Document:

Amended Employment Agreement - Leslie Rechan

 Exhibit 10.38 
 COGNOS INCORPORATED 
 AMENDMENT TO EMPLOYMENT AGREEMENT 
 (Leslie Rechan) 
 This Agreement
between Cognos Incorporated (“Cognos”) and Leslie Rechan (the “Executive”) is dated and effective April 27, 2007 (“Effective Date”). 
 NOW IN CONSIDERATION of the mutual covenants and agreements contained in this Agreement, the parties hereby agree to the following terms:  
 1.    Duties: 
 1.01    Cognos will employ the Executive as Chief Operating Officer at its Head Office in Ottawa, Ontario, Canada, and in such position will be responsible for managing the worldwide field (sales,
services and marketing) operations of Cognos and its subsidiaries. The Executive will be employed under the terms set out in this Agreement and will perform such duties as are reasonably required and consistent with his position 

1.02    The Executive will devote his full time and attention to the business and affairs of Cognos and its affiliates and will
not, without consent in writing of Cognos, undertake any other business or occupation or become a director, officer, partner, employee or agent of any other company, firm or individual. 
 1.03    The Executive may, without the necessity of obtaining any consent, undertake activities of a charitable or community nature and serve in any part-time or temporary
post with any charitable organization or professional association, as long as those activities, in the sole discretion of Cognos, do not impair his ability to fulfill his obligations in this Agreement. 
 1.04    The Executive will well and faithfully serve Cognos and its associated companies and use his best efforts to promote their
interests. 
  

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 2.    Term: 
 For the purposes of this Agreement, the Executive's commencement of service with Cognos shall commence on the start date set out in his offer letter and
his employment shall continue for an indefinite term thereafter unless terminated in accordance with this Agreement. 
 3.    Relocation: 
 The Executive acknowledges that Cognos carries on its operations worldwide and during
the course of his employment the location of his employment and reporting arrangements may be changed by Cognos with the consent of the Executive. Any relocation expenses incurred by the Executive will be reimbursed in accordance with the prevailing
Cognos policy. 
 4.    Compensation & Performance Appraisal: 
 4.01    The Executive's salary for the 2007 Cognos fiscal year (“Base Salary”) is set out in Appendix “A”
and subsequently will be reviewed and may be adjusted upwards by the Human Resources & Compensation Committee of the Cognos Board of Directors, or such other delegate or successor body (the “Committee”), from time to time
in accordance with prevailing Cognos practice and policies. The Executive's Base Salary will be deemed to accrue from day to day and will be payable in equal semi-monthly installments in accordance with prevailing Cognos policies or practice.

 4.02    The Executive has no contractual entitlement to any increased or additional compensation (including overtime)
except in strict compliance with his compensation plan and the Executive has no right to the continuation or renewal of any particular plan. The Executive's compensation plan and performance targets for the 2007 Cognos fiscal year are set out in
Appendix “A” and subsequently will be reviewed by and may be amended by the Committee every year or more frequently, with such review to occur no later than 90 days after the end of the Cognos fiscal year. The Executive's bonus each year
on achievement of his performance targets is his “Target Bonus”. The Executive will be paid net of any statutory or authorized deductions. The Executive authorizes Cognos to deduct from compensation payable to him, the full amount
of any debts or advances owed by the Executive to Cognos. 
 5.    Travel & Expenses:

 The Executive's duties may require him to travel away from home. Cognos will reimburse the Executive for all reasonable expenses incurred
by the Executive for business, business travel and accommodation and other incidental costs in accordance with its prevailing travel and expenses policies. 
 6.    Benefits: 
 6.01    The Executive will be entitled to receive all benefits generally available to Cognos employees in comparable
positions 
 6.02    The Executive will be entitled to paid vacation in accordance with the policies and practices of
Cognos as amended from time to time. As of the Executive’s start date, the Executive will be entitled to accrue twenty (20) days vacation on an annual basis which vacation will accrue in accordance with Cognos’ policies and practices.
The taking and time of vacation shall be agreed upon by the Executive and Cognos. 
  

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 6.03    Cognos will provide the Executive with a company vehicle at Cognos' expense.
In the event that Cognos terminates the Executive's employment at any time without Just Cause, or if the Executive terminates his employment at any time for Good Reason, it is understood and agreed that the Executive shall have continued use of the
vehicle until the end of the notice period set out in Article 10.03. 
 6.04    Cognos will pay any initiation and
annual membership fees to the Ottawa Hunt & Golf Club, or to another club as determined by the Executive and acceptable to Cognos. The payment of these fees is included in the term ‘Cognos provided benefits’ contemplated in
Article 10.03(b). 
 7.    Personnel Policies: 
 In addition to the provisions of this Agreement, the Executive agrees to adhere to all reasonable policies of general applicability to Cognos employees.
Cognos may amend or revoke the provisions of these policies as may be necessary. The Executive will be given reasonable notice of any policy amendment. 
 8.    Confidential Information and Inventions: 
 8.01    During the course of the Executive's employment by Cognos the Executive will acquire information about certain matters that are confidential to Cognos (including, for the purpose of this Agreement, any affiliated
companies), and that are the exclusive property of Cognos, including, but not limited to: (a) product design and development information, (b) names, addresses, buying habits and preferences of current customers of Cognos as well as
prospective customers, (c) pricing and sales policies, techniques and concepts, and (d) trade secrets and other confidential information concerning the business operations or affairs of Cognos, all of which information is
“Confidential Information” for the purposes of this Agreement. Confidential Information does not include: (e) information generally available to or known to the public; (f) information known to the Executive prior to his
meetings with Cognos or its agents regarding potential employment with Cognos; (g) information independently developed by the Executive outside the scope of this Agreement; (h) information lawfully disclosed to the Executive by a third
party; or (i) information disclosed by Cognos or by other employees of Cognos to third parties without any obligation of confidentiality. 
 8.02    The Executive acknowledges that Confidential Information, if disclosed, could be used to the detriment of Cognos. Accordingly, the Executive agrees not to disclose any Confidential Information to any third party
either: (a) during the term of his employment with Cognos (whether under this Agreement or any predecessor or successor to it), except as may be necessary for him to properly discharge his duties under this Agreement, or (b) following the
termination of his employment, however caused, except with the written permission of Cognos. The foregoing restriction does not apply to any information or knowledge that becomes part of the public domain other than by unauthorized disclosure by the
Executive or information excluded by subparagraph (e) to (i) of Article 8.01. 
 8.03    Any inventions,
discoveries, or copyrightable works developed or contributed to by the Executive during the course of his duties, whether under this Agreement or any predecessor or successor to it, including without limitation: software source or object code (and
any underlying algorithms or other components), product or promotional material, manuals, contractual documentation, and training or education materials (collectively the “Works”), are the sole and exclusive property of Cognos
including without limitation, all copyright and other intellectual property rights in or to the Works. The Executive waives any and all moral rights he may have in 
  

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 any Work, and agrees to execute any additional documents deemed necessary by Cognos to apply for, convey
or confirm its rights in or to the Works, whether during or after the termination of this Agreement, however caused. The Executive warrants that any Work does not infringe the copyright or other rights of any third party and that the rights the
Executive grants to Cognos in this Agreement are vested in him absolutely and he has not previously assigned, licensed, or in any way encumbered the Works. This provision is binding on the Executive's heirs, successors and assigns and will survive
the termination of this Agreement. 
 9.    Computer Security: 
 It is the policy of Cognos to adhere strictly to the licensing conditions of any software that it uses. The Executive is required to comply with this
policy. The Executive will not copy or distribute for his own use or for the use of any other person or company any software used or developed by Cognos without (a) obtaining the authorization of Cognos and (b) taking all reasonable
precautions to ensure that his use of the software neither corrupts nor destroys any existing software or data. 
 10.    Termination: 
 10.01    The Executive may resign his employment voluntarily
upon giving thirty (30) days prior written notice to Cognos. Cognos may waive the said notice by providing the Executive with pay in lieu in notice. Upon resignation, the Executive shall have no entitlement to compensation except for unpaid
Base Salary, vacation earned to the effective date of resignation and reasonable unpaid expenses in accordance with prevailing Cognos policies, plus a pro-rated portion of his Target Bonus. All of the Executive’s benefits shall cease upon the
Executive’s effective date of resignation. For greater certainty, termination by the Executive for Good Reason shall not constitute a voluntary resignation. 
 10.02    Cognos may terminate the employment agreement of the Executive at any time for Just Cause without notice or compensation in lieu of notice except for unpaid Base Salary, vacation earned to
the date of termination and reasonable unpaid expenses in accordance with prevailing Cognos policies. All of the Executive's benefits shall cease immediately upon termination of the Executive's employment for Just Cause. 
 10.03    If the Executive's employment is terminated by Cognos without Just Cause (including constructive dismissal) or the Executive
terminates his employment for any Good Reason then the following provisions shall apply: 
 (a)    Cognos
shall forthwith pay to the Executive or as he may direct, a lump-sum amount equal to twenty-four (24) months of the Executive's annual Base Salary and Target Bonus as at the date of termination; 
 (b)    Cognos shall continue, to the extent permitted by its carriers, all Cognos provided benefits for twenty-four
(24) months from the date of termination. In the event that Cognos cannot continue to provide any particular benefit, it shall compensate the Executive for the reasonable cost to him of obtaining the said benefit; 
 (c)    The Executive shall be entitled to be paid his Target Bonus as at the date of termination, pro-rated for the
period up to the date of termination of employment (such payment to be made at the time that Cognos generally pays bonuses to its Senior Executives); and 
  

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 (d)    Notwithstanding the terms of any plan or agreement to the
contrary, all of the Executive’s entitlements or rights pursuant to any equity-based plans (including, without limit, share/stock option, share/stock purchase, restricted stock or stock award), or any profit sharing, bonus or incentive plan
shall continue to vest during the twenty-four (24) month period following the date of termination, and once vested shall be exercisable in accordance with the terms of the applicable plan, and at the end of that period any restricted stock
units not vested shall be subject to the applicable provisions set out in the Offer Letter attached as Appendix “C”; and 
 (e)    Cognos shall reimburse the Executive, upon presentation of the appropriate invoices, to a maximum of $20,000.00 plus GST, for financial or outplacement advice obtained by the Executive in connection with the
cessation of his employment. 
 10.04    In the event the Executive's employment is terminated by Cognos without Just
Cause or in the event the Executive terminates his employment for Good Reason and if such termination by Cognos or by the Executive occurs on or within twenty-four (24) months following the date of any Change of Control or if any such
termination occurs during the period preceding the effective date of a Change of Control but after which the Cognos has commenced discussions and negotiations with a potential acquiror (the “Acquiror”), which for purposes of this Agreement
shall mean that management presentations have been made by and between the Company and the Acquiror (the “Discussions”) and that the due diligence process has commenced and which Discussions result in a Change of Control with the Acquiror,
then in addition to the payments and benefits set out in Article 10.03: 
 (a)    notwithstanding the
terms of any plan or agreement to the contrary, all entitlements or rights pursuant to the equity-based plans (including without limit, share/stock option, share/stock purchase, restricted stock or stock award) and any profit-sharing, bonus or
incentive plan, shall immediately and automatically became fully vested and all such vested rights shall be exercisable for the shorter of (i) one (1) year following the date of termination; or (ii) the maximum time period as allowed
under U.S. Internal Revenue Code Section 409A, without the Executive being subject to additional taxes or penalties; and 
 (b)    the reasonable legal costs incurred by the Executive to enforce the provisions of this Agreement shall be paid by Cognos as such costs are incurred. 
 10.05    All amounts referred to in Article 10.03 constitute a debt by Cognos to the Executive. The Executive shall not be required to mitigate damages by seeking other
employment or otherwise, nor shall any amount provided for under this Agreement be reduced in any respect in the event that the Executive shall secure or not reasonably pursue alternative employment following the termination of the Executive's
employment with Cognos. 
 10.06    It is understood and agreed that the amounts set out in Article 10.03 above are
inclusive of any and all statutory obligations that Cognos has to the Executive pursuant to the Ontario Employment Standards Act, 2000. 
 10.07    Coincident with, or immediately following termination of the Executive's employment, for whatever reason, the Executive agrees to surrender to Cognos any documents or electronic media containing Confidential
Information referred to in Article 8, as well as any other property of 
  

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 Cognos in his control or possession (including without limitation: vehicles, access passes, equipment,
credit cards, keys, books, records, reports, files, manuals, and literature) in good condition, normal wear and tear excepted; provided, however, Executive shall be allowed to keep his mobile telephone and pda. 
 10.08    Immediately following termination of the Executive's employment, for whatever reason, the Executive agrees to repay any
outstanding debts or advances owing by him to Cognos and authorizes Cognos to deduct the amount of those debts or advances from any compensation amount payable to the Executive following his termination. For greater certainty, any unearned vacation
taken will constitute an advance owed by the Executive to Cognos. 
 10.09    The Executive agrees that he will not, at
any time after termination of his employment, represent himself as being in any way connected or interested in the business of Cognos or any of its group companies worldwide. 
 11.    Indemnification 
 Cognos agrees to indemnify the Executive in accordance with the provisions of the Canada Business Corporations Act. 
 12.    Non-Competition: 
 The Executive will not, during his employment and for the period ending twelve (12) months after the date his employment is terminated, directly or indirectly or in any manner whatsoever, including either
individually, or in partnership, jointly or in conjunction with any other person, or as principal, agent, owner, consultant, contractor, employee, executive, officer, director, advisor or shareholder: (a) be engaged in any undertaking, or
(b) have any financial or other interest (including an interest by way of royalty or compensation arrangements) in or in respect of the business of any person which carries on a business; or (c) accept employment with, advise, render or
provide services to, lend money to or guarantee the debts or obligations of any person or entity that carries on a business or undertaking anywhere, that is in competition with the products or services created, developed, manufactured, marketed,
distributed, sold, by Cognos at the time of his termination or within the six (6) month period prior to that date. 
 Despite the above,
the Executive may own not more than 5% of any class of securities of an entity, the securities of which are listed on a recognized stock exchange or traded in the over-the-counter market in the United States or Canada, that carries on a business
which is the substantially same as or which competes with the business of Cognos or any of its subsidiaries. 
 13.    Non-Solicitation: 
 The Executive agrees that he will not, during his employment and for the
period ending twenty-four (24) months after the date his employment is terminated, without the written consent of Cognos, directly or indirectly (a) employ or retain as an independent contractor any employee of Cognos or any subsidiary on
date of his termination or induce or solicit, or attempt to induce, any such person to leave his or her employment, (b) contact or solicit any designated customers of Cognos or any subsidiary for the purpose of selling to those designated
customers any products or services which are the same as, or competitive with, the products or services sold or licensed by Cognos or any subsidiary. For the purpose of this 
  

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 section, a “designated customer” means a person who was a customer of the Cognos or any
subsidiary at any time during the twelve (12) months preceding the date that his employment terminated. 
 14.    Non-Disparagement: 
 In further consideration of the amounts and rights granted or received or to
be granted or received under this Agreement, the Executive will not, during this Agreement and for a period of the twelve (12) month following its termination (however caused), utter, publish or broadcast any statements that disparage Cognos
(including its subsidiaries) or are critical in any manner or fashion of Cognos or its business, including without limitation, its business strategy, products, management or employees. Cognos, its officers, board of directors will not, during this
Agreement and for a period of the twelve (12) month following Executive’s termination (however caused), utter, publish or broadcast any statements that disparage deprecate, directly or indirectly, Executive’s abilities, professional
skills or reputation with any written or oral statement. 
 15.    Legal Assistance: 

The Executive agrees that he will, during this Agreement and for a period two (2) years following its termination (however caused), supply such
information and render such assistance as may be reasonably required by Cognos or any affiliated company in connection with any legal or quasi-legal proceeding to which Cognos either is or becomes a party. Cognos agrees to reimburse the Executive
for any expenses reasonably incurred in providing such services in accordance with prevailing Cognos Travel and Living policies. 
 16.    Withholdings & Deductions 
 All amounts payable under this Agreement are subject to
applicable deductions and withholdings. 
 17.    Assignment of Rights: 
  

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 This Agreement is assignable by the Cognos without the Executive’s consent in connection with any
bona fide internal reorganization of Cognos, provided that there is no material change in any of the terms and conditions of the Executive’s employment or this Agreement. The Executive’s rights under this Agreement are not
assignable or transferable in any manner except as required or permitted by operation of law. 
 18.    Notices: 
 Any notice required or permitted to be given under this Agreement will be given in
writing by personal delivery, registered mail or by facsimile, to the Executive at his last known address and to Cognos at its Head Office to the attention of the Vice President, Human Resources. 
 19.    Severability: 
 If any provision or part of this Agreement is deemed, or found to be, void, unenforceable or invalid by a court of competent jurisdiction, its remaining provisions or parts will remain in full force and effect.

 20.    Entire Agreement: 
 This Agreement, including the Offer Letter attached as Annex C, is the entire agreement between Cognos and the Executive pertaining to his employment with Cognos and supersedes, amends and
restates all previous agreements, including without limit the employment agreement between the parties dated May 9, 2006. This Agreement and the attachments shall be read and construed as a single document but if there is any conflict between
them the conflict shall be resolved in accordance with the following order of precedence: this Agreement, Appendix “C”, Appendix “B”, Appendix “A”, and the terms of any stock/share option, RSU or other equity award
agreement between you and Cognos. There are no warranties, representations or agreements between the parties in connection with the subject matter of this Agreement except as specifically set forth or referred to in this Agreement. No reliance is
placed on any representation, opinion, advice or assertion of fact made by the Corporation or its directors, officers and agents to the Executive, except to the extent that the same has been reduced to writing and included as a term of this
Agreement. Accordingly, there shall be no liability, either in tort or in contract, assessed in relation to any such representation, opinion, advice or assertion of fact, except to the extent aforesaid. 
 21.    Amendment of Agreement: 
 Any amendment or modification of this Agreement will be in writing and signed by the parties or it will have no effect. 
 22.    Governing Law: 
 This Agreement will be governed by and construed in
accordance with the laws of Ontario. The sole forum for any dispute arising from this Agreement or the Executive’s employment with Cognos will the courts of Ontario located in the City of Ottawa, Ontario. 
  

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 23.    Enforcement of Rights by Estate 
 Executive’s death or disability shall not terminate the right of Executive’s estate or heirs to maintain an action pursuant to this Agreement if
such action is based on a claim duly asserted by the Executive prior to the Executive’s death or disability. 
 24.    Acknowledgement: 
 The Executive and Cognos acknowledge that each: (a) has had sufficient
time to review and consider this Agreement thoroughly; (b) has read and understands the terms of this Agreement and his or its obligations hereunder; (c) retained independent legal advice concerning the interpretation and effect of this
Agreement, and (d) has entered into this Agreement voluntarily and without any pressure. 
 IN WITNESS the
parties have executed this Agreement as a deed with effect as of the Effective Date. 
  

			
	COGNOS INCORPORATED
		
	By:	 	 /s/ Robert G. Ashe

		 	 Rob Ashe
 President & Chief Executive
Officer

 The foregoing is agreed and accepted. 
  

			
		
	By:	 	 /s/ Les Rechan

		 	Leslie Rechan

  

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 Appendix “A” 
 FY07 Compensation 
 Salary:    US $375,000 
 Target Bonus:    US $375,000 
 The actual bonus payable to the Executive will be determined in accordance with Cognos’ Share in Success Program (“SIS”), including the SIS Grid approved by Cognos’ Board of Directors. The
SIS Grid establishes a percentage (which may be above or below 100% depending on the Cognos’ performance relative to specified performance metrics) that will be applied to the above Target Bonus amount and shall be agreed to and approved by
Cognos’ Board of Directors (or a committee or delegate thereof) on or before 90 days following the end of the fiscal year. 
 Benefits Summary: 
 Canadian Benefits Program as amended from time to time by Cognos. 
 Repayment of Bonus: 
 If the audited financial statements of Cognos in respect of any fiscal year are, or are required to be, subsequently re-stated in any material respect, and for reasons that the Human Resources Committee of the Cognos’ Board of
Directors deems, in its sole discretion, to be based on error, malfeasance or negligence, then any bonus payout based on those financial statements will be recalculated. 
 If the recalculated bonus payout (“Recalculated Bonus”) is greater or less than the original bonus payout to the Executive prior to the re-statement (“Original Bonus”), the Original
Bonus will be adjusted by the difference between the Original Bonus and Recalculated Bonus (the “Adjustment Amount”). If the Original Bonus is greater than the Recalculated Bonus, the Executive will pay within forty-five
(45) days the Adjustment Amount to the employing Cognos entity (subject to such other repayment terms as may be approved by the Human Resources Committee of the Board of Cognos). Any repayment made by the Executive to Cognos will be net of any
taxes originally withheld at source by Cognos and remitted to any tax authority in respect of the Adjustment Amount (“Tax Withholding Amount”). Any subsequent refund to the Executive of any taxes in respect of the Original Bonus
will be immediately payable by Executive to Cognos upon receipt, up to the Tax Withholding Amount. If the Original Bonus is less than the Recalculated Bonus, Cognos will forthwith pay the Adjustment Amount to the Executive, less any deductions at
source required by applicable law. This provision forms part of the Agreement and shall be a term of the Executive’s employment, unless otherwise agreed upon, in writing, by Cognos and the Executive. 
  

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 Appendix "B" 
 Definitions 
  

	1.	 “Change of Control” means: 

  

	 	(i)	 Cognos is amalgamated, merged, consolidated or reorganized into or with another corporation or other legal person (excluding an affiliate of Cognos), and as a
result the holders of the voting shares immediately prior to that transaction hold less than a majority of the voting shares after that transaction; 

  

	 	(ii)	 any individual, entity or group acquires or becomes the beneficial owner of, directly or indirectly, more than 50% of the voting securities of the Corporation,
whether through acquisition of previously issued and outstanding voting shares, or of voting shares that have not been previously issued, or any combination thereof, or any other transaction of similar effect; 

  

	 	(iii)	 Cognos sells or otherwise transfers all or substantially all of its assets to any other corporation or other legal person, and as a result the holders of voting
shares immediately prior to that transaction hold less than a majority of the voting shares of the acquiring corporation or person immediately after such transaction; 

  

	 	(iv)	 more than 50% of the voting shares become subject to a voting trust; 

  

	 	(v)	 a report is filed pursuant to the Canada Business Corporations Act or under the Securities Act, Ontario or the Securities Exchange Act of 1934, as amended,
disclosing that any person (as defined in the applicable legislation) has become the beneficial owner of securities representing more than 50% of the voting shares; or 

  

	 	(vi)	 if, during any period of two consecutive years, the individuals who at the beginning of that period are the directors of Cognos cease for any reason to be at
least a majority of the membership of the Board, unless the election, or the nomination for election by Cognos’ shareholders, of each director of Cognos first elected during that period was approved by a vote of at least two-thirds of the
directors then still in office who were also directors of Cognos at the beginning of that period. 

 Provided that a Change
in Control is deemed not to occur solely because any one of the following entities either files or becomes obligated to make a filing or submit a report contemplated above, namely: (i) Cognos, (ii) an entity in which Cognos directly or
indirectly beneficially owns 50% or more of the voting securities, (iii) any Cognos-sponsored employee stock ownership plan or any other employee benefit plan of Cognos, or (iv) any corporation or legal person similar to the foregoing
which is approved by the Board of Directors of Cognos prior to the occurrence of the event that, absent such approval by the Board of Directors of Cognos, would have constituted a Change in Control. 
  

	2.	 For the purposes of this agreement, “Good Reason” means the occurrence of any of the following: 

  

	 	(i)	 without the Executive’s express written consent, the assignment to the Executive of any duties materially inconsistent with the Executive’s position,
duties and responsibilities with Cognos under this Agreement, except in connection with the termination of the Executive’s employment 

  

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	 	 for Just Cause or as a result of his death or retirement, (the promotion of the Executive to Chief Executive Officer of Cognos shall not constitute Good Reason),

  

	 	(ii)	 while the Executive is the Chief Operating Officer of Cognos, he ceases to report directly to the current Chief Executive Officer or, if he is appointed Chief
Executive Officer of Cognos, he ceases to be the most senior officer of Cognos; 

  

	 	(iii)	 without the Executive’s express written consent, a 10% reduction in the Executive's annual Base Salary, benefits or perquisites;

  

	 	(iv)	 without the Executive’s express written consent, a 10% reduction in the Executive’s ability to earn incentive compensation excluding a reduction caused
by the failure of Cognos or the Executive to meet incentive compensation targets or goals; 

  

	 	(v)	 the failure to continue the Executive's participation in any share option, share purchase, profit-sharing, bonus or other incentive compensation plan ;

  

	 	(vi)	 failure of any successor-in-interest to assume all of the obligations of Cognos under this Agreement; 

  

	 	(vii)	 the material breach of this Agreement by Cognos or the material breach by Cognos of any other agreement between Cognos and Executive relating to Executive’s
employment, compensation and wages; 

  

	 	(viii)	 the location of the Corporation’s facilities where the Executive is based being relocated (a) more than 50 km from its current location and
(b) more than 50 km further from the Executive’s residence, and 

  

	 	(ix)	 a Change of Control. 

 Executive’s continued employment shall not constitute consent or a waiver of Executive’s rights to assert Good Reason hereunder on the condition that Executive may only effect a termination for Good Reason within 30 days following
the occurrence of actions or failures to act or Executive’s knowledge of the same giving rise to the Good Reason and shall have duly notified Cognos of the basis for such Good Reason and providing Cognos with fifteen (15) days after
receipt of such notice to cure the basis of such claim. 
  

	3.	 “Just Cause” means: 

  

	 	(i)	 the wilful failure by the Executive to perform his duties (other than by reason of any bona fide disability); 

  

	 	(ii)	 the Executive’s misconduct involving the property, business or affairs of Cognos, or in the carrying out of the Executive’s duties or the
Executive’s theft, fraud or dishonesty; 

  

	 	(iii)	 Executive is convicted of or pleads nolo contendere or guilty to a felony involving moral turpitude; 

  

	 	(iv)	 the Executive’s material breach of this Agreement; or 

  

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	 	(v)	 any other conduct by the Executive that would be determined by the courts of Ontario to constitute just cause from time to time. 

 Anything herein to the contrary notwithstanding, Executive’s employment shall not be terminated for “Just Cause” above unless written
notice stating the basis for the termination is provided to Executive, Executive is given fifteen (15) days after receipt of such notice to cure the neglect or conduct that is the basis of such claim (but only with respect to curable actions or
failures to act). 
  

	4.	 “Disability” has the same meaning as may be ascribed to that term by the Corporation’s long term disability carrier at the relevant time.

  

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 Appendix “C” 
 Offer Letter 
 (See Exhibit 10.46 on Form 8-K filed May 15, 2006) 
  

 162Amended Employment Agreement - Peter Griffiths

 Exhibit 10.39 
 COGNOS INCORPORATED 
 AMENDMENT TO EMPLOYMENT AGREEMENT 
 (Peter Griffiths) 
 This Agreement made
as of the 27th day of April 2007, between Cognos Limited (“Cognos”) and Peter Griffiths (“You”) is entered into (a) in recognition of the key role you play as a senior member of the executive at Cognos and
(b) to restate and amend the terms and conditions of your employment with Cognos as of the date first written above. 
 The parties agree as follows: 
 Duties: 
 Cognos will employ you as Senior Vice President, Products (for the Cognos Group of companies) located at its offices at Westerly Point, Market Street, Bracknell, Berkshire and you accept that employment under the terms set out in this
Agreement. Your duties encompass your current responsibilities for the development of Cognos product suite at Cognos Research and Development offices located in Ottawa and other locations in the United States and the United Kingdom. In the course of
those duties and subject to your rights under Section 11 of this Agreement, you may be appointed to positions with any one of the associated companies of Cognos and You may be assigned different reporting relationships, additional or other
duties as may be reasonably required by Cognos. You will remain a senior executive of Cognos Incorporated and will at all times continue to report to and take direction as reasonably required by the President or Chief Executive Officer of Cognos
Incorporated. 
 You will devote your full time and attention to the business and affairs of Cognos and its associated companies and will
not, without consent in writing of Cognos (which shall not be unreasonably withheld), undertake any other business or occupation or become a director, officer, partner, employee or agent of any other company, firm or individual. 
 You may, without the necessity of obtaining any consent, undertake activities of a charitable or community nature and serve in any part-time or temporary
post with any charitable organization or professional association, as long as those activities, in the sole discretion of Cognos, do not impair your ability to fulfil your obligations in this Agreement. 
 You will well and faithfully serve Cognos and its associated companies and use your best efforts to promote their interests. 
 Term:    This Agreement supersedes, amends and restates all prior agreements relating to your employment with Cognos, or any
of its subsidiaries or affiliated companies. Despite the foregoing, your service with Cognos, or any of its subsidiaries or affiliated companies is preserved and shall be deemed to have commenced on June 1, 1993. 
 Relocation:    Cognos carries on its operations worldwide and during the course of your employment the location of your
employment (with your consent) and reporting arrangements may be changed by Cognos. Your relocation expenses may be reimbursed in accordance with the prevailing Cognos policy. 
 Hours of Work:    Your days and hours of work will be Monday to Friday at 7.5 hours per day. Starting time will be between 8.30 am and 9.00 am with the finishing time
between 5.00 pm and 5.30 pm with one hour for lunch. These days and hours are subject to change by Cognos to meet its needs. You acknowledge that your duties may require extra or irregular hours to fulfil company requirements. There is no
compensation for overtime except when authorised in accordance with prevailing Cognos policy. 
  

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 Compensation & Performance Appraisal: 
 5.1    Your compensation will be your current salary as of the Effective Date (“Base Salary”) and will subsequently be reviewed annually in accordance with
prevailing Cognos policy. You will continue to receive your current cost-of-living factor (“COLA”) of 1.4 applied to your Base Salary. The COLA will be reviewed not less than annually and adjustments made to reflect cost-of-living
in the area of your residence. Your salary will be deemed to accrue from day to day and will be payable in the same manner as your peers at the location at which you are employed. Your compensation for Cognos Fiscal Year 2006 and for any subsequent
years will be established by either the President or Chief Executive Officer of Cognos Incorporated prior to the commencement of each such fiscal year. 
 5.2    You have no contractual entitlement to any increased or additional compensation (including overtime) except in strict compliance with your compensation plan; you have no right to the
continuation or renewal of any particular plan. You will be paid net of any statutory or authorised deductions. 
 Travel &
Expenses:    Your duties may require you to travel away from home and incur expenses in connection with that travel or other duties under this Agreement. Cognos will reimburse you for all reasonable expenses incurred for
travel, accommodation and other incidental costs in accordance with its prevailing travel and expenses policies. 
 Benefits and Other
Administrative/Compensation Arrangements: 
 Cognos will place you and your family on its benefit plans and make arrangements to pay or
effect the other benefits, emoluments, facilities and services agreed to be provided to you by Cognos in this Agreement. 
 You were entitled
to annual vacation at rate of twenty-six (26) working days for the Cognos holiday year ending on December 31, 2004 which was prorated for the period from the June 1, 2004 to December 31, 2004. Your annual holiday entitlement
thereafter will rise and will be taken in accordance with the prevailing Cognos policy. 
 As an employee of Cognos, you will continue to be
eligible to participate in prevailing (a) Cognos Employee Stock Option Plan, and (b) any pension arrangement scheme available to Cognos employees. 
 You will be entitled to a Level A+ leased automobile (or car allowance if you so wish) in accordance with the prevailing Cognos Car Policy. 
 As a senior Cognos executive, you are entitled to full reimbursement for tax preparation assistance as well as advice relating to your relocation and employment situation. This service will be
provided to you by the Reading offices of Deloitte. 
 The following general administrative and compensation arrangements
will apply during the term of your employment: 
  

	 	(a)	 You will be provided with office administration support and facilities commensurate with your executive status; 

  

	 	(b)	 Any amounts subject to reimbursement must be supported by valid proof of expense; 

  

 164 

	 	(c)	 You will be responsible for any taxes imposed upon or in respect of the compensation paid or the benefits and emoluments conferred on you under the terms of this
Agreement; and 

  

	 	(d)	 Any other matters relating to your employment relationship with Cognos will be subject to this Agreement. 

 Policies:    In addition to the provisions of this Agreement, you will use your best endeavours to adhere to all policies of
general applicability to Cognos employees. Cognos may amend or revoke the provisions of these policies as may be necessary. You will be given reasonable notice of any policy amendment. Cognos has a policy, which deals with disciplinary, and
grievance procedures, copies of which will be given to you on commencement of employment. 
 Confidential Information and Inventions: 
 For the purposes of this Section 9, Cognos includes Cognos Incorporated and its subsidiaries. During the course of your duties, you will acquire
information about certain matters that are confidential to Cognos (including, for the purpose of this Clause, any associated companies), including but not limited to: (a) product design and development information, (b) names, addresses,
buying habits and preferences of current customers of Cognos as well as prospective customers, (c) pricing and sales policies, techniques and concepts, and (d) trade secrets and confidential information concerning the business operations
or affairs of Cognos, all of which information is "Confidential Information" for the purposes of this Agreement. Confidential Information does not include: (e) information generally available to or known to the public; (f) information
previously known to you; (g) information independently developed by you outside the scope of this Agreement; or (h) information lawfully disclosed to you by a third party. Confidential information belongs to Cognos. 
 You acknowledge that Confidential Information, if disclosed, could be used to the detriment of Cognos. Accordingly, you will not disclose any
Confidential Information to any third party either: (a) during the term of your employment with Cognos (whether under this Agreement or any predecessor or successor to it), except as may be necessary for you to properly discharge your duties
under this Agreement, or (b) following the termination of your employment, however caused, except with the prior written permission of Cognos. Any obligations of confidentiality arising under previous agreements with Cognos are continued and
amended to conform with the terms of this Agreement. 
 Any inventions, discoveries, or copyrightable works developed, authored, made or
contributed to by you during the course of your duties, whether under this Agreement or any predecessor or successor to it, including without limitation: software source or object code (and any underlying algorithms or other components), product or
promotional material, manuals, contractual documentation, and training or education materials (“Works”), are the sole and exclusive property of Cognos or are hereby assigned to Cognos immediately upon their creation, including without
limitation, all copyright and other intellectual property rights (including any future rights) in or to the Works. You waive any and all moral rights you may have in any Works. At Cognos’ expense, you will execute any additional documents
deemed necessary by Cognos to apply for, transfer, assign or confirm its rights in or to the Works, whether during or after the termination of this Agreement, however caused. You warrant that any Work does not infringe the copyright or other rights
of any third party and that the rights you grant to Cognos in this Agreement are vested in you absolutely and you have not previously assigned, licensed, or in any way encumbered the Work. This Section is binding on your heirs, successors and
assigns and will survive the termination of this Agreement. 
  

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 Computer Security:    It is the policy of Cognos to adhere strictly to the
licensing conditions of any software or other copyright work that it uses. You are required to comply with this policy. You will not copy or distribute for your own use or for the use of any other person or company any software or other copyright
work used or developed by Cognos without (a) obtaining the authorisation of your manager and (b) taking all reasonable precautions to ensure that your use of the software neither corrupts nor destroys any existing software or data.

 11.    Termination: 
 11.01    You may resign your employment voluntarily upon giving thirty (30) days prior written notice to Cognos. Cognos may waive the said notice by providing you with pay in lieu of notice. Upon resignation, you
will have no entitlement to compensation except for unpaid Base Salary and vacation earned to the effective date of resignation. All of your benefits will cease upon the effective date of your resignation. For greater certainty, termination by you
for Good Reason shall not constitute a voluntary resignation. 
 11.02    Cognos may terminate your employment at any
time for Just Cause without notice or compensation in lieu of notice except for unpaid Base Salary and vacation earned to the date of termination. All of your benefits will cease immediately upon termination of your employment for Just Cause.

 11.03    If your employment is terminated by Cognos without Just Cause (including constructive dismissal) or you
terminate your employment for any Good Reason, then the following provisions shall apply: 
 (a)    Cognos
will continue to pay your monthly Base Salary and monthly payments equal to one twelfth (1/12) of your base target bonus (without applying any applicable adjustments for the overall corporate performance of Cognos Incorporated such as pursuant
to the “Share In Success Program” of Cognos Incorporated in effect as of the Effective Date or any replacement program), in each case less statutory deductions, for eighteen (18) months from the date of termination. Cognos may elect
to pay this as a single lump sum payment; 
 (b)    Cognos will continue, to the extent permitted by its
carriers, all benefits for eighteen (18) months from the date of termination. In the event that Cognos cannot continue to provide any benefit, it shall compensate you for the reasonable cost of your obtaining the said benefit to the extent you
can obtain such benefit from a similar carrier; 
 (c)    You shall be entitled to be paid your target
bonus as at the date of termination (together with any applicable adjustments for the overall corporate performance of Cognos Incorporated such as pursuant to the “Share in Success Program” of Cognos Incorporated in effect as of the
Effective Date or any replacement program), pro-rated for the period up to the date of termination of employment (such payment to be determined and made at the times that Cognos generally determines and pays bonuses to its Senior Executives); and

 (d)    Notwithstanding the terms of any plan or agreement to the contrary, all of your entitlements or
rights pursuant to any share option plan shall continue to vest during the eighteen (18) month period following the date of termination, and once vested shall be exercisable in accordance with the terms of the applicable plan. 
 11.04    In the event that your employment is terminated by Cognos without Just Cause or in the event that you terminate your
employment for Good Reason and if such termination by Cognos or by you occurs on or within twelve (12) months following the date of any Change of Control, then, notwithstanding the terms of any plan or agreement to the contrary, all of your
entitlements or rights pursuant to equity-based plans (including, without limit, share/stock option, share/stock purchase, restricted stock or stock award), or any profit sharing, bonus or incentive plan restricted stock plan shall automatically
become fully vested, and once vested shall be exercisable in accordance with the terms of the applicable plan. 
  

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 11.05    The terms “Good Reason”, “Just Cause” and
“Change of Control” will have the meanings ascribed thereto in Schedule 1 of this Agreement. 
 11.06    Coincident with, or immediately following termination of your employment, for whatever reason, you will surrender to Cognos any documents or electronic media containing Confidential Information referred to in
Section 9, as well as any other property of Cognos in your control or possession (including without limitation: vehicles, access passes, equipment, credit cards, keys, books, records, reports, files, manuals, and literature) in good condition,
normal wear and tear excepted. 
 11.07    Except to the extent contemplated in Sections 11.03(a) and 11.03(c), above,
you shall not be entitled to any bonus or incentive payment which is not earned as of the date of termination of your employment. 
 11.08    Immediately following termination of your employment, for whatever reason, you will repay any outstanding debts or advances owing by you to Cognos and you authorize Cognos to deduct the amount of those debts or
advances from any compensation amount payable to you following your termination. For greater certainty, any unearned vacation taken will constitute an advance owed by you to Cognos and any incentive payment, signing bonus or payment of relocation
and/or immigration expenses which becomes repayable due to termination of employment, shall constitute a debt owed by you to Cognos. 
 11.09    You will not at any time after termination of your employment represent yourself as being in any way connected or interested in the business of Cognos or any of its group companies worldwide. 
 12.    Non-Solicitation of Employees:    You agree that you will not, during your employment and for the
period ending eighteen (18) months after the date your employment is terminated, without the written consent of Cognos, directly or indirectly (a) employ or retain as an independent contractor any employee of Cognos Incorporated or any
subsidiary or induce or solicit, or attempt to induce, any such person to leave his or her employment, (b) contact or solicit any designated customers of Cognos Incorporated or any subsidiary for the purpose of selling to those designated
customers any products or services which are the same as, or competitive with, the products or services sold or licensed by Cognos Incorporated or any subsidiary. For the purpose of this section, a “designated customer” means a person who
was a customer of the Cognos Incorporated or any subsidiary at any time during the twelve (12) months preceding the date that your employment terminated. 
 13.    Non-Competition:    You will not, during your employment and for the period ending twelve (12) months after the date your employment is terminated, directly
or indirectly or in any manner whatsoever, including either individually, or in partnership, jointly or in conjunction with any other person, or as principal, agent, owner, consultant, contractor, employee, executive, officer, director, advisor or
shareholder: (a) be engaged in any undertaking, or (b) have any financial or other interest (including an interest by way of royalty or compensation arrangements) in or in respect of the business of any person which carries on a business;
or (c) accept employment with, advise, render or provide services to, lend money to or guarantee the debts or obligations of any 

  

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person or entity that carries on a business or undertaking anywhere, that is in competition with the products or services created, developed or under
development, manufactured or planning to be manufactured, marketed or planning to be marketed, distributed or planning to be distributed, sold or planning to be sold, by Cognos Incorporated or any subsidiary at the time of your termination or within
the six (6) month period prior to that date. Despite the above, you may own not more than five percent (5%) of any class of securities of an entity, the securities of which are listed on a recognized stock exchange or traded in the over
the counter market in the United States or Canada, that carries on a business which is the substantially same as or which competes with the business of Cognos Incorporated or any subsidiary or any of its subsidiaries. 
 14.    Non-Disparagement:    In further consideration of the amounts and rights granted or received or to
be granted or received under this Agreement, you will not, during the twelve (12) month period following the termination of your employment (howsoever caused), utter, publish or broadcast any statements that disparage Cognos Incorporated or any
subsidiary (including its subsidiaries) or be critical in any manner or fashion of Cognos Incorporated or any subsidiary or its business, including without limitation, its business strategy, products, management or employees. 
 15.    Legal Assistance:    You will, during this Agreement and for a period two (2) years following
its termination however caused, supply such information and render such assistance as may be reasonably required by Cognos or any associated company in connection with any legal or quasi-legal proceeding to which either is or becomes a party. The
foregoing will be at the full expense of Cognos, including reasonable compensation and the expense of seeking the advice of counsel in relation to such proceedings. 
 16.    Assignment of Rights:    The rights accruing to Cognos under this Agreement will pass to its successors or assigns. Your rights under this Agreement are not
assignable or transferable in any manner except as required or permitted by operation of law. 
 17.    Notices:    Any notice required or permitted to be given under this Agreement will be given in writing by personal delivery, registered mail or by facsimile, to you at your last known
address and to Cognos at its head office to the attention of the Human Resources Department. 
 18.    Severability:    If any provision or part of this Agreement is void, or found to be, void, unenforceable or invalid by a court of competent jurisdiction, its remaining provisions or
parts will remain in full force and effect. 
 19.    Amendment of Agreement:    Any amendment
or modification of this Agreement will be in writing and signed by the parties or it will have no effect. 
  

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 20.    Governing Law:    This Agreement will be governed
by and construed in accordance with the laws of England. 
  

							
	 AGREED to by COGNOS:
	 	AGREED to by YOU:
				
	 Signature:
	 	/s/ Robert G. Ashe	 	Signature:	 	/s/ Peter Griffiths
	 Printed Name:
	 	Robert G. Ashe	 	Printed Name:	 	Peter Griffiths
	 Title:
	 	President and Chief Executive Officer	 	Date:	 	April 27, 2007

  

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 SCHEDULE 1 
 (DEFINITIONS) 
  

	1.	 “Change of Control” means: 

  

	i.	 Cognos Incorporated (hereinafter the “Corporation” for the purposes of this Schedule) is amalgamated, merged, consolidated or reorganized into or with
another corporation or other legal person (excluding an Affiliate of the Corporation), and as a result the holders of the voting shares immediately prior to that transaction hold less than a majority of the voting shares after that transaction;

  

	ii.	 any individual, entity or group acquires or becomes the beneficial owner of, directly or indirectly, more than 50% of the voting securities of the Corporation,
whether through acquisition of previously issued and outstanding voting shares, or of voting shares that have not been previously issued, or any combination thereof, or any other transaction of similar effect; 

  

	iii.	 the Corporation sells or otherwise transfers all or substantially all of its assets to any other corporation or other legal person, and as a result the holders
of voting shares immediately prior to that transaction hold less than a majority of the voting shares of the acquiring corporation or person immediately after such transaction; 

  

	iv.	 more than 50% of the voting shares become subject to a voting trust; 

  

	v.	 a report is filed pursuant to the Canada Business Corporations Act or under the Securities Act, Ontario or the Securities Exchange Act of
1934, as amended, disclosing that any person (as defined in the applicable legislation) has become the beneficial owner of securities representing more than 50% of the voting shares; or 

  

	vi.	 if, during any period of two consecutive years, the individuals who at the beginning of that period are the directors of the Corporation cease for any reason to
be at least a majority of the membership of the Board, unless the election, or the nomination for election by the Corporation’s shareholders, of each director of the Corporation first elected during that period was approved by a vote of at
least two-thirds of the directors then still in office who were also directors of the Corporation at the beginning of that period. 

 Provided that a Change in Control is deemed not to occur solely because any one of the following entities either files or becomes obligated to make a filing or submit a report contemplated above, namely:
(i) Corporation, (ii) an entity in which Corporation directly or indirectly beneficially owns 50% or more of the voting securities, (iii) any Corporation sponsored employee stock ownership plan or any other employee benefit plan of
Corporation, or (iv) any corporation or legal person similar to the foregoing which is approved by the Board of Directors of Corporation prior to the occurrence of the event that, absent such approval by the Board of Directors of Corporation,
would have constituted a Change in Control. 
  

 170 

	2.	 For the purposes of this agreement “Good Reason” means the occurrence of any of the following: 

  

	 	i.	 Without your express written consent, the assignment to you of any duties materially inconsistent with your position, duties and responsibilities with Cognos,
except in connection with the termination of your employment for Just Cause or as a result of your death, disability or retirement; 

  

	 	ii.	 any material reduction in your annual Base Salary, benefits or perquisites, not similarly applied to all senior executives of the Corporation;

  

	 	iii.	 a material reduction in your ability to earn incentive compensation not similarly applied to all senior executives of the Corporation excluding a reduction
caused by the failure of Cognos or you to meet incentive compensation targets or goals; 

  

	 	iv.	 the failure to continue your participation in any share option, share purchase, profit-sharing, bonus or other incentive compensation plan not similarly applied
to all senior executives of the Corporation unless a plan providing a substantially similar opportunity is substituted; 

  

	 	v.	 the location of the Cognos’ facilities where you are based being relocated (a) more than 50 km from its current location and (b) more than 50 km
further from your residence, and 

  

	 	vi.	 a Change of Control. 

  

	3.	 “Just Cause” means: 

  

	 	i.	 the willful failure by you to perform your duties (other than by reason of any bona fide disability) after having been notified by Company of the wilful failure
and being given a reasonable opportunity to rectify and discontinue such failure; 

  

	 	ii.	 your gross misconduct involving the property, business or affairs of Cognos, or in the carrying out of your duties or your theft, fraud or dishonesty;

  

	 	iii.	 your material breach of this Agreement; or 

  

	 	iv.	 notwithstanding (i)-(iii), immediately above, any other conduct by you that would be determined by the courts of England to constitute just cause from time to
time. 

  

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