, Inc. (the “Company”) in order to address the requirements of Section 409A
of the Internal Revenue Code, as amended (the “Code”). The Original Agreement is hereby amended only as expressly set forth herein. All other terms and conditions of the Original Agreement continue in full force and effect. 

Section 7.3 is amended and restated as follows: 
 7.3 Severance Benefits For Termination Without Cause or Resignation for Good Reason. 
 (a) If the Company terminates your employment without Cause and other than as a result of your death or disability, or if you resign your employment for Good Reason (defined below), you will be
eligible to receive the severance benefits described in this Section 7.3. You will be eligible to receive, subject to payroll deductions and required withholdings and net of any amounts earned by you pursuant to any employment or consulting
arrangements obtained by you following such termination (other than the activities described in the last sentence of Section 3.1), continuation for twelve (12) months of the greater of (i) your base salary in effect as of such
termination date or (ii) your base salary as set forth in Section 2.1. In addition you will be eligible to receive your potential annual discretionary bonus amount set forth in Section 2.4, determined as if all performance targets
established by the Board have been satisfied, pro-rated for the number of months elapsed in the year in which your employment terminates. You agree to notify the Company promptly of any amount earned by you from other employment or a consulting
engagement while you are receiving severance payments under this letter agreement. Moreover, if you timely elect and remain eligible for continued coverage of your group health insurance under COBRA, the Company will pay your premiums for COBRA
coverage for up to twelve (12) months following the termination date, provided that such payments shall cease if you obtain full-time employment, or cease to be eligible for COBRA, within such period. You agree to notify the Company promptly if
you obtain full-time employment while the Company is paying your COBRA premiums under this letter agreement. Upon such termination, the vesting of all compensatory equity awards held by you shall be accelerated such that the awards are fully vested
and exercisable upon the termination date. Upon approval by the Board of this letter agreement, any currently outstanding compensatory equity awards shall be amended to the extent necessary to provide for the foregoing accelerated vesting. Your
receipt of any severance benefits under this Section 7.3 is contingent upon your signing and making effective within forty-five (45) days after the termination date, a full, general release of all claims against the Company in a form
acceptable to the Company containing the 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
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 Charles A. McWherter 
 Page 2 
  

 
language set forth in the Release Agreement attached as Exhibit C on or after the termination date. This base salary and bonus severance will be paid in substantially equal installments over the
twelve (12) month period following the termination date according to the Company’s payroll procedures; provided, however, that no payments will be made to you prior to the effective date of the Release Agreement. On the first payroll pay
day following the effective date of the Release Agreement, the Company will pay you the cash severance amounts you would have received on or prior to such date in a lump sum, with the balance of the cash payments being made as originally scheduled.

 (b) Definition of Good Reason. For purposes of this letter agreement, “Good Reason” shall mean any one of
the following events that occurs without your consent: (i) the material reduction in your responsibilities, authorities or functions as an employee of the Company (but not merely a change in reporting relationships); (ii) a material
reduction in your level of compensation (including base salary, fringe benefits and target bonuses under any corporate-performance based bonus or incentive programs); (iii) a relocation of your place of employment that results in an increase to
your round trip commute of more than twenty (20) miles; or (iv) the Company’s material breach of this letter agreement. Notwithstanding the foregoing, you must provide written notice to the General Counsel of the Company within thirty
(30) days after the date on which such event first occurs, and allow the Company thirty (30) days thereafter (the “Cure Period”) during which the Company may attempt to rescind or correct the matter giving rise to Good Reason. If
the Company does not rescind or correct the conduct giving rise to Good Reason to your reasonable satisfaction by the expiration of the Cure Period, your employment will then terminate with Good Reason as of such thirtieth day. 

Section 7.4 is amended and restated as follows: 
 7.4 Voluntary or Mutual Termination; Death; Disability. 
 (a) You
may voluntarily terminate your employment with the Company at any time without Good Reason. If you terminate without Good Reason or if your employment terminates as a result of your death or disability, your salary shall cease on the date of
termination and you shall not be entitled to severance, pay in lieu of notice or any other such compensation other than payment of accrued salary and vacation and such other benefits as expressly required in such event by applicable law or the terms
of applicable benefit plans. The continued vesting of any compensatory equity awards held by you shall cease on the termination date, and your right to exercise vested awards (or be issued shares under such vested awards) shall be governed by the
terms of the Company’s applicable compensatory equity plans and the corresponding award agreements. 
 (b) If at
any time during the course of this letter agreement the parties by mutual consent decide to terminate this letter agreement, you and the Company shall do so by separate agreement setting forth the terms and conditions of such termination.


  
  

www.metabolex.com 









 Charles A. McWherter 
 Page 3 
  

 Section 7.5 is amended and restated as follows: 

7.5 Application of Section 409A. If the Company (or, if applicable, the successor entity thereto) determines that the
severance payments and benefits provided for in this letter agreement (the “Agreement Payments”) constitute “deferred compensation” under Section 409A of the Internal Revenue Code (together, with any state law of similar
effect, “Section 409A”) and you are a “specified employee” of the Company or any successor entity thereto, as such term is defined in Section 409A(a)(2)(B)(i) (a “Specified Employee”), then, solely to the extent
necessary to avoid the incurrence of the adverse personal tax consequences under Section 409A, the timing of the Agreement Payments shall be delayed as follows: on the earliest to occur of (i) the date that is six months and one day after
the termination date or (ii) the date of your death (such earliest date, the “Delayed Initial Payment Date”), the Company (or the successor entity thereto, as applicable) shall (A) pay to you a lump sum amount equal to the sum of
the Agreement Payments that you would otherwise have received through the Delayed Initial Payment Date if the commencement of the payment of the Agreement Payments had not been delayed pursuant to this Section 7.5 and (B) commence paying
the balance of the Agreement Payments in accordance with the applicable payment schedules set forth in this letter agreement. For the avoidance of doubt, it is intended that (1) each installment of the Agreement Payments provided in this letter
agreement is a separate “payment” for purposes of Section 409A, (2) all Agreement Payments satisfy, to the greatest extent possible, the exemptions from the application of Section 409A provided under of Treasury Regulation
1.409A-1(b)(4) and 1.409A-l(b)(9)(iii), and (3) the Agreement Payments consisting of COBRA premiums also satisfy, to the greatest extent possible, the exemptions from the application of Section 409A provided under Treasury Regulation
1.409A-l(b)(9)(v). 
 Section 8.2 is amended and restated as follows: 

8.2 Stock Awards. At the closing of a Change in Control, your outstanding compensatory equity awards shall become vested and
exercisable with respect to fifty percent (50%) of your then-unvested shares of the Company’s common stock subject thereto. In addition, in the event that within twelve (12) months following a Change in Control, the Company terminates
your employment without Cause (as defined above) and other than as a result of your death or disability, or you resign for Good Reason (as defined above) (a “Change in Control Termination”), any remaining unvested portion of all
compensatory equity awards held by you shall have the vesting accelerated such that all awards are fully vested and exercisable as of the date of the Change in Control Termination (the “Acceleration”). As a precondition of receiving the
Acceleration, you must first sign and make effective on or after the termination date a full, general release of claims in favor of the Company within forty-five (45) days after the termination date in a form acceptable to the Company
containing the language set forth in the Release Agreement attached hereto as Exhibit C. 
 Section 8.3 is amended and restated as
follows: 
 8.3 Parachute Payments After the Listing Date. 

(a) After the Listing Date (as defined below), if any payment or distribution in the nature of compensation (within the meaning
of Section 280G(b)(2) of the Code) to you or for your benefit, whether under this letter agreement or otherwise (a “Payment”), would be subject to the excise tax imposed by Section 4999 of the Internal Revenue Code of 1986, as
amended (the “Code”) (together with any interest or penalties imposed with respect to such excise tax, the “Excise Tax”), then you will be entitled to receive from the Company an


  
  

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 Charles A. McWherter 
 Page 4 
  

 
additional payment (the “Gross-Up Payment”) in an amount equal to (i) all Excise Taxes (including any interest or penalties imposed with respect to such taxes) on the Payment (the
“First Reimbursement Payment”), (ii) all federal, state and local income taxes and employment taxes on the First Reimbursement Payment, and (iii) all Excise Taxes (including any interest or penalties imposed with respect to such
taxes) on the First Reimbursement Payment. For purposes of this provision, the term “Listing Date” means the date of the sale of the Company’s securities to the general public pursuant to an initial public offering under a
Registration Statement filed with and declared effective by the U.S. Securities and Exchange Commission under the Securities Act of 1933, as amended. 
 (b) All determinations required to be made under this Section 8.3 including whether and when a Gross-Up Payment is required and the amount of such Gross-Up Payment and the assumptions to be
utilized in arriving at such determination, shall be made by the nationally recognized certified public tax accounting firm used by the Company or, if such firm declines to serve, such other nationally recognized certified public tax accounting firm
as you may designate (the “Accounting Firm”). The Accounting Firm may make reasonable assumptions and approximations concerning applicable taxes and may rely on reasonable, good-faith interpretations concerning the application of Sections
280G and 4999 of the Code. The Accounting Firm shall provide its calculations, together with detailed supporting documentation, to the Company and you within thirty (30) calendar days after the date on which your right to a Payment is triggered
(if requested at that time by the Company or you) and/or at such other times as requested by the Company or you. If the Accounting Firm determines that no Excise Tax is payable with respect to a Payment, it shall furnish the Company and you with an
opinion reasonably acceptable to you that no Excise Tax will be imposed with respect to such Payment. If the Accounting Firm determines that an Excise Tax is payable with respect to a Payment, it shall furnish to the Company and you an opinion
reasonably acceptable to you of the amount of Excise Tax payable with respect to the Payments and the amount of Gross-Up Payment due to you. The Company will pay the Gross-Up Payment to you within thirty (30) days of the date the Company
receives the Accounting Firm’s opinion, but in no event later than the end of your tax year following your tax year in which you pay the Excise Tax. The Company shall bear all reasonable expenses with respect to the determinations by the
Accounting Firm required to be made hereunder. Any determination by the Accounting Firm shall be binding upon the Company and you. 

  
  

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 Charles A. McWherter 
 Page 5 
  

 To indicate your agreement to this Amendment, please sign and date this Amendment in the space provided
below and return it to me. 
  

			
	Sincerely,
	
	Metabolex, Inc.
		
	By:	 	 /s/ Harold Van Wart

		 	Harold Van Wart
		 	 Chief Executive Officer


  

					
	Accepted and agreed:	 		 	
			
	 /s/ Charles A. McWherter
	 		 	October 15, 2007
	CHARLES A. MCWHERTER	 		 	DATE


  
  

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 Exhibit A 
 RELOCATION EXPENSE POLICY FOR NEW AND TRANSFERRED EMPLOYEES 
 Objective: 

To provide reimbursement of the ordinary standard and routine costs as a result of relocation at the Company’s request. 

Most reasonable expenses qualify for reimbursement. However, the policy is not intended to provide full reimbursement for each and every item of expense
that may be incurred. Because of certain expenses that may arise out of personal preference or due to unusual circumstances, the employee should not assume that this policy would cover all expenses resulting from the relocation. Only the expenses
outlined in this policy are reimbursable or subject to financial assistance. Substitution of expenses will not be reimbursed unless specifically outlined and agreed to in advance. 
 Periodically, the Company will review this policy to determine adequate levels of expense allowance for fair and equitable treatment of employees who are required to move. 

Administration of the relocation expense policy is the responsibility of Human Resources. 
 Eligibility: 
 The policy provisions apply to: 

 

	 	A.	Salaried employees who are being transferred permanently at the Company’s request 


 

	 	B.	New salaried hires 

 To qualify for assistance,
the employee must exercise the provisions of the policy within six months of the effective date of the transfer or date of employment. 

Employees to be relocated should be informed of this policy immediately upon notification of their employment offer or their transfer to prevent any
misunderstanding of its contents. 
 Employees choosing to move themselves and not utilize the services of the Company sponsored mover, will
be reimbursed for 50% of the mover’s estimate and will receive reimbursement for motel accommodations not to exceed 5 days. Reasonable meal and gasoline expenses will also be reimbursed for 5 days. 

To receive reimbursement expenses, the employee’s move must meet the IRS 35-mile distance test. To meet this test, the distance between the
employee’s new job location and the employee’s former home is at least 35 miles more than the distance between the employee’s old job location and the employee’s former home. 

Covered Expenses: 
  

	 	A.	House hunting 

 The
Company will reimburse the expenses for the employee and the employee’s spouse for a maximum of 2 trips not to exceed a total of 7 days per trip for the purpose of selecting a new residence. Reimbursement will include reasonable expenses for
travel (coach air fare), lodging, meals and rental car including fuel. Additional house hunting trips are subject to company approval. 








	 	B.	Moving of Household Goods 


Employees are required to utilize the services of moving companies as designated by the Company. Currently, Metabolex has a special
arrangement with NorCal Van Lines. NorCal Van Lines, after a visual inspection of the employee’s belongings, will provide Human Resources with a written estimate of expenses. A letter of authorization will be sent by the Human Resources
Department to the mover authorizing their services and the payment of their expenses directly by the Company. After this authorization, the employee is responsible for contacting the moving company to set a moving date. 

Costs paid by the Company include: 
  

	 	a)	Packing 

  

	 	b)	Transportation 

  

	 	c)	Insurance of up to $75,000 on items being shipped 

  

	 	d)	Transporting a maximum of one employee car. 

 The Company will not pay to move unusual or large items such as large boats, children’s outdoor play sets, firewood, animals other than household pets, perishable plants, and items of extraordinary
value requiring special handling, crating, etc. The Company also will not reimburse for tips given to the movers. 
 The Company
will pay storage charges on the employee’s household effects for limited periods, generally not to exceed three months. Extensions beyond this limit require the prior written approval of the Vice President of Human Resources. 

 

	 	C.	The Company will pay for temporary living expenses for the employee only at the new location generally for a period not to exceed three months. Extensions beyond this
limit require the prior written approval of the VP of Human Resources. Covered expenses include the cost of lodging, meals, laundry, phone calls and transportation. Human Resources will make temporary living arrangements and reservations.


 In most cases, it is expected that the move of the employee to the new location will coincide with the
availability of permanent living quarters upon arrival. 
  

	 	D.	Real Estate—Disposal of Accommodations: 

 1. Rental Costs—If an employee is renting at the time of his/her transfer, the reasonable net cost of canceling the lease will be borne by the Company, normally not to exceed two months rent.
Reimbursable costs include security or deposits forfeited under the lease terms; additional rental payments to effect cancellation, necessary legal fees and agency costs to locate sublease tenants. Written release should be obtained from leave
obligations. 
 2. Sale of home at Old Location—The Company will not pay expenses attributable to the sale of the
employee’s residence. 
  

	 	E.	Home Purchase—Old Residence: 

 At this time, the Company does not assist in purchasing the employee’s old residence. 

  
 2 









	 	F.	Real Estate—Requiring New Accommodations: 

 1. Rental Accommodations—Reasonable fees and other related direct costs (excluding security deposit) in arranging to rent a residence at the new location would be reimbursed by the Company. The
employee is urged to incorporate relocation or sublease clauses in the lease. 
 2. Purchase of Home at New Location—If the
employee owned a home at the old location and purchases a home at the new location upon being transferred, or within six months thereafter, the Company will pay the following reasonable expenses: 

 

	 	a.	Appraisal fees (if required) 

  

	 	b.	Abstracts 

  

	 	c.	Escrow fees 

  

	 	d.	Recording fees 

  

	 	e.	Notary fees 

  

	 	f.	Title insurance 

  

	 	g.	Engineering inspection to determine the physical condition of home 

 Documentation for these items must be submitted with a Relocation Expense Report. 

Closing costs can be requested in advance by submitting a Relocation Expense Report with attached documentation outlining the estimated
costs for closing. After closing, the employee must submit a settlement statement to Human Resources to reconcile final closing costs differences. 
  

	 	G.	Resettlement Allowance: 


An allowance of $3,000 (subject to all applicable taxes) is provided to assist with miscellaneous household move expenses not specifically
covered by this policy. This allowance will be initiated within the employee’s first pay period. 
  

	 	H.	Tax Relief: 

 Tax laws
require moving expenses reimbursed to or paid on behalf of employees to be included in the employee’s income as compensation and reported on the employee’s form W-2. The reimbursement will increase the employee’s tax liability to the
extent moving expenses are nondeductible. 
 To compensate for this, the Company will gross-up the reimbursement of the
nondeductible portion of covered expenses to cover Federal income tax, state income tax and FICA tax (when appropriate). The gross-up calculation will be made using the employee’s annualized wage income and assuming average itemized deductions,
as provided by the IRS. Because of possible wide variations in the tax situation of individual employees, the tax determined by Metabolex may or may not closely approximate the employee’s actual taxes resulting from the reimbursement.

 Tax gross-up will be included in the employee’s income as compensation and reported on the employee’s form W-2. The
tax gross-up will also be shown as tax withheld on the form W-2 and paid to the appropriate taxing jurisdictions. 

  
 3 








 The Accounting Department will determine the amount of relocation reimbursement provided
each employee annually and will use this information to compute the appropriate gross-up. A copy of the gross-up calculation form is attached. 

This policy represents the normal reimbursable expenses connected with relocation. The Company reserves the right to make any exceptions or modifications
to the policy that it deems necessary or appropriate for the management of the business. 

  
 4 








 MOVING EXPENSE REIMBURSEMENT 

TAX GROSS-UP CALCULATION 
  

													
	Employee Name: 	 	  
	 	SS#: 	 	  
	 		  	
			
	Homeowner:                         
     Renter:                     	 	Marital Status (S-M):                     	  	

  

									
	 	  	 	  	Tax Liability Calculation
Taxable Relocation	  	Expense	  	Gross-up
	 	  	 	  	$	  	$	  	$
	 1.
	  	 Annualized Earnings
 (Base
Monthly Salary X 12 plus Bonus-only if paid)
	  		  		  	
		  		  	  
	  	  
	  	
	 2.
	  	Taxable Annual Earnings	  		  		  	
		  		  	  
	  	  
	  	
	 3.
	  	 Taxable Relocation Reimbursement
 (Total relocation reimbursement less deductible relocation expenses
	  		  		  	
		  		  	  
	  	  
	  	
	 4.
	  	 Income Subject to Tax
 (Line
2 + Line 3)
	  		  		  	
		  		  	  
	  	  
	  	
	 5.
	  	State & Local Tax Due	  		  		  	
		  		  	  
	  	  
	  	
	 6.
	  	 Federal Income Tax Due

((Line 4-Line 5) X tax table)
	  		  		  	
		  		  	  
	  	  
	  	
	 7.
	  	 Total Tax Due
 (Line 5 +
Line 6)
	  		  		  	
		  		  	  
	  	  
	  	
	 8.
	  	 Gross-up Required
 (Line 7,
Col. 2—Col. 1)
	  		  		  	
		  		  		  		  	  



  
 5 








 Exhibit B 
 Metabolex, Inc. 
 3876 Bay Center Place 

Hayward, CA 94545-3619 
 Phone 510 293-8800        Fax 510 293-9090 

AGREEMENT REGARDING CONFIDENTIAL 
 INFORMATION AND INVENTIONS 
 THIS AGREEMENT is between Metabolex, Inc. a Delaware
Corporation (“the Company”), and Charles McWherter, Ph.D. (the “Employee”). 
 PURPOSE OF AGREEMENT

 I want to be employed by the Company, and the Company wants to employ me pursuant to the terms set forth in the (i.e., offer
letter or Employment Agreement or whatever) provided that, in so doing, it can protect its trade secrets and inventions, ideas, information, business, and good will. 
 In consideration of this purpose, and the mutual promises in this Agreement, I agree with the Company as follows: 
 1. Term 
 (a) My employment with the Company is an at-will relationship that
may be terminated by either the Company or me with or without cause for any reason whatsoever at any time upon notice to the other party. 
 (b) If my employment is terminated for any reason, I will be entitled only to the compensation earned by me as of the date of termination, (including accrued vacation pay). If I have received any stock
options from the Company, I am entitled to retain only those options which have actually vested by the date of my termination. 

2. Confidential Information. I will hold in confidence and use only for the benefit of the Company during the term of my employment
and for five years after the termination of my employment all Confidential Information of the Company, its Affiliates, and all Confidential Information of companies or persons other than the Company given to the Company under an agreement
prohibiting its disclosure. “Confidential Information” refers to valuable technical or business information that is not known by the public. By way of example, Confidential Information may include, but is not limited to information
relating to: inventions or products, including unannounced products; research and development activities; the identities of suppliers; costs, formulas, budgets, requirements and specifications of specific customers and potential customers; nonpublic
financial information; and quotations or proposals given to customers. 
  
 



 
 September 3, 1999 

  
 1 








 These restrictions on disclosure do not apply if the information is or becomes publicly
known through no wrongful act on my part or the information is explicitly approved for release under such circumstances by an officer of the Company. 
 3. Disclosure and Assignment of Inventions. I will promptly disclose and assign to the Company my entire right, title and interest in all inventions. “Inventions” refer to (a) all
technical or business innovations, whether or not patentable or copyrightable, made by me during the term in my employment; and (b) all technical or business innovations, whether or not patentable, based upon the Company’s Confidential
Information and made by me after leaving the Company’s employ. I will keep adequate written records of all inventions made by me, such as notebooks, sketches, program listings and the like, which are the property of the Company. Notwithstanding
the foregoing, I understand that pursuant to California Labor Code Section 2870, I am not required to assign to the Company, although I must disclose, any inventions: (a) for which no equipment, supplies, facilities or Confidential
Information of the Company were used and which was developed entirely on my own time; (b) which at the time of conception or reduction to practice did not relate directly to the business of the Company or the Company’s actual or
demonstrable anticipated research or development; (c) which do not result from any work I performed for the Company. The disclosure of such inventions must be made so that the parties can make a determination whether such inventions do in fact
quality for exclusion from assignment to the Company. The Company will keep confidential any such information I disclose. I will take all steps necessary to assist the Company in securing any patents, copyrights or other protection for inventions
which I am required to assign to the Company as provided above. If I am unable or unwilling, whether during my employment or after termination, to sign any papers needed to apply for or pursue any patent or copyright registrations for inventions, I
agree that the Company is my attorney-in-fact for that purpose and can sign such papers as my agent and take any other actions necessary to pursue these registrations. 
 4. List of Inventions I Own. I have attached as Exhibit A a list of inventions I own, which is a complete list of all technical or business innovations I own either alone or jointly with others on
the date of this Agreement. I agree that I will not incorporate any of these prior inventions into products being developed for the Company without the prior knowledge and written consent of the Company. Should the Company wish to use any of
inventions in its business, the Company will negotiate with me for a purchase of license to use such invention on mutually agreeable terms. If no such list is attached, or if no such inventions are listed thereon, I represent that I do not own any
inventions at the time of signing this Agreement. 
 5. Tangible Materials. All tangible materials that incorporate
Confidential Information are the Company’s property, and I will return to the Company all of these materials and any other documents and materials which are the property of the Company, including but not limited all notes of any research or
other work which I have performed for the Company and all biological materials created, used or held by me in the course of my work for the Company, at the termination of my employment or earlier upon the Company’s request. 

6. Solicitation of Employees. I understand that information about the Company’s employees, such as their skills, performance
ratings, and salary histories, constitutes Confidential Information owned by the Company. I agree that during and for a period of twelve (12) months 

  
 



 
 September 3, 1999 
 2 








 
after termination of my employment for any reason, I will not, either directly or indirectly, solicit, induce, recruit or encourage any of the Company’s employees to leave their employment,
or take away such employees, or attempt to do any of these things, whether on my own behalf or on behalf of any other person, since to do so would necessarily involve using Confidential Information. 

7. Termination. In the event of termination of my employment for any reason, I agree that, as requested by the Company, I will sign
and deliver a “Termination Certification” in the form attached to this Agreement as Exhibit B. I also agree that the Company may give notice to my new employer of my duties under this Agreement. 

8. Duty of Loyalty. During my employment with the Company, I will not engage in any business activity (either for my own profit or
for anyone else) that competes with the Company’s business. 
 9. Duties to Third Parties. I represent that, to the
best of my knowledge, compliance with the terms of this Agreement will not violate any duty that I may have to anyone other than the Company (such as a former employer) to keep such person’s proprietary information in confidence or to refrain
from using the person’s patents or copyrights. If at any time during my employment with the Company, I am asked by the Company to perform work which I believe may cause me to violate a duty I have to someone other than the Company, I will
immediately inform an officer of the Company so that an assessment of the situation may be made. I also agree that I will not, during my employment with the Company, bring onto the Company’s premises, use or disclose to the Company any
proprietary information or trade secrets of any former employer or any other person without that person’s consent. 
 10.
Miscellaneous. This is the only agreement between the Company and myself about confidential information and the ownership of inventions, and may not be modified, amended or terminated, in whole or in part, except in a writing signed by me and
by an officer of the Company. Any later change in my title, compensation or duties will not affect this Agreement. This Agreement will survive termination of my employment for any reason, and will continue for the benefit of and will be binding upon
the successors, assigns, heirs and legal representatives of the Company and myself. Any waiver by the Company of a breach by me of any of the obligations of this Agreement will not operate or be construed as a waiver of any other or subsequent
breach by me. In the event any provision of this Agreement is held to be invalid, void or unenforceable, the remaining provisions will nevertheless continue in full force and effect without being impaired or invalidated in any way. The prevailing
party in any legal action brought by one party against the other and arising out of this Agreement shall be entitled, in addition to any other rights and remedies it may have, to reimbursement for its expenses, including court costs and reasonable
attorney’s fees. This Agreement will be governed by the laws of the State of California governing contracts between residents to be performed in the State of California. 

  
 



 
 September 3, 1999 
 3 









									
	Metabolex, Inc.	 		 	Employee
					
	By:	 	 /s/ Harold Van Wart     
	 		 	By:	 	 /s/ Charles A. McWherter

		 	Harold Van Wart	 		 		 	Signature
		 	Chief Executive Officer	 		 		 	
					
		 	6/14/2007	 		 		 	Charles A. McWherter
		 	Date	 		 		 	Employee Name
					
		 		 		 		 	 6/14/2007

		 		 		 		 	Date


  
 



 
 September 3, 1999 
 4 








 EXHIBIT B 
 Termination Certificate 
 This is to certify that I do not have in my possession,
nor have I failed to return, any devices, records, data, notes, reports, proposals, lists, equipment, computer programs or listings, other documents or property or any reproductions of any of these materials belonging to Metabolex, Inc., a Delaware
corporation, its subsidiaries, successors or assigns (collectively, the “Company”). 
 I further certify that I have
complied with all the terms of the Company’s Agreement regarding Confidential Information and Inventions signed by me, including the reporting of any inventions and original works of authorship (as defined in that Agreement) conceived or made
by me (solely or jointly with others) covered by that agreement. 
 I further agree that, in compliance with the Agreement
regarding Confidential Information and Inventions, I will preserve as confidential all trade secrets, confidential knowledge, data or other proprietary information relating to inventions or products, including but not limited to unannounced
products, research and development activities, requirements and specifications of specific customers and potential customers, the identities of suppliers, costs, formulas, budgets, nonpublic financial information, and quotations or proposals given
to customers, including any information disclosed to the Company in confidence by any third party. 
 I further agree that for
twelve (12) months from this date, I will not directly or indirectly solicit, induce, recruit or encourage any of the Company’s employees to leave their employment. 

 

	
	 
	Signature
	
	 
	Printed Name
	
	 
	Date



  
 



 
 September 3, 1999 
 5 








 EXHIBIT A 
 List of Inventions I Own (see para. 4.) 

  
 



 
 September 3, 1999 
 6 








 EXHIBIT C 

RELEASE AGREEMENT 
 (To be signed on or after the Separation Date) 
 I understand that my
employment with Metabolex, Inc. (the “Company”) terminated effective
                            ,          (the
“Separation Date”). The Company has agreed that if I choose to sign this Release Agreement (“Release”), the Company will provide certain severance benefits (minus the required withholdings and deductions) pursuant to the terms of
the employment agreement dated                          (as amended, the “letter agreement”). I understand that
I am not entitled to such severance benefits unless I sign this Release, and it becomes fully effective. 
 I understand that
this Release, together with the letter agreement, constitutes the complete, final and exclusive embodiment of the entire agreement between the Company and me with regard to the subject matter hereof. I am not relying on any promise or representation
by the Company that is not expressly stated therein. 
 I hereby confirm my obligations under my Employee Agreement on
Confidential Information and Inventions with the Company. 
 I hereby represent that I have been paid all compensation owed and
for all hours worked, have received all the leave and leave benefits and protections for which I am eligible, pursuant to the Family and Medical Leave Act or otherwise, and have not suffered any on-the-job injury for which I have not already filed a
claim. 
 In exchange for the consideration provided to me by this Release that I am not otherwise entitled to receive, I hereby
generally and completely release Company and its current and former directors, officers, employees, shareholders, partners, agents, attorneys, predecessors, successors, parent and subsidiary entities, insurers, affiliates, and assigns from any and
all claims, liabilities and obligations, both known and unknown, that arise out of or are in any way related to events, acts, conduct, or omissions occurring prior to my signing this Release. This general release includes, but is not limited to:
(a) all claims arising out of or in any way related to my employment with the Company or the termination of that employment; (b) all claims related to my compensation or benefits from the Company, including salary, bonuses, commissions,
vacation pay, expense reimbursements, severance pay, fringe benefits, stock, stock options, or any other ownership interests in the Company; (c) all claims for breach of contract, wrongful termination, and breach of the implied covenant of good
faith and fair dealing; (d) all tort claims, including claims for fraud, defamation, emotional distress, and discharge in violation of public policy; and (e) all federal, state, and local statutory claims, including claims for
discrimination, harassment, retaliation, attorneys’ fees, or other claims arising under the federal Civil Rights Act of 1964 (as amended), the federal Americans with Disabilities Act of 1990, the federal Age Discrimination in Employment Act of
1967 (as amended) (“ADEA”), and the California Fair Employment and Housing Act (as amended). Nothing in this Release shall prevent me from challenging this Release by filing, cooperating with, or participating in any
proceeding before the 

  
  

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Equal Employment Opportunity Commission, the Department of Labor, or the California Department of Fair Employment and Housing, except that I hereby acknowledge and agree that I shall not recover
any monetary benefits in connection with any challenge to my Release. 
 I acknowledge that I am knowingly and voluntarily
waiving and releasing any rights I may have under the ADEA (“ADEA Waiver”). I also acknowledge that the consideration given for the ADEA Waiver is in addition to anything of value to which I was already entitled. I further
acknowledge that I have been advised by this writing, as required by the ADEA, that: (a) my ADEA Waiver does not apply to any rights or claims that arise after the date I sign this Release; (b) I should consult with an attorney prior to
signing this Release; (c) I have twenty-one (21) days to consider this Release (although I may choose to voluntarily sign it sooner); (d) I have seven (7) days following the date I sign this Release to revoke the ADEA Waiver; and
(e) the ADEA Waiver will not be effective until the date upon which the revocation period has expired unexercised, which will be the eighth day after I sign this Release. 
 I acknowledge that I have read and understand Section 1542 of the California Civil Code which reads as follows: “A general release does not extend to claims which the creditor does not know
or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the debtor.” I hereby expressly waive and relinquish all rights and benefits
under that section and any law of any jurisdiction of similar effect with respect to my release of any claims hereunder. 
 I
acknowledge that to become effective, I must sign and return this Release to the Company so that it is received not later than twenty-one (21) days following the date it is provided to me. 

I accept and agree to the terms and conditions stated above: 
  

					
	 	 		 	  

	Date	 		 	Charles A. McWherter


  
  

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