Document:

exv10w16

Exhibit 10.16

SEVERANCE PROTECTION AGREEMENT

     This Severance Protection Agreement (the “Agreement”) is made and entered into by and between
Alison Alfers (the “Employee”) and DigitalGlobe, Inc., a Delaware corporation (the “Company”),
effective as of June 1, 2008.

R E C I T A L S

     A. Employee is a member of the Company’s executive and management team.

     B. The Company’s Board of Directors (the “Board”) believes that it is in the best interests of
the Company and its stockholders to provide Employee with a severance benefit in the event
Employee’s employment is terminated without Cause (as defined below) or Employee resigns his or her
employment for Good Reason (as defined below) in order to avoid distraction of Employee due to
uncertainty about his or her future role with the Company.

     C. The Company wishes to provide Employee with certain protections with respect to Employee’s
stock option awards in the event the event Employee’s employment is terminated without Cause (as
defined below) or Employee resigns his or her employment for Good Reason (as defined below)

     D. To accomplish the foregoing objectives, the Board has directed the Company, upon execution
of this Agreement by Employee, to agree to the terms provided in this Agreement.

     E. Certain capitalized terms used in the Agreement are defined in Section 5 below.

     In consideration of the mutual covenants herein contained, and in consideration of the
continuing employment of Employee by the Company, and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

          1.  At-Will Employment; Term of Agreement. The Company and Employee acknowledge that Employee’s
employment is and shall continue to be at-will, as defined under applicable law. Nothing in this
Agreement shall confer upon Employee any right to continued employment with the Company or any
successor to the Company. If Employee’s employment terminates for any reason, Employee shall not
be entitled to any payments or benefits other than as provided by this Agreement, or as may
otherwise be available in accordance with the terms of Employee’s other employment-related
agreements with the Company and/or the Company’s established employee plans and written policies at
the time of termination (collectively, the “Other Severance-Related Agreements”). The terms of
this Agreement shall terminate upon the earliest of (i) the date on which Employee ceases to be
employed by the Company other than because of an involuntary termination without Cause or
Resignation for Good Reason, (ii) the date that all obligations of the parties hereunder have been
satisfied, (iii) two (2) years following the closing of any Change in Control if a Change in
Control has closed on or prior to the third anniversary of the date of this Agreement, or (iv) the
third anniversary of the date of this

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Agreement if no Change in Control has closed as of such third anniversary. A termination of the
terms of this Agreement pursuant to the preceding sentence shall be effective for all purposes,
except that such termination shall not affect the payment or provision of compensation or benefits
on account of a termination of employment occurring prior to the termination of the term of this
Agreement.

          2. Severance.

               2.1 Involuntary Termination Benefit — Termination Prior to a Change in Control. Upon
Employee’s involuntary termination of employment by the Company (other than a termination for Cause
or due to death or Disability) or Employee’s termination of employment with the Company for Good
Reason prior to a Change in Control, Employee shall be entitled to a lump sum payment in an amount
equal to one (1) times the sum of (i) Employee’s annual base salary as of the date of such
termination, plus (ii) Employee’s Bonus Amount.

               2.2 Involuntary Termination Benefit — Termination Upon or Following a Change in Control. Upon
Employee’s involuntary termination of employment by the Company (other than a termination for Cause
or due to death or Disability) or Employee’s termination of employment with the Company for Good
Reason upon or following a Change in Control, Employee shall be entitled to a lump sum payment in
an amount equal to one and one-half (1.5) times the sum of (i) Employee’s annual base salary as of
the date of such termination, plus (ii) Employee’s Bonus Amount.

               2.3 Welfare Benefits. In the event Employee is entitled to benefits pursuant to Section 2.1 or
2.2 above, the Company shall continue to provide all welfare benefits provided to Employee
immediately before such termination (including, without limitation, health and life insurance, but
excluding disability insurance) for a period following Employee’s termination of employment equal
to the period with respect to which Employee’s Base Salary is paid as severance, at the Company’s
sole cost; provided, however, that to the extent Employee becomes re-employed and eligible for
benefits with another employer prior to the expiration of such period, Employee will elect such
benefits and promptly notify the Company so that the Company will have no further obligation to
provide benefits under this Section 2.3 unless, and then only to the extent that, the benefits that
are being provided by the Company are more favorable than such benefits provided by the other
company.

               2.4 Treatment of Equity Awards Upon a Change in Control. Upon the occurrence of a Change in
Control, all of Employee’s equity awards in the Company (including, without limitation, any stock
options, restricted stock units, and restricted stock awards) shall vest and, to the extent
applicable, shall (i) become exercisable and (ii) remain outstanding for the period specified in
the applicable award agreement.

               2.5 Accrued Obligations. In all events, promptly following Employee’s termination of
employment for any reason, the Company shall pay to Employee (or, as applicable, Employee’s
estate): (a) any unpaid portion of Employee’s accrued base salary and accrued Paid Time Off; (b)
any amounts payable to Employee pursuant to the terms of any pension or welfare benefit plan, and
(c) any expense reimbursements payable pursuant to the Company’s reimbursement policy.

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               3. Release of Claims. The payment and provision of any and all severance benefits pursuant to
this Agreement shall be conditioned upon and subject to execution of a Release of Claims by
Employee at the time of termination of employment in the form attached to this Agreement as Exhibit
A. All lump-sum payments due pursuant to this Agreement shall be payable at the time specified in
such Release of Claims. The payments described in Section 2.5 are not subject to Employee’s
execution of a Release of Claims.

               4. Termination for Cause; Voluntary Resignation Other Than for Good Reason; Death or
Disability. Upon Employee’s termination for Cause or Employee’s voluntary resignation other
than for Good Reason, or Employee’s termination of employment due to death or Disability, Employee
shall not be entitled to any severance payments or to any other benefit under the terms of this
Agreement.

               5. Definition of Terms. The following terms referred to in this Agreement shall have the
following meanings:

                    (a) Bonus Amount. “Bonus Amount” shall mean the average of actual annual bonuses payable to
Employee with respect to the two fiscal years immediately preceding the year which the Employee’s
employment terminates (or, if Employee was an employee for less than two full fiscal years
preceding such termination, Employee’s actual annual bonus for the fiscal year preceding the year
of termination); provided, however, in the event Section 2.2 applies, the Bonus Amount shall be the
Employee’s target bonus for the year in which the Change in Control occurs.

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

               (i) Any person (other than persons who are employees of the Company at any time more than one
year before a transaction) becomes the beneficial owner, directly or indirectly, of securities of
the Company representing 50% or more of the combined voting power of the Company’s then outstanding
securities. In applying the preceding sentence, (A) securities acquired directly from the Company
or its affiliates by or for the person shall not be taken into account, and (B) an agreement to
vote securities shall be disregarded unless its ultimate purpose is to cause what would otherwise
be Change in Control, as reasonably determined by the Board;

               (ii) The Company consummates a merger, or consolidation of the Company with any other
corporation unless: (a) the voting securities of the Company outstanding immediately before the
merger or consolidation would continue to represent (either by remaining outstanding or by being
converted into voting securities of the surviving entity) at least 50% of the combined voting power
of the voting securities of the Company or such surviving entity outstanding immediately after such
merger or consolidation; and (b) no person (other than persons who are employees at any time more
than one year before a transaction) becomes the beneficial owner, directly or indirectly, of
securities of the Company representing 50% or more of the combined voting power of the Company’s
then outstanding securities;

               (iii) The stockholders of the Company approve an agreement for the sale or disposition by the
Company of all, or substantially all, of the Company’s assets; or

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               (iv) The stockholders of the Company approve a plan or proposal for liquidation or dissolution
of the Company.

Notwithstanding the foregoing, a Change in Control shall not be deemed to have occurred by virtue
of the consummation of any transaction or series of integrated transactions immediately following
which the record holders of the common stock of the Company immediately prior to such transaction
or series of transactions continue to have substantially the same proportionate ownership in an
entity which owns all or substantially all of the assets of the Company immediately following such
transaction or series of transactions.

                    (c) Cause. “Cause” shall mean:

                         (i) conviction of a felony or a crime involving fraud or moral turpitude; or

                         (ii) theft, material act of dishonesty or fraud, intentional falsification of any employment
or Company records, or commission of any criminal act which impairs Employee’s ability to perform
appropriate employment duties for the Company; or

                         (iii) intentional or reckless conduct or gross negligence materially hannful to the Company or
the successor to the Company after a Corporation Transaction, including violation of a
non-competition or confidentiality agreement; or

                         (iv) willful failure to follow lawful instructions of the person or body to which Employee
reports; or

                         (v) gross negligence or willful misconduct in the performance of Employee’s assigned duties.
Cause shall not include mere unsatisfactory performance in the achievement of Employee’s
job objectives.

                    (d) Disability. “Disability” means a physical or mental illness, injury, or condition that
prevents Employee from performing substantially all of Employee’s duties associated with Employee’s
position or title with the Company for at least 90 days in a 12-month period.

                    (e) Resignation for Good Reason. Resignation for “Good Reason” shall mean Employee’s voluntary
termination, upon 30 days prior written notice to the Company, following:

                         (i) a material reduction or change in Employee’s job duties, responsibilities and requirements
inconsistent with Employee’s position with the Company and Employee’s prior duties,
responsibilities and requirements;

                         (ii) any reduction of Employee’s base compensation; or

                         (iii) Employee’s refusal to relocate to a facility or location more than thirty (30) miles
from the Company’s current location.

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          6. Golden Parachute Provisions. If Employee becomes entitled to the payments, benefits and
equity acceleration described in Sections 2.1 through 2.4 and such payments and benefits, together
with any other payments or transfers of property (collectively the “Severance Payments”),
constitute “parachute” payments under Section 280G of the Internal Revenue Code of 1986, as amended
(the “Code”), then the Company shall pay an additional amount (the “Gross-Up Payment”) to Employee.
The Gross-Up Payment shall be equal to the amount necessary so that the net amount retained by
Employee, after subtracting the parachute excise tax imposed by Section 4999 of the Code, as
amended, or any successor statute then in effect (the “Excise Tax”), and after also subtracting all
federal, state or local income tax, FICA tax and Excise Tax on the Gross-Up Payment, shall be equal
to the net amount Employee would have retained if no Excise Tax has been imposed and no Gross-Up
Payment had been paid. The amount of the Gross-Up Payment shall be determined in good faith by
nationally recognized registered public accountants or tax counsel selected by the Company, who
shall apply the following assumptions: (i) Employee shall be treated as paying federal income taxes
at the highest marginal rate in the calendar year in which the Gross-Up Payment is made, and (ii)
Employee shall be treated as paying state and local income taxes at the highest marginal rate(s) in
the calendar year in which the Gross-Up Payment is made in the locality of Employee’s residence as
of the effective date of Employee’s termination or resignation, net of the maximum reduction in
federal income taxes that could be obtained from deducting those state and local taxes. The
Gross-Up Payment shall be made within five business days after the effective date of Employee’s
termination or resignation, provided that if the Gross-Up Payment cannot be determined within that
time, the Company shall pay Employee within that time an estimate, determined in good faith by the
Company, of the minimum amount of the Gross-Up Payment and shall pay the remainder (plus interest
at the rate provided in Section 1274(b)(2)(B) of the Code) as soon as the amount can be determined
but in no event later than the 30th day after the effective date of Employee’s
termination or resignation. If the estimated payment is more than the amount later determined to
have been due, the excess (plus interest at the rate provided in Section 1274(b)(2)(B) of the Code)
shall be repaid by Employee within five business days after written demand. In all events, any
Gross-Up Payment made pursuant to this Section 6 shall be paid to Employee no later than the end of
the calendar year following the year in which the related taxes are remitted to the applicable
taxing authority. If the actual Excise Tax imposed is less than the amount that was taken into
account in determining the amount of the Gross-Up Payment, Employee shall repay at the time that
the amount of the reduced Excise Tax is finally determined the portion of the Gross-Up Payment
attributable to that reduction (plus the portion of the Gross-Up Payment attributable to the Excise
Tax, FICA tax and federal, state and local income tax imposed on the portion of the Gross-Up
Payment being repaid by Employee, to the extent the repayment results in a reduction in or refund
of Excise Tax, FICA tax or federal, state or local income tax), plus interest on the amount of the
repayment at the rate provided in Section 1274(b)(2)(B) of the Code. If the actual Excise Tax
imposed is more than the amount that was taken into account in determining the amount of the
Gross-Up Payment, the Company shall make an additional Gross-Up Payment in respect of such excess
(plus interest at the rate provided in Section 1274(b)(2)(B) of the Code) at the time that the
amount of the excess is finally determined.

          7. Successors. Any successor to the Company (whether direct or indirect and whether by
purchase, lease, merger, consolidation, liquidation or otherwise) to all or substantially all of
the Company’s business and/or assets shall assume the obligations under this

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Agreement and agree expressly to perform the obligations under this Agreement in the same manner
and to the same extent as the Company would be required to perform such obligations in the absence
of a succession. The terms of this Agreement and all of Employee’s rights hereunder shall inure to
the benefit of, and be enforceable by, Employee’s personal or legal representatives, executors,
administrators, successors, heirs, distributees, devisees and legatees.

          8. Notice. Notices and all other communications contemplated by this Agreement shall be in
writing and shall be deemed to have been duly given when personally delivered or when mailed by
U.S. registered or certified mail, return receipt requested and postage prepaid. Mailed notices to
Employee shall be addressed to Employee at the home address which Employee most recently
communicated to the Company in writing. In the case of the Company, mailed notices shall be
addressed to its corporate headquarters, and all notices shall be directed to the attention of its
General Counsel.

          9. Proprietary Information, Invention and Non-Competition Agreement. Employee acknowledges
and agrees that the provision of benefits hereunder by the Company is subject to Employee’s
compliance with the Company’s Proprietary Information, Invention and Non-Competition Agreement
attached hereto as Exhibit B, and that no benefits shall be provided hereunder in the event
Employee violates such Agreement.

          10. Miscellaneous Provisions.

               (a) No Duty to Mitigate. Employee shall not be required to mitigate the amount of any benefit
contemplated by this Agreement (whether by seeking new employment or in any other manner), nor,
except as otherwise provided in this Agreement (including without limitation, Section 2.3), shall
any such benefit be reduced by any earnings or benefits that Employee may receive from any other
source.

               (b) Waiver. No provision of this Agreement shall be modified, waived or discharged unless the
modification, waiver or discharge is agreed to in writing and signed by Employee and by an
authorized officer of the Company (other than Employee). No waiver by either party of any breach
of, or of compliance with, any condition or provision of this Agreement by the other party shall be
considered a waiver of any other condition or provision or of the same condition or provision at
another time.

               (c) Entire Agreement. This Agreement constitutes the entire understanding between the parties
with respect to Employee’s severance pay, benefits and privileges in the event of a termination of
Employee’s employment with the Company, superseding all negotiations, prior discussions and
agreements, written or oral, concerning said severance arrangements, other than the Other
Severance-Related Arrangements. For the avoidance of doubt, Employee’s Severance Agreement dated
December 13, 2007 is superseded by this Agreement and no benefits shall be provided thereunder.

               (d) Non-Duplication of Benefits. Any compensation or benefits payable under the terms of this
Agreement will be offset and not augmented by other compensation or benefits of the same or similar
type payable under any Other Severance-Related Arrangement. It is intended that this Agreement not
duplicate benefits Employee is entitled to

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under the Company’s regular severance policy, any related policies, or any other contracts,
agreements or arrangements between Employee and the Company. Notwithstanding the foregoing, for
the avoidance of doubt, the benefits payable hereunder shall not be affected by any amounts payable
to Employee pursuant to the DigitalGlobe, Inc. Sale Bonus Plan.

               (e) Choice of Law. The validity, interpretation, construction and performance of this
Agreement shall be governed by the laws of the State of Colorado without reference to conflict of
laws provisions.

               (f) Severability. If any term or provision of this Agreement or the application thereof to any
circumstance shall, in any jurisdiction and to any extent, be invalid or unenforceable, such term
or provision shall be ineffective as to such jurisdiction to the extent of such invalidity or
unenforceability without invalidating or rendering unenforceable the remaining terms and provisions
of this Agreement or the application of such terms and provisions to circumstances other than those
as to which it is held invalid or unenforceable, and a suitable and equitable term or provision
shall be substituted therefor to carry out, insofar as may be valid and enforceable, the intent and
purpose of the invalid or unenforceable term or provision.

               (g) Jurisdiction, Venue and Waiver of Jury Trial. EMPLOYEE AND THE COMPANY AGREE THAT ANY
ACTION, SUIT OR PROCEEDING IN RESPECT OF OR ARISING OUT OF THIS AGREEMENT, ITS VALIDITY OR
PERFORMANCE, AT THE SOLE OPTION OF EMPLOYEE AND THE COMPANY, THEIR SUCCESSORS AND ASSIGNS, SHALL BE
INITIATED AND PROSECUTED AS TO ALL PARTIES AND THEIR HEIRS, SUCCESSORS AND ASSIGNS IN DENVER,
COLORADO. EMPLOYEE AND THE COMPANY EACH CONSENTS TO AND SUBMITS TO THE EXERCISE OF JURISDICTION
OVER HIS/HER OR ITS PERSON BY ANY COURT SITUATED IN DENVER, COLORADO, HAVING JURISDICTION OVER THE
SUBJECT MATTER, WAIVES PERSONAL SERVICE OF ANY AND ALL PROCESS UPON IT AND CONSENTS THAT ALL SUCH
SERVICE OF PROCESS MAY BE MADE BY REGISTERED MAIL DIRECTED TO EMPLOYEE AND THE COMPANY AT THEIR
ADDRESSES SET FORTH ABOVE AND SERVICE SO MADE SHALL BE DEEMED TO BE COMPLETED FIVE (5) BUSINESS
DAYS AFTER SUCH PROCESS SHALL HAVE BEEN DEPOSITED IN THE U.S. MAIL, POSTAGE PREPAID. EACH PARTY
WAIVES TRIAL BY JURY, ANY OBJECTION BASED ON FORUM NON CONVENIENS, AND ANY OBJECTION TO
VENUE OF ANY ACTION INSTITUTED HEREUNDER, AND CONSENTS TO THE GRANTING OF SUCH LEGAL OR EQUITABLE
RELIEF AS IS DEEMED APPROPRIATE BY THE COURT.

               (h) Legal Fees and Expenses. The parties shall bear their own expenses, legal fees and other
fees incurred in connection with this Agreement.

               (i) No Assignment of Benefits. The rights of any person to payments or benefits under this
Agreement shall not be made subject to option or assignment, either by voluntary or involuntary
assignment or by operation of law, including (without limitation) bankruptcy, garnishment,
attachment or other creditor’s process, and any action in violation of this subsection (i) shall be
void.

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               (j) Employment Taxes. Any payments made pursuant to this Agreement will be subject to
withholding of applicable income and employment taxes.

               (k) Assignment by Company. The Company may assign its rights under this Agreement to an
affiliate, and an affiliate may assign its rights under this Agreement to another affiliate of the
Company or to the Company; provided, however, that no assignment shall be made if the net worth of
the assignee is less than the net worth of the Company at the time of assignment. In the case of
any such assignment, the term “Company” when used in a section of this Agreement shall mean the
corporation that actually employs Employee.

               (l) Counterparts. This Agreement may be executed in counterparts, each of which shall be
deemed an original, but all of which together will constitute one and the same instrument.

               (m) Section 409A. Notwithstanding any provision of this Agreement to the contrary, if, at the
time of Employee’s termination of employment with the Company, he or she is a “specified employee”
as defined in Section 409A of the Code, and one or more of the payments or benefits received or to
be received by Employee pursuant to this Agreement would constitute deferred compensation subject
to Section 409A, no such payment or benefit will be provided under this Agreement until the earlier
of (a) the date that is six (6) months following Employee’s termination of employment with the
Company, or (b) the Employee’s death. The provisions of this Section 10(m) shall only apply to the
extent required to avoid Employee’s incurrence of any penalty tax or interest under Section 409A of
the Code or any regulations or Treasury guidance promulgated thereunder. In addition, if any
provision of this Agreement would cause Employee to incur any penalty tax or interest under Section
409A of the Code or any regulations or Treasury guidance promulgated thereunder, the Company may
reform such provision to maintain to the maximum extent practicable the original intent of the
applicable provision without violating the provisions of Section 409A of the Code.

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     IN WITNESS WHEREOF, each of the parties has executed this Agreement, in the case of the
Company by its duly authorized officer, as of the day and year first above written.

	 	 	 	 	 
	DIGITALGLOBE, INC.	 	ALISON ALFERS
	 
	 	 	 	 
	By:

	 	/s/ Yancey Spruill
	 	/s/ Alison Alfers
	 

	 	 
	 	 
	 

	 	 	 	Employee Signature
	Title:

	 	V.P. & Chief Financial Officer	 	 
	 

	 	 	 	 

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Exhibit A

RELEASE OF CLAIMS

     This Release of Claims is entered into by and between DigitalGlobe, Inc., a Colorado
corporation (the “Company”), and Alison Alfers (“Employee”). It is entered into pursuant to the
terms of a Severance Protection Agreement (the “Agreement”) between Employee and Company dated 
, 2008 and in order to resolve amicably all matters between Employee and the Company
concerning the Agreement and Employee’s termination of employment with the Company and benefits
payable to Employee under the terms of the Agreement.

     1. Termination of Employment. Employee’s employment with the Company has been
terminated as a result of a Change in Control, an Involuntary Termination Without Cause or a
Voluntary Resignation for Good Reason, as defined in the Agreement, by which Employee became
eligible for benefits upon termination of employment.

     2. Severance Pay. On the eighth day following the execution of this Agreement by
Employee (or on the next business day, if the eighth day is a weekend day or a holiday), the
Company agrees to pay to Employee as a payment of all monetary amounts due to Employee under the
terms of the Agreement the lump sum of $      , less customary employee withholdings.
Employee is also eligible for certain other continuation of benefits under the terms of the
Agreement. Employee acknowledges that Employee has no entitlement to said benefits except
according to the terms of the Agreement, which includes a requirement that Employee execute this
Release of Claims. For the avoidance of doubt, any amounts payable to Employee pursuant to the
DigitalGlobe, Inc. Sale Bonus Plan are not released hereby.

     3. Sole Entitlement. Employee acknowledges and agrees that no other monies or
benefits are owing to Employee except as set forth in the Agreement.

     4. Return of Property and Documents. Employee states that Employee has returned to
the Company all property and documents of the Company which were in Employee’s possession or
control, including without limitation access cards, Company-provided credit cards, computer
equipment and software.

     5. Confidentiality, Nondisparagement, Noncompetition, and Nonsolicitation Agreement.
Employee agrees to abide by the terms of any confidentiality, nondisparagement, nonsolicitation,
and non-competition agreement(s) that Employee previously executed in connection with his or her
employment with the Company. Employee agrees not to make any communications or engage in any
conduct that is or can reasonably be construed to be disparaging of the Company, its officers,
directors, employees, agents, stockholders, products or services. The Company agrees not to make
any communications or engage in any conduct that is or can reasonably be construed to be
disparaging of Employee. For a period of two (2) years following Employee’s termination of
employment with the Company, Employee agrees not to solicit, directly or indirectly, any employees
of the Company, for employment with any other employer.

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     6. Release. Employee (for him/herself, his/her agents, heirs, successors, assigns,
executors and/or administrators) does hereby and forever release and discharge the Company and its
past and present parent, subsidiary and affiliated corporations, divisions or other related
entities, as well as the successors, shareholders, officers, directors, heirs, predecessors,
assigns, agents, employees, attorneys and representatives of each of them, past or present
(hereinafter the “Releasees”) from any and all causes of action, actions, judgments, liens, debts,
contracts, indebtedness, damages, losses, claims, liabilities, rights, interests and demands of
whatsoever kind or character, known or unknown, suspected to exist or not suspected to exist,
anticipated or not anticipated, whether or not heretofore brought before any state or federal court
or before any state or federal agency or other governmental entity, which Employee has or may have
against any released person or entity by reason of any and all acts, omissions, events or facts
occurring or existing prior to the date hereof, including, without limitation, all claims
attributable to the employment of Employee, all claims attributable to the termination of that
employment, and all claims arising under any federal, state or other governmental statute,
regulation or ordinance or common law, such as, for example and without limitation, Title VII of
the Civil Rights Act of 1964, as amended, the Civil Rights Act of 1991, the Age Discrimination in
Employment Act which prohibits discrimination on the basis of age over 40, and wrongful termination
claims, excepting only those obligations expressly recited to be performed hereunder.

     In light of the intention of Employee (for him/herself, his/her agents, heirs, successors,
assigns, executors and/or administrators) that this release extend to any and all claims of
whatsoever kind or character, known or unknown, Employee expressly waives any and all rights
granted by California Civil Code Section 1542 or any other analogous federal or state law or
regulation. Section 1542 reads as follows:

A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR
SUSPECT TO EXIST IN HIS FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN
BY HIM MUST HAVE MATERIALLY AFFECTED HIS SETTLEMENT WITH THE DEBTOR.

     Notwithstanding the foregoing, nothing in this Agreement shall be construed to prevent
Employee from filing a charge with, or participating in any proceeding or investigation by, the
Equal Employment Opportunity Commission or affiliated state agency. However, Employee acknowledges
that, in accordance with this Release, he or she has no right to recover any monies on behalf of
him/herself, his/her agents, heirs, successors, assigns, executors and/or administrators in
connection with, or as a result of, such charge, investigation, or proceeding.

     7. No Actions Pending. Employee agrees that he/she has not filed, nor will he/she
file in the future, any claims, actions or lawsuits against any of the Releasees relating to
Employee’s employment with the Company, or the termination thereof.

     8. No Admissions. Nothing contained herein shall be construed as an admission of
wrongdoing or liability by any party hereto.

     9. Entire Agreement; Miscellaneous. This Agreement constitutes a single integrated
contract expressing the entire agreement of the parties with respect to the subject matter

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specifically addressed herein and supersedes all prior and contemporaneous oral and written
agreements and discussions with respect to the subject matter hereof. There are no other
agreements, written or oral, express or implied, between the parties hereto, concerning the subject
matter hereof, except as set forth herein. This Agreement may be amended or modified only by an
agreement in writing, and it shall be interpreted and enforced according to the laws of the State
of Colorado. Should any of the provisions of the Agreement be determined to be invalid by a court
of competent jurisdiction, it is agreed that this shall not affect the enforceability of the other
provisions herein.

     10. Waiting Period and Right of Revocation. EMPLOYEE ACKNOWLEDGES THAT EMPLOYEE IS
AWARE AND IS HEREBY ADVISED THAT EMPLOYEE HAS THE RIGHT TO CONSIDER THIS AGREEMENT FOR TWENTY-ONE
DAYS BEFORE SIGNING IT, ALTHOUGH EMPLOYEE IS NOT REQUIRED TO WAIT THE ENTIRE TWENTY-ONE DAY PERIOD;
AND THAT IF EMPLOYEE SIGNS THIS AGREEMENT PRIOR TO THE EXPIRATION OF TWENTY-ONE DAYS, EMPLOYEE IS
WAIVING THIS RIGHT FREELY AND VOLUNTARILY. EMPLOYEE ALSO ACKNOWLEDGES THAT EMPLOYEE IS AWARE AND
IS HEREBY ADVISED OF EMPLOYEE’S RIGHT TO REVOKE THIS AGREEMENT FOR A PERIOD OF SEVEN DAYS FOLLOWING
THE SIGNING OF THIS AGREEMENT AND THAT IT SHALL NOT BECOME EFFECTIVE OR ENFORCEABLE UNTIL THE
REVOCATION PERIOD HAS EXPIRED. TO REVOKE THIS AGREEMENT, EMPLOYEE MUST NOTIFY THE COMPANY IN
WRITING WITHIN SEVEN DAYS OF SIGNING IT.

     11. Attorney Advice. EMPLOYEE ACKNOWLEDGES THAT EMPLOYEE IS AWARE OF EMPLOYEE’S RIGHT
TO CONSULT AN ATTORNEY, THAT EMPLOYEE HAS BEEN ADVISED TO CONSULT WITH AN ATTORNEY, AND THAT
EMPLOYEE HAS HAD THE OPPORTUNITY TO CONSULT WITH AN ATTORNEY, IF DESIRED, PRIOR TO SIGNING THIS
AGREEMENT.

     12. Understanding of Agreement. Employee states that Employee has carefully read this
Agreement, that Employee fully understands its final and binding effect, that the only promises
made to Employee to sign this Agreement are those stated above, and that Employee is signing this
Agreement voluntarily.

	 	 	 	 	 	 	 
	Dated:

	 	June 1, 2008	 	 	 	/s/ Alison Alfers
	 

	 	 
	 	 	 	 
	 

	 	 	 	 	 	Alison Alfers

	 	 	 	 	 	 	 	 	 
	Dated:	 	June 1, 2008	 	 	 	DIGITAL GLOBE, INC.
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	By:	 	/s/ Authorized Signatory
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Title:	 	 
	 

	 	 	 	 	 	 	 	 

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Exhibit B

Employee Proprietary Information, Invention

and Non-Competition Agreement

			
	Alison Alfers
	 	Longmont, CO

I acknowledge that, during my employment with DigitalGlobe Inc, (DigitalGlobe) I shall be in a
position of confidence and trust, and shall have access to various data, technical developments and
improvements, processes, tools, customer data and relationships, business plans, customer lists,
marketing programs, price lists, salary and human resource information and other trade secrets
and/or confidential information relating to the business of DigitalGlobe. I further recognize
that, in providing highly specialized services for a wide variety of customers within an
increasingly competitive global market, DigitalGlobe has a proprietary interest in all trade secret
and other confidential information that I may acquire during the course of my employment which, if
disclosed to competitors, would cause DigitalGlobe to suffer immediate and substantial injury. In
addition, I acknowledge that I am a member of DigitalGlobe’s executive and management staff. Thus,
I recognize that it is in DigitalGlobe’s legitimate business interest to restrict my use of such
trade secrets and confidential or proprietary information for any purpose other than the discharge
of my employment duties at DigitalGlobe, and accordingly enter into this Proprietary Information,
Invention and Non-Competition Agreement (herein “Agreement”).

Therefore, in consideration of my employment (it being understood that this Agreement does not
itself give me rights to employment or continued employment) by DigitalGlobe or by any of its
subsidiaries, including any business entity of DigitalGlobe or any of its subsidiaries (such
corporation, its successors and the subsidiaries of such corporation or of its successors being
hereinafter individually and collectively called ‘DigitalGlobe° or “the Company”), I agree as
follows:

	1.	 	I will not directly or indirectly during or after the term of my employment:

	 	(a)	 	transfer or allow to be transferred, any information that is classified for
purposes of national security, to any person, firm or organization not authorized to
receive it; or
	 
	 	(b)	 	transfer, or allow to be transferred, any of the Company’s proprietary data or
information, whether relating to products, equipment, inventions, ideas, designs,
processes, research, software, customers, personnel, or otherwise, and including,
without limitation, any of the Company’s manufacturing, technical or scientific
know-how, methodologies, customers’ data, marketing programs, suppliers, pricing or
bidding strategies, bids or proposals submitted or contemplated, customer contracts,
and salary and human resource information or practices, to any person, firm or
organization not authorized by the Company to receive it, or to use any of such
proprietary data or information other than for the sole benefit of the Company; or

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	 	(c)	 	transfer, or allow to be transferred, any drawing, sketch, layout, formula,
specification, report, written manufacturing, technical, or business information or the
like owned by the Company, or any copy thereof, to any person, firm or organization not
authorized by the Company to receive it; or
	 
	 	(d)	 	transfer, or allow to be transferred, any information that is not generally
known outside the Company or that is designated by the Company as “Confidential” or
“Restricted Confidential” or is similarly designated, to any person, firm or
organization not authorized by the Company to receive it, or to use any of such
designated information other than for the sole benefit of the Company; or
	 
	 	(e)	 	transfer, or allow to be transferred, any information not generally publicly
known that is designated by a third party as “limited”, “private”, “confidential”,
“proprietary” or is similarly designated, that the Company is contractually or
otherwise obligated to protect from unauthorized disclosure, to any person, firm or
organization not authorized by the Company to receive it, or use any such third party
information other than for the benefit of the Company for purposes authorized by the
Company; or
	 
	 	(f)	 	transfer, or allow to be transferred, any information pertaining to technology
that has been deemed to be “controlled technology” as defined by the United States
Department of Commerce, Bureau of Export Administration (BXA).

	2.	 	I will keep myself informed of the Company’s policies and procedures for safeguarding
Company-controlled property, including all proprietary data and information, and will strictly
comply therewith at all times. I will not, except when authorized by the Company, remove any
Company-controlled property from Company premises. I will return to the Company, immediately
upon termination of my employment or upon my transfer within the Company, all
Company-controlled property in my possession or control.
	 
	3.	 	I will grant and do hereby grant to the Company the sole and exclusive ownership of
(including the sole and exclusive right to reproduce, use or disclose for any purpose) any and
all reports, articles, books, recordings, audio-visual works, drawings, blueprints, data,
software, firmware, writings and technical information and copyrights in the foregoing made or
prepared by me alone or with others during the term of my employment, whether or not made or
prepared in the course of my employment, that relate to the Company’s business or to
apparatus, compositions of matter or methods pertaining to the Company’s business. I
acknowledge that all such materials are the property of the Company within the scope of
paragraph 1(b) and 1(c) above.
	 
	4.	 	I will advise the Company’s Legal Department in writing in detail of each invention, whether
or not patentable, made or conceived during the term of my employment by me alone, or with
others. I will assign, and do hereby assign, to the Company or to its nominee, all my right,
title and interest in each invention without further consideration. During or after the term
of my employment, I will execute, acknowledge and deliver such assignments, affidavits, and
other instruments prepared by the Company or its nominee, and do such other things as will
assist the Company, or its nominee to obtain patents on

5

 

	 	 	such invention in any and all countries, all without further consideration, other than
reimbursement of my expenses. I acknowledge that the expenses for which I might request
reimbursement from the Company be limited to mailing charges and notary fees and other such
expenses authorized in writing in advance by the Company, or its nominee.

	5.	 	There are excluded from the operation of paragraph 4:

	 	(a)	 	all patents issued in my name, alone or with others, prior to the date of my
first employment by the Company; and inventions for which no equipment, supplies,
facility or trade secret information of the Company was used and which were developed
entirely on my own time, and:

	 	(1)	 	do not relate directly to the business of the Company or to the
Company’s actual or demonstrably anticipated research or development
	 
	 	(2)	 	which do not result from any work performed by me for the
Company; and

	 	(b)	 	the inventions that are listed in the Appendix of this Agreement.

	6.	 	To the extent permitted by applicable state law, I agree that I shall not, during my
employment at DigitalGlobe and for a period of one (1) year after the termination of my
employment at DigitalGlobe, directly or indirectly:

	 	(a)	 	recruit, solicit, attempt to persuade, or assist in the recruitment or
solicitation of, any employee of the Company who was an employee, officer or agent of
the Company during the three month period immediately preceding the date of termination
of my employment, for the purpose of employing him or her or obtaining his or her
services or otherwise causing him or her to leave his or her employment with the
Company;
	 
	 	(b)	 	solicit or divert to any competing business any customer or prospective
customer to which I had contact during the eighteen (18) months prior to leaving
DigitalGlobe unless previously approved by DigitalGlobe in writing; or
	 
	 	(c)	 	become employed by or perform professional services of the type I provided
while employed by DigitalGlobe, for any competitor of DigitalGlobe in its direct
business lines, including, but not limited to, satellite and aerial imagery operations,
product distribution, mapping and other value added services, by directly or indirectly
taking any of the following actions:

	 	(1)	 	owning, managing, operating, joining, controlling or providing
services to any entity, regardless of entity form or location, that engages in
or is seeking to engage in the current or planned business activities of the
Company;
	 
	 	(2)	 	serving as an employee, agent, consultant, officer, or director
of any such entity; or

6

 

	 	(3)	 	inducing or attempting to induce any customer, supplier, or
business relation of the Company to cease doing business with the Company, or
in any other way interfering with the relationship between any customer,
supplier or business relation and the Company.

If, after termination of my employment with the Company, I violate the covenants contained in this
paragraph, then the duration of the covenant shall be extended from the date I resume compliance
with the covenant, reduced by the number of days following my termination that I was not in
violation of the covenant.

	7.	 	If the period of time or the area specified in Paragraph 6 should be adjudged unreasonable in
any proceeding, then the period of time shall be reduced by such numbers of months or the area
reduced by the elimination of such portion thereof or both so that such restrictions may be
enforced in such area and for such time as are adjudged to be reasonable.
	 
	8.	 	I acknowledge that the restrictions contained in this Agreement, in view of the global nature
of the Company’s business, are reasonable and necessary in order to protect the legitimate
interests of DigitalGlobe, and that any violation thereof would result in irreparable injuries
to DigitalGlobe. In the event of any violation of any of these restrictions, I acknowledge
that DigitalGlobe shall be entitled to obtain from any court of competent jurisdiction
preliminary and permanent injunctive relief as well as damages and an equitable accounting of
all earnings, profits, and other benefits arising from such violation, which rights shall be
cumulative and in addition to any other rights or remedies to which DigitalGlobe may be
entitled.
	 
	9.	 	This Agreement constitutes the entire Agreement between the parties in connection with the
subject matter hereof, supersedes any and all prior agreements or understandings between the
parties, and may only be changed by agreement in writing between the parties.
	 
	10.	 	This Agreement shall be governed by, and construed in accordance with, the law of the State
of Colorado without regard to its conflict of laws principles.
	 
	11.	 	This Agreement will be binding upon and inure to the benefit of the Company, its successors
and assigns. This Agreement may be assigned in whole or in part by the Company to a successor
to all or substantially all of the business or assets of the Company or the sub-portion of the
business or assets of the Company that relate to employee’s duties; or to any subdivision or
part of the company; or to any entity which is a subsidiary or affiliate of the Company. I
acknowledge that my obligations under this Agreement are binding upon my heirs, assigns and
legal representatives.

I HAVE READ AND I UNDERSTAND THIS AGREEMENT AND
ACKNOWLEDGE RECEIPT OF A COPY THEREOF:

	 	 	 	 	 	 	 
	/s/ Alison Alfers

	 	 
	 	6/1/08
	 	/s/ Authorized Signatory
	 	 	 	 	 
	Alison Alfers

	 	 	 	(Date)
	 	(Witness)

7

 

APPENDIX

			
	Alison Alfers
	 	Longmont, CO

List of unpatented inventions owned or controlled by me on the date of entering these services
including documents which disclose same. (A disclosure of the inventions themselves is not called
for; what is wanted is an identification of the source documents, such as patent applications, or
drawings, identified by number, title and/or date.) This information should appear on the back of
all two copies of this Agreement.

8exv10w20

Exhibit 10.20

DigitalGlobe, Inc.

2008 EXECUTIVE SUCCESS SHARING PLAN

PART I. PLAN DESCRIPTION

	A.	 	THE PLAN

1) Purpose and Objectives. This document sets forth the
DigitalGlobe, Inc. 2008 Executive Success
Sharing Plan (the “Plan”) for eligible, non-commissionable Vice Presidents, including
Senior Vice Presidents and Executive Vice Presidents (collectively “Vice
Presidents”). A key component of the business strategy of DigitalGlobe, Inc. (the
“Company”) is to provide incentives to attract and retain outstanding employees. The
Plan is designed to recognize overall company success, departmental and team
contributions, as well as to reward individual contributions.

2) Participant Eligibility. An employee shall be eligible to participate in
this Plan (and thus be a “Participant”) if the Company classifies the individual as
(i) having been employed with the Company on or before October 1, 2008 as a regular
permanent full-time non-commissionable Vice President; and as (ii) employed by the
Company on the bonus payment date and as not having given notice of intent to
terminate employment (any employee who terminates employment with the Company or
provides notice of intent to do so before bonus payments are made is not eligible to
receive a bonus).

     (a) Employees Hired Or Promoted During 2008 Plan Year. Employees who
are hired or promoted to a Plan-eligible position, between January 1, 2008 and
October 1, 2008 will be eligible for a prorated bonus for the duration of their
Plan participation during 2008. Employees hired to an otherwise Plan-eligible
position after October 1, 2008 are not eligible to participate in the Plan.
Employees promoted from one bonus eligible role to another between the beginning of
the plan year and October 1, 2008 will be eligible for a bonus comprised of the two
bonus targets prorated.

     (b) Change in Employment Status. In certain situations, employment
status may change mid-year from an otherwise eligible position to a non-eligible
position (such as a transition from full-time to part-time, change in employment
classification, leaves of absence, change to eligibility under another bonus plan,
or otherwise). Under these circumstances, the employee will be eligible for a
prorated bonus, prorated for the period of their Plan participation during 2008.

3) Participant Ineligibility. No employee shall be eligible to receive a
bonus under the Plan if (i) he or she is not employed in good standing by the Company
on the bonus payment date; (ii) he or she has competed with the Company’s business
during employment with the Company or made plans to do so; or (iii) he or she has
breached any agreement with the Company or any Company policy.

4) Plan Termination or Amendment. The Plan will be in effect from January 1,
2008 through December 31, 2008, or such earlier date as the Plan may be terminated in
the sole discretion of the Company. No additional notice of Plan termination is
necessary. The Company also reserves the right to implement a new incentive bonus
plan or renew this Plan for future periods. Any such action shall be approved by the
Compensation Committee of the Board of Directors of the
Company. The Company reserves the right to amend or discontinue this Plan at any
time. The Plan may only be amended by resolution duly adopted by the Compensation
Committee of the Board of Directors of the Company. Participation in this Plan is not
a guarantee of participation in future Company incentive plans.

	B.	 	CASH BONUS

1)
Bonus Components. The intent of the DigitalGlobe Success Sharing Plan is
to motivate participants to achieve specified goals of the Company by rewarding for
annual company performance, as well as for maintenance of positive growth trends in
the Company’s business throughout the year. As such, 2008 plan components include
CBU and DIBU revenue, annual Adjusted EBITDA (A-EBITDA), and

 

 

Second Half 2008 A-EBITDA. There are minimum thresholds of performance required for each component
before any bonus payout for an individual component may occur. Thresholds are as follows:

	 	 	 	 	 
	 	 	 	 	Minimum
	 	 	 	 	Requirements to
	 	 	 	 	Fund Bonus for
	Minimum Threshold
 	 	2008 Target at	 	Each Component
	for Payout
 	 	100% of Plan	 	(95% of plan)
	Commercial Business
	 	 	 	 
	Unit Revenue

	 	$61.975 million
	 	$58.876 million
	Defense and
	 	 	 	 
	Intelligence Business

	 	$206.677 million
	 	$196.343 million
	Unit Revenue
	 	 	 	 
	(Annual) A-EBITDA

	 	$162.200 million
	 	$154.090 million

In addition to the above, the Second Half 2008 A-EBITDA goal is $87.900 million at 100% of Plan
with a minimum threshold of 95% (or $83.505 million) for an increase multiplier to apply, as
described below.

2) Bonus Target. Vice Presidents are eligible as defined below:

	 	 	 	 	 
	LEVEL	 	TARGET CASH BONUS
	Executive Tier III
	 	 	60	%
	Executive Tier II
	 	 	50	%
	Executive Tier I
	 	 	40	%

3) Bonus Calculation. The bonus will be payable on each bonus component, as set forth in
the table below; provided, however, that in order for any bonus to be payable on a particular
component, the minimum target of 95% of Plan (as shown above) must be met for that component. The
following table demonstrates the percent of bonus payout at various levels of revenue achievement
by Business Unit, Annual A-EBITDA achievement, and Second Half 2008 A-EBITDA Goal achievement.

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	120% of Plan for	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	Revenue	 	120% of Plan for
	 	 	 	 	 	 	 	 	 	 	 	 	(100% of Annual A-	 	Revenue and
	 	 	 	 	 	 	 	 	 	 	 	 	EBITDA Plan but less	 	(100% of Annual A-
	 	 	 	 	 	 	 	 	 	 	 	 	than 95 % of Second	 	EBITDA and 100% of
	 	 	 	 	 	 	 	 	 	 	 	 	Half 2008 A-EBITDA	 	Second Half 2008 A-
	Department	 	Components	 	95% of Plan	 	100% of Plan	 	Goal)	 	EBITDA Goal)
	 
	 	CBU	 	 	30	%	 	 	60	%	 	 	120	%	 	 	120	%
	CBU
	 	REVENUE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	DIBU	 	 	10	%	 	 	20	%	 	 	40	%	 	 	40	%
	 
	 	REVENUE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	A-EBITDA	 	 	10	%	 	 	20	%	 	 	20	%	 	 	40	%
	 
	 	(total)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	CBU	 	 	10	%	 	 	20	%	 	 	40	%	 	 	40	%
	DIBU
	 	REVENUE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	DIBU	 	 	30	%	 	 	60	%	 	 	120	%	 	 	120	%
	 
	 	REVENUE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	A-EBITDA	 	 	10	%	 	 	20	%	 	 	20	%	 	 	40	%
	 
	 	(total)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	CBU	 	 	12.5	%	 	 	25	%	 	 	50	%	 	 	50	%
	Groups other than BU
	 	REVENUE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	DIBU           	 	 	12.5	%	 	 	25	%	 	 	50	%	 	 	50	%
	 
	 	REVENUE	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	A-EBITDA	 	 	25	%	 	 	50	%	 	 	50	%	 	 	100	%
	 
	 	(total)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

	 	•	 	If the Company achieves between 95% and 100% of any Targets, including Annual A-EBITDA,
every 1% increase in achievement will increase the total bonus payable for that component by
20%

 

 

	 	 	 	of the 95% Plan percentage payable for that component. For example, if DIBU achieves 98% of
Target the bonus payable for DIBU participants for DIBU Revenue would
be 48% or (30% + (6% x
3)), for CBU participants it would be 16% or (10% + (2% X 3)), and for Groups Other Than BUs it
would be 20% or (12.5% + (2.5% x 3)).

	 	•	 	For achievement of revenue goals between 100% and 120% of Targets, every 1% increase in
achievement will increase the total bonus payable for that revenue component by 5% of the 100%
Plan percentage payable for that component. For example, if DIBU achieves 115% of the DIBU
revenue Target, the bonus payable for DIBU participants for DIBU revenue would be 105% or
(60% + (3% x 15)), for CBU participants it would be 35% or (20%
+ (1% x 15)), and for Groups
Other Than BU it would be 43.75% or (25% + (1.25% x 15))
	 
	 	•	 	For achievement of Annual A-EBITDA of at least 100% of Annual A-EBITDA Plan and achievement
of at least 95% of the Second Half 2008 A-EBITDA Goal, the percentage of the A-EBITDA bonus
component to be paid will be subject to a multiplier as follows:

	 	 	 
	o     Second Half 2008 A-EBITDA Number Achieved	 	Multiplier
	     §    < $83.505 million
	 	1.00
	 
	 	 
	     §   >=$83.505 <= $84.384 million
	 	1.25
	 
	 	 
	     §   >=$84.385 <= $85.263 million
	 	1.50
	 
	 	 
	     §   >=$85.264 <= $87.899 million
	 	1.75
	 
	 	 
	     §   >=$87.900 million
	 	2.00

	 	•	 	The maximum total bonus payable under this Plan is 200% of the Target bonus, payable
upon achievement of 120% of revenue targets, and 100% of the annual A-EBITDA Target, and
100% achievement of the Second Half 2008 A-EBITDA Goal.

4) Sample Calculation 

The following table demonstrates the potential payout of this incentive plan using
several different scenarios:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	EXAMPLE 1:	 	EXAMPLE 2:	 	EXAMPLE 3:
	 	 	CBU Achieves 95% of Target	 	 	 	 
	 	 	Revenue,	 	 	 	 
	Factors	 	DIBU Achieves 95%Target	 	 	 	 
	Included in	 	Revenue,	 	CBU at 100%, DIBU at 85%,	 	 
	Bonus	 	Annual A-EBITDA Achievement	 	Annual A-EBITDA at 100%;	 	CBU 95%, DIBU 120%, A-EBITDA
	Calculation	 	95%, Second Half A-EBITDA	 	Second Half A-EBITDA	 	100%; 100% of Second Half A-
	 	 	Goal NOT Met	 	Goal NOT met.	 	EBITDA Goal IS Met
	Base Salary1
	 	 	 	$100,000	 	 	 	 	 	$100,000	 	 	 	 	 	$100,000	 	 
	Individual
Target Bonus
%
	 	 	 	10%	 	 	 	 	 	10%	 	 	 	 	 	10%	 	 
	 
	 	CBU	 	DIBU	 	Corporate	 	CBU	 	DIBU	 	Corporate	 	CBU	 	DIBU	 	Corporate
	 
	 	Employee	 	Employee	 	Employee	 	Employee	 	Employee	 	Employee	 	Employee	 	Employee	 	Employee
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	$11,000	 	$17,000	 	$16,250
	Bonus Amount
	 	$5,000	 	$5,000	 	$5,000	 	$8,000	 	$4,000	 	$7,500	 	(30%+40%+	 	(10%+120	 	(12.5%+
	 
	 	(30%+10	 	(10%+30	 	(12.5%+	 	(60% +	 	(20% +	 	(25% +	 	40% =	 	% +40% =	 	50% +
	 
	 	%+10%)	 	%+10%)	 	12.5%+	 	0% +20%	 	0% + 20%	 	0% + 50%	 	110% of	 	170% of	 	100% =
	 
	 	 	 	 	 	25%)	 	=80%)	 	= 40%)	 	= 75%)	 	Target)	 	Target)	 	162.5%)
	       2008 Total        

Targeted Cash        

 Compensation        	 	$105,000	 	$105,000	 	$105,000	 	$108,000	 	$104,000	 	$107,500	 	$111,000	 	$117,000	 	$116,250

 

			
	1	 	All potential payout amounts in examples are based on the assumption that an employee was
employed with DigitalGlobe on or preceding January 1, 2008. Bonus calculations for employees hired
after January 1, 2008 will be reflective of the base salary earnings for the applicable duration of
employment.

 

 

5) Bonus Payment. Any Bonus will be paid as described above no later than March 15,
2009 for the 2008 Plan Year.

6) Definitions.

(a) “Base Salary” means an employee’s earned base salary for calendar year 2008. Base
Salary does not include pay for commissions, overtime, shift differential, or any other
premiums, bonuses, or incentive compensation or expense reimbursements, or disability, paid
leaves, or other similar benefits.

(b) “Bonus” means the actual cash bonus amount to be paid to a Participant under the terms
of this Plan

     (c) “A-EBITDA” means net income or loss adjusted for depreciation and amortization,
net interest income or expense, income tax expense (benefit), loss on disposal of assets,
restructuring, loss on early extinguishment of debt and non-cash stock compensation expense; as
such calculation may be adjusted in the Company’s sole discretion.

(d) “Net Income” means the consolidated Net Income of the Company and its
subsidiaries for calendar year 2008 as determined by the Company in accordance with
Generally Accepted Accounting Principles.

     (e) “Annual A-EBITDA” — means the total A-EBITDA realized by the Company for the full
calendar year 2008.

     (f) “Second Half 2008 A-EBITDA Goal”, means $87.900 million in A-EBITDA realized by
the Company between July 1, 2008 and December 31, 2008.

C. LONG TERM INCENTIVES — In addition to the cash bonus provided for above, individuals subject to
this Plan are eligible for Long Term Incentive awards (“LTI Awards”). Granting of LTI awards is
discretionary and will be based on individual performance ratings in combination with contribution
to Company priorities. All awards are subject to approval by the Compensation Committee of the
Board of Directors.

1) Scope. Long term incentives are based on individual performance.

2) Annual Target Value. The value of long term incentive targets vary by Executive
Tier and will be communicated separately.

 

 

PART II. MISCELLANEOUS

	A.	 	PLAN ADMINISTRATION

The Company is responsible for the general administration and management of the Plan and
shall have all powers and duties necessary to fulfill its responsibilities including, but
not limited to, the discretion to interpret and apply the Plan and to determine all
questions relating to eligibility for benefits. The Company and its delegates shall have
the discretion to interpret or construe ambiguous, unclear, or implied (but omitted) terms
in any fashion they deem to be appropriate in their sole and absolute discretion, and to
make any findings of fact needed in the administration of the Plan. The validity of any
such interpretation, construction, decision, or finding of fact shall not be given de novo
review if challenged in court, by arbitration, or in any other forum, and shall be upheld
unless clearly arbitrary or capricious.

	B.	 	ENTIRE STATEMENT

The Plan, including all documentation referred to herein, is a complete and exclusive
statement of the agreement between the parties relating to this subject matter. This Plan
supersedes all prior communications, oral or written, concerning this subject matter. Any
provision of the Plan that is prohibited or unenforceable in any jurisdiction shall, as to
such jurisdiction, be ineffective to the extent of such prohibition or unenforceability
without invalidating the remaining provisions hereof, and any such prohibition or
unenforceability in any jurisdiction shall not invalidate or render unenforceable such
provision in any other jurisdiction.

	C.	 	NO EMPLOYMENT AGREEMENT

This Plan is not to be construed as an employment agreement and in no way limits the right
of the Company to terminate the employment of any Participant at any time, with or without
cause. Each Participant’s employment with the Company is, and continues to be, “at-will”
with either party having the right to terminate the employment relationship at any time,
with or without cause or advance notice. By Participating in the Plan, each Participant
acknowledges his or her at-will employment status and that such at-will status only may be
changed by a written document signed by the Participant and the Company’s CEO. Except to
the extent governed by federal law, the Plan is governed by the laws of the State of
Colorado, excluding choice of law principles.

	D.	 	ISSUE RESOLUTION

In the event that there is a dispute between the Company and a Participant over any
compensation alleged to be due including, but not limited to, disputes concerning the
Participant’s Bonus, the Participant will promptly bring such dispute to the attention of
the General Counsel or VP Human Resources. The Participant and the Company shall use
their commercially reasonable efforts to resolve any such dispute on an informal basis. In
the event the dispute cannot be resolved informally, the Participant and the Company agree
to resolve the dispute exclusively through binding arbitration, in accordance with the
rules of the American Arbitration Association and in accordance with the laws of the State
of Colorado. Each party will pay their own costs associated with such arbitration,
including, but not limited to, cost of legal counsel.

	E.	 	TAX WITHHOLDING

The Company may withhold from any payments made under this Plan all applicable taxes and
other withholdings including, but not limited to, Federal, state and local income,
employment and social insurance taxes, as it determines are required or permitted by law.
All amounts paid to Participants under this Plan will be treated as compensation, and
each Participant agrees to such treatment by accepting a payment under the Plan. The
Company cannot guarantee the tax treatment of any payments under the Plan and each
Participant agrees that he or she, and not the Company, shall be liable for any excise
taxes, penalties, or interest imposed on the Participant.

 

 

	F.	 	SOURCE OF PLAN ASSETS

The Plan shall be unfunded. Payments under the Plan shall be made from the general assets
of the Company. To the extent any Participants have any right to payments under the Plan,
such Participants shall be general unsecured creditors of the Company. No Participant shall
have any right, title, claim or interest in or with respect to any specific assets of the
Company or any of its affiliates in connection with the Participant’s participation in the
Plan.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00156-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00156-of-00352.parquet"}]]