Document:

consulting agreement

 Exhibit 10.03 
 CONSULTING AGREEMENT 
 This consulting agreement (the “Agreement”), is entered into as of March 17,
2008 (the “Effective Date”) by and among Intersil Corporation, on behalf of itself and its subsidiaries (hereinafter “the Company”), with a place of business at 1001 Murphy Ranch Road, Milpitas, California 95035, and Richard M.
Beyer, whose address is 13503 Fremont Road, Los Altos, CA 94022 (hereinafter “Mr. Beyer”). 
 WHEREAS, Mr. Beyer resigned his positions as
Director and Chief Executive Officer of the Company, effective February 13, 2008; 
 WHEREAS, since his resignation as Director and Chief Executive
Officer of the Company as of February 13, 2008, Mr. Beyer has continued his employment with the Company in the capacity of a non-officer special advisor to the Chief Executive Officer and Board of Directors (the “Board”);

 WHEREAS, Mr. Beyer has informed the Board of his intent to terminate his employment with the Company, effective March 16, 2008; and 

WHEREAS, the Board has determined that it is in the best interests of the Company that Mr. Beyer continue to be available to provide advisory services to the new
Chief Executive Officer and Board after his termination of his employment through a transition period ending on April 16, 2008. 
 AGREEMENT 
 NOW, THEREFORE, in consideration of the premises and mutual promises herein contained, the parties do hereby agree as follows:

 1. CONSULTING SERVICES. During the term of this Agreement, Mr. Beyer will make himself available for and provide (upon reasonable
request from the Chief Executive Officer or Board which will not significantly interfere with obligations Mr. Beyer may have to his new employer) up to ten (10) hours per week of advice to the Company’s Chief Executive Officer and/or
the Board concerning business matters, financial matters, customer relationship issues and such other Company matters with which he has familiarity (the “Consulting Services”). Mr. Beyer will comply with and be bound by the
Company’s operating policies and procedures (as applicable to consulting arrangements) that are in effect during the term of this Agreement. This Agreement does not supersede any prior employment agreement Mr. Beyer has or had with the
Company. 
 2. TERM. The term of this Agreement will commence on the Effective Date and will end on April 16, 2008 (the “Consulting
Term”). 
 3. CONSIDERATION. Mr. Beyer will be compensated as follows: 
 (a) Stock Options. During the Consulting Term, those employee stock options previously issued to Mr. Beyer by the Company during Mr. Beyer’s employment with the Company that are scheduled to
become vested on or before April 16, 2008 will continue to vest through the Consulting Term and will be exercisable in accordance with the terms of such grants, and subject to the terms of the Company’s 1999 Equity Compensation Plan (the
“1999 Equity Plan”). Those employee stock options previously granted to Mr. Beyer that would become vested after April 16, 2008 will become unexercisable and expire on March 16, 2008. 
  

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 (b) Deferred Stock Units. During the Consulting Term, those deferred stock units (“DSUs) previously issued to
Mr. Beyer during Mr. Beyer’s employment with the Company that are scheduled to become vested on or before April 16, 2008 will continue to vest through the Consulting Term. Those DSUs previously granted to Mr. Beyer that
would become vested after April 16, 2008 will terminate and expire on March 16, 2008. Distribution of any vested DSUs will be in accordance with the terms of the respective DSU award and the terms of the 1999 Equity Plan. 
 4. INDEPENDENT CONTRACTOR. During the Consulting Term, Mr. Beyer will be an independent contractor, and not an employee or agent of the Company for
any purpose, and Mr. Beyer will have no authority to represent or bind the Company in any capacity with any party. 
 5. ASSIGNMENT. This
Agreement is a personal services agreement and may not be transferred or assigned by Mr. Beyer, and any such assignment will be void. 
 6.
CONFIDENTIALITY AND NON-DISCLOSURE. It is recognized that Mr. Beyer has acquired and may acquire confidential information, including trade secrets, computer software, and proprietary data, regarding the above matters and other affairs,
products, technologies and business of the Company during the course of this Agreement (“Confidential Information”). Mr. Beyer hereby agrees and covenants to hold in trust and confidence all such Confidential Information during and
following Mr. Beyer’s retention in accordance with the terms and conditions of the Company’s Non-Disclosure Agreement, Attachment A (attached hereto and incorporated herein by reference). At no time will Mr. Beyer divulge
Confidential Information of the Company for any purposes other than for the benefit of the Company. Any information created by Mr. Beyer while engaged in any work for the Company or while using the Company materials will be deemed to be the
Company Confidential Information, subject to the exceptions in Attachment A, and will be so marked and treated upon creation by Mr. Beyer. 
 7.
OWNERSHIP OF WORK PRODUCT. Mr. Beyer agrees that with respect to any work performed for the Company hereunder which results in Mr. Beyer’s preparation of written or verbal reports, studies, analyses, research data, proposals,
strategies or similar work product, the Company will retain exclusive right and title in and to said work product and that Mr. Beyer may not otherwise use or disclose same to third parties without the Company’s prior written approval.

 8. COMPLIANCE WITH COMPANY STANDARDS OF CONDUCT AND COMPLIANCE WITH LAW. The Company conducts its business in strict compliance with
applicable laws, rules, and regulations and with honesty, integrity, and a strong commitment to the highest standards of business ethics. Mr. Beyer agrees at all times to adhere to the Company policies in this regard, as well as any other
customary standards of business conduct including conduct prescribed by law or regulation. Mr. Beyer further agrees that he will at all times comply with all federal, state, and local laws, regulations, and orders in the performance of this
Agreement. 
 9. NOTICES. All notices and other communications hereunder will be in writing and will be deemed given if delivered personally,
telecopied (which is confirmed) or dispatched by a nationally recognized overnight courier service to the parties at the following addresses (or at such other address for a party as will be specified by like notice): 
  

	 	a.	if to the Company: 

 Intersil Corporation

 1001 Murphy Ranch Road 
 Milpitas, CA 95035 
 Attn: Office of the General Counsel 
 Fax: 408/321-9594 
 Email: ttokos@Intersil.com

  

	 	b.	if to Mr. Beyer: 

 Richard Beyer 
 Home Address 
  

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 10. GOVERNING LAW. This Agreement will be governed by, subject to, and construed in accordance with the
laws of the State of California. Venue will lie in the State of California for all causes of action under this Agreement, and both the Company and Mr. Beyer agree to be subject to the state and Federal courts of California. 
 11. CONSTRUCTION. This Agreement has been negotiated by the parties and will be interpreted fairly in accordance with its terms and without any
construction in favor of or against either party. 
 12. CAPTIONS AND HEADINGS. The captions and section and headings used in this Agreement
are inserted for convenience only and will not affect the meaning or interpretation of this Agreement. 
 13. WAIVER. The waiver by either
party of a breach of or a default under any provision of this Agreement will not be effective unless in writing and will not be construed as a waiver of any subsequent breach of or default under the same or any other provision of this Agreement, nor
will any delay or omission on the part of either party to exercise or avail itself of any right or remedy that it has or may have hereunder operate as a waiver of any right or remedy. 
 14. SEVERABILITY. If the application of any provision of this Agreement to any particular facts or circumstances will for any reason be held to be invalid, illegal or unenforceable by a court,
arbitration panel or other tribunal of competent jurisdiction, then (a) the validity, legality and enforceability of such provision as applied to any other particular facts or circumstances, and the other provisions of this Agreement, will not
in any way be affected or impaired thereby and (b) such provision will be enforced to the maximum extent possible so as to effect the intent of the parties. If, moreover, any provision contained in this Agreement will for any reason be held to
be excessively broad as to duration, geographical scope, activity or subject, it will be construed by limiting and reducing it, so as to be enforceable to the extent compatible with applicable law. 
 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the Effective Date. 
  

									
	INTERSIL CORPORATION	 		 	Richard M. Beyer
				
	By:	 	/S/ Thomas C. Tokos	 		 	/s/ Richard Beyer
		 	Vice President, General Counsel & Secretary	 		 	Name: Richard Beyer

  

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 Attachment A 
 Non-Disclosure Agreement (NDA) 
 This non-disclosure agreement (“NDA”) is made by and between the Parties to the Agreement with an
effective date the same as that of the Agreement. Either Party may receive or disclose Confidential Information under this NDA. The Party disclosing Confidential Information shall be considered the “Discloser.” The Party receiving
Confidential Information shall be considered the “Recipient.” In consideration of the mutual promises and covenants contained in this NDA, and to assure the protection and preservation of the proprietary and/or confidential nature of the
information to be disclosed or made available to each other, the Parties hereto agree as follows: 
 1. Definition. “Confidential Information”
means any non-public information, whether disclosed orally or in tangible, machine readable, or electronic form, by either of the Parties to the other, which the Discloser identifies at the time of disclosure as confidential, proprietary, secret,
private, or the like, or which under the circumstances surrounding disclosure gives indication that the information should be treated as confidential. Confidential Information includes, without limitation, any specification, layout, design, drawing,
formula, technique, algorithm, know-how, sample product, test data, information related to engineering, manufacturing, sales, marketing, management or quality control, financial information or other information related to the business operations of
the Discloser. 
 2. Use of Confidential Information. Confidential Information disclosed hereunder may only be used for in support of and to provide the
advisory service described in the Agreement (hereinafter “Authorized Purpose”), and shall be used by Recipient solely in a manner that actually or potentially benefits the Discloser, or shall not be used in a manner detrimental to
Discloser. Each Discloser represents that it has the right to disclose Confidential Information to the Recipient for the Authorized Purpose(s) stated above. 
 3. Protection of Confidential Information. Confidential Information may be exchanged between the Parties under this NDA to the extent necessary to fulfill the Authorized Purpose, and shall not be used for any other purpose. Recipient
acknowledges that the Discloser’s Confidential Information is a special, valuable and a unique asset, and agrees that it shall: (a) not disclose the Confidential Information to any third party without written consent of Discloser,
(b) restrict dissemination of Confidential Information to only its employees, contractors, or agents who are directly participating in the Authorized Purpose, who have a need to know the Confidential Information, and who are bound by a duty of
confidentiality under terms no less restrictive than contained herein concerning the use of Confidential Information, and (c) use the same degree of care as for its own information of like importance, but at least reasonable care, in preventing
disclosure of Confidential Information. Recipient further agrees not to reverse engineer, decompile, disassemble any prototypes, software, hardware or other tangible objects or products provided hereunder which embody the Confidential Information of
the Discloser. 
 4. Exceptions. This NDA imposes no obligation upon Recipient with respect to Confidential Information which is: 
 (a) public or becomes publicly available through no act or failure on part of Recipient, or 
 (b) approved in writing by the Discloser for public release or disclosure by the Recipient; or 
 (c) disclosed to a third
party by Discloser without a duty of confidentiality or is lawfully obtained by Recipient from a third party without a duty of confidentiality or restriction on disclosure, or 
 (d) independently known by or independently developed by the Recipient without the use of Confidential Information disclosed by the Discloser; or 
 (e) required to be disclosed pursuant to the order of a court of competent jurisdiction; or otherwise required to be disclosed by law through no act of the Recipient, provided, however, that the Recipient has notified
the Discloser upon learning of the possibility that disclosure could be required pursuant to any such law or legal order and has given the Discloser a reasonable opportunity to contest or limit the scope of such required disclosure and has
cooperated with the Discloser toward this end. 
 5. Term and Termination. This NDA shall be co-terminus with the Term of the Agreement. Termination shall
not, however, affect the rights and obligations included herein with respect to Confidential Information disclosed hereunder prior to termination. Upon termination of this NDA, each Party will, and 

  

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within a reasonable period of time thereafter, return all Confidential Information received from the Recipient and copies made thereof by the Recipient, or,
if acceptable to the Discloser, certify by written memorandum that all such Confidential Information has been destroyed. Each Party may retain one archival copy in its Legal Department to be used only in resolving a dispute concerning this NDA. The
obligations of the Recipient with respect to non-disclosure and use shall survive the expiration of this NDA indefinitely. 
 6. Rights and Remedies. Each
Party acknowledges that damages for improper disclosure of Confidential Information may be irreparable; therefore, the injured Party is entitled to seek equitable relief, including injunction and preliminary injunction, in addition to all other
remedies. 
 7. No Formal Business Relationship. This NDA is for the purpose of protecting Confidential Information only and shall not be construed to create
any agency, partnership, joint venture or other such relationship between the Parties except as defined in the Agreement, nor shall the exchange of Confidential Information represent any commitment by the Parties to enter into any business
relationship. If the Parties desire to pursue business opportunities, the Parties shall execute a separate written NDA to govern such business relationship. 
 8. No Obligation to Disclose or Warranty. Neither Party has an obligation to supply Confidential Information hereunder. Confidential Information disclosed hereunder is provided on an “AS IS” basis, without any warranty, whether
express, implied or otherwise, regarding its accuracy, usefulness or performance. 
 9. No Transfer or License of Intellectual Property. Recipient agrees
that all Confidential Information received is and will remain the sole property of Discloser. Neither the execution of this NDA, nor the furnishing of any Confidential Information hereunder shall be construed as a grant by implication, estoppel or
otherwise, of a license by either Party to the other to make, have made, use or sell any product using Confidential Information or as a license under any patent, patent application, utility model, copyright, maskwork right, or any other intellectual
property right. 
 10. Assignment. This NDA and the rights and obligations hereunder may not be transferred or assigned by one party without the prior
written approval of the other party hereto. Notwithstanding the foregoing, either party hereto may assign this NDA and corresponding rights hereunder to a successor-in-interest (a) to all or part of the business unit to which this NDA relates,
and (b) that agrees to abide by all obligations herein. 
 11. Export Control Laws and Regulations. Recipient agrees it will not, in any form, export,
re-export, resell, ship or divert or cause to be exported, re-exported, re-sold, shipped or diverted, directly or indirectly, any product or technical data furnished hereunder, or the direct product of such technical data, to any country for which
the United States Government requires an export license, or other approval, without first obtaining such license or approval. 
 12. Applicable Law. The law
of the state of Delaware, U.S.A. except for its choice of laws rules shall be used to construe and govern this NDA. The prevailing party in any action to enforce this NDA shall be entitled to recover reasonable attorneys fees and costs. 

13. Binding Effect. This NDA shall be binding upon each Party, its affiliates, respective employees, agents, representatives, successors, and assigns. No change,
modification, alteration, or addition to any provision hereof shall be binding unless in writing and signed by authorized representatives of both Parties. 
 14. Entire NDA. This NDA contains the entire understanding between the Parties relative to the protection of Confidential Information and supersedes all prior and collateral communications, reports, and understandings between the Parties in
respect thereto. 
  

 48Form of Performance Share Award Agreement

 Exhibit 10.60 
 GILEAD SCIENCES, INC. 
 PERFORMANCE SHARE AWARD AGREEMENT 
 RECITALS 
 A. The Corporation has implemented
the Plan for the purpose of providing incentives to attract, retain and motivate eligible Employees, Directors and Consultants to continue their service relationship with the Corporation. 
 B. Participant is to render valuable services to the Corporation (or a Related Entity), and this Agreement is executed pursuant to, and is intended to
carry out the purposes of, the Plan in connection with the Corporation’s issuance of shares of Common Stock to Participant thereunder. 
 C. All capitalized terms in this Agreement shall have the meaning assigned to them in the attached Appendix A. 
 NOW, THEREFORE, it is
hereby agreed as follows: 
 1. Grant of Restricted Stock Units. The Corporation hereby awards to
Participant, as of the Award Date indicated below, an award (the “Award”) of Performance Shares under the Corporation’s 2004 Equity Incentive Plan, as amended (the “Plan”). Each Performance Share which vests pursuant to the
terms of this Agreement shall provide Participant with the right to receive one or more shares of Common Stock on the designated issuance date. The number of shares of Common Stock subject to the awarded Performance Shares, the applicable
performance vesting requirement for those shares, the date on which those vested shares of Common Stock shall become issuable and the remaining terms and conditions governing the Award, including the applicable service vesting requirement, shall be
as set forth in this Agreement. 
 AWARD SUMMARY 
  

			
	Participant	  	____________________________________________
		
	Award Date:	  	______________________, 200_
		
	Designated Number of Performance Shares:	  	The actual number of shares of Common Stock that may become issuable pursuant to the Performance Shares awarded under this Agreement shall be determined in accordance with the Vesting
Schedule below. For purposes of the percentage calculations set forth in the Performance Vesting section of such schedule, the designated number of Performance Shares to be utilized is _____________ shares.

			
	Vesting Schedule:	  	The number of shares of Common Stock which may actually vest and become issuable pursuant to the Award shall be determined pursuant to a two-step process: (i) first the maximum number of
shares of Common Stock in which Participant can vest under the Performance Vesting section below shall be calculated on the basis of the level at which each of the Performance Goals specified on attached Schedule I is actually attained and (ii) then
the number of shares calculated under clause (i) in which Participant may actually vest shall be determined on the basis of his or her completion of the applicable Continuous Service vesting requirements set forth in Paragraph 3 of this Agreement.

		
		  	Performance Vesting: Attached Schedule I specifies the two Performance Goals to be attained for the specified Performance Period. Within ninety (90) days after the
completion of that Performance Period, the Administrator shall determine and certify the actual level of attainment for each Performance Goal. On the basis of that certified level of attainment, the number of Performance Shares will be multiplied by
the applicable percentage (which may range from 0% to 200%) determined in accordance with the percentile matrix set forth in Schedule I. The number of shares resulting from such calculation shall constitute the maximum number of shares of Common
Stock in which Participant may vest under this Award and shall be designated the “Performance-Qualified Shares.” In no event may the number of such Performance-Qualified Shares exceed 200% of the number of Performance Shares specified in
the Number of Performance Shares section above.
		
		  	To the extent any Performance Goal is attained at a level below the twentieth percentile, a portion of the Performance Shares, as determined in accordance with the percentile matrix set forth
in Schedule I, may be forfeited, and any such forfeited Performance Shares shall be immediately cancelled. Participant shall thereupon cease to have any further right, title or interest in the shares of Common Stock underlying those cancelled
Performance Shares.
		
		  	Continuous Service Vesting. The number of Performance-Qualified Shares in which Participant actually vests shall be determined on the basis of his or her satisfaction of the
Continuous-Service vesting requirements set forth in Paragraph 3.
		
		  	Change in Control Vesting. The shares of Common Stock underlying the Performance Shares subject to this Award may also vest on an accelerated basis in accordance with Paragraph
5 should a Change in Control occur prior to the completion of the Performance Period.

  

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	Issuance Date:	  	The shares of Common Stock which actually vest and become issuable pursuant to the terms of this Agreement shall be issued in accordance with the provisions of this Agreement applicable to
the particular circumstances under which such vesting occurs.

 2. Limited Transferability. Prior to the actual issuance of the shares of Common
Stock which vest hereunder, Participant may not transfer any interest in the Performance Shares subject to this Award or the underlying shares of Common Stock or pledge or otherwise hedge the sale of those Performance Shares or underlying shares,
including (without limitation) any short sale or any acquisition or disposition of any put or call option or other instrument tied to the value of the underlying shares of Common Stock. However, any shares of Common Stock which vest hereunder but
otherwise remain unissued at the time of Participant’s death may be transferred pursuant to the provisions of Participant’s will or the laws of inheritance or to Participant’s designated beneficiary or beneficiaries of this Award.
Participant may also direct the Corporation to record the ownership of any shares of Common Stock which in fact vest and become issuable hereunder in the name of a revocable living trust established for the exclusive benefit of Participant or
Participant and his or her spouse. Participant may make such a beneficiary designation or ownership directive at any time by filing the appropriate form with the Plan Administrator or its designee. 
 3. Continuous Service Requirement. The number of Performance-Qualified Shares calculated in accordance with the Performance-Vesting
provisions of Paragraph 1 and attached Schedule I represent the maximum number of shares of Common Stock in which Participant can vest hereunder. The actual number of shares of Common Stock in which Participant shall vest shall be determined as
follows: 
  

	 	•	 	 If Participant remains in Continuous Service through the date following the completion of the Performance Period on which the Administrator certifies the attained
level of the Performance Goals for that Performance Period, Participant shall vest in one hundred percent (100%) of the Performance-Qualified Shares. 

  

	 	•	 	 If Participant’s Continuous Service terminates prior to the completion of the Performance Period (or after the completion of the Performance Period but before
date the Administrator certifies the attained level of the Performance Goals for that Performance Period) by reason of death or Permanent Disability, then Participant shall vest in that number of shares of Common Stock (if any) determined by
multiplying the maximum number of Performance-Qualified Shares in which Participant could vest, based on the actual level at which the Performance Goals are attained for the Performance Period, by a fraction, the numerator of which is the number of
months of Continuous Service actually completed by Participant in such Performance Period (rounded to the closest whole month), and the denominator of which is the number of months (rounded to the closest whole number) constituting the entire
Performance Period. 

  

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	 	•	 	 If Participant’s Continuous Service ceases for any other reason (including, without limitation, any deemed cessation of Continuous Service under Paragraph 10)
prior to the completion of the Performance Period or prior to the date on which the Administrator certifies the attained level of the Performance Goals for that Performance Period, then Participant shall not vest in any of the Performance-Qualified
Shares, and all of Participant’s right, title and interest to the shares of Common Stock subject to this Award shall immediately terminate; provided, however, that should a Change in Control occur prior to the
completion of the Performance Period, then the provisions of Paragraph 5 shall govern the vesting of the Performance Shares. 

 4. Stockholder Rights and Dividend Equivalents 
 (a) The holder of this Award shall not have any
stockholder rights, including voting, dividend or liquidation rights, with respect to the shares of Common Stock subject to the Award until Participant becomes the record holder of those shares upon their actual issuance following the
Corporation’s collection of the applicable Withholding Taxes. 
 (b) Notwithstanding the foregoing, should any dividend
or other distribution, whether regular or extraordinary and whether payable in cash, securities (other than Common Stock) or other property, be declared and paid on the outstanding Common Stock while one or more Performance Shares remain subject to
this Award (i.e., the underlying shares of Common Stock are not otherwise issued and outstanding for purposes of entitlement to the dividend or distribution), then a special book account shall be established for Participant and credited with a
phantom dividend equivalent to the actual dividend or distribution that would have been paid on the maximum number of shares of Common Stock that can qualify as Performance-Qualified Shares under this Award, had that number of shares been issued and
outstanding and entitled to that dividend or distribution. As one or more shares of Common Stock subsequently vest hereunder upon the satisfaction of the applicable vesting requirements, the phantom dividend equivalents credited to those particular
shares in the book account shall vest and be distributed to Participant (in the same form the actual dividend or distribution was paid to the holders of the Common Stock entitled to that dividend or distribution or in such other form as the
Administrator deems appropriate under the circumstances) concurrently with the issuance of those vested shares. However, such distribution shall be subject to the Corporation’s collection of the Withholding Taxes applicable to that
distribution. 
 (c) To the extent the maximum number of shares of Common Stock that can qualify as Performance-Qualified
Shares under this Award are not in fact earned by reason of the levels at which the Performance Goals are actually attained, then the phantom dividend equivalents credited to those unearned shares shall be cancelled, and Participant shall cease to
have any right or entitlement to receive any distributions or other amounts with respect to those cancelled dividend equivalents. 
  

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 (d) Should Participant cease Continuous Service without vesting in one or more of the
shares of Common Stock subject to this Award (including any shares which do not otherwise vest at that time after taking into account any applicable vesting acceleration provisions set forth in Paragraphs 3 and 5 of this Agreement), then the phantom
dividend equivalents credited to those unvested shares shall be cancelled, and Participant shall thereupon cease to have any further right or entitlement to those cancelled amounts. 
 5. Change in Control. The following provisions shall apply only to the extent a Change in Control is consummated prior to the completion of
the Performance Period and shall have no force or effect in the event the effective date of the Change in Control occurs after the completion of such Performance Period. 
 (a) Should (i) the Change in Control occur within the first twelve (12) months of the Performance Period and
(ii) Participant remain in Continuous Service through the effective date of that Change in Control, then Participant shall immediately vest in that number of shares of Common Stock equal to the designated number of Performance Shares set forth
in Paragraph 1, without any measurement of Performance Goal attainment to date. 
 (b) Should (i) the Change in Control
occur at any time on or after the completion of the first twelve (12) months of the Performance Period and (ii) Participant remain in Continuous Service through the effective date of that Change in Control, then Participant shall
immediately vest in that number of shares of Common Stock equal to the greater of: 
 (i) the
designated number of Performance Shares set forth in Paragraph 1, or 
 (ii) the designated number of Performance-Qualified
Shares determined by multiplying (A) the number of Performance Shares set forth in Paragraph 1 by (B) the applicable percentage (determined in accordance with the percentile matrix in attached Schedule I) for the levels at which the
Performance Goals are attained over an abbreviated Performance Period ending with the close of the Corporation’s fiscal quarter coincident with or immediately preceding the effective date of the Change in Control. 
 (c) The provisions of subparagraphs (a) and (b) of this Paragraph 5 shall also apply should Participant’s Continuous
Service terminate, by reason of an involuntary termination other than for Cause or his or her resignation due to Constructive Termination, at any time during the period beginning with the execution date of the definitive agreement for the Change in
Control transaction and ending with the earlier of (i) the effective date of that Change in Control or (ii) the termination of the definitive agreement without the consummation of the Change in Control; provided,
however, that in no event shall Participant become entitled to any shares of Common Stock pursuant to this Paragraph 5 if the Change in Control is not in fact consummated. 
  

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 (d) Should Participant cease Continuous Service during the Performance Period by reason
of death or Permanent Disability and a Change in Control occur prior to the completion of that Performance Period, then the Participant shall, at the time of such Change in Control, vest in a pro-rated number of shares of Common Stock calculated by
multiplying (i) the number of Performance Shares or Performance-Qualified Shares determined in accordance with the applicable provisions of subparagraphs (a) and (b) of this Paragraph 5 by (ii) a fraction, the numerator of which
is the number of months of Continuous Service actually completed by Participant in such Performance Period (rounded to the closest whole month), and the denominator of which is the number of months (rounded to the closest whole number) comprising
the portion of the Performance Period ending with the earlier of (i) the effective date of the Change in Control or (ii) the last day of the abbreviated Performance Period (if any) taken into account under Paragraph 5(b)(ii). 

(e) The number of shares of Common Stock in which Participant vests on the basis of the Performance Shares or Performance-Qualified
Shares determined in accordance with the foregoing provisions of this Paragraph 5 shall be issued on the effective date of such Change in Control or as soon as administratively practicable thereafter, but in no event more than fifteen
(15) business days after such effective date. Alternatively, those vested shares of Common Stock shall be converted into the right to receive the same consideration per share of Common Stock payable to the other stockholders of the Corporation
in consummation of the Change in Control, and such consideration shall be distributed to Participant within fifteen (15) business days following the effective date of that Change in Control. Each issuance or distribution made under this
Paragraph 5(c) shall be subject to the Corporation’s collection of the applicable Withholding Taxes. 
 (f) Except for
the actual number of shares of Common Stock in which Participant vests in accordance with this Paragraph 5, Participant shall have cease to have any further right or entitlement to any additional shares of Common Stock under this Agreement following
the effective date of the Change in Control. 
 (g) This Agreement shall not in any way affect the right of the Corporation to
adjust, reclassify, reorganize or otherwise change its capital or business structure or to merge, consolidate, dissolve, liquidate or sell or transfer all or any part of its business or assets. 
 6. Adjustment in Shares. Should any change be made to the Common Stock by reason of any stock split, stock dividend,
recapitalization, combination of shares, exchange of shares, spin-off transaction, extraordinary dividend or distribution or other change affecting the outstanding Common Stock as a class without the Corporation’s receipt of consideration, or
should the value of the outstanding shares of Common Stock be substantially reduced as a result of a spin-off transaction or an extraordinary dividend or distribution, or should there occur any merger, consolidation or other reorganization, then
equitable adjustments shall be made by the Administrator to the total number and/or class of securities issuable pursuant to this Award in order to reflect such change and thereby prevent a dilution or enlargement of benefits hereunder. In making
such equitable adjustments, the Administrator 

  

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shall take into account any amounts credited to Participant’s book account under Paragraph 4(b) in connection with the transaction, and the
determination of the Administrator shall be final, binding and conclusive. In the event of any Change in Control transaction, the provisions of Paragraph 5 shall be controlling. 
 7. Issuance or Distribution of Vested Shares or Other Amounts. 
 (a) Except as otherwise provided in Paragraph 5, the shares of Common Stock in which Participant vests pursuant to the Performance and
Continuous Service vesting provisions of Paragraphs 1 and 3 shall be issued following the completion of the Performance Period, in accordance with the following provisions: 
 (i) If the applicable Performance Period is coincidental with one or more successive complete calendar years, the issuance shall be
effected during the period beginning with the first business day of the calendar year immediately succeeding the end of the Performance Period and ending on March 31 of that year. 
 (ii) If the applicable Performance Period ends on a date other than the last day of the calendar year, then the issuance shall be effected
as soon as administratively practicable following the completion of that Performance Period, but no later than the later of (A) the last day of the calendar year in which such Performance Period ends or (B the fifteenth
(15th) day of third (3rd) calendar month following the last of day of such Performance Period. 
 (b) The
Corporation shall, on the applicable issuance date, issue to or on behalf of Participant a certificate (which may be in electronic form) for the shares of Common Stock in which Participant vests pursuant to the Performance and Continuous Service
vesting provisions of Paragraphs 1 and 3 or the special vesting provisions of Paragraph 5 and shall concurrently distribute to the Participant any phantom dividend equivalents with respect to those Shares. 
 (c) Except as otherwise provided in Paragraph 5, no shares of Common Stock shall be issued prior to the completion of the Performance
Period. No fractional shares of Common Stock shall be issued pursuant to this Award, and any fractional share resulting from any calculation made in accordance with the terms of this Agreement shall be rounded down to the next whole share.

 (d) The Corporation shall collect the Withholding Taxes with respect to each distribution of phantom dividend equivalents
by withholding a portion of that distribution equal to the amount of the applicable Withholding Taxes, with the cash portion of the distribution to be the first portion so withheld. 
  

 7 

 (e) Unless Participant (i) otherwise makes satisfactory arrangements with the
Corporation’s Human Resources Department, not later than forty-five (45) days prior to the applicable vesting date of the shares of Common Stock which become issuable hereunder, to pay the applicable Withholding Taxes through the delivery
of a check payable to the Corporation in the amount of such Withholding Taxes and (ii) in fact delivers such check to the Corporation not later than that vesting date, the Corporation shall collect the applicable Withholding Taxes through the
following automatic share withholding method: 
  

	 	•	 	 On the applicable issuance date, the Corporation shall withhold, from the vested shares of Common Stock otherwise issuable to Participant at that time, a portion of
those shares with a Fair Market Value (measured as of the issuance date) equal to the applicable Withholding Taxes; provided, however, that the number of shares of Common Stock which the Corporation shall be required to so withhold
shall not exceed in Fair Market Value the amount necessary to satisfy the Corporation’s required tax withholding obligations using the minimum statutory withholding rates for federal and state tax purposes, including payroll taxes, that are
applicable to supplemental taxable income. 

 (f) Notwithstanding the foregoing provisions of Paragraphs
7(d) and 7(e), the employee portion of the federal, state and local employment taxes required to be withheld by the Corporation in connection with the vesting of the shares of Common Stock or any other amounts hereunder (the “Employment
Taxes”) shall in all events be collected from Participant no later than the last business day of the calendar year in which those shares or other amounts vest hereunder. Accordingly, to the extent the applicable issuance date for one or more
vested shares of Common Stock or the distribution date for such other amounts is to occur in a year subsequent to the calendar year in which those shares or other amounts vest, the Participant shall, on or before the last business day of the
calendar year in which such shares or other amounts vest, deliver to the Corporation a check payable to its order in the dollar amount equal to the Employment Taxes required to be withheld with respect to those shares or other amounts. The
provisions of this Paragraph 7(f) shall be applicable only to the extent necessary to comply with the applicable tax withholding requirements of Code Section 3121(v). 
 (g) Except as otherwise provided in Paragraph 5 or this Paragraph 7, the settlement of all Performance or Performance-Qualified Shares
which vest under the Award shall be made solely in shares of Common Stock. 
 8. Special Deferral Election. Provided
Participant is a U.S. tax resident and subject to Participant’s satisfaction of any applicable Withholding Tax obligations under Paragraph 7, Participant may elect to defer the receipt of any shares of Common Stock which may become issuable to
Participant pursuant to the terms of this Agreement, by submitting to the Corporation on a timely basis a deferral election in the form provided for such purpose. Such deferral election must be submitted to the Corporation prior to the last six
(6) months of the Performance Period (including any abbreviated Performance Period), and any deferral election submitted within that six (6)-month period shall have no force and effect. In submitting such deferral election, Participant must
represent that he or she understands the effect of such deferral under relevant federal, state and local income and employment tax laws, including (without limitation) the fact that Social Security, Medicare and other taxes may be due upon the
vesting of the shares of Common Stock notwithstanding the deferral election. In no event may such a deferral election be made after Participant’s cessation of Continuous Service. 
  

 8 

 9. Deferred Issuance Date. Notwithstanding any provision to the contrary in this Agreement,
to the extent this Award may be deemed to create a deferred compensation arrangement under Code Section 409A, then the following limitations shall apply: 
  

	 	•	 	 No shares of Common Stock or other amounts which become issuable or distributable under this Agreement by reason of Participant’s cessation of Continuous
Service shall actually be issued or distributed to Participant until the date of Participant’s Separation from Service or as soon thereafter as administratively practicable, but in no event later than the later of (i) the
close of the calendar year in which such Separation from Service occurs or (ii) the fifteenth day of the third calendar month following the date of such Separation from Service. 

  

	 	•	 	 No shares of Common Stock or other amounts which become issuable or distributable under this Agreement by reason of Participant’s cessation of Continuous
Service shall actually be issued or distributed to Participant prior to the earlier of (i) the first day of the seventh (7th) month following the date of such Separation from Service or (ii) the date of
Participant’s death, if Participant is deemed at the time of such Separation from Service to be a specified employee under Section 1.409A-1(i) of the Treasury Regulations issued under Code Section 409A, as determined by the
Administrator in accordance with consistent and uniform standards applied to all other Code Section 409A arrangements of the Corporation, and such delayed commencement is otherwise required in order to avoid a prohibited distribution under Code
Section 409A(a)(2). The deferred Shares or other distributable amount shall be issued or distributed in a lump sum on the first day of the seventh (7th) month following the date of Participant’s Separation from Service or, if earlier,
the first day of the month immediately following the date the Corporation receives proof of Participant’s death. 

 10. Leaves of Absence. For purposes of the applying the various Continuous Service vesting provisions of this Agreement, Participant shall be deemed to cease Continuous Service on the commencement date of any leave of
absence and not to remain in Continuous Status during the period of that leave, except to the extent otherwise required by law or pursuant to the following policy: 
  

	 	•	 	 Participant shall be deemed to remain in Continuous Service status during (i) the first three (3) months of an approved personal leave of absence or
(ii) the first seven (7) months of any bona fide leave of absence (other than an approved personal leave) and shall be deemed to cease Continuous Service upon the expiration of the applicable three (3)-month or seven (7)-month period.

  

 9 

	 	•	 	 In no event, however, shall Participant be deemed to remain in Continuous Service beyond the earlier of (i) the expiration date of the approved
or bona fide leave of absence, unless Participant returns to active Continuous Service on or before that date, or (ii) the date Participant’s Continuous Service actually terminates during that leave by reason of his or her voluntary or
involuntary termination or by reason of his or her death or disability. 

 11. Compliance with Laws and
Regulations. The issuance of shares of Common Stock pursuant to the Award shall be subject to compliance by the Corporation and Participant with all Applicable Laws relating thereto. 
 12. Notices. Any notice required to be given or delivered to the Corporation under the terms of this Agreement shall be in writing and
addressed to the Corporation at its principal corporate offices. Any notice required to be given or delivered to Participant shall be in writing and addressed to Participant at the most current address then indicated for Participant on the
Corporation’s employee records or shall be delivered electronically to Participant through the Corporation’s electronic mail system or through an on-line brokerage firm authorized by the Corporation to effect sales of the Common Stock
issued hereunder. All notices shall be deemed effective upon personal delivery or delivery through the Corporation’s electronic mail system or upon deposit in the U.S. mail, postage prepaid and properly addressed to the party to be notified.

 13. Successors and Assigns. Except to the extent otherwise provided in this Agreement, the provisions of this Agreement
shall inure to the benefit of, and be binding upon, the Corporation and its successors and assigns and Participant, Participant’s assigns, the legal representatives, heirs and legatees of Participant’s estate and any beneficiaries of the
Award designated by Participant. 
 14. Construction. This Agreement and the Award evidenced hereby are made and granted
pursuant to the Plan and are in all respects limited by and subject to the terms of the Plan. In the event of any conflict between the provisions of this Agreement and the terms of the Plan, the terms of the Plan shall be controlling. All decisions
of the Administrator with respect to any question or issue arising under the Plan or this Agreement shall be conclusive and binding on all persons having an interest in the Award. 
 15. Governing Law. The interpretation, performance and enforcement of this Agreement shall be governed by the laws of the State of
California without resort to that State’s conflict-of-laws rules. 
 16. Employment at Will. Nothing in this Agreement or
in the Plan shall confer upon Participant any right to remain in Continuous Service for any period of specific duration or interfere with or otherwise restrict in any way the rights of the Corporation (or any Related Entity employing or retaining
Participant) or of Participant, which rights are hereby expressly reserved by each, to terminate Participant’s Continuous Service at any time for any reason, with or without Cause. 
  

 10 

 17. Plan Prospectus. The official prospectus for the Plan is available on the
Corporation’s intranet at: http://gnet/ HR/stocks_new.asp. Participant may also obtain a printed copy of the prospectus by contacting Stock Administration either through the internet at stockadministration@gilead.com or by
telephoning 650-522-5517. 
 18. Participant Acceptance. Participant must accept the terms and conditions of this Agreement
either electronically through the electronic acceptance procedure established by the Corporation or through a written acceptance delivered to the Corporation in a form satisfactory to the Corporation. In no event shall any shares of Common Stock be
issued under this Agreement in the absence of such acceptance. 
 IN WITNESS WHEREOF, Gilead Sciences, Inc. has caused this Agreement
to be executed on its behalf by its duly-authorized officer on the day and year first indicated above. 
  

			
	GILEAD SCIENCES, INC.
		
	By:	 	 
	Title:	 	 

  

 11 

 APPENDIX A  
 DEFINITIONS 
 The following definitions shall be in effect under the Agreement: 
 A. Administrator shall mean the Compensation Committee of the Board acting in its capacity as administrator of the Plan. 
 B. Agreement shall mean this Performance Share Award Agreement. 
 C. Applicable Laws shall mean the legal requirements related to the Plan and the Award under applicable provisions of the federal
securities laws, state corporate and securities laws, the Code, the rules of any applicable Stock Exchange on which the Common Stock is listed for trading, and the rules of any non-U.S. jurisdiction applicable to Awards granted to residents therein.

 D. Award shall mean the award of Performance Shares made to Participant pursuant to the terms of this Agreement. 

E. Award Date shall mean the date the Performance Shares are awarded to Participant pursuant to the Agreement and shall be the date
indicated in Paragraph 1 of the Agreement. 
 F. Board shall mean the Corporation’s Board of Directors. 
 G. Cause shall have the meaning assigned to such term in Section 11(c) of the Plan. 
 H. Change in Control shall mean a change in ownership or control of the Corporation effected through the consummation of any of the
following transactions: 
 (i) a merger, consolidation or other reorganization approved by the Corporation’s
stockholders, unless securities representing more than fifty percent (50%) of the total combined voting power of the voting securities of the successor corporation are immediately thereafter beneficially owned, directly or indirectly and
in substantially the same proportion, by the persons who beneficially owned the Corporation’s outstanding voting securities immediately prior to such transaction; 
 (ii) a sale, transfer or other disposition of all or substantially all of the Corporation’s assets; 
  

 A-1 

 (iii) the closing of any transaction or series of related transactions pursuant to which
any person or any group of persons comprising a “group” within the meaning of Rule 13d-5(b)(1) of the 1934 Act (other than the Corporation or a person that, prior to such transaction or series of related transactions, directly or
indirectly controls, is controlled by or is under common control with, the Corporation) becomes directly or indirectly (whether as a result of a single acquisition or by reason of one or more acquisitions within the twelve (12)-month period ending
with the most recent acquisition) the beneficial owner (within the meaning of Rule 13d-3 of the 1934 Act) of securities possessing (or convertible into or exercisable for securities possessing) more than fifty percent (50%) of the total
combined voting power of the Corporation’s outstanding securities (as measured in terms of the power to vote with respect to the election of Board members) outstanding immediately after the consummation of such transaction or series of related
transactions, whether such transaction involves a direct issuance from the Corporation or the acquisition of outstanding securities held by one or more of the Corporation’s existing stockholders; or 
 (iv) a change in the composition of the Board over a period of twelve (12) consecutive months or less such that a majority of the
Board members ceases, by reason of one or more contested elections for Board membership, to be comprised of individuals who either (A) have been Board members continuously since the beginning of such period or (B) have been elected or
nominated for election as Board members during such period by at least a majority of the Board members described in clause (A) who were still in office at the time the Board approved such election or nomination. 
 In no event, however, shall a Change in Control be deemed to occur upon a merger, consolidation or other reorganization effected primarily to change the
State of the Corporation’s incorporation or to create a holding company structure pursuant to which the Corporation becomes a wholly-owned subsidiary of an entity whose outstanding voting securities immediately after its formation are
beneficially owned, directly or indirectly and in substantially the same proportion, by the persons who beneficially owned the Corporation’s outstanding voting securities immediately prior to the formation of such entity. Should such holding
company structure or other Parent entity be established for the Corporation, then subparagraph (iv) shall be applied solely to the board of directors of that holding company or Parent entity. 
 I. Code shall mean the Internal Revenue Code of 1986, as amended. 
 J. Common Stock shall mean shares of the Corporation’s common stock. 
 K. Constructive Termination shall have the meaning assigned to such term in Section 11(d) of the Plan. 
  

 A-2 

 L. Consultant shall mean any person, including an advisor, who is compensated by the
Corporation or any Related Entity for services performed as a non-employee consultant; provided, however, that the term “Consultant” shall not include non-employee Directors serving in their capacity as Board members.
The term “Consultant” shall include a member of the board of directors of a Related Entity. 
 M. Continuous Service
shall mean the performance of services for the Corporation or a Related Entity (whether now existing or subsequently established) by a person in the capacity of an Employee, Director or Consultant. For purposes of this Agreement, Participant
shall be deemed to cease Continuous Service immediately upon the occurrence of either of the following events: (i) Participant no longer performs services in any of the foregoing capacities for the Corporation or any Related Entity or
(ii) the entity for which Participant is performing such services ceases to remain a Related Entity of the Corporation, even though Participant may subsequently continue to perform services for that entity. In jurisdictions requiring notice in
advance of an effective termination of Participant’s service as an Employee, Director or Consultant, Continuous Service shall be deemed to terminate upon the actual cessation of such service to the Corporation or a Related Entity
notwithstanding any required notice period that must be fulfilled before Participant’s termination as an Employee, Director or Consultant can be effective under Applicable Laws. 
 N. Corporation shall mean Gilead Sciences, Inc., a Delaware corporation, and any successor corporation to all or substantially all of the
assets or voting stock of Gilead Sciences, Inc. which shall by appropriate action adopt the Plan. 
 O. Director shall mean a
member of the Board. 
 P. Employee shall mean an individual who is in the employ of the Corporation (or any Related Entity),
subject to the control and direction of the employer entity as to both the work to be performed and the manner and method of performance. 
 Q. Fair Market Value per share of Common Stock on any relevant date shall be the closing price per share of Common Stock (or the closing bid, if no sales were reported), as quoted on the Stock Exchange serving as the primary
trading market for the Common Stock, on the last market trading day prior to the date of determination, as reported in The Wall Street Journal or such other source as the Administrator deems reliable. 
 R. 1934 Act shall mean the Securities Exchange Act of 1934, as amended from time to time. 
 S. Participant shall mean the person to whom the Award is made pursuant to the Agreement. 
  

 A-3 

 T. Parent shall mean any corporation (other than the Corporation) in an unbroken chain of
corporations ending with the Corporation, provided each corporation in the unbroken chain (other than the Corporation) owns, at the time of the determination, stock possessing fifty percent (50%) or more of the total combined voting power of
all classes of stock in one of the other corporations in such chain. 
 U. Performance Goals shall mean the performance goals
specified on attached Schedule I which must be attained in order to satisfy the performance vesting requirements for the shares of Common Stock subject to this Award. 
 V. Performance Period shall mean the period specified on attached Schedule I over which the attainment of the Performance Goals is to be measured. 
 W. Performance-Qualified Shares shall mean the maximum number of shares of Common Stock in which Participant can vest based on the level at
which the Performance Goals for the Performance Period are attained and shall be calculated in accordance with the provisions of this Agreement. In no event shall the number of such Performance-Qualified Shares exceed two hundred percent
(200%) of the number of Performance Shares designated in Paragraph 1 of this Agreement. 
 X. Performance Share shall mean
the phantom shares of Common Stock awarded under this Agreement which will entitle Participant to receive one or more actual shares of Common Stock pursuant to this Award upon the satisfaction of the performance and Continuous Service vesting
requirements applicable to such Award. 
 Y. Permanent Disability shall mean the inability of
Participant to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment expected to result in death or to be of continuous duration of twelve (12) months or more. 
 Z. Plan shall mean the Corporation’s 2004 Equity Incentive Plan, as amended. 
 AA. Related Entity shall mean (i) any Parent or Subsidiary of the Corporation and (ii) any corporation in an unbroken chain of
corporations beginning with the Corporation and ending with the corporation in the chain for which Participant provides services as an Employee, Director or Consultant, provided each corporation in such chain owns securities representing at least
fifty percent (50%) of the total outstanding voting power of the outstanding securities of another corporation or entity in such chain. 
 BB. Separation from Service shall mean the Participant’s cessation of Employee status by reason of his or her death, retirement or termination of employment. The Participant shall be deemed to have terminated employment
for such purpose at such time as the level of his or her bona fide services to be performed as an Employee (or as a consultant or independent contractor) permanently decreases to a level that is not more than twenty percent (20%) of the average
level of services he or she rendered as an Employee during the immediately 

  

 A-4 

 
preceding thirty-six (36) months (or such shorter period for which he or she may have rendered such services). Solely for purposes of determining when a
Separation from Service occurs, Participant will be deemed to continue in “Employee” status for so long as he or she remains in the employ of one or more members of the Employer Group, subject to the control and direction of the employer
entity as to both the work to be performed and the manner and method of performance. “Employer Group” means the Corporation and any Parent or Subsidiary and any other corporation or business controlled by, controlling or under common
control with, the Corporation, as determined in accordance with Sections 414(b) and (c) of the Code and the Treasury Regulations thereunder, except that in applying Sections 1563(1), (2) and (3) for purposes of determining the
controlled group of corporations under Section 414(b), the phrase “at least 50 percent” shall be used instead of “at least 80 percent” each place the latter phrase appears in such sections and in applying
Section 1.414(c)-2 of the Treasury Regulations for purposes of determining trades or businesses that are under common control for purposes of Section 414(c), the phrase “at least 50 percent” shall be used instead of “at
least 80 percent” each place the latter phrase appears in Section 1.4.14(c)-2 of the Treasury Regulations. Any such determination as to Separation from Service, however, shall be made in accordance with the applicable standards of the Treasury
Regulations issued under Section 409A of the Code. 
 CC. Stock Exchange shall mean the American Stock Exchange, the
Nasdaq Global or Global Select Market or the New York Stock Exchange. 
 DD. Subsidiary shall mean any corporation (other than
the Corporation) in an unbroken chain of corporations beginning with the Corporation, provided each corporation (other than the last corporation) in the unbroken chain owns, at the time of the determination, stock possessing fifty percent
(50%) or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. 
 EE.
Vesting Schedule shall mean the schedule set forth in Paragraph 1 of the Agreement, pursuant to which the Performance Shares and the underlying shares of Common Stock are to vest upon the satisfaction of the performance and Continuous
Service vesting requirements applicable to this Award. 
 FF. Withholding Taxes shall mean the federal, state and local income
taxes and the employee portion of the federal, state and local employment taxes required to be withheld by the Corporation in connection with the vesting and issuance of the shares of Common Stock which vest under of the Award, any phantom dividend
equivalents distributed with respect to those shares and any other amounts distributable in replacement or substitution of such shares. 
  

 A-5 

 SCHEDULE I 
 PERFORMANCE GOALS AND PERFORMANCE PERIOD 
 PERFORMANCE PERIOD 
 The measurement period for the Performance Shares awarded to Participant shall be the three-year period beginning January 1, 2008 and ending
December 31, 2010 (the “Performance Period”). 
 PERFORMANCE GOALS FOR PERFORMANCE VESTING 
 Performance Goal One – Total Shareholder Return: The first performance vesting requirement for the Performance Shares awarded to
Participant shall be tied to the percentile level at which the total shareholder return (including stock price appreciation and reinvestment of any cash dividends or other stockholder distributions) to the Corporation’s stockholders over the
Performance Period stands in relation to the total shareholder return realized for that period by the companies comprising the AMEX BioPharma Index. 
 For such purpose, the total shareholder return (“TSR”) shall be determined pursuant to the following formula: 
 TSR = (Ending Stock Price* - Beginning Stock Price**) + Reinvested Dividends***  
 Beginning Stock
Price** 
 * Ending Stock Price is the average daily closing price per share calculated for all trading days within the entire duration of
the Performance Period. 
 ** Beginning Stock Price is the average daily closing price per share calculated for all trading days within the
2007 calendar year. 
 *** Reinvested Dividends shall be calculated by multiplying (i) the aggregate number of shares (including
fractional shares) that could have been purchased during the Performance Period had each cash dividend paid on a single share during that period been immediately reinvested in additional shares (or fractional shares) at the closing selling price per
share on the applicable dividend payment date by (ii) the average daily closing price per share calculated for the entire duration of the Performance Period. 
 Each of the foregoing amounts shall be equitably adjusted for stock splits, stock dividends, recapitalizations and other similar events affecting the shares in question without the issuer’s receipt of
consideration. 
 For companies in the AMEX BioPharma Index which are not on a calendar fiscal year, TSR will be measured on the basis of
their four fiscal quarters each year that coincide with the Corporation’s calendar fiscal year. 
  

 I-1 

 Should a Change in Control occur during the Performance Period, then TSR will be measured on the basis of
daily closing prices and reinvested dividends over an abbreviated Performance Period ending with the Corporation’s last complete fiscal quarter coincident with or immediately preceding the effective date of that Change in Control. 

Performance Goal Two - Revenue Growth: The second performance vesting requirement for the Performance Shares shall be tied to the
percentile level at which Corporation’s revenue growth for that same 3-year period stands in relation to the revenue growth realized for that period by the companies comprising the AMEX BioPharma Index. 
 For such purpose, revenue growth shall be determined pursuant to the following formula: 
 Revenue Growth = (Ending Revenue** - Beginning Revenue*) 
                 Beginning Revenue* 
 * Ending
Revenue is the annual revenue recognized for financial reporting purposes (on a consolidated basis) for the last completed calendar year in the Performance Period. 
 ** Beginning Revenue is the annual revenue recognized for financial reporting purposes (on a consolidated basis) for the 2007 calendar year. 
 Revenue Growth shall be calculated for the Corporation and each company comprising the AMEX BioPharma Index on a calendar fiscal year basis, whether or
not that company is on a calendar fiscal year. Accordingly, for each non-calendar fiscal year company, Ending Revenue shall be measured on the basis of its four fiscal quarters falling within the 2010 calendar year. 
 Should a Change in Control occur during the Performance Period, then Ending Revenue for the Corporation and each company comprising the AMEX BioPharma
Index shall be calculated by multiplying (i) the quarterly revenue for each such company for the fiscal quarter ending coincident with or immediately prior to the effective date of the Change in Control by four (4). 
 Performance-Qualified Shares: The actual number of Performance-Qualified Shares may range from 0% to 200% of the number of Performance
Shares designated in Paragraph 1 of this Agreement, with the actual percentage to be determined on the basis of the percentile level at which the Administrator certifies that each Performance Goal has been attained in relation to the corresponding
Performance Goal for the companies comprising the AMEX BioPharma Index; provided, however, that the maximum number of the shares of the Corporation’s common stock that may qualify as Performance-Qualified Shares may not exceed
200% of the number of Performance Shares designated in Paragraph 1 of this Agreement. 
  

 I-2 

 Matrix for Determining Number of Performance-Qualified Shares Based on Attained Levels of
Performance Goals: The number of shares of the Corporation’s common stock that may qualify as Performance-Qualified Shares on the basis of the certified percentile levels of attainment shall be calculated by multiplying the number of
Performance Shares designated in Paragraph 1 of this Agreement by the applicable percentage determined in accordance with the following matrix: 
 TSR of
Corporation vs. AMEX BioPharma Index 
  

																
	 3 80th percentile
	  	100.0	%	 	110.0	%	 	150.0	%	 	175.0	%	 	200.0	%
	 60th to 79th percentile
	  	75.0	%	 	85.0	%	 	125.0	%	 	150.0	%	 	175.0	%
	 40th to 59th percentile
	  	50.0	%	 	60.0	%	 	100.0	%	 	125.0	%	 	150.0	%
	 20th to 39th percentile
	  	10.0	%	 	20.0	%	 	60.0	%	 	85.0	%	 	110.0	%
	 < 20th percentile
	  	0.0	%	 	10.0	%	 	50.0	%	 	75.0	%	 	100.0	%
		  	< 20th
percentile	 
 	 	20th to 39th
percentile	 
 	 	40th to 59th
percentile	 
 	 	60th to 79th
percentile	 
 	 	3 80th
percentile	 
 

 Revenue Growth of Corporation vs. AMEX BioPharma Index 
  

 I-3

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