Document:

Exhibit
10.1

 

DAVID PETERSCHMIDT

EMPLOYMENT AGREEMENT

 

THIS
EMPLOYMENT AGREEMENT (this “Agreement”) is
dated as of July 1, 2010 by and between CIBER, INC., a Delaware
corporation (the “Company”), and
DAVID PETERSCHMIDT (the “Executive”).

 

WHEREAS,
the Company desires to employ the Executive as its President and Chief
Executive Officer and the Executive desires to accept such employment, on the
terms set forth below.

 

Accordingly,
the parties hereto agree as follows:

 

1.                                       Term.  The Company hereby employs the Executive, and
the Executive hereby accepts such employment for an initial term commencing as
of the date hereof and ending July 1, 2013 (the “Initial Term”)
unless sooner terminated in accordance with the provisions of Section 4 or
Section 5, and which shall automatically renew for additional one year
terms unless three months advance notice is given of non-renewal (the period
during which the Executive is employed hereunder being hereinafter referred to
as the “Term”). 
Anything herein to the contrary notwithstanding, if on the date of a
Change in Control, the remaining Term is less than 24 months, the Term shall be
automatically extended to the end of the 24 month period following such Change
in Control

 

2.                                       Duties.

 

(a)   
The Executive, in his capacity as President and Chief Executive Officer (“CEO”) shall faithfully perform for the Company the duties of
said office and shall perform such other duties of an executive, managerial, or
administrative nature, as shall be specified and designated from time to time
by the board of directors or similar governing body of the Company (the “Board”) (including the performance of services for, and
serving on the Board of Directors of, any subsidiary or affiliate of the
Company without any additional compensation). 
The Executive will be based at the Company’s headquarters, presently
located in Greenwood Village, Colorado. 
The Executive shall devote substantially all of the Executive’s business
time and effort to the performance of the Executive’s duties hereunder, provided
that in no event shall this sentence prohibit the Executive from performing
personal and charitable activities and any other activities approved by the
Board, so long as such activities do not materially and adversely interfere
with the Executive’s duties for the Company.

 

(b)   
The Company shall nominate Executive for election (or re-election, as the case
may be) as a member of the Board for so long as Executive remains Chief
Executive Officer of the Company.

 

 

3.                                       Compensation.

 

3.1                                 Salary.  The Company shall pay the Executive during
the Term a base salary at the rate of $600,000 per annum (the “Annual Salary”), payable bi-weekly and subject to regular
deductions and withholdings as required by law. 
The Annual Salary may be increased annually by an amount as may be
approved by the Board, and, upon such increase, the increased amount shall
thereafter be deemed to be the Annual Salary for purposes of this Agreement.

 

3.2                                 Bonus.  The Executive will be entitled to such
bonuses as may be authorized by the Board based on achievement of performance
targets specified annually by the Board. 
The Executive’s bonus amount will be 100% of Annual Salary if the target
is achieved for the respective fiscal year. 
For the fiscal year ending December 31, 2010, the Executive’s bonus
amount (the “2010 Bonus Amount”) shall be no
less than 80% and no greater than 100% of Annual Salary.  In the event that between 80% and 100% of the
2010 performance target is achieved, the 2010 Bonus Amount shall equal the
percentage of the 2010 performance target achieved multiplied by Annual
Salary.  The 2010 Bonus Amount shall be
pro rated based on the portion of the year that the Executive is employed by
the Company.  For the fiscal years ending
December 31, 2011 and beyond there shall be no minimum guaranteed bonus
amount, thus, the bonus paid to the Executive may be greater or lesser than
100% of Annual Salary based upon whether the target performance factors have
been achieved or exceeded.  Any Annual
Bonus payable to the Executive hereunder shall be paid 100% in cash and shall
be paid no later than 2 1⁄2 months following the fiscal year with respect to
which the bonus is earned.

 

3.3                                 Equity-Based Awards.   The Executive may from time to time be
awarded such restricted stock units, stock options, or other equity-based
awards as the Board determines in its sole discretion to be appropriate, which
awards shall be evidenced by separate award agreements.  On the date hereof (or promptly upon the
Executive commencing services hereunder), the Executive shall be awarded, as an
inducement grant outside of the Equity Incentive Plan, 1,400,000 stock options
(the “Initial Equity Grant”), twenty-five
percent (25%) of which shall vest on July 1, 2011, twenty-five percent
(25%) of which shall vest on July 1, 2012, twenty-five percent (25%) of
which shall vest on July 1, 2013 and twenty-five percent (25%) of which
shall vest on July 1, 2014 (each such date, a “Scheduled
Vesting Date,” and the last such date, the “Final
Vesting Date”), in each case subject to the Executive’s continued
employment.  Stock options that comprise
the Initial Equity Grant shall have a term of seven (7) years from the
date of the Initial Equity Grant (the last date of such term, the “Option Expiration Date”). 
The Initial Equity Grant shall be subject to the terms and conditions
set forth in the Equity Incentive Plan to the extent applicable, a copy of
which is attached hereto as Exhibit “A” and by this reference made a part
hereof (as may be amended from time to time). 
For the purposes of this Section 3.3, “Equity
Incentive Plan” shall mean the CIBER, Inc. 2004 Incentive Plan
(as amended and restated as of February 28, 2010).

 

3.4                                 Benefits — In General.  The Executive shall have the right during the
Term to participate in any group life, medical, dental or disability insurance
plans, health programs, pension and profit sharing plans and similar benefits
that are made available to other senior 

 

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executives
of the Company generally, on the same or more favorable terms (as determined by
the Board in its sole discretion) as may be made available to such other
executives, in each case to the extent that the Executive is eligible under the
terms of such plans or programs.

 

3.5                                 Vacation / Personal Days.  During the Term, the Executive shall be
entitled to take vacation and/or personal days in accordance with the Company’s
human resources policies for senior executives.

 

3.6                                 Expenses - General.  The Company shall pay or reimburse the Executive
for all ordinary and reasonable out-of-pocket expenses actually incurred (and,
in the case of reimbursement, paid) by the Executive during the Term in the
performance of the Executive’s services under this Agreement, provided that the
Executive submits such expenses in accordance with the policies applicable to
senior executives of the Company generally.

 

3.7                                 Moving and Relocation Expenses and Housing Allowance.  The Company shall
reimburse the Executive for reasonable expenses actually incurred by the
Executive to move personal effects from San Francisco, California to the
Denver, Colorado metropolitan area.  The
Company shall reimburse the Executive monthly for rent, electricity, gas and
water expenses actually incurred by the Executive for interim housing in the
Denver, Colorado metropolitan area, in an amount not to exceed $6,000 per month
starting on July 1, 2010 and ending on March 31, 2011 (or such
earlier date as the Executive is no longer incurring such interim housing
expenses).  This Section 3.7
comprises the only relocation expenses of the Executive for which the Company
will be responsible.

 

3.8                                 Business Travel.  The Executive shall be subject to the Company’s
travel policy, as may be amended from time to time, when the Executive is
required to travel for business; provided, however, that the Executive shall
have the right to cause the Company to amend its travel policy.

 

4.                                       Termination upon Death or Disability.  If the Executive
dies during the Term, the obligations of the Company to or with respect to the
Executive shall terminate in their entirety, except as otherwise provided under
this Section 4.  If the Executive
becomes eligible for disability benefits under the Company’s long-term
disability plans and arrangements (or, if none apply, would have been so
eligible under the most recent plan or arrangement), the Company shall have the
right, to the extent permitted by law, to terminate the employment of the
Executive solely as a result of such disability upon notice in writing to the
Executive and such termination in and of itself shall not be, nor shall it be
deemed to be, a breach of this Agreement; provided that, the Company will have
no right to terminate the Executive’s employment if, in the opinion of a
qualified physician reasonably acceptable to the Company, it is reasonable to
assume that the Executive will be able to resume the Executive’s duties on a
regular full-time basis within 90 days of the date the Executive receives
notice of such termination.

 

Upon
death of the Executive or upon termination of the Executive’s employment by
virtue of his qualification for long-term disability (i) the Executive (or
the Executive’s estate 

 

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or
beneficiaries in the case of the death of the Executive) shall have no right to
receive any compensation or benefits under this Agreement on and after the
Effective Date of the Termination (as defined below in this Section 4),
other than the Annual Salary earned and unpaid under this Agreement prior to the
Effective Date of the Termination, a pro-rata bonus with respect to the
calendar year in which the Effective Date of Termination occurred to the extent
performance goals related to the bonus have been achieved (to be paid at the
same time bonuses are normally paid for the year), and other benefits (and
reimbursement under this Agreement for expenses incurred but not paid prior to
the Effective Date of the Termination), (ii) all unvested equity awards
held by the Executive (other than the Initial Equity Grant) shall vest
proportionately through the Effective Date of the Termination, provided,
however, that if the equity awards are subject to performance vesting
requirements, such vesting will only occur to the extent the performance goals
for any pending bonus period(s) are subsequently determined to have been
achieved, (iii) the unvested portion of the Initial Equity Grant (the “Unvested Initial Grant Portion”) shall vest based upon the
following formula: the Unvested Initial Grant Portion times the Pro-Rata
Vesting Percentage (as defined below), and (iv) all vested equity awards
(including the vested portion of the Initial Equity Grant) must be exercised by
the earlier of (A) the one-year anniversary of the Effective Date of the
Termination, and (B) the Option Expiration Date.  The “Pro-Rata Vesting
Percentage” means the number of days elapsed between the prior
Scheduled Vesting Date and the Effective Date of the Termination divided by
the number of days occurring between the prior Scheduled Vesting Date and the
Final Vesting Date.   In the event of a termination of the Executive’s
employment as a result of his qualification for long-term disability, in
addition to the amount specified in the first sentence of this paragraph, the
Executive will also be entitled to receive disability benefits under the
Company’s then existing long-term disability plans and arrangements.  This Agreement shall otherwise terminate upon
the Effective Date of the Termination and there shall be no further rights with
respect to the Executive hereunder (except as provided in Section 8.14).  For purposes of this Section 4, the “Effective Date of the Termination” shall mean the date of
death or the date on which a notice of termination by virtue of Executive’s
qualification for long-term disability is given by the Company or any later
date set forth in such notice of termination.

 

For
the avoidance of doubt, the Executive acknowledges and agrees that the payments
set forth in this Section 4 constitute liquidated damages for termination
of his employment during the Term upon his death or by virtue of his
qualification for long-term disability.

 

5.                                       Other Terminations of Employment.

 

5.1                                 Termination for Cause; Termination of Employment by the
Executive Without Good Reason; Approved Retirement.

 

(a)                                  For purposes of this Agreement, “Cause”
shall mean:

 

(i)                                     the Executive being indicted or charged with a crime
constituting a felony;

 

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(ii)                                  the Executive’s commission of an act of fraud, theft or dishonesty
with respect to the Company;

 

(iii)                               the  continuing
failure or habitual neglect by the Executive to perform the Executive’s duties
hereunder;

 

(iv)                              any material violation of the Company’s announced policies
including without limitation, the Company’s Code of Business Conduct and
Ethics, a copy of which is attached hereto as Exhibit “B” and by this
reference made a part hereof (as may be amended and published from time to
time); or

 

(v)                                 the Executive’s material breach of this Agreement.

 

Notwithstanding
the foregoing, (X) if there exists (without regard to this sentence) an
event or condition that constitutes Cause under clauses (iii), (iv) or (v) above
that is capable of being cured by the Executive, the Board shall notify the
Executive in writing of the existence of such event or condition and the
Executive shall have thirty (30) days from the date of such notice to cure such
event or condition and, if the Executive does so, such event or condition shall
not constitute Cause hereunder and (Y) any determination of the existence
of an event or condition that constitutes Cause shall be made by at least 2/3
of the members of the Board (excluding the Executive).

 

(b)                                 For purposes of this Agreement, “Good Reason”
shall mean, unless otherwise consented to in writing by the Executive:

 

(i)                                     the assignment to the Executive of duties or
responsibilities which are materially inconsistent with the Executive’s level
of duties and responsibilities as the CEO of the Company and its subsidiaries,
or any material diminution in the nature or status of the Executive’s duties or
responsibilities as the CEO of the Company and its subsidiaries (including,
without limitation, the Executive ceasing to be CEO of the Company and its
subsidiaries);

 

(ii)                                  a reduction by the Company in the Executive’s annual base
salary or annual incentive compensation opportunity (including an adverse
change in performance criteria or a decrease in the target amount of annual
incentive compensation);

 

(iii)                               a requirement by the Company that the Executive’s work
location be moved more than 50 miles from the Company’s principal place of
business in Greenwood Village, Colorado; or

 

(iv)                              the Company’s material and willful breach of this Agreement.

 

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An
event or condition shall cease to constitute Good Reason one hundred twenty
(120) days after the event or condition first occurs if the Executive has not
previously given written notice thereof.

 

(c)                                  The Company may terminate the Executive’s employment for Cause
and such termination, in and of itself, shall not be, nor shall it be deemed to
be, a breach of this Agreement.  If the
Company terminates the Executive for Cause as aforesaid, (i) the Executive
shall have no right to receive any compensation or benefit under this Agreement
on and after the Effective Date of the Termination (as defined below in this Section 5.1(c))
other than Annual Salary earned and unpaid under this Agreement prior to the
Effective Date of the Termination and other benefits, excluding any bonuses
with respect to the calendar year in which the Effective Date of the
Termination occurred (and reimbursement under this Agreement for expenses
incurred but not paid prior to the Effective Date of the Termination), (ii) all
vested equity awards (including any vested portion of the Initial Equity Grant)
shall be void for all purposes as of the Effective Date of the Termination, (iii) the
provisions of Section 5.4 shall apply, and (iv) this Agreement shall
otherwise terminate upon the Effective Date of the Termination and the
Executive shall have no further rights hereunder (except as provided in Section 8.14).  For purposes of this Section 5.1(c), the
“Effective Date of the Termination”
shall mean the date on which a notice of termination is given by the Company or
any later date set forth in such notice of termination.

 

(d)                                 The Executive may terminate his employment without Good
Reason.  If the Executive terminates the
Executive’s employment with the Company without Good Reason: (i) the
Executive shall have no right to receive any compensation or benefit under this
Agreement on and after the Effective Date of the Termination (as defined below
in this Section 5.1(d)) other than Annual Salary earned and unpaid under
this Agreement prior to the Effective Date of the Termination and other
benefits, excluding any bonuses with respect to the calendar year in which the
Effective Date of the Termination occurred (and reimbursement under this
Agreement for expenses incurred but not paid prior to the Effective Date of the
Termination), (ii) all vested equity awards (including any vested portion
of the Initial Equity Grant) must be exercised by the Executive by the earlier
of (A) the one-year anniversary of the Effective Date of the Termination
and (B) the Option Expiration Date, (iii) the provisions of Section 5.4
shall apply, and (iv) this Agreement shall otherwise terminate upon the
Effective Date of the Termination and the Executive shall have no further
rights hereunder (except as provided in Section 8.14).  For purposes of this Section 5.1(d), the
“Effective Date of the Termination”
shall mean the date on which a notice of termination is given by the Executive
or any later date set forth in such notice of termination.

 

(e)                                  In the event the Executive or the Company elects not to
renew this Agreement pursuant to Section 1 above, (i) the Executive
shall have no right to receive any compensation or benefit under this Agreement
on and after the Effective Date of the Termination (as defined below in this Section 
5.1(e)) other than Annual Salary earned and unpaid under this Agreement prior
to the Effective Date of the Termination, any bonus for any prior years not yet
paid, a pro-rata bonus with respect to the calendar year in which the Effective
Date of the 

 

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Termination
occurred to the extent performance goals related to the bonus have been
achieved (to be paid at the same time bonuses are normally paid for the year)
and other benefits (and reimbursement under this Agreement for expenses
incurred but not paid prior to the Effective Date of the Termination), (ii) all
vested equity awards (including any vested portion of the Initial Equity Grant)
must be exercised by the Executive by the earlier of (A) the one-year anniversary
of the Effective Date of the Termination and (B) the Option Expiration
Date, and (iii) this Agreement shall otherwise terminate upon the
Effective Date of the Termination and there shall be no further rights with
respect to the Executive hereunder (except as provided in Section 8.14).  For purposes of this Section 5.1(e), the
“Effective Date of the Termination”
shall mean the date on which a notice of non-renewal is given by the Executive
or the Company, as applicable, or any later date set forth in such notice of
non-renewal.

 

(f)                                    In the event that (A) the Executive retires following
the Initial Term or (B) the Board approves the Executive’s retirement
prior to such time, which approval may be granted in the Board’s sole
discretion, (an “Approved Retirement”), (i) the
Executive shall have no right to receive any compensation or benefit under this
Agreement on and after the Effective Date of the Termination (as defined below
in this Section 5.1(f)) other than Annual Salary earned and unpaid under this
Agreement prior to the Effective Date of the Termination and other benefits, a
pro-rata bonus with respect to the calendar year in which the Effective Date of
the Termination occurred to the extent performance goals related to the bonus
have been achieved (to be paid at the same time bonuses are normally paid for
the year) and other benefits (and reimbursement under this Agreement for
expenses incurred but not paid prior to the Effective Date of the Termination),
(ii) all vested equity awards (including the vested portion of the Initial
Equity Grant) must be exercised by the Executive by the earlier of (A) the
three-year anniversary of the Effective Date of the Termination, and (B) the
Option Expiration Date, (iii) the provisions of Section 5.4 shall apply
and (iv) this Agreement shall otherwise terminate upon the Effective Date
of the Termination and the Executive shall have no further rights hereunder
(except as provided in Section 8.14). 
For purposes of this Section 5.1(f), the “Effective
Date of the Termination” shall mean the date on which a notice of
Approved Retirement is given by the Board to the Executive, or any later date
set forth in such notice of Approved Retirement.

 

5.2                                 Termination Without Cause; Termination for Good Reason.  The Company may terminate the
Executive’s employment at any time without Cause, for any reason or no reason,
and the Executive may terminate the Executive’s employment with the Company for
Good Reason.  If the Company or the
Executive terminates the Executive’s employment and such termination is not
described in Section 4, Section 5.1 or Section 5.3, (i) the
Executive shall have no right to receive any compensation or benefit hereunder
on and after the Effective Date of the Termination (as defined below in this Section 5.2)
other than Annual Salary earned and unpaid under this Agreement prior to the
Effective Date of the Termination, any bonus for the prior year not yet paid, a
pro-rata bonus with respect to the calendar year in which the Effective Date of
Termination occurred to the extent performance goals related to the bonus have
been achieved (to be paid at the same time bonuses are normally paid for the
year) and other benefits (and reimbursement under this Agreement for expenses
incurred but not paid prior to the 

 

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Effective Date of the Termination), (ii) the
Executive shall receive a cash payment equal to the Severance Payment (as
defined below in this Section 5.2) payable after the Release Effective
Date, (iii) all unvested equity awards held by the Executive (other than
the Initial Equity Grant) shall vest proportionately through the Effective Date
of the Termination, provided, however, that if the equity awards are subject to
performance vesting requirements, such vesting will only occur to the extent
the performance goals for any pending bonus period(s) are subsequently
determined to have been achieved, (iv) the Unvested Initial Grant Portion
shall vest based upon the following formula: the Unvested Initial Grant Portion
times the Pro-Rata Vesting Percentage (except if such termination occurs
prior to the one-year anniversary of the date hereof, 25% of the Initial Equity
Grant shall vest), (v) all vested equity awards (including the vested
portion of the Initial Equity Grant) must be exercised by the Executive by the
earlier of (A) the eighteen (18) month anniversary of the Effective Date
of the Termination, and (B) the Option Expiration Date, (vi) the
Executive shall continue to receive health benefits for eighteen (18)
months, and (vii) this Agreement shall otherwise terminate upon the
Effective Date of the Termination and the Executive shall have no further
rights hereunder (except as provided in Section 8.14); provided that in order for the Executive to receive any
amounts or items in the foregoing clauses (ii), (iii), (iv) and (vi), the
Executive shall first execute a separation agreement and legal release in
accordance with Section 8.19.  The “Severance Payment” means one and one-half (1 1/2) times the
Executive’s Annual Salary and annual bonus at target level in effect on the day
of termination.  For purposes of this Section 5.2,
the “Effective Date of the Termination”
shall mean the date of termination specified in the Company’s or the Executive’s
notice of termination, as applicable

 

5.3                                 Termination Upon Change in Control.
Notwithstanding the provisions set forth in Section 5.2, if the Company
terminates Executive’s employment without Cause or Executive terminates
employment for Good Reason Following a Change in Control on or within 24 months
after a Change in Control, (i) the Executive shall have no right to
receive any compensation or benefit hereunder on and after the Effective Date
of the Termination (as defined below in this Section 5.3) other than
Annual Salary earned and unpaid under this Agreement prior to the Effective
Date of the Termination, any bonus for the prior year not yet paid, a pro-rata
bonus with respect to the calendar year in which the Effective Date of
Termination occurred to the extent performance goals related to the bonus have
been achieved (to be paid at the same time bonuses are normally paid for the
year), and other benefits (and reimbursement under this Agreement for expenses
incurred but not paid prior to the Effective Date of the Termination), (ii) the
Executive shall receive a cash payment equal to the Severance Payment payable
after the Release Effective Date, (iii) the Executive shall continue to
receive health benefits for eighteen (18) months, (iv) all unvested equity
awards held by the Executive (including the Initial Equity Grant) shall fully
vest, (v) all vested equity awards (including the Initial Equity Grant)
must be exercised by the Executive by the earlier of (A) the one-year
anniversary of the Effective Date of the Termination and (B) the Option
Expiration Date, and (vi) this Agreement shall otherwise terminate upon
the Effective Date of the Termination and the Executive shall have no further
rights hereunder (except as provided in Section 8.14) provided
that in order for the Executive to 

 

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receive any amounts or items in the foregoing
clauses (ii), (iii) and (iv), the Executive shall first execute a
separation agreement and legal release in accordance with Section 8.19.

 

For purposes of this Section 5.3, (A) the
“Effective Date of the Termination”
shall mean the date of termination specified in the Company’s or the Executive’s
notice of termination, as applicable and (B) a “Change in
Control” means the occurrence of one or more of the following
events:  (i) any “person” (as such
term is used in Sections 3(a)(9) and 13(d) of the Securities Exchange
Act of 1934 as amended (the “Act”)) or “group”
(as such term is used in Section 13(d)(3) of the Act) is or becomes a
“beneficial owner” (as such term is used in Rule 13d-3 promulgated under
the Act) of more than 40% of the Voting Stock of the Company; (ii) within
any 24 month period the majority of the Board consists of individuals other
than Incumbent Directors, which term means the members of the Board on the date
hereof; provided that any person becoming a director subsequent to such date
whose election or nomination for election was supported by a majority of the
directors who then comprised the Incumbent Directors shall be considered to be
an Incumbent Director; (iii) the Company adopts any plan of liquidation
providing for the distribution of all or substantially all of its assets; (iv) the
Company transfers all or substantially all of its assets or business (unless
the shareholders of the Company immediately prior to such transaction
beneficially own, directly or indirectly, in substantially the same proportion
as they owned the Voting Stock of the Company, all of the Voting Stock or other
ownership interests of the entity or entities, if any, that succeed to the
business of the Company or the Company’s ultimate parent company if the Company
is a subsidiary of another corporation); or (v) any merger,
reorganization, consolidation or similar transaction unless, immediately after
consummation of such transaction, the shareholders of the Company immediately
prior to the transaction hold, directly or indirectly, more than 50% of the
Voting Stock of the Company or the Company’s ultimate parent company if the
Company is a subsidiary of another corporation. 
For purposes of this Change in Control definition, the “Company” shall
include any entity that succeeds to all or substantially all of the business of
the Company and “Voting Stock” shall mean securities or ownership interests of
any class or classes having general voting power under ordinary circumstances,
in the absence of contingencies, to elect the directors of a corporation.  Notwithstanding anything to the contrary
herein, if (i) a Change in Control results in a successor organization to
the Company and (ii) such successor organization does not assume, convert
or replace all of the Executive’s unvested equity awards, then all such
unvested equity awards shall fully vest effective as of the date of such Change
in Control.

 

For purposes of this Agreement, “Good Reason Following a Change in Control” shall mean,
unless otherwise consented to in writing by the Executive:

 

(i)                                     the assignment to the Executive of a duty or responsibility which is
inconsistent with the Executive’s duties and responsibilities previously
assigned to the Executive as the CEO of the Company and its subsidiaries, or
any diminution in the nature or status of the Executive’s duties or
responsibilities as the CEO of the Company and its subsidiaries (including,

 

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without limitation, the Executive ceasing to be CEO
of the Company and its subsidiaries), in all cases other than isolated
incidents which, if curable, are promptly remedied by the Company;

 

(ii)                                  a reduction by the Company in the Executive’s annual base salary,
annual incentive compensation opportunity, or long term incentive compensation
opportunity (including an adverse change in performance criteria or a decrease
in the target amount of annual incentive or long term compensation);

 

(iii)                               a requirement by the Company that the Executive’s work
location be moved more than 50 miles from the Company’s principal place of
business in Greenwood Village, Colorado; or

 

(iv)                              the Company’s material and willful breach of this Agreement.

 

An
event or condition shall cease to constitute Good Reason Following a Change in
Control one hundred twenty (120) days after the event or condition first occurs
if the Executive has not previously given written notice thereof.

 

5.4                                 Nature of Payments.  For the avoidance of doubt, the Executive
acknowledges and agrees that the Company’s payment obligations set forth in
this Section 5 constitute liquidated damages for termination of the
Executive’s employment during the Term.

 

6.                                       Noncompetition.

 

6.1                                 Noncompetition.
The Executive shall not, during the term of his employment and for eighteen
(18) months following the termination of his employment, work as an employee or
independent contractor or become an investor or lender of any business,
corporation, partnership or other entity engaged in a Competing Business.  An investment by the Executive of up to 2% of
the outstanding equity in a publicly-traded corporation shall not constitute a
violation of this Section 6.1. A “Competing Business”
is a business which the Company has engaged in, or has actively investigated
engaging in, at any time during the twenty-four (24) months prior to the
termination of the Executive’s employment.

 

6.2   No Solicitation of Clients. The
Executive shall not, during the term of his employment and for eighteen (18)
months following the termination of his employment (unless the Company grants
him written authorization): (a) call upon, cause to be called upon,
solicit or assist in the solicitation of, any client or potential client of the
Company for the purpose of selling, renting or supplying any product or service
competitive with the products or services of the Company; (b) provide any
product or services to any client or potential client of the Company which is
competitive with the products or services of the Company; or (c) request,
recommend or advise any client or potential client to cease or curtail doing
business with the  Company.  Any individual, governmental authority,
corporation, partnership or other entity to whom the Company has provided
services or products at any time prior to or during the Executive’s employment
or to whom the Company has made one or more sales or sales calls 

 

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during the eighteen (18)
month period preceding the date of termination of the Executive’s employment
shall be deemed a client or potential client.

 

6.3                                 No Hire of Other Employees or Contractors. Except on behalf of the Company, the Executive shall not,
during the term of his employment and for a period of eighteen (18) months
following the termination of his employment: (a) employ, engage or seek to
employ or engage any individual or entity, on behalf of the Executive or any
entity (including a client of the Company), who is employed or engaged by the
Company or who was employed or engaged by the Company during the six (6) month
period preceding the Executive’s termination; (b) solicit, recommend or
advise any employee of the Company or independent contractor to terminate their
employment or engagement with the Company for any reason; or (c) solicit
recruiting prospects and/or candidates whose files are actively maintained or
have been maintained during the last six (6) months prior to the Executive’s
termination.

 

6.4                                 No Control of the Company.  The Executive shall not, during the term of
his employment and for eighteen (18) months following the termination of his
employment (unless the Board authorizes such action in advance) take any action
in furtherance of a third party acquiring, or assist, cooperate with, hold
discussions with or otherwise encourage any person in acquiring, attempting to
acquire or taking any action in furtherance of acquiring, directly or
indirectly, control (as defined in Rule 12b-2 of the Act) of the Company.

 

6.5                                 Reasonable and Necessary Restrictions.  The Executive
acknowledges that the restrictions, prohibitions and other provisions hereof,
including, without limitation those contained in Sections 6.1, 6.2, 6.3 and 6.4
are reasonable, fair and equitable in terms of duration, scope and geographic area,
are necessary to protect the legitimate business interests of the Company and
are a material inducement to the Company to enter into this Agreement.

 

6.6                                 Forfeiture of Severance Payments.  In the event the
Executive breaches any provision of Sections 6.1, 6.2, 6.3, 6.4 or 7.2, in
addition to any other remedies that the Company may have at law or in equity, (i) the
Executive shall promptly reimburse the Company for any Severance Payments
received from, or payable by, the Company and (ii) the Company’s obligation
to continue to provide any payments or benefits to the Executive after the date
of such breach shall cease and the Executive shall no longer be entitled to
receive such payments or benefits.  In
addition, the Company shall be entitled in its sole discretion to offset all or
any portion of the amount of any unpaid reimbursements against any amount owed
by the Company to the Executive.

 

7.                                       Confidentiality.

 

7.1                                 Confidential Information and Materials.  All of the
Confidential Information and Materials, as defined herein, are and shall
continue to be the exclusive confidential property and trade secrets of the
Company.  Confidential Information and
Materials have been or will be disclosed to the Executive solely by virtue of
his employment with the Company and solely for the purpose of assisting him in
performing his duties for the Company. “Confidential 

 

11

 

Information and Materials”
refers to all information belonging to or used by the Company or the Company’s
clients relating to internal operations, procedures and policies, finances,
income, profits, business strategies, pricing, billing information,
compensation and other personnel information, client contacts, sales lists,
employee lists, technology, software source codes, programs, costs, marketing
plans, developmental plans, acquisition or disposition plans, computer
programs, computer systems, inventions, developments, personnel manuals,
computer program manuals, programs and system designs, and trade secrets of
every kind and character, whether or not they constitute a trade secret under
applicable law and whether developed by the Executive during or after business
hours. The Executive acknowledges and agrees all Confidential Information and
Materials shall, to the extent possible, be considered works made for hire for
the Company under applicable copyright law. To the extent any Confidential
Information and Materials are not deemed to be a work made for hire, the
Executive hereby assigns to the Company any rights he may have or may acquire
in such Confidential Information and Materials as they are created, throughout
the world, in perpetuity. Further, the Executive hereby waives any and all
moral rights he may have in such Confidential Information and Materials.
Notwithstanding the foregoing, the Company acknowledges that it shall have no
right to inventions or other material for which no equipment, supplies,
facilities or Confidential Information and Material of the Company are used and
which are developed entirely on the Executive’s own time and (i) do not
relate directly to the business of the Company or (ii) do not result from
any work performed by the Executive hereunder.

 

7.2                                 Non-disclosure and Non-use.
The Executive may use Confidential Information and Material while an employee
of Corporation and in the course of that employment to the extent deemed
necessary by Corporation for the performance of the Executive’s
responsibilities. Such permission expires upon termination of his employment
with the Company or on notice from the Company. The Executive shall not, either
during or after his employment with the Company, disclose any Confidential
Information or Materials to any person, firm, corporation, association or other
entity for any reason or purpose unless expressly permitted by the Company in
writing. The Executive shall not use, in any manner other than to further the
Company’s business, any Confidential Information or Materials of the Company.
Upon termination of his employment, the Executive shall immediately return all
Confidential Information or Materials or other property of the Company or its
clients or potential clients in his possession or control.

 

8.                                       Other Provisions.

 

8.1                                 Specific Performance.  The Executive acknowledges that the obligations
undertaken by such Executive pursuant to Section 6 and Section 7 of
this Agreement are unique and that the Company likely will have no adequate
remedy at law if the Executive shall fail to perform any of such Executive’s
obligations hereunder, and the Executive therefore confirms that the Company’s
right to specific performance of the terms of Section 6 and Section 7
of this Agreement is essential to protect the rights and interests of the
Company.  Accordingly, in addition to any
other remedies that the Company may have at law or in equity, the Company shall
have the right to have all obligations, covenants, agreements and other
provisions of Section 6 and Section 7 of this Agreement specifically
performed by the Executive, and the 

 

12

 

Company
shall have the right to obtain preliminary and permanent injunctive relief to
secure specific performance and to prevent a breach or contemplated breach of
this Agreement by the Executive.  The
Executive hereby acknowledges and warrants that he will be fully able to earn a
livelihood for himself and his dependents if these covenants are specifically
enforced against him.  The Executive
hereby further acknowledges and agrees that the Company shall not be required
to post bond as a condition to obtaining or exercising such remedies, and the
Executive hereby waives any such requirement or condition.

 

8.2                                 Severability.  The Executive acknowledges and agrees that
the Executive has had an opportunity to seek advice of counsel in connection
with this Agreement.  If it is determined
that any of the provisions of this Agreement, or any part thereof, is invalid
or unenforceable, the remainder of the provisions of this Agreement shall not
thereby be affected and shall be given full affect, without regard to the
invalid portions.

 

8.3                                 Attorneys’ Fees.  In the event of any legal proceeding relating
to this Agreement or any term or provision thereof, the losing party shall be
responsible to pay or reimburse the prevailing party for all reasonable
attorneys’ fees incurred by the prevailing party in connection with such
proceeding.

 

8.4                                 Notices.  All notices, requests, demands, claims, and
other communications hereunder shall be in writing.  Any notice, request, demand, claim, or other
communication hereunder shall be deemed duly delivered (i) two business
days after it is sent by registered or certified mail, return receipt
requested, postage prepaid, (ii) when received if it is sent by facsimile
communication during normal business hours on a business day or one business
day after it is sent by facsimile and received if sent other than during
business hours on a business day, (iii) one business day after it is sent
via a reputable overnight courier service, charges prepaid, or (iv) when
received if it is delivered by hand, in each case to the intended recipient as
set forth below:

 

(i)                                     if to the Executive, to the address set forth in the records
of the Company; and

 

(ii)                                  if to the Company,

 

CIBER, Inc.

6363
S Fiddler’s Green Circle

Suite 1400

Greenwood
Village, Colorado 80111

Attention:  Susan Keesen, Vice President &
General Counsel

Facsimile:
(303) 224-4125

 

Any
such person may by notice given in accordance with this Section to the
other parties hereto designate another address or person for receipt by such
person of notices hereunder.

 

13

 

8.5                                 Entire Agreement.  This Agreement, along with all equity grants
to Executive, contains the entire agreement between the parties with respect to
the subject matter hereof and supersedes all prior agreements, written or oral,
with the Company or its subsidiaries (or any predecessor of either).

 

8.6                                 Waivers and Amendments.  This Agreement may be amended, superseded,
canceled, renewed or extended, and the terms hereof may be waived, only by a
written instrument signed by the parties or, in the case of a waiver, by the
party waiving compliance.  No delay on
the part of any party in exercising any right, power or privilege hereunder
shall operate as a waiver thereof, nor shall any waiver on the part of any
party of any such right, power or privilege nor any single or partial exercise
of any such right, power or privilege, preclude any other or further exercise
thereof or the exercise of any other such right, power or privilege.

 

8.7                                 GOVERNING LAW.  THIS AGREEMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF COLORADO WITHOUT REGARD
TO PRINCIPLES OF CONFLICTS OF LAW.

 

8.8                                 Submission to Jurisdiction; Consent to Service of Process.  The parties hereby
irrevocably submit to the exclusive jurisdiction of any federal or state court
located within the State of Colorado over any dispute arising out of or
relating to this Agreement or any of the provisions contemplated hereby and each
party hereby irrevocably agrees that all claims in respect of such dispute or
any suit, action or proceeding related thereto may be heard and determined in
such courts.  The parties hereby
irrevocably waive, to the fullest extent permitted by law, any objection which
they may now or hereafter have to the laying of venue of any such dispute
brought in such court or any defense of inconvenient forum for the maintenance
of such dispute.  Each of the parties
agrees that a judgment in any such dispute may be enforced in other
jurisdictions by suit on the judgment or in any other manner provided by
law.  Each of the parties hereby consents
to process being served by any party to this Agreement in any suit, action or
proceeding by delivery of a copy thereof in accordance with the provisions of Section 8.4.

 

8.9                                 Assignment.  This Agreement, and the Executive’s rights
and obligations hereunder, may not be assigned by the Executive; any purported
assignment by the Executive in violation hereof shall be null and void.  In the event of any Change in Control, the
Company may assign this Agreement and its rights hereunder.

 

8.10                           Withholding.  The Company shall be entitled to withhold
from any payments or deemed payments any amount of withholding required by
law.  No other taxes, fees, impositions,
duties or other charges or offsets of any kind shall be deducted or withheld
from amounts payable hereunder, unless otherwise required by law.

 

8.11                           No Duty to Mitigate.  The Executive shall not be required to
mitigate damages or the amount of any payment provided for under this Agreement
by seeking other 

 

14

 

employment
or otherwise, nor will any payments hereunder be subject to offset in the event
the Executive does mitigate.

 

8.12                           Binding Effect.  This Agreement shall be binding upon and
inure to the benefit of the parties and their respective successors, permitted
assigns, heirs, executors and legal representatives.

 

8.13                           Counterparts.  This Agreement may be executed by the parties
hereto in separate counterparts, each of which when so executed and delivered
shall be an original but all such counterparts together shall constitute one
and the same instrument.  Each
counterpart may consist of two copies hereof each signed by one of the parties
hereto.

 

8.14                           Survival.  Anything contained in this Agreement to the
contrary notwithstanding, the provisions of Sections 4 through 7 (to the extent
necessary to effectuate the post-termination obligations set forth therein) and
of Section 8 shall survive termination of this Agreement and any
termination of the Executive’s employment hereunder.

 

8.15                           Existing Agreements.  The Executive represents to the Company that
the Executive is not subject or a party to any employment or consulting agreement,
non-competition covenant or other agreement, covenant or understanding which
might prohibit the Executive from executing this Agreement or limit the
Executive’s ability to fulfill the Executive’s responsibilities hereunder.

 

8.16                           Headings.  The headings in this Agreement are for
reference only and shall not affect the interpretation of this Agreement.

 

8.17                           Section 409A
of the Internal Revenue Code.

 

(a)                                  Anything in this
Agreement to the contrary notwithstanding, if (A) on the date of
termination of Executive’s employment with the Company or a subsidiary, any of
the Company’s stock is publicly traded on an established securities market or
otherwise (within the meaning of Section 409A(a)(2)(B)(i) of the
Internal Revenue Code, as amended (the “Code”))
and (B) as a result of such termination, the Executive would receive any
payment that, absent the application of this Section 8.17, would be
subject to interest and additional tax imposed pursuant to Section 409A(a) of
the Code as a result of the application of Section 409A(a)(2)(B)(i) of
the Code, then no such payment shall be payable prior to the date that is the
earliest of (1) 6 months after the Executive’s termination date, (2) the
Executive’s death, or (3) such other date as will cause such payment not
to be subject to such interest and additional tax.

 

(b)                                 It is the intention of
the parties that payments or benefits payable under this Agreement not be
subject to the additional tax imposed pursuant to Section 409A of the Code
(“409A”).  To the extent such potential payments or
benefits could become subject to such Section, the parties shall cooperate to
amend this Agreement with the goal of giving the 

 

15

 

Executive the economic benefits described herein in a manner that does
not result in such tax being imposed.

 

(c)                                  Except as otherwise
provided under this Agreement, all reimbursements to the Executive shall be
paid as promptly as practical and in any event not later than the last day of
the calendar year in which the expenses are incurred, and the amount of the
expenses eligible for reimbursement during any calendar year will not affect
the amount of expenses eligible for reimbursement in any other calendar
year.  With respect to payments under
this Agreement, for purposes of 409A, each severance payment and COBRA
continuation reimbursement payment will be considered one of a series of
separate payments, and the Executive’s termination date will be treated as the
Executive’s separation from service as defined under 409A.

 

(d)                                 Amounts payable under
this Agreement following the Executive’s termination of employment, other than
those expressly payable on a deferred or installment basis, will be paid as
promptly as practical after such a termination of employment and, in any event,
within 2 1/2 months after the end of the year in which
employment terminates.

 

8.18                           Certain Definitions.  For purposes of this Agreement:

 

(a)                                  an “affiliate” of any person means another person that
directly or indirectly, through one or more intermediaries, controls, is
controlled by, or is under common control with, such first person, and includes
subsidiaries.

 

(b)                                 A “business day” means the period from 9:00 am to 5:00 pm in
the mountain time zone on any weekday that is not a banking holiday in New York
City, New York.

 

(c)                                  A “person” means an individual, corporation, limited
liability company, partnership, association, trust or any other entity or
organization, including any court, administrative agency or commission or other
governmental authority.

 

(d)                                 A “subsidiary” of any person means another person, an amount
of the voting securities, other voting ownership or voting partnership
interests of which is sufficient to elect at least a majority of its board of
directors or other governing body (or, if there are no such voting interests or
no board of directors or other governing body, 50% or more of the equity
interests of which) is owned directly or indirectly by such first person.

 

8.19                           Release.  The Executive agrees that, except for such
other payments and benefits to which the Executive may be entitled as expressly
provided by the terms of this Agreement or any other applicable benefit plan,
such liquidated damages shall be in lieu of all other claims that the Executive
may make by reason of any such termination of his employment and that, as a
condition to receiving the Severance Payments, the Executive will execute a
release of claims in a form satisfactory to the Company in its sole discretion
and drafted so as to ensure a final, complete and enforceable release of all
claims that the Executive has or may have against the Company relating to or
arising in any way from the Executive’s employment with the 

 

16

 

Company
and/or the termination thereof.  Within
two business days of the Effective Date of Termination, the Company shall
deliver to the Executive the release for the Executive to execute.  The Executive will forfeit all rights to the
Severance Payments unless the Executive executes and delivers to the Company
the release within 30 days of delivery of the release by the Company to the
Executive and such release has become irrevocable by virtue of the expiration
of the revocation period without the release having been revoked (the first
such date, the “Release Effective Date”).   The Company shall have no obligation to
provide the Severance Payments prior to the Release Effective Date.  Severance payments shall be made within three
business days of the Release Effective Date and any payments not made because
due prior to the Release Effective Date shall be paid in a single lump sum
within such three business day period. 
If the Executive fails to comply with his obligations under Sections 6
and 7, the Executive shall, to the
extent such amounts are paid, vested or distributed, (i) forfeit outstanding equity awards, (ii) transfer
the shares underlying equity awards that were accelerated and settled in shares
to the Company for no consideration and (iii) repay the after-tax amount
of the Severance Payments and any equity awards that were accelerated and
settled in cash or sold.

 

8.20                           Parachute Provisions.  In
the event Executive becomes entitled to any amount of benefits payable in
connection with a change in control (whether or not such amounts are payable
pursuant to this Agreement) (the “Change in Control Payments”)
and Executive’s receipt of such Change in Control Payments would cause
Executive to become subject to the excise tax (the “Excise Tax”)
imposed under Section 4999 of the Code (or any similar federal, state, or
local tax that may hereafter be imposed), the Company shall reduce the Change
in Control Payments to the extent necessary to avoid the application of the
Excise Tax if, as a result of such reduction, the net benefits to Executive of
the Change in Control Payments as so reduced (after payment of applicable
income taxes) exceeds the net benefit to Executive of the Change in Control
Payments without such reduction (after payment of applicable income taxes and
excise taxes).  Unless Executive shall have given prior written notice
specifying a different order to the Company to effectuate the foregoing, the
Company shall reduce the Change in Control Payments by first reducing the
portion of the Change in Control Payments which are not payable in cash and
then by reducing or eliminating cash payments, in each case in reverse order
beginning with payments or benefits which are to be paid the farthest in time
from the change in control.  Any notice
given by the Executive pursuant to the preceding sentence shall take precedence
over the provisions of any other plan, arrangement or agreement governing the
Executive’s rights and entitlements to any benefits or compensation.  The
determination that Executive’s Change in Control Payments would cause him to become
subject to the Excise Tax and the calculation of the amount of any reduction,
shall be made, at the Company’s discretion, by the Company’s outside auditing
firm or by a nationally-recognized accounting or benefits consulting firm designated
by the Company prior to a change in control. 
The firm’s expenses shall be paid by the Company.

 

17

 

IN
WITNESS WHEREOF, the parties hereto have signed their names as of the day and
year first above written.

 

	
   

  	
  CIBER, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Paul A. Jacobs

  
	
   

  	
  Name:

  	
  Paul A. Jacobs

  
	
   

  	
  Title:

  	
  Chairman of the Board of Directors

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/ David Peterschmidt

  
	
   

  	
  DAVID PETERSCHMIDT

  

 

18Exhibit 10.2

 

	
  NOTICE
  OF GRANT OF STOCK OPTIONS

  AND
  OPTION AGREEMENT

  	
   

  	
  CIBER, Inc.
  

  ID:
  38-2046833

  6363
  South Fiddler’s Green Circle

  Suite 1400

  Greenwood
  Village, CO 80111

  

 

	
  David
  Peterschmidt

  14510
  Big Basin Way #289

  Saratoga,
  CA  95070

  	
   

  	
  Option
  Number:

  ID:

   

  

 

Effective
July 1, 2010 (the “Effective Date”), you have been granted a
non-qualified stock option (the “Option”) to buy 1,400,000 shares of
CIBER, Inc. (the “Company”) common stock (the “Stock”).

 

The
Option shall vest as follows:

 

	
  Shares

  	
   

  	
  Vest Type

  	
   

  	
  Vest Date

  	
   

  	
  Expiration

  
	
  350,000

  	
   

  	
  Annually

  	
   

  	
  July 1,
  2011

  	
   

  	
  July 1,
  2017

  
	
  350,000

  	
   

  	
  Annually

  	
   

  	
  July 1,
  2012

  	
   

  	
  July 1,
  2017

  
	
  350,000

  	
   

  	
  Annually

  	
   

  	
  July 1,
  2013

  	
   

  	
  July 1,
  2017

  
	
  350,000

  	
   

  	
  Annually

  	
   

  	
  July 1,
  2014

  	
   

  	
  July 1,
  2017

  

 

 

CIBER, INC.

NON-QUALIFIED OPTION AGREEMENT

 

	
  Option
  Price

  	
   

  	
  The “Option Price” shall
  be the fair market value of the Stock on the Effective Date as determined by
  reference to the closing price of the Stock on the New York Stock
  Exchange on the day immediately prior to the Effective Date.

  
	
   

  	
   

  	
   

  
	
  Non-qualified
  Option

  	
   

  	
  This Agreement evidences
  an award of the Option exercisable for that number of shares of Stock set
  forth on the cover sheet and subject to the vesting and other conditions set
  forth herein and on the cover sheet. This Option is not intended to be an
  incentive option under Section 422 of the Internal Revenue Code and will
  be interpreted accordingly.

  
	
   

  	
   

  	
   

  
	
  Transfer
  of Option

  	
   

  	
  During your lifetime, only
  you (or, in the event of your legal incapacity or incompetency, your guardian
  or legal representative) may exercise the Option. You cannot transfer or
  assign this Option. For instance, you may not sell this Option or use it as
  security for a loan. If you attempt to do any of these things, this Option
  will immediately become invalid. You may, however, dispose of this Option in
  your will or it may be transferred upon your death by the laws of descent and
  distribution. 

   

  Regardless of any marital
  property settlement agreement, the Company is not obligated to honor a notice
  of exercise from your spouse, nor is the Company obligated to recognize your
  spouse’s interest in your Option in any other way.

  
	
   

  	
   

  	
   

  
	
  Vesting

  	
   

  	
  This Option is only
  exercisable before it expires and then only with respect to the vested
  portion of the Option. Subject to the preceding sentence, you may exercise
  this Option, in whole or in part, to purchase a whole number of vested shares
  not less than 100 shares, unless the number of shares purchased is the total
  number available for purchase under the Option, by following the procedures set
  forth below in this Agreement. 

   

  Your right to purchase
  shares of Stock under this Option vests according to the schedule set forth
  on the cover sheet provided that you continue to provide services to the
  Company or an Affiliate as an employee, officer or director, or a consultant
  or adviser (“Service”). Your employment agreement with the Company
  dated July 1, 2010 (the “Employment Agreement”) sets forth the
  circumstances in which vesting of the Option will be accelerated, either
  partially or fully. The resulting aggregate number of vested shares will be
  rounded to the 

  

 

2

 

	
   

  	
   

  	
  nearest whole number, and
  you cannot vest in more than the number of shares covered by this Option. 

   

  “Affiliate” means,
  any company or other trade or business that controls, is controlled by or is
  under common control with the Company within the meaning of Rule 405 of
  Regulation C under the Securities Act, including, without limitation, any
  Subsidiary. An entity may not be considered an Affiliate unless the Company
  holds a “controlling interest” in such entity, where the term “controlling
  interest” has the same meaning as provided in Treasury Regulation
  1.414(c)-2(b)(2)(i), provided that the language “at least 50 percent” is used
  instead of “at least 80 percent” and, provided further, that where granting
  of stock options is based upon a legitimate business criteria, the language
  “at least 20 percent” is used instead of “at least 80 percent” each place it
  appears in Treasury Regulation 1.414(c)-2(b)(2)(i). 

   

  “Subsidiary” means
  any “subsidiary corporation” of the Company within the meaning of
  Section 424(f) of the Code.

  
	
   

  	
   

  	
   

  
	
  Forfeiture of Unvested Options
  / Term

  	
   

  	
  Unless the termination of
  your Service triggers accelerated vesting of your Option pursuant to the
  terms of this Agreement or any other written agreement between the Company
  (or any Affiliate) and you, including the Employment Agreement, you will
  automatically forfeit to the Company those portions of the Option that have
  not yet vested in the event your Service terminates for any reason.

  
	
   

  	
   

  	
   

  
	
  Expiration
  of Vested Options After Service Terminates

  	
   

  	
  Your Option will expire on
  the Expiration Date shown on the cover sheet. Your Option will expire earlier
  if your Service terminates, as described in the Employment Agreement.

  
	
   

  	
   

  	
   

  
	
  Forfeiture
  of Rights

  	
   

  	
  If you should take actions
  in violation or breach of or in conflict with any non-competition agreement,
  any agreement prohibiting solicitation of employees or clients of the Company
  or any Affiliate thereof or any confidentiality obligation with respect to
  the Company or any Affiliate thereof, the Company has the right to cause an
  immediate forfeiture of your rights to this Option awarded under this
  Agreement, and the Option shall immediately expire.

  
	
   

  	
   

  	
   

  
	
  Leaves of
  Absence

  	
   

  	
  For purposes of this
  Agreement, your Service does not terminate when you go on a bona fide employee leave of absence that was approved by
  the Company in writing if the terms of the leave provide for continued
  service crediting, or when continued service crediting is required by
  applicable law. Your Service terminates in any event when the approved leave
  ends unless you immediately return to active employee work. 

  

 

3

 

	
   

  	
   

  	
  The Company determines, in
  its sole discretion, which leaves count for this purpose.

  
	
   

  	
   

  	
   

  
	
  Notice of
  Exercise

  	
   

  	
  The method for exercising
  the Option shall be by delivery to the Corporate Secretary of the Company or
  an agent designated pursuant to “Brokerage Arrangements” below of a notice
  specifying the number of shares of Stock with respect to which the Option is
  exercised and payment of the Option Price. Such notice shall be in a form
  satisfactory to the Company and shall specify the number of shares of Stock
  with respect to which the Option is being exercised. The exercise of the
  Option shall be deemed effective upon receipt of such notice by the Corporate
  Secretary or a designated agent and payment to the Company. The purchase of
  such Stock shall be deemed to take place at the principal office of the
  Company upon delivery of such notice, at which time the purchase price of the
  Stock shall be paid in full by any of the methods or any combination of the
  methods set forth in “Form of Payment” below. A properly executed
  certificate or certificates representing the Stock shall be issued by the
  Company and delivered to you. If certificates representing Stock are used to
  pay all or part of the Option Price, separate certificates for the same
  number of shares of Stock shall be issued by the Company and delivered to you
  representing each certificate used to pay the Option Price, and an additional
  certificate shall be issued by the Company and delivered to you representing
  the additional shares of Stock, in excess of the Option Price, to which you
  are entitled as a result of the exercise of the Option. 

   

  If someone else wants to
  exercise this Option after your death, that person must prove to the
  Company’s satisfaction that he or she is entitled to do so.

  
	
   

  	
   

  	
   

  
	
  Brokerage Arrangements

  	
   

  	
  The
  Company, in its discretion, may enter into arrangements with one or more
  banks, brokers or other financial institutions to facilitate the exercise of
  the Option or the disposition of shares of Stock acquired upon exercise of
  the Option, including, without limitation, arrangements for the simultaneous
  exercise of the Option and sale of the shares of Stock acquired upon such
  exercise.

  
	
   

  	
   

  	
   

  
	
  Form of
  Payment

  	
   

  	
  The Option Price shall be
  paid by any of the following methods or any combination of the following
  methods: 

   

  ·      in cash;

   

  ·      by cashier’s
  check payable to the order of the Company;

  

 

4

 

	
   

  	
   

  	
  ·      if authorized
  by the Company, in its sole discretion, by delivery to the Company of
  certificates representing the number of shares of Stock then owned by you,
  the Fair Market Value of which equals the purchase price of the Stock
  purchased pursuant to the Option, properly endorsed for transfer to the
  Company; provided however, that shares of Stock used for this purpose must
  have been held by you for more than six months; and provided further that the
  Fair Market Value of any shares of Stock delivered in payment of the purchase
  price upon exercise of the Option shall be the Fair Market Value as of the
  exercise date, which shall be the date of delivery of the certificates for
  the Stock used as payment of the Option Price; or

   

  ·      if authorized
  by the Company, in its sole discretion, any combination of these methods.

  
	
   

  	
   

  	
   

  
	
  Evidence of Issuance

  	
   

  	
  The issuance of the shares
  upon exercise of this Option shall be evidenced in such a manner as the
  Company, in its discretion, will deem appropriate, including, without
  limitation, book-entry, registration or issuance of one or more share
  certificates. You will have no further rights with regard to an Option once
  the share of Stock related to such Option has been issued.

  
	
   

  	
   

  	
   

  
	
  Withholding
  Taxes

  	
   

  	
  You will not be allowed to
  exercise this Option unless you make acceptable arrangements to pay any
  withholding or other taxes that may be due as a result of the option exercise
  or sale of Stock acquired under this Option. In the event that the Company
  determines that any tax or withholding payment is required relating to the
  exercise or sale of shares arising from this grant under applicable laws, the
  Company shall have the right to require such payments from you, or withhold
  such amounts from other payments due to you from the Company or any
  Affiliate.

  
	
   

  	
   

  	
   

  
	
  Retention
  Rights

  	
   

  	
  Neither your Option nor
  this Agreement gives you the right to be retained by the Company (or any
  parent, Subsidiaries or Affiliates) in any capacity. Subject to the
  Employment Agreement, the Company (and any parent, Subsidiaries or
  Affiliates) reserve the right to terminate your Service at any time and for
  any reason.

  
	
   

  	
   

  	
   

  
	
  Stockholder
  Rights

  	
   

  	
  You, or your estate or
  heirs, have no rights as a shareholder of the Company until the Stock has
  been issued upon exercise of your Option and either a certificate evidencing
  your Stock has been issued or an appropriate entry has been made on the
  Company’s books. No adjustments are made for dividends, distributions or
  other rights if the applicable record date occurs before your certificate is
  issued (or an 

  

 

5

 

	
   

  	
   

  	
  appropriate book entry is
  made).

  
	
   

  	
   

  	
   

  
	
  Adjustments

  	
   

  	
  In
  the event of a stock split, a stock dividend or a similar change in the
  Stock, the number of shares covered by this Option and the Option Price per
  share shall be adjusted proportionately (and rounded down to the nearest
  whole number). Your Option shall be subject to the terms of the agreement of
  merger, liquidation or reorganization in the event the Company is subject to
  such corporate activity.

  
	
   

  	
   

  	
   

  
	
  Applicable
  Law

  	
   

  	
  This Agreement will be
  interpreted and enforced under the laws of the State of Colorado, other than
  any conflicts or choice of law rule or principle that might otherwise
  refer construction or interpretation of this Agreement to the substantive law
  of another jurisdiction.

  
	
   

  	
   

  	
   

  
	
  The
  Agreement

  	
   

  	
  This Agreement and the
  associated cover sheet constitute the entire understanding between you and
  the Company regarding this Option. Any agreements, commitments or
  negotiations concerning this grant are superseded; except that any written
  employment (including the Employment Agreement), consulting, confidentiality,
  non-competition and/or severance agreement between you and the Company (or
  any Affiliate), whether entered into before or after this Agreement’s
  effective date, shall supersede this Agreement with respect to its subject
  matter, provided that no such superseding shall result in a failure to comply
  with the requirements of Section 409A of the Internal Revenue Code of
  1986, as amended (“Section 409A”).

  
	
   

  	
   

  	
   

  
	
  Data
  Privacy

  	
   

  	
  The Company may process
  personal data about you. Such data includes, but is not limited to,
  information provided in this Agreement or the cover sheet and any changes
  thereto, other appropriate personal and financial data about you such as your
  contact information, payroll information and any other information that might
  be deemed appropriate by the Company to facilitate the administration of the
  Agreement. 

   

  By accepting this grant,
  you give explicit consent to the Company to process any such personal data.

  
	
   

  	
   

  	
   

  
	
  Code
  Section 409A

  	
   

  	
  It
  is intended that this award comply with Section 409A or an exemption to
  Section 409A. To the extent that the Company determines that you would
  be subject to the additional 20% tax imposed on certain non-qualified
  deferred compensation plans pursuant to Section 409A as a result of any
  provision of this Agreement, such provision shall be deemed amended to the
  minimum extent necessary to avoid application of such additional tax. The
  nature of any such amendment shall be determined by the Company. For purposes
  of this award, a termination of Service only occurs upon 

  

 

6

 

	
   

  	
   

  	
  an
  event that would be a Separation from Service within the meaning of
  Section 409A.

  

 

7

 

IN
WITNESS WHEREOF, the parties hereto have signed their names as of the day and
year first above written.

 

	
   

  	
  CIBER, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Paul A. Jacobs

  
	
   

  	
  Name:

  	
  Paul
  A. Jacobs

  
	
   

  	
  Title:

  	
  Chairman
  of the Board of Directors

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/
  David Peterschmidt

  
	
   

  	
  DAVID
  PETERSCHMIDT

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