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Exhibit 10.32

# COGNOSEMPLOYEE STOCK
PURCHASE PLANTERMS AND CONDITIONS

# (Amendment approved
by Cognos Board of Directors on May 10, 2002 approved by its Shareholders on July 2,
2002, andapproved by the TSX on September 4, 2002. Amendment approved by Cognos
Board of Directors on April 7, 2005 and approved by its Shareholders on June 23, 2005 and by the
TSX)

|1. |  | PURPOSE
|-- |  | -------

| | Participation
 in the Cognos Employee Stock Purchase Plan (the Plan) is being extended
to all full-time and part-time permanent employees of the Cognos group of companies (the
Corporation). An employee can enroll in the Plan at any time between December
1, 1993 and November 30, 2008. The Plan is intended to provide a further incentive for
employees to promote the best interests of the Corporation and an additional opportunity
to participate in its economic progress. The stock subject to this Plan shall be shares
of the Corporations authorized but unissued common stock, no par value. The
aggregate number of shares which may be issued pursuant to the Plan is 3,000,000
(1,500,000 pre-split common shares).
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|2. |  | PAYROLL
DEDUCTION
|-- |  | -----------------

| | Under
the Plan each participating employee (the Employee) can elect to have the
Corporation deduct an amount per pay period not to exceed 5% of his/her annual target
salary divided by the number of pay periods per year provided such amount is greater than
$10.00 per month. Commencing on December 1, 1993, the Corporation shall accumulate in its
general fund on behalf of each Employee the deductions made in each of the Corporations
fiscal quarters (a Purchase Period). An Employee may elect to change the
amount deducted at any time to become effective at the beginning of the next Purchase
Period.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|3. |  | DATE
OF ACQUISITION
|-- |  | -------------------

| | On
the first trading day after the end of each Purchase Period (the Date of Acquisition)
(i.e., March 1, 1994, June 1, 1994, September 1, 1994 and December 1, 1994 etc. through
to November 30, 2008) each Employees cumulative deductions shall be applied towards
the purchase of common shares of Cognos Incorporated (the Common Shares).
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|4. |  | PRICE
OF ACQUISITION
|-- |  | --------------------

| | The
purchase price per share shall be at a 10% discount from the lesser of the simple average
of the average of the high and low prices of the Common Shares on The Toronto Stock
Exchange (T.S.E.) on each of (a) the first five trading days of the Purchase Period or
(b) the last five trading days of the Purchase Period.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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|5. |  | RECORD
OF ACQUISITION
|-- |  | ---------------------

| | Within
one month after each Date of Acquisition, each Employee shall be furnished with a record
of the shares purchased, the purchase price per share, and the balance remaining in
his/her account along with the stock certificate covering the shares purchased. No
partial shares shall be issued. Amounts remaining in an Employees account which are
insufficient to purchase a whole share shall form the opening balance for the subsequent
Purchase Period.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|6. |  | TAX
CONSEQUENCES
|-- |  | ----------------

| | Because
the Plan is available to employees of all of the Cognos group of companies worldwide, no
attempt has been made to determine the many special provisions which could be applicable
to a particular situation. Employees should consult their own tax advisors to determine
the specific tax consequences to them.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|7. |  | TRANSFERABILITY
OF SHARES
|-- |  | -------------------------

| | The
Common Shares issued will be freely transferable on the T.S.E. and in the
over-the-counter market in the United States, subject to the requirement that any resales
by affiliates of the Corporation must be made pursuant to Rule 144 of the
United States Securities Act.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|8. |  | WITHDRAWAL
AND TERMINATION
|-- |  | --------------------------

| | An
employee may withdraw from the Plan at any time by providing written notice to the
attention of:
| | ---------------------------------------------------------------------------------------------------

The Corporate Secretary
Cognos Incorporated 
P.O. Box 9707 
3755 Riverside Drive
Ottawa, Ontario
K1G 4K9

| | Upon
withdrawal all deducted amounts which have not been applied to the purchase of shares
shall be returned to the Employee. No interest will be payable to any Employee in respect
of deductions made under the Plan.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Termination
of employment for whatever cause shall constitute withdrawal from the Plan. On
termination all outstanding deductions which have not been applied to the purchase of
shares shall be immediately returned to the Employee.
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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|9. |  | ADMINISTRATION
|-- |  | --------------

| | Rights
under the Plan are not transferable by an Employee to any other person. All funds
received by the Corporation under the Plan shall be included in the general fund of the
Corporation. This Plan will be administered by the Corporate Secretary whose decisions
with regard thereto shall be final and conclusive. The Plan shall be governed by the laws
of the Province of Ontario.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|10. |  | ELECTION
TO PARTICIPATE
|--- |  | -----------------------

| | In
order to participate in the Plan an employee must complete the attached Election to
Participate form by filling in the date deductions are to commence and the amount of
money per pay period which he/she desires to have withheld. The form must then be dated,
signed and returned to the Corporate Secretary.
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | If
you have any questions, please contact the Coordinator Shareholder Relations at the
Ottawa-Riverside office (738-1338 ext. 3392).
| | ------------------------------------------------------------------------------------------------------------------------------------

|11. |  | RESTRICTION
ON PURCHASES
|--- |  | ------------------------

| | No
employee of the Corporation may purchase Common Shares under the Plan that, together with
all of the Corporations previously established or proposed share compensation
arrangements, could result, at any time, in: (a)    the number of Common Shares purchased or
reserved for issuance to such persons exceeding ten per cent (10%) of the number of
Common Shares outstanding on a non-diluted basis at such time (outstanding issue);
(b)    the purchase or issue to such persons, within a one-year period, of more than ten per
cent (10%) of the outstanding issue of Common Shares; or (c)    the purchase or issue to any
one of such persons, within a one-year period, of more than five per cent of the
outstanding issue of Common Shares.The
foregoing limits will be adjusted to reflect any adjustments in the capital of the
Corporation.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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# ELECTION TO PARTICIPATE

|TO: |  | COGNOS
INCORPORATED and its subsidiaries and affiliates (the Corporation)
|--- |  | ---------------------------------------------------------------------------

I, the undersigned, acknowledge
having received and read the Cognos Employee Stock Purchase Plan (the Plan)
and agree to the terms contained therein. I hereby authorize the Corporation in
accordance with the terms of the Plan commencing , 200 to
withhold by way of payroll deduction:  per pay period.

(NOTE:    The amount indicated may not
exceed 5% of your target salary divided by the number of pay periods per year).

Unless given notice of any withdrawal
from the Plan, I further authorize and direct the Corporation on my behalf to apply the
proceeds from such deductions towards purchase of Common Shares of Cognos Incorporated on
the first trading day after the end of each Purchase Period.

I recognize and agree that purchase
of such shares is conditional upon my being a full-time employee of the Corporation at the
time of purchase. I acknowledge and agree that termination of employment for whatever
cause shall render my participation in the Plan null and void and all deductions made on
my behalf since the end of the fiscal quarter which preceded my termination shall be
returned to me in full.

| |  | Signature:     |  | _________________________________ | 
| |  | -------------- |  | --------------------------------- | 
| | 
| | 
| |  | Name:          |  | _________________________________ | 
| |  | (Please Print) |  |                                   | 
| | 
| |  | Date:          |  | _________________________________ | 
| | 
| |  | Home Address:  |  | _________________________________ | 
| | 
| |  |                |  | _________________________________ | 

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