# Exhibit 10.20

Confidential Materials omitted and filed separately with the
Securities and Exchange Commission. Asterisks denote omissions.

# Iomega 2004
2ndHalf Profit Sharing and IBP Program

Background for Plan Revisions

- Historically, IBP and Profit Sharing plans at IOM have been based at least
partially on profit and earnings results.
- For the second half of
Fiscal Year 2004, the Board of Directors has recognized the need to provide
 an incentive to key employees to facilitate the goal to return the Company to
profitability and to bring focus to the Companys new product, the REV
drive.
- The Board of Directors further recognized:

contractual agreements with many employees to provide bonus metrics each fiscal year, andPotential employee
retention & morale improvements related to a bonus incentive opportunity and
unified corporate goals.
- contractual agreements with many employees to provide bonus metrics each fiscal year, and
- Potential employee
retention & morale improvements related to a bonus incentive opportunity and
unified corporate goals.

2004 2nd Half Plan

- A single, simplified worldwide plan for all employees has been adopted:
There is no separate IBP/Profit Sharing or Regional/Corporate metrics, andthe Plan is binary without slopes  there are two payout levels. If Payout
Level 1 is achieved, the bonus will be 100% of each individual
participants target over the six month period ending 12/31/04. If Payout
Level 2 is achieved, the bonus will be 200% of each individual
participants target over the six month period ending 12/31/04.
- There is no separate IBP/Profit Sharing or Regional/Corporate metrics, and
- the Plan is binary without slopes  there are two payout levels. If Payout
Level 1 is achieved, the bonus will be 100% of each individual
participants target over the six month period ending 12/31/04. If Payout
Level 2 is achieved, the bonus will be 200% of each individual
participants target over the six month period ending 12/31/04.
- Two key strategic metrics
have been established.

Profitability Metric:
[**][**]REV Product Metric:
REV performance to internal revenue goals.Pay out Level 1 is based on achieving [**]Pay out Level 2 is based on achieving [**]
- Profitability Metric:
[**][**]
- [**]
- [**]
- REV Product Metric:
REV performance to internal revenue goals.Pay out Level 1 is based on achieving [**]Pay out Level 2 is based on achieving [**]
- REV performance to internal revenue goals.
- Pay out Level 1 is based on achieving [**]
- Pay out Level 2 is based on achieving [**]
- The Profitability Metric must be achieved as a condition precedent to any bonus
 payout under the Plan.
- All bonus plan metrics exceed internal 2004 Operating Plan levels.
- Achieving plan metrics would finance bonus payouts.

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Administrative Details

- Individual participant
targets (as a percent of base salary) remain unchanged.
- The Plan is revised
for Fiscal Year 2004 year only.
- Payout calculations will
occur upon close of 2004 fiscal year; any payments would occur late January or
early February 2005.
- The Plan is binary, no partial or sloped
payouts without Compensation Committee approval.
- There is no regional or
corporate differentiation.
- Operating income calculations will exclude extraordinary events, as determined
by the sole discretion of the Compensation Committee.
- In the case of the circular impact of a bonus payout (i.e., achieve
Profitability Metric, so bonus is triggered, but paying bonus causes under
achievement) bonus will be paid if the other Plan metrics are met.
- REV product targets are
based on worldwide net recognized revenue.

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