Document:

Exhibit 10.18

Exhibit 10.18

SECOND AMENDMENT TO LEASE

This SECOND AMENDMENT TO LEASE (“Second Amendment”) is dated as of November 30, 2010 (“Second
Amendment Effective Date”), by and between 702/703 INVESTORS, LLC, a Delaware limited liability
company (“Landlord”), and OCLARO, INC., a Delaware corporation (successor-in-interest to New Focus,
Inc.) (“Tenant”).

RECITALS

A. Pursuant to that certain Lease dated December 23, 1999, as amended or modified by Addendum
No. 1 made a part thereto (“Original Lease”), by and between Silicon Valley Properties, LLC, a
Delaware limited liability company (“SVP”) and New Focus, Inc., a Delaware corporation (“New
Focus”), SVP leased to New Focus, and New Focus leased from SVP, certain premises, consisting of
approximately fifty-one thousand nine hundred eighty-five (51,985) square feet of gross leasable
area, the address of which is 2580 Junction Avenue, San Jose, California (“Original Premises”) and
more particularly described in the Original Lease. BRE/PCCP Orchard, L.L.C., a Delaware limited
liability company (“BRE/PCCP”) succeeded to the interest of SVP Regency in and to the Premises (and
the Project, as defined in the Original Lease) and as the “Landlord” under the Original Lease.

B. BRE/PCCP and New Focus entered into a First Amendment to Lease dated as of June 27, 2006
(the “First Amendment”), pursuant to which BRE/PCCP and New Focus amended the Original Lease to,
among other things, extend the Lease Term thereof and amend the amount of Base Rent to be paid by
New Focus to BRE/PCCP through the balance of the Lease Term, as extended. The Original Lease, as
amended by the First Amendment is referred to herein as the “Amended Lease”.

C. Landlord has succeeded to the interest of BRE/PCCP in and to the Premises (and the Project,
as defined in the Original Lease) and as the “Landlord” under the Amended Lease. Tenant hereby
acknowledges and agrees that Landlord has succeeded to the interest of BRE/PCCP as “Landlord” under
the Amended Lease.

D. Tenant has succeeded to the interest of New Focus as “Tenant” under the Amended Lease and
has assumed all of New Focus’ obligations under the Amended Lease. Landlord hereby acknowledges
and agrees that Tenant has succeeded to the interest of New Focus as Tenant under the Amended
Lease.

E. Commencing approximately February 1, 2011, Tenant desires to relocate its premises to a
portion of another building located with the Project (as defined in the Original Lease). Landlord
and Tenant desire to amend the Amended Lease to set forth the terms and conditions on which Tenant
will lease the New Premises (as defined in Section 2 below) and vacate and surrender the
Original Premises. Landlord and Tenant also desire to amend the Amended Lease to modify the amount
of Base Rent required to be paid by Tenant to Landlord under the Amended Lease, as amended hereby,
with respect to the Original Premises during the period of July 1, 2010 through and including the
Original Premises Expiration Date (as defined in Section 8 below).

F. Capitalized terms used in this Second Amendment shall have the meaning ascribed to such
terms in the Amended Lease unless otherwise defined in this Second Amendment.

 

 

 

NOW, THEREFORE, in consideration of the foregoing recitals and other consideration, the
sufficiency of which is hereby acknowledged, the parties hereto amend, modify and supplement the
Amended Lease as follows:

1. Base Monthly Rent. Commencing July 1, 2010 and ending on the Original Premises
Expiration Date (as defined in Section 8 below), Section K of the Summary of Basic Lease
Terms incorporated in the Original Lease, as amended by the First Amendment, is amended to provide
for the Base Monthly Rent with respect to the Original Premises only as follows:

Notwithstanding anything to the contrary contained in the Amended Lease, the Base Monthly Rent
for the period from July 1, 2010 through and including the Original Premises Expiration Date (as
defined in Section 8 below) shall be $31,191.00. Any Base Monthly Rent paid from July 1,
2010 through the date of the execution of this Second Amendment which is in excess of $31,191.00
shall be credited against payments of Base Monthly Rent next coming due under the Lease until such
amounts have been fully credited.

2. Lease of New Premises.

(a) Effective as of the New Premises Commencement Date referred to in Section 4 below,
Landlord hereby leases to Tenant, and Tenant hereby leases from Landlord, certain premises,
consisting of approximately fifty-two thousand one hundred sixty-four (52,164) square feet of gross
leasable area, as more particularly shown on the floor plan attached hereto as Exhibit A
(“New Premises”). The New Premises is located in that certain building, consisting of approximately
eighty-three thousand one hundred seventy (83,170) square feet of gross leasable area, having a
street address of 2540 and 2560 Junction Avenue, San Jose, California (the “New Building”), and
identified as Building B on the site plan attached as Exhibit A to the Original Lease. The New
Premises is sometimes referred to as 2560 Junction Avenue, San Jose, California. Prior to the
Second Amendment Effective Date, Tenant verified to its satisfaction the actual gross leasable area
of the New Premises and the New Building. Landlord and Tenant have agreed to use the square
footage numbers set forth in this Second Amendment for the New Premises and the New Building as the
basis for calculating New Premises Base Rent (as described in Section 5 below) and the
Tenant’s Share (as described in Section 6 below) with respect to Tenant’s lease of the New
Premises. The New Premises Base Rent and Additional Rent payable under the Amended Lease, as
amended by this Second Amendment, with respect to Tenant’s lease of the New Premises shall not be
subject to revision in the event the actual gross leasable area of the New Premises or the New
Building as of the New Premises Commencement Date is more or less that the numbers used as the
basis for calculation of New Premises Base Rent or Tenant’s Share, except as expressly provided in
Section 6 below, and in no event shall Landlord be subject to liability as the result
thereof. Except as expressly provided in this Second Amendment or to the extent in conflict with
or inconsistent with the terms and conditions of this Second Amendment, the lease of the New
Premises shall be subject to all of the terms and conditions contained in the Original Lease.

 

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(b) Early Entry. Immediately following the full execution of this Second Amendment,
Tenant and its approved vendors and/or contractors shall have the right to enter the New Premises
(i) to move Tenant’s furniture, furnishings, equipment and inventory in the New Premises, and (ii)
to install Tenant’s telephone and telecommunication wiring and cabling in the New Premises (and
perform the New Premises TIs, subject to Tenant’s compliance with the terms of the Section
3(i)8.(i) below and the last sentence of Section 3(i)1. below), provided that such entry or
performance of work shall not delay the completion of any work required to be performed by Landlord
to place the New Premises in the condition required by the first sentence of Section 3(a)
below. Any entry into the New Premises by Tenant, its agents, employees, vendors and/or
contractors prior to the New Premises Commencement Date shall be at the sole risk of Tenant, and
Tenant hereby releases Landlord, its agents, contractors, subcontractors and employees, from any
and all liability, cost, damage, lien, action, cause of action, judgment, expense, and claim for
injury (including bodily injury, death, or property damage) incurred or suffered by Tenant in or
about the New Premises during the performance of any work in the New Premises by Landlord or its
contractors or subcontractors prior to the New Premises Commencement Date in order to place the New
Premises in the condition required by the first sentence of Section 3(a) below (except to
the extent caused by Landlord’s gross negligence or willful misconduct). If Tenant or any of its
agents, employees, vendors or contractors enter the New Premises prior to the New Premises
Commencement Date as provided above, then such entry shall be upon all the terms and conditions of
the Amended Lease, as amended by this Second Amendment (including, without limitation, Tenant’s
obligations regarding indemnity and insurance), except that Tenant shall not be obligated to pay
New Premises Base Rent prior to the New Premises Commencement Date and shall not be obligated to
pay Tenant’s Share of Common Operating Expenses with respect to the New Premises only prior to the
New Premises Commencement Date. If Tenant or any of its agents, employees, vendors or contractors
intend to enter the New Premises prior to the New Premises Commencement Date, Tenant shall provide
(and cause its vendors and contractors to provide) Landlord with insurance certificates evidencing
that required insurance is being maintained. The preceding to the contrary notwithstanding, if any
work or other activities in the New Premises by Tenant or any of its agents, employees, vendors,
contractors or other representatives prior to the New Commencement Date would delay the completion
of the work to be performed by Landlord in order to place the New Premises in the condition
required by the terms of the first sentence of Section 3(a) below, Tenant shall, upon
Landlord’s request, cease, or cause to be ceased, such work or activities, as the case may be,
until such time that Tenant may resume its work or activities without so interfering with
Landlord’s or its contractors’ or subcontractors’ completion of the work required to be performed
by Landlord to place the New Premises in the condition required by the terms of the first sentence
of Section 3(a) below.

3. Condition of New Premises.

(a) Within ten (10) days following the full execution of this Second Amendment (the “Target
Delivery Date”), Landlord shall deliver the possession of New Premises to Tenant in its “as is,
where is” condition, and with all faults, except that Landlord shall cause all building systems
serving the New Premises, including, without limitation, the plumbing, electrical, heating,
ventilation and air conditioning systems serving the New Premises, to be in good working order and
condition as of the date possession of the New Premises is delivered to Tenant. Except with
respect to latent defects, by taking possession of the New Premises on the date the

 

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New Premises is actually delivered to Tenant (the “Actual Delivery
Date”), Tenant shall be deemed to have accepted the New Premises as being in the condition required
by the terms of the immediately preceding sentence and to have accepted the New Premises in its
condition existing as of the date Tenant takes possession of the New Premises, subject to all
applicable laws, covenants, conditions, restrictions, easements and other matters of public record
and the rules and regulations from time to time promulgated by Landlord governing the use of the
New Premises. Tenant acknowledges that (a) it has conducted, or had the opportunity to conduct,
all investigations, tests and studies concerning the New Premises that Tenant deems appropriate and
material to its decision to lease the New Premises, and (b) that it accepts the New Premises in its
“as is, where is” condition as of the date Tenant takes possession of the New Premises (subject to
latent defects (if any), Landlord satisfying its obligations under the first sentence of this
Section 3(a) above and Landlord’s representations contained in this Section 3(a)).
Tenant acknowledges that neither Landlord nor any of Landlord’s agents, employees, contractors,
brokers or other representatives has made any representation or warranty as to the suitability of
the New Premises for the conduct of Tenant’s business, the condition of the New Premises (except as
otherwise provided in the first sentence of this Section 3(a) or elsewhere in this
Section 3), or the use or occupancy which may be made thereof and Tenant has independently
investigated and is satisfied that the New Premises is suitable for Tenant’s intended use and that
the New Premises meets all governmental requirements for such intended use. Tenant does hereby
waive and disclaim any objection to, cause of action based upon, or claim that its obligations
hereunder should be reduced or limited because of the size or condition of the New Premises or the
New Building or the suitability of same for Tenant’s purposes, subject to latent defects (if any),
Landlord’s express obligations set forth in the first sentence of this Section and Landlord’s
representations contained in this Section 3. Tenant acknowledges and agrees that Landlord
shall not be obligated to construct or install any tenant improvements in the New Premises (but
Landlord shall be required to undertake such work, if any, as may be required to deliver the New
Premises to Tenant in the condition required by the terms of the first sentence of this Section
3(a)) or to provide Tenant with any tenant improvement allowance with respect to the New
Premises except as otherwise provided in Section 3(i) below. In connection with Tenant’s
lease of the New Premises, Landlord shall have no obligation to perform any work described in
Paragraph 2.2 of the Original Lease or in the Work Letter for Tenant Improvements attached as
Exhibit B to the Original Lease, as such Paragraph 2.2 and Exhibit B to the Original Lease shall
not apply to Tenant’s lease of the New Premises.

(b) Landlord warrants that, as of the date Landlord delivers possession of the New Premises to
Tenant, the New Premises shall be in broom clean and all building systems serving the New Premises
shall be in good working order and condition, and the New Premises shall, at Landlord’s sole cost,
be separately demised and separately metered for electricity (but not water) (the “Delivery
Condition”). If any non-compliance with such warranty set forth in the immediately preceding
sentence exists as of the date possession of the New Premises is delivered to Tenant, then Landlord
shall, as Tenant’s sole remedy for such non-compliance, promptly after receipt of written notice
from Tenant setting forth the nature of such non-compliance, cure or remedy the same at Landlord’s
sole cost; provided, however, if Tenant does not give Landlord written notice of such
non-compliance with such warranty on or before the date thirty (30) days following the execution of
this Second Amendment by Landlord and Tenant, then such warranty shall be deemed to have expired
and shall be of no further force or effect.

 

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(c) Landlord further warrants to Tenant that, as of the date of execution of this First
Amendment, Landlord has not received any written notice from any governmental entity or agency of
any uncured violation of any laws, statutes, ordinances, rules or regulations with respect to the
New Premises. If Landlord is in breach or default of the warranty set forth in the immediately
preceding sentence, then Landlord shall, as Tenant’s sole remedy for such breach or default, except
as otherwise provide in Section 3(f) below, promptly after receipt of written notice from
Tenant setting forth the nature of such breach or default, cure or remedy the same at Landlord’s
sole cost.

(d) Furthermore, throughout the New Premises Lease Term, Landlord shall, subject to the terms
of Paragraph 6.3 of the Original Lease and unless otherwise required by any law, ordinance, rule or
regulation, continue to maintain the aesthetic elements of the Project (or such applicable portion
of the Project owned by Landlord), such as fountains located thereon, in substantially the same
condition as exists as of the Effective Date hereof, ordinary wear and tear, casualty and
condemnation excepted.

(e) Tenant’s and its agents’, employees’, vendors’, contractors’ and subcontractors’ use
and/or occupancy of the Premises prior to the New Premises Commencement Date shall be upon all the
terms and conditions of the Amended Lease, as amended by this Second Amendment (including, without
limitation, Tenant’s obligations regarding indemnity and insurance), except that Tenant shall not
be obligated to pay New Premises Base Rent prior to the New Premises Commencement Date and shall
not be obligated to pay Tenant’s Share of Common Operating Expenses with respect to the New
Premises prior to the New Premises Commencement Date.

(f) Notwithstanding anything to the contrary contained herein or in the Amended Lease
including, without limitation, Section 5.3 of the Original Lease, if (1) (A) any violation(s) of
applicable Law with respect to the New Premises exists as of the Actual Delivery Date, (B) any
violation(s) of applicable Law (or code compliance requirement) with respect to the New Premises
(excluding therefrom the New Premises TIs and any other alterations, additions or improvements
constructed in the New Premises by or on behalf of Tenant) is triggered or caused by the
construction of the New Premises TIs and/or any other alterations, additions or improvements
constructed in the New Premises by or on behalf of Tenant during the period commencing on the
Actual Delivery Date and ending on the date six (6) months following the New Premises Term
Commencement Date (the “Compliance Period”) and/or (C) any violation(s) of applicable Law (or code
compliance requirement) with respect to the New Premises (excluding therefrom the New Premises TIs
and any other alterations, additions or improvements constructed in the New Premises by or on
behalf of Tenant) is triggered or caused by Tenant’s application(s) for any permit or governmental
approval made during the Compliance Period in connection with the New Premises TIs or any other
alterations, additions or improvements to be undertaken by or on behalf of Tenant in the New
Premises), and (2) at any time during the period commencing on the date this Second
Amendment is fully executed and ending on the expiration of the Compliance Period, any applicable
governmental authority or agency (A) requires that such violation be cured or remedied or code
compliance work undertaken with respect thereto, (B) will not permit Tenant to occupy any portion
of the New Premises until such violation is cured or remedied or code compliance work undertaken
with respect thereto or (C) refuses to

 

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issue
any permit or governmental approval to Tenant in connection with the construction of the New Premises TIs or any other alterations, additions
or improvements to be undertaken by or on behalf of Tenant in the New Premises until such violation
is cured or remedied or code compliance work undertaken with respect thereto, then Tenant agrees to
perform, or cause to be performed, such work required to cure such violation(s) or compliance work
or to allow Tenant to obtain such applicable permit or governmental approval or occupancy of the
New Premises as provided above within the time period(s) required by such governmental authority or
agency and in a good and workmanlike and lien-free manner and such work shall be subject to the
terms and conditions of the Amended Lease, as amended hereby (including, without limitation,
Paragraphs 5.2, 5.3 and 5.5 of the Original Lease). The costs incurred by Tenant in performing,
or causing to be performed, the work described in the immediately preceding sentence shall be borne
as follows: (X) Tenant shall bear the first Eighty-one Thousand Dollars ($81,000) of such costs
(“Tenant’s Maximum Contribution”); provided, however, (i) Tenant shall be responsible for 100% of
such costs if the improvements, alterations, additions or changes are required due to Tenant’s use
of the New Premises not permitted or in a manner not permitted under the Amended Lease, as modified
by this Second Amendment, or due to any breach of the Amended Lease, as amended hereby, by Tenant,
and (ii) if it is determined that Landlord breached its warranty set forth in Section 3(c) above,
then the provisions of the second sentence of Section 3(c) above shall apply except that Landlord
shall be responsible for reimbursing Tenant for Tenant’s reasonable costs incurred in remedying or
curing Landlord’s breach of such warranty; (Y) except as otherwise provided in clause (i) and (ii)
immediately above, to the extent that the costs reasonably incurred by Tenant in performing, or
causing to be performed, the work described in the immediately preceding sentence exceed Tenant’s
Maximum Contribution, Landlord shall be responsible for one hundred percent (100%) of such excess
costs (“Landlord’s Share of Costs”). Landlord shall pay Landlord’s Share of Costs within thirty
(30) days after Tenant delivers to Landlord reasonably detailed invoices relating to such costs.
If Landlord breaches its obligation to pay Landlord’s Share of Costs when required, Tenant shall
have the right to set off such delinquent amount of Landlord’s Share of Costs not paid by Landlord
against future payments of New Premises Base Rent and Additional Rent until Tenant is reimbursed
such delinquent amount in full. Any alterations, additions or changes to the New Premises made
pursuant to this Section 3(f) shall be made only by, or at the direction of, Tenant and
subject to the terms of this Section 3(f).

(g) Without limiting the provisions of Section 3(f) above, the parties hereto also
agree that if (1) (A) any violation(s) of applicable Law with respect to the New Premises exists as
of the Actual Delivery Date, (B) any violation(s) of applicable Law (or code compliance
requirement) with respect to the New Premises (excluding therefrom the New Premises TIs and any
other alterations, additions or improvements constructed in the New Premises by or on behalf of
Tenant) is triggered or caused by the construction of the New Premises TIs and/or any other
alterations, additions or improvements constructed in the New Premises by or on behalf of Tenant
during the Compliance Period and/or (C) any violation(s) of applicable Law (or code compliance
requirement) with respect to the New Premises (excluding therefrom the New Premises TIs and any
other alterations, additions or improvements constructed in the New Premises by or on behalf of
Tenant) is triggered or caused by Tenant’s application(s) for any permit or governmental approval
made during the Compliance Period in connection with the New Premises TIs or any other alterations,
additions or improvements to be undertaken by or on behalf of Tenant in the New Premises),
and (2) during the period commencing on the date this Second

 

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 Amendment is fully executed
and ending on the expiration of the Compliance Period, no applicable governmental authority or agency requires that such violation be cured or remedied
or code compliance work undertaken with respect thereto, then Tenant may, but shall not be
obligated hereunder to, during the Compliance Period, perform, or cause to be performed, such work
required to cure such violation(s) or compliance work in a good and workmanlike and lien-free
manner and such work shall be subject to the terms and conditions of the Amended Lease, as amended
hereby (including, without limitation, Paragraphs 5.2, 5.3 and 5.5 of the Original Lease). If
Tenant elects, in its sole and absolute discretion, to perform, or cause to be performed, during
the Compliance Period, any of the work required to cure such violation(s) or code compliance work
referred to in the immediately sentence, then the costs reasonably incurred by Tenant in
performing, or causing to be performed, such work during the Compliance Period only, shall be borne
by Tenant and Landlord in accordance with the cost allocation arrangement described in Section
3(f) above (and the last four sentences of Section 3(f) above shall apply with respect
to such cost allocation arrangement, except that, for purposes of this sentence, any references to
Section 3(f) in the last sentence of Section 3(f) shall instead be deemed
references to this Section 3(g)).

(h) Notwithstanding the foregoing, if any alterations or other improvements are required to
the New Premises by any applicable Law commencing on or after the date that is six (6) months after
the New Premises Commencement Date, such costs shall be Tenant’s responsibility as set forth in
Section 5.3 of the Original Lease (or, to the extent Section 5.4 of the Original Lease applies,
then Tenant shall pay, as Additional Rent, in accordance with the provisions of Section 5.4 of the
Original Lease, the amortized cost of such alterations or improvements required to be constructed
to comply with any Law).

(i) New Premises Allowance.

1. Landlord shall grant to Tenant an allowance (“New Premises Allowance”) in an amount not to
exceed Two Hundred Sixty Thousand Eight Hundred Twenty and 00/100 Dollars ($260,820.00) (which
equates to $5.00 per square foot of leasable area of the New Premises) to be used by Tenant, if at
all, to pay for the Work Cost (as defined below) incurred by Tenant in constructing or installing
general purpose interior leasehold improvements (approved by Landlord and Tenant) in the New
Premises (the “New Premises TIs”). For purposes of the immediately preceding sentence, the term
“general purpose interior leasehold improvements shall mean and refer to interior improvements
which may be of permanent improvement to the New Premises (e.g., permanent partitions; window, wall
and floor coverings; lighting and utility fixtures) and shall not mean and include special purpose
improvements needed by Tenant for the conduct of its business or which might not be a permanent
improvement to the New Premises (e.g., demountable partitions, special security requirements; or
trade fixtures, furniture or furnishings of Tenant). Any and all work performed by Tenant in
connection with the New Premises TIs shall be treated as Tenant’s Alterations to the New Premises
pursuant to Section Paragraph 5.2 of the Original Lease and shall be subject to Landlord’s prior
written consent and otherwise performed in accordance with all of the terms and conditions of the
Amended Lease, as amended hereby (including, without limitation, Paragraphs 5.2, 5.3 and 5.5 of the
Original Lease).

 

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2. If Landlord disburses all or any portion of the New Premises Allowance to Tenant, then (i)
such portion of the New Premises Allowance as is disbursed by Landlord to
Tenant, together with interest thereon at the annual rate of eight and one-half percent (8.5%)
per annum, shall be amortized over the then balance of the New Premises Lease Term and the monthly
New Premises Base Rent to be paid by Tenant under the Amended Lease, as amended by this Second
Amendment, following the disbursement of such applicable portion of the New Premises Allowance
shall be increased by such monthly amortized amount, and (ii) Landlord and Tenant each shall
execute an amendment(s) to the Amended Lease, as amended hereby, within ten (10) business days
following the date the same is presented to Tenant for execution by Landlord, reflecting the
increased New Premises Base Rent resulting from such amortization. Such amendment(s) to the
Amended Lease, as amended hereby shall be substantially in the form attached hereto as Exhibit
C.

3. If any portion of the New Premises Allowance remains undisbursed after December 31, 2011,
then Landlord shall have no liability whatsoever to Tenant for any undisbursed amounts of the New
Premises Allowance, Tenant shall not be entitled to any further disbursement of any remaining,
undisbursed portion of the New Premises Allowance and Tenant shall not be entitled to any reduction
in the amount of the New Premises Base Rent or Additional Rent payable by Tenant under the Amended
Lease, as amended by this Second Amendment; provided that if the reason any amounts remain
undisbursed is due to Landlord’s failure to disburse when required, Landlord shall remain obligated
to disburse such amounts.

4. Landlord shall not be obligated to make any disbursements of the New Premises Allowance to
or for the benefit of Tenant unless at the time of each request for disbursement, all of the
following conditions are satisfied: (i) such request shall be made not earlier than the New
Premises Commencement Date or later than the date that is ten (10) months following the New
Premises Commencement Date, and Tenant shall have waived its right to terminate this Second
Amendment as provided in Section 4 below (and if Tenant timely exercises its right to terminate
this Second Amendment pursuant to Section 4 below, then Landlord shall have no obligation to
disburse any portion of the New Premises Allowance to Tenant), (ii) there shall exist no condition,
event or act which would constitute an event of default under the Amended Lease, as amended by this
Second Amendment, (iii) the Amended Lease, as amended by this Second Amendment, shall be in full
force and effect, and (iv) Tenant shall have furnished to Landlord receipts, bills and releases of
lien rights (as provided below) covering work done and/or materials furnished in connection with
the construction of the New Premises TIs.

5. “Work Cost” means: (i) all design, architectural and engineering fees and consultant fees
incurred by Tenant and Landlord in connection with the preparation, review and approval of the
architectural plans and specifications related to the New Premises TIs; (ii) governmental agency
plan check, permit and other fees; (iii) sales and other taxes; (iv) Title 24 fees; (v) inspection
costs; and (vi) the actual costs and charges for material and labor and general contractor’s profit
and general overhead incurred by Tenant in connection with the construction of the New Premises
TIs.

 

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6. Prior to the commencement of construction or installation of the New Premises TIs, Tenant
shall deliver to Landlord an estimate of the total costs of designing and constructing the New
Premises TIs and a schedule of values and line item breakdown of such costs. Tenant may request
disbursements from the New Premises Allowance not more
frequently than once each month after the commencement of construction of the New Premises TIs
but Tenant shall not request any such disbursements after the tenth (10th) month of the
New Premises Lease Term or prior to the New Premises Commencement Date. Each request for
disbursement with respect to the design or construction of the New Premises TIs shall be
accompanied by: (i) a written request for disbursement itemizing each category of cost for work in
place for which payment is requested, in form and content reasonably acceptable to Landlord; (ii)
conditional lien releases, in a form and content reasonably satisfactory to Landlord, from all
persons and entities providing work or materials covered by such request; (iii) unconditional lien
releases from all persons or entities providing work or materials who were paid out of the prior
disbursement; and (iv) invoices, vouchers, statements, affidavits and/or other documents in a form
reasonably acceptable to Landlord which substantiate and justify the disbursement requested.
Within thirty (30) days after Landlord’s receipt of each fully completed disbursement request with
respect to the design or construction of the New Premises TIs, Landlord shall pay ninety percent
(90%) of the portion of the New Premises Allowance sought to be disbursed (or one hundred percent
(100%) of that amount if the Tenant has requested only ninety percent (90%) of the value of the
work completed) directly to the Tenant, or, in Landlord’s sole and absolute discretion, to the
general contractor and the subcontractors, laborers, or suppliers entitled thereto; provided,
however, Landlord reserves the right to reasonably disapprove some or all of the matters disclosed
by such disbursement request and to withhold the amounts relating to the disapproved matters from
the disbursement if Tenant has not otherwise complied with the requirements set forth in this
Section 3(i). The ten percent (10%) remaining after any of the above disbursements shall be paid
by Landlord within thirty-five (35) days after all of the following have occurred: (i) Tenant has
submitted a final request for disbursement in accordance with the procedure set forth in this
paragraph above, (ii) a notice of completion has been duly recorded with respect to the New
Premises TIs, and (iii) no lien claim shall have been recorded within the thirty (30) day period
following such recordation (or if there be a lien claim, such lien shall have been removed).
Landlord shall have no obligation to disburse any amounts from the New Premises Allowance after the
date twelve (12) months following the New Premises Commencement Date. Notwithstanding anything to
the contrary contained herein, in the event that Landlord breaches its obligation to pay to Tenant
any portion of the New Premises Allowance as set forth in this Second Amendment, and such breach
continues for a period of more than thirty (30) days following the date Landlord receives written
notice of such breach from Tenant, then Tenant shall be permitted to offset any such portion of the
New Premises Allowance with respect to which Landlord has breached its obligation to fund against
the New Premises Base Rent next coming due until such overdue amounts to which Landlord’s breach
applies have been completely offset.

7. Upon completion of the New Premises TIs, Tenant shall: (a) obtain and deliver to Landlord
a certificate of occupancy for the New Premises TIs work from the governmental agency having
jurisdiction thereof, if applicable; (b) make available to Landlord receipted invoices (or invoices
with canceled checks attached) from Tenant’s contractor showing evidence of full payment for such
portion of the New Premises TIs work as is shown on such invoices; (c) deliver to Landlord a full
set of reproducible as-built drawings for the New Premises TIs work to the extent applicable,
including, without limitation, architectural drawings, structural drawings, mechanical drawings,
including plumbing, fire sprinkler, electrical and life safety; (d) obtain and deliver to Landlord
the building permit or permits for the New Premises TIs work with final sign-off by the City of San
Jose; and (e) deliver to Landlord copies of all
written construction and equipment warranties related to the portions of the New Premises TIs
work involving building systems or those portions of the New Premises Landlord is required to
maintain or repair under the Amended Lease, as amended by this Second Amendment. Tenant shall make
such receipted invoices (or invoices with canceled checks attached) from Tenant’s general
contractor available to Landlord for a period of one (1) year following completion of the New
Premises TIs work.

 

9

 

8. Landlord agrees that Tenant shall not be obligated to remove any of the New Premises TIs
constructed or installed in the New Premises by Tenant pursuant to the terms above.

(j) Tenant shall, at its sole expense, be responsible for the securing of insurance by
Tenant’s general contractor and for the maintenance of same by Tenant’s general contractor until
completion and final acceptance of the New Premises TIs. Certificates of insurance affording
evidence of same shall be obtained from Tenant’s general contractor by the Tenant and delivered to
the Landlord prior to the commencement of any work with respect to the New Premises TIs by Tenant’s
general contractor or subcontractors. The required insurance coverage is as follows:

1. Worker’s Compensation and Employers’ Liability Insurance affording 30 days written notice
of cancellation to the general contractor. The Employers’ Liability minimum limits required are as
follows:

	 	 	 	 	 
	 

	 	Bodily Injury by accident
	 	$1,000,000 each accident
	 

	 	Bodily Injury by disease
	 	$1,000,000 policy limit
	 

	 	Bodily Injury by disease
	 	$1,000,000 each employee

2. Commercial General Liability Insurance on an occurrence basis for an amount of $2,000,000
each occurrence and including the following coverage:

(a) Premises and Operations coverage.

(b) Owners and Contractors Protective coverage.

(c) Products and Completed Operations coverage.

(d) Blanket Contractual coverage, including both oral and written contracts.

(e) Personal Injury coverage.

(f) Broad Form Property Damage coverage, including completed operations.

(g) An endorsement naming Landlord as additional insured.

(h) An endorsement affording 30 days written notice to Landlord in event of cancellation or
material reduction in coverage.

 

10

 

(i) An endorsement providing that such insurance as is afforded under the policy of Tenant’s
general contractor is primary insurance as respects Landlord and that any other insurance
maintained by Landlord is excess and noncontributing with the insurance required hereunder.

No endorsement limiting or excluding a required coverage is permitted. CLAIMS-MADE
COVERAGE IS NOT ACCEPTABLE.

3. Business Auto Liability Insurance for an amount of $1,000,000 combined single limit for
bodily injury and/or property damage liability including:

(a) Owned Autos,

(b) Hired or Borrowed Autos,

(c) Nonowned Autos, and

(d) An endorsement affording 30 days written notice of cancellation to Landlord in event of
cancellation or material reduction in coverage.

A certificate and endorsements affording evidence of the above requirements must be delivered
to Landlord before Tenant’s general contractor or any subcontractors performs any work at or
prepares or delivers materials to the New Premises with respect to any New Premises TIs. No such
work shall commence in or at the New Premises prior to the date Landlord delivers possession of the
New Premises to Tenant.

Tenant shall require its general contractor to require its subcontractors to provide insurance
where Tenant’s general contractor would be required to carry insurance under this insurance section
and to be responsible for obtaining the appropriate certificates or other evidence of insurance.

Tenant’s general contractor shall maintain all of the foregoing insurance coverage in force
until the New Premises TIs are fully completed and accepted except as to subsection 2(c) of this
Section 3(i) (Products and Completed Operation Coverage), which is to be maintained for one (1)
year following completion of the work and acceptance by Landlord and Tenant.

All insurance, except Workers’ Compensation, maintained by Tenant’s general contractor and its
subcontractors shall preclude subrogation claims by the insurer against anyone insured thereunder,
including, without limitation, Landlord.

The requirements for the foregoing insurance shall not derogate from the provisions for
indemnification of Landlord by Tenant under the “indemnity” provisions of Paragraph 10.3 of the
Original Lease.

If the Tenant fails to secure and maintain the required insurance from Tenant’s general
contractor, the Landlord shall have the right (without any obligation to do so, however), after
providing Tenant notice and five (5) days to cure, to secure the same in the name and for the
account of the Tenant’s general contractor in which event Tenant shall pay the cost thereof and
shall furnish upon demand, all information that may be required in connection therewith.
Further, such failure to secure and maintain the required insurance shall, after the expiration of
the applicable notice and cure periods, constitute a default by Tenant under the Amended Lease, as
amended by this Second Amendment, and Landlord shall be entitled to immediately have all work
related to the New Premises TIs cease.

 

11

 

4. New Premises Lease Term. The Lease Term with respect to the New Premises (“New
Premises Lease Term”) shall commence on the earlier of (i) February 1, 2011 or (ii) the date Tenant
commences operation of its business in any portion of the New Premises (such earlier date being the
“New Premises Commencement Date”) and shall expire, unless earlier terminated, at midnight on the
fifth anniversary of the New Premises Commencement Date (the “New Premises Expiration Date”). If
Landlord is unable to deliver possession of the New Premises to Tenant on or before the Target
Delivery Date, Landlord shall not be subject to any liability for its failure to do so, and such
failure shall not affect the validity of the Lease, nor the obligations of Tenant hereunder, but in
such event the date of February 1, 2011 referred to in the first sentence of this Section 4 shall
be extended by the number of days of delay in so delivering possession of the New Premises to
Tenant. Notwithstanding the foregoing, if Landlord has not delivered possession of the New
Premises to Tenant through no fault of Tenant or any of its agents, employees or contractors, by
December 30, 2010 (the “New Premises Delivery Deadline”), then Tenant may elect, as its sole and
exclusive remedy, to terminate this Second Amendment (but not the Original Lease, as amended the
First Amendment and Section 1 of this Second Amendment) as of the New Premises Delivery Deadline.
Tenant may exercise the foregoing termination right by giving Landlord written notice within ten
(10) days after the New Premises Delivery Deadline; provided, however, if Landlord gives Tenant
written notice that the New Premises are ready for delivery to Tenant within ten (10) days after
Landlord’s receipt of Tenant’s notice, Tenant’s notice shall be deemed ineffective and this Second
Amendment shall continue in full force and effect. Tenant’s failure to give Landlord written
notice of its intent to terminate this Second Amendment within ten (10) days after the New Premises
Delivery Deadline shall be deemed Tenant’s waiver of the termination right set forth in this
Section 4 above. If Tenant timely exercises its right to terminate this Second Amendment pursuant
to the terms of this Section 4 above, then all rights and obligations of the parties under this
Second Amendment shall cease except that, anything herein to the contrary notwithstanding
(including, without limitation, the provisions of Section 1 above), (i) the Amended Lease shall
remain in full force and effect (without regard to this Second Amendment) as to the Original
Premises, (ii) Tenant shall, at its sole cost, remove any special purpose improvements (as opposed
to general purpose office improvements) installed in the New Premises by Tenant or any of its
agents, employees, contractors or subcontractors and restore any damage caused by such removal and
(iii) the Base Monthly Rent payable by Tenant with respect to the Original Premises for the period
of July 1, 2010 through March 31, 2011 shall be $31,191.00 per month (and any Base Monthly Rent
paid by Tenant to Landlord for such period which is in excess of $31,191.00 shall be credited
against payments of Base Monthly Rent next coming due under the Amended Lease until such amounts
have been fully credited, or disbursed to Tenant within thirty (30) days after the expiration or
termination of the Lease Term if any credit remains at such time.

After the New Premises Commencement Date, Landlord and Tenant shall execute an acceptance
agreement in the form of Exhibit B attached to this Second Amendment, appropriately
completed. Tenant’s obligation to pay Base Monthly Rent and Additional Rent
with respect to Tenant’s lease of the New Premises in accordance with the terms of the Amended
Lease, as amended by this Second Amendment, shall not be excused or delayed because of Tenant’s
failure to execute such acceptance agreement.

 

12

 

5. Base Monthly Rent. Subject to this Section 5 below, commencing on the New
Premises Commencement Date, and continuing throughout the initial New Premises Lease Term, Tenant
shall pay Base Monthly Rent for the New Premises in the following amounts and in accordance with
the following schedule (“New Premises Base Rent”):

	 	 	 	 	 
	Lease Months During	 	 	 	Base Monthly
	New Premises Lease	 	Base Monthly	 	Rental Rate Per
	Term	 	Rent	 	Rentable Square Foot
	 
	01-03
	 	$0.00*	 	$0.00/RSF*
	04-12
	 	$22,191.00* and **	 	$0.60/RSF* and **
	13-24
	 	$33,906.60	 	$0.65/RSF
	25-36
	 	$36,514.80	 	$0.70/RSF
	37-48
	 	$39,123.00	 	$0.75/RSF
	49-60
	 	$41,731.20	 	$0.80/RSF

	 	 	 
	*	 	The New Premises Base Rent actually payable during the first twelve (12) months of the New
Premises Lease Term is $31,298.40 per month; provided, however, notwithstanding anything herein to
the contrary, so long as no Event of Tenant’s Default has occurred and is continuing under the
Amended Lease, as amended by this Second Amendment, Tenant shall be entitled to an abatement of
Base Monthly Rent with respect to the New Premises only in the amount of $31,298.40 per month for
the first three (3) months of the New Premises Lease Term and abatement of $9,107.40 per month for
the fourth (4th) through the twelfth (12th) months of the New Premises Lease
Term. The maximum total amount of Base Monthly Rent abated with respect to the New Premises in
accordance with the foregoing shall equal to $175,861.80 (the “Abated New Premises Base Rent”). If
Tenant defaults under the Amended Lease, as amended by this Second Amendment, and such default
results in a termination of the Amended Lease, as amended by this Second Amendment, then all
unamortized Abated New Premises Base Rent (i.e. based upon the amortization of the aggregate of the
Abated New Premises Base Rent in equal monthly amounts, without interest, during the period
commencing on the New Premises Commencement Date and ending on the expiration date of the New
Premises Lease Term) shall immediately become due and payable by Tenant without notice or demand
and Landlord shall be entitled to include such unamortized Abated New Premises Base Rent in the
amount of rentals that it is entitled to recover from Tenant under Paragraph 13.2.D. of the
Original Lease and under California Civil Code Section 1951.2 following the uncured default by
Tenant. During the conditional free rent or partially free rent periods referred to above, and
thereafter during the balance of the New Premises Lease Term, all Additional Rent, including,
without limitation, Tenant’s Share of Common Operating Expenses, shall be due and payable with
respect to the New Premises. Notwithstanding the phasing of Base Monthly Rent as provided in the
schedule above, Tenant shall pay Tenant’s Share of Common Operating Expenses with respect to the
entire New Premises (i.e. the entire approximately 52,164 square feet of gross leasable area of the
New Premises) throughout the New Premises Lease Term, as the same may be extended, commencing as of
the New Premises Commencement Date, in accordance with the terms of the Amended Lease, as amended
by this Second Amendment.

	 	 	 
	**	 	In consideration for Landlord not having to pay any commission or finder’s fee to any
broker or agent of Tenant in connection with this Second Amendment and/or Tenant’s lease of the New
Premises (as referred to in Section 12 below), Landlord agrees to credit the sum of
Sixty-Two Thousand Nine Hundred Nine and 78/100 Dollars ($62,909.78) against the Base Monthly Rent
payable by Tenant to Landlord for the fourth and fifth months and a portion of the sixth month
(i.e. $18,527.78 of the $62,909.78 shall be credited against the sixth months’ Base Rent) of the
New Premises Lease Term.

 

13

 

The Base Monthly Rent schedule set forth in Paragraph 2 of the First Amendment (which
amended Section K of the Summary comprising part of the Original Lease) shall not apply to the New
Premises.

6. Common Operating Expenses. During the New Premises Lease Term, Tenant shall pay to
Landlord, as Additional Rent, Tenant’s Share of Common Operating Expenses in accordance with all of
the terms and conditions set forth in the Original Lease, as amended hereby, relating to payment of
Common Operating Expenses, except that Tenant’s Share with respect to Tenant’s lease of the New
Premises shall be sixty-two and seventy-two one hundredths percent (62.72%) as to the New Building
and twenty and twenty-four one hundredths percent (20.24%) as to the Project.

7. Parking. From and after the New Premises Commencement Date, the number of
unreserved parking spaces which Tenant is entitled, but not obligated, to use under the Original
Lease, as amended by this Second Amendment, shall be one hundred ninety-three (193). Tenant’s
use of such parking spaces shall be subject to all of the terms and conditions set forth in the
Original Lease, as amended by this Second Amendment, and the rules and regulations in effect for
the Project from time to time.

8. Holdover, Vacation and Surrender of Original Premises. With respect to the
Original Premises only, the Amended Lease, as amended by Section 1 of this Second Amendment, shall
expire, unless earlier terminated, on the earlier of (i) the date thirty (30) days following the
New Premises Commencement Date, or (ii) the date Tenant vacates and surrenders possession of the
Original Premises to Landlord in the condition existing as of the date this Second Amendment is
fully executed, ordinary wear and tear excepted (and Tenant shall not be obligated to remove any
Tenant Improvements or Tenant’s Alterations existing in the Original Premises as of the date of
execution of this Second Amendment by Tenant). The earlier of the dates referred to in clause (i)
and (ii) is referred to herein as the “Original Premises Expiration Date”. The Original Premises
Expiration Date shall be extended one day for each day the completion of Tenant’s New Premises TIs
are delayed due to the acts or omissions of Landlord or Landlord’s agents; provided, however, in no
event shall the commencement of any such extension be earlier than two (2) business days following
the date Tenant notifies Landlord in writing that the acts or omissions of Landlord or Landlord
agents have delayed the completion of the Tenant’s New Premises TIs. Tenant shall surrender
possession of the Original Premises to Landlord on or before the Original Premises Expiration Date
in the condition existing as of the date this Second Amendment is fully executed, ordinary wear and
tear excepted

 

14

 

(and Tenant shall not be obligated to remove any Tenant Improvements or Tenant’s
Alterations existing in the Original Premises as of the date of execution of this Second Amendment
by Tenant);
however, Landlord’s and Tenant’s obligations under the Amended Lease, as amended by Section 1
of this Section Amendment, including, without limitation, Tenant’s obligation to pay Base Monthly
Rent and Additional Rent with respect to the Original Premises, shall continue in effect through
the Original Premises Expiration Date. Upon the expiration or earlier termination of the Amended
Lease, as amended by Section 1 of this Second Amendment, with respect to the Original Premises
only, neither party shall have any further obligations under the Amended Lease, as amended by
Section 1 of this Second Amendment, with respect to the Original Premises, except for those
obligations under the Amended Lease, as amended by Section 1 of this Second Amendment, which
survive the termination or expiration of the Amended Lease, as amended by Section 1 of this Second
Amendment, and any obligations arising from a breach or default by Landlord or Tenant arising or
accruing prior to such expiration or earlier termination of the Amended Lease, as amended by
Section 1 of this Second Amendment. Provided, however, if Tenant has not fully vacated and
surrendered to Landlord the Original Premises (in the condition existing as of the date this Second
Amendment is fully executed, ordinary wear and tear excepted, except that Tenant shall not be
obligated to remove any Tenant Improvements or Tenant’s Alterations existing in the Original
Premises as of the date of execution of this Second Amendment by Tenant) by the expiration or
earlier termination of the Amended Lease, as amended by Section 1 of this Second Amendment, such
continued possession shall be deemed to be without Landlord’s consent, and Landlord shall be
entitled to immediately pursue all rights and remedies available to it by law or under the Amended
Lease, including, without limitation, all rights and remedies available to a landlord based upon
the unlawful detainer of premises by a tenant as described in California Code of Civil Procedure
Section 1161(1), as amended or replaced. In addition to all other legal and equitable rights and
remedies that Landlord may have against Tenant under the Amended Lease or applicable law in
connection with Tenant’s continued possession of the Original Premises beyond the expiration or
earlier termination of the Amended Lease, as amended by Section 1 of this Second Amendment
(including, without limitation, Landlord’s right to recover damages arising in connection
therewith), Tenant shall pay to Landlord the sum for which Landlord may be responsible to a new
tenant for delay in delivery of the Original Premises under the terms of any new lease as a result
of Tenant’s continued possession for those additional days following the expiration or earlier
termination of the Amended Lease, as amended by Section 1 of this Second Amendment, that Tenant
fails to vacate and surrender the Original Premises to Landlord as provided above. In addition, in
the event Landlord has entered into a new lease for the Original Premises, and the tenant
thereunder terminates such new lease by reason of Landlord’s inability to timely deliver possession
of the Original Premises to the tenant, Tenant shall be liable to Landlord for all damages incurred
by Landlord by reason of such termination, including loss of future rents payable under such new
lease. Notwithstanding the foregoing, if Tenant fails to vacate and surrender possession of the
Original Premises to Landlord (in the condition existing as of the date this Second Amendment is
fully executed, ordinary wear and tear excepted, except that Tenant shall not be obligated to
remove any Tenant Improvements or Tenant’s Alterations existing in the Original Premises as of the
date of execution of this Second Amendment by Tenant) by the expiration or earlier termination of
the Amended Lease, as amended by Section 1 of this Second Amendment, Tenant’s liability for any
consequential damages (including, without limitation, Landlord’s loss of future rents payable under
a new lease as provided in the immediately preceding sentence)

 

15

 

arising from such failure shall not
commence to accrue earlier than thirty (30) days following the expiration or earlier termination of
the Amended Lease, as amended by this Second Amendment.
In the event Landlord enters into a letter of intent or lease with a prospective tenant or new
tenant for the Original Premises prior to the date Tenant vacates and surrenders possession to
Landlord of the Original Premises as provided above, then, promptly following the date Landlord and
such prospective tenant or new tenant enter into such letter of intent or new lease, Landlord
agrees to notify Tenant of same in writing and such writing shall include the date that the term of
such new lease is intended to commence.

9. Miscellaneous Amendments to Original Lease. With respect solely to Tenant’s lease
of the New Premises from Tenant, effective as of the New Premises Commencement Date, the following
provisions of the Original Lease (and Addendum No. 1 attached thereto) shall be deemed amended or
modified as follows:

(a) Section D of the Summary of Basic Lease Terms incorporated into the Original Lease (the
“Summary”) shall be deemed amended such that from and after the date that the Amended Lease
terminates as to the Original Premises in accordance with Section 8 above, the term
“Premises” as used in the Original Lease, as amended by this Second Amendment, shall refer to the
New Premises.

(b) Section E of the Summary shall be deemed amended to provide that the aggregate gross
leasable area of all commercial buildings located on the Land shown on Exhibit A attached to the
Original Lease is approximately 257,780 square feet.

(c) Section G of the Summary shall be deemed amended to provide that Tenant’s Share shall be
sixty-two and seventy-two one hundredths percent (62.72%) of the New Premises Building and twenty
and twenty-four one hundredths percent (20.24%) of the Project.

(d) Section H of the Summary shall be deemed amended to provide that Tenant’s Allocated
Parking Stalls shall be equal to one hundred ninety-three (193) non-exclusive parking stalls
located within the Project.

(e) Section I of the Summary (and Section 1.24 of the Original Lease) shall be deemed amended
to provide that the Scheduled Commencement Date as to the lease of the New Premises by Tenant from
Landlord is February 1, 2011.

(f) Section J of the Summary, as amended by Paragraph 1 of the First Amendment, and Section
1.17 of the Original Lease, shall be deemed amended to provide that the Lease Term with respect to
the New Premises shall be extended through and including the fifth anniversary of the New Premises
Commencement Date, unless earlier terminated or extended pursuant to the terms of the Original
Lease, as amended by this Second Amendment.

(g) Section K of the Summary shall be deemed amended to provide that the Base Monthly Rent
payable during the initial New Premises Lease Term with respect to the New Premises only shall be
the amounts set forth in Section 5 of this Second Amendment.

(h) Section T of the Summary (and Section 1.16 of the Original Lease defining the “Lease”)
shall be deemed amended to provide that the Lease shall be the Original Lease (including the
Summary, as amended hereby, Exhibit A, and Addendum No. 1 made a part of the Original Lease, as
amended hereby), and this Second Amendment.

 

16

 

(i) Section 1.7 of the Original Lease shall be deemed amended such that the term “Building” as
pertains to the New Premises shall mean the New Building referred to above located at 2560 Junction
Avenue, San Jose, California, the gross leasable area of which is approximately 52,164 square feet
and referred to in the Original Lease as the “Building Gross Leasable Area”.

(j) Section 1.8 of the Original Lease shall be deemed amended such that the term “Commencement
Date” as pertains to Tenant’s lease of the New Premises shall mean the New Premises Commencement
Date referred to above.

(k) Section 1.11 of the Original Lease shall be deemed amended such that the term “Effective
Date” when applied to Tenant’s lease of the New Premises shall mean the “Second Amendment Effective
Date” referred to in the introductory paragraph of this Second Amendment; provided, however,
whenever the term “Effective Date” is used in Paragraph 7.2 of the Original Lease, such term shall
mean December 23, 1999.

(l) Section 1.17 of the Original Lease shall be deemed amended such that the term “Lease Term”
as it pertains to the lease of the New Premises shall mean the New Premises Lease Term referred to
above which shall commence on the New Premises Commencement Date and continue, unless earlier
terminated or extended pursuant to the terms of the Amended Lease, as amended by this Second
Amendment, for a term of sixty (60) months. Whenever the Original Lease refers to the expiration
or sooner termination of the Lease or expiration or sooner termination of the Lease Term and the
same pertains to the Original Premises, then such expiration of the Lease or Lease Term shall be
deemed the Original Premises Expiration Date (as defined in Section 8 above).

(m) Section 1.26 of the Original Lease shall be deemed amended to provide that the “Summary”
shall mean the Summary of Basic Lease Terms that is part of the Original Lease, as amended by
subsections (a) through (h) of this Section 9.

(n) Section 1.28 of the Original Lease shall be deemed amended to provide that with respect to
Tenant’s lease of the New Premises, the term “Tenant’s Share” shall mean the percentage obtained by
dividing the gross leasable area of the New Premises by the gross leasable area of the New
Building, which as of the Second Amendment Effective Date is 62.72%, and by the Project Gross
Leasable Area, which as of the Second Amendment Effective Date is 20.24%.

(o) Paragraph 14.1.D.(2) and Paragraph 14.1.D.(3), respectively, shall be deemed amended to
delete therefrom “80%” and substitute in place thereof “50%”.

10. Excluded Terms. Anything herein to the contrary notwithstanding, the following
provisions of the Original Lease and First Amendment, respectively, shall not be applicable to
Tenant’s lease of the New Premises from Landlord: (i) Sections L and S of the Summary that is a
part of the Original Lease; (ii) Paragraphs 2.3, 2.4, 2.5, 3.3 (first sentence only), 15.10, 15.13
and 15.15 (first sentence only) of the Original Lease, (ii) Exhibits B and C attached to the
Original Lease, (iii) Paragraph 3, including subparagraphs 3.1 through 3.4 of Addendum No. 1 that
is a part of the Original Lease, and (iv) the entire First Amendment to Lease.

 

17

 

11. Security Deposit. The Security Deposit or Letter of Credit in lieu of such
Security Deposit held by Landlord under the Original Lease shall, following the New Premises
Commencement Date, continue to be held by Landlord under the Amended Lease, as amended by this
Second Amendment, with respect to the New Premises and Landlord shall hold such Security Deposit or
Letter of Credit and may apply the same in accordance with the provisions of Section 3.5 of the
Original Lease as amended, modified or supplemented by Sections 2, 2.1, and 2.2 of Addendum No. 1
comprising a part of such Original Lease.

12. Brokers. Tenant represents and warrants to Landlord that it has not had dealings
with any real estate broker, finder, or other person with respect to the New Premises and the
negotiation and execution of this Second Amendment to whom a commission, finder’s fee or other
compensation may be owed. Landlord and Tenant shall indemnify, defend, and hold harmless the other
party from all damage, loss, liability, and expense (including attorneys’ fees and related costs)
arising out of or resulting from any claims for commissions or fees that may be or have been
asserted by any broker, finder, or other person with whom such party has purportedly dealt with in
connection with the New Premises and the negotiation and execution of this Second Amendment.
Landlord’s and Tenant’s obligations under the immediately preceding sentence shall survive the
expiration or earlier termination of the New Premises Lease Term. In consideration for Landlord
not having to pay any commission or finder’s fee to any broker or agent of Tenant in connection
with this Second Amendment and/or Tenant’s lease of the New Premises, Landlord agrees to credit the
sum of Sixty-Two Thousand Nine Hundred Nine and 78/100 Dollars ($62,909.78) against the Base
Monthly Rent payable by Tenant to Landlord for the fourth and fifth months and a portion of the
sixth month (i.e. $18,527.78 of the $62,909.78 shall be credited against the sixth months’ Base
Rent) of the New Premises Lease Term.

13. Addresses. From and after the Second Amendment Effective Date, the address for
Landlord set forth in Section Q of the Summary is amended to read in its entirety as
follows:

	 	 	 
	“Landlord’s Address:

	 	702/703 Investors, LLC,
	 

	 	c/o South Bay Development Company
	 

	 	1690 Dell Avenue
	 

	 	Campbell, CA 95008
	 

	 	Attn: Scott Trobbe
	 
	 	 
	With a courtesy copy to:

	 	PCCP, LLC
	 

	 	555 California Street, Suite 3450
	 

	 	San Francisco, CA 94104
	 

	 	Attn: Aaron Giovara

 

18

 

14. Corporate Authority. Tenant represents and warrants to Landlord that (i) Tenant
is the sole holder of the leasehold estate created under the Amended Lease, (ii) Tenant has not
voluntarily, by operation of law or otherwise assigned the Amended Lease or any interest of Tenant
under the Amended Lease, subleased any portion of the Original Premises or otherwise transferred or
hypothecated any interest of Tenant in and to the Amended Lease or the Original Premises, and (iii)
all authorizations necessary for the execution of this Second Amendment by Tenant and to bind
Tenant hereto have been obtained. Each individual executing this Second
Amendment on behalf of Tenant represents and warrants that he or she is duly authorized to and
does execute and deliver this Second Amendment pursuant to express authority from Tenant pursuant
to and in accordance with the By-Laws or other organizational documents of the Tenant corporation.

Landlord represents and warrants to Tenant that all authorizations necessary for the execution
of this Second Amendment by Landlord and to bind Landlord hereto have been obtained.

15. Effect of Second Amendment. Except as modified herein, the terms and provisions
of the Amended Lease shall remain unmodified and continue in full force and effect. In the event
of any conflict between the terms and provisions of this Second Amendment and the terms and
provisions of the Amended Lease, the terms and provisions of this Second Amendment shall prevail.
Tenant hereby ratifies and approves the terms and conditions of the Amended Lease, as amended by
this Second Amendment, and assumes all of the obligations of the Tenant under the Amended Lease, as
amended by this Second Amendment.

16. Keys. Upon expiration of the Amended Lease, as amended by Section 1 of
this Second Amendment, as to the Original Premises only, Tenant shall surrender all building access
cards issued to Tenant with respect to the Original Premises.

17. Counterparts. This Second Amendment may be executed in counterparts, each of
which shall be deemed an original and together shall constitute one instrument. The parties
contemplate that they may be executing counterparts of this Second Amendment transmitted by
facsimile or email in PDF format and agree and intend that a signature by either facsimile machine
or email in PDF format shall bind the party so signing with the same effect as though the signature
were an original signature.

18. Governing Law. This Second Amendment shall be governed by and construed in
accordance with the laws of the State of California.

19. Option to Extend Lease Term. Landlord hereby grants to Tenant the option to
extend the New Premises Lease Term for one (1) period of two (2) consecutive years (the “Extended
Term”), on the following terms and conditions:

(a) Tenant shall give Landlord written notice of its exercise of the option to extend the New
Premises Lease Term for the Extended Term no earlier than twelve (12) months or later than six (6)
months before the date the New Premises Lease Term would end but for said exercise. Time is of the
essence.

 

19

 

(b) Tenant may not extend the New Premises Lease Term pursuant to this Section 19 if
there is an Event of Tenant’s Default under the Amended Lease, as amended by this Second Amendment,
exists at the time of Tenant’s notice of exercise of this option, or if Tenant shall have assigned
or otherwise transferred its interest in Amended Lease, as amended by this Second Amendment, and/or
the New Premises, or any portion thereof, to any person or entity (other than an entity which
controls, is controlled by or is under common control with Tenant), whether or not Landlord’s
consent to such assignment or transfer has been given (unless
Landlord has waived such restriction in any written consent to such assignment or subletting,
which waiver may be withheld in Landlord’s sole and absolute discretion). If an Event of Tenant’s
Default exists on the date that the Extended Term is to commence, then Landlord may elect to
terminate the Amended Lease, as amended by this Second Amendment, effective as of the New Premises
Expiration Date notwithstanding any notice given by Tenant of an exercise of its option to extend.

(c) Once Tenant delivers notice of its exercise of the option to extend the New Premises Lease
Term, Tenant may not withdraw such exercise and, subject to the provisions of this Section
19, such notice shall operate to extend the New Premises Lease Term. All terms and conditions
of this Original Lease, as amended by this Second Amendment, shall apply during the Extended Term,
except that (i) the monthly New Premises Base Rent for the Extended Term shall be determined in
accordance with Section 19(e) below, (ii) there shall be no further rights to extend the
New Premises Lease Term and (iii) and Landlord shall have no obligation to construct any
improvements on, in or around the New Premises or in the New Building or to provide any tenant
improvement allowance or refurbishment allowance to Tenant.

(d) Upon the extension of the New Premises Lease Term pursuant to this Section 19, the
term “New Premises Lease Term” or “Lease Term” or “Term” as used in this Second Amendment or the
Original Lease shall thereafter include the Extended Term with respect to the New Premises and the
expiration date of the Original Lease, as amended by this Second Amendment, with respect to the New
Premises shall be the expiration date of the Extended Term.

(e) If Tenant elects to extend the New Premises Lease Term pursuant to the terms of
Section 19(a) above, the New Premises Base Rent for the Extended Term shall be an amount
equal to ninety-five percent (95%) of the monthly fair market rental value of the New Premises in
relation to market conditions at the time of the extension (including, but not limited to, rental
rates for comparable space within the San Jose submarket with comparable tenant improvements and
taking into consideration any adjustments to rent based upon direct costs (operating expenses) and
taxes, load factors, or other rental adjustments; the size of the space; and any other factors
which affect market rental values at the time of extension), provided, that the monthly New
Premises Base Rent for the Extended Term shall in no event be lower than the New Premises Base Rent
payable during the month immediately prior to the commencement of the Extended Term (without regard
to any abatement of New Premises Base Rent occurring during the month immediately prior to the
commencement of the Extended Term). The New Premises Base Rent for the Extended Term shall be
determined as follows:

1. Mutual Agreement. After timely receipt by Landlord of Tenant’s notice of
exercise of the option to extend the New Premises Lease Term, Landlord and Tenant shall have
a period of thirty (30) days in which to agree on the New Premises Base Rent for the
Extended Term. If Landlord and Tenant agree on said New Premises Base Rent during that
period, they shall immediately execute an amendment to the Amended Lease, as amended by this
Second Amendment, stating the New Premises Base Rent for the Extended Term. If Landlord and
Tenant are unable to agree on the New Premises Base Rent for the Extended Term as aforesaid,
the provisions of Section 19(e)2 immediately below shall apply.

 

20

 

2. Appraisal. Within ten (10) business days after the expiration of the thirty
(30) day period described in Section 19(e)1 above, each party, at its cost and by
giving notice to the other party, shall appoint a licensed, commercial real estate broker
with at least five (5) years commercial brokerage experience as applicable, in Santa Clara
County, to determine the fair market rental value of the New Premises. If a party does not
appoint such a broker within ten (10) business days after the other party has given notice
of the name of its broker, the single broker appointed shall be the sole broker and shall
set the fair market rental value. The cost of such sole broker shall be borne equally by
the parties. If two brokers are appointed by the parties as provided in this Section
13(e)2, the two brokers shall each separately determine the fair market rental value of
the New Premises within twenty (20) days of the date the last of such two brokers is
selected. In addition, during such twenty (20) day period, the two brokers shall select a
third broker meeting the qualifications above who will be required to determine which of the
fair market rental valuations determined by the two original brokers is closer to the fair
market rental value of the New Premises as determined by the third broker. If the parties
cannot agree on the third broker within such twenty (20) day period, then either of the
parties to this Second Amendment, by giving ten (10) days notice to the other party, may
apply to either the presiding judge of the Superior Court of the County of Santa Clara for
the selection of a third broker who meets the qualifications stated above. The two original
brokers shall submit their respective valuations to the third broker in a sealed envelope
within ten days following the date the third broker is selected. Once the third broker has
been selected as provided above, then, as soon as practicable but in any case within fifteen
(15) days thereafter, the third broker shall select one of the two fair market rental
valuations submitted by the two original brokers selected by the parties, which valuation
shall be the one that is closer to the fair market rental value as determined by the third
broker; provided, however, in no event shall 95% of the fair market rental value of the New
Premises be less than the New Premises Base Rent for the month immediately preceding the
commencement of the Extended Term (without regard to any abatement of rent occurring with
respect to such New Premises Base Rent occurring during the month immediately prior to the
commencement of the Extended Term). The third broker’s selection shall be rendered in
writing to both Landlord and Tenant and shall be final and binding upon them and shall not
be subject to appeal. Each party shall pay the cost of its own broker and shall share
equally the cost of the third broker. In establishing the fair market rental value of the
New Premises, the broker or brokers shall take into consideration the factors described in
Section 19(e) above.

20. Non-Disturbance Agreements. Simultaneously with the execution of this Second
Amendment, Landlord shall obtain for Tenant a subordination, non-disturbance and attornment
agreement, in a commercially reasonable form, from all mortgagees and ground lessors, if any,
holding a security interest or ground lessor’s interest in Original Premises, New Premises and/or
New Building as of the date this Second Amendment is executed by Landlord and Tenant.

[balance of page is intentionally blank; signature page follows on next page]

 

21

 

IN WITNESS WHEREOF, the parties hereto have executed this Second Amendment as of the date
first set forth above.

	 	 	 	 	 
	 	TENANT:

OCLARO, INC.

a Delaware corporation

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	Dated:          
                    
            , 2010 	 
	 
	 	LANDLORD:

702/703 INVESTORS LLC,

a Delaware limited liability company

 	 
	 	By:  	PCCP CS III 702/703, LLC,
 	 
	 	 	a Delaware limited liability company 	 
	 	Its:  	      Managing Member 	 

	 	 	 	 	 	 
	         	 	By:  	
 	 
	 	 	 	Name:  	 	 
	 	 	 	Its:	 	 
	 
	 	Dated:           
                    
            , 2010 	 

 

 

 

EXHIBIT “A”

FLOOR PLAN OF NEW PREMISES

[see attached]

 

 

 

EXHIBIT “B”

ACCEPTANCE AGREEMENT

	 	 	 
	TO:

	 	Oclaro, Inc.
	 

	 	2560 Junction Avenue
	 

	 	San Jose, California

	 	 	 	 
	 	RE:	 	Second Amendment to Lease Agreement dated July 1, 2010 between 702/703
Investors, LLC, a Delaware limited liability company (“Landlord”) and Oclaro, Inc. a
Delaware corporation (“Tenant”), that certain premises, consisting of a gross leasable
area of approximately 52,164 square feet, located at 2560 Junction Avenue, San Jose
California (the “New Premises”)

Dear Tenant:

In accordance with the Second Amendment to Lease referred to above (the “Second Amendment”),
we wish to advise you and/or confirm as follows:

	 	1.	 	All improvements, if any, required to be constructed or installed by Landlord
with respect to the New Premises referred to above have been substantially completed,
and the New Premises Lease Term (as defined in the Second Amendment) shall commence on
or has commenced on                     , 2011, for a term of sixty (60) months ending on
                                        , 2015.

	 	2.	 	The Base Monthly Rent payable by Tenant to Landlord with respect to the New
Premises commenced or will commence to accrue on                                         , subject to such
free rent periods or partially free rent periods described in Section 5 of the Second
Amendment and shall be subject to adjustment on each anniversary of the New Premises
Commencement Date (as defined in the Second Amendment) in accordance with Section
5 of the Second Amendment.

	 	3.	 	The Lease Term with respect to the Original Premises (as defined in the Second
Amendment) located at 2580 Junction Avenue, San Jose, California expired (or expires)
on                     , 201   .

	 	 	 	 	 
	 	LANDLORD:

702/703 INVESTORS LLC,

a Delaware limited liability company

 	 
	 	By:  	PCCP CS III 702/703, LLC,
 	 
	 	 	a Delaware limited liability company 	 
	 	Its: 	      Managing Member 	 

	 	 	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Its: 	 	 

 

 

 

	 	 	 	 	 
	 	OCLARO, INC.

a Delaware corporation

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

 

 

 

EXHIBIT C

FORM OF LEASE AMENDMENT TO MEMORIALIZE INCREASED BASE RENT

RESULTING FROM DISBURSEMENT OF NEW PREMISES ALLOWANCE

                                         AMENDMENT TO LEASE

This                      AMENDMENT TO LEASE (“                     Amendment”) is dated as of
                    , 20      (“                     Amendment Effective Date”), by and between 702/703 INVESTORS,
LLC, a Delaware limited liability company (“Landlord”), and OCLARO, INC., a Delaware corporation
(successor-in-interest to New Focus, Inc.) (“Tenant”).

RECITALS

G. Pursuant to that certain Lease dated December 23, 1999, as amended or modified by Addendum
No. 1 made a part thereto (“Original Lease”), by and between Silicon Valley Properties, LLC, a
Delaware limited liability company (“SVP”) and New Focus, Inc., a Delaware corporation (“New
Focus”), SVP leased to New Focus, and New Focus leased from SVP, certain premises, consisting of
approximately fifty-one thousand nine hundred eighty-five (51,985) square feet of gross leasable
area, the address of which is 2580 Junction Avenue, San Jose, California (“Original Premises”) and
more particularly described in the Original Lease. BRE/PCCP Orchard, L.L.C., a Delaware limited
liability company (“BRE/PCCP”) succeeded to the interest of SVP Regency in and to the Premises (and
the Project, as defined in the Original Lease) and as the “Landlord” under the Original Lease.

H. BRE/PCCP and New Focus entered into a First Amendment to Lease dated as of June 27, 2006
(the “First Amendment”), pursuant to which BRE/PCCP and New Focus amended the Original Lease to,
among other things, extend the Lease Term thereof and amend the amount of Base Rent to be paid by
New Focus to BRE/PCCP through the balance of the Lease Term, as extended.

I. Landlord has succeeded to the interest of BRE/PCCP in and to the Premises (and the Project,
as defined in the Original Lease) and as the “Landlord” under the Original Lease, as amended by the
First Amendment. Tenant hereby acknowledges and agrees that Landlord has succeeded to the interest
of BRE/PCCP as “Landlord” under the Original Lease, as amended by the First Amendment.

J. Tenant has succeeded to the interest of New Focus as “Tenant” under the Original Lease, as
amended by the First Amendment, and has assumed all of New Focus’ obligations under the Original
Lease, as amended by the First Amendment. Landlord hereby acknowledges and agrees that Tenant has
succeeded to the interest of New Focus as Tenant under the Original Lease, as amended by the First
Amendment.

 

 

 

K. Landlord and Tenant entered into a Second Amendment to Lease dated as of                     ,
2010 (the “Second Amendment”), setting forth, among other things, the terms and conditions upon
which Tenant shall relocate from the Original Premises into approximately 52,164 square feet of
gross leasable area in the building located at 2540 and 2560 Junction Avenue, San Jose, California
and more particularly described in the Second Amendment (the “New Premises”) and vacate and
surrender the Original Premises.

L. [Insert reference to any other Lease Amendments subsequent to Second Amendment and prior to
this Amendment] The Original Lease, as amended by the First Amendment and the Second Amendment [and
the                      Amendment] is referred to herein as the “Lease”.

M. Capitalized terms used in this                      Amendment shall have the meaning ascribed to
such terms in the Lease unless otherwise defined in this                      Amendment.

NOW, THEREFORE, in consideration of the foregoing recitals and other consideration, the
sufficiency of which is hereby acknowledged, the parties hereto amend, modify and supplement the
Amended Lease as follows:

1. Amortization of New Premises Allowance. Pursuant to the terms of Section 3(a) of
the Second Amendment, Landlord granted to Tenant an allowance (“New Premises Allowance”) in an
amount not to exceed Two Hundred Sixty Thousand Eight Hundred Twenty and 00/100 Dollars
($260,820.00) to be used by Tenant, if at all, to pay for the Work Cost (as defined in the Second
Amendment) incurred by Tenant in constructing or installing general purpose interior leasehold
improvements (approved by Landlord and Tenant) in the New Premises. Section 3(a) of the Second
Amendment also provides, in part, that if Landlord disburses all or any portion of the New Premises
Allowance to Tenant, then (i) such portion of the New Premises Allowance as is disbursed by
Landlord to Tenant, together with interest thereon at the annual rate of eight and one-half percent
(8.5%) per annum, shall be amortized over the then balance of the New Premises Lease Term and the
monthly New Premises Base Rent to be paid by Tenant under the Amended Lease, as amended by the
Second Amendment, following the disbursement of such applicable portion of the New Premises
Allowance shall be increased by such monthly amortized amount, and (ii) Landlord and Tenant each
shall execute an amendment(s) to the Amended Lease, as amended hereby, within ten (10) business
days following the date the same is presented to Tenant for execution by Landlord, reflecting the
increased New Premises Base Rent resulting from such amortization.

2. Monthly Base Rent Adjustment. As of the                      Amendment Effective Date
referred to above, Landlord has disbursed to Tenant                      and      /100 Dollars
($                    ) of the New Premises Allowance. As a result of the amortization referred to
above, the amount of monthly New Premises Base Rent to be paid by Tenant under the Lease, as
amended hereby, during the balance of the New Premises Lease Term (commencing as of the
                     Amendment Effective Date referred to above) shall, subject to such conditional Base
Monthly Rent abatement and credits as are provided in Section 5 of the Second Amendment and subject
to such further amortization as may occur pursuant to the terms of Section 3(a) of the Second
Amendment, be as set forth in the schedule below:

 

 

 

[Conform Monthly Base Rent Schedule Below]

	 	 	 	 	 	 	 	 	 
	Remaining Lease	 	 	 	 	 	 	 
	Months During New	 	 	 	 	 	 	 
	Premises Lease Term	 	 	 	 	 	 	 
	Following	 	 	 	 	 	 	 
		 	 	 	 	 	Base Monthly	 
	Amendment	 	Base Monthly	 	 	Rental Rate Per	 
	Effective Date	 	Rent	 	 	Rentable Square Foot	 
	 
	01-03
	 	$	                    	 	 	$                    /RSF
	04-12
	 	$	                    	 	 	$                    /RSF
	13-24
	 	$	                    	 	 	$                    /RSF
	25-36
	 	$	                    	 	 	$                    /RSF
	37-48
	 	$	                    	 	 	$                    /RSF
	49-60
	 	$	                    	 	 	$                    /RSF

3. Corporate Authority. Tenant represents and warrants to Landlord that (i) Tenant is
the sole holder of the leasehold estate created under the Lease, (ii) Tenant has not voluntarily,
by operation of law or otherwise assigned the Lease or any interest of Tenant under the Lease,
subleased any portion of the New Premises or otherwise transferred or hypothecated any interest of
Tenant in and to the Lease or the New Premises, and (iii) all authorizations necessary for the
execution of this                      Amendment by Tenant and to bind Tenant hereto have been
obtained. Each individual executing this                      Amendment on behalf of Tenant represents
and warrants that he or she is duly authorized to and does execute and deliver this                     
Amendment pursuant to express authority from Tenant pursuant to and in accordance with the By-Laws
or other organizational documents of the Tenant corporation.

Landlord represents and warrants to Tenant that all authorizations necessary for the execution
of this                      Amendment by Landlord and to bind Landlord hereto have been obtained.

4. Effect of                      Amendment. Except as modified herein, the terms and
provisions of the Lease shall remain unmodified and continue in full force and effect. In the
event of any conflict between the terms and provisions of this                      Amendment and the
terms and provisions of the Lease, the terms and provisions of this                      Amendment shall
prevail.

5. Counterparts. This                      Amendment may be executed in counterparts, each
of which shall be deemed an original and together shall constitute one instrument. The parties
contemplate that they may be executing counterparts of this                      Amendment transmitted
by facsimile or email in PDF format and agree and intend that a signature by either facsimile
machine or email in PDF format shall bind the party so signing with the same effect as though the
signature were an original signature.

 

 

 

6. Governing Law. This                      Amendment shall be governed by and construed
in accordance with the laws of the State of California.

IN WITNESS WHEREOF, the parties hereto have executed this                      Amendment as of the
date first set forth above.

	 	 	 	 	 
	 	TENANT:

OCLARO, INC.

a Delaware corporation

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	LANDLORD:

702/703 INVESTORS LLC,

a Delaware limited liability company

 	 
	 	By:  	PCCP CS III 702/703, LLC,
 	 
	 	 	a Delaware limited liability company 	 
	 	Its:  	      Managing Member 	 

	 	 	 	 	 
	 	By:  	
 	 
	 	 	Name:  	 	 
	 	 	Its:Exhibit 10.25

Exhibit 10.25

OCLARO, INC.

Incentive Stock Option Agreement

Granted Under Amended and Restated 2004 Stock Incentive Plan

1. Grant of Option.

This agreement evidences the grant by Oclaro, Inc., a Delaware corporation (the “Company”), as
of the date of grant (the “Grant Date”), to the individual listed on the attached Notice of Grant
(the “Participant”), of an option to purchase, in whole or in part, on the terms provided herein
and in the Company’s Amended and Restated 2004 Stock Incentive Plan (the “Plan”), the number of
shares (the “Shares”) of common stock, $0.01 par value per share, of the Company (“Common Stock”)
at the price per share set forth in the Notice of Grant. Unless earlier terminated, this option
shall expire at 5:00 p.m., Pacific time, on the tenth anniversary of the Grant Date (the “Final
Exercise Date”).

It is intended that the option evidenced by this agreement shall be an incentive stock option
as defined in Section 422 of the Internal Revenue Code of 1986, as amended, and any regulations
promulgated thereunder (the “Code”). Except as otherwise indicated by the context, the term
“Participant”, as used in this option, shall be deemed to include any person who acquires the right
to exercise this option validly under its terms.

2. Vesting Schedule.

(a) This option will become exercisable (“vest”) as to 25% of the original number of Shares on
the first anniversary of the Grant Date and as to an additional 2.083% of the original number of
Shares at the end of each successive month period following the first anniversary of the Grant Date
until the fourth anniversary of the Grant Date.

(b) The right of exercise shall be cumulative so that to the extent the option is not
exercised in any period to the maximum extent permissible it shall continue to be exercisable, in
whole or in part, with respect to all Shares for which it is vested until the earlier of the Final
Exercise Date or the termination of this option under Section 3 hereof or the Plan.

3. Exercise of Option.

(a) Form of Exercise. Each election to exercise this option shall be in writing,
signed by the Participant, and received by the Company at its principal office, accompanied by this
agreement, and payment in full in the manner provided in the Plan. The Participant may purchase
less than the number of shares covered hereby, provided that no partial exercise of this option may
be for any fractional share or for fewer than ten whole shares.

(b) Continuous Relationship with the Company Required. Except as otherwise provided
in this Section 3, this option may not be exercised unless the Participant, at the time he or she
exercises this option, is, and has been at all times since the Grant Date, an employee or
officer of, or consultant or advisor to, the Company or any parent or subsidiary of the Company, as
defined in Section 424(e) or (f) of the Code, and any other business venture (including, without
limitation, joint venture or limited liability company) in which the Company has a controlling
interest (an “Eligible Participant”).

 

 

 

(c) Termination of Relationship with the Company.

(1) If the Participant ceases to be an Eligible Participant for any reason, then, except as
provided in paragraphs (d) and (e) below, the right to exercise this option shall terminate three
months after such cessation (but in no event after the Final Exercise Date), provided
that this option shall be exercisable only to the extent that the Participant was entitled
to exercise this option on the date of such cessation. Notwithstanding the foregoing, if the
Participant, prior to the Final Exercise Date, violates the non-competition or confidentiality
provisions of any employment contract, confidentiality and nondisclosure agreement or other
agreement between the Participant and the Company, the right to exercise this option shall
terminate immediately upon written notice to the Participant from the Company describing such
violation.

(2) The Plan and this option shall not form any part of any contract for services or contract
of employment between the Company or any past or present subsidiary and neither the Plan nor this
agreement shall confer any legal or equitable rights (other than those constituting this option) on
the Participant against the Company or any past or present subsidiary, directly or indirectly, or
give rise to any cause of action in law or in equity against the Company or any past or present
subsidiary;

(3) In no circumstances shall the Participant on ceasing to hold the consultancy, office or
employment by virtue of which he is or may be eligible to participate in the Plan be entitled to
any compensation for any loss of any right or benefit or prospective right or benefit under the
Plan or this option which he might otherwise have enjoyed (including, without limitation, the lapse
of this options or part thereof by reason of his ceasing to hold a consultancy position, office or
ceasing to be employed by the Company or any past or present subsidiary) whether such compensation
is claimed by way of damages for wrongful dismissal or other lawful or unlawful breach of contract
or by way of compensation for loss of office or otherwise.

(d) Exercise Period Upon Death or Disability. If the Participant dies or becomes
disabled (within the meaning of Section 22(e)(3) of the Code) prior to the Final Exercise Date
while he or she is an Eligible Participant and the Company has not terminated such relationship for
“cause” as specified in paragraph (e) below, this option shall be exercisable, within the period of
one year following the date of death or disability of the Participant, by the Participant (or in
the case of death by an authorized transferee), provided that this option shall be
exercisable only to the extent that this option was exercisable by the Participant on the date of
his or her death or disability, and further provided that this option shall not be exercisable
after the Final Exercise Date.

(e) Discharge for Cause. If the Participant, prior to the Final Exercise Date, is
discharged by the Company for Cause, the right to exercise this option shall terminate
immediately upon the effective date of such discharge. For the purpose of this “cause” shall
mean any (i) willful failure by the Participant, which failure is not cured within 30 days of
written notice to the Participant from the Company, to perform his or her material responsibilities
to the Company or (ii) willful misconduct by the Participant which materially and adversely affects
the business reputation of the Company. The Participant shall be considered to have been
discharged for “cause” if the Company determines in good faith, within 30 days after the
Participant’s resignation, that discharge for Cause was warranted.

 

2

 

4. Tax Matters.

(a) Withholding. No Shares will be issued pursuant to the exercise of this option
unless and until the Participant pays to the Company, or makes provision satisfactory to the
Company for payment of, any income tax, federal, state or local withholding taxes agreed to be or
required by law to be withheld in respect of this option.

(b) Disqualifying Disposition. If the Participant disposes of Shares acquired upon
exercise of this option within two years from the Grant Date or one year after such Shares were
acquired pursuant to exercise of this option, the Participant shall notify the Company in writing
of such disposition.

5. Nontransferability of Option.

This option may not be sold, assigned, transferred, pledged or otherwise encumbered by the
Participant, either voluntarily or by operation of law, except by will or the laws of descent and
distribution, and, during the lifetime of the Participant, this option shall be exercisable only by
the Participant.

6. Data Protection.

The Participant agrees to the receipt, holding, and processing of information in connection
with the grant, vesting, exercise, taxation and general administration of the Plan and this option
by the Company or any subsidiary of the Company and any of their advisers or agents and to the
transmission of such information outside of the European Economic Area for this purpose.

7. Provisions of the Plan.

This option is subject to the provisions of the Plan, a copy of which is furnished to the
Participant with this option.

 

3

 

OCLARO, INC.

Nonstatutory Stock Option Agreement

Granted Under Amended and Restated 2004 Stock Incentive Plan

1. Grant of Option.

This agreement evidences the grant by Oclaro, Inc., a Delaware corporation (the “Company”), as
of the date of grant (the “Grant Date”) to the individual listed on the attached Notice of Grant
(the “Participant”), of an option to purchase, in whole or in part, on the terms provided herein
and in the Company’s Amended and Restated 2004 Stock Incentive Plan (the “Plan”), the number of
shares (the “Shares”) of common stock, $0.01 par value per share, of the Company (“Common Stock”)
at the price per share set forth in the Notice of Grant. Unless earlier terminated, this option
shall expire at 5:00 p.m., Pacific time, on the tenth anniversary of the Grant Date (the “Final
Exercise Date”).

It is intended that the option evidenced by this agreement shall not be an incentive stock
option as defined in Section 422 of the Internal Revenue Code of 1986, as amended, and any
regulations promulgated thereunder (the “Code”). Except as otherwise indicated by the context, the
term “Participant”, as used in this option, shall be deemed to include any person who acquires the
right to exercise this option validly under its terms.

2. Vesting Schedule.

(a) This option will become exercisable (“vest”) as to 25% of the original number of Shares on
the first anniversary of the Grant Date and as to an additional 2.083% of the original number of
Shares at the end of each successive month period following the first anniversary of the Grant Date
until the fourth anniversary of the Grant Date.

(b) The right of exercise shall be cumulative so that to the extent the option is not
exercised in any period to the maximum extent permissible it shall continue to be exercisable, in
whole or in part, with respect to all Shares for which it is vested until the earlier of the Final
Exercise Date or the termination of this option under Section 3 hereof or the Plan.

3. Exercise of Option.

(a) Form of Exercise. Each election to exercise this option shall be in writing,
signed by the Participant, and received by the Company at its principal office, accompanied by this
agreement, and payment in full in the manner provided in the Plan. The Participant may purchase
less than the number of shares covered hereby, provided that no partial exercise of this option may
be for any fractional share or for fewer than ten whole shares.

 

1

 

(b) Continuous Relationship with the Company Required. Except as otherwise provided in
this Section 3, this option may not be exercised unless the Participant, at the time he or she
exercises this option, is, and has been at all times since the Grant Date, an employee or officer
of, or consultant or advisor to, the Company or any parent or subsidiary of the Company, as defined
in Section 424(e) or (f) of the Code, and any other business venture (including, without
limitation, joint venture or limited liability company) in which the Company has a controlling
interest (an “Eligible Participant”).

(c) Termination of Relationship with the Company.

(1) If the Participant ceases to be an Eligible Participant for any reason, then, except as
provided in paragraphs (d) and (e) below, the right to exercise this option shall terminate three
months after such cessation (but in no event after the Final Exercise Date), provided
that this option shall be exercisable only to the extent that the Participant was entitled
to exercise this option on the date of such cessation. Notwithstanding the foregoing, if the
Participant, prior to the Final Exercise Date, violates the non-competition or confidentiality
provisions of any employment contract, confidentiality and nondisclosure agreement or other
agreement between the Participant and the Company, the right to exercise this option shall
terminate immediately upon written notice to the Participant from the Company describing such
violation.

(2) The Plan and this option shall not form any part of any contract for services or contract
of employment between the Company or any past or present subsidiary and neither the Plan nor this
agreement shall confer any legal or equitable rights (other than those constituting this option) on
the Participant against the Company or any past or present subsidiary, directly or indirectly, or
give rise to any cause of action in law or in equity against the Company or any past or present
subsidiary.

(3) In no circumstances shall the Participant on ceasing to hold the consultancy, office or
employment by virtue of which he is or may be eligible to participate in the Plan be entitled to
any compensation for any loss of any right or benefit or prospective right or benefit under the
Plan or this option which he might otherwise have enjoyed (including, without limitation, the lapse
of this options or part thereof by reason of his ceasing to hold a consultancy position, office or
ceasing to be employed by the Company or any past or present subsidiary) whether such compensation
is claimed by way of damages for wrongful dismissal or other lawful or unlawful breach of contract
or by way of compensation for loss of office or otherwise.

(d) Exercise Period Upon Death or Disability. If the Participant dies or becomes
disabled (within the meaning of Section 22(e)(3) of the Code) prior to the Final Exercise Date
while he or she is an Eligible Participant and the Company has not terminated such relationship for
“cause” as specified in paragraph (e) below, this option shall be exercisable, within the period of
one year following the date of death or disability of the Participant, by the Participant (or in
the case of death by an authorized transferee), provided that this option shall be
exercisable only to the extent that this option was exercisable by the Participant on the date of
his or her death or disability, and further provided that this option shall not be exercisable
after the Final Exercise Date.

 

2

 

(e) Discharge for Cause. If the Participant, prior to the Final Exercise Date, is
discharged by the Company for “cause” (as defined below), the right to exercise this option shall
terminate immediately upon the effective date of such discharge. “Cause” shall mean willful
misconduct by the Participant or willful failure by the Participant to perform his or her
responsibilities to the Company (including, without limitation, breach by the Participant of any
provision of any employment, consulting, advisory, nondisclosure, non-competition or other similar
agreement between the Participant and the Company), as determined by the Company, which
determination shall be conclusive. The Participant shall be considered to have been discharged for
“Cause” if the Company determines, within 30 days after the Participant’s resignation, that
discharge for cause was warranted.

4. Withholding.

No Shares will be issued pursuant to the exercise of this option unless and until the
Participant pays to the Company, or makes provision satisfactory to the Company for payment of, any
federal, state, local, cantonal or other withholding taxes required by law to be withheld in
respect of this option.

5. Nontransferability of Option.

This option may not be sold, assigned, transferred, pledged or otherwise encumbered by the
Participant, either voluntarily or by operation of law, except by will or the laws of descent and
distribution, and, during the lifetime of the Participant, this option shall be exercisable only by
the Participant.

6. Provisions of the Plan.

This option is subject to the provisions of the Plan, a copy of which is furnished to the
Participant with this option.

 

3

 

Oclaro, Inc.

Restricted Stock Unit Agreement

Granted Under the Amended and Restated 2004 Stock Incentive Plan

This RESTRICTED STOCK UNIT AGREEMENT (“Agreement”) is made DATE OF GRANT, between
Oclaro, Inc., a Delaware corporation (the “Company”), and NAME OF EMPLOYEE
(“Participant”).

For valuable consideration, receipt of which is acknowledged, the parties hereto agree as
follows:

1. Definitions. Capitalized terms used herein but not otherwise defined in Section 12
below shall have the meanings set forth in the Avanex’s 1998 Stock Plan (the “Plan”).

2. Issuance of Shares. In consideration of services rendered by Participant to the
Company or an affiliate thereto and subject to (i) consummation of the transactions contemplated in
that certain Agreement of Merger among Oclaro, Inc., Rio Acquisition Corp., Xtellus Inc. and Alta
Berkeley LLP, dated December 16, 2009 (“the Merger Agreement”) and (ii) the terms and
conditions set forth in this Agreement and in the Plan, the Company shall issue to Participant #
of RSU shares (the “Shares”) of common stock, $0.01 par value, of the Company (“Common
Stock”). The Company shall issue the Shares as of the date of consummation of the transactions
contemplated in the Merger Agreement (such date, the “Grant Date”). Participant
acknowledges and agrees that the Shares shall be subject to the forfeiture provisions set forth in
Section 3 of this Agreement and the restrictions on transfer set forth in Section 4 of this
Agreement.

3. Vesting.

(a) If (i) Participant remains continuously employed with the Company or an affiliate thereto
through the last day of the fiscal quarter of the Company after the first anniversary of the Grant
Date (the “Vesting Date”) and (ii) the

(b) .

(c) If Participant ceases to be continuously employed by the Company or an affiliate thereto
prior to the Vesting Date for any reason (including, without limitation, by reason of the Company’s
(or applicable affiliate’s) termination of Participant’s employment with our without Cause), all of
the Shares shall automatically be forfeited to the Company as of Participant’s termination date.

(d) Notwithstanding anything to the contrary herein, if (i) a Change in Control occurs after
the Grant Date and prior to the Vesting Date and (ii) after the Change in Control and prior to the
Vesting Date, (A) the Company (or an affiliate thereto) terminates Participant’s employment for any
reason other than by reason of a termination for Cause or (B) Participant terminates his or her
employment with the Company (or applicable affiliate) for Good Reason, then all of the Shares shall
vest as of Participant’s termination date. For purposes of this Section 3(d), the term “Company”
shall include any successor thereto in connection with a Change in Control.

 

- 1 -

 

4. Restrictions on Transfer.

(a) Participant shall not sell, assign, transfer, pledge, hypothecate or otherwise dispose of,
by operation of law or otherwise (collectively “transfer”) any Shares, or any interest
therein, until such Shares have vested.

(b) The Company shall not be required (i) to transfer on its books any of the Shares which
have been transferred in violation of any of the provisions set forth in this Agreement or (ii) to
treat as owner of such Shares or to pay dividends to any transferee to whom such Shares have been
transferred in violation of any of the provisions of this Agreement.

5. Escrow. Participant shall, upon the execution of this Agreement, execute Joint
Escrow Instructions in the form attached to this Agreement as Exhibit A. The Joint Escrow
Instructions shall be delivered to the Corporate Secretary of the Company, as escrow agent
thereunder. Participant shall deliver to such escrow agent a stock assignment duly endorsed in
blank, in the form attached to this Agreement as Exhibit B, and hereby instructs the
Company to deliver to such escrow agent, on behalf of Participant, the certificate(s) evidencing
the Shares issued hereunder. Such materials shall be held by such escrow agent pursuant to the
terms of such Joint Escrow Instructions.

6. Restrictive Legends. All Shares subject to this Agreement shall be subject to the
following restriction, in addition to any other restrictions that may be required under federal or
state securities laws:

“The shares of stock represented by this certificate are subject to
forfeiture provisions and restrictions on transfer set forth in a
certain Restricted Stock Agreement between the corporation and the
registered owner of these shares (or his predecessor in interest),
and such Agreement is available for inspection without charge at the
office of the Secretary of the corporation.”

7. Provisions of the Plan. This Agreement is subject to the provisions of the Plan, a
copy of which is furnished to Participant with this Agreement.

8. Withholding Taxes; No Section 83(b) Election. Regardless of any action the Company
or Participant’s employer (the “Employer”) takes with respect to any or all income tax,
social insurance, payroll tax, or other Tax-Related withholding (“Tax-Related Items”),
Participant acknowledges that the ultimate liability for all Tax-Related items legally due by
Participant is and remains Participant’s responsibility and that the Company and/or the Employer
(i) make no representations or undertakings regarding the treatment of any Tax-Related Items in
connection with any aspect of the grant, including the grant or vesting, the subsequent sale of
Shares and the receipt of any dividends; and (ii) do not commit to structure the terms of the grant
or any aspect of the Shares to reduce or eliminate Participant’s liability for Tax-Related Items or
to achieve any particular tax result. Further, if Participant becomes subject to tax in more than
one jurisdiction between the Grant Date and the date of any relevant taxable or tax withholding
event, as applicable, Participant acknowledges that the Company and/or the Employer may be required
to withhold or account for Tax-Related Items in more than one jurisdiction.

 

- 2 -

 

Participant shall pay or make adequate arrangements satisfactory to the Company and/or the
Employer to satisfy all withholding obligations of the Company and/or the Employer, if any. In
this regard, Participant authorizes the Company and/or the Employer to withhold all applicable
Tax-Related Items legally payable by Participant from Participant’s compensation paid to
Participant by the Company and/or the Employer or from proceeds of the sale of Shares.
Alternatively, or in addition, if permissible under local law, the Company may (i) sell or arrange
for the sale of Shares that Participant acquires to meet the withholding obligation for Tax-Related
Items and/or (ii) withhold Shares to satisfy the withholding obligation for Tax-Related Items,
provided that the Company only withholds the amount of Shares necessary to satisfy the minimum
withholding amount. Finally, Participant shall pay to the Company or the Employer any amount of
Tax-Related Items that the Company or the Employer may be required to withhold as a result of
Participant’s participation in the Plan or Participant’s purchase of Shares that cannot be
satisfied by the means previously described.

Participant has reviewed with Participant’s own tax advisors the federal, state, local and
other tax consequences of this investment and the transactions contemplated by this Agreement.
Participant is relying solely on such advisors and not on any statements or representations of the
Company or any of its agents. Participant understands that Participant (and not the Company) shall
be responsible for Participant’s own tax liability that may arise as a result of this investment or
the transactions contemplated by this Agreement.

PARTICIPANT AGREES NOT TO FILE AN ELECTION UNDER SECTION 83(B) OF THE CODE WITH RESPECT TO THE
ISSUANCE OF THE SHARES.

9. Nature of Grant. In accepting the grant, Participant acknowledges that:

(a) the Plan is established voluntarily by the Company, it is discretionary in nature and it
may be modified, amended, suspended or terminated by the Company at any time, unless otherwise
provided in the Plan and this Agreement;

(b) the grant of the Shares is voluntary and occasional and does not create any contractual or
other right to receive future grants of Shares, or benefits in lieu of Shares, even if Shares have
been granted repeatedly in the past;

(c) all decisions with respect to future grants, if any, will be at the sole discretion of the
Company;

(d) Participant’s participation in the Plan shall not create a right to further employment
with the Employer and shall not interfere with the ability of the Employer to terminate
Participant’s employment relationship at any time with or without cause;

(e) Participant is voluntarily participating in the Plan;

(f) the Shares are an extraordinary item that do not constitute compensation of any kind for
services of any kind rendered to the Company or the Employer, and which is outside the scope of
Participant’s employment contract, if any;

 

- 3 -

 

(g) the Shares are not part of normal or expected compensation or salary for any purpose,
including, but not limited to, calculating any severance, resignation, termination, redundancy, end
of service payments, bonuses, long service awards, pension or retirement benefits or similar
payments;

(h) in the event that Participant is not an employee of the Company, the Shares grant will not
be interpreted to form an employment contract or relationship with the Company; and furthermore,
the Shares grant will not be interpreted to form an employment contract with the Employer or any
subsidiary or affiliate of the Company;

(i) the future value of the underlying Shares is unknown and cannot be predicted with
certainty;

(j) the value of the Shares may increase or decrease in value;

(k) in consideration of the grant of the Shares, no claim or entitlement to compensation or
damages shall arise from termination or diminution in value of the Shares resulting from
termination of Participant’s employment with the Company or the Employer (for any reason
whatsoever) and Participant irrevocably releases the Company and the Employer from any such claim
that may arise; if, not withstanding the foregoing, any such claim is found by a court of competent
jurisdiction to have arisen, then, by signing this Agreement, Participant shall be deemed
irrevocably to have waived Participant’s entitlement to pursue such claim; and

(l) in the event of termination of Participant’s employment prior to the Vesting Date, for
purposes of Section 3 hereof Participant’s termination date shall be deemed to occur on the date
that Participant is no longer actively employed and shall not be extended by any notice period
mandated under the local law (e.g., active employment would not include a period of “garden leave”
or similar period pursuant to local law).

10. Data Privacy. Participant hereby explicitly and unambiguously consents to the
collection, use and transfer, in electronic or other form, of Participant’s personal data as
described in this document by and among, as applicable, the Employer, the Company and its
subsidiaries and affiliates for the exclusive purpose of implementing, administering and managing
Participant’s participation in the Plan.

Participant understands that the Company and the Employer may hold certain personal
information about Participant, including, but not limited to, Participant’s name, home address and
telephone number, date of birth, social insurance number or other identification number, salary,
nationality, job title, any Shares or directorships held in the Company, details of all options or
any other entitlement to Shares awarded, canceled, exercised, vested, unvested or outstanding in
Participant’s favor, for the exclusive purpose of implementing, administering and managing the Plan
(“Data”).

 

- 4 -

 

Participant understands that the recipients of the Data may be located in the United States or
elsewhere, and that the recipients’ country (e.g., the United States) may have different data
privacy laws and protections than Participant’s country. Participant understands that Participant
may request a list with the names and addresses of any potential recipients of the Data by
contacting Participant’s local human resources representative. Participant authorizes the
Company and any other possible recipients which may assist the Company (presently or in the
future) with implementing, administering and managing the Plan to receive, possess, use, retain and
transfer the Data, in electronic or other form, for the sole purpose of implementing, administering
and managing Participant’s participation in the Plan. Participant understands that Data will be
held only as long as is necessary to implement, administer and manage Participant’s participation
in the Plan. Participant understands that Participant may, at any time, view the Data, request
additional information about the storage processing of the Data, require any necessary amendments
to Data or refuse or withdraw the consents herein, in any case without cost, by contacting in
writing Participant’s local human resources representative. Participant understands, however, that
refusing or withdrawing Participant’s consent may affect Participant’s ability to participate in
the Plan. For more information on the consequences of Participant’s refusal to consent or
withdrawal of consent, Participant understands that Participant may contact Participant’s local
human resources representative.

11. Miscellaneous.

(a) No Rights to Employment. Participant acknowledges and agrees that the vesting of
the Shares pursuant to Section 3 hereof is earned only by satisfaction of the vesting conditions
and continuing service as an employee at the will of the Company (not through the act of being
hired or being granted the Shares hereunder). Participant further acknowledges and agrees that the
transactions contemplated hereunder and the vesting schedule set forth herein do not constitute an
express or implied promise of continued engagement as an employee for the vesting period, for any
period, or at all.

(b) Severability. The invalidity or unenforceability of any provision of this
Agreement shall not affect the validity or enforceability of any other provision of this Agreement,
and each other provision of this Agreement shall be severable and enforceable to the extent
permitted by law.

(c) Waiver. Any provision for the benefit of the Company contained in this Agreement
may be waived, either generally or in any particular instance, by the Board.

(d) Binding Effect. This Agreement shall be binding upon and inure to the benefit of
the Company and Participant and their respective heirs, executors, administrators, legal
representatives, successors and assigns, subject to the restrictions on transfer set forth in
Section 4 of this Agreement.

(e) Notice. Each notice relating to this Agreement shall be in writing and delivered
in person or by first class mail, postage prepaid, to the address as hereinafter provided. Each
notice shall be deemed to have been given on the date it is received. Each notice to the Company
shall be addressed to it at its office at 2584 Junction Avenue, San Jose, CA 95134 (Attention:
Corporate Secretary). Each notice to Participant shall be addressed to Participant at
Participant’s last known address.

(f) Pronouns. Whenever the context may require, any pronouns used in this Agreement
shall include the corresponding masculine, feminine or neuter forms, and the singular form of nouns
and pronouns shall include the plural, and vice versa.

 

- 5 -

 

(g) Entire Agreement. This Agreement and the Plan constitute the entire agreement
between the parties, and supersede all prior agreements and understandings, relating to the subject
matter of this Agreement.

(h) Amendment. This Agreement may be amended or modified only by a written instrument
executed by both the Company and Participant.

(i) Governing Law. This Agreement shall be construed, interpreted and enforced in
accordance with the internal laws of the State of Delaware without regard to any applicable
conflicts of laws. The parties to this Agreement agree that any suit, action or proceeding arising
out of, or with respect to, this Agreement or any judgment entered by any court in respect thereof
may be brought only in the courts located in Santa Clara County, in the State of California or the
federal district courts located within Santa Clara County, State of California, and the parties to
this Agreement accept the exclusive jurisdiction of those courts for the purpose of any suit,
action or proceeding.

(j) Interpretation. The interpretation and construction of any terms or conditions of
the Plan, or of this Agreement or other matters related to the Plan by the Compensation Committee
of the Board shall be final and conclusive.

(k) Participant’s Acknowledgments. Participant acknowledges that he or she: (i) has
read this Agreement; (ii) has been represented in the preparation, negotiation, and execution of
this Agreement by legal counsel of Participant’s own choice or has voluntarily declined to seek
such counsel; (iii) understands the terms and consequences of this Agreement; and (iv) is fully
aware of the legal and binding effect of this Agreement.

(l) Delivery of Certificates. Subject to Section 4 hereof, Participant may request
that the Company deliver the Shares in certificated form with respect to any Shares that have
ceased to be subject to forfeiture pursuant to Section 3.

(m) No Deferral. Notwithstanding anything herein to the contrary, neither the Company
nor Participant may defer the delivery of the Shares.

(n) Electronic Delivery. The Company may, in its sole discretion, decide to deliver
any documents related to the Shares and participation in the Plan or future Shares that may be
granted under the Plan by electronic means or to request Participant’s consent to participate in
the Plan by electronic means. Participant hereby consents to receive such documents by electronic
delivery and, if requested, to agree to participate in the Plan through an on-line or electronic
system established and maintained by the Company or another third party designated by the Company.

(o) Section 409A. The Shares are intended to be exempt from Section 409A of the Code
pursuant to Treasury Regulation section 1.409A-1(b)(6) and this Agreement shall be interpreted
consistent with this intent.

 

- 6 -

 

12. Definitions. For purposes of this Agreement, the following terms shall have the
respective meanings set forth below:

(a) “Cause” means: (i) Participant’s continued failure to substantially perform his or
her reasonable assigned duties as an employee of the Company; or (ii) Participant’s engagement in
illegal conduct or gross misconduct.

(b) “Change in Control” means an event or occurrence set forth in any one or more of
subsections (i) through (iv) below (including an event or occurrence that constitutes a Change in
Control under one of such subsections but is specifically exempted from another such subsection):

(i) the acquisition by an individual, entity or group (within the meaning of Section 13(d)(3)
or 14(d)(2) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) (any
such individual, entity or group, a “Person”) of beneficial ownership of any capital stock
of the Company if, after such acquisition, such Person beneficially owns (within the meaning of
Rule 13d-3 promulgated under the Exchange Act) fifty percent (50%) or more of either (x) the
then-outstanding shares of common stock of the Company (the “Outstanding Company Common
Stock”) or (y) the combined voting power of the then-outstanding securities of the Company
entitled to vote generally in the election of directors (the “Outstanding Company Voting
Securities”); provided, however, that for purposes of this subsection (i), the following
acquisitions shall not constitute a Change in Control: (a) any acquisition directly from the
Company (excluding an acquisition pursuant to the exercise, conversion or exchange of any security
exercisable for, convertible into or exchangeable for common stock or voting securities of the
Company, unless the Person exercising, converting or exchanging such security acquired such
security directly from the Company or an underwriter or agent of the Company), (b) any acquisition
by the Company, (c) any acquisition by any employee benefit plan (or related trust) sponsored or
maintained by the Company or any corporation controlled by the Company, or (c) any acquisition by
any corporation pursuant to a transaction which complies with clauses (a) and (b) of subsection
12(b)(iii) below; or

(ii) such time as the Continuing Directors (as defined below) do not constitute a majority of
the Board (or, if applicable, the Board of Directors of a successor corporation to the Company),
where the term “Continuing Director” means at any date a member of the Board (a) who was a
member of the Board on the date of the execution of this Agreement or (b) who was nominated or
elected subsequent to such date by at least a majority of the directors who were Continuing
Directors at the time of such nomination or election or whose election to the Board was recommended
or endorsed by at least a majority of the directors who were Continuing Directors at the time of
such nomination or election; provided, however, that there shall be excluded from this clause (b)
any individual whose initial assumption of office occurred as a result of an actual or threatened
election contest with respect to the election or removal of directors or other actual or threatened
solicitation of proxies or consents, by or on behalf of a person other than the Board; or

 

- 7 -

 

(iii) the consummation of a merger, consolidation, reorganization, recapitalization or
statutory share exchange involving the Company or a sale or other disposition of all or
substantially all of the assets of the Company in one or a series of transactions (a “Business
Combination”), unless, immediately following such Business Combination, each of the following
two conditions is satisfied: (a) all or substantially all of the individuals and entities who were
the beneficial owners of the Outstanding Company Common Stock and Outstanding
Company Voting Securities immediately prior to such Business Combination beneficially own,
directly or indirectly, more than fifty percent (50%) of the then-outstanding shares of common
stock and the combined voting power of the then-outstanding securities entitled to vote generally
in the election of directors, respectively, of the resulting or acquiring corporation in such
Business Combination (which shall include, without limitation, a corporation which as a result of
such transaction owns the Company or substantially all of the Company’s assets either directly or
through one or more subsidiaries) (such resulting or acquiring corporation is referred to herein as
the “Acquiring Corporation”) in substantially the same proportions as their ownership,
immediately prior to such Business Combination, of the Outstanding Company Common Stock and
Outstanding Company Voting Securities, respectively; and (b) no Person (excluding any employee
benefit plan (or related trust) maintained or sponsored by the Company or by the Acquiring
Corporation) beneficially owns, directly or indirectly, thirty percent (30%) or more of the then
outstanding shares of common stock of the Acquiring Corporation, or of the combined voting power of
the then-outstanding securities of such corporation entitled to vote generally in the election of
directors (except to the extent that such ownership existed prior to the Business Combination); or

(iv) approval by the stockholders of the Company of a complete liquidation or dissolution of
the Company.

(c) “Change in Control Date” means the date upon on which a Change in Control occurs.
Notwithstanding anything to the contrary herein, if (i) a Change in Control occurs, (ii)
Participant’s employment with the Company is terminated prior to the date on which the Change in
Control occurs, and (iii) it is reasonably demonstrated by Participant that such termination of
employment (A) was at the request of a third party who has taken steps reasonably calculated to
effect a Change in Control or (B) otherwise arose in connection with or in anticipation of a Change
in Control, then for all purposes of this Agreement the “Change in Control Date” shall mean the
date immediately prior to the date of such termination of employment.

(d) “GAAP” means generally accepted accounting principles in the United States set
forth in the opinions and pronouncements of the Accounting Principles Board and the American
Institute of Certified Public Accountants and statements and pronouncements of the Financial
Accounting Standards Board, that are applicable to the circumstances of the date of determination,
consistently applied.

(e) “Good Reason” means the occurrence, without Participant’s written consent, of any
of the events or circumstances set forth in clauses (i) through (iv) below:

(i) a material diminution in Participant’s authority, duties or responsibilities as in effect
immediately prior to the earliest to occur of (a) the Change in Control Date, (b) the date of the
execution by the Company of the definitive written agreement or instrument providing for the Change
in Control or (c) the date of the adoption by the Board of a resolution providing for a Change in
Control (with the earliest to occur of such dates referred to herein as the “Measurement
Date”);

 

- 8 -

 

(ii) a material diminution in Participant’s base compensation as in effect on the Measurement
Date or as the same may be increased from time to time thereafter;

(iii) a change by the Company in the location at which Participant performs Participant’s
principal duties for the Company to a new location that is both (a) outside a radius of 35 miles
from Participant’s principal residence immediately prior to the Measurement Date and (b) more than
20 miles further from the location at which Participant performed Participant’s principal duties
for the Company immediately prior to the Measurement Date; or

(iv) any other action or inaction that constitutes a material breach by the Company of this
Agreement.

(f) “Net Product Revenues” means the portion of the gross revenues recognized by
Oclaro, Inc. (“Parent”) (on a consolidated basis and in accordance with GAAP and Parent’s revenue
recognition policies in effect from time to time that are consistent with GAAP) during period from
January 3, 2010 through January 1, 2011 that are attributable to the sale or license of the
Specified Company Products (provided, that the calculation of any such revenues attributable to
Specified Company Products, on the one hand, and any other product or products of the Parent or any
of its Affiliates, on the other hand, shall be appropriately apportioned by Parent between such
Specified Company Products, on the one hand, and such other product or products, on the other hand,
and only that portion attributable to the Specified Company Products shall be included for purposes
of the Net Product Revenues), less applicable discounts, freight, insurance and other shipping
costs, an allowance for product returns (established in accordance with GAAP) and an allowance for
doubtful accounts (established in accordance with GAAP).

(g) “Specified Company Products” means (i) the Company’s products described on Annex
II to Exhibit A of the Merger Agreement, including any derivatives or enhancements thereof; and
(ii) Parent’s 2x1 100 Ghs WSS product if (and only if) (and only with respect to sales occurring
after): (a) the labor hours required to manufacture such product become less than or equal to the
number of labor hours currently required to manufacture the Company’s 2x1 product, as reasonably
determined by Parent; and (b) such product is of a quality equal to or better than the Company’s
current 2x1 product, as reasonably determined by Parent.

 

- 9 -

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year
first above written.

	 	 	 	 	 
	 

	 	OCLARO, INC.	 	 
	 
	 	 	 	 
	 
	 	 	 	 
	 

	 	HOLDER:	 	 
	 
	 	 	 	 
	 

	 	 

Employee’s Name
	 	 
	 
	 	 	 	 
	 

	 	Address:	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 

 

- 10 -

 

EXHIBIT A

Oclaro, Inc.

Joint Escrow Instructions

                     ___, 2009

Corporate Secretary

Oclaro, Inc.

2584 Junction Avenue

San Jose, CA 95134

As Escrow Agent for Oclaro, Inc., a Delaware corporation, and its successors in interest under
the Restricted Stock Agreement (the “Agreement”) of even date herewith, to which a copy of these
Joint Escrow Instructions is attached (the “Company”), and the undersigned person (“Holder”), you
are hereby authorized and directed to hold the documents delivered to you pursuant to the terms of
the Agreement in accordance with the following instructions:

1. Appointment. Holder irrevocably authorizes the Company to deposit with you any
certificates evidencing Shares (as defined in the Agreement) to be held by you hereunder and any
additions and substitutions to said Shares. For purposes of these Joint Escrow Instructions,
“Shares” shall be deemed to include any additional or substitute property. Holder does hereby
irrevocably constitute and appoint you as his attorney-in-fact and agent for the term of this
escrow to execute with respect to such Shares all documents necessary or appropriate to make such
Shares negotiable and to complete any transaction herein contemplated. Subject to the provisions
of this Section 1 and the terms of the Agreement, Holder shall exercise all rights and privileges
of a stockholder of the Company while the Shares are held by you.

2. Forfeiture of Shares. Upon any forfeiture of Shares to the Company pursuant to the
terms of the Agreement, you are directed (i) to date the stock assignment form or forms necessary
for the transfer of the Shares, (ii) to fill in on such form or forms the number of Shares being
transferred, and (iii) to deliver same, together with the certificate or certificates evidencing
the Shares to be transferred, to the Company.

3. Sale of Shares upon Vesting. Upon vesting of any Shares pursuant to the terms of
the Agreement, you are directed (i) to date the stock assignment form or forms necessary for the
transfer of such number of vested Shares as may be required to be sold to satisfy the Company’s
minimum statutory withholding obligations as further described in Section 8 of the Agreement, (ii)
to fill in on such form or forms the number of Shares being sold, and (iii) to deliver same,
together with the certificate or certificates evidencing the Shares to be sold, to the Company.

 

- 11 -

 

4. Withdrawal. The Holder shall have the right to withdraw from this escrow any
Shares which have vested pursuant to the terms of the Agreement.

5. Duties of Escrow Agent.

(a) Your duties hereunder may be altered, amended, modified or revoked only by a writing
signed by all of the parties hereto.

(b) You shall be obligated only for the performance of such duties as are specifically set
forth herein and may rely and shall be protected in relying or refraining from acting on any
instrument reasonably believed by you to be genuine and to have been signed or presented by the
proper party or parties. You shall not be personally liable for any act you may do or omit to do
hereunder as Escrow Agent or as attorney-in-fact of Holder while acting in good faith and in the
exercise of your own good judgment, and any act done or omitted by you pursuant to the advice of
your own attorneys shall be conclusive evidence of such good faith.

(c) You are hereby expressly authorized to disregard any and all warnings given by any of the
parties hereto or by any other person or entity, excepting only orders or process of courts of law,
and are hereby expressly authorized to comply with and obey orders, judgments or decrees of any
court. If you are uncertain of any actions to be taken or instructions to be followed, you may
refuse to act in the absence of an order, judgment or decrees of a court. In case you obey or
comply with any such order, judgment or decree of any court, you shall not be liable to any of the
parties hereto or to any other person or entity, by reason of such compliance, notwithstanding any
such order, judgment or decree being subsequently reversed, modified, annulled, set aside, vacated
or found to have been entered without jurisdiction.

(d) You shall not be liable in any respect on account of the identity, authority or rights of
the parties executing or delivering or purporting to execute or deliver the Agreement or any
documents or papers deposited or called for hereunder.

(e) You shall be entitled to employ such legal counsel and other experts as you may deem
necessary properly to advise you in connection with your obligations hereunder and may rely upon
the advice of such counsel.

(f) Your rights and responsibilities as Escrow Agent hereunder shall terminate if (i) you
cease to be Corporate Secretary of the Company or (ii) you resign by written notice to each party.
In the event of a termination under clause (i), your successor as Corporate Secretary shall become
Escrow Agent hereunder; in the event of a termination under clause (ii), the Company shall appoint
a successor Escrow Agent hereunder.

(g) If you reasonably require other or further instruments in connection with these Joint
Escrow Instructions or obligations in respect hereto, the necessary parties hereto shall join in
furnishing such instruments.

 

- 12 -

 

(h) It is understood and agreed that if you believe a dispute has arisen with respect to the
delivery and/or ownership or right of possession of the securities held by you hereunder, you are
authorized and directed to retain in your possession without liability to anyone all or any part of
said securities until such dispute shall have been settled either by mutual written
agreement of the parties concerned or by a final order, decree or judgment of a court of
competent jurisdiction after the time for appeal has expired and no appeal has been perfected, but
you shall be under no duty whatsoever to institute or defend any such proceedings.

(i) These Joint Escrow Instructions set forth your sole duties with respect to any and all
matters pertinent hereto and no implied duties or obligations shall be read into these Joint Escrow
Instructions against you.

(j) The Company shall indemnify you and hold you harmless against any and all damages, losses,
liabilities, costs, and expenses, including attorneys’ fees and disbursements, (including without
limitation the fees of counsel retained pursuant to Section 5(e) above, for anything done or
omitted to be done by you as Escrow Agent in connection with this Agreement or the performance of
your duties hereunder, except such as shall result from your gross negligence or willful
misconduct.

6. Notice. Any notice required or permitted hereunder shall be given in writing and
shall be deemed effectively given upon personal delivery or upon deposit in the United States Post
Office, by registered or certified mail with postage and fees prepaid, addressed to each of the
other parties thereunto entitled at the following addresses, or at such other addresses as a party
may designate by ten days’ advance written notice to each of the other parties hereto.

	 	 	 
	COMPANY:

	 	Notices to the Company shall be sent to the address set forth in the salutation hereto, Attn: Corporate Secretary.
	 
	 	 
	HOLDER:

	 	Notices to Holder shall be sent to the address set forth below Holder’s signature below.
	 
	 	 
	ESCROW AGENT:

	 	Notices to the Escrow Agent shall be sent to the address set forth in the salutation hereto.

 

- 13 -

 

7. Miscellaneous.

(a) By signing these Joint Escrow Instructions, you become a party hereto only for the purpose
of said Joint Escrow Instructions, and you do not become a party to the Agreement.

(b) This instrument shall be binding upon and inure to the benefit of the parties hereto and
their respective successors and permitted assigns.

	 	 	 	 	 
	 

	 	Very truly yours,	 	 
	 
	 	 	 	 
	 

	 	OCLARO, INC.	 	 
	 
	 	 	 	 
	 

	 	HOLDER:	 	 
	 
	 	 	 	 
	 

	 	 

Employee’s Name
	 	 
	 
	 	 	 	 
	 

	 	Address:	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	Date Signed:                                                            	 	 

ESCROW AGENT:

  

 

- 14 -

 

EXHIBIT B

(STOCK ASSIGNMENT SEPARATE FROM CERTIFICATE)

FOR VALUE RECEIVED, I hereby sell, assign and transfer unto                      (                    )
shares of Common Stock, $0.01 par value per share, of Oclaro, Inc. (the “Corporation”) standing in
my name on the books of the Corporation represented by Certificate(s) Number                      herewith,
and do hereby irrevocably constitute and appoint                      attorney to transfer the
said stock on the books of the Corporation with full power of substitution in the premises.

	 	 	 	 	 
	 

	 	Dated:                                                             	 	 
	 
	 	 	 	 
	IN PRESENCE OF
	 	 	 	 
	 

	 	 

Employee’s Name
	 	 
	 
	 	 	 	 
	 

	 	 

	 	 

NOTICE: The signature(s) to this assignment must correspond with the name as written upon the
face of the certificate, in every particular, without alteration, enlargement, or any change
whatever and must be guaranteed by a commercial bank, trust company or member firm of the Stock
Exchange.

 

- 15 -

 

Oclaro, Inc.

Restricted Stock Award Agreement

Granted Under the Amended and Restated 2004 Stock Incentive Plan

This RESTRICTED STOCK AWARD AGREEMENT (“Agreement”) is made DATE OF GRANT, between
Oclaro, Inc., a Delaware corporation (the “Company”), and NAME OF EMPLOYEE
(“Participant”).

For valuable consideration, receipt of which is acknowledged, the parties hereto agree as
follows:

1. Definitions. Capitalized terms used herein but not otherwise defined in Section 12
below shall have the meanings set forth in the Amended and Restated 2004 Stock Incentive Plan (the
“Plan”).

2. Issuance of Shares. In consideration of services rendered to the Company by the
Participant, the Company shall issue to the Participant, subject to the terms and conditions set
forth in this Agreement and in the Company’s Amended and Restated 2004 Stock Incentive Plan (the
“Plan”), # of RSA shares (the “Shares”) of common stock, $0.01 par value, of the Company
(“Common Stock”). The Participant agrees that the Shares shall be subject to the
forfeiture provisions set forth in Section 3 of this Agreement and the restrictions on transfer set
forth in Section 5 of this Agreement.

3. Vesting

(a) Shares will be considered vested, if, (i) Participant remains continuously employed with
the Company or an affiliate thereto, and (ii) Audit Committee certifies that performance has been
met. 50% of the shares (upon certification 30% immediately and 70% in 12 months) will vest upon the
company reaching 35% gross margin for the December 2011 quarter as certified by the audit
committee.

(b) If Section 3(a)(i) and Section 3(a)(ii) have been met the employee will vest in 50% of the
grant total (30% of the 50% immediately, and the remaining 70% of the 50% in 12 months) if the
company reaches 35% gross margin for the December 2011 quarter as certified by the audit committee

(c) If Section 3(a)(i) and Section 3(a)(ii) have been met the employee will vest in 100% of
the grant total (30% immediately, and the remaining 70% in 12 months) if the company reaches 36%
gross margin for the December 2011 quarter as certified by the audit committee.

(d) If Participant ceases to be continuously employed by the Company or an affiliate thereto
prior to the Vesting Date for any reason (including, without limitation, by reason of the Company’s
(or applicable affiliate’s) termination of Participant’s employment with or without Cause), all of
the Shares shall automatically be forfeited to the Company as of Participant’s termination date.

 

- 1 -

 

(e) Notwithstanding anything to the contrary herein, if (i) a Change in Control occurs after
the Grant Date and prior to the Vesting Date and (ii) after the Change in Control and prior to the
Vesting Date, (A) the Company (or an affiliate thereto) terminates Participant’s employment for any
reason other than by reason of a termination for Cause or (B) Participant terminates his or her
employment with the Company (or applicable affiliate) for Good Reason, then all of the Shares shall
vest as of Participant’s termination date. For purposes of this Section 3(d), the term “Company”
shall include any successor thereto in connection with a Change of Control.

4. Automatic Sale Upon Vesting.

(a) Upon any vesting of Shares pursuant to Section 2 hereof, the Company shall sell, or
arrange for the sale of, or withhold, such number of Shares no longer subject to forfeiture under
Section 2 as is sufficient to satisfy the Company’s minimum statutory withholding obligations with
respect to the income recognized by the Participant upon the lapse of the forfeiture provisions
(based on minimum statutory withholding rates for all tax purposes that are applicable to such
income).

(b) The Participant hereby appoints the General Counsel or other designated individuals of the
Company as his/her attorney in fact to sell the Participant’s Shares in accordance with Section 3.
The Participant agrees to execute and deliver such documents, instruments and certificates as may
reasonably be required in connection with the sale or withholding of the Shares pursuant to this
Section 3

(c) The Participant represents to the Company, that as of the date hereof, he/she is not aware
of any material non-public information about the Company or the Common Stock. The Participant and
the Company have structured this Agreement to constitute a “binding contract” relating to the sale
of Common Stock pursuant to this Section 3, consistent with the affirmative defense liability under
Section 10(b) of the Securities Exchange Act of 1934 under Rule 10b5-1(c) promulgated under such
Act.

5. Restrictions on Transfer.

(a) Participant shall not sell, assign, transfer, pledge, hypothecate or otherwise dispose of,
by operation of law or otherwise (collectively “transfer”) any Shares, or any interest
therein, until such Shares have vested.

(b) The Company shall not be required (i) to transfer on its books any of the Shares which
have been transferred in violation of any of the provisions set forth in this Agreement or (ii) to
treat as owner of such Shares or to pay dividends to any transferee to whom such Shares have been
transferred in violation of any of the provisions of this Agreement.

6. Escrow. Participant shall, upon the execution of this Agreement, execute Joint
Escrow Instructions in the form attached to this Agreement as Exhibit A. The Joint Escrow
Instructions shall be delivered to the Corporate Secretary of the Company, as escrow agent
thereunder. Participant shall deliver to such escrow agent a stock assignment duly endorsed in
blank, in the form attached to this Agreement as Exhibit B, and hereby instructs the
Company to
deliver to such escrow agent, on behalf of Participant, the certificate(s) evidencing the
Shares issued hereunder. Such materials shall be held by such escrow agent pursuant to the terms
of such Joint Escrow Instructions.

 

- 2 -

 

7. Restrictive Legends. All Shares subject to this Agreement shall be subject to the
following restriction, in addition to any other restrictions that may be required under federal or
state securities laws:

“The shares of stock represented by this certificate are subject to
forfeiture provisions and restrictions on transfer set forth in a
certain Restricted Stock Agreement between the corporation and the
registered owner of these shares (or his predecessor in interest),
and such Agreement is available for inspection without charge at the
office of the Secretary of the corporation.”

8. Provisions of the Plan. This Agreement is subject to the provisions of the Plan, a
copy of which is furnished to Participant with this Agreement.

9. Withholding Taxes; No Section 83(b) Election. Regardless of any action the Company
or Participant’s employer (the “Employer”) takes with respect to any or all income tax,
social insurance, payroll tax, or other Tax-Related withholding (“Tax-Related Items”),
Participant acknowledges that the ultimate liability for all Tax-Related items legally due by
Participant is and remains Participant’s responsibility and that the Company and/or the Employer
(i) make no representations or undertakings regarding the treatment of any Tax-Related Items in
connection with any aspect of the grant, including the grant or vesting, the subsequent sale of
Shares and the receipt of any dividends; and (ii) do not commit to structure the terms of the grant
or any aspect of the Shares to reduce or eliminate Participant’s liability for Tax-Related Items or
to achieve any particular tax result. Further, if Participant becomes subject to tax in more than
one jurisdiction between the Grant Date and the date of any relevant taxable or tax withholding
event, as applicable, Participant acknowledges that the Company and/or the Employer may be required
to withhold or account for Tax-Related Items in more than one jurisdiction.

Participant shall pay or make adequate arrangements satisfactory to the Company and/or the
Employer to satisfy all withholding obligations of the Company and/or the Employer, if any. In
this regard, Participant authorizes the Company and/or the Employer to withhold all applicable
Tax-Related Items legally payable by Participant from Participant’s compensation paid to
Participant by the Company and/or the Employer or from proceeds of the sale of Shares.
Alternatively, or in addition, if permissible under local law, the Company may (i) sell or arrange
for the sale of Shares that Participant acquires to meet the withholding obligation for Tax-Related
Items and/or (ii) withhold Shares to satisfy the withholding obligation for Tax-Related Items,
provided that the Company only withholds the amount of Shares necessary to satisfy the minimum
withholding amount. Finally, Participant shall pay to the Company or the Employer any amount of
Tax-Related Items that the Company or the Employer may be required to withhold as a result of
Participant’s participation in the Plan or Participant’s purchase of Shares that cannot be
satisfied by the means previously described.

 

- 3 -

 

Participant has reviewed with Participant’s own tax advisors the federal, state, local and
other tax consequences of this investment and the transactions contemplated by this Agreement.
Participant is relying solely on such advisors and not on any statements or representations of the
Company or any of its agents. Participant understands that Participant (and not the Company) shall
be responsible for Participant’s own tax liability that may arise as a result of this investment or
the transactions contemplated by this Agreement.

PARTICIPANT AGREES NOT TO FILE AN ELECTION UNDER SECTION 83(B) OF THE CODE WITH RESPECT TO THE
ISSUANCE OF THE SHARES.

10. Nature of Grant. In accepting the grant, Participant acknowledges that:

(a) the Plan is established voluntarily by the Company, it is discretionary in nature and it
may be modified, amended, suspended or terminated by the Company at any time, unless otherwise
provided in the Plan and this Agreement;

(b) the grant of the Shares is voluntary and occasional and does not create any contractual or
other right to receive future grants of Shares, or benefits in lieu of Shares, even if Shares have
been granted repeatedly in the past;

(c) all decisions with respect to future grants, if any, will be at the sole discretion of the
Company;

(d) Participant’s participation in the Plan shall not create a right to further employment
with the Employer and shall not interfere with the ability of the Employer to terminate
Participant’s employment relationship at any time with or without cause;

(e) Participant is voluntarily participating in the Plan;

(f) the Shares are an extraordinary item that do not constitute compensation of any kind for
services of any kind rendered to the Company or the Employer, and which is outside the scope of
Participant’s employment contract, if any;

(g) the Shares are not part of normal or expected compensation or salary for any purpose,
including, but not limited to, calculating any severance, resignation, termination, redundancy, end
of service payments, bonuses, long service awards, pension or retirement benefits or similar
payments;

(h) in the event that Participant is not an employee of the Company, the Shares grant will not
be interpreted to form an employment contract or relationship with the Company; and furthermore,
the Shares grant will not be interpreted to form an employment contract with the Employer or any
subsidiary or affiliate of the Company;

(i) the future value of the underlying Shares is unknown and cannot be predicted with
certainty;

(j) the value of the Shares may increase or decrease in value;

 

- 4 -

 

(k) in consideration of the grant of the Shares, no claim or entitlement to compensation or
damages shall arise from termination or diminution in value of the Shares resulting from
termination of Participant’s employment with the Company or the Employer (for any reason
whatsoever) and Participant irrevocably releases the Company and the Employer from any such claim
that may arise; if, not withstanding the foregoing, any such claim is found by a court of competent
jurisdiction to have arisen, then, by signing this Agreement, Participant shall be deemed
irrevocably to have waived Participant’s entitlement to pursue such claim; and

(l) in the event of termination of Participant’s employment prior to the Vesting Date, for
purposes of Section 3 hereof Participant’s termination date shall be deemed to occur on the date
that Participant is no longer actively employed and shall not be extended by any notice period
mandated under the local law (e.g., active employment would not include a period of “garden leave”
or similar period pursuant to local law).

11. Data Privacy. Participant hereby explicitly and unambiguously consents to the
collection, use and transfer, in electronic or other form, of Participant’s personal data as
described in this document by and among, as applicable, the Employer, the Company and its
subsidiaries and affiliates for the exclusive purpose of implementing, administering and managing
Participant’s participation in the Plan.

Participant understands that the Company and the Employer may hold certain personal
information about Participant, including, but not limited to, Participant’s name, home address and
telephone number, date of birth, social insurance number or other identification number, salary,
nationality, job title, any Shares or directorships held in the Company, details of all options or
any other entitlement to Shares awarded, canceled, exercised, vested, unvested or outstanding in
Participant’s favor, for the exclusive purpose of implementing, administering and managing the Plan
(“Data”).

Participant understands that the recipients of the Data may be located in the United States or
elsewhere, and that the recipients’ country (e.g., the United States) may have different data
privacy laws and protections than Participant’s country. Participant understands that Participant
may request a list with the names and addresses of any potential recipients of the Data by
contacting Participant’s local human resources representative. Participant authorizes the Company
and any other possible recipients which may assist the Company (presently or in the future) with
implementing, administering and managing the Plan to receive, possess, use, retain and transfer the
Data, in electronic or other form, for the sole purpose of implementing, administering and managing
Participant’s participation in the Plan. Participant understands that Data will be held only as
long as is necessary to implement, administer and manage Participant’s participation in the Plan.
Participant understands that Participant may, at any time, view the Data, request additional
information about the storage processing of the Data, require any necessary amendments to Data or
refuse or withdraw the consents herein, in any case without cost, by contacting in writing
Participant’s local human resources representative. Participant understands, however, that
refusing or withdrawing Participant’s consent may affect Participant’s ability to participate in
the Plan. For more information on the consequences of Participant’s refusal to consent or
withdrawal of consent, Participant understands that Participant may contact Participant’s local
human resources representative.

 

- 5 -

 

12. Miscellaneous.

(a) No Rights to Employment. Participant acknowledges and agrees that the vesting of
the Shares pursuant to Section 3 hereof is earned only by satisfaction of the vesting conditions
and continuing service as an employee at the will of the Company (not through the act of being
hired or being granted the Shares hereunder). Participant further acknowledges and agrees that the
transactions contemplated hereunder and the vesting schedule set forth herein do not constitute an
express or implied promise of continued engagement as an employee for the vesting period, for any
period, or at all.

(b) Severability. The invalidity or unenforceability of any provision of this
Agreement shall not affect the validity or enforceability of any other provision of this Agreement,
and each other provision of this Agreement shall be severable and enforceable to the extent
permitted by law.

(c) Waiver. Any provision for the benefit of the Company contained in this Agreement
may be waived, either generally or in any particular instance, by the Board.

(d) Binding Effect. This Agreement shall be binding upon and inure to the benefit of
the Company and Participant and their respective heirs, executors, administrators, legal
representatives, successors and assigns, subject to the restrictions on transfer set forth in
Section 4 of this Agreement.

(e) Notice. Each notice relating to this Agreement shall be in writing and delivered
in person or by first class mail, postage prepaid, to the address as hereinafter provided. Each
notice shall be deemed to have been given on the date it is received. Each notice to the Company
shall be addressed to it at its office at 2584 Junction Avenue, San Jose, CA 95134 (Attention:
Corporate Secretary). Each notice to Participant shall be addressed to Participant at
Participant’s last known address.

(f) Pronouns. Whenever the context may require, any pronouns used in this Agreement
shall include the corresponding masculine, feminine or neuter forms, and the singular form of nouns
and pronouns shall include the plural, and vice versa.

(g) Entire Agreement. This Agreement and the Plan constitute the entire agreement
between the parties, and supersede all prior agreements and understandings, relating to the subject
matter of this Agreement.

(h) Amendment. This Agreement may be amended or modified only by a written instrument
executed by both the Company and Participant.

(i) Governing Law. This Agreement shall be construed, interpreted and enforced in
accordance with the internal laws of the State of Delaware without regard to any applicable
conflicts of laws. The parties to this Agreement agree that any suit, action or proceeding arising
out of, or with respect to, this Agreement or any judgment entered by any court in respect thereof
may be brought only in the courts located in Santa Clara County, in the State of California or the
federal district courts located within Santa Clara County, State of
California, and the parties to this Agreement accept the exclusive jurisdiction of those
courts for the purpose of any suit, action or proceeding.

 

- 6 -

 

(j) Interpretation. The interpretation and construction of any terms or conditions of
the Plan, or of this Agreement or other matters related to the Plan by the Compensation Committee
of the Board shall be final and conclusive.

(k) Participant’s Acknowledgments. Participant acknowledges that he or she: (i) has
read this Agreement; (ii) has been represented in the preparation, negotiation, and execution of
this Agreement by legal counsel of Participant’s own choice or has voluntarily declined to seek
such counsel; (iii) understands the terms and consequences of this Agreement; and (iv) is fully
aware of the legal and binding effect of this Agreement.

(l) Delivery of Certificates. Subject to Section 4 hereof, Participant may request
that the Company deliver the Shares in certificated form with respect to any Shares that have
ceased to be subject to forfeiture pursuant to Section 3.

(m) No Deferral. Notwithstanding anything herein to the contrary, neither the Company
nor Participant may defer the delivery of the Shares.

(n) Electronic Delivery. The Company may, in its sole discretion, decide to deliver
any documents related to the Shares and participation in the Plan or future Shares that may be
granted under the Plan by electronic means or to request Participant’s consent to participate in
the Plan by electronic means. Participant hereby consents to receive such documents by electronic
delivery and, if requested, to agree to participate in the Plan through an on-line or electronic
system established and maintained by the Company or another third party designated by the Company.

(o) Section 409A. The Shares are intended to be exempt from Section 409A of the Code
pursuant to Treasury Regulation section 1.409A-1(b)(6) and this Agreement shall be interpreted
consistent with this intent.

13. Definitions. For purposes of this Agreement, the following terms shall have the
respective meanings set forth below:

(a) “Cause” means: (i) Participant’s continued failure to substantially perform his or
her reasonable assigned duties as an employee of the Company; or (ii) Participant’s engagement in
illegal conduct or gross misconduct.

 

- 7 -

 

(b) “Change in Control” means an event or occurrence set forth in any one or more of
subsections (i) through (iv) below (including an event or occurrence that constitutes a Change in
Control under one of such subsections but is specifically exempted from another such subsection):

(i) the acquisition by an individual, entity or group (within the meaning of Section 13(d)(3)
or 14(d)(2) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) (any
such individual, entity or group, a “Person”) of beneficial ownership of any capital stock
of the Company if, after such acquisition, such Person beneficially owns
(within the meaning of Rule 13d-3 promulgated under the Exchange Act) fifty percent (50%) or
more of either (x) the then-outstanding shares of common stock of the Company (the “Outstanding
Company Common Stock”) or (y) the combined voting power of the then-outstanding securities of
the Company entitled to vote generally in the election of directors (the “Outstanding Company
Voting Securities”); provided, however, that for purposes of this subsection (i), the following
acquisitions shall not constitute a Change in Control: (a) any acquisition directly from the
Company (excluding an acquisition pursuant to the exercise, conversion or exchange of any security
exercisable for, convertible into or exchangeable for common stock or voting securities of the
Company, unless the Person exercising, converting or exchanging such security acquired such
security directly from the Company or an underwriter or agent of the Company), (b) any acquisition
by the Company, (c) any acquisition by any employee benefit plan (or related trust) sponsored or
maintained by the Company or any corporation controlled by the Company, or (c) any acquisition by
any corporation pursuant to a transaction which complies with clauses (a) and (b) of subsection
12(b)(iii) below; or

(ii) such time as the Continuing Directors (as defined below) do not constitute a majority of
the Board (or, if applicable, the Board of Directors of a successor corporation to the Company),
where the term “Continuing Director” means at any date a member of the Board (a) who was a
member of the Board on the date of the execution of this Agreement or (b) who was nominated or
elected subsequent to such date by at least a majority of the directors who were Continuing
Directors at the time of such nomination or election or whose election to the Board was recommended
or endorsed by at least a majority of the directors who were Continuing Directors at the time of
such nomination or election; provided, however, that there shall be excluded from this clause (b)
any individual whose initial assumption of office occurred as a result of an actual or threatened
election contest with respect to the election or removal of directors or other actual or threatened
solicitation of proxies or consents, by or on behalf of a person other than the Board; or

(iii) the consummation of a merger, consolidation, reorganization, recapitalization or
statutory share exchange involving the Company or a sale or other disposition of all or
substantially all of the assets of the Company in one or a series of transactions (a “Business
Combination”), unless, immediately following such Business Combination, each of the following
two conditions is satisfied: (a) all or substantially all of the individuals and entities who were
the beneficial owners of the Outstanding Company Common Stock and Outstanding Company Voting
Securities immediately prior to such Business Combination beneficially own, directly or indirectly,
more than fifty percent (50%) of the then-outstanding shares of common stock and the combined
voting power of the then-outstanding securities entitled to vote generally in the election of
directors, respectively, of the resulting or acquiring corporation in such Business Combination
(which shall include, without limitation, a corporation which as a result of such transaction owns
the Company or substantially all of the Company’s assets either directly or through one or more
subsidiaries) (such resulting or acquiring corporation is referred to herein as the “Acquiring
Corporation”) in substantially the same proportions as their ownership, immediately prior to
such Business Combination, of the Outstanding Company Common Stock and Outstanding Company Voting
Securities, respectively; and (b) no Person (excluding any employee benefit plan (or related trust)
maintained or sponsored by the Company or by the Acquiring Corporation) beneficially owns, directly
or indirectly, thirty percent (30%) or more of the then outstanding shares of common stock of the
Acquiring Corporation, or of the combined
voting power of the then-outstanding securities of such corporation entitled to vote generally
in the election of directors (except to the extent that such ownership existed prior to the
Business Combination); or

(iv) approval by the stockholders of the Company of a complete liquidation or dissolution of
the Company.

 

- 8 -

 

(c) “Change in Control Date” means the date upon on which a Change in Control occurs.
Notwithstanding anything to the contrary herein, if (i) a Change in Control occurs, (ii)
Participant’s employment with the Company is terminated prior to the date on which the Change in
Control occurs, and (iii) it is reasonably demonstrated by Participant that such termination of
employment (A) was at the request of a third party who has taken steps reasonably calculated to
effect a Change in Control or (B) otherwise arose in connection with or in anticipation of a Change
in Control, then for all purposes of this Agreement the “Change in Control Date” shall mean the
date immediately prior to the date of such termination of employment.

(d) “GAAP” means generally accepted accounting principles in the United States set
forth in the opinions and pronouncements of the Accounting Principles Board and the American
Institute of Certified Public Accountants and statements and pronouncements of the Financial
Accounting Standards Board, that are applicable to the circumstances of the date of determination,
consistently applied.

(e) “Good Reason” means the occurrence, without Participant’s written consent, of any
of the events or circumstances set forth in clauses (i) through (iv) below:

(i) a material diminution in Participant’s authority, duties or responsibilities as in effect
immediately prior to the earliest to occur of (a) the Change in Control Date, (b) the date of the
execution by the Company of the definitive written agreement or instrument providing for the Change
in Control or (c) the date of the adoption by the Board of a resolution providing for a Change in
Control (with the earliest to occur of such dates referred to herein as the “Measurement
Date”);

(ii) a material diminution in Participant’s base compensation as in effect on the Measurement
Date or as the same may be increased from time to time thereafter;

(iii) a change by the Company in the location at which Participant performs Participant’s
principal duties for the Company to a new location that is both (a) outside a radius of 35 miles
from Participant’s principal residence immediately prior to the Measurement Date and (b) more than
20 miles further from the location at which Participant performed Participant’s principal duties
for the Company immediately prior to the Measurement Date; or

(iv) any other action or inaction that constitutes a material breach by the Company of this
Agreement.

 

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(f) “Net Product Revenues” means the portion of the gross revenues recognized by
Oclaro, Inc. (“Parent”) (on a consolidated basis and in accordance with GAAP and Parent’s revenue
recognition policies in effect from time to time that are consistent with GAAP)
during period from January 3, 2010 through January 1, 2011 that are attributable to the sale
or license of the Specified Company Products (provided, that the calculation of any such revenues
attributable to Specified Company Products, on the one hand, and any other product or products of
the Parent or any of its Affiliates, on the other hand, shall be appropriately apportioned by
Parent between such Specified Company Products, on the one hand, and such other product or
products, on the other hand, and only that portion attributable to the Specified Company Products
shall be included for purposes of the Net Product Revenues), less applicable discounts, freight,
insurance and other shipping costs, an allowance for product returns (established in accordance
with GAAP) and an allowance for doubtful accounts (established in accordance with GAAP).

(g) “Specified Company Products” means (i) the Company’s products described on Annex
II to Exhibit A of the Merger Agreement, including any derivatives or enhancements thereof; and
(ii) Parent’s 2x1 100 Ghs WSS product if (and only if) (and only with respect to sales occurring
after): (a) the labor hours required to manufacture such product become less than or equal to the
number of labor hours currently required to manufacture the Company’s 2x1 product, as reasonably
determined by Parent; and (b) such product is of a quality equal to or better than the Company’s
current 2x1 product, as reasonably determined by Parent.

 

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IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year
first above written.

	 	 	 	 	 
	 

	 	OCLARO, INC.	 	 
	 
	 	 	 	 
	 
	 	 	 	 
	 

	 	HOLDER:	 	 
	 
	 	 	 	 
	 

	 	 

Employee’s Name
	 	 
	 
	 	 	 	 
	 

	 	Address:	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 

 

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EXHIBIT A

Oclaro, Inc.

Joint Escrow Instructions

                     _____, 2009

Corporate Secretary

Oclaro, Inc.

2584 Junction Avenue

San Jose, CA 95134

As Escrow Agent for Oclaro, Inc., a Delaware corporation, and its successors in interest under
the Restricted Stock Agreement (the “Agreement”) of even date herewith, to which a copy of these
Joint Escrow Instructions is attached (the “Company”), and the undersigned person (“Holder”), you
are hereby authorized and directed to hold the documents delivered to you pursuant to the terms of
the Agreement in accordance with the following instructions:

1. Appointment. Holder irrevocably authorizes the Company to deposit with you any
certificates evidencing Shares (as defined in the Agreement) to be held by you hereunder and any
additions and substitutions to said Shares. For purposes of these Joint Escrow Instructions,
“Shares” shall be deemed to include any additional or substitute property. Holder does hereby
irrevocably constitute and appoint you as his attorney-in-fact and agent for the term of this
escrow to execute with respect to such Shares all documents necessary or appropriate to make such
Shares negotiable and to complete any transaction herein contemplated. Subject to the provisions
of this Section 1 and the terms of the Agreement, Holder shall exercise all rights and privileges
of a stockholder of the Company while the Shares are held by you.

2. Forfeiture of Shares. Upon any forfeiture of Shares to the Company pursuant to the
terms of the Agreement, you are directed (i) to date the stock assignment form or forms necessary
for the transfer of the Shares, (ii) to fill in on such form or forms the number of Shares being
transferred, and (iii) to deliver same, together with the certificate or certificates evidencing
the Shares to be transferred, to the Company.

3. Sale of Shares upon Vesting. Upon vesting of any Shares pursuant to the terms of
the Agreement, you are directed (i) to date the stock assignment form or forms necessary for the
transfer of such number of vested Shares as may be required to be sold to satisfy the Company’s
minimum statutory withholding obligations as further described in Section 8 of the Agreement, (ii)
to fill in on such form or forms the number of Shares being sold, and (iii) to deliver same,
together with the certificate or certificates evidencing the Shares to be sold, to the Company.

 

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4. Withdrawal. The Holder shall have the right to withdraw from this escrow any
Shares which have vested pursuant to the terms of the Agreement.

5. Duties of Escrow Agent.

(a) Your duties hereunder may be altered, amended, modified or revoked only by a writing
signed by all of the parties hereto.

(b) You shall be obligated only for the performance of such duties as are specifically set
forth herein and may rely and shall be protected in relying or refraining from acting on any
instrument reasonably believed by you to be genuine and to have been signed or presented by the
proper party or parties. You shall not be personally liable for any act you may do or omit to do
hereunder as Escrow Agent or as attorney-in-fact of Holder while acting in good faith and in the
exercise of your own good judgment, and any act done or omitted by you pursuant to the advice of
your own attorneys shall be conclusive evidence of such good faith.

(c) You are hereby expressly authorized to disregard any and all warnings given by any of the
parties hereto or by any other person or entity, excepting only orders or process of courts of law,
and are hereby expressly authorized to comply with and obey orders, judgments or decrees of any
court. If you are uncertain of any actions to be taken or instructions to be followed, you may
refuse to act in the absence of an order, judgment or decrees of a court. In case you obey or
comply with any such order, judgment or decree of any court, you shall not be liable to any of the
parties hereto or to any other person or entity, by reason of such compliance, notwithstanding any
such order, judgment or decree being subsequently reversed, modified, annulled, set aside, vacated
or found to have been entered without jurisdiction.

(d) You shall not be liable in any respect on account of the identity, authority or rights of
the parties executing or delivering or purporting to execute or deliver the Agreement or any
documents or papers deposited or called for hereunder.

(e) You shall be entitled to employ such legal counsel and other experts as you may deem
necessary properly to advise you in connection with your obligations hereunder and may rely upon
the advice of such counsel.

(f) Your rights and responsibilities as Escrow Agent hereunder shall terminate if (i) you
cease to be Corporate Secretary of the Company or (ii) you resign by written notice to each party.
In the event of a termination under clause (i), your successor as Corporate Secretary shall become
Escrow Agent hereunder; in the event of a termination under clause (ii), the Company shall appoint
a successor Escrow Agent hereunder.

 

- 13 -

 

(g) If you reasonably require other or further instruments in connection with these Joint
Escrow Instructions or obligations in respect hereto, the necessary parties hereto shall join in
furnishing such instruments.

(h) It is understood and agreed that if you believe a dispute has arisen with respect to the
delivery and/or ownership or right of possession of the securities held by you hereunder, you are
authorized and directed to retain in your possession without liability to anyone all or any part of
said securities until such dispute shall have been settled either by mutual written
agreement of the parties concerned or by a final order, decree or judgment of a court of
competent jurisdiction after the time for appeal has expired and no appeal has been perfected, but
you shall be under no duty whatsoever to institute or defend any such proceedings.

(i) These Joint Escrow Instructions set forth your sole duties with respect to any and all
matters pertinent hereto and no implied duties or obligations shall be read into these Joint Escrow
Instructions against you.

(j) The Company shall indemnify you and hold you harmless against any and all damages, losses,
liabilities, costs, and expenses, including attorneys’ fees and disbursements, (including without
limitation the fees of counsel retained pursuant to Section 5(e) above, for anything done or
omitted to be done by you as Escrow Agent in connection with this Agreement or the performance of
your duties hereunder, except such as shall result from your gross negligence or willful
misconduct.

6. Notice. Any notice required or permitted hereunder shall be given in writing and
shall be deemed effectively given upon personal delivery or upon deposit in the United States Post
Office, by registered or certified mail with postage and fees prepaid, addressed to each of the
other parties thereunto entitled at the following addresses, or at such other addresses as a party
may designate by ten days’ advance written notice to each of the other parties hereto.

	 	 	 
	COMPANY:

	 	Notices to the Company shall be sent to the address set
forth in the salutation hereto, Attn: Corporate Secretary.
	 
	 	 
	HOLDER:

	 	Notices to Holder shall be sent to the address set forth
below Holder’s signature below.
	 
	 	 
	ESCROW AGENT:

	 	Notices to the Escrow Agent shall be sent to the address set
forth in the salutation hereto.

 

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7. Miscellaneous.

(a) By signing these Joint Escrow Instructions, you become a party hereto only for the purpose
of said Joint Escrow Instructions, and you do not become a party to the Agreement.

(b) This instrument shall be binding upon and inure to the benefit of the parties hereto and
their respective successors and permitted assigns.

	 	 	 	 	 
	 

	 	Very truly yours,	 	 
	 
	 	 	 	 
	 

	 	OCLARO, INC.	 	 
	 
	 	 	 	 
	 

	 	HOLDER:	 	 
	 
	 	 	 	 
	 

	 	 

Employee’s Name
	 	 
	 
	 	 	 	 
	 

	 	Address:	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	Date Signed:                                                            	 	 

ESCROW AGENT:

  

 

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EXHIBIT B

(STOCK ASSIGNMENT SEPARATE FROM CERTIFICATE)

FOR VALUE RECEIVED, I hereby sell, assign and transfer unto                      (                    )
shares of Common Stock, $0.01 par value per share, of Oclaro, Inc. (the “Corporation”) standing in
my name on the books of the Corporation represented by Certificate(s) Number                      herewith,
and do hereby irrevocably constitute and appoint                      attorney to transfer the
said stock on the books of the Corporation with full power of substitution in the premises.

	 	 	 	 	 
	 

	 	Dated:                                                             	 	 
	 
	 	 	 	 
	IN PRESENCE OF
	 	 	 	 
	 

	 	 

Employee’s Name
	 	 
	 
	 	 	 	 
	 

	 	 

	 	 

NOTICE: The signature(s) to this assignment must correspond with the name as written upon the
face of the certificate, in every particular, without alteration, enlargement, or any change
whatever and must be guaranteed by a commercial bank, trust company or member firm of the Stock
Exchange.

 

- 16 -

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