Document:

Sales Leader Plan

 Exhibit 10.118 
 BROCADE SALES LEADER PLAN 
 October 28, 2011 

(Effective as of fiscal year 2012) 
 PURPOSE 
 The Brocade Sales Leader Plan is designed to link incentive compensation with Company
performance. 
 PERFORMANCE PERIOD AND PAYOUT PERIOD 
 Performance against Company and individual objectives is measured annually (according to the Company’s fiscal year) (Plan Period), with the exception of up to $100K of the revenue target incentive
which may be paid quarterly up to $25K per quarter (see Revenue Quarterly Target Incentive on page 3 of this document for full details). All other payout of earned cash bonuses, if any, occurs on an annual basis. 

ELIGIBILITY 
 The Senior Vice President
Worldwide Sales is the only eligible participant in the Sales Leader Plan Program. The Senior Vice President Worldwide Sales shall not be eligible to participate in the Company’s FY12 Senior Leadership Plan (SLP) or FY12 “Rev” It Up
Plan. 
 Participant must be employed in a Sales Leader Plan eligible position as a regular (full-time or part-time) employee at the end of each
quarter, if eligible to receive a Revenue Quarterly Target Incentive payout, and at the end of the fiscal year to be eligible to earn the remainder of the annual Sales Leader Plan Payout. 
 PARTICIPANT PERFORMANCE CONTRACTS 
 As each Plan Period begins, Participant must complete a VP
Performance Contract. Performance Contracts should be tied to Company and departmental goals as outlined by the Board of Directors (i.e., Company priorities and initiatives). All goals must be tied to overall Company objectives and have
defined measurements. 
 Before the Performance Contract for the Senior Vice President Worldwide Sales is final, it shall be reviewed and
approved by Finance, Human Resources, and the CEO. 
 COMPANY PERFORMANCE & SALES LEADER PLAN FUNDING 

Each Plan Period, Brocade’s Board of Directors will approve Brocade’s fiscal year business operating plan, including a Revenue target (Target
Revenue), a Gross Margin target (Target Gross Margin) and a Sales Expense Budget (Target Sales Expense Savings), for the Company to achieve during the Plan Period. 
 At the end of each quarter, for the Revenue Quarterly Target Incentive, and at the end of each annual Plan Period, Brocade will determine amounts to be paid under the Sales Leader Plan based on the actual
performance on a pre-bonus basis (Actual Performance) achieved by Brocade 

  
 1. 

 
during the Plan Period (Actual Revenue, Actual Gross Margin and Actual Sales Expenses) relative to the Target Revenue (Revenue Percentage), Target Gross Margin (Gross Margin Percentage) and
Target Sales Expenses (Sales Expense Savings Percentage). The Actual Revenue, Actual Gross Margin and Actual Sales Expenses will be communicated following the end of each Plan Period. 
 PARTICIPANT INCENTIVE TARGET PERCENTAGE 
 The Participant’s Annual Incentive Target Percentage
is 200% of the Participant’s annual base salary and is approved by the Company’s Compensation Committee. 
 SALES LEADER PLAN
PAYOUTS 
 On an annual basis, the Compensation Committee reviews and approves the formula for cash bonus payouts and actual Sales Leader Plan
bonus payouts to any person who is an officer of the Company within the meaning of Section 16 of the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder (Section 16 Officer). 

Payouts under the Sales Leader Plan, including the revenue element, gross margin element, and sales expense element, are subject to a minimum bonus
payout threshold for revenue (Minimum Revenue Threshold), gross margin (Minimum GM Threshold) and sales expenses (Minimum Sales Expense Savings Threshold), respectively, as determined by the Compensation Committee. Notwithstanding the foregoing,
Participants will not be eligible for any Multi-Factor Bonus Payout under the Sales Leader Plan in the event that revenue is less than the Minimum Revenue Threshold. 
 Subject to the Minimum Revenue Threshold and except as otherwise agreed upon by: (i) the Compensation Committee for the Section 16 officers, and (ii) the Participant, the Total Sales Leader
Plan cash bonus payout is calculated based on the following formula (less applicable taxes and deductions): 
 Total Sales
Leader Plan Payout = Actual Revenue Quarterly Target Incentive that is earned + Multi-Factor Bonus Payout 
 Multi-Factor
Bonus Payout = ((Actual Performance Multiplier) x (Individual Performance Multiplier) x (Annual Incentive Target %) x (Annual Base Salary)) – (Revenue Quarterly Target Incentive) 

Actual Performance Multiplier. The Actual Performance Multiplier for the plan Participant is equal to the sum of: 

(i) Revenue Payout Percentage multiplied by 50%, plus 

(ii) Gross Margin (GM) Payout Percentage multiplied by 25%, plus 

(iii) Sales Expense Savings Payout Percentage multiplied by 25%. 

Individual Performance. The Individual Performance Multiplier for the plan Participant is based on: 

(i) Individual performance relative to achieving individual performance, departmental goals and leadership competencies, and may range
from zero (0) to 110%. 

  
 2. 

 The Revenue Payout Percentage, Gross Margin (GM) Payout Percentage and Sales Expense Savings Payout
Percentage are calculated as follows: 
 Revenue Payout Percentage: 

 

	 	•	 	 If the Revenue Percentage is below the Minimum Revenue Threshold, the Revenue Payout Percentage shall be 0% (zero). 

 

	 	•	 	 If the Revenue Percentage is equal to or above the Target Revenue Threshold, the Revenue Payout Percentage shall be equal to 100% plus three
(3) percentage points for each Revenue Percentage point above the Target Revenue Threshold. 

  

	 	•	 	 If the Revenue Percentage is equal to or above the Minimum Revenue Threshold but below the Target Revenue Threshold, the Revenue Payout Percentage
shall be equal to 100% less two (2) percentage points for each Revenue Percentage point below the Target Revenue Threshold. 

 Gross Margin (GM) Payout Percentage: 
  

	 	•	 	 If the GM Percentage is below the Minimum GM Threshold, the GM Payout Percentage shall be 0% (zero). 

 

	 	•	 	 If the GM Percentage is equal to or above the Target GM Threshold, the GM Payout Percentage shall be equal to 100% plus three
(3) percentage points for each GM Percentage point above the Target GM Threshold. 

  

	 	•	 	 If the GM Percentage is equal to or above the Minimum GM Threshold but below the Target GM Threshold, the GM Payout Percentage shall be equal to 100%
less two (2) percentage points for each GM Percentage point below the Target GM Threshold. 

Sales Expense Savings Payout Percentage: 

 

	 	•	 	 If the Sales Expenses are above the Target Sales Expense Budget, the Sales Expense Savings Payout Percentage shall be 0% (zero).

  

	 	•	 	 If the Sales Expense Savings Percentage is equal to or exceeds the Target Sales Expense Savings Threshold, the Sales Expense Savings Payout Percentage
shall be equal to 100% plus three (3) percentage points for each Sales Expense Savings Percentage point above the Target Sales Expense Savings Threshold. 

 

	 	•	 	 If the Sales Expense Savings Percentage is equal to or below the Minimum Sales Expense Savings Threshold and below the Target Sales Expense Budget, the
Sales Expense Savings Payout Percentage shall be equal to 100% less two (2) percentage points for each Sales Expense Savings Percentage point below the Target Sales Expense Savings Threshold. 

Fractional amounts shall be interpolated based on the above scaling. 
 The applicable minimum threshold for Revenue (Minimum Revenue Threshold) is 90%, the applicable minimum threshold for GM (Minimum GM Threshold) is 80%, and the applicable minimum threshold
for Sales Expense Savings (Minimum Sales Expense Savings Threshold) is 10%. The Revenue Payout Percentage, Gross Margin Payout Percentage and Sales Expense Savings Payout Percentage are uncapped for overachievement. 

Revenue Quarterly Target Incentive. There is a Revenue Quarterly Target Incentive of $100K, which is included as part of the total annual revenue
target incentive. Other than the initial $25K 

  
 3. 

 
payment, which shall be automatically deemed earned, this $100K portion of the incentive may be earned and paid in increments of $25K/quarter only if 100% of the quarterly revenue target is
achieved for the preceding quarter. Example, at the beginning of Q1, $25K will automatically be paid to the participant within 8 weeks of the beginning of Q1; if the Q1 revenue target is 100% achieved, another $25K will be paid to the participant
within eight (8) weeks of the beginning of Q2; if the Q2 revenue target is 100% achieved, another $25K will be paid to the participant within eight (8) weeks of the beginning of Q3; if the Q3 revenue target is 100% achieved, a final $25K
will be paid to the participant within eight (8) weeks of the beginning of Q4. If, however, the Q1 revenue target is not achieved at 100%, then the $25K paid at the beginning of Q2 is forfeited. The same analysis would be performed in Q2 and Q3
to determine if the revenue target for the preceding quarter was not achieved at 100%. 
 Individual Performance Percentage Multiplier.
On an annual basis, the Compensation Committee reviews and approves the Individual Performance Percentage (with input from the CEO) for Section 16 Officers. The Individual Performance Percentage can range from 0% (zero) to 110%. 

Bonuses will be calculated using the annual base salary and Annual Incentive Target Percentage as of the last day of the Plan Period, except as set forth
above or otherwise indicated in writing by Brocade. 
 Program payouts are generally made within eight (8) weeks of the beginning of each
quarter, if eligible and within eight (8) weeks following the conclusion of the 12-month Plan Period. 
 ADMINISTRATIVE PROCEDURES

 Compensation Committee Approval 
 The Compensation Committee reserves the right to decrease or eliminate bonus otherwise indicated. 

New Hires and Promotions 
 A Participant
who is new to the company or who is promoted into the Sales Leader Plan must complete a Performance Contract within 60 days of beginning in the new position. Payouts will be pro-rated for Participants who are hired or transferred into the Sales
Leader Plan during any Plan Period. 
 Position/Salary Factor 
 Payout will be based on the Participant’s annual base salary and job position on the last day of the Plan Period. 
 Terminations: Any Participant whose employment terminates for any reason before the end of the fiscal year is not eligible to earn a Sales Leader Plan payout, other than the portion of the $100K
Revenue Quarterly Target Incentive that may already have been paid at that point. 
 Leaves of Absences, Disability or Death: In the
event of the Participant’s death, disability time off, or leave of absence, Payouts will be made on a pro-rated basis, based on the number of days 

  
 4. 

 
the Participant was actively working at Brocade. In the event of death, any cash bonus payments will be paid to the Participant’s primary beneficiary as designated in the Participant’s
Brocade life insurance plan documentation, if any, or will otherwise be paid to his or her estate. 
 Performance Improvement
Plan/Disciplinary Situations (Development Needed): If a Participant, at any time prior to the cash bonus payout 12-month Plan Period, is subject to a performance improvement plan, discipline or demotion, Brocade may, in its sole discretion,
reduce or eliminate the cash bonus payment that the Participant would otherwise have been eligible to receive. If, at the time prior to the Payout for a 12-month Plan Period, it is determined that a Participant may be subject to corrective action,
discipline or demotion, then Brocade may withhold the entire cash bonus payout, or a portion thereof, until after a final decision on such corrective action has been made. If a Participant is given a performance rating of Development Needed, the
Participant will not be eligible to earn a Payout. Only the VP of Human Resources or CEO may approve exceptions to this policy, except that the Compensation Committee must approve exceptions for Section 16 officers. 

Section 409A: It is intended that any payments made under the Sales Leader Plan will be exempt from the requirements of Section 409A of
the Internal Revenue Code of 1986, as amended and the regulations and guidance issued thereunder (collectively, Section 409A), pursuant to the “short-term deferral” exception under Section 409A, and any ambiguities and/or
ambiguous terms under the Plan will be interpreted to comply with the requirements of such exception or otherwise comply with the requirements of Section 409A. Each payment under the Sales Leader Plan is intended to constitute a separate
payment for purposes of Section 1.409A-2(b)(2) of the U.S. Treasury Regulations. Without imposing any obligation, Brocade may, in good faith and without the consent of any Participant, make any amendments to this the Sales Leader Plan and take
such reasonable actions which it deems necessary, appropriate or desirable to avoid imposition of any additional tax or income recognition under Section 409A prior to actual payment to any Participant. 

Other Provisions: Participation in the Sales Leader Plan does not constitute an agreement (express or implied) between the Participant and Brocade
that the Participant will be employed by Brocade for any specific period of time, nor is there any agreement for continuing or long-term employment. Terms and conditions regarding the Sales Leader Plan and any participation therein, including, but
not limited to, Sales Leader Plan eligibility, Sales Leader Plan funding, and performance and payout criteria and determinations, are subject to change by Brocade at any time in its sole discretion. Brocade and its Board of Directors retain the
absolute right to interpret, revise, modify or terminate the Sales Leader Plan at any time in its sole discretion. This Sales Leader Plan supersedes all prior written or oral statements to employees regarding the Sales Leader Plan for the periods
contemplated hereunder. 

  
 5.Amended and Restated Change of Control Retention Agreement

 Exhibit 10.119 
 BROCADE COMMUNICATIONS SYSTEMS, INC. 
 AMENDED AND RESTATED

 CHANGE OF CONTROL RETENTION AGREEMENT FOR MICHAEL KLAYKO 

This Amended and Restated Change of Control Retention Agreement (the “Agreement”) is entered into as of December 22, 2008
(the “Effective Date”) by and between Brocade Communications Systems, Inc. (the “Company”) and Michael Klayko (“Executive”). 
 RECITALS 
 WHEREAS, the Company and Executive previously entered into an
Amended and Restated Change of Control Retention Agreement, dated May 11, 2007 (the “Amended Agreement”); and 

WHEREAS, the Company and Executive desire to amend certain provisions of the Agreement in order to come into documentary compliance with
Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), and any final regulations and official guidance promulgated thereunder (together, “Section 409A”) so as to avoid the imposition of the
additional tax imposed under Section 409A, as set forth below. 
 NOW, THEREFORE, in consideration of the premises and
mutual promises, covenants, and conditions contained herein, the Company and Executive agree on the terms and conditions set forth herein as follows: 
 AGREEMENT 
 1. At-Will Employment. Executive and the Company agree
that Executive’s employment with the Company is and shall continue to be “at-will” employment. Executive and the Company acknowledge that this employment relationship may be terminated at any time, upon written notice to the other
party, with or without good cause or for any or no cause, at the option either of the Company or Executive. However, as described in this Agreement, Executive may be entitled to severance benefits depending upon the circumstances of Executive’s
termination of employment. 
 2. Severance Benefits. 

(a) Termination of Employment. In the event Executive’s employment with the Company terminates for any reason during the Term
or any duly authorized extension thereof (as set forth in Section 9 below), Executive will be entitled to any (i) unpaid Base Salary accrued up to the effective date of termination, (ii) unpaid, but earned and accrued annual incentive
for any completed fiscal year as of his termination of employment, (iii) benefits or compensation as provided under the terms of any employee benefit and compensation agreements or plans applicable to Executive, and (iv) unreimbursed
business expenses required to be reimbursed to Executive. 
 (b) Termination Without Cause not in Connection with a Change of
Control. If Executive’s employment is terminated by the Company without Cause during the Term or any duly authorized extension thereof (as set forth in Section 9 below), and such termination does not occur in Connection with a Change
of Control, then, subject to Sections 3, 5, and 6, Executive will receive: (i)

 
twelve (12) months of Executive’s base salary, as in effect immediately prior to the date of termination, (ii) 100% of Executive’s target cash bonus under the Company’s
Senior Leadership Plan for the fiscal year in which Executive’s termination occurs, and (iii) reimbursement for premiums paid for medical, dental and vision benefits (the “COBRA Benefits”) for Executive and Executive’s
eligible dependents under the Company’s benefit plans for twelve (12) months following Executive’s termination of employment, payable when such premiums are due (provided Executive and Executive’s eligible dependents validly
elect to continue coverage under applicable law). 
 (c) Termination Without Cause or Resignation for Good Reason in
Connection with a Change of Control. If Executive’s employment is terminated by the Company without Cause or by Executive for Good Reason, in either case during the Term or any duly authorized extension thereof (as set forth in
Section 9 below), and the termination is in Connection with a Change of Control, then, subject to subject to Sections 3, 5, and 6, Executive will receive: (i) twenty-four (24) months of Executive’s base salary, as in effect
immediately prior to the date of termination, (ii) 200% of Executive’s target cash bonus under the Company’s Senior Leadership Plan for the fiscal year in which Executive’s termination occurs, (iii) reimbursement for
premiums paid for COBRA Benefits for Executive and Executive’s eligible dependents under the Company’s benefit plans for eighteen (18) months following Executive’s termination of employment, payable when such premiums are due
(provided Executive and Executive’s eligible dependents validly elect to continue coverage under applicable law), and (iv) full accelerated vesting with respect to Executive’s then outstanding, unvested equity awards that were granted
to Executive on or prior to the date hereof or during the Term (or any duly authorized extension thereof). For purposes of clarification, following the Term (or any duly authorized extension thereof) neither the Board nor Compensation Committee of
the Board may retroactively reduce the amount of acceleration with respect to any grants of equity awards made prior to the expiration of the Term unless agreed to in writing by the Executive. 

(d) Voluntary Termination without Good Reason; Termination for Cause. If Executive’s employment with the Company terminates
voluntarily by Executive without Good Reason or is terminated for Cause by the Company, then (i) all further vesting of Executive’s outstanding equity awards will terminate immediately, (ii) all payments of compensation by the Company
to Executive hereunder will terminate immediately, and (iii) Executive will be eligible for severance benefits only in accordance with the Company’s then established plans, programs, and practices. 

(e) Termination due to Death or Disability. Notwithstanding anything to the contrary in this Agreement, if Executive’s
employment terminates by reason of death or Disability, then (i) Executive’s outstanding equity awards will terminate in accordance with the terms and conditions of the applicable award agreement(s); (ii) all payments of compensation
by the Company to Executive hereunder will terminate immediately, and (iii) Executive will be entitled to receive benefits only in accordance with the Company’s then established plans, programs, and practices. 

(f) Sole Right to Severance. This Agreement is intended to represent Executive’s sole entitlement to severance payments and
benefits in connection with the termination of Executive’s employment. To the extent Executive is entitled to receive severance or similar payments and/or benefits under any other Company plan, program, agreement, policy, practice, or the like,
severance payments and benefits due to Executive under this Agreement will be so reduced, except where the 

  
 -2-

 Company (as authorized by the Compensation Committee or Board) and Executive expressly agree in writing that
such additional benefits are intended to be in addition to (and not in lieu of) the severance benefits under this Agreement. 
 (g) Timing of Severance Benefit Payments. Any severance payments that are not Deferred Payments (as defined below) will be payable by the Company within thirty (30) days of the Release
Effective Date. In the event Executive’s termination of employment occurs at a time during the calendar year where the Separation and Release Agreement (as defined below) could become effective in the calendar year following the calendar year
in which Executive’s termination of employment occurs, then any severance payments or benefits under this agreement that could be considered Deferred Payments (as defined Section 6 below) will be paid on the first (1st) payroll to occur during the calendar year following the
calendar year in which the Executive terminates employment or, if later, (i) the Release Deadline (as defined below) or (ii) such time as required under Section 6 below. 

3. Conditions to Receipt of Severance; No Duty to Mitigate. 

(a) Separation Agreement and Release of Claims. The receipt of any severance pursuant to Section 2 will be subject to
Executive signing and not revoking a separation agreement and release of claims (the “Separation and Release Agreement”) in the form provided to Executive by the Company, which must become effective no later than sixty (60) days
following the date Executive’s employment terminates or such earlier period required by the Separation and Release Agreement (such deadline, the “Release Deadeline”). If the Separation and Release Agreement does not become effective
by the Release Deadline, Executive forfeits any rights to severance benefits under this Agreement. No severance will be paid or provided until the Separation Agreement and Release Agreement becomes effective. 

(b) Nondisparagement. During the term of Executive’s employment and for twelve (12) months thereafter, Executive will
not knowingly disparage, criticize, or otherwise make any derogatory statements regarding the Company, its directors, or its officers. The foregoing restrictions will not apply to any statements that are made truthfully in response to a subpoena or
other compulsory legal process. 
 (c) Other Requirements. Executive agrees to continue to comply with the terms of the
Company’s Employment, Confidential Information, Invention Assignment and Arbitration Agreement entered into by Executive (the “Confidential Information Agreement”). 

(d) No Duty to Mitigate. Executive will not be required to mitigate the amount of any payment contemplated by this Agreement, nor
will any earnings that Executive may receive from any other source reduce any such payment. 
 4. Definitions.

 (a) Cause. For purposes of this Agreement, “Cause” means (i) Executive’s willful and continued
failure to perform the duties and responsibilities of his position that is not corrected within a thirty (30) day correction period that begins upon delivery to Executive of a written demand for performance from the Board that describes the
basis for the Board’s belief that Executive has not substantially performed his duties; (ii) any act of personal dishonesty taken by 

  
 -3-

 
Executive in connection with his responsibilities as an employee of the Company with the intention or reasonable expectation that such may result in substantial personal enrichment of Executive;
(iii) Executive’s conviction of, or plea of nolo contendre to, a felony that the Board reasonably believes has had or will have a material detrimental effect on the Company’s reputation or business, or (iv) Executive materially
breaching Executive’s Confidential Information Agreement, which breach is (if capable of cure) not cured within thirty (30) days after the Company delivers written notice to Executive of the breach. 

(b) Change of Control. “Change of Control” shall mean the occurrence of any of the following events: 

(i) the consummation by the Company of a merger or consolidation of the Company with any other corporation, other than a merger or
consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity) more than
fifty percent (50%) of the total voting power represented by the voting securities of the Company or such surviving entity outstanding immediately after such merger or consolidation; 

(ii) the consummation of the sale or disposition by the Company of all or substantially all of the Company’s assets; 

(iii) any “person” (as such term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended)
becoming the “beneficial owner” (as defined in Rule 13d-3 under said Act), directly or indirectly, of securities of the Company representing 50% or more of the total voting power represented by the Company’s then outstanding
voting securities; or 
 (iv) a change in the composition of the Board, as a result of which fewer than a majority of the
directors are Incumbent Directors. “Incumbent Directors” shall mean directors who either (A) are directors of the Company as of the date hereof, or (B) are elected, or nominated for election, to the Board with the affirmative
votes of at least a majority of those directors whose election or nomination was not in connection with any transactions described in subsections (i), (ii), or (iii) or in connection with an actual or threatened proxy contest relating to the
election of directors of the Company. 
 (c) Disability. For purposes of this Agreement, Disability will have the same
defined meaning as in the Company’s long-term disability plan. 
 (d) Good Reason. For purposes of this Agreement,
“Good Reason” means the occurrence of any of the following, without Executive’s consent: (i) a material reduction of Executive’s duties, title, authority or responsibilities in effect immediately prior to a Change of
Control; (ii) a material reduction in Executive’s base salary or target annual cash incentive compensation; (iii) the failure of the Company to obtain the assumption of the Agreement by the successor, or (iv) the Company
requiring Executive to relocate his or her principal place of business or the Company relocating its headquarters, in either case to a facility or location outside of a thirty-five (35) mile radius from Executive’s current principal place
of employment; provided, however, that Executive only will have Good Reason if the Executive gives written notice to the Board of the event or circumstance constituting Good Reason specified in any of the preceding clauses within ninety
(90) days of its initial occurrence and such event or circumstance is not cured within thirty 

  
 -4-

 
(30) days after Executive gives such written notice to the Board. Executive’s actions approving any of the foregoing changes (that otherwise may be considered Good Reason) will be considered
consent for the purposes of this Good Reason definition. 
 (e) In Connection with a Change of Control. For purposes of
this Agreement, a termination of Executive’s employment with the Company is “in Connection with a Change of Control” if Executive’s employment is terminated within, thirty (30) days prior to, or twelve (12) months
following a Change of Control. 
 5. Excise Taxes. In the event that the benefits provided for in this Agreement
constitute “parachute payments” within the meaning of Section 280G of the Code and will be subject to the excise tax imposed by Section 4999 of the Code (the “Excise Tax”), then Executive’s severance benefits
payable under the terms of this Agreement will be either 
 (a) delivered in full, or 

(b) delivered as to such lesser extent which would result in no portion of such severance benefits being subject to the Excise Tax,
whichever of the foregoing amounts, taking into account the applicable federal, state and local income taxes and the Excise Tax, results in the receipt by Executive on an after-tax basis, of the greatest amount of severance benefits, notwithstanding
that all or some portion of such severance benefits may be taxable under Section 4999 of the Code. 
 Unless the Company
and Executive otherwise agree in writing, any determination required under this Section 5 will be made in writing by the Company’s independent public accountants or another nationally-recognized public accounting firm chosen by the Company
(the “Accountants”), whose determination will be conclusive and binding upon Executive and the Company for all purposes. In the event of a reduction in benefits hereunder, the reduction will occur in the following order: reduction of cash
payments; cancellation of vesting acceleration of equity awards; reduction of employee benefits. For purposes of making the calculations required by this Section 5, the Accountants may make reasonable assumptions and approximations concerning
applicable taxes and may rely on reasonable, good faith interpretations concerning the application of Section 280G and 4999 of the Code. The Company and Executive will furnish to the Accountants such information and documents as the Accountants
may reasonably request in order to make a determination under this Section 5. The Company will bear all costs the Accountants may reasonably incur in connection with any calculations contemplated by this Section 5. 

6. Section 409A. 
 (a) Notwithstanding Sections 2 and 3 hereof, no Deferred Payments (as defined below) or other severance benefits that otherwise are exempt from Section 409A (as defined below) pursuant to Treasury
Regulation Section 1.409A-1(b)(9) shall become payable until Executive has a “separation from service” within the meaning of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), and the final
regulations and any guidance promulgated thereunder (“Section 409A”). 
 (b) Notwithstanding Sections 2 and 3 hereof,
if Executive is a “specified employee” within the meaning of Section 409A at the time of his separation from service (other than due to death), and the severance payments and benefits payable to him, if any, pursuant to the

  
 -5-

 
Agreement, when considered together with any other severance payments or separation benefits, are considered deferred compensation under Section 409A (together, the “Deferred
Payments”), such Deferred Payments that otherwise are payable within the first six (6) months following Executive’s separation from service will become payable on the first payroll date that occurs on or after the date six
(6) months and one (1) day following the date of Executive’s separation from service. All subsequent Deferred Payments, if any, will be payable in accordance with the payment schedule applicable to each payment or benefit.
Notwithstanding anything herein to the contrary, in the event of Executive’s death following Executive’s separation from service but prior to the six (6) month anniversary of Executive’s separation from service (or any later
delay date), then any payments delayed in accordance with this paragraph will be payable in a lump sum as soon as administratively practicable after the date of his death and all other Deferred Payments will be payable in accordance with the payment
schedule applicable to each payment or benefit. Each payment and benefit payable under the Agreement is intended to constitute a separate payment for purposes of Section 1.409A-2(b)(2) of the Treasury Regulations. 

(c) Any severance payment that satisfies the requirements of the “short-term deferral” rule set forth in
Section 1.409A-1(b)(4) of the Treasury Regulations shall not constitute Deferred Payments for purposes of the Agreement. Any severance payment that qualifies as a payment made as a result of an involuntary separation from service pursuant to
Section 1.409A-1(b)(9)(iii) of the Treasury Regulations that does not exceed the Section 409A Limit shall not constitute Deferred Payments for purposes of Section 6(a). 

(d) Section 409A Limit. “Section 409A Limit” shall mean the lesser of two (2) times: (i) Executive’s
annualized compensation based upon the annual rate of pay paid to Executive during the Company’s taxable year preceding the Company’s taxable year of Executive’s termination of employment; or (ii) the maximum amount that may be
taken into account under a qualified plan pursuant to Section 401(a)(17) of the Code for the year in which Executive’s employment is terminated. 
 (e) Any portion of the severance payments or other deferred compensation separation benefits in excess of the Section 409A Limit shall accrue and, to the extent such portion of the severance payments
or other deferred compensation separation benefits would otherwise have been payable within the first six (6) months following Executive’s termination of employment, they will become payable on the date that is six (6) months and one
(1) day following the date of Executive’s termination of employment. 
 (f) All subsequent severance payments or other
deferred compensation separation benefits, if any, will be payable in accordance with the payment schedule applicable to each payment or benefit. 
 (g) For these purposes, each severance payment is hereby designated as a separate payment and will not collectively be treated as a single payment. 

(h) This provision is intended to comply with the requirements of Section 409A so that none of the severance payments and benefits
to be provided hereunder will be subject to the additional tax imposed under Section 409A, and any ambiguities herein will be interpreted to so comply. The Company and Executive agree to work together in good faith to consider amendments to
this Agreement and to take such reasonable actions which are necessary, appropriate or desirable 

  
 -6-

 
to avoid imposition of any additional tax or income recognition prior to actual payment to Executive under Section 409A. 

7. Assignment. This Agreement will be binding upon and inure to the benefit of (a) the heirs, executors, and legal
representatives of Executive upon Executive’s death, and (b) any successor of the Company. Any such successor of the Company will be deemed substituted for the Company under the terms of this Agreement for all purposes. For this purpose,
“successor” means any person, firm, corporation, or other business entity which at any time, whether by purchase, merger, or otherwise, directly or indirectly acquires all or substantially all of the assets or business of the Company. None
of the rights of Executive to receive any form of compensation payable pursuant to this Agreement may be assigned or transferred except by will or the laws of descent and distribution. Any other attempted assignment, transfer, conveyance, or other
disposition of Executive’s right to compensation or other benefits will be null and void. 
 8. Notices. All
notices, requests, demands, and other communications called for hereunder will be in writing and will be deemed given (a) on the date of delivery if delivered personally, (b) one day after being sent overnight by a well established
commercial overnight service, or (c) four days after being mailed by registered or certified mail, return receipt requested, prepaid and addressed to the parties or their successors at the following addresses, or at such other addresses as the
parties may later designate in writing: 
 If to the Company: 

Attn: General Counsel 
 Brocade Communications Systems, Inc. 
 1745 Technology Drive 

San Jose, CA 95110 
 If to Executive: 
 at the last residential address known by the Company.

 9. Term. The term of this Agreement (the “Term”) shall be five (5) years from the date hereof and may
be extended upon mutual written consent of the Executive and the Company (as authorized by the Compensation Committee or Board); provided, however, the Term shall be automatically extended without any further action if the Company has entered
into a definitive agreement regarding a Change of Control (a “Pending Transaction”) until (i) twelve (12) months following the consummation of such Pending Transaction or (ii) such definitive agreement has terminated
pursuant to its terms without a Change of Control occurring. Notwithstanding the foregoing, the acceleration provision set forth in Section 2(c)(iv) hereof shall survive expiration of the Term (and any duly authorized extension thereof).

 10. Severability. If any provision hereof becomes or is declared by a court of competent jurisdiction to be illegal,
unenforceable, or void, this Agreement will continue in full force and effect without said provision. 

  
 -7-

 11. Arbitration. The Parties agree that any and all disputes arising out of the terms
of this Agreement, their interpretation, and any of the matters herein released, will be subject to binding arbitration in Santa Clara County, California before the American Arbitration Association under its National Rules for the Resolution of
Employment Disputes, supplemented by the California Rules of Civil Procedure. The Parties agree that the prevailing party in any arbitration will be entitled to injunctive relief in any court of competent jurisdiction to enforce the arbitration
award. The Parties hereby agree to waive their right to have any dispute between them resolved in a court of law by a judge or jury. This paragraph will not prevent either party from seeking injunctive relief (or any other provisional remedy)
from any court having jurisdiction over the Parties and the subject matter of their dispute relating to Executive’s obligations under this Agreement. 
 12. Integration. This Agreement represents the entire agreement and understanding between the parties as to the subject matter herein and supersedes all prior or contemporaneous agreements whether
written or oral, including any agreements that provide for severance benefits and any agreements that provide for vesting acceleration of Executive’s outstanding equity awards (except for any terms that provide for the accelerated vesting of
Executive’s equity awards if they are not assumed or substituted by a successor corporation). No waiver, alteration, or modification of any of the provisions of this Agreement will be binding unless in a writing that specifically references
this Section and is signed by duly authorized representatives of the parties hereto. 
 13. Waiver of Breach. The waiver
of a breach of any term or provision of this Agreement, which must be in writing, will not operate as or be construed to be a waiver of any other previous or subsequent breach of this Agreement. 

14. Headings. All captions and Section headings used in this Agreement are for convenient reference only and do not form a part of
this Agreement. 
 15. Tax Withholding. All payments made pursuant to this Agreement will be subject to withholding of
applicable taxes. 
 16. Governing Law. This Agreement will be governed by the laws of the State of California (with the
exception of its conflict of laws provisions). 
 17. Acknowledgment. Executive acknowledges that he has had the
opportunity to discuss this matter with and obtain advice from his private attorney, has had sufficient time to, and has carefully read and fully understands all the provisions of this Agreement, and is knowingly and voluntarily entering into this
Agreement. 
 18. Counterparts. This Agreement may be executed in counterparts, and each counterpart will have the same
force and effect as an original and will constitute an effective, binding agreement on the part of each of the undersigned. 

  
 -8-

 IN WITNESS WHEREOF, each of the parties has executed this Agreement, in the case of the
Company by a duly authorized officer, as of the day and year written below. 
 COMPANY: 

BROCADE COMMUNICATIONS SYSTEMS, INC. 
  

									
	Signature:	 	 /s/ Tyler Wall
	 		 	Date:	 	 December 22, 2008

					
	Print Name:	 	 Tyler Wall
	 		 		 	
					
	Title:	 	 V.P. & General Counsel
	 		 		 	
				
	EXECUTIVE:	 		 		 	
				
	 /s/ Michael Klayko
	 		 	Date:	 	 December 18, 2008

	MICHAEL KLAYKO	 		 		 	

 [SIGNATURE PAGE TO CHANGE OF CONTROL RETENTION AGREEMENT] 

  
 -9-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00197-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00197-of-00352.parquet"}]]