Document:

Representative form of restricted stock unit grant agrmt for mem. of the Board

 Exhibit 10.4 
 Director RSU Agreement 
 Grant Tracking ID # ____ 
 SUN MICROSYSTEMS, INC. 
 2007 OMNIBUS
INCENTIVE PLAN 
 RESTRICTED STOCK UNIT AGREEMENT 
 You (“Grantee”) have been granted restricted stock units (“RSUs”) relating to shares of common stock, $.001 par value per share (the “Stock”), of Sun Microsystems, Inc., a Delaware
corporation (“Sun”), subject to the vesting conditions set forth in this Award Agreement. Additional terms and conditions of the grant are set forth in this Award Agreement and in Sun’s 2007 Omnibus Incentive Plan (the
“Plan”). 
 Grant Date:
                    , 200   
 Name of Grantee:                                 
 Number of RSUs Covered by the Grant:                     

 Vesting Start Date:                     

 Vesting Schedule: 
 In the event that the
Schedule set forth below would result in vesting of a fractional number of RSUs, the number of RSUs that will vest will be rounded down to the nearest whole share, and the last scheduled vesting tranche will be rounded up, to the extent necessary,
so that the full number of RSUs will have vested. 
  

				
	 Vesting Date
	  	Number of RSUs that vest, as
a fraction of the number of
RSUs granted	 
		
	 The one-year anniversary of the Vesting Start Date
	  	20	%
		
	 The two-year anniversary of the Vesting Start Date
	  	20	%
		
	 The three-year anniversary of the Vesting Start Date
	  	20	%
		
	 The four-year anniversary of the Vesting Start Date
	  	20	%
		
	 The five-year anniversary of the Vesting Start Date
	  	20	%

 By signing this Award Agreement below and returning it to: 
  

	
	 Global Stock Plan Services
 Sun
Microsystems
 SCA 22-120
 4220
Network Circle
 Santa Clara, CA 95054

 within 60 days of the Grant Date, you agree to all of the terms and conditions described in the Award
Agreement and in the Plan, a copy of which may be viewed along with the Plan prospectus on Sun’s intranet at http://stockplans.central. You acknowledge that you have carefully reviewed the Plan and agree that the Plan will control in the event
any provision of this Award Agreement should appear to be inconsistent. If you do not sign and return this Award Agreement within the 60-day period, this Award Agreement and grant of RSUs will be null and void. 
  

			
		
	By:	 	 
	Name:	 	 
	Date:	 	 

 This is not a stock certificate or a negotiable instrument. 
  

 - 2 - 

 SUN MICROSYSTEMS, INC. 
 2007 OMNIBUS INCENTIVE PLAN 
 RESTRICTED STOCK UNIT AGREEMENT 
  

			
	RSU Transferability	  	This grant is an award of RSUs in the number of units set forth on the first page of this Award Agreement, subject to the vesting conditions described in this Award Agreement. Your RSUs may
not be transferred, assigned, pledged or hypothecated, whether by operation of law or otherwise, nor may the RSUs be made subject to execution, attachment or similar process.
		
	Definitions	  	Capitalized terms used but not defined in this Award Agreement are defined in the Plan, and have the meanings set forth in the Plan.
		
	Vesting	  	Your RSUs vest as to the number of units indicated in the Vesting Schedule and on the Vesting Dates shown on the first page of this Award Agreement, provided you are in Service on each of the
Vesting Dates and meet the applicable vesting requirements set forth in this Award Agreement. Except as specifically provided in this Award Agreement, or as may be provided in other agreements between you and Sun, no additional RSUs will vest after
your Service has terminated for any reason.
		
	Share Delivery Pursuant to Vested RSUs	  	Shares of Stock underlying vested RSUs will be delivered to you by Sun as soon as practicable following the applicable Vesting Dates, but in no event beyond 2 1
/2 months after the end of the calendar year in which the shares otherwise would have been delivered. The purchase price for the vested shares of Stock is
considered paid by your services to Sun.
		
	Forfeiture of Unvested RSUs	  	Except as specifically provided in this Award Agreement, or as may be provided in other agreements between you and Sun, no additional RSUs will vest after your Service has terminated for any
reason. In the event that your Service terminates for any reason, you will forfeit to Sun all of the RSUs that have not yet vested or with respect to which all applicable restrictions and conditions have not lapsed.
		
	Death	  	If your Service terminates because of your death, the RSUs granted under this Award Agreement will automatically vest as to the number of RSUs that would have vested if you had remained in
Service for the twelve-month period immediately following your death.

  

 - 3 - 

			
	Disability	  	If your Service terminates because of your Disability, the RSUs granted under this Award Agreement will automatically vest as to the number of RSUs that would have vested if you had remained
in Service for the twelve-month period immediately following your Disability.
		
	Termination For Cause	  	If your Service is terminated for Cause, then you shall immediately forfeit all your rights to the RSUs granted under this Award Agreement.
		
	Withholding Taxes	  	 Regardless of any action Sun takes with respect to any income tax, social insurance, payroll tax, payment on account or other tax-related withholding
with respect to this Award Agreement (“Tax-Related Items”), you acknowledge that the ultimate liability for all Tax-Related Items is your responsibility and that Sun:
  
 •        is not
making any representations and is not committing to take any actions regarding any Tax-Related Items, including, but not limited to, the grant of the RSUs, the vesting of the RSUs, the delivery of shares of Stock upon vesting of the RSUs, the
subsequent sale of shares of Stock acquired upon vesting of the RSUs, and the receipt of any dividends; and
  
 •        does not commit to structure the terms of the grant or any aspect of the
RSUs to reduce or eliminate your liability for Tax-Related Items.
  
 Before any
Tax-Related Items become due, you will pay or make adequate arrangements satisfactory to Sun to satisfy those Tax-Related Items. If permissible under local law, you authorize Sun to withhold all applicable Tax-Related Items legally payable by you by
one or a combination of the following:
  
 •        withholding from cash compensation paid to you by Sun;
  
 •        withholding proceeds from the sale of shares of Stock acquired upon vesting
of the RSUs;
  
 •        arranging for the sale of shares of Stock acquired upon vesting of the RSUs; and/or

  

 - 4 - 

			
		  	 •        withholding shares of Stock otherwise deliverable
to you, provided that Sun only withholds the number of shares of Stock necessary to satisfy the minimum withholding amount or such other amount as determined by Sun not to result in negative accounting consequences, rounding up to the nearest whole
share of Stock.
  
 If the obligation for Tax-Related Items is satisfied by withholding a
number of shares of Stock as described herein, you will be deemed to have been issued the full number of shares of Stock to which you are entitled pursuant to the vesting of the RSUs even though a portion of those shares of Stock will be withheld
for the purpose of satisfying the Tax-Related Items.
  
 Finally, you will pay to Sun any
amount of Tax-Related Items that Sun may be required to withhold as a result of your participation in the Plan or any aspect of the RSUs that cannot be satisfied by any of the means described in the preceding paragraph. Sun may refuse to deliver
shares of Stock to you if you fail to meet your Tax-Related Item obligations, as described in this section.

		
	 Nature of Grant
	  	 In accepting the grant, you acknowledge that:
  
 •        the Plan was established voluntarily by Sun, it is discretionary in nature
and it may be modified, amended, suspended or terminated by Sun at any time, unless otherwise provided in the Plan and this Award Agreement;
  
 •        the grant of the RSUs is voluntary and occasional and does not create any
contractual or other right to receive future RSUs, or benefits in lieu of RSUs even if RSUs have been granted repeatedly in the past;
  
 •        all decisions with respect to future grants of RSUs, if any, will be at the
sole discretion of Sun;
  
 •        your participation in the Plan is voluntary;
  
 •        the RSUs are an extraordinary item that does not constitute compensation of
any kind for Service of any kind rendered to Sun;

  

 - 5 - 

			
		  	 •        the RSUs and any shares of Stock acquired under the
Plan are not part of normal or expected compensation or salary for any purposes, including, but not limited to, calculating any severance, resignation, termination, redundancy, end of service payments, bonuses, long-service awards, pension or
welfare or retirement benefits or similar payments and in no event should be considered as compensation for, or relating in any way to, past services for Sun;
  
 •        the RSUs will not be interpreted to form an employment contract or
relationship with Sun or any Affiliate or Subsidiary;
  
 •        the future value of the underlying shares of Stock is unknown and cannot be predicted with certainty;
  
 •        in consideration of the grant of the RSUs, no claim for compensation or
damages may be made as a result of the termination of the RSUs or from a reduction in value of the RSUs or shares of Stock acquired upon vesting of the RSUs as a result of your termination of Service (for any reason whatsoever and whether or not in
breach of local labor laws) and you irrevocably release Sun from any such claim that may arise; if, notwithstanding the foregoing, any such claim is found by a court of competent jurisdiction to have arisen, then, by signing this Award Agreement,
you have irrevocably waived your entitlement to pursue such a claim;
  
 •        Sun is not providing any tax, legal or financial advice, nor is Sun making any recommendations regarding your participation in the Plan; and
  
 •        you
should consult with personal tax, legal and financial advisors regarding participation in the Plan before taking any action related to the Plan.

		
	 Stockholder Rights
	  	You do not have any of the rights of a stockholder with respect to the RSUs unless and until the shares of Stock relating to the RSUs have been delivered to you (or an appropriate book entry
has been made). In the event of a cash dividend on outstanding Stock, you will be entitled to receive a cash payment for each of your RSUs. Sun may, in its sole discretion, require that dividends will be reinvested in additional RSUs at Fair Market
Value on the dividend payment date, subject to vesting and delivered at the same time as the related RSUs.

  

 - 6 - 

			
	 Forfeiture of Rights
	  	 To the extent permitted by applicable law, you agree that while you are a Service Provider and for a period of twelve months immediately following
your termination of Service, you shall not, directly or indirectly, solicit, induce, recruit or encourage any employees of Sun to leave their employment, either for yourself or any other person or entity. If you should take any of the actions
described in the preceding sentence, Sun shall have the right to cause a forfeiture of your rights, including, but not limited to, the right to cause:
  
 •        a forfeiture of the RSUs subject to this Award Agreement; and
  
 •        with
respect to the period commencing twelve months prior to and ending twelve months following your termination of Service:
  
 •        a forfeiture of any shares of Stock acquired by you upon the vesting of the
RSUs; and
  
 •        a forfeiture of any gain recognized by you upon the sale of shares of Stock acquired by you upon the vesting of the RSUs.

		
	 Adjustments
	  	In the event of a recapitalization, a stock split, a stock dividend or a similar change in Sun stock, including any change described in the Plan, the number of RSUs covered by this grant will
be adjusted in accordance with the terms of the Plan.
		
	 Applicable Law and Venue
	  	This Award Agreement will be interpreted and enforced under the laws of the State of Delaware, United States of America, without giving effect to the principles of conflict of laws of that
State. Any suit, action or other legal proceeding that is commenced to resolve any matter arising under or relating to this Award Agreement or the Plan shall be commenced only in a court in the State of Delaware and the parties to this Award
Agreement consent to the exclusive jurisdiction of such court. To the extent applicable, you agree to waive your rights to a jury trial for any claim or cause of action based upon or arising out of this Award Agreement or the Plan or any dealings
between you and Sun relating to the subject matter of this Award Agreement or the Plan.

  

 - 7 - 

			
	 Data Privacy Notice and Consent
	  	 You hereby explicitly and unambiguously consent to the collection, use and transfer, in electronic or other form, of your personal data as
described in this Award Agreement by and among, as applicable, Sun and any Subsidiary or Affiliate for the exclusive purpose of implementing, administering and managing your participation in the Plan.
  
 You understand that Sun and any Subsidiary or Affiliate may hold certain personal information
about you, including, but not limited to, your name, home address and telephone number, date of birth, social insurance number or other identification number, salary, nationality, job title, any shares of Stock or directorships held in Sun, details
of all RSUs or any other entitlement to shares of Stock awarded, canceled, exercised, vested, unvested or outstanding in your favor, for the purpose of implementing, administering and managing the Plan (“Data”).
  
 You understand that Data will be transferred to any third parties assisting Sun with the
implementation, administration and management of the Plan, that these recipients may be located in your country or elsewhere, and that the recipient’s country may have different data privacy laws and protections than your country. You
understand that you may request a list with the names and addresses of any potential recipients of the Data by contacting your local human resources representative. You authorize the recipients to receive, possess, use, retain and transfer the Data,
in electronic or other form, for the purposes of implementing, administering and managing your participation in the Plan, including any requisite transfer of Data as may be required to a broker or other third party with whom you may elect to deposit
any shares of Stock acquired under the Plan. You understand that Data will be held only as long as is necessary to implement, administer and manage your participation in the Plan. You understand that you may, at any time, view Data, request
additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the consents herein, in any case without cost, by contacting in writing your local human resources representative. You
understand, however, that refusing or withdrawing your consent may affect your ability to participate in the Plan. For more information on the consequences of your refusal to consent or withdrawal of consent, you understand that you may contact your
local human resources representative.

  

 - 8 - 

			
	Consent to Electronic Delivery and Participation	  	Sun may, in its sole discretion, decide to deliver any documents related to your participation in the Plan, including statutory materials related to the Plan and future grants of restricted
stock units under the Plan, by electronic or hard copy means or request your consent to participate in the Plan by electronic or hard copy means. You hereby consent to receive such documents by electronic or hard copy delivery and agree to
participate in the Plan through an on-line or electronic system established and maintained by Sun or a third-party designated by Sun. Additionally, by accepting this grant of RSUs, you agree that Sun may deliver the Plan prospectus and Sun’s
annual report to you in an electronic format. The Plan prospectus is located at http://stockplans.central.
		
	Language	  	If you have received this Award Agreement or any other Plan document translated into a language other than English, the English version will control.
		
	The Plan	  	 The text of the Plan is incorporated in this Award Agreement by reference.
  
 This Award Agreement and the Plan constitute the entire understanding between you and Sun regarding
this grant of RSUs. Any prior agreements, commitments or negotiations concerning this grant are superseded.

		
	Business Days	  	To the extent the expiration of a relevant period occurs on a day on which Sun is not scheduled to conduct business (e.g., a Saturday, Sunday or a U.S. federal holiday), the expiration of
the relevant period will occur on Sun’s last business day preceding that date.
		
	Severability	  	The provisions of this Award Agreement are severable and if any one or more provisions are determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions
shall be binding and enforceable.

  

 - 9 -Amendment to U.S. Non-Qualified Deferred Compensation Plan

 Exhibit 10.5 
 AMENDMENT TO 
 THE SUN MICROSYSTEMS, INC. 
 2005 U.S. NON-QUALIFIED DEFERRED COMPENSATION PLAN 
 The Sun Microsystems, Inc. 2005 U.S. Non-Qualified Deferred Compensation Plan (the “Plan”), as originally effective as of January 1, 2005, and as most recently amended and restated effective January 1, 2005, is hereby
further amended effective January 1, 2008 (except as otherwise noted) as follows: 
 1. Section 1 is amended in its entirety to read as
follows: 
 Purpose. The Plan provides Participants an opportunity to defer payment of a portion of Employee salary, Employee annual
and quarterly bonus awards, retention awards, and Board of Directors’ Director Fees. 
 2. Section 2(i)(iii) is deleted in its entirety.

 3. A new Section 2(z) is added to the Plan as follows: 
 Disabled. Disabled means that a Participant is determined to be totally disabled by the Social Security Administration or the Railroad Retirement Board. 
 4. The following sentence is added to the end of Section 4(a): 
 In the event a Participant receives an early distribution from the Prior Plan pursuant to Section 10(c) of the Prior Plan, the Participant’s Deferred Compensation Election shall be suspended for the Plan
Year following the Plan Year in which such distribution is made and the Participant must submit a new Deferred Compensation Election during an Election Period to resume participation in the Plan. 
 5. Section 6(a) is deleted in its entirety. 
 6.
Section 6(b)(ii) is amended in its entirety to read as follows: 
 Up to 60% of base salary. 
 7. Section 10(a) is amended in its entirety to read as follows: 
 Distribution of Account upon Retirement. In the event of a Participant’s separation from Service on or after his or her Retirement Date, distribution of the Participant’s Account shall begin with the
last payroll of the month following the month in which the Participant separates from Service, and shall be made consistent with the form of distribution specified on the Participant’s Deferred Compensation Election. Effective January 1,
2007, 

 
after the first installment, future installments shall be paid on the last payroll date of the anniversary month of the first installment. Available forms
shall include either (i) a lump sum payment, (ii) a series of approximately equal annual installments over a period of two (2) to fifteen (15) years, or (iii) a lump sum payment of a percentage of the Participant’s
Account with the balance paid in a series of approximately equal annual installments over a period of two (2) to ten (10) years. For purposes of the Plan, installment payments shall be treated as a single distribution under
Section 409A of the Code. Accounts subject to installment payouts shall continue to be adjusted for gains or losses in the same manner as active Accounts. A Participant may modify his or her elected form of distribution (i.e., lump sum or
installments) at any time prior to the date that is at least one year before the date the Participant separates from Service, provided that the Participant’s distribution is delayed at least five (5) years from the originally scheduled
distribution date. If a Participant modifies his or her elected form of distribution but he or she separates from Service less than one (1) year following the date of the modification election, his or her prior elected form of distribution
shall apply to any distribution. 
 8. Section 10(b) is amended in its entirety to read as follows: 
 Distribution Prior to Retirement. If a Participant separates from Service with the Company or any of its non-U.S. subsidiaries prior to his or her
Retirement Date (other than on account of death), distribution of the Participant’s Account shall begin with the last payroll of the month following the month in which the Participant separates from Service and shall be made consistent with the
form of distribution specified on the Participant’s Deferred Compensation Election. Effective January 1, 2007, after the first installment, future installments shall be paid on the last payroll date of the anniversary month of the first
installment. Available forms of distribution shall include either a lump sum payment or a series of approximately equal annual installments over a period of two (2) to five (5) years. For purposes of the Plan, installment payments shall be
treated as a single distribution under Section 409A of the Code. Accounts subject to installment payouts shall continue to be adjusted for gains or losses in the same manner as active Accounts. A Participant may modify his or her elected form
of distribution (i.e. lump sum or installments) at any time prior to the date that is at least one year before the date the Participant separates from Service, provided that the Participant’s distribution is delayed at least five (5) years
from the originally scheduled distribution date. If a Participant modifies his or her elected form of distribution but he or she separates from Service less than one (1) year following the date of the modification election, his or her prior
elected form of distribution shall apply to any distribution. 

 9. Section 10(i) is amended in its entirety to read as follows: 
 De Minimis Accounts. Notwithstanding any other payment schedule provided in the Plan or in a Participant’s Deferred Compensation Election,
such Participant will receive a lump sum payment if the balance of the Participant’s Account following a Separation from Service is not greater than the applicable dollar amount under Section 402(g)(1)(B) of the Code and the payment
results in the complete liquidation of the Participant’s interest in the Plan. In addition, any remaining installment payments will be paid in a lump sum payment with the last payroll of the month following the month in which the the balance of
the Participant’s Account falls below the applicable dollar amount under Section 402(g)(1)(B) of the Code. 
 10. A new Section 10(j)
is added to the Plan as follows: 
 Disability Benefit. In the event a Participant is Disabled, and upon application by such
Participant, payment of all, or part, of such Participant’s Account shall be made in one lump sum payment with the last payroll of the month following the month in which the distribution is requested by the Participant. 
 11. Effective January 1, 2007, Section 11(b) is amended in its entirety to read as follows: 
 Death On or After January 1, 2007. This Section 11(b) shall apply effective January 1, 2007. In the event of a Participant’s
death, the Participant’s Account shall be distributed to the Participant’s Beneficiary in three annual installments commencing with the last payroll of the month following the month in which the Participant dies. After the first
installment, future installments shall be paid on the last payroll date of the anniversary month of the first installment. The remaining Account balance (during the period of the installment payouts) shall continue to be adjusted for gains or losses
in the same manner as active Accounts. 
 In Witness Whereof, Sun Microsystems, Inc. has caused this amendment to be executed on its
behalf by its duly authorized representative. 
  

							
		 		 	Sun Microsystems, Inc.
				
	Dated: October 30, 2007	 		 	By:	 	 /s/ William N. MacGowan

		 		 	Printed Name:	 	William N. MacGowan
		 		 	Title:	 	 Executive Vice President, People and Places
 and Chief
Human Resources Officer

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00136-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00136-of-00352.parquet"}]]