Document:

Offer Letter dated as of May 31, 2012 with Omid Tahernia

 Exhibit 10.1 

 

			
	

	  	

 May 30, 2012 
 Omid Tahernia 
 [Address] 
 [City, State, Zip] 
 Dear Omid: 
 On behalf of the Board of Directors, I am pleased to extend an offer of employment with Ikanos Communications Inc. (the “Company” or “Ikanos”) under the terms and conditions that
follow. This offer is contingent upon approval by the Board. 
 Position and Duties: 

You are being offered the position of President and Chief Executive Officer, reporting to the Company’s Board of Directors (the “Board”).
You will perform the duties and responsibilities of President and Chief Executive Officer, as well as such additional duties and responsibilities that are consistent with such position as the Board assigns to you from time to time. Upon your
employment, you will also be appointed to serve as a director on the Board, and the Company and the other members of the Board, consistent with their fiduciary obligations, will use their best efforts to ensure that you remain a member of the Board
throughout your employment with the Company. You will not be entitled to any Board fees or equity grants for your service as a director. 
 You
will be employed by Ikanos, working in Fremont, California, as a regular full-time, salaried, exempt employee, which does not qualify you for overtime pay. 
 Compensation and Benefits: 
 During your employment, the Company will provide you with the
following pay and benefits as compensation for all services you perform for the Company and its affiliates: 
 (a) Base
Salary. Your starting semi-monthly salary will be $16,666.67, equivalent to an annualized amount of $400,000, which will be payable according to the regular payroll practices of the Company. From time-to-time, the Company may elect to increase,
but not decrease, your base salary, as determined by the Board in its sole discretion. 
 (b) Executive Incentive Plan.
You will also be eligible to participate in the Executive Incentive Plan at an annual target bonus potential of 100% of your base salary, subject to the terms and conditions of the Executive Incentive Plan, as amended from time to time (the
“Incentive Plan”) and pro-rated for partial service during 2012. Performance goals for your incentive for future years will be established by the Board after consultation with you, and shall be based upon financial and other forms of
Company performance as well as individual performance. Any payments earned under the Incentive Plan will be made no later than 2-1/2 months following the end of the calendar year (or, if later, the Company’s taxable year) in which such
incentive is earned. 

 Omid Tahernia 
 May 30, 2012 
 Page 2 

 

 (c) Participation in Employee Benefit Plans. You will be eligible to participate
in all of the employee benefit plans that the Company customarily maintains from time to time for full-time employees of similar positions and responsibilities, except to the extent that such plans are duplicative of benefits otherwise provided to
you pursuant to this letter agreement. Your participation will be subject to the terms of the applicable plan documents and other applicable Company policies. 
 (d) Equity Awards. An important component of our compensation package includes the opportunity for ownership in our Company. Subject to Board approval, you will be granted an option to purchase up
to 2,100,000 shares of the Company’s common stock (the “Option”) on your employment start date. The per-share exercise price of the Option will equal the closing market price of the Company’s common stock on the day the Option is
granted. Starting on your first day of employment with the Company, the Option will begin vesting with respect to 1,500,000 shares (the “Time-Based Option Shares”) and the Time-Based Option Shares will continue to vest, subject to your
continued employment, over a four year period, with 25% of such shares vesting on the first anniversary of your employment start date and the balance vesting in equal quarterly installments over the succeeding twelve (12) quarters. 

The remaining 600,000 shares (the “Performance-Based Option Shares”) will vest over a one year period beginning upon the
date(s) that certain stock price goals are achieved. Specifically, vesting of the Performance-Based Option Shares will be dependent upon your continued employment and the attainment of average closing prices for the Company’s common stock for
any period of twenty (20) consecutive trading days as follows: (i) 300,000 shares begin vesting at a $2.50 average closing stock price; and (ii) the remaining 300,000 shares begin vesting at a $3.50 average closing stock price. Once
vesting begins, Performance-Based Option Shares will vest in equal quarterly installments over the one year period after the applicable average closing stock price target is achieved, subject to your continued employment. For example, if the closing
stock price equals or exceeds $2.50/share for any period of twenty (20) consecutive trading days, then the first tranche of 300,000 shares will vest over the following one year period (beginning on the day after the referenced 20-day period),
because the stock price had equaled or exceeded the first price target. 
 In the event of a Change of Control (as defined
below), the above stock price performance targets (if not previously achieved) will be evaluated against the Change of Control deal price. (If either or both of the above stock price targets have been achieved prior to a Change of Control, the
respective tranche(s) of Performance-Based Option Shares will fully vest upon the close of the Change of Control.) To the extent that the deal price is equal to or in excess of the first or second stock price targets, the corresponding tranche(s) of
the Performance-Based Option Shares will fully vest upon the close of the Change of Control. If the deal price is equal to or in excess of $1.75 per share, but less than the stock price target for a tranche, a pro rata portion of the shares subject
to that tranche will vest upon the close of the Change of Control based on the ratio of (x) the excess of the deal price over the exercise price, to (y) the excess of the applicable stock price target over the exercise price, multiplied by
the number of shares 

  
 2 

 Omid Tahernia 
 May 30, 2012 
 Page 3 

 

 
subject to that tranche, and the balance of the shares subject to that tranche will terminate as of the close of the Change of Control. For example, if the exercise price is $1.00 per share, and
the deal price is $2.25 per share, 125/150 of the 300,000 shares subject to the $2.50 stock price target tranche will vest, and 125/250 of the 300,000 shares subject to the $3.50 stock price target tranche will vest. If the deal price is less than
$1.75 per share, each tranche will terminate as of the close of the Change in Control. 
 The Option will have a term of seven
years, subject to earlier termination upon termination of service, and will be subject to the terms and conditions of a stock option agreement between you and the Company in a form approved by the Board. 

(e) Involuntary Termination. 
 (1) Not in Connection with a Change of Control. In the event the Company terminates your employment without Cause (as defined below), or you terminate your employment for Good Reason (as defined
below), then subject to your execution and nonrevocation of a Release (as described below), the Company shall provide you with the following: 
 (i) a lump sum cash severance payment equal to twelve (12) months of your then-current base salary, plus an amount equal to a pro-rated portion of your then-current annual target bonus under the
Incentive Plan for the year in which your employment terminates (pro-rated based on the number of days that you are employed during the year in which your employment terminates), payable on the sixtieth (60th) day following your termination of
employment, 
 (ii) payment by the Company of the premiums necessary for you and your eligible dependents to continue your/their
Company group health insurance benefits under the Consolidated Omnibus Reconciliation Act of 1985 (COBRA) for twelve (12) months from the termination date (which premium payment obligation will terminate upon your acceptance of subsequent
employment with a company where comparable health insurance benefits are offered), 
 (iii) accelerated vesting of the
Time-Based Option Shares that would have vested during the period through and including the quarterly installment vesting date that falls on (if your termination date is a quarterly installment vesting date), or the first such date that falls after
(if your termination date is not a quarterly installment vesting date), the anniversary of your termination date, and 
 (iv) if
either or both of the above stock price targets ($2.50/$3.50) for the Performance-Based Option Shares have been achieved prior to the date on which your employment terminates, the respective tranche(s) of Performance-Based Option Shares will fully
vest upon your date of termination. If the average closing price of the Company’s common stock over the twenty (20) consecutive trading day period ending on (and including) your date of termination (or ending on the last trading day before
your termination date if you are terminated on a Saturday, Sunday, or holiday) (the “Closing Price”) is equal to or in excess of $1.75 per share, but less than the stock price target for a tranche, a pro rata portion of the shares subject
to that tranche will vest upon your date of termination based on the ratio of (x) the excess of the Closing 

  
 3 

 Omid Tahernia 
 May 30, 2012 
 Page 4 

 

 
Price over the exercise price, to (y) the excess of the applicable stock price target over the exercise price, multiplied by the number of shares subject to that tranche, and the balance of
the shares subject to that tranche will terminate as of the date of your termination. For example, if the exercise price is $1.00 per share, and the Closing Price is $2.25 per share, 125/150 of the 300,000 shares subject to the $2.50 stock price
target tranche will vest, and 125/250 of the 300,000 shares subject to the $3.50 stock price target tranche will vest. If the Closing Price is less than $1.75 per share, each tranche will terminate as of the date of your termination. 

(2) In Connection with a Change of Control. If the Company terminates your employment without Cause, or you terminate your employment for
Good Reason, within 90 days prior to, or on or within twelve (12) months following, a Change of Control of the Company (as defined below), then subject to your execution and nonrevocation of a Release (as described below), the Company shall
provide you with the following compensation and benefits in lieu of those described in subsection (1) above: 
 (i) a lump
sum cash severance payment equal to: 
 (A) if the Change of Control closes within the first
twelve (12) months of your employment, twenty-four (24) months of your then-current base salary, plus an amount equal to a pro-rated portion of your then-current target annual bonus under the Incentive Plan for the year in which your
employment terminates (pro-rated based on the number of days that you are employed during the year in which your employment terminates), payable on the sixtieth (60th) day following the later of your termination of employment or the close of the Change of Control, or 

(B) if the Change of Control closes after the first twelve (12) months of your employment, twelve
(12) months of your then-current base salary, plus an amount equal to one times your then-current target annual bonus under the Incentive Plan, plus an amount equal to a pro-rated portion of your then-current target annual bonus under the
Incentive Plan for the year in which your employment terminates (pro-rated based on the number of days that you are employed during the year in which your employment terminates), payable on the sixtieth (60th) day following the later of your termination of employment or
the close of the Change of Control, 
 (ii) payment by the Company of the premiums necessary for you and your eligible
dependents to continue your/their Company group health insurance benefits under the Consolidated Omnibus Reconciliation Act of 1985 (COBRA) for twelve (12) months from the termination date (which premium payment obligation will terminate upon
your acceptance of subsequent employment with a company where comparable health insurance benefits are offered), 
 (iii) the
Time-Based Option Shares will become fully vested upon such termination or, if later, the close of the Change of Control, and 

(iv) if such termination occurs within ninety (90) days prior to the Change of Control, you will be entitled to accelerated vesting
of the Performance-Based Option Shares as described in the third paragraph of section (d) (“Equity Awards”) above based on the Change of Control “deal price” as if you were still employed through the close of the Change of
Control. 

  
 4 

 Omid Tahernia 
 May 30, 2012 
 Page 5 

 

 The above severance compensation and benefits are referred to collectively as the “Severance
Benefits”. 
 “Cause” as used herein means your willful and continued refusal to adhere to, or to carry out, in
any material respect, any legal and reasonable directive of the Board after your receipt of written notice from the Board of, and a reasonable opportunity to cure, such refusal, your engaging in any act of dishonesty, fraud or misrepresentation in
connection with your employment with the Company; your knowing violation of any federal or state law or regulation directly applicable to the business of the Company or its affiliates; your breach of any confidentiality agreement or invention
assignment agreement between you and the Company; or your being convicted of, or entering a plea of nolo contendere to, any crime which reflects conduct or character that the Board reasonably and in good faith determines is inconsistent with
continued employment. 
 “Good Reason” as used herein means any of the following that occurs without your express
written consent: a material reduction of your duties, position, authority, or responsibilities (provided that for this purpose, your duties, position, authority, and responsibilities will not be deemed to be materially reduced if following a Change
of Control (as defined below) you retain the same duties, position, authority, and responsibilities with respect to the Company business or the business with which such business is operationally merged or subsumed (as, for example, where you remain
the Chief Executive Officer of the Company as the surviving entity following a Change of Control, but are not made the Chief Executive Officer of the acquirer); a material reduction by the Company in your base salary as in effect immediately prior
to such reduction; a material reduction by the Company in the kind or level of employee benefits to which you are entitled immediately prior to such reduction with the result that your overall benefits package is materially reduced; or a material
change in the geographic location at which you must perform services (in other words, your relocation to a facility or a location more than fifty (50) miles from your current residence on your employment commencement date); provided, however,
that termination of employment shall not be considered for “Good Reason” unless you terminate your employment within ninety (90) days following the initial occurrence of one of the foregoing events, after providing the Company with
written notice of the occurrence thereof and an opportunity to cure of at least (30) days. 
 “Change of Control”
as used herein means a “Change in Control” as defined in the Company’s Amended and Restated 2004 Equity Incentive Plan, as amended. 
 As a condition of receipt of the Severance Benefits provided above, you must deliver to the Company an executed copy of a general release and waiver of claims against the Company, and its affiliates,
directors, officers, and employees (the “Release”) in the form provided by the Company. Such Release will include, without limitation, a mutual non-disparagement provision, and it will not affect any indemnification rights owed to you by
the Company under any contract, statute, or common law. The executed Release must be delivered by you to the Company prior to the end of the consideration period stated in the Release, which consideration period will end

  
 5 

 Omid Tahernia 
 May 30, 2012 
 Page 6 

 

 
not later than fifty (50) days following your termination of employment. If you fail to deliver the Release within the consideration period stated in the Release or you exercise any right
provided to you in the Release to revoke the Release, you will not be eligible to receive the Severance Benefits. 
 (t) Code
Section 409A. 
 Notwithstanding anything to the contrary contained in this letter agreement: 

(1) The parties agree that this letter agreement shall be interpreted to comply with or be exempt from Section 409A of the Internal
Revenue Code of 1986, as amended (the “Code”), and the regulations and guidance promulgated thereunder to the extent applicable (collectively “Code Section 409A”), and all provisions of this letter agreement shall be
construed in a manner consistent with the requirements for avoiding taxes or penalties under Code Section 409A. In no event whatsoever will the Company be liable for any additional tax, interest or penalties that may be imposed on you under
Code Section 409A or any damages for failing to comply with Code Section 409A. 
 (2) A termination of employment
shall not be deemed to have occurred for purposes of any provision of this letter agreement providing for the payment of any amounts or benefits considered “nonqualified deferred compensation” under Code Section 409A upon or following
a termination of employment unless such termination is also a “separation from service” within the meaning of Code Section 409A and, for purposes of any such provision of this letter agreement, references to a “termination,”
“termination of employment” or like terms shall mean “separation from service.” If you are deemed on the date of termination to be a “specified employee” within the meaning of that term under Code
Section 409A(a)(2)(B), then with regard to any payment or the provision of any benefit that is considered nonqualified deferred compensation under Code Section 409A payable on account of a “separation from service,” such payment
or benefit shall be made or provided at the date which is the earlier of(i) the expiration of the six (6)-month period measured from the date of your “separation from service”, and (ii) the date of your death (the “Delay
Period”). Upon the expiration of the Delay Period, all payments and benefits delayed pursuant to this paragraph (whether they would have otherwise been payable in a single sum or in installments in the absence of such delay) shall be paid or
reimbursed on the first business day following the expiration of the Delay Period to you in a lump sum with interest during the Delay Period at the prime rate, and any remaining payments and benefits due under this letter agreement shall be paid or
provided in accordance with the normal payment dates specified for them herein. 
 (3) With regard to any provision herein that
provides for reimbursement of costs and expenses or in-kind benefits that are considered “nonqualified deferred compensation” subject to Code Section 409A, then except as permitted by Code Section 409A, (i) the right to
reimbursement or in-kind benefits shall not be subject to liquidation or exchange for another benefit, (ii) the amount of expenses eligible for reimbursement, or in-kind benefits, provided during any taxable year shall not affect the expenses
eligible for reimbursement, or in-kind benefits, to be provided in any other taxable year, provided, that, this clause (ii) shall not be 

  
 6 

 Omid Tahernia 
 May 30, 2012 
 Page 7 

 

 
violated with regard to expenses reimbursed under any arrangement covered by Internal Revenue Code Section 105(b) solely because such expenses are subject to a limit related to the period
the arrangement is in effect and (iii) such payments shall be made on or before the last day of your taxable year following the taxable year in which the expense occurred. 

(4) For purposes of Code Section 409A, your right to receive any installment payments pursuant to this letter agreement shall be
treated as a right to receive a series of separate and distinct payments. 
 At-Will Employment: 

This letter agreement and your response are not meant to constitute a contract of employment for a specific term. Your employment with Ikanos is
“at-will,” which means that if you accept this offer, both you and the Company will retain the right to terminate your employment at any time, with or without prior notice or cause. We do ask that you give two (2) weeks of written
notice if you decide to resign; provided, however, that this notice requirement shall not apply to any resignation for Good Reason. 

Attorneys’ Fees: 
 The Company will
reimburse you for up to $5,000 of attorneys’ or other professional fees incurred by you in the review/negotiation/drafting of this agreement. 
 Miscellaneous Provisions: 
 This letter agreement and the accompanying Ikanos Employee
Confidential Information and Invention Assignment Agreement set forth all of the terms of your employment with Ikanos and no prior and contemporaneous communication, agreements and understandings, whether written or oral shall apply, with respect to
the terms and conditions of your employment and the additional matters provided for herein. You agree that there were no promises or commitments made to you regarding your employment with Ikanos except as set forth in this letter agreement or in the
Employee Confidential Information and Invention Assignment Agreement. 
 The provisions contained herein shall be construed and interpreted in
accordance with the laws of the State of California, without regard to the conflict of laws principles thereof. Each such provision is severable from the others, and if any provision hereof shall be declared illegal or unenforceable by a court of
competent jurisdiction, the remainder shall continue to be enforceable to the fullest extent permitted by law, as if such offending provision had not been a part of this letter agreement. 
 The Company may withhold from any amounts payable under this letter agreement such federal, state or local taxes as shall be required to be withheld pursuant to any applicable law or regulation.

 This offer is contingent upon the successful completion of each of the following: (i) your executing this letter agreement;
(ii) your executing the Employee Confidential Information and 

  
 7 

 Omid Tahernia 
 May 30, 2012 
 Page 8 

 

 Invention Assignment Agreement; (iii) your providing documentation of your legal right to work in
the United States with three (3) business days of your date of hire; and (iv) the completion of a satisfactory reference and background check. 
 If the foregoing is acceptable to you, please sign this letter agreement in the space provided below and return to Jim Murphy, Vice President Worldwide Human Resources by fax at 510-952-4370 or by email
to jmurohy@ikanos.com within three (3) business days. We look forward to hearing from you soon. If you have any questions about this offer, please contact me. 
 Omid, Ikanos is an exciting endeavor. We offer an exciting, rewarding work environment and you, and your contributions will be an important component of our on-going success. We look forward to working
with you at Ikanos. 
 Very sincerely yours, 
 Ikanos Communications Inc. 
  

	
	/s/ George Pavlov
	
	George Pavlov
	Chairman, Compensation Committee of the Board of Directors

  

	Enclosures:	Duplicate Original Offer Letter agreement 

	    	Employee Confidential Information and Invention Assignment Agreement 

  
 8 

 Omid Tahernia 
 May 30, 2012 
 Page 9 

 

 Acceptance: 
 I, Omid Tahernia, have read and accept the terms of this offer of employment with Ikanos Communications Inc. and I agree to the terms set forth above and in the Employee Confidential Information and
Invention Assignment Agreement. 
 I look forward to reporting to work no later than June 18, 2012. 

 

					
	 /s/ Omid Tahernia
	 		 	 May 31, 2012

	Signature	 		 	Date

  
 9Notice of Stock Option Grant and Stock Option Agreement

 Exhibit 10.2 

 

			
	

	  	

 IKANOS COMMUNICATIONS, INC. 
 NOTICE OF GRANT OF STOCK OPTION AND STOCK OPTION AGREEMENT 
 Ikanos Communications Inc.
(the “Company”), hereby grants an option (“Option”) to purchase shares of its common stock (the “Shares”) to the optionee named below (“Optionee”) on the terms and conditions set forth in this Notice of Grant
of Stock Option. The Option is granted outside of any plan of the Company and is made as an inducement to the Optionee to accept new employment with the Company in accordance with the terms and conditions of an offer letter dated May 31, 2012 (the
“Offer Letter”): 
  

			
	Name:	  	Omid Tahernia
		
	Grant Number:	  	
		
	Date of Grant:	  	June 11, 2012
		
	Vesting Commencement Date:	  	June 11, 2012
		
	Exercise Price per Share:	  	$0.89
		
	Number of Shares Granted:	  	2,100,000
		
	Type of Option:	  	Non-Qualified Stock Option
		
	Term/Expiration Date:	  	One Day Prior to Seventh Anniversary of Date of Grant
		
	Vesting Schedule:	  	

 With respect to 1,500,000 shares subject to the Option (“Time-Based Option Shares”), 25% of such Shares shall
vest twelve months from the Vesting Commencement Date on the same day of the month as the Vesting Commencement Date and 6.25% of the Shares subject to the Option shall vest each quarter thereafter on the same day of the month as the Vesting
Commencement Date, subject to Optionee continuing to be an employee of the Company through each such date, such that all 1,500,000 Shares shall have completely vested on the four year anniversary of the Vesting Commencement Date, unless that date
falls on a non-business date, in which case the next business date shall apply. 
 With respect to the remaining 600,000 Shares subject to the
Option (“Performance-Based Option Shares”), (i) 300,000 shares begin vesting when the average closing stock price of the Company’s common stock on the Nasdaq Stock Market over any period of twenty (20) consecutive trading
days reaches $2.50; and (ii) the remaining 300,000 shares begin vesting when the average closing stock price of the Company’s common stock on the Nasdaq Stock Market over any period of twenty (20) consecutive trading days reaches
$3.50. The Performance-Based Option Shares will vest in equal quarterly installments over the one year period after the respective stock price target is achieved, subject to Optionee’s continued employment. For example, if the
average closing stock price equals or exceeds $2.50/share for twenty (20) consecutive trading days, then the first tranche of 300,000 shares will vest over the following one year period, because the stock price had equaled or exceeded the first
price target. In the event of a Change of Control (as defined in the Offer Letter), the stock price performance targets (if not previously achieved), will be evaluated against the Change of Control deal price. To the extent that the deal price
is equal to or in excess of either of the stock price targets, the corresponding tranche of the Performance-Based Option Shares will fully vest upon the close of the Change of Control. If the deal price is equal to or in excess of $1.75 per
share, but less than the stock price target for a tranche, a pro rata portion of the shares subject to that tranche will vest upon the close of the Change of Control based on the ratio of (x) the excess of the deal price over the exercise
price, to (y) the excess of the applicable stock price target over the exercise price, multiplied by the number of shares subject to that tranche, and the balance of the shares subject to that tranche will terminate as of the close of the
Change of Control. For example, if the exercise price is $1.00 per share, and the deal price is $2.25 per share, 125/150 of the 300,000 shares subject to the $2.50 stock price target tranche will vest, and 125/250 of the 300,000 shares subject to
the $3.50 stock price target tranche will vest. If the deal price is less than $1.75 per share, each tranche will terminate as of the close of the Change of Control. 
 Notwithstanding the foregoing, in the event the Company terminates Optionee’s employment without Cause (as defined in the Offer Letter), or Optionee terminates employment for Good Reason (as defined
in the Offer Letter), then subject to Optionee’s execution and nonrevocation of a release (in accordance with the requirements described in the Offer Letter), the following acceleration of vesting shall apply: 

 (A) The vesting of the Option shall accelerate with respect to that number of Time-Based Option Shares that
would have vested during the period through and including the quarterly installment vesting date that falls on (if the termination date is a quarterly installment vesting date), or the first such date that falls after (if the termination date is not
a quarterly installment vesting date), the anniversary of Optionee’s termination date. 
 (B) If either or both of the above stock price
targets ($2.50/$3.50) for the Performance-Based Option Shares have been achieved prior to the date on which Optionee’s employment terminates, the respective tranche(s) of Performance-Based Option Shares will fully vest upon the date of
termination. If the average closing price of the Company’s common stock over the twenty (20) consecutive trading day period ending on (and including) the date of termination (or ending on the last trading day before the termination date if
Optionee is terminated on a Saturday, Sunday, or holiday) (the “Closing Price”) is equal to or in excess of $1.75 per share, but less than the stock price target for a tranche, a pro rata portion of the shares subject to that tranche will
vest upon the date of termination based on the ratio of (x) the excess of the Closing Price over the exercise price, to (y) the excess of the applicable stock price target over the exercise price, multiplied by the number of shares subject
to that tranche, and the balance of the shares subject to that tranche will terminate as of the date of termination. For example, if the exercise price is $1.00 per share, and the Closing Price is $2.25 per share, 125/150 of the 300,000 shares
subject to the $2.50 stock price target tranche will vest, and 125/250 of the 300,000 shares subject to the $3.50 stock price target tranche will vest. If the Closing Price is less than $1.75 per share, each tranche will terminate as of the date of
termination. 
 (C) If the Company terminates Optionee’s employment without Cause, or Optionee terminates employment for Good Reason,
within ninety (90) days prior to, or on or within twelve (12) months following, a Change of Control , then in lieu of the provisions set forth in the preceding clauses (A) and (B), the Time-Based Option Shares will become fully vested
upon such termination, and if such termination occurs within ninety (90) days prior to the Change of Control, the vesting of the Performance-Based Option Shares will be subject to accelerated vesting as described above based on the Change of
Control “deal price” as if Optionee were still employed through the close of the Change of Control. In addition, if such termination occurs within ninety (90) days prior to the Change of Control, the portion of the Option shares which
would otherwise have been forfeited upon such termination but for the occurrence of a Change of Control within such ninety (90) day period after termination shall not be forfeited until it is determined whether they are subject to accelerated
vesting by reason of the occurrence of a Change of Control within such subsequent ninety (90) day period, and the period to exercise the Option with respect to any such shares that do become vested by reason of the occurrence of such Change of
Control shall not expire until three months after the close of such Change of Control (but in no event later than the expiration date of the Option), notwithstanding any contrary provision of the Agreement (as defined below), but subject to
Section 19(c) of the Agreement. 
 Notwithstanding the foregoing, the Performance-Based Option Shares with respect to which the stock price
targets have not been met prior to the Change of Control, and which do not vest upon the Change of Control based upon the deal price, as described in this Notice of Grant of Stock Option, shall not be subject to accelerated vesting pursuant to
Section 19 of the Agreement, even if not assumed or substituted pursuant to the transaction. 
 By Optionee’s signature below,
Optionee agrees that this Option is granted under and governed by this Notice of Grant of Stock Option and the Terms and Conditions of the Stock Option (the “Agreement”), attached hereto as Appendix A, which is made a part of this
document. 
 The Company’s current periodic filings with the U.S. Securities and Exchange Commission are available on the Company’s
website SEC Filings web link located at: http://www.ikanos.com/investor/investor-overview/, or by request from Stock Administration. Optionee hereby agrees that the Agreement and all other documents made available to Optionee on the Company’s
website are deemed to be delivered to Optionee. 
  

							
	Submitted by:	 		 	Accepted by:
			
	OPTIONEE:	 		 	IKANOS COMMUNICATIONS, INC.
			
	  
	 		 	  

	Signature	 		 		 	
		 		 	By	 	  

				
	Omid Tahernia	 		 	Its	 	  

	 [Address]
 [City, state,
zip]
	 		 		 	

 APPENDIX A 
 TERMS AND CONDITIONS OF THE STOCK OPTION 
 1. Grant of Option. The Company hereby
grants to Optionee an Option to purchase the number of Shares specified in the Notice of Grant, subject to all of the terms and conditions in this Agreement. 
 This Option is not intended to qualify as an incentive stock option under Section 422 of the Internal Revenue Code of 1986, as amended (the “Code”), and will be treated as a non-qualified
stock option. 
 2. Vesting Schedule. Subject to Section 3, the Option will vest in the Optionee according to the vesting schedule
set forth on the attached Notice of Grant of Stock Option, subject to the Optionee continuing to be an employee of the Company through each applicable vesting date. 
 3. Termination of Option. 
 (a) General. Notwithstanding any
contrary provision of this Agreement, if Optionee ceases to be an employee of the Company for any or no reason, the then-unvested portion of the Option awarded by this Agreement will terminate and Optionee will have no further rights thereunder. The
Optionee (or, if applicable, the Optionee’s personal representative, designated beneficiary, estate or the person(s) to whom the Option is transferred pursuant to the Optionee’s will or in accordance with the laws of descent and
distribution) shall have the period set forth in this Agreement to exercise the Option to the extent vested as of the date Optionee ceases to be an employee of the Company. This Option may be exercised only within the following terms, as applicable
(but in no event may the Option be exercised later than the expiration of the term of the Option as set forth in the Notice of Grant of Stock Option) and may be exercised during such terms, as applicable, only in accordance with the terms of this
Agreement. To the extent not exercised within such terms, the Option will terminate and Optionee will have no further rights thereunder. 
 (i) Termination of Relationship as a Service Provider. If Optionee ceases to be a Service Provider (as defined below), other than upon Optionee’s death or Disability (as defined below), the
vested portion of the Option will remain exercisable for three (3) months following Optionee’s termination. 
 (ii) Disability of Participant. If Optionee ceases to be a Service Provider as a result of Optionee’s Disability, the vested portion of the Option will remain exercisable for twelve
(12) months following Optionee’s termination. 
 (iii) Death of Participant. If Optionee dies
while a Service Provider, the vested portion of the Option will remain exercisable for twelve (12) months following Optionee’s death by Optionee’s designated beneficiary, provided such beneficiary has been designated prior to
Optionee’s death in a form acceptable to the Administrator. If no such beneficiary has been designated by Optionee, then the Option may be exercised by the personal representative of Optionee’s estate or by the person(s) to whom the Option
is transferred pursuant to Optionee’s will or in accordance with the laws of descent and distribution. 
 (b)
Definitions. For purposes of this Agreement, the following definitions apply: 
 (i)
“Disability” means total and permanent disability as defined in Section 22(e)(3) of the Code. 

(ii) “Service Provider” means service as an employee, director or consultant of the Company or its Parent or
Subsidiary, as defined for purposes of this Agreement in Sections 424 (e) and (f), respectively, of the Code, whether now or hereafter existing. Unless the Administrator provides otherwise, vesting of the Option will be suspended during
any unpaid leave of absence in excess of 30 days. A termination of Service will not be deemed to occur upon (i) any leave of absence approved by the Company or (ii) transfers between locations of the Company or between the Company, its
Parent or any Subsidiary. 
 4. Exercise of Option. 
 (a) Right to Exercise. This Option is exercisable during its term in accordance with the Vesting Schedule set forth in the Notice of Grant of Stock Option and the applicable provisions of this
Agreement. 
 (b) Method of Exercise. This Option is exercisable by delivery of an exercise notice, in the form attached
as Exhibit A (the “Exercise Notice”) or in such other form and manner as determined by the Administrator, which will state the election to exercise the Option, the number of Shares in respect of which the Option is being exercised
(the “Exercised Shares”), and such other representations and agreements as may be required by the Company pursuant to the provisions of this Agreement. The Exercise Notice will be completed by Optionee and delivered to the Company. The
Exercise Notice will be accompanied by payment of the aggregate Exercise Price as to all Exercised Shares together with any applicable withholding taxes. This Option will be deemed to be exercised upon receipt by the Company of such fully executed
Exercise Notice accompanied by such aggregate Exercise Price. 

  
 Appendix A

 No Shares will be issued pursuant to the exercise of this Option unless such issuance and
exercise comply with applicable laws. Assuming such compliance, for income tax purposes the Exercised Shares will be considered transferred to Optionee on the date the Option is exercised with respect to such Exercised Shares. 

5. Method of Payment. Payment of the aggregate Exercise Price will be by any of the following, or a combination thereof, at the election of
Optionee: 
 (a) cash; 
 (b) check; 
 (c) consideration received by the Company under a formal cashless
exercise program implemented by the Company in connection with the Option; 
 (d) surrender of other Shares which, (i) in
the case of Shares acquired from the Company, either directly or indirectly, have been owned by Optionee and not subject to a substantial risk of forfeiture for more than six (6) months on the date of surrender, if required by the Administrator
(as defined below) to avoid adverse accounting consequences (as determined by the Administrator); and (ii) have a Fair Market Value (as defined below) on the date of surrender equal to the aggregate Exercise Price of the Exercised Shares; or

 (e) such other consideration and method of payment for the issuance of Shares to the extent permitted by the Administrator
and applicable laws. 
 For purposes of this Agreement, “Fair Market Value” means, as of any date, the value of the
common stock of the Company determined as follows: 
 (i) If the common stock is listed on any established stock
exchange or a national market system, including without limitation the Nasdaq National Market or The Nasdaq SmallCap Market of The Nasdaq Stock Market, its Fair Market Value will be the closing sales price for such stock (or the closing bid, if no
sales were reported) as quoted on such exchange or system on the day of determination, as reported in The Wall Street Journal or such other source as the Administrator deems reliable; 

(ii) If the common stock is regularly quoted by a recognized securities dealer but selling prices are not reported, the
Fair Market Value of a Share of common stock will be the mean between the high bid and low asked prices for the common stock on the day of determination, as reported in The Wall Street Journal or such other source as the Administrator deems
reliable; or 
 (iii) In the absence of an established market for the common stock, the Fair Market Value will be
determined in good faith by the Administrator. 
 6. Tax Obligations. 

(a) Withholding Taxes. Optionee agrees to make appropriate arrangements with the Company for the satisfaction of all Federal,
state, and local income and employment tax withholding requirements applicable to the Option exercise. Optionee acknowledges and agrees that the Company may refuse to honor the exercise and refuse to deliver Shares if such withholding amounts are
not delivered at the time of exercise. 
 (b) The Administrator, in its sole discretion and pursuant to such procedures as it
may specify from time to time, may permit Optionee to satisfy such tax withholding obligation, in whole or in part by (without limitation) (i) paying cash, (ii) electing to have the Company withhold otherwise deliverable Shares having a
Fair Market Value equal to the minimum amount required to be withheld, or (iii) delivering to the Company already-owned Shares having a Fair Market Value equal to the minimum amount required to be withheld. The Fair Market Value of the Shares
to be withheld or delivered will be determined as of the date that the taxes are required to be withheld. 
 7. Rights as Stockholder.
Neither Optionee nor any person claiming under or through Optionee will have any of the rights or privileges of a stockholder of the Company in respect of any Shares deliverable hereunder unless and until certificates representing such Shares will
have been issued, recorded on the records of the Company or its transfer agents or registrars, and delivered to the Optionee. 
 8. No Effect
on Service. Optionee acknowledges and agrees that the vesting of the Option pursuant to Section 3 hereof is earned only by Optionee continuing to be an employee through the applicable vesting dates (and not through the act of being hired or
acquiring Shares hereunder). Optionee further acknowledges and agrees that this Agreement, the transactions contemplated hereunder and the vesting schedule set forth herein do not constitute an express or implied promise of

  
 Appendix A

 
Optionee’s continuation as an employee for the vesting period, for any period, or at all, and will not interfere with the Optionee’s right or the right of the Company to terminate
Optionee’s status as an employee at any time, with or without cause. 
 9. Address for Notices. Any notice to be given to the
Company under the terms of this Agreement will be addressed to the Company, in care of its Stock Plan Administrator at Ikanos Communications, Inc., 47669 Fremont Blvd., Fremont, CA. 94538, or at such other address as the Company may hereafter
designate in writing. 
 10. Grant is Not Transferable. Except to the limited extent permitted in the event of the Optionee’s death,
this grant and the rights and privileges conferred hereby will not be transferred, assigned, pledged or hypothecated in any way (whether by operation of law or otherwise) and will not be subject to sale under execution, attachment or similar
process. Upon any attempt to transfer, assign, pledge, hypothecate or otherwise dispose of this grant, or any right or privilege conferred hereby, or upon any attempted sale under any execution, attachment or similar process, this grant and the
rights and privileges conferred hereby immediately will become null and void. 
 11. Binding Agreement. Subject to the limitation on the
transferability of this grant contained herein, this Agreement will be binding upon and inure to the benefit of the heirs, legatees, legal representatives, successors and assigns of the parties hereto. 

12. Additional Conditions to Issuance of Stock; Suspension of Exercisability. If at any time the Company shall determine, in its discretion, that
the listing, registration or qualification of the Shares upon any securities exchange or under any applicable law, or the consent or approval of any governmental regulatory authority, is necessary or desirable as a condition of the purchase of
Shares hereunder, this Option may not be exercised, in whole or in part, unless and until such listing, registration, qualification, consent or approval shall have been effected or obtained free of any conditions not acceptable to the Company. The
Company shall make reasonable efforts to meet the requirements of any applicable law or securities exchange and to obtain any required consent or approval of any governmental authority. The inability of the Company to obtain authority from any
regulatory body having jurisdiction, which authority is deemed by the Company’s counsel to be necessary to the lawful issuance and sale of any Shares hereunder, will relieve the Company of any liability in respect of the failure to issue or
sell such Shares as to which such requisite authority will not have been obtained. As a condition to the exercise of the Option, the Company may require the person exercising the Option to represent and warrant at the time of any such exercise that
the Shares are being purchased only for investment and without any present intention to sell or distribute such Shares if, in the opinion of counsel for the Company, such a representation is required. 

13. Agreement Governs. In the event of a conflict between one or more provisions of this Agreement and one or more provisions of the Offer Letter,
the provisions of this Agreement will govern. 
 14. Administrator Authority. The Compensation Committee of the Board of Directors of the
Company (the “Administrator”) will have the power to interpret this Agreement and to adopt such rules for the administration, interpretation and application of this Agreement as are consistent therewith and to interpret or revoke any such
rules (including, but not limited to, the determination of whether or not and to what extent the Option has vested). All actions taken and all interpretations and determinations made by the Administrator in good faith will be final and binding upon
Optionee, the Company and all other interested persons. No member of the Administrator will be personally liable for any action, determination or interpretation made in good faith with respect to this Agreement. 

15. Captions. Captions provided herein are for convenience only and are not to serve as a basis for interpretation or construction of this
Agreement. 
 16. Agreement Severable. In the event that any provision in this Agreement will be held invalid or unenforceable, such
provision will be severable from, and such invalidity or unenforceability will not be construed to have any effect on, the remaining provisions of this Agreement. 
 17. Modifications to the Agreement. This Agreement constitutes the entire understanding of the parties on the subjects covered. Optionee expressly warrants that he or she is not accepting this
Agreement in reliance on any promises, representations, or inducements other than those contained herein. Modifications to this Agreement can be made only in an express written contract executed by a duly authorized officer of the Company.

 18. Governing Law. This Agreement shall be governed by the laws of the State of California, without giving effect to the conflict of
law principles thereof. For purposes of litigating any dispute that arises under this Option or this Agreement, the parties hereby submit to and consent to the jurisdiction of the State of California, and agree that such litigation shall be
conducted in the courts of Santa Clara County, California, or the federal courts for the United States for the Northern District of California, and no other courts, where this Award is made and/or to be performed. 

  
 Appendix A

 19. Adjustments; Dissolution or Liquidation; Merger or Change in Control.

(a) Adjustments. In the event that any dividend or other distribution (whether in the form of cash, Shares, other securities, or
other property), recapitalization, stock split, reverse stock split, reorganization, merger, consolidation, split-up, spin-off, combination, repurchase, or exchange of Shares or other securities of the Company, or other change in the corporate
structure of the Company affecting the Shares occurs such that the Administrator (in its sole discretion) determines an adjustment is appropriate in order to prevent dilution or enlargement of the benefits or potential benefits intended to be made
available under the Option, then the Administrator shall, in such manner as it may deem equitable, adjust the number, class and Exercise Price of the Shares covered by the Option. 

(b) Dissolution or Liquidation. In the event of the proposed dissolution or liquidation of the Company, the Administrator will
notify Optionee as soon as practicable prior to the effective date of such proposed transaction. The Administrator in its discretion may provide for Optionee to have the right to exercise the Option, to the extent applicable, until ten
(10) days prior to such transaction as to all of the Shares covered hereby, including Shares as to which the Option would not otherwise be exercisable. In addition, the Administrator may provide that vesting shall accelerate 100%, provided the
proposed dissolution or liquidation takes place at the time and in the manner contemplated. To the extent the Option has not been previously exercised, the Option will terminate immediately prior to the consummation of such proposed action.

 (c) Change in Control. In the event of a merger or Change in Control (as defined, for purposes of this
Section 19(c), in the Company’s Amended and Restated 2004 Equity Incentive Plan as of the date hereof), the Option shall be assumed or an equivalent option substituted by the successor corporation or a Parent or Subsidiary of the successor
corporation. Unless determined otherwise by the Administrator, in the event that the successor corporation refuses to assume or substitute for the Option, Optionee shall fully vest in and have the right to exercise the Option as to all of the
Shares, including Shares as to which the Option would not otherwise be vested or exercisable. If the Option is not assumed or substituted in the event of a merger or Change in Control, the Administrator shall notify Optionee in writing or
electronically that the Option shall be exercisable, to the extent vested, for a period from the date of such notice as the Administrator may determine, and the Option shall terminate upon the expiration of such period. For the purposes of this
paragraph, the Option shall be considered assumed if, following the merger or Change in Control, the Option confers the right to purchase, for each Share subject to the Option immediately prior to the merger or Change in Control, the consideration
(whether stock, cash, or other securities or property) received in the merger or Change in Control by holders of common stock for each Share held on the effective date of the transaction (and if holders were offered a choice of consideration, the
type of consideration chosen by the holders of a majority of the outstanding Shares); provided, however, that if such consideration received in the merger or Change in Control is not solely common stock of the successor corporation or its Parent,
the Administrator may, with the consent of the successor corporation, provide for the consideration to be received upon the exercise of the Option, for each Share subject to the Option, to be solely common stock of the successor corporation or its
Parent equal in fair market value to the per share consideration received by holders of common stock in the merger or Change in Control. Notwithstanding the foregoing, the Performance-Based Option Shares with respect to which the applicable stock
price targets have not been met prior to a Change in Control, and which do not vest upon the Change in Control based upon the deal price, as described in the Notice of Grant of Stock Option, shall not be subject to accelerated vesting pursuant to
this Section 19(c), even if not assumed or substituted pursuant to the transaction. 

  
 Appendix A

 EXHIBIT A 

IKANOS COMMUNICATIONS, INC. 
 EXERCISE NOTICE 
 Ikanos Communications, Inc. 

47669 Fremont Blvd. 
 Fremont, CA 94538

  

	Attention:	Stock Administrator 

 1.
Exercise of Option. Effective as of today,             ,             , the undersigned (“Optionee”) hereby
elects to purchase             shares (the “Shares”) of the Common Stock of Ikanos Communications, Inc. (the “Company”) under and pursuant to the Notice of Grant of
Stock Option and Stock Option Agreement having a Date of Grant of             (the “Agreement”). 
 2. Delivery of Payment. Optionee herewith delivers to the Company the full purchase price for the Shares and any required withholding taxes to be paid in connection with the exercise of the Option.

 3. Representations of Optionee. Optionee acknowledges that Optionee has received, read and understood the Agreement
and agrees to abide by and be bound by their terms and conditions. 
 4. Rights as Stockholder. Until the issuance (as
evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company) of the Shares, no right to vote or receive dividends or any other rights as a stockholder will exist with respect to the Option
Shares, notwithstanding the exercise of the Option. The Shares so acquired will be issued to Optionee as soon as practicable after exercise of the Option. No adjustment will be made for a dividend or other right for which the record date is prior to
the date of issuance, except as provided in Section 19 of the Agreement. 
 5. Tax Consultation. Optionee
understands that Optionee may suffer adverse tax consequences as a result of Optionee’s purchase or disposition of the Shares. Optionee represents that Optionee has consulted with any tax consultants Optionee deems advisable in connection with
the purchase or disposition of the Shares and that Optionee is not relying on the Company for any tax advice. 
 6. Entire
Agreement; Governing Law. The Agreement is incorporated herein by reference. This Exercise Notice and the Agreement constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in their entirety all
prior undertakings and agreements of the Company and Optionee with respect to the subject matter hereof, and may not be modified adversely to the Optionee’s interest except by means of a writing signed by the Company and Optionee. This
Agreement is governed by the internal substantive laws, but not the choice of law rules, of California. 
  

									
	Submitted by:	 		 	Accepted by:
			
	OPTIONEE:	 		 	IKANOS COMMUNICATIONS, INC.
			
	  
	 		 	  

				
	Signature	 		 	By	 	  

				
		 		 	Its	 	  

	 Omid Tahernia

[address]
 [city, state, zip]
	 		 		 	
		 		 	Date Received:	 	  

  
 Exhibit A

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00205-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00205-of-00352.parquet"}]]