Document:

exv10w9

 

EXHIBIT 10.9

ORBIMAGE INC.

2003 EMPLOYEE STOCK INCENTIVE PLAN

EXECUTIVE RESTRICTED STOCK AGREEMENT

     ORBIMAGE
Inc., a Delaware corporation (the “Company”), hereby grants
shares of its common stock, $.01 par value (the “Stock”), to the Grantee named
below, subject to the vesting conditions set forth in the attachment.
Additional terms and conditions of the grant are set forth in this cover sheet,
in the attachment and in the Company’s 2003 Employee Stock Incentive Plan, as
amended (the “Plan”).

Grant Date:                                       

Name of Grantee:                                       

Number of Shares of Stock Covered by Grant:                                       

     By signing this cover sheet, you agree to all of the terms and conditions
described in the attached Agreement and in the Plan, a copy of which is also
attached. You acknowledge that you have carefully reviewed the Plan, and agree
that the Plan will control in the event any provision of the attached Agreement
or this cover sheet should appear to be inconsistent.

	 	 	 	 	 	 
	Grantee:
	 	 	 	 
	 	 	
 
	 	 	(Signature)

	Company:
	 	 	 	 
	 	 	
 
	 	 	(Signature)

	

	 	Title:	 	 
	

	 	 	 	
 

Attachment

     This is not a stock certificate or a negotiable instrument.

 

 

ORBIMAGE INC.

2003 EMPLOYEE STOCK INCENTIVE PLAN

EXECUTIVE RESTRICTED STOCK AGREEMENT

Restricted Stock/ Nontransferability

This grant is an award of Stock in the number of shares set forth on the
cover sheet, at the purchase price set forth on the cover sheet, and
subject to the vesting conditions described below
(“Restricted Stock”).
To the extent not yet vested, your Restricted Stock may not be
transferred, assigned, pledged or hypothecated, whether by operation of
law or otherwise, nor may the Restricted Stock be made subject to
execution, attachment or similar process; provided, however, that the
Restricted Stock may be transferred in accordance with the section below
labeled “Family Transfers.”

Issuance and Vesting

The Company will issue your Restricted Stock in your name as of the Grant
Date.

Your Stock subject to restriction under this Restricted Stock Agreement
(the “Restricted Shares”) shall vest on                    , provided you are
then in service with the Company.

The phrase “in service with the Company” shall mean employed with the
Company, any successor thereto, or any Subsidiary thereof.

Acceleration of Vesting

In addition to, and not in lieu of, any vesting pursuant to the vesting
schedule set forth above:

	•	 	if your employment is terminated by the Company (for any reason or for
no reason) in anticipation of or within the six month period following a
“Change in Control” (as defined below), all Stock subject to this
Restricted Stock Agreement that has not yet vested as of the date of such
termination of your employment shall become immediately and fully vested
upon such termination of your employment; provided, however, that such
vesting shall not occur if your Service was terminated as a result of a
termination for “Cause” (as defined below); and

	•	 	if your employment is terminated involuntarily by the Company as a
result of a termination without “Cause” or a termination by you for “Good
Reason” (as defined below), then upon such termination of your employment
your Restricted Shares shall accelerate and become immediately and fully
vested.

	•	 	if your employment terminates as a result of death or if you are unable
to work as a result of Disability (as defined below), then upon such
termination of your employment your Restricted Shares shall accelerate
and become immediately and fully vested.

The term “Cause” means misconduct, including: (i) commission of any
felony

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or any crime involving moral turpitude or dishonesty; (ii)
participation in a fraud or act of dishonesty against the Company; (iii)
willful breach or gross negligence of the Company’s policies; (iv)
intentional damage to the Company’s property; (v) your failure or refusal
in a material respect to follow the reasonable policies or directions of
the Company as specified by the Board of Directors or the Chief Executive
Officer after being provided with notice of such failure and an
opportunity to cure within seven (7) days of receipt of such notice; (vi)
any other act or omission which subjects the Company to substantial
public disrespect, scandal or ridicule or (vii) your failure to carry out
the duties of your position after being provided with notice of such
failure and a reasonable opportunity to cure.

The term “Change of Control” shall have the meaning set forth in the Plan.

The term “Disability” means a disability that prevents you from
substantially performing your duties as an employee of the Company for a
period of at least 45 consecutive days or 90 non-consecutive days within
any 365-day period.

The term “Good Reason” means (i) any material adverse change in your job
title, duties, responsibilities or authority or requirement that you
relocate your permanent residence; or (ii) failure of the Company to pay
your salary or bonus compensation when due; provided, however, that none
of the events described in the foregoing shall constitute Good Reason
unless you shall have notified the Company in writing describing the
events which constitute Good Reason and then only if the Company shall
have failed to cure such event within ten (10) days after the Company’s
receipt of such written notice.
No additional shares of Stock subject to this Restricted Stock Agreement
will vest after your employment has terminated for any reason other than
those enumerated above.

The foregoing provisions shall be binding upon any acquiror of, or
successor to, the Company in any Change of Control.

Forfeiture

Any shares of Stock subject to this Restricted Stock Agreement which do
not vest as provided herein shall be forfeited upon your termination of
Service with the Company.

Obligation to Repurchase Vested Stock Prior to Public Trading

In the event that your service terminates other than for Cause at any
time prior to the earlier of the Final Vesting Date or a Listing Event
for the Stock occurs as described in the following paragraph, the Company
shall have the obligation to purchase at their Fair Market Value (as
defined below) all of the shares of Stock subject to this Restricted
Stock Agreement that have vested prior to or as of the date of
termination (due to the acceleration of vesting upon certain events as
provided herein), including those that you have transferred to a Family
Member as permitted here under in a not for value transfer (collectively
the “Vested Stock Repurchase Obligation”). The Company will consummate
the

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purchase within 90 days of termination of your employment. If the
Company fails to purchase such Stock within 90 days of termination of
your employment, you shall then have the right, beginning on the 91st day
after termination of employment, to put all shares of Stock subject to
this Restricted Stock Agreement that have then vested at the purchase
price per share set forth herein. For purposes hereof, the term “Fair
Market Value” shall have the meaning set forth in the Plan; it being
understood that in the event that you disagree with the Administrator’s
(as such term is defined in the Plan) determination of the fair market
value, the Board of Directors shall, at the Company’s cost and expense,
obtain an independent valuation of the shares by a recognized investment
bank or appraisal firm that is reasonably acceptable to both you and the
Company and any such valuation shall be final and determinative, provided
that if the resulting appraisal is not more than 10% greater than the
fair market value determined by the Administrator, you agree to reimburse
the Company for the costs of the third party appraisal.

To the extent not earlier exercised or terminated, the Vested Stock
Repurchase Obligation shall terminate in the event that the Stock is
listed on an established national or regional stock exchange, is admitted
for quotation on The Nasdaq Stock Market, Inc., or is publicly traded in
an established securities market (in any case, a “Listing Event for the
Stock”).

Escrow

The certificates for the Restricted Stock shall be deposited in escrow
with the Secretary of the Company (or an Assistant Secretary if you are
serving as Secretary) to be held in accordance with the provisions of
this paragraph. Each deposited certificate shall be accompanied by a
duly executed Assignment Separate from Certificate in the form attached
hereto as Exhibit A. The deposited certificates shall remain in escrow
until such time or times as the certificates are to be released or
otherwise surrendered for cancellation as discussed below. Upon delivery
of the certificates to the Company, you shall be issued an instrument of
deposit acknowledging the number of shares of Stock delivered in escrow
to the Secretary of the Company.

All dividends or other distributions on the vested Stock (or other
securities at the time held in escrow) shall be paid directly to you and
shall not be held in escrow. Any cash dividends on the Restricted Stock
(or other restricted securities at the time held in escrow) shall remain
in escrow with the Secretary of the Company (or an Assistant Secretary)
until such restrictions lapse as provided herein on the underlying Stock,
or if such restrictions fail to lapse shall be returned to the Company
upon termination of your employment. In the event of any stock dividend,
stock split, recapitalization or other change affecting the Company’s
outstanding common stock as a class effected without receipt of
consideration or in the event of a stock split, a stock dividend or a
similar change in the Company Stock, any new, substituted or additional
securities or other property which is by reason of such transaction
distributed with respect to the Restricted Stock shall be immediately
delivered to the Secretary of the Company (or Assistant Secretary) to be
held in escrow

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hereunder, and such securities shall be subject to the
same vesting and forfeiture provisions hereunder as shall apply to the
underlying Restricted Stock.

The shares of Stock held in escrow hereunder shall be subject to the
following terms and conditions relating to their release from escrow or
their surrender to the Company for repurchase and cancellation:

	•	 	As your shares vest as described above, the certificates for such
vested shares shall be released from escrow and delivered to you or to
your custodian, at your request, as soon as is practicable.

	•	 	Upon termination of your employment, any escrowed shares in which you
are at the time vested shall be promptly released from escrow.

	•	 	Any escrowed certificates for vested shares of Stock subject to the
Vested Stock Repurchase Obligation shall, concurrently with the payment
by the Company of the purchase price for such shares of Stock, be
surrendered to the Company for cancellation, and you shall have no
further rights with respect to such shares of Stock.

Withholding Taxes

You agree, as a condition of this grant, that you will make acceptable
arrangements to pay any withholding or other taxes that may be due as a
result of this grant. In the event that the Company determines that any
federal, state, local or foreign tax or withholding payment is required
relating to this grant, the Company shall have the right to require such
payments from you, or withhold such amounts from other payments due to
you from the Company.

Family Transfers

You may transfer, not for value, all or part of the Restricted Stock
acquired under this grant to an immediate family member(s) or to a trust
solely for the benefit of an immediate family member(s) or descendants
thereof (each, a “Family Transfer”).

A “not for value” transfer is a transfer which is (i) a gift, (ii) a
transfer under a domestic relations order in settlement of marital
property rights, or (iii) unless applicable law does not permit such
transfers, a transfer to an entity in which more than fifty percent of
the ownership interests are owned by immediate family members (or you) in
exchange for an interest in that entity.

Following a Family Transfer, such Restricted Stock shall continue to be
subject to the same restrictions and rights as would have applied to you,
including the forfeiture of unvested shares, the vesting schedule and the
acceleration of vesting as provided herein, and the Company’s obligations
under the Vested Stock Repurchase Obligation. Subsequent transfers of
transferred Restricted Stock are prohibited except to immediate family
members of the original holder of such Restricted Stock or by the laws of
descent and distribution.

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In the event you transfer shares of Restricted Stock pursuant to a Family
Transfer, you shall retain voting control over any such transferred shares unless otherwise approved by the Board.

Section 83(b) Election

Under Section 83 of the Internal Revenue Code of 1986, as amended (the
“Code”), the difference between the purchase price paid for the shares of
Stock and their fair market value on the date any forfeiture restrictions
applicable to such shares lapse will be reportable as ordinary income at
that time. For this purpose, “forfeiture restrictions” include the
Company’s obligations under the Vested Stock Repurchase Obligation
described above. You may elect to be taxed at the time the shares are
acquired rather than when such shares cease to be subject to such
forfeiture restrictions by filing an election under Section 83(b) of the
Code with the Internal Revenue Service within 30 days after the Grant
Date. You will have to make a tax payment to the extent the purchase
price is less than the fair market value of the shares on the Grant Date.
No tax payment will have to be made to the extent the purchase price is
at least equal to the fair market value of the shares on the Grant Date.
The form for making this election is attached as Exhibit B hereto.
Failure to make this filing within the 30-day period will result in the
recognition of ordinary income by you (in the event the fair market value
of the shares increases after the date of grant) as the forfeiture
restrictions lapse.

YOU ACKNOWLEDGE THAT IT IS YOUR SOLE RESPONSIBILITY, AND NOT THE
COMPANY’S, TO FILE A TIMELY ELECTION UNDER SECTION 83(b), EVEN IF YOU
REQUEST THE COMPANY OR ITS REPRESENTATIVES TO MAKE THIS FILING ON YOUR
BEHALF. YOU ARE RELYING SOLELY ON YOUR OWN ADVISORS WITH RESPECT TO THE
DECISION AS TO WHETHER OR NOT TO FILE ANY 83(b) ELECTION.

Market Stand-off Agreement

In connection with any underwritten public offering by the Company of its
equity securities pursuant to an effective registration statement filed
under the Securities Act of 1933 (the “Securities Act”), including the
Company’s initial public offering, if any, you agree not to sell, make
any short sale of, loan, hypothecate, pledge, grant any option for the
purchase of, or otherwise dispose or transfer for value or agree to
engage in any of the foregoing transactions with respect to any shares of
vested Stock without the prior written consent of the Company or its
underwriters, for such period of time after the effective date of such
registration statement as may be requested by the Company or the
underwriters (not to exceed 180 days in length).

Investment Representation

You hereby agree and represent, as a condition of this grant of
Restricted Stock, that (i) you are acquiring the shares of Restricted
Stock for investment for your own account and not with a view to, or
intention of, or otherwise for resale in connection with, any
distribution to any person or entity, (ii) neither the offer nor sale of
the shares of Restricted Stock hereunder, or the shares of Restricted
Stock themselves, have been registered under the Securities Act or
registered or

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qualified under any applicable state securities laws and
that the shares of Restricted Stock are being offered and sold to you by
reason of and in reliance upon a specific exemption from the registration
provisions of the Securities Act and exemptions from registration or
qualification provisions of such applicable state or other jurisdiction’s
securities laws which depend upon, among other things, the bona fide
nature of the investment intent as expressed herein and the truth and
accuracy of your representations, warranties, agreements, acknowledgments
and understandings as set forth herein, (iii) no public market now exists
for any of the securities issued by the Company and that there can be no
assurance that a public market will ever exist for the shares of
Restricted Stock, (iv) you must, and are able to, bear the economic risk
of your investment in the shares of Restricted Stock for an indefinite
period of time and can afford a complete loss of your investment in the shares of Restricted Stock, (v) you are sophisticated in financial
matters and have such knowledge and experience in financial and business
matters as to be capable of evaluating the risks and benefits of your
investment in the shares of Restricted Stock, (vi) you are as of the date
hereof an “accredited investor” as such term is defined under Rule 501 of
the Securities Act, (vii) your principal place of residence is in the
Common wealth of Virginia, and (viii) the Company has made available to
you all documents that you have requested relating to the Company, the shares of Restricted Stock and your purchase of the shares of Restricted
Stock, and you have had an opportunity to ask questions and receive
answers concerning the Company and the terms and conditions of the
offering and sale of the shares of Restricted Stock pursuant to this
Restricted Stock Agreement and have had full access to such other
information concerning the Company and the shares of Restricted Stock as
you deemed necessary or desirable.

Retention Rights

This Agreement does not give you the right to be retained by the Company
(or any parent, subsidiaries or affiliates) in any capacity. The Company
(and any parent, subsidiaries or affiliates) reserves the right to
terminate your employment at any time and for any reason or no reason.

Adjustments

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

Legends

All certificates representing the Stock issued in connection with this
grant shall, where applicable, have endorsed thereon the following
legends:

“THE SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO CERTAIN
RESTRICTIONS ON TRANSFER AND OPTIONS TO PURCHASE SUCH SHARES SET FORTH IN
AN AGREEMENT BETWEEN THE COMPANY AND THE REGISTERED HOLDER, OR HIS OR HER
PREDECESSOR IN INTEREST. A COPY OF

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SUCH AGREEMENT IS ON FILE AT THE
PRINCIPAL OFFICE OF THE COMPANY AND WILL BE FURNISHED UPON WRITTEN
REQUEST TO THE SECRETARY OF THE COMPANY BY THE HOLDER OF RECORD OF THE
SHARES REPRESENTED BY THIS CERTIFICATE.”

“THE SHARES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED OR QUALIFIED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY SECURITIES LAWS OF
ANY STATE OR OTHER JURISDICTION, AND MAY NOT BE SOLD, PLEDGED, OR
OTHERWISE TRANSFERRED WITHOUT AN EFFECTIVE REGISTRATION OR QUALIFICATION
THEREOF UNDER SUCH ACT AND SUCH APPLICABLE STATE OR OTHER JURISDICTION’S
SECURITIES LAWS OR AN OPINION OF COUNSEL, SATISFACTORY TO THE COMPANY AND
ITS COUNSEL, THAT SUCH REGISTRATION AND QUALIFICATION IS NOT REQUIRED.”

Applicable Law

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

The Plan

The text of the Plan is incorporated in this Agreement by reference.
Certain capitalized terms used in this Agreement are defined in the Plan,
and have the meaning set forth in the Plan.

This Agreement and the Plan constitute the entire understanding between
you and the Company regarding this grant of Restricted Stock. Any prior
agreements, commitments or negotiations concerning this grant are
superseded.

Other Agreements

You agree, as a condition of this grant of Restricted Stock, that you
will execute such document(s) as necessary to become a party to any
shareholder agreement or voting trust as the Company may require.

By signing the cover sheet of this Agreement, you agree to all of the terms and
conditions described above and in the Plan

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ASSIGNMENT SEPARATE FROM CERTIFICATE

     FOR VALUE RECEIVED,                    hereby sells, assigns and transfers
unto ORBIMAGE Inc., a Delaware corporation (the “Company”),
                   (                   )shares of common stock of the Company represented by
Certificate No.                    herewith and does hereby irrevocable constitute and appoint
                   Attorney to transfer the said stock on the books of the Company
with full power of substitution in the premises.

     Dated:                   ,200_

	 	 	 
	
	 	
 
	
	 	 
	
	 	Print Name
	
	 	
 
	
	 	Signature

Spouse Consent (if applicable)

                        (Purchaser’s spouse) indicates by the execution of
this Assignment his or her consent to be bound by the terms herein as to his or
her interests, whether as community property or otherwise, if any, in the
shares of common stock of the Company.

	 	 	 
	
	 	
 
	
	 	Signature

INSTRUCTIONS: PLEASE DO NOT FILL IN ANY BLANKS OTHER THAN THE SIGNATURE LINE.
THE PURPOSE OF THIS ASSIGNMENT IS TO ENABLE THE COMPANY TO EXERCISE ITS
“REPURCHASE OBLIGATION” SET FORTH IN THE AGREEMENT WITHOUT REQUIRING ADDITIONAL
SIGNATURES ON THE PART OF PURCHASER.

 

 

EXHIBIT B

ELECTION UNDER SECTION 83(b) OF

THE INTERNAL REVENUE CODE

     The undersigned hereby makes an election pursuant to Section 83(b) of the
Internal Revenue Code with respect to the property described below and supplies
the following information in accordance with the regulations promulgated
thereunder:

     1. The name, address and social security number of the undersigned:

Name:                                                                                                                         

Address: 
                                                                                                                   

                                                                                                                                                                                  

Social Security No. :                                                                                                 

     2. Description of property with respect to which the election is being
made:

                   shares of common stock, par value $.01 per share, Orbital
Imaging Corporation, a Delaware corporation, (the “Company”).

     3. The date on which the property was transferred is                    ,
200_.

     4. The taxable year to which this election relates is calendar year 200_.

     5. Nature of restrictions to which the property is subject:

     The shares of stock are subject to the provisions of a Restricted
Stock Agreement between the undersigned and the Company. The shares of
stock are subject to forfeiture under the terms of the Agreement.

     6. The fair market value of the property at the time of transfer
(determined without regard to any lapse restriction) was $                   per share,
for a total of $             
     .

     7. The amount paid by taxpayer for the property was $                   .

     8. A copy of this statement has been furnished to the Company.

Dated:                    , 200_

	 	 	 
	

	 	
 
	

	 	Taxpayer’s Signature
	

	 	 
	

	 	
 
	

	 	Taxpayer’s Printed Name

 

 

PROCEDURES FOR MAKING ELECTION

UNDER INTERNAL REVENUE CODE SECTION 83(b)

               The following procedures must be followed with respect to the attached
form for making an election under Internal Revenue Code section 83(b) in order
for the election to be effective:1

               1. You must file one copy of the completed election form with the IRS
Service Center where you file your federal income tax returns within 30 days
after the Grant Date of your Restricted Stock.

               2. At the same time you file the election form with the IRS, you must also
give a copy of the election form to the Secretary of the Company.

               3. You must file another copy of the election form with your federal
income tax return (generally, Form 1040) for the taxable year in which the
stock is transferred to you.

	1 
 
 
  Whether or not to make the election is your decision and may create tax
consequences for you. You are advised to consult your tax advisor if you are
unsure whether or not to make the election.exv10w10

 

EXHIBIT 10.10

FORM

OFFICER/DIRECTOR INDEMNIFICATION AGREEMENT

     This Indemnification Agreement is made and entered into as of
                 
 , 200       by and between ORBIMAGE INC. (the “Corporation”) and
                                                                            (the “Director/Officer”).

W I T N E S S E T H:

     WHEREAS, the Director/Officer has agreed to serve as a director/officer of
the Corporation; and

     WHEREAS, the Corporation wishes to indemnify the Director/Officer against
certain liabilities and expenses that may be incurred in connection with the
Director/Officer’s service on behalf of the Corporation;

     NOW THEREFORE, the parties hereto agree, subject to the terms and
conditions hereof, as follows:

     1. Indemnification Agreement.

          a. Third Party Actions. The Corporation shall indemnify and hold harmless
the Director/Officer in the event that the Director/Officer was or is a party
or is threatened to be made a party to any threatened, pending or completed
action, suit or proceeding, whether civil, criminal, administrative or
investigative (other than an action by or in right of the Corporation) by
reason of the fact that the Director/Officer (A) is or was a director, officer,
employee or agent of (i) the Corporation or (ii) any subsidiary of the
Corporation or any corporation, partnership or other entity affiliated with the
Corporation (other than Orbital Sciences Corporation) (each of the foregoing
being hereinafter referred to as an “Affiliate”) or (B) is or was serving at
the request of the Corporation or any Affiliate as a director, officer,
employee or agent of another corporation, partnership, joint venture, trust or
other enterprise (including any employee benefit plan of the Corporation or any
Affiliate) against expenses (including attorneys’ fees), judgments, fines and
amounts paid in settlement actually and reasonably incurred by the
Director/Officer in connection with such action, suit or proceeding if the
Director/Officer acted in good faith and in a manner the Director/Officer
reasonably believed to be in or not opposed to the best interests of the
Corporation, and, with respect to any criminal action or proceeding, had no
reasonable cause to believe the Director/Officer’s conduct was unlawful;
provided, however, that the foregoing shall not require the Corporation to
indemnify or advance expenses to any person in connection with any action,
suit, proceeding, claim or counterclaim initiated by or on behalf of such
person.

          b. Actions By or In Right of the Corporation. The Corporation shall, to
the full extent permitted by applicable law as then in effect, indemnify and
hold harmless the Director/Officer in the event that the Director/Officer was
or is a party or is threatened to be made a party to any threatened, pending or
completed action or suit by or in right of the Corporation to procure a
judgment in its favor by reason of the fact that the Director/Officer

 

 

(A) is or was a Director/Officer, officer, employee or agent of the
Corporation or any Affiliate or (B) is or was serving at the request of the
Corporation or any Affiliate as a director, officer, employee or agent of
another corporation, partnership, joint venture, trust or other enterprise
(including any employee benefit plan of the Corporation or any Affiliate)
against expenses (including attorneys’ fees) actually and reasonably incurred
by the Director/Officer in connection with the defense or settlement of such
action or suit if the Director/Officer acted in good faith and in a manner the
Director/Officer reasonably believed to be in or not opposed to the best
interests of the Corporation and except that no indemnification shall be made
in respect of any claim, issue or matter as to which the Director/Officer shall
have been adjudged to be liable to the Corporation unless and only to the
extent that the court in which such action was brought shall determine that the
Director/Officer is entitled to be indemnified.

          c. Nature of Right; Non-Exclusivity; Survival. The indemnification
provided by this Agreement shall be a contract right of the Director/Officer
and shall not be deemed exclusive of and shall be in addition to, and not in
lieu of, any other rights to which the Director/Officer may be entitled under
any provision of the Corporation’s Certificate of Incorporation or By-Laws or
pursuant to any agreement, vote of stockholders or disinterested directors or
otherwise, both as to action in the Director/Officer’s official capacity and as
to action in another capacity while holding such office. The indemnification
and advancement of expenses provided by this Agreement shall continue as to the
Director/Officer when the Director/Officer has ceased to be a director, officer
employee or agent of the Corporation and shall inure to the benefit of the
Director/Officer’s heirs, executors and administrators.

     2. Advancement of Expenses; Procedures; Presumptions. In furtherance, but
not in limitation of the foregoing provisions, the following procedures and
presumptions shall apply with respect to the advancement of expenses and the
right to indemnification under this Agreement:

          a. Advancement of Expenses. All reasonable expenses incurred by the
Director/Officer in defending an action, suit or proceeding for which
indemnification may be had under Section 1(a) shall be advanced to the
Director/Officer by the Corporation within ten (10) days after submission by
the Director/Officer to the Corporation of each statement requesting such
advance and setting forth in reasonable detail such expenses, whether prior to
or after final disposition of such action, suit or proceeding; provided,
however, that if required by law at the time such advancement of expenses is to
be made, then no such advancement shall be made except upon receipt of an
undertaking by or on behalf of the Director/Officer, in form and substance
satisfactory to the Corporation, to repay any amounts advanced to the
Director/Officer pursuant to this Section 2(a) if it shall ultimately be
determined that the Director/Officer is not entitled to be indemnified by the
Corporation with respect to the matter for which such advancement was made.

          b. Procedure for Determination of Entitlement to Indemnification. To
obtain indemnification under this Agreement, the Director/Officer shall submit
to the Secretary of the Corporation a written request therefor, including such
documentation and information as is reasonably available to the
Director/Officer and reasonably necessary to determine whether and to what
extent the Director/Officer is entitled to indemnification (the “Supporting
Documentation”). The determination of the Director/Officer’s entitlement to
indemnification

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shall be made by the Corporation’s Board of Director/Officers (the
“Board”) or in such other manner as required by law as then in effect not later
than sixty (60) days after receipt by the Corporation of the Director/Officer’s
written request for indemnification together with the Supporting Documentation.
The Secretary of the Corporation shall, promptly upon receipt of such a
request for indemnification, advise the Board in writing that the
Director/Officer has requested indemnification.

          c. Presumptions and Effect of Certain Proceedings. Except as otherwise
expressly provided in this Agreement, the Director/Officer shall be presumed to
be entitled to indemnification under this Agreement upon submission of a
written request for indemnification together with the Supporting Documentation
in accordance with Section 2(b) hereof, and thereafter the Corporation shall
have the burden of proof to overcome such presumption in reaching a contrary
determination. In any event, if a determination of the Director/Officer’s
entitlement to indemnification shall not have been made within sixty (60) days
after receipt by the Corporation of the Director/Officer’s written request
therefor together with the Supporting Documentation, the Director/Officer shall
be deemed to be entitled to indemnification and shall be entitled to such
indemnification unless (A) the Director/Officer misrepresented or failed to
disclose a material fact in making the request for indemnification or (B) such
indemnification is prohibited by applicable law as then in effect. The
termination of any action, suit or proceeding by judgment, order, settlement,
conviction or upon a plea of nolo contendere or its equivalent shall not, of
itself, adversely affect the right of the Director/Officer to indemnification
or create a presumption that the Director/Officer did not act in good faith and
in a manner which the Director/Officer reasonably believed to be in or not
opposed to the best interests of the Corporation or, with respect to any
criminal action or proceeding, that the Director/Officer had reasonable cause
to believe that his or her conduct was unlawful.

     3. Notification and Defense of Claim. Promptly after receipt of notice of
the commencement of any action, suit or proceeding, the Director/Officer shall,
if a claim for indemnification in respect thereof is to be made against the
Corporation under this Agreement, notify the Corporation of the commencement
thereof, but the omission so to notify the Corporation will not relieve the
Corporation from any liability that the Corporation may have to the
Director/Officer under this Agreement unless the Corporation is materially
prejudiced thereby. With respect to any such action, suit or proceeding as to
which the Director/Officer notifies the Corporation of the commencement
thereof:

          a. The Corporation will be entitled to participate therein at its own
expense;

          b. Except as otherwise provided below, the Corporation jointly with any
other indemnifying party similarly notified will be entitled to assume the
defense thereof, with counsel reasonably satisfactory to the Director/Officer.
After notice from the Corporation to the Director/Officer of the Corporation’s
election to assume the defense thereof, the Corporation will not be liable to
the Director/Officer under this Agreement for any legal or other expenses
subsequently incurred by the Director/Officer in connection with the defense
thereof other than reasonable costs of investigation or as otherwise provided
below. The Director/Officer shall have the right to employ the
Director/Officer’s own counsel in any such action, suit or proceeding, but the
fees and disbursements of such counsel incurred after notice from the
Corporation of the Corporation’s assumption of the defense thereof shall be at
the expense of the

3

 

Director/Officer unless (i) the employment of counsel by the
Director/Officer has been authorized by the Corporation, (ii) the
Director/Officer shall have reasonably concluded that there may be a conflict
of interest between the Corporation and the Director/Officer in the conduct of
the defense of such action, suit or proceeding, (iii) such action, suit or
proceeding seeks penalties or other relief against the Director/Officer with
respect to which the Corporation could not provide monetary indemnification to
the Director/Officer (such as injunctive relief or incarceration) or (iv) the
Corporation shall not in fact have employed counsel to assume the defense of
such action, suit or proceeding, in each of which cases the reasonable fees and
disbursements of the Director/Officer’s counsel shall be at the expense of the
Corporation. The Corporation shall not be entitled to assume the defense of
any action, suit or proceeding brought by or on behalf of the Corporation, or
which involves penalties or other relief against the Director/Officer of the
type referred to in clause (iii) above; and

          c. The Corporation shall not be liable to indemnify the Director/Officer
under this Agreement for any amounts paid in settlement of any action, suit or
proceeding entered into without the Corporation’s written consent. The
Corporation shall not settle any action, suit or proceeding in any manner that
would impose any penalty or limitation on the Director/Officer without the
Director/Officer’s written consent. Neither the Corporation nor the
Director/Officer will unreasonably withhold consent to any proposed settlement.

     4. Expenses of Enforcing Agreement or Other Indemnification Rights. The
Corporation agrees to pay all out-of-pocket expenses of the Director/Officer
(including reasonable fees and expenses of the Director/Officer’s counsel) in
connection with any action brought by the Director/Officer to enforce any
provision of this Agreement or in connection with any action brought by the
Director/Officer to enforce the Director/Officer’s right to indemnification
under applicable law as then in effect or under the Corporation’s or any
Affiliate’s Certificate of Incorporation or By-Laws, as either may be amended
from time to time, in any case only if and to the extent that the
Director/Officer prevails in such action.

     5. Corporation’s Right to Indemnification. Nothing in this Agreement
shall diminish, limit or otherwise restrict or modify in any way the
Corporation’s right to indemnification or contribution from the
Director/Officer or the Director/Officer’s obligation to indemnify or hold
harmless the Corporation under any agreement, instrument, commitment or
understanding now or hereafter in effect.

     6. Amendments and Waiver.

          a. No amendment, modification or discharge of this Agreement, and no
waiver hereunder, shall be valid or binding unless set forth in writing and
duly executed by both of the parties hereto. Neither the waiver by any of the
parties hereto of a breach of or a default under any of the provisions of this
Agreement, nor the failure of any of the parties, on one or more occasions, to
enforce any of the provisions of this Agreement or to exercise any right or
privilege hereunder shall thereafter be construed as a waiver of any subsequent
breach or default of a similar nature, or as a waiver of any of such
provisions, rights or privileges hereunder. No delay or failure on the part of
any party in exercising any right, power or privilege under this Agreement or
under any other instruments given in connection with or pursuant to this
Agreement shall impair any such right, power or privilege or be construed as a
waiver of any

4

 

default or any acquiescence therein. No single or partial exercise of any
such right, power or privilege shall preclude the further exercise of such
right, power or privilege, or the exercise of any other right, power or
privilege.

          b. No amendment or repeal of the Corporation’s or any Affiliate’s
Certificate of Incorporation or By-Laws shall adversely affect or deny to the
Director/Officer the rights of indemnification provided herein with respect to
any action, suit or proceeding relating to any act or omission, or alleged act
or omission, of the Director/Officer that occurs before such amendment or
repeal; and the provisions of this Agreement shall apply to any such action,
suit or proceeding whenever commenced, including any such action, suit or
proceeding commenced after any such amendment or repeal of the Corporation’s or
any Affiliate’s Certificate of Incorporation or By-Laws.

     7. Subrogation. In the event of payment under this Agreement, the
Corporation shall be subrogated to the extent of such payment to all of the
rights of recovery of the Director/Officer, who shall execute all papers
required and shall do everything that may be necessary to secure such rights,
including the execution and delivery of such documents as may be necessary, in
the reasonable judgment of the Corporation, to enable the Corporation
effectively to bring suit to enforce such rights.

     8. No Duplication of Payment. The Corporation shall not be liable under
this Agreement to make any payment in connection with any claim made against
the Director/Officer to the extent the Director/Officer has otherwise actually
received payment (under any provision of applicable law as then in effect,
under any provision of the Certificate of Incorporation or By-Laws of the
Corporation or any Affiliate, under any insurance policy or otherwise) of
amounts otherwise indemnifiable hereunder.

     9. Severability. If, at any time subsequent to the date hereof, any
provisions of this Agreement shall be held by any court of competent
jurisdiction to be illegal, void or unenforceable, such provision shall be of
no force and effect; but the illegality or unenforceability of such provision
shall have no effect upon and shall not impair the enforceability of any other
provision of this Agreement.

     10. Governing Law; Headings. This Agreement shall be governed by and
construed and enforced in accordance with the laws of the State of Delaware
applicable to contracts made and to be performed in such state without giving
effect to the conflicts of laws principles thereof. The section and other
headings contained in this Agreement are for reference purposes only and shall
not affect in any way the meaning or interpretation of this Agreement.

     11. Benefit; Assignment; Binding Effect. It is the explicit intention of
the parties hereto that no person or entity other than the parties hereto is or
shall be entitled to bring any action to enforce any provision of this
Agreement against either of the parties hereto, and that the covenants,
undertakings and agreements set forth in this Agreement shall be solely for the
benefit of, and shall be enforceable only by, the parties hereto or their
respective successors and assigns as permitted hereunder. The Director/Officer
may not assign the Director/Officer’s rights under this Agreement. The
Director/Officer may not attempt to have any other person or entity assume the
Director/Officer’s obligations under this Agreement without the prior written
consent of the

5

 

Corporation. The rights and obligations of the Corporation under this
Agreement may be freely assigned to any person or entity as long as the
obligations of the Corporation hereunder are satisfied in full. Subject to the
foregoing provisions restricting assignment of this Agreement, this Agreement
shall be binding upon and shall inure to the benefit of the Director/Officer
and the Corporation and their respective successors and permitted assigns.

6

 

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

	 	 	 	 	 
	 	 	ORBIMAGE INC.
	 
	 	 	 	 
	

	 	By:	 	 
	

	 	 	 	
 
	 
	 	 	 	 
	 	 	
 
	

	 	Name:	 	 
	

	 	 	 	
 
	

	 	Title:	 	 
	

	 	 	 	
 

7

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