Document:

EXHIBIT 10.60

                               TRIMBLE NAVIGATION

                        1988 EMPLOYEE STOCK PURCHASE PLAN
                            (as amended May 11, 2000)

     The following constitute the provisions of the Employee Stock Purchase Plan
of Trimble Navigation.

 1. Purpose.  The purpose of the Plan is to provide employees of the Company
and its Designated  Subsidiaries with an opportunity to purchase Common Stock of
the Company through accumulated  payroll deductions.  It is the intention of the
Company to have the Plan  qualify as an  "Employee  Stock  Purchase  Plan" under
Section 423 of the Internal Revenue Code of 1986, as amended.  The provisions of
the  Plan  shall,   accordingly,   be  construed  so  as  to  extend  and  limit
participation  in a manner  consistent with the  requirements of that section of
the Code.

 2. Definitions.

     (a) "Board" shall mean the Board of Directors of the Company.

     (b) "Code" shall mean the Internal Revenue Code of 1986, as amended.

     (c) "Common Stock" shall mean the Common Stock of the Company.

     (d) "Company" shall mean Trimble Navigation.

     (e)  "Compensation"  shall mean all regular  straight time gross  earnings,
commissions,  incentive  bonuses,  overtime,  shift premium,  lead pay and other
similar compensation, but excluding automobile allowances,  relocation and other
non-cash compensation.  Notwithstanding the foregoing, the Employee may elect to
exclude bonuses from the calculation of compensation.

     (f)  "Continuous  Status as an  Employee"  shall  mean the  absence  of any
interruption or termination of service as an Employee.  Continuous  Status as an
Employee  shall not be considered  interrupted in the case of a leave of absence
agreed to in writing by the Company, provided that such leave is for a period of
not more  than 90 days or  reemployment  upon the  expiration  of such  leave is
guaranteed by contract or statute.

     (g) "Designated  Subsidiaries"  shall mean the Subsidiaries which have been
designated by the Board from time to time in its sole  discretion as eligible to
participate in the Plan.

     (h) "Employee" shall mean any person, including an officer, whose customary
employment  with the  Company  is at least  twenty  (20)  hours  per week by the
Company or one of its Designated  Subsidiaries  and more than five (5) months in
any calendar year.

     (i) "Enrollment Date" shall mean the first day of each Offering Period.

     (j) "Exercise Date" shall mean the last day of each Offering Period.

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<PAGE>

     (k) "Offering Period" shall mean, except with respect to the first Offering
Period as described  herein,  a period of six (6) months  during which an option
granted  pursuant to the Plan may be exercised.  The first Offering Period shall
commence August 15, 1988, and end December 31, 1988.

     (l) "Plan" shall mean this Employee Stock Purchase Plan.

     (m) "Subsidiary"  shall mean a corporation,  domestic or foreign,  of which
not less than 50% of the voting  shares are held by the Company or a Subsidiary,
whether or not such corporation now exists or is hereafter organized or acquired
by the Company or a Subsidiary.

 3.  Eligibility.

     (a) Any  Employee  as  defined  in  paragraph  2 who has been  continuously
employed by the Company for at least two (2) consecutive months and who shall be
employed  by the  Company  on a given  Enrollment  Date  shall  be  eligible  to
participate in the Plan. However, notwithstanding the foregoing, for purposes of
the first  Offering  Period only,  any  Employee  defined in paragraph 2 who was
employed by the Company as of August 9, 1988 shall be eligible to participate in
the Plan.

     (b) Any provisions of the Plan to the contrary notwithstanding, no Employee
shall be granted an option under the Plan (i) if,  immediately  after the grant,
such  Employee  (or any other  person  whose stock would be  attributed  to such
Employee  pursuant to Section  425(d) of the Code)  would own stock  and/or hold
outstanding  options to purchase stock  possessing  five percent (5%) or more of
the total combined  voting power or value of all classes of stock of the Company
or of any subsidiary of the Company,  or (ii) which permits his or her rights to
purchase  stock under all employee  stock  purchase plans of the Company and its
subsidiaries  to accrue at a rate which  exceeds  Twenty-Five  Thousand  Dollars
($25,000)  worth of stock  (determined at the fair market value of the shares at
the time such option is granted) for each  calendar year in which such option is
outstanding at any time.

 4.  Offering Periods.  The Plan shall be implemented by consecutive Offering
Periods with a new Offering  Period  commencing on or about January 1 and July 1
of each year; provided,  however,  that the first Offering Period shall commence
on or about August 15, 1988. The Plan shall continue thereafter until terminated
in accordance  with  paragraph 19 hereof.  Subject to the  shareholder  approval
requirements  of paragraph  19, the Board of Directors of the Company shall have
the power to change the  duration of  Offering  Periods  with  respect to future
offerings  without  shareholder  approval if such change is  announced  at least
fifteen (15) days prior to the scheduled  beginning of the first Offering Period
to be affected.

 5.  Participation.

     (a) An eligible Employee may become a participant in the Plan by completing
a subscription agreement authorizing payroll deductions in the form of Exhibit A
to this Plan and filing it with the Company's  payroll  office at least five (5)
business days prior to the applicable  Enrollment Date,  unless a later time for
filing the subscription agreement is set by the Board for all eligible Employees
with respect to a given Offering Period.

     (b)  Payroll  deductions  for a  participant  shall  commence  on the first
payroll  following the Enrollment  Date and shall end on the last payroll in the
Offering  Period  to which  such  authorization  is  applicable,  unless  sooner
terminated by the participant as provided in paragraph 10.

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<PAGE>

 6.  Payroll Deductions.

     (a) At the time a participant files his or her subscription  agreement,  he
or she shall elect to have  payroll  deductions  made on each payday  during the
Offering Period in an amount not exceeding ten percent (10%) of the Compensation
which he receives on each payday during the Offering  Period,  and the aggregate
of such  payroll  deductions  during the  Offering  Period  shall not exceed ten
percent (10%) of the participant's  aggregate  Compensation during said Offering
Period.

     (b) All payroll  deductions made for a participant shall be credited to his
or her  account  under  the  Plan.  A  participant  may not make any  additional
payments into such account.

     (c) A participant may discontinue his or her  participation  in the Plan as
provided in paragraph 10, or may decrease,  but not increase, the rate of his or
her payroll  deductions  during the Offering  Period (within the  limitations of
Section  6(a)) by  completing  or filing  with the  Company  a new  subscription
agreement  authorizing a change in payroll  deduction  rate.  The change in rate
shall be  effective  with the  first  full  payroll  period  following  five (5)
business days after the Company's receipt of the new subscription  agreement.  A
participant's  subscription  agreement  shall  remain in effect  for  successive
Offering  Periods unless revised as provided herein or terminated as provided in
paragraph 10.

     (d) Notwithstanding  the foregoing,  to the extent necessary to comply with
Section 423(b)(8) of the Code and paragraph 3(b) herein, a participant's payroll
deductions may be decreased to 0% at such time during any Offering  Period which
is  scheduled to end during the current  calendar  year (the  "Current  Offering
Period") that the aggregate of all payroll deductions which were previously used
to purchase stock under the Plan in a prior  Offering  Period which ended during
that calendar year plus all payroll  deductions  accumulated with respect to the
Current  Offering Period equal $21,250.  Payroll  deductions shall recommence at
the rate provided in such participant's  subscription agreement at the beginning
of the first Offering Period which is scheduled to end in the following calendar
year, unless terminated by the participant as provided in paragraph 10.

 7.  Grant of Option.

     (a) On the Enrollment Date of each Offering Period,  each eligible Employee
participating  in such Offering Period shall be granted an option to purchase on
each Exercise  Date during such Offering  Period up to a number of shares of the
Company's Common Stock determined by dividing such Employee's payroll deductions
accumulated  prior to such  Exercise  Date  and  retained  in the  Participant's
account as of the Exercise Date by the lower of (i) eighty-five percent (85%) of
the fair market value of a share of the Company's Common Stock on the Enrollment
Date or (ii)  eighty-five  percent  (85%) of the fair market value of a share of
the Company's Common Stock on the Exercise Date; provided that in no event shall
an Employee be permitted  to purchase  during each  Offering  Period more than a
number of shares  determined  by dividing  $12,500 by the fair market value of a
share of the Company's Common Stock on the Enrollment Date, and provided further
that such purchase shall be subject to the limitations set forth in Section 3(b)
and 12 hereof.  Exercise  of the option  shall  occur as  provided in Section 8,
unless the participant has withdrawn pursuant to Section 10, and shall expire on
the  last  day of the  Offering  Period.  Fair  market  value  of a share of the
Company's Common Stock shall be determined as provided in Section 7(b) herein.

     (b) The option  price per share of the shares  offered in a given  Offering
Period shall be the lower of: (i) 85% of the fair market value of a share of the
Common  Stock of the  Company on the  Enrollment  Date;  or (ii) 85% of the fair
market value of a share of the Common Stock of the Company on the Exercise Date.
The fair market  value of the  Company's  Common  Stock on a given date shall be

                                       20
<PAGE>

determined by the Board in its discretion;  provided,  however, that where there
is a public market for the Common  Stock,  the fair market value per share shall
be the  closing  price of the Common  Stock for such date,  as  reported  by the
NASDAQ National Market System,  or, in the event the Common Stock is listed on a
stock  exchange,  the fair market value per share shall be the closing  price on
such exchange on such date, as reported in the Wall Street Journal.

 8. Exercise of Option.  Unless a  participant  withdraws  from the Plan as
provided in  paragraph  10 below,  his or her option for the  purchase of shares
will be exercised  automatically on the Exercise Date, and the maximum number of
full shares  subject to option shall be purchased  for such  participant  at the
applicable  option price with the accumulated  payroll  deductions in his or her
account.  No  fractional  shares will be  purchased  and any payroll  deductions
accumulated  in a  participant's  account which are not used to purchase  shares
shall remain in the  participant's  account for the subsequent  Offering Period,
subject  to an  earlier  withdrawal  as  provided  in  paragraph  10.  During  a
participant's  lifetime,  a participant's option to purchase shares hereunder is
exercisable only by him or her.

 9. Delivery.  Unless a participant  makes an election to delay the issuance
of Certificate  representing  purchased shares, as promptly as practicable after
each  Exercise  Date on which a purchase of shares  occurs,  the  Company  shall
arrange the  delivery to each  participant,  as  appropriate,  of a  certificate
representing  the  shares  purchased  upon  exercise  of his or  her  option.  A
participant  may make an  election to delay the  issuance of stock  certificates
representing  shares  purchased  under the Plan by giving  written notice to the
Company the form of Exhibit D to this Plan.  Any such  election  shall remain in
effect  until  it is  revoked  by the  participant  or,  if  earlier,  upon  the
termination of the participant's  Continuous Status as an Employee.  The Company
may limit the time or times during which participants may revoke such elections,
except that a participant shall  automatically  receive a certificate as soon as
practicable following termination of his or her Continuous Status as an Employee
and that participants shall be given the opportunity to revoke such elections at
least once each calendar year.

 10. Withdrawal; Termination of Employment.

     (a) A  participant  may  withdraw  all but not less  than  all the  payroll
deductions  credited to his or her  account and not yet used to exercise  his or
her option under the Plan at any time by giving written notice to the Company in
the form of Exhibit B to this Plan. All of the participant's  payroll deductions
credited to his or her account will be paid to such  participant  promptly after
receipt of notice of withdrawal and such  participant's  option for the Offering
Period will be automatically  terminated,  and no further payroll deductions for
the purchase of shares will be made during the Offering Period. If a participant
withdraws from an Offering  Period,  payroll  deductions  will not resume at the
beginning of the succeeding  Offering Period unless the participant  delivers to
the Company a new subscription agreement.

     (b) Upon termination of the participant's  Continuous Status as an Employee
prior to the Exercise Date for any reason,  including  retirement or death,  the
payroll deductions  credited to such  participant's  account during the Offering
Period  but not  yet  used to  exercise  the  option  will be  returned  to such
participant  or,  in the case of his or her  death,  to the  person  or  persons
entitled  thereto  under  paragraph  14, and such  participant's  option will be
automatically terminated.

     (c) In the event an  Employee  fails to remain in  Continuous  Status as an
Employee  of the  Company  for at least  twenty  (20)  hours per week  during an
Offering Period in which the Employee is a participant, he or she will be deemed
to have elected to withdraw from the Plan and the payroll deductions credited to
his or her account will be returned to such  participant and such  participant's
option terminated.

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<PAGE>

     (d) A  participant's  withdrawal  from an Offering Period will not have any
effect upon his or her  eligibility to participate in any similar plan which may
hereafter  be adopted by the Company or in  succeeding  Offering  Periods  which
commence after the termination of the Offering Period from which the participant
withdraws.

 11.  Interest.  No interest  shall  accrue on the payroll  deductions  of a
participant in the Plan.

 12.  Stock.

     (a) The maximum number of shares of the Company's  Common Stock which shall
be made available for sale under the Plan shall be 3,150,000 shares,  subject to
adjustment  upon  changes  in  capitalization  of the  Company  as  provided  in
paragraph  18. If on a given  Exercise Date the number of shares with respect to
which  options are to be exercised  exceeds the number of shares then  available
under the Plan,  the  Company  shall  make a pro rata  allocation  of the shares
remaining  available for purchase in as uniform a manner as shall be practicable
and as it shall determine to be equitable.

     (b) The participant will have no interest or voting right in shares covered
by his option until such option has been exercised.

     (c)  Shares  to be  delivered  to a  participant  under  the  Plan  will be
registered in the name of the  participant or in the name of the participant and
his or her spouse.

 13. Administration.  The Plan  shall be  administered  by the Board of the
Company  or a  committee  of members of the Board  appointed  by the Board.  The
administration,  interpretation  or  application of the Plan by the Board or its
committee shall be final, conclusive and binding upon all participants.  Members
of the Board who are eligible  Employees  are  permitted to  participate  in the
Plan.

 14. Designation of Beneficiary.

     (a) A participant may file a written designation of a beneficiary who is to
receive any shares and cash,  if any, from the  participant's  account under the
Plan in the event of such participant's  death subsequent to an Exercise Date on
which the option is exercised but prior to delivery to such  participant of such
shares and cash. In addition,  a participant may file a written designation of a
beneficiary who is to receive any cash from the participant's  account under the
Plan in the event of such participant's death prior to exercise of the option.

     (b) Such  designation of beneficiary  may be changed by the  participant at
any time by written  notice.  In the event of the death of a participant  and in
the absence of a beneficiary  validly designated under the Plan who is living at
the time of such  participant's  death,  the Company  shall  deliver such shares
and/or cash to the executor or  administrator  of the estate of the participant,
or if no such executor or administrator  has been appointed (to the knowledge of
the Company),  the Company,  in its  discretion,  may deliver such shares and/or
cash  to the  spouse  or to any  one or  more  dependents  or  relatives  of the
participant,  or if no spouse,  dependent  or relative is known to the  Company,
then to such other person as the Company may designate.

 15. Transferability. Neither payroll deductions credited to a participant's
account nor any rights  with  regard to the  exercise of an option or to receive
shares  under  the Plan  may be  assigned,  transferred,  pledged  or  otherwise
disposed of in any way (other than by will, the laws of descent and distribution
or as provided in paragraph 14 hereof) by the  participant.  Any such attempt at
assignment,  transfer,  pledge or other  disposition  shall be  without  effect,
except that the Company may treat such act as an election to withdraw funds from
an Offering Period in accordance with paragraph 10.

                                       22
<PAGE>

 16. Use of Funds.  All payroll  deductions  received or held by the Company
under the Plan may be used by the Company  for any  corporate  purpose,  and the
Company shall not be obligated to segregate such payroll deductions.

 17. Reports. Individual accounts will be maintained for each
participant  in the Plan.  Statements of account will be given to  participating
Employees  semi-annually  promptly following the Exercise Date, which statements
will set forth the amounts of payroll deductions,  the per share purchase price,
the number of shares purchased and the remaining cash balance, if any.

 18. Adjustments  Upon Changes in  Capitalization.  Subject to any required
action by the shareholders of the Company,  the number of shares of Common Stock
covered by each option under the Plan which has not yet been  exercised  and the
number of shares of Common Stock which have been  authorized  for issuance under
the  Plan  but  have  not  yet  been  placed  under  option  (collectively,  the
"Reserves"),  as well as the price per share of  Common  Stock  covered  by each
option under the Plan which has not yet been exercised, shall be proportionately
adjusted for any  increase or decrease in the number of issued  shares of Common
Stock  resulting  from a stock  split,  reverse  stock  split,  stock  dividend,
combination or  reclassification  of the Common Stock,  or any other increase or
decrease in the number of shares of Common  Stock  effected  without  receipt of
consideration  by  the  Company;  provided,  however,  that  conversion  of  any
convertible securities of the Company shall not be deemed to have been "effected
without receipt of  consideration".  Such adjustment shall be made by the Board,
whose  determination  in that respect  shall be final,  binding and  conclusive.
Except as expressly  provided herein, no issue by the Company of shares of stock
of any class, or securities convertible into shares of stock of any class, shall
affect,  and no adjustment by reason  thereof shall be made with respect to, the
number or price of shares of Common Stock subject to an option.

     In the event of the proposed dissolution or liquidation of the Company, the
Offering  Period will terminate  immediately  prior to the  consummation of such
proposed  action,  unless  otherwise  provided  by the Board.  In the event of a
proposed sale of all or substantially  all of the assets of the Company,  or the
merger of the Company with or into  another  corporation,  any Purchase  Periods
then in progress  shall be shortened  by setting a new  Exercise  Date (the "New
Exercise  Date") and any Offering  Periods then in progress shall end on the New
Exercise  Date.  The New Exercise Date shall be before the date of the Company's
proposed sale or merger. The Board shall notify each participant in writing,  at
least ten (10) business days prior to the New Exercise  Date,  that the Exercise
Date for the participant's  option has been changed to the New Exercise Date and
that the  participant's  option  shall  be  exercised  automatically  on the New
Exercise Date,  unless prior to such date the participant has withdrawn from the
Offering Period as provided in Section 10 hereof.

 19. Amendment or Termination.  The Board of Directors of the Company may at
any time and for any reason  terminate or amend the Plan.  Except as provided in
paragraph  18,  no such  termination  can  affect  options  previously  granted,
provided that an Offering  Period may be terminated by the Board of Directors on
any Exercise Date if the Board determines that the termination of the Plan is in
the best  interests of the Company and its  shareholders.  Except as provided in
paragraph 18, no amendment may make any change in any option theretofore granted
which  adversely  affects the rights of any  participant.  In  addition,  to the
extent  necessary to comply with Section 423 of the Code (or any successor  rule
or provision  or any other  applicable  law or  regulation),  the Company  shall
obtain  shareholder  approval  in  such a  manner  and to  such a  degree  as so
required.

 20. Notices.  All notices or other  communications  by a participant to the
Company under or in  connection  with the Plan shall be deemed to have been duly
given when received in the form specified by the Company at the location,  or by
the person, designated by the Company for the receipt thereof.

                                       23
<PAGE>

 21. Shareholder  Approval.  Continuance  of the Plan  shall be  subject to
approval by the shareholders of the Company within twelve months before or after
the date the Plan is adopted. Such shareholder approval shall be obtained in the
manner  and degree  required  under the  applicable  state and  federal  tax and
securities laws.

 22. Conditions  Upon  Issuance of Shares.  Shares shall not be issued with
respect to an option  unless the  exercise of such option and the  issuance  and
delivery of such  shares  pursuant  thereto  shall  comply  with all  applicable
provisions  of law,  domestic or foreign,  including,  without  limitation,  the
Securities Act of 1933, as amended,  the Exchange Act, the rules and regulations
promulgated  thereunder,  and the  requirements of any stock exchange upon which
the shares may then be listed,  and shall be further  subject to the approval of
counsel for the Company with respect to such compliance.

     As a condition to the exercise of an option, the Company may
require the person  exercising  such option to represent and warrant at the time
of any such exercise that the shares are being purchased only for investment and
without  any  present  intention  to sell or  distribute  such shares if, in the
opinion of counsel for the Company,  such a representation is required by any of
the aforementioned applicable provisions of law.

 23. Term of Plan. The Plan shall become effective upon the earlier to occur
of its adoption by the Board of Directors or its approval by the shareholders of
the Company as described in paragraph 21. It shall continue in effect for a term
of twenty (20) years unless sooner terminated under paragraph 19.

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                                    EXHIBIT A

                               TRIMBLE NAVIGATION

                          EMPLOYEE STOCK PURCHASE PLAN
                             SUBSCRIPTION AGREEMENT

   _____ Original Application                Enrollment Date: ___________
   _____ Change in Payroll Deduction Rate
   _____ Change of Beneficiary(ies)

1. _____________________________ hereby  elects to  participate  in the Trimble
Navigation  Employee  Stock Purchase Plan (the "Stock  Purchase  Plan") and
subscribes to purchase shares of the Company's  Common Stock in accordance with
this  Subscription  Agreement and the Stock Purchase Plan.

2. I hereby  authorize  payroll  deductions  from each paycheck in the amount of
____% of my  Compensation on each payday (not to exceed 10%) during the Offering
Period in accordance with the Stock Purchase Plan.

  ________ Include bonuses as part of Compensation subject to payroll deduction.

  ________ Exclude bonuses from Compensation subject to payroll deduction.

3. I  understand  that said  payroll  deductions  shall be  accumulated  for the
purchase of shares of Common Stock at the applicable  purchase price  determined
in  accordance  with the Stock  Purchase  Plan.  I  understand  that if I do not
withdraw from an Offering  Period,  any accumulated  payroll  deductions will be
used to automatically exercise my option.

4. I have received a copy of the complete  "Trimble  Navigation  Employee  Stock
Purchase Plan." I understand that my participation in the Stock Purchase Plan is
in all respects subject to the terms of the Plan. I understand that the grant of
the  option by the  Company  under  this  Subscription  Agreement  is subject to
obtaining shareholder approval of the Stock Purchase Plan.

5. Shares purchased for me under the Stock Purchase Plan should be issued in the
name(s) of:___________________________________________________________________

6. I understand  that if I dispose of any shares  received by me pursuant to the
Plan within 2 years  after the  Enrollment  Date (the first day of the  Offering
Period  during  which I purchased  such  shares),  I will be treated for federal
income  tax  purposes  as having  received  ordinary  income at the time of such
disposition  in an amount  equal to the excess of the fair  market  value of the
shares at the time such shares were  delivered to me over the price which I paid
for the shares.  I hereby agree to notify the Company in writing  within 30 days
after the date of any such disposition.  However, if I dispose of such shares at
any time after the expiration of the 2-year holding period,  I understand that I
will be treated for federal income tax purposes as having  received  income only
at the time of such disposition,  and that such income will be taxed as ordinary
income only to the extent of an amount  equal to the lesser of (1) the excess of
the fair  market  value of the shares at the time of such  disposition  over the
purchase  price which I paid for the shares under the option,  or (2) the excess
of the fair market value of the shares over the option price, measured as if the
option had been exercised on the Enrollment  Date. The remainder of the gain, if
any, recognized on such disposition will be taxed as capital gain.

7. I hereby  agree to be bound by the  terms of the  Stock  Purchase  Plan.  The
effectiveness of this Subscription Agreement is dependent upon my eligibility to
participate in the Stock Purchase Plan.

                                       25
<PAGE>

8. In the event of my death, I hereby  designate the following as my
beneficiary(ies)  to receive all payments and shares due me under the Stock
Purchase Plan:

    NAME:  (Please print)______________________________________________________
                         (First)         (Middle)               (Last)

    ________________________________  _________________________________________
    Relationship
                                      _________________________________________
                                      (Address)

    NAME:  (Please print)______________________________________________________
                         (First)         (Middle)               (Last)

    ________________________________  _________________________________________
    Relationship
                                      _________________________________________
                                      (Address)

    Employee's Social
    Security Number:                  _________________________________________

    Employee's Address:               _________________________________________

                                      _________________________________________

                                      _________________________________________

     I  UNDERSTAND  THAT  THIS  SUBSCRIPTION  AGREEMENT  SHALL  REMAIN IN EFFECT
THROUGHOUT SUCCESSIVE OFFERING PERIODS UNLESS TERMINATED BY ME.

Dated: __________________________________   ___________________________________
                                            Signature of Employee

                                       26
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                                    EXHIBIT B

                               TRIMBLE NAVIGATION
                          EMPLOYEE STOCK PURCHASE PLAN
                              NOTICE OF WITHDRAWAL

     The  undersigned   participant  in  the  Offering  Period  of  the  Trimble
Navigation Employee Stock Purchase Plan which began on ____________, 19____ (the
"Enrollment  Date") hereby notifies the Company that he or she hereby  withdraws
from the  Offering  Period.  He or she hereby  directs the Company to pay to the
undersigned as promptly as possible all the payroll  deductions  credited to his
or her account with respect to such Offering Period. The undersigned understands
and agrees that his or her option for such Offering Period will be automatically
terminated.   The  undersigned  understands  further  that  no  further  payroll
deductions  will be made for the  purchase  of  shares in the  current  Offering
Period and the  undersigned  shall be  eligible  to  participate  in  succeeding
Offering Periods only by delivering to the Company a new Subscription Agreement.

                                    Name and Address of Participant

                                    ___________________________________________
                                    ___________________________________________
                                    ___________________________________________

                                    Signature

                                    ___________________________________________

                                    Date:______________________________________

                                       27
<PAGE>

                                    EXHIBIT C

                               TRIMBLE NAVIGATION
                          EMPLOYEE STOCK PURCHASE PLAN
                       NOTICE TO RESUME PAYROLL DEDUCTIONS

     The  undersigned   participant  in  the  Offering  Period  of  the  Trimble
Navigation  Employee  Stock Purchase Plan which began on  ______________,  19___
hereby notifies the Company to resume payroll  deductions for his or her account
at the  beginning of the next Exercise  Period  within such  Offering  Period in
accordance  with  the  terms  of  the  Subscription  Agreement  executed  by the
undersigned at the beginning of the Offering Period. The undersigned understands
that he or she may change the payroll deduction rate or the beneficiaries  named
in such Subscription Agreement by submitting a revised Subscription Agreement.

                                    Name and Address of Participant

                                    ___________________________________________
                                    ___________________________________________
                                    ___________________________________________

                                    Signature

                                    ___________________________________________

                                    Date:______________________________________

                                       28
<PAGE>

                                    EXHIBIT D

                               TRIMBLE NAVIGATION
                          EMPLOYEE STOCK PURCHASE PLAN
                         ELECTION/REVOCATION OF ELECTION
                          DELAY ISSUANCE OF CERTIFICATE

The  undersigned  participant  in the 1988  Trimble  Navigation  Employee  Stock
Purchase  Plan (the  "Stock  Purchase  Plan"),  hereby  elects to allow  Trimble
Navigation  (the  "Company")  or its agent to delay  issuance  of a  certificate
representing  shares  purchased under the Plan in accordance with the provisions
of the Stock  Purchase  Plan.  This election  shall continue in effect until the
termination  of the  undersigned's  Continuous  Status as an  Employee  or until
revoked  pursuant to such Stock Purchase Plan. This election shall not otherwise
affect the participant's rights as a shareholder of the Company.

                                      -OR-

_____________________________  hereby revokes his or her prior election to allow
the  Company to delay  issuance  of a  certificate  pursuant to the terms of the
Stock  Purchase  Plan.  The Company shall deliver to  participant as promptly as
practicable a certificate representing all shares purchased thereby.

                                    Name and Address of Participant

                                    ___________________________________________
                                    ___________________________________________
                                    ___________________________________________

                                    Signature

                                    ___________________________________________

                                    Date:______________________________________

                                       29
<PAGE><PAGE>

                                                           Executed in 6 Parts
                                                         Counterpart No. (   )

                              NATIONAL EQUITY TRUST

                      FORBES COMM TECH INDEX TRUST SERIES 2

                            REFERENCE TRUST AGREEMENT

            This Reference Trust Agreement dated May 31, 2000 among Prudential
Securities Incorporated, as Depositor and The Bank of New York, as Trustee, sets
forth certain provisions in full and incorporates other provisions by reference
to the document entitled "National Equity Trust, Trust Indenture and Agreement"
(the "Basic Agreement") dated February 2, 2000. Such provisions as are set forth
in full herein and such provisions as are incorporated by reference constitute a
single instrument (the "Indenture").

                                WITNESSETH THAT:

            In consideration of the premises and of the mutual agreements herein
contained, the Depositor and the Trustee agree as follows:

                                     Part I.

                     STANDARD TERMS AND CONDITIONS OF TRUST

            Subject to the provisions of Part II hereof, all the provisions
contained in the Basic Agreement are herein incorporated by reference in their
entirety and shall be deemed to be a part of this instrument as fully and to the
same extent as though said provisions had been set forth in full in this
instrument.

            A. Article III, entitled "Administration of Trust," shall be
amended as follows:

            (i)   Section 3.14 Deferred Sales Charge shall be amended to add the
                  following sentences at the end thereof:

<PAGE>

                                      -2-

                  "References to Deferred Sales Charge in this Trust Indenture
                  and Agreement shall include any Creation and Development Fee
                  indicated in the prospectus for a Trust. The Creation and
                  Development Fee shall be payable on each date so designated
                  and in an amount determined as specified in the prospectus for
                  a Trust."

                                    Part II.

                      SPECIAL TERMS AND CONDITIONS OF TRUST

            The following special terms and conditions are hereby agreed to:

            A.    The Trust is denominated National Equity Trust, Forbes
      Comm Tech Index Trust Series 2.

            B.    The Units of the Trust shall be subject to a deferred
      sales charge.

            C. The publicly traded stocks listed in Schedule A hereto are those
      which, subject to the terms of this Indenture, have been or are to be
      deposited in Trust under this Indenture as of the date hereof.

            D.    The term "Depositor" shall mean Prudential Securities
      Incorporated.

            E.    The aggregate number of Units referred to in Sections 2.03
      and 9.01 of the Basic Agreement is 125,000 as of the date hereof.

            F.    A Unit of the Trust is hereby declared initially equal to
      1/125,000th of the Trust.

            G.    The term "First Settlement Date" shall mean June 6, 2000.

            H.    The terms "Computation Day" and "Record Date" shall be on
      such dates as the Sponsor shall direct.

            I.    The term "Distribution Date" shall be on such dates as the
      Sponsor shall direct.

            J.    The term "Termination Date" shall mean July 11, 2001.

<PAGE>

                                      -3-

            K.    The Trustee's Annual Fee shall be $.90 (per 1,000 Units) for
      49,999,999 and below units outstanding $.84 (per 1,000 Units) on the next
      50,000,000 Units, $.78 (per 1,000 Units) on the next 100,000,000 Units,
      and $.66 (per 1,000 Units) on Units in excess of 200,000,000 Units. In
      calculating the Trustee's annual fee, the fee applicable to the number of
      units outstanding shall apply to all units outstanding.

            L.    The Depositor's Portfolio supervisory service fee shall be
      $.25 per 1,000 Units.

               [Signatures and acknowledgments on separate pages]

<PAGE>

                                      -4-

            The Schedule of Portfolio Securities in Part A of the prospectus
            included in this Registration Statement for National Equity Trust,
            Forbes Comm Tech Index Trust Series 2 is hereby incorporated by
            reference herein as Schedule A hereto.

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