Document:

Manufacturing and Purchase Agreement

 Exhibit 10.19 
 CONFIDENTIAL TREATMENT 
 MANUFACTURING AND PURCHASE AGREEMENT 
 This Manufacturing and Purchase Agreement (the “Agreement”) is made as of this 5th day of Sept. 2003 (the “Effective Date”), by and
between Flash Electronics, Inc., a California corporation (hereafter the “Seller”) located at 4050 Starboard drive, Fremont, CA 94538, and 3PARdata, Inc (hereafter the “Buyer”) located at 4209 Technology Drive, Fremont, CA 94538.

 In consideration of the mutual covenants and representations herein set forth, the Seller and the Buyer agree as follows: 
  

	 1.
	 AGREEMENT TO MANUFACTURE 

 During the term of this Agreement and subject to the terms and conditions herein, the Seller will provide custom manufacturing services to the Buyer. These services include, but are not limited to, subassemblies and
components, material management, assembly of printed circuit boards (the “Products”), final electronic equipment testing, troubleshooting, and rework for the Products. Buyer sells Products on a worldwide basis. 
  

	 2.
	 PURCHASE OF PRODUCTS 

 2.1 Buyer’s Responsibility: The Buyer agrees to be liable or the costs of the materials and agreed upon materials mark-up [***] associated with materials purchases agreed in this purchase agreement.
Details of the amount of inventory may be defined on the purchase order or other written agreement by both parties. 
 2.2
Seller’s Responsibility. The Seller agrees to purchase materials based on Buyer’s policy and instruction, using approved vendors at the most favorable prices available. The Seller further agrees to purchase materials in a reasonable
quantity to protect lead-time requirements and volume discounts if available and necessary. 
  

	 3.
	 TERM AND TERMINATION. 

 The term of this Agreement shall commence upon the Effective Date and continue for 12 full calendar months. Thereafter, the Agreement shall automatically renew for successive 12-month periods unless either party gives
90 days’ written notice prior to the anniversary date of its intent to terminate the Agreement. This Agreement may be amended from time to time by written agreement signed by both parties. Notwithstanding the foregoing and subject to the terms
and conditions herein, this Agreement may be terminated (i) by either Buyer or Seller for any reason on 90 days prior written notice to the other party; or (ii) upon written notice to the other party at any time any one of the following
events occur (a) the other files a voluntary petition in bankruptcy; (b) the other is adjudicated bankrupt; (c) the other makes an assignment for the benefit of its creditors; (d) a court assumes jurisdiction of the assets of the
other under any bankruptcy or reorganization act; (e) a trustee or receiver is appointed by a court for all or a substantial portion of the assets of the other; (f) there is a substantial change in the financial 
  

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	 Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested
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conditions of the other; or (g) the other party is unable to pay its material debts as they become due. In addition, either party shall have the right
to terminate this Agreement for breach by the other in the performance of any material obligation of this Agreement, where such breach continues for a period of thirty (30) days after written notice thereof to the other. Both parties’
financial obligations shall survive any termination of this Agreement and Seller shall return to Buyer, at Buyer’s expense, all tooling, equipment, components, drawings, specifications, documentations and supplies that are owned by Buyer.

  

	 4.
	 TERMS OF SALE. 

 4.1 Orders. For each Product to be manufactured, Buyer and Seller will mutually agree upon a manufacturing lead time, which will be the number of days it will take, on average, to receive and kit all
components, assemble, test and ship the Product. Commencing on the Effective Date, Buyer shall place, and Seller shall fulfill, firm monthly orders [***] for any of the Products, as amended by Buyer from time to time in accordance with this Section
4. Buyer shall use all reasonable efforts to provide Seller with six months’ prior written notice of the discontinuance of any Product. Concurrently, Buyer shall also deliver to Seller a non-binding (as set forth below), rolling forecast of its
anticipated demand for Products [***]. Buyer’s rolling firm purchase orders and [***] forecast will be required to secure a sufficient quantity of long lead-time components. 
 4.1.1 Buyer will be liable to Seller for Seller’s restocking charges, transportation charges and other direct charges incurred by
Seller, in respect of materials ordered by Seller based on Buyer’s firm orders and not previously delivered to Buyer (“excess components”), on Buyer’s cancellation of purchase orders hereunder or Buyer’s termination of this
Agreement (unless Buyer terminates for cause); provided (i) the excess components are in the same condition as when originally purchased by Seller and (ii) that Buyer may, at its option, take delivery of any excess components resulting
from such a cancellation or termination. If Buyer decides not to take delivery of excess components, the Seller will make best efforts to sell the excess components in the open market and charge the Buyer for the variance between the original cost
and [***] of the agreed upon materials mark-up of the part and the price for the part received in the open market, provided, however, that if the variance is more than [***], Buyer’s consent shall be required before Seller may sell any such
excess component on the open market. If Seller is unable to sell the excess components in the open market within 30 days or Buyer does not give its consent as required by the previous sentence, and provided the excess components are in the same
condition as when originally purchased by Seller, Seller will (i) receive payment from Buyer for the original cost of the part plus [***] the agreed upon materials mark-up and (ii) transfer title and deliver the excess components to Buyer,
FOB Seller’s facility. Buyer will also be liable to Seller for long lead-time components which are non-cancelable and non-returnable (“NCNR”), as well as any MOQ (Minimum Order Quantity) and MPQ (Minimum Package Quantity) which have
been listed on costed BOM’s provided with quote and purchased by Seller (with Buyer’s prior written approval) to cover Buyer’s firm purchase orders hereunder. Seller and Buyer will agree to a list 
  

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of NCNR items that will be updated by mutual agreement quarterly during the calendar year. 
 4.1.2 Seller will obtain Buyer’s prior written approval to purchase any components with lead-times in excess of Buyer’s 3
months purchase orders. Once Seller has obtained Buyer’s approval, Buyer will be liable for these components in accordance with this Section 2.1. 
 4.2 Precedence. On any conflict between the term of this Agreement and the terms in any exhibit or purchase order, the order of precedence as to the controlling terms shall be as follows:

  

	 	 i.
	 The terms on the face page of Buyer’s purchase order as accepted by Seller; 

	 	 ii.
	 The terms of this Agreement; and 

	 	 iii.
	 The terms of any exhibits to this Agreement. 

 4.3 Increase, Rescheduling and Cancellation. 
 4.3.1 Buyer may increase, decrease or
reschedule the quantity of Products specified in a purchase order by delivering to Seller, by mail or facsimile, a written change order in accordance herewith (each, a “Change Order”); provided that no Change Order shall be effective until
acknowledged and accepted in writing by Seller but further provided that, if Seller fails to acknowledge or reject a Change Order within ten (10 calendar days after Seller actually received said notice, such Change Order will be deemed accepted.

 4.3.2 The schedule of each purchase order can be extended only twice, and the push out time cannot exceed 60 days from the
original or once extended commit date. Buyer may only submit a Change Order in accordance with the following parameters unless otherwise agreed in writing by both parties; 
  

			
	 Number of Calendar Days’
 Advance Notice.
	  	 Percentage of Scheduled Shipment that
 may be Rescheduled (OR Increased or decreased)

		
	0-30 days          	  	                         [***]

	31-60 days        	  	                         [***]

	61-90 days        	  	                         [***]

	91 or more days	  	                         [***]

 4.3.3 The rescheduling or cancellation of any of Buyer’s purchase orders
hereunder shall not affect any installments, or portions thereof, which have already been shipped by Seller. 
 4.3.4 If
Buyer requests that any shipments be rescheduled for more than 60 days at any one time, Buyer shall take ownership of excess material by issuing a purchase order. Buyer has the option to request Seller to (i) hold the excess material [***] or
(ii) accept shipment of excess material and pay purchase order. 
  

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	 Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested
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 4.3.5 Buyer may cancel a Purchase Order hereunder in accordance with the foregoing parameters on written notice to Seller;
provided that, unless otherwise agreed in writing, Buyer’s cancellation of any purchase order, or any portion thereof, shall be subject to Section 4.1.1 above. 
  

	 5.
	 STATEMENT OF WORK. 

 5.1 Manufacturing Standards. The Buyer shall provide the Seller with specifications for the Products (the “Specifications”) The Seller shall maintain a database to ensure that all the Buyers and
components hereunder comply with AML; provided that the Seller shall not be bound by any changes in the AML unless provided by the Buyer in writing. The Seller shall manufacture and assemble each Product at its designated facility in compliance with
the Seller’s workmanship standards and Buyer’s specifications. The Seller shall use reasonable efforts to maintain the highest level of workmanship and shall conform to IPC 610 Class II (Commercial Standard) unless otherwise stated and
agreed to in writing. 
 In any event, if the Specifications described in Section 5.1 above and Seller’s
workmanship conflict, the Seller shall notify Buyer in writing and, unless otherwise agreed, the Specifications shall take precedence. The Buyer may change its manufacturing processes upon the Seller’s prior written approval, which shall not be
unreasonably refused. The Buyer may further request the Seller to repurchase specific material or parts for the manufacture or assembly of the Products. 
 Buyer shall provide support in the manufacturing process, including test procedure, troubleshooting guideline and on site training, as agreed in writing between Seller and Buyer. Boards that fail the testing should go
through the trouble shooting process. Boards that fail again after trouble shooting will be reviewed with Buyer at a regular bi-monthly meeting. Buyer and Seller will agree on disposition of defective boards within 30 days. If it is determined that
the failure is attributed to a design issue (and cannot be repaired within a reasonable period of time), Buyer will take ownership of the board within 60 days. 
 Neither party is granted any right or interest to the trademarks, mark or trade name (collectively, “Marks”) of the other party and neither party may use the other’s Marks without
such other party’s prior written consent. Notwithstanding the foregoing, Seller may use Buyer’s Marks solely in the course of assembling the Products in the packaging provided by Buyer as set forth herein and in the Specifications. Seller
shall not remove any of Buyer’s Marks from any Product or packaging therefore. 
 5.2 Seller Changes. Seller
shall not make or incorporate any changes in the Specifications without Buyer’s prior written approval, which approval shall not be unreasonably withheld. 
 5.3 Buyer Changes. Subject to this Section 5.3, Buyer may make engineering change orders (ECOs) to the Products from time to time during the term hereof by written notification to
Seller, describing the details of those engineering changes. Drawings, designs and/or 

  

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specifications required therefore shall also be supplied by Buyer. In accordance with Section 4.1 above, Buyer shall be liable for any and all NCNR
items and all materials and products purchased by Seller in response to Buyer’s firm orders rendered obsolete by such changes. Subject to Section 7, Buyer may propose an increase or decrease in the unit price of any Products and any
changes in the applicable manufacturing schedule or process subject to Section 4.3.2 above, provided that Buyer allows [***] Seller to provide feedback on proposed changes. The parties shall make all good faith efforts to agree upon any changes
in price, schedule or process [***]. If work-in-process is changed per Buyer’s engineering changes, Seller may ship said products and bill Buyer [***] for the labor and material costs caused by such changes. In addition, a processing fee of
[***] shall be charged to the Buyer when the number of ECOs processed exceeds [***]. 
  

	 6.
	 TOOLING TEST FIXTURES, AND FACILITIES REQUIREMENTS. 

 Seller shall itemize for Buyer all of the process tooling, assembly tools and test fixtures necessary or appropriate for Seller to manufacture the Products hereunder (the “NRE Items”).
Buyer shall issue a purchase order to Seller for all NRE Items prior to Seller’s purchase thereof provided that Buyer’s obligation to remit firm monthly purchase orders during the term hereof under Section 4.1 above shall be modified
to take account of the lead time to purchase and install all NRE Items. If Buyer fails to issue a purchase order for the NRE Items in a timely manner, thereby delaying production, the Product delivery dates set forth on any pending purchase orders
shall be appropriately adjusted. 
 At Buyer’s option, Buyer may ship to Seller on a consignment basis for Seller’s
use during the term hereof Buyer-approved tooling and test fixtures which constitute all or a portion of the NRE Items, subject to each party’s execution of a consignment agreement. Upon termination of this Agreement, Seller shall ship to Buyer
F.O.B. Seller’s manufacturing facility, at Buyer’s expense, all NRE Items paid for by Buyer and consigned to Seller hereunder. Notwithstanding the foregoing, process tooling, assembly tools and test fixtures and all intellectual property
rights herein and thereto which are developed solely at Seller’s expense (and without use of or reference to any of Buyer’s confidential and/or proprietary information or Buyer’s instructions or intellectual property rights) in
connection with Seller’s performance of this Agreement shall be the property of the Seller. All intellectual property produced, improved, or developed by Buyer in connection with the design, manufacture or assembly of the Products shall be
owned exclusively by Buyer. Ownership of any intellectual property developed by Seller shall vest with Buyer, if so developed at Buyer’s expense or based on Buyer’s confidential and/or proprietary information or Buyer’s instruction or
intellectual property rights. 
 Buyer and Seller will come to an agreement on the costs of initial set up of any special
facilities (for example, power requirements other than standard 11OV, special dedicated structures, etc) needed to support the manufacturing of the Buyer’s Product at the Seller’s plant. 
  

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	 Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested
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	 7.
	 PURCHASE PRICE, PAYMENT TERMS AND SALES AND USE TAX. 

 7.1 Purchase Price. The pricing for all Products shall be established by Seller’s quotation; provided that the default standard is PC 610 Class II (Commercial Standard). Subject to
the foregoing, Product pricing shall be detailed in the individual purchase orders submitted by Buyer hereunder. If, during the term of this Agreement, changed prices are put into effect as mutually agreed, such prices shall apply only to purchase
orders issued by Buyer after that effective date. Product price increases will be limited to once per quarter at the beginning of each quarter and Product pricing generally shall be subject to the following: 
 7.1.1. Standard costs shall be reviewed quarterly by the parties. 
 7.1.2 Quarterly cost reductions shall take effect in the new quarter, subject to the consumption of higher-priced material either in
stock, or with purchase orders. 
 7.1.3 Single component cost reductions shall take effect in the next following new
quarter. 
 7.1.4 Due to component market conditions (lead-times and allocations), certain materials and components must be
purchased at higher than standard costs. Seller shall obtain Buyer’s prior written approval before incurring these higher costs. Subject to the foregoing, Seller shall invoice Buyer for such increased costs. 
 7.1.5 Seller will invoice purchase price variance (PPV) on a monthly basis, based on Seller’s receiving report. 
 7.1.6 Purchases with a PPV of [***] per line item will require Buyer’s prior written consent. 
 7.2 Payment Terms. The purchase price for the Products and all other related charges contemplated hereunder shall be due and
payable net 30 days after the date of Seller’s invoice, which invoice shall not be dated prior to Product delivery. The Seller may charge a finance charge equal to the lesser of [***] per month or the highest rate permitted by law to
invoices unpaid after 45 days. 
 7.3 Sales and Use Tax. Buyer shall pay all applicable sales or use taxes, or provide
Seller with a resale tax certificate to support any exemption. If the Products are to be exported after delivery to Buyer, Buyer shall arrange for payment by its customer(s) or end-user(s) of all applicable import duties at the destination country.

  

	 8.
	 PACKAGING, SHIPPING AND DELIVERY. 

 8.1 Packaging. All Products shall be packaged for shipment so as to protect the Products from loss or damage in conformance with good commercial practice, the Specifications, government regulations and other
applicable standards. Any special packaging requirements shall be quoted 
  

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by the Seller and shall be implemented on Buyer’s written approval thereof. 
 8.2 Shipping. All shipments of Products hereunder shall be F.O.B. Seller’s manufacturing facility. Subject to the foregoing, Seller shall deliver Products within 20 miles of such
facility via Seller’s vehicle at no additional charge; provided that Seller shall be responsible for and shall bear all insurance and freight charges in connection therewith. Except as provided in this Section 8.2 for local shipments,
title to Products and risk of loss, damage or destruction shall pass from the Seller to Buyer upon delivery or transfer to the carrier selected by Seller; provided that Seller will reasonably attempt to select the least expensive carrier and seek
Buyer’s approval, which may not be unreasonably withheld. Any loss, injury or destruction of Products hereunder shall not release Buyer from any other obligation under this Agreement. 
  

	 9.
	 INSPECTION, ACCEPTANCE AND REJECTION. 

 9.1 See new Section 17 below. 
 9.2 All Products shall be subject
to inspection and acceptance by Buyer at its expense within ten (10) business days after Buyer receives such Products from Seller. The Buyer shall inspect the delivered Products and notify Seller of its acceptance or rejection of the Products
in writing within ten (10) business days. If the Buyer fails to inspect and accept the Products within the time frame as set forth in this Section 9.2, the Buyer shall waive its rights to claim the existence of any obvious defect or damage
by inspection due solely to mishandling during shipping. 
 9.3 Rejection. Buyer shall give Seller written notice of
any rejection based upon the physical condition of the Products actually received as set forth in Section 9.2. Upon any failure of any of the Products to meet the Specifications, the Seller shall, at its expense, retrieve the nonconforming
Products and either repair or replace of the defective products so that the Products meet the Specifications. Seller shall deliver the Product to Buyers facility, at its expense, and these acceptance and rejection provisions shall be reapplied.

  

	 10.
	 WARRANTIES, REMEDIES AND LIMITATION OF LIABILITY. 

 10.1 Warranty. For a period of 12 months (or such longer period if so warranted by Seller’s suppliers) from the date of delivery of any Product to Buyer (the “Warranty
Period”), Seller warrants that such Product shall (i) be free from defects in materials and workmanship, (ii) have been manufactured and assembled in accordance with Section 5 above, (iii) be free from all liens and
encumbrances and (iii) conform to its respective Specifications and purchase order. [Material warranty may not permit the pass through to 3PAR. 3PAR looks to Flash to resolve material deficiencies – Flash has the direct contractual
relationship with the supplier.] 
 On a breach by Seller of any of the foregoing warranties, and subject to any
indemnification set forth below, Seller’s sole liability and Buyer’s exclusive remedy therefor shall be as follows: (i) Buyer shall return the affected Product(s) to Seller, at Seller’s expense, in accordance with the Return
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as quickly as possible, repair or replace any defective Products returned by Buyer during the Warranty Period and shall ship the repaired or replacement
Products to Buyer, at Seller’s expense. . The unexpired warranty period, plus any time that the Product was in Seller’s possession for repair or replacement, shall apply to the returned Product. If there is no defect found on the product
returned, Seller should charge Buyer a reasonable fee to cover the labor and based on an agreed upon labor rate. 
 10.2
Limitation of Warranty. EXCEPT AS EXPRESSLY STATED IN SECTION 10.1, SELLER HEREBY DISCLAIMS ANY EXPRESS OR IMPLIED WARRANTIES, INCLUDING BUT NOT LIMITED TO ANY IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE. SELLER
SHALL NOT BE RESPONSIBLE FOR ANY DEFECT CAUSED BY PRODUCT MISUSE. 
 10.3 Limitation of Liability. EXCLUDING CLAIMS OR
DAMAGES ARISING OUT OF ONE PARTY’S MISAPPOPRIATION OF THE OTHER PARTY’S INTELLECTUAL PROPERTY OR CONFIDENTIAL INFORMATION OR SUBJECT TO INDEMNICATION UNDER SECTION 11 BELOW, UNDER NO CIRCUMSTANCE SHALL EITHER PARTY BE LIABLE TO THE OTHER,
OR TO ANY OTHER PERSON, FOR SPECIAL, INDIRECT, INCIDENTAL OR CONSEQUENTIAL DAMAGES BASED UPON BREACH OF WARRANTY, BREACH OF CONTRACT, TORT, STATUTORY CLAIM OR ANY OTHER LEGAL THEORY PERTAINING TO ITS PERFORMANCE UNDER THIS AGREEMENT. 
  

	 11.
	 INDEMNIFICATION. 

 11.1 Seller Indemnification. Seller represents and warrants that to the best of its knowledge and belief the manufacturing processes employed in the manufacture of the Products do not infringe on any patent,
trademark, trade secret, copyright or other intellectual property or proprietary right and that Seller is unaware of any claim or infringement, either threatened or pending. Seller shall indemnify, defend and hold Buyer harmless from and against any
claim for such alleged infringement. If any such process is found to so infringe, Seller shall, at its option and sole expense, either make such process non-infringing or procure the rights to continue to use such infringing process; provided that,
if Seller is unable to do either of the foregoing, either party may terminate this Agreement without any further obligation or liability to the other party. The foregoing remedies are the sole and exclusive remedies of the Buyer in the event of an
infringement. Section 10.3 above shall apply with respect to any claim of patent, trademark or copyright infringement made solely with respect to the incorporation of specific components into the Products at the express direction of Buyer,
including such incorporations made in express compliance with the Specifications. 
 Excluding claims to the extent covered
by Section 11.1 above or Section 11.2 below, Seller shall indemnify, defend and hold Buyer harmless from and against any personal injury claims, damages, claims, actions and liability suffered or incurred by Buyer (including
attorney’s fees) resulting from Seller’s negligence, failure to manufacture Products in conformance with Specifications or default of this Agreement. 
  

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 11.2 Buyer Indemnification. Buyer represents and warrants that to the best of its knowledge and belief it owns, or
has the legal right to use, the designs and specifications needed to manufacture the Products, that to the best of its knowledge and belief the designs and specifications do not infringe on any patent, trademark, trade secret, copyright or other
proprietary right, and that Buyer is unaware of any claim of infringement, either threatened or pending. Excluding claims to the extent covered by Sections 11.1 above, Buyer shall defend, indemnify and hold Seller harmless from and against any
claims or liabilities for, or by reason of, any alleged infringement of any patent, trademark, trade secret, copyright or other proprietary right caused by Seller’s use and reliance upon any Product Specification in manufacturing the Product,
or arising out of the Products being incorporated by Buyer into another Product or system which infringe upon any patent, trademark, trade secret, copyright or other proprietary right. The foregoing remedies are the sole and exclusive remedies of
Seller in the event of an infringement or similar claim hereunder. 
 Buyer shall indemnify, defend and hold Seller harmless
from and against any and all claims, damages and liability suffered by Seller resulting from personal injury and/or property damage to third parties, including without limitation Seller’s employees, due to defects in the design of any Product
or the Specification or in any specific component incorporated into a Product at the express direction of the Buyer (including any such incorporated made in express compliance with specific Product Specifications.) 
 Buyer further agrees to indemnify, defend and hold Seller harmless from any claims, demands, causes of action, liabilities or damages,
including attorneys’ fees, arising from or relating to any claim that products manufactured by Seller herein, including any mark, symbol, feature or part thereon, infringe any trademark right. 
 11.3 Condition to Indemnification. The foregoing indemnities are conditioned on (i) the indemnified party’s prompt
written notice of any claim or proceeding subject to indemnity; (ii) the indemnifying party’s control of the defense and settlement of any claim hereunder and (iii) all reasonable cooperation and assistance by the indemnified party in
the defense and settlement of such claim at the expense of the indemnifying party. The indemnifying party shall not be responsible for any costs incurred or compromise made by the indemnified party without the indemnifying party’s prior written
consent. 
  

	 12.
	 INSURANCE. 

 Each party shall have and maintain, during the term hereof and for three (3) years thereafter, product liability insurance with [***] policy limits and automobile liability insurance with policy limits and coverage reasonably adequate
to cover all perils customarily protected against in performing its obligations hereunder. Each party shall provide the other party with a certificate of insurance on request. 
  

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	 Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested
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	 13.
	 CONFIDENTIALITY. 

 It is understood and agreed that the terms of this Agreement are confidential, and no news release, advertisement or public announcement, or denial or confirmation of the same, concerning any part of the subject
matter of this Agreement shall be made by either party hereto without the prior written consent of the other party in each instance except to the extent that such disclosure is needed in any action or proceedings enforce or interpret the Agreement
or its terms or provisions. Further, the parties hereto acknowledge that, during the term hereof, they may become aware of confidential, secret or proprietary information pertaining to the other party and its operations (including, without
limitation, information with respect to bidding, pricing, suppliers and customers or lists thereof, research, development and engineering, and internal operations, inventory control, data processing, technical data, trade secrets, and other
procedures and systems) (“Confidential Information”) and that disclosure of such information would materially and adversely affect the affected party. Each party hereto agrees to maintain such Confidential Information and not to disclose
any such Confidential Information to any person, firm or other entity, or to utilize the same in any manner or form, except as may be expressly required by the terms and conditions of this Agreement. The foregoing obligations of confidentiality
shall not apply to any Confidential Information that the receiving party can show is or was: (i) Already known to the receiving at the time of disclosure without obligation of confidentiality; (ii) Independently developed by the receiving
party without use of or access to the Confidential Information; (iii) Approved for disclosure by the disclosing party beforehand and in writing; (iv) Publicly known without breach of this Agreement; (v) Lawfully received by receiving
party from a third party without obligation of confidentiality; (vi) Required to be disclosed by applicable law or order of a court, tribunal or other governmental agency; provided, however, that the receiving party shall promptly notify the
disclosing party in writing of such requirement, and shall cooperate with the disclosing party to minimize the scope of any such disclosure, and in the obtaining of a confidentiality, protective or similar order. Notwithstanding anything to the
contrary, the confidentiality provisions set forth in this Section 13 shall survive any termination of this Agreement. 
  

	 14.
	 ASSIGNMENT. 

 Either party may freely assign this Agreement without the prior consent of the other party in connection with a transfer of all or substantially all of its business or assets, whether by corporate reorganization, acquisition, sale of assets
or merger. Subject to the foregoing, neither party may assign this Agreement in whole or in part without the prior written consent of the other party, which will not be unreasonably withheld. 
  

	 15.
	 MISCELLANEOUS. 

 15.1 Entire Agreement; Amendment; Severability; and Waiver. This Agreement represents the entire agreement between the parties concerning the subject matter hereof, and may not be modified except in writing
signed by both parties. This Agreement supersedes all proposals or quotations, oral or written, and all negotiations, conversations, or discussions between or among 

  

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the parties relating to the subject matter of this Agreement. Any waiver of any provision of this Agreement must be in writing and signed by the party
alleged to have waived such provision, and any single waiver shall not operate to waive subsequent or other defaults. The unenforceability of any provision of this Agreement shall not affect the remaining provisions or any portions thereof.

 15.2 Notice. Notices or other communications under this Agreement shall be in writing and shall be effective when
delivered personally or by overnight courier, or mailed, postage prepaid, by certified or registered mail to each party at the address set forth below (or to such other address as either party may from time to time provide the other): 
  

			
	 Flash Electronics, Inc.:
	  	 Buyer:

	 4050 Starboard Drive
	  	 3PARdata, Inc

	 Fremont, CA 94538-6402
	  	 (address as above)

	 Attn:
                                
	  	 Attn: Paul Harvey

 15.3 Force Majeure. Nonperformance under this Agreement will be excused,
and neither party will bear any resulting liability to the other, to the extent that such performance is rendered commercially impracticable or delayed by an act of God or any other cause beyond the reasonable control of the non-performing party. If
any force majeure event affecting Buyer or Seller continues for a period exceeding one (1) month without a prospect of a cure of such event, the other side shall have the option, in its sole discretion, to terminate this Agreement, upon 14 days
notice. Such termination shall take effect immediately upon the written notice from the other party to the party affected by the force majeure event. 
 15.4 Relationship of Parties. The parties are and shall be independent contractors to one another, and nothing herein shall be deemed to cause this Agreement to create an agency, partnership, joint venture or
any other relationship between the parties. 
 15.5 Third Party Beneficiary. This Agreement is intended for the
benefit of the parties and their respective permitted assigns and no other persons shall be entitled to rely upon this Agreement or be entitled to any benefits hereunder. 
 15.6 Governing Law; Dispute Resolution. This Agreement shall in all respects be governed by and construed in accordance with the laws of the State of California, excluding that body of
laws known as conflict of laws. All disputes between the parties arising out of or relating to this Agreement (other than actions seeking only equitable remedies) shall be settled by binding arbitration in Alameda County or Santa Clara County,
California pursuant to the Commercial Arbitration Rules of the American Arbitration Association. The arbitrator may award any legal or equitable remedy and may, in his or her own discretion, require one party to pay the costs of the arbitration as
well as the arbitrator’s fees and expenses, including reasonable attorney’s fees, of the other party. 
  

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 15.7 Advertising and Publicity. No advertising, press release or other publicity by Seller or Buyer shall display or
contain any trademarks or references to the other party or its customers without such other party’s prior written consent. 
 15.8 Checks marked “Payment in Full”. Conditioned upon Seller’s continued performance of all its obligations hereunder, Seller may accept and deposit any checks marked “Payment in Full” or words to the like
effect without waiving its right to payment in full hereunder UNLESS BUYER SHALL GIVE WRITTEN NOTICE TO SELLER, SPECIFYING THE AMOUNT IN DISPUTE AND THE BASIS THEREFOR AND STATING THAT THE CHECK IS BEING TENDERED AS FULL PAYMENTSe11er shall
furnish Buyer with any information required during the term of this Agreement to enable Buyer to comply with the requirements of any government agency concerning the sale and use of the Products. 
 15.9 Attorneys’ fees and costs. If any action or proceeding is brought to enforce or interpret the terms or provisions of
this Agreement, the prevailing party shall be entitled to an award of reasonable attorneys’ fees and costs. 
  

	 16.
	 BUYER’S PROPERTY 

 Notwithstanding anything in this Agreement to the contrary, all Buyer’s property shall be clearly segregated and identified as the sole property of Buyer, and maybe provided to a third party by Seller only after
obtaining prior written approval from Buyer. Seller shall bear all costs for damages that may occur to Buyer’s property while in Seller’s possession. Seller shall use Buyer’s property only for fulfilling the performance of this
Agreement. Upon Buyer’s request, or upon the expiration or termination of this Agreement, Seller shall return all Buyers’ property to Buyer in good condition, normal wear and tear excepted. 
 Buyer hereby grants to Seller a non-exclusive, royalty-free, nontransferable license to use Buyer’s intellectual property embodied
in any of Buyer’s property provided to Seller, for the sole purpose of: (i) manufacturing and providing Product(s) hereunder for sale to Buyer under this Agreement, and (ii) providing warranty and support services for the Product(s)
to Buyer under this Agreement. 
  

	 17.
	 QUALITY 

 17.1 Quality Program. In addition to Section 5, Seller shall maintain an objective quality program for all Products supplied pursuant to this Agreement. Seller shall, upon Buyer’s request, provide Buyer copies of
Seller’s program and supporting test documentation. Seller shall use commercially reasonable efforts to promptly undertake, at its sole expense, all actions necessary to implement the procedures and processes to achieve the quality standards,
including without limitation the processes for addressing epidemic failures. (An epidemic failure means the occurrence of failures in excess of the agreed to [AFR] allowances for Products within any three (3) month period for a period of three
(3) years from the date of delivery of the products to Buyer.) 
  

 12 of 14 

 CONFIDENTIAL TREATMENT 
  

 17.2 Manufacturing Site(s). Seller shall manufacture Products only at the manufacturing sites qualified by Buyer.

 17.3 Inspection. Buyer shall have the right to inspect, at Buyer’s expense, Seller’s manufacturing sites
with respect to the manufacturing processes for the Products at any time during the term of this Agreement with reasonable notice. Buyer’s right to inspection shall apply as well to any supplier or authorized subcontractor of Seller. Seller
shall provide, at no charge to Buyer, access to such facilities as are reasonably required by Buyer in performing any inspection. 
  

	 18.
	 TOOLING 

 Notwithstanding anything in this Agreement to the contrary, all tooling produced or obtained for the Products delivered hereunder (if any) and paid for by Buyer shall become and remain the property of Buyer at the time payment in full is
received for the tooling by Seller. Such tooling shall be used by Seller only for the benefit of Buyer, and shall be delivered to Buyer upon request. If Buyer requests the return of any tooling from Seller and Seller determines the return of such
tooling prevents Seller from providing the Products to Buyer, then Seller shall inform Buyer in writing, and Buyer and Seller shall negotiate a mutually acceptable resolution. 
 Buyer, at its sole discretion, may consign to Seller, items, including, but not limited to, materials and/or equipment relating to the production and/or testing of the Products at Seller’s
location. The material and/or equipment shall be utilized by Seller only for the production and/or testing of the Products. Buyer shall assist Seller in installing the materials and/or equipment and shall provide training and maintenance
instructions, if requested by Seller or required by Buyer. Buyer shall be responsible for repairing, upgrading, replacing and/or maintaining the materials and/or equipment consigned to Seller. However, Seller shall provide routine maintenance.

  

	 19.
	 MUTUAL COOPERATION 

 Seller represents that it will pursue this Agreement to the best of its ability and in the best interest of Buyer, and Buyer represents that it will cooperate with Seller in reaching the objectives of this Agreement.
Seller will appoint a project manager for the duration of this Agreement and will require Buyer to establish one person to coordinate all activities through. In the event that the project manager is not operating in the best interest of Buyer, then
Buyer shall contact Seller to discuss Agreement-related concerns and/or complaints. 
  

 13 of 14 

 CONFIDENTIAL TREATMENT 
  

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by the duly authorized representatives as of the day and
year first above written. 
  

									
	 FLASH ELECTRONICS, INC.
	 		 	 BUYER 

		 		 	 3PARdata, Inc.

			
	 /s/ R. Dean
	 		 	 /s/ Paul Harvey

	 Name:
	  	 R. Dean
	 		 	 Name:
	 	 Paul Harvey

	 Title:
	  	 President FUSA
	 		 	 Title:
	 	 Vice President

  

 14 of 14Loan and Security Agreement

 Exhibit 10.20 
 EXECUTION COPY             
 LOAN AND
SECURITY AGREEMENT 
 THIS LOAN AND SECURITY AGREEMENT (the “Agreement”) dated June 30, 2005 by and
among the GOLD HILL LENDERS referenced on Exhibit A attached hereto (as modified from time to time in accordance with Section 12. 1 of this Agreement, the “Gold Hill Lenders”); SILICON VALLEY BANK, a California-chartered bank,
with its principal place of business at 3003 Tasman Drive, Santa Clara, California 95054 (“SVB”) (SVB and the Gold Hill Lenders each individually a “Lender”, and collectively the “Lenders”), SVB in its capacity as agent
(the “Agent”), and 3PARDATA, INC., a California corporation, whose address is 4209 Technology Drive, Fremont, California 94538 (“Borrower”) provides the terms on which Lenders shall lend to Borrower and Borrower shall repay
Lenders. The parties agree as follows: 
  

	 1
	 ACCOUNTING AND OTHER TERMS 

 Accounting terms not defined in this Agreement shall be construed following GAAP. Calculations and determinations must be made following GAAP. The term “financial statements” includes the notes and
schedules. The terms “including” and “includes” always mean “including (or includes) without limitation,” in this or any Loan Document. Capitalized terms in this Agreement shall have the meanings as set forth in
Section 13. All other terms contained in this Agreement, unless otherwise indicated, shall have the meanings provided by the Code, to the extent such terms are defined therein. 
  

	 2
	 LOANS AND TERMS OF PAYMENT  

  

	 	 2.1
	 Promise to Pay. 

 Borrower hereby unconditionally promises to pay Lenders the unpaid principal amount of all Credit Extensions hereunder with all interest, fees and finance charges due thereon as and when due in accordance with this Agreement. 
  

	 	 2.1.1
	 Growth Capital Loan Facility. 

 (a)    Availability. Subject to the terms and conditions of this Agreement, Lenders agree, severally and not jointly, to lend to Borrower from time to time prior to the Growth Capital
Commitment Termination Date, advances (each a “Growth Capital Advance” and collectively the “Growth Capital Advances”) in an aggregate amount not to exceed the Growth Capital Loan Commitment according to each Lender’s pro
rata share of the Growth Capital Loan Commitment (based upon the respective Growth Capital Commitment Percentage of each Lender). When repaid, the Growth Capital Advances may not be re-borrowed. Lenders’ obligation to lend hereunder shall
terminate on the earlier of (i) the occurrence and continuance of an Event of Default, or (ii) the Growth Capital Commitment Termination Date. For purposes of this Section, the minimum amount of each Growth Capital Advance is One Million
Dollars ($1,000,000). 
 (b)    Borrowing Procedure. To obtain a Growth Capital Advance, Borrower
must notify Agent by facsimile or telephone by 12:00 p.m. Pacific Time seven (7) Business Days prior to the date the Growth Capital Advance is to be made (provided, that with respect to the 

  

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 initial Growth Capital Advance under this Agreement, no prior notice shall be required, however, Borrower shall deliver a Payment Advance Form). If such
notification is by telephone, Borrower must promptly confirm the notification by delivering to Agent a completed Payment/Advance Form in the form attached as Exhibit C (a “Payment Advance Form”). On the Growth Capital Funding Date,
each Lender shall credit and/or transfer (as applicable to Borrower’s deposit account, an amount equal to its Growth Capital Commitment Percentage multiplied by the amount of the Growth Capital Advance. Each Lender may make Growth Capital
Advances under this Agreement based on instructions from a Responsible Officer or his or her designee or without instructions if the Growth Capital Advances are necessary to meet Obligations which have become due. 
  

	 	 2.2
	 Termination of Commitment to Lend. 

 Each Lender’s obligation to lend the undisbursed portion of the Obligations shall terminate if, in such Lender’s sole discretion, there has been a material adverse change in the general affairs, management,
results of operation, condition (financial or otherwise) or the prospect of repayment of the Obligations, or there has been any material adverse deviation by Borrower from the most recent business plan of Borrower presented to and accepted by Agent
prior to the execution of this Agreement. 
  

	 	 2.3
	 Repayment of Credit Extensions. 

  

	 	 (a)
	 Principal and Interest Payments On Payment Dates. 

 (i)    For each Growth Capital Advance, Borrower shall make monthly payments of interest only commencing on the first Business Day of the month following the month in which
the Growth Capital Funding Date occurs with respect to such Growth Capital Advance and continuing thereafter during the Growth Capital Repayment Period on the first Business Day of each successive calendar month (each a “Growth Capital Payment
Date”). Commencing on April 1, 2006, Borrower shall make thirty (30) equal monthly payments of principal and interest which would fully amortize the outstanding Growth Capital Advances as of the Growth Capital Commitment Termination
Date over the Growth Capital Repayment Period (individually, the “Growth Capital Scheduled Payment”, and collectively, “Growth Capital Scheduled Payments”). All unpaid principal and accrued interest is due and payable in full on
the last day of the Growth Capital Repayment Period. A Growth Capital Advance may only be prepaid in accordance with Sections 2.3(c), 2.3(d) and 2.3(e). 
 (ii)    Payments received after 12:00 noon Pacific time are considered received at the opening of business on the next Business Day. 
  

	 	 (b)
	 Interest Rate. 

 (i)    Borrower shall pay interest on each Growth Capital Payment Date on the unpaid principal amount of each Growth Capital Advance until the Growth Capital Advance has been paid in full, at the fixed rate equal to the
Basic Rate as of the date of the Growth Capital Funding Date, determined by Agent for each Growth Capital Advance. 
  

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 (ii)    Any amounts outstanding during the continuance of an Event of Default shall bear interest at a per annum
rate equal to five percent (5%) above the highest interest rate otherwise applicable thereto (the “Default Rate”). 
 (c)            Final Payment. On the Maturity Date with respect to each Growth Capital Advance, Borrower shall pay, in addition to the unpaid principal and accrued interest and
all other amounts due on such date with respect to such Growth Capital Advance, an amount equal to the Final Payment. 
 (d)            Mandatory Prepayment Upon an Acceleration. If the Growth Capital Advances are accelerated following the occurrence of an Event of Default or otherwise, Borrower
shall immediately pay to Lenders an amount equal to the sum of: (i) all unpaid Growth Capital Scheduled Payments due prior to the next Growth Capital Payment Date, (ii) all remaining Growth Capital Scheduled Payments (including principal
and interest) to become due, (iii) the Final Payment plus (iv) all other sums, if any, that shall have become due and payable, including interest at the Default Rate with respect to any past due amounts. 
 (e)            Permitted Prepayment of Loans. Borrower shall have the
option to prepay all, but not less than all, of the Growth Capital Advances advanced by Lenders under this Agreement, provided Borrower (i) provides written notice to Agent of its election to prepay the Growth Capital Advances at least five
(5) days prior to such prepayment, and (ii) pays, on the date of such prepayment (A) all unpaid Scheduled Payments due prior to the next such Payment Date, (B) all remaining Scheduled Payments (including principal and interest)
to become due, (C) the Final Payment, plus (D) all other sums, if any, that shall have become due and payable, including interest at the Default Rate with respect to any past due amounts. 
 (f)            Debit of Accounts. Agent may debit any of Borrower’s
deposit accounts including Account Number 3300172477 for principal and interest payments or any amounts Borrower owes Lenders. Agent will promptly notify Borrower when it debits Borrower’s accounts. These debits shall not constitute a set-off.

  

	 	 2.4
	 Fees. 

 Borrower will pay to Agent: 
 (a)    Commitment Fee. A fully earned, non-refundable
Commitment Fee of $10,000 (to be shared between SVB and the Gold Hill Lenders pursuant to their respective Growth Capital Commitment Percentages) due on the Closing Date; 
 (b)    Agent Expenses. All Agent Expenses (including reasonable attorneys’ fees and reasonable expenses) incurred through and after the Closing Date, when due; and

 (c)    Lenders Expenses. All Lenders Expenses (including reasonable attorneys’ fees and
reasonable expenses) incurred through and after the Closing Date, when due. 
  

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 2.5    Additional Costs. If any law or regulation increases any Lender’s costs or reduces its income for
any loan, Borrower shall pay the increase in cost or reduction in income or additional expense; provided, however, that Borrower shall not be liable for any amount attributable to any period before 180 days prior to the date Agent notifies Borrower
of such increased costs. Agent agrees that it shall allocate any increased costs among its customers similarly affected in good faith and in a manner consistent with Agent’s customary practice. 
  

	 3
	 CONDITIONS OF LOANS 

  

	 	 3.1
	 Conditions Precedent to Initial Credit Extension. 

 The Lenders’ agreement to make the initial Credit Extension is subject to the condition precedent that Agent shall have received, in form and substance satisfactory to Agent, such documents
and completion of such other matters, as Agent may reasonably deem necessary or appropriate, including, without limitation, subject to the condition precedent that Agent shall have received in form and substance satisfactory to the Agent the
following: 
 (a)    this Agreement; 
 (b)    a certificate of the Secretary of Borrower with respect to articles, by-laws, incumbency and resolutions
authorizing the execution and delivery of this Agreement; 
 (c)    Perfection Certificate(s) by
Borrower; 
 (d)    Warrants to Purchase Stock; 
 (e)    financing statements (Forms UCC-1); 
 (f)    Account Control Agreement/Investment Account Control Agreements (SVB and other financial institutions); 
 (g)    VC/OC (Management) Letter Agreement; 
 (h)    insurance certificate; 
 (i)    payment of the fees and Agent Expenses and Lenders Expenses then due specified in Section 2.4 hereof; 
 (j)    Certificate of Good Standing/Legal Existence; and 
 (k)    such other documents, and completion of such other matters, as Agent may reasonably deem necessary or appropriate. 
  

	 	 3.2
	 Conditions Precedent to all Credit Extensions. 

 The obligations of Lenders to make each Credit Extension, including the initial Credit Extension, is subject to the following: 
 (a)    timely receipt of any Payment/Advance Form; and 
  

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 (b)    the representations and warranties in Section 5 shall be materially true on the date of the
Payment/Advance Form and on the effective date of each Credit Extension, except that representations and warranties that are made as of a specified date, shall be materially true on such specified date, and no Event of Default shall have occurred
and be continuing, or result from the Credit Extension. Each Credit Extension is Borrower’s representation and warranty on that date that the representations and warranties in Section 5 remain true. 
  

	 4
	 CREATION OF SECURITY INTEREST 

 4.1    Grant of Security Interest. Borrower hereby grants Agent, for the ratable benefit of the Lenders; and to each Lender, to secure the payment and performance in full of all of
the Obligations and the performance of each of Borrower’s duties under the Loan Documents, a continuing security interest in, and pledges to the Agent, for the ratable benefit of the Lenders, and to each Lender the Collateral, wherever located,
whether now owned or hereafter acquired or arising, and all proceeds and products thereof. Borrower warrants and represents that the security interest granted herein shall be a first priority security interest in the Collateral, except for Permitted
Liens. Agent may place a “hold” on any deposit account pledged as Collateral. 
 Except as noted on the Perfection
Certificate, Borrower is not a party to, nor is bound by, any material license with respect to which the Borrower is the licensee that prohibits or otherwise restricts Borrower from granting a security interest in Borrower’s interest in such
license. Without prior consent from Agent, Borrower shall not enter into, or become bound by, any such license which is reasonably likely to have a material impact on Borrower’s business or financial condition. Borrower shall take such steps as
Agent requests to obtain the consent of, or waiver by, any person whose consent or waiver is necessary for all such licenses or contract rights to be deemed “Collateral” and for Agent to have a security interest in it that might otherwise
be restricted or prohibited by law or by the terms of any such license, whether now existing or entered into in the future. 
 Borrower agrees that any disposition of the Collateral in violation of this Agreement, by either the Borrower or any other Person, shall be deemed to violate the rights of the Lenders under the Code. If the Agreement is terminated,
Lenders’ and Agent’s lien and security interest in the Collateral shall continue until Borrower fully satisfies its Obligations (other than inchoate indemnity obligations). If Borrower shall at any time, acquire a commercial tort claim,
which it is asserting, and in which the potential recovery exceeds $100,000, Borrower shall promptly notify Agent in a writing signed by Borrower of the brief details thereof and grant to Agent and Lenders in such writing a security interest therein
and in the proceeds thereof, all upon the terms of this Agreement, with such writing to be in form and substance satisfactory to Agent. 
  

	 	 4.2
	 Authorization to File Financing Statements. 

 Borrower hereby authorizes Agent to file financing statements, without notice to Borrower, with all appropriate jurisdictions, in order to perfect or protect Agent’s and Lenders’
interest or rights hereunder, which financing statement may indicate the Collateral as “all assets of the Debtor” or words of similar effect or as being of an equal or lesser scope, or with greater detail, all in Agent’s discretion.

  

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	 5
	 REPRESENTATIONS AND WARRANTIES 

 Borrower represents and warrants to Agent and each Lender as follows: 
  

	 	 5.1
	 Due Organization and Authorization. 

 Borrower and each Subsidiary is duly existing and in good standing in its state of formation and qualified and licensed to do business in, and in good standing in, any state in which the conduct of its business or its
ownership of property requires that it be qualified, except where the failure to do so could not reasonably be expected to cause a Material Adverse Change. In connection with this Agreement, the Borrower delivered to the Agent a certificate signed
by the Borrower and entitled “Perfection Certificate”. The Borrower represents and warrants to the Agent and each Lender that: (a) the Borrower’s exact legal name is that indicated on the Perfection Certificate and on the
signature page hereof; (b) the Borrower is an organization of the type, and is organized in the jurisdiction, set forth in the Perfection Certificate; (c) the Perfection Certificate accurately sets forth the Borrower’s organizational
identification number or accurately states that the Borrower has none; (d) the Perfection Certificate accurately sets forth the Borrower’s place of business, or, if more than one, its chief executive office as well as the Borrower’s
mailing address if different, and (e) all other information set forth on the Perfection Certificate pertaining to the Borrower is accurate and complete as of the date of the Perfection Certificate. If the Borrower does not now have an
organizational identification number, but later obtains one, Borrower shall forthwith notify the Agent of such organizational identification number. 
 The execution, delivery and performance of the Loan Documents have been duly authorized, and do not conflict with Borrower’s organizational documents, nor constitute an event of default under any material
agreement by which Borrower is bound. Borrower is not in default under any agreement to which or by which it is bound in which the default could reasonably be expected to cause a Material Adverse Change. 
  

	 	 5.2
	 Collateral. 

 Borrower has good title to the Collateral, free of Liens except Permitted Liens. Borrower has no deposit account, other than the deposit accounts with Lenders and deposit accounts described in the Perfection Certificate delivered to Agent
in connection herewith or such other deposit accounts as to which Borrower has notified Lender. The Accounts are bona fide, existing obligations, and the service or property has been performed or delivered to the account debtor or its agent for
immediate shipment to and unconditional acceptance by the account debtor. Except for Demonstration Equipment having an aggregate value not in excess of $1,000,000, the Collateral is not in the possession of any third party bailee (such as a
warehouse). Except as hereafter disclosed to the Lenders in writing by Borrower, none of the components of the Collateral shall be maintained at locations other than as provided in the Perfection Certificate. In the event that Borrower, after the
date hereof, intends to store or otherwise deliver any portion of the Collateral to a bailee, then Borrower will first receive the written consent of Lenders and, upon the request of Agent, such bailee must acknowledge in writing that the bailee is
holding such Collateral for the benefit of Agent and Lenders. All Inventory is in all material respects of good and marketable quality, free from material defects. 

  

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 Borrower is the sole owner of, or has the right to use, the Intellectual Property, except for non-exclusive licenses granted to its customers in the
ordinary course of business. Each Patent is valid and enforceable and no part of the Intellectual Property has been judged invalid or unenforceable, in whole or in part, and no claim has been made that any part of the Intellectual Property violates
the rights of any third party, except to the extent such claim could not reasonably be expected to cause a Material Adverse Change. 
  

	 	 5.3
	 Litigation. 

 Except as shown in the Perfection Certificate, there are no actions or proceedings pending or, to the knowledge of Borrower’s Responsible Officers or legal counsel, threatened by or against Borrower or any Subsidiary in which an
adverse decision could reasonably be expected to cause a Material Adverse Change. 
  

	 	 5.4
	 No Material Deterioration in Financial Statements. 

 All consolidated financial statements for Borrower, and any Subsidiary, delivered to Agent fairly present in all material respects Borrower’s consolidated financial condition and
Borrower’s consolidated results of operations. There has not been any material deterioration in Borrower’s consolidated financial condition since the date of the most recent financial statements submitted to Agent. 
  

	 	 5.5
	 Solvency. 

 The fair salable value of Borrower’s assets (including goodwill minus disposition costs) exceeds the fair value of its liabilities; the Borrower is not left with unreasonably small capital after the transactions in this Agreement; and
Borrower is able to pay its debts (including trade debts) as they mature. 
  

	 	 5.6
	 Regulatory Compliance. 

 Borrower is not an “investment company” or a company “controlled” by an “investment company” under the Investment Company Act. Borrower is not engaged as one of its important activities
in extending credit for margin stock (under Regulations T and U of the Federal Reserve Board of Governors). Borrower has complied in all material respects with the Federal Fair Labor Standards Act. Borrower has not violated any laws, ordinances or
rules, the violation of which could reasonably be expected to cause a Material Adverse Change. None of Borrower’s or any Subsidiary’s properties or assets has been used by Borrower or any Subsidiary or, to the best of Borrower’s
knowledge, by previous Persons, in disposing, producing, storing, treating, or transporting any hazardous substance other than legally. Borrower and each Subsidiary has timely filed all required material tax returns and paid, or made adequate
provision to pay, all material taxes, except those being contested in good faith with adequate reserves under GAAP. Borrower and each Subsidiary has obtained all consents, approvals and authorizations of, made all declarations or filings with, and
given all notices to, all government authorities that are necessary to continue its business as currently conducted, except where the failure to make such declarations, notices or filings would not reasonably be expected to cause a Material Adverse
Change. 
  

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	 	 5.7
	 Subsidiaries. 

 Borrower does not own any stock, partnership interest or other equity securities except for Permitted Investments. 
  

	 	 5.8
	 Full Disclosure. 

 No written representation, warranty or other statement of Borrower in any certificate or written statement given to Agent or any Lender (taken together with all such written certificates and written statements given to Agent or any Lender)
contains any untrue statement of a material fact or omits to state a material fact necessary to make the statements contained in the certificates or statements not misleading, it being recognized by Agent that the projections and forecasts provided
by Borrower in good faith and based upon reasonable assumptions are not viewed as facts and that actual results during the period or periods covered by such projections and forecasts may differ from the projected or forecasted results. 

 

	 6
	 AFFIRMATIVE COVENANTS 

 Borrower shall do all of the following for so long as Agent or any Lender has an obligation to make any Credit Extension, or there are outstanding Obligations: 
  

	 	 6.1
	 Government Compliance. 

 Borrower shall maintain its and all Subsidiaries’ legal existence and good standing as a Registered Organization and maintain qualification in each jurisdiction in which the failure to so qualify would reasonably
be expected to have a material adverse effect on Borrower’s business or operations. Borrower shall comply, and have each Subsidiary comply, with all laws, ordinances and regulations to which it is subject, noncompliance with which could have a
material adverse effect on Borrower’s business or operations or would reasonably be expected to cause a Material Adverse Change. 
  

	 	 6.2
	 Financial Statements, Reports, Certificates. 

 (a)    Borrower shall deliver to Agent: (i) as soon as available, but no later than thirty (30) days after the last day of each month, a company prepared
consolidated balance sheet and income statement covering Borrower’s consolidated operations during the period certified by a Responsible Officer and in a form acceptable to Agent; (ii) as soon as available, but no later than one hundred
eighty (180) days after the last day of Borrower’s fiscal year, audited consolidated financial statements prepared under GAAP, consistently applied, together with an unqualified opinion on the financial statements from an independent
certified public accounting firm reasonably acceptable to Agent; (iii) a prompt report of any legal actions pending or threatened in writing against Borrower or any Subsidiary that could result in damages or costs to Borrower or any Subsidiary
of $250,000 or more; and (iv) budgets, sales projections, operating plans or other financial information reasonably requested by Agent. 
 (b)    Within thirty (30) days after the last day of each month, Borrower shall deliver to Agent with the monthly financial statements a Compliance Certificate signed by a Responsible Officer
in the form of Exhibit E. 
  

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 (c)    Allow Agent to audit Borrower’s Collateral at Borrower’s expense. Such audits shall be conducted no
more often than once every six (6) months unless an Event of Default has occurred and is continuing. 
  

	 	 6.3
	 Inventory; Returns. 

 Borrower shall keep all Inventory in good and marketable condition, free from material defects. Returns and allowances between Borrower and its account debtors shall follow Borrower’s customary practices as they
exist at the Closing Date. Borrower must promptly notify Agent of all returns, recoveries, disputes and claims, that involve more than $250,000. 
  

	 	 6.4
	 Taxes. 

 Borrower shall make, and cause each Subsidiary to make, timely payment of all material federal, state, and local taxes or assessments (other than taxes and assessments which Borrower is contesting in good faith, with adequate reserves
maintained in accordance with GAAP) and will deliver to Agent, on demand, appropriate certificates attesting to such payments. 
  

	 	 6.5
	 Insurance. 

 Borrower shall keep its business and the Collateral insured for risks and in amounts, that are customary and in accordance with standard practices for Borrower’s industry and locations. All property policies shall have a lenders’
loss payable endorsement showing each Lender as an additional loss payee and all liability policies shall show the Lenders and Agent as an additional insured and all policies shall provide that the insurer must give Agent on behalf of Lenders at
least 20 days notice before canceling its policy. At Agent’s request, Borrower shall deliver certified copies of policies and evidence of all premium payments. Upon receipt of the proceeds of any such insurance, Agent shall apply such proceeds
in reduction of the Obligations as Agent shall determine in its good faith business judgment, except that, provided no Default or Event of Default has occurred and is continuing, Agent shall release to Borrower casualty insurance proceeds, which
shall be utilized by Borrower for the replacement of the property with respect to which the insurance proceeds were paid or for the acquisition of other property useful in Borrower’s business and as to which Agent’s security interest is
effective. 
  

	 	 6.6
	 Primary Accounts. 

 (a)    In order to permit the Agent to monitor the Borrower’s financial performance and condition, Borrower, and all Borrower’s Subsidiaries, shall maintain Borrower’s, and such Subsidiaries’, primary
banking accounts with Agent, and will maintain with Agent or its Affiliates deposit accounts and investment accounts into which Borrower, and such Subsidiaries’, deposits or invests at least 40% of its total cash and cash equivalents.

 (b)    Borrower shall identify to Agent, in writing, any bank or securities account opened by Borrower
with any institution other than Agent. In addition, for each such account that the Borrower or Guarantor at any time opens or maintains, Borrower shall, at the Agent’s on behalf of Lenders request and option, pursuant to an agreement in form
and substance acceptable to the Lenders and Agent cause the depository bank or securities intermediary to agree that such account is the collateral of the Agent, on behalf of Lenders pursuant to the terms 

  

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 hereunder. The provisions of the previous sentence shall not apply to deposit accounts exclusively used for payroll, payroll taxes and other employee
wage and benefit payments to or for the benefit of the Borrower’s employees. 
  

	 	 6.7
	 Further Assurances. 

 Borrower shall execute any further instruments and take further action as Agent reasonably requests to perfect or continue Agent’s for the benefit of Lenders security interest in the Collateral or to effect the
purposes of this Agreement. 
  

	 7
	 NEGATIVE COVENANTS 

 Borrower shall not do any of the following without the Agent’s prior written consent for so long as Agent or any Lender has an obligation to make Credit Extensions or there are any outstanding Obligations:

 7.1      Dispositions. Convey, sell, lease, transfer, encumber, grant a Lien on or
otherwise dispose of (collectively “Transfer”) all or any part of its business or property, except for: 
 (i)    sales of Inventory in the ordinary course of business; 
 (ii)    dispositions of obsolete, damaged or worn-out Equipment in the ordinary course of business; 
 (iii)    non-exclusive licensing of Intellectual Property in the ordinary course of business; 
 (iv)    Transfers otherwise explicitly permitted under Section 7.5; and 
 (v)    Other Transfers not otherwise permitted by this Section 7.1 in an aggregate amount not to exceed $100,000 in any fiscal year. 
  

	 	 7.2
	 Changes in Business, Ownership, Management or Locations of Collateral. 

 Engage in or permit any of its Subsidiaries to engage in any business other than the businesses currently engaged in by Borrower or
reasonably related thereto, or have a material change in its ownership (other than by the sale of Borrower’s equity securities in a public offering or to venture capital investors so long as Borrower identifies to Agent the venture capital
investors prior to the closing of the investment), or management. Borrower shall not, without prior written notice to Agent: (i) relocate its chief executive office, or add any new offices or business locations, including warehouses (unless
such new offices or business locations contain less than $50,000 in fair market value of Equipment), or (ii) change its jurisdiction of organization, or (iii) change its organizational structure or type, or (iv) change its legal name,
or (v) change any organizational number (if any) assigned by its jurisdiction of organization. 
  

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	 	 7.3
	 Mergers or Acquisitions. 

 Merge or consolidate, or permit any of its Subsidiaries to merge or consolidate, with any other Person (except that (i) a Subsidiary may merge or consolidate with or into another Subsidiary or Borrower, and
(ii) Borrower may enter into a merger or consolidation for the purposes of reincorporating into another jurisdiction within the United States, with prior written notice to Agent), or acquire, or permit any of its Subsidiaries to acquire, all or
substantially all of the capital stock or property of another Person other than a Subsidiary. 
  

	 	 7.4
	 Indebtedness. 

 Create, incur, assume, or be liable for any Indebtedness, or permit any Subsidiary to do so, other than Permitted Indebtedness. 
  

	 	 7.5
	 Encumbrance. 

 Create, incur, or allow any Lien on any of its property, or assign or convey any right to receive income, including the sale of any Accounts, or permit any of its Subsidiaries to do so, except for Permitted Liens, or permit any Collateral
not to be subject to the first priority security interest granted herein. The Collateral may also be subject to Permitted Liens. Borrower shall not enter into or suffer to exist or become effective any agreement that prohibits or limits
Borrower’s ability to create, incur, assume or suffer to exist any Lien upon any of its property or revenues, whether now owned or hereafter acquired, to secure its obligations other than (i) this Agreement and the other Loan Documents to
which Borrower is a party or (ii) with respect to any property subject to a Lien that constitutes a Permitted Lien under clause (a) or (c) of the definition of Permitted Lien. 
  

	 	 7.6
	 Distributions; Investments. 

 (i)    Directly or indirectly acquire or own any Person, or make any Investment in any Person, other than Permitted Investments, or permit any of its Subsidiaries to do so; or (ii) pay any
dividends or make any distribution or payment or redeem, retire or purchase any capital stock except for Permitted Distributions. 
  

	 	 7.7
	 Transactions with Affiliates. 

 Directly or indirectly enter into or permit to exist any material transaction with any Affiliate of Borrower except for transactions that are in the ordinary course of Borrower’s business, upon fair and
reasonable terms that are no less favorable to Borrower than would be obtained in an arm’s length transaction with a non-affiliated Person. 
  

	 	 7.8
	 Subordinated Debt. 

 Make or permit any payment on any Subordinated Debt, except under the terms of the Subordinated Debt. 
  

	 	 7.9
	 Compliance. 

  

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 Become an “investment company” or a company controlled by an “investment company,” under the Investment Company Act
of 1940 or undertake as one of its important activities extending credit to purchase or carry margin stock, or use the proceeds of any Credit Extension for that purpose; fail to meet the minimum funding requirements of ERISA, permit a Reportable
Event or Prohibited Transaction, as defined in ERISA, to occur; fail to comply with the Federal Fair Labor Standards Act or violate any other law or regulation, if the violation could reasonably be expected to have a material adverse effect on
Borrower’s business or operations or would reasonably be expected to cause a Material Adverse Change, or permit any of its Subsidiaries to do so. 
  

	 8
	 EVENTS OF DEFAULT 

 Any one of the following is an Event of Default: 
  

	 	 8.1
	 Payment Default. 

 Borrower fails to pay (a) any principal or interest due on any of the Growth Capital Advances within three (3) days after their due date or (b) any of the other Obligations within 10 days after notice from Bank. During the
additional period the failure to cure the default shall not constitute an Event of Default (but no Credit Extension shall be made during such cure period). 
  

	 	 8.2
	 Covenant Default. 

 (a)    If Borrower fails to perform any obligation under Sections 6.2 or 6.7 or violates any of the covenants contained in Section 7 of this Agreement, or 
 (b)    If Borrower fails or neglects to perform, keep, or observe any other material term, provision, condition,
covenant, or agreement contained in this Agreement, in any of the Loan Documents, or in any other present or future agreement between Borrower and any Lender and as to any default under such other term, provision, condition, covenant or agreement
that can be cured, has failed to cure such default within ten (10) days after the occurrence thereof; provided, however, that if the default cannot by its nature be cured within the ten (10) day period or cannot after diligent attempts by
Borrower be cured within such ten (10) day period, and such default is likely to be cured within a reasonable time, then Borrower shall have an additional reasonable period (which shall not in any case exceed thirty (30) days) to attempt
to cure such default, and within such reasonable time period the failure to have cured such default shall not be deemed an Event of Default (provided that no Credit Extensions will be made during such cure period). 
  

	 	 8.3
	 Attachment. 

 (i)    Any material portion of Borrower’s assets is attached, seized, levied on, or comes into possession of a trustee or receiver and the attachment, seizure or levy is not removed in ten (10) days;
(ii) the service of process upon the Borrower seeking to attach, by trustee or similar process, any funds of the Borrower on deposit with the Lenders and/or Agent, or any entity under the control of Lenders and/or Agent (including a
subsidiary); (iii) Borrower is enjoined, restrained, or prevented by court order from conducting a material 

  

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 part of its business; (iv) a judgment or other claim becomes a Lien on a material portion of Borrower’s assets; or (v) a notice of lien,
levy, or assessment is filed against any of Borrower’s assets by any government agency and not paid within ten (10) days after Borrower receives notice. These are not Events of Default if stayed or if a bond is posted pending contest by
Borrower (but no Credit Extensions shall be made during the cure period). 
  

	 	 8.4
	 Insolvency. 

 (i)    Borrower is unable to pay its debts (including trade debts) as they mature; (ii) Borrower begins an Insolvency Proceeding; or (iii) an Insolvency Proceeding is begun against Borrower and not dismissed or
stayed within forty-five (45) days (but no Credit Extensions shall be made before any Insolvency Proceeding is dismissed). 
  

	 	 8.5
	 Other Agreements. 

 If there is a default in (a) the Term Loan or the Revolving Line of Credit and Silicon Valley Bank accelerates the maturity of any of the obligations of Borrower thereunder, or (b) any agreement, other than agreements referenced
in clause (a), to which Borrower is a party with a third parly or parties resulting in a right by such third party or parties, whether or not exercised, to accelerate the maturity of any Indebtedness in an amount in excess of S250,000 or that could
result in a Material Adverse Change. 
  

	 	 8.6
	 Judgments. 

 If a judgment or judgments for the payment of money (not covered by insurance) in an amount, individually or in the aggregate, of at least S250,000 shall be rendered against Borrower and shall remain unsatisfied and unstayed for a period of
ten (10) days (provided that no Credit Extensions will be made prior to the satisfaction or stay of such judgment). 
  

	 	 8.7
	 Misrepresentations. 

 If Borrower or any Person acting for Borrower makes any material misrepresentation or material misstatement now or later in any warranty or representation in this Agreement or in any writing delivered to Agent and/or
Lenders or to induce Agent and/or Lenders to enter this Agreement or any Loan Document. 
  

	 9
	 RIGHTS AND REMEDIES 

  

	 	 9.1
	 Rights and Remedies. 

 When an Event of Default occurs and continues Agent may, without notice or demand, do any or all of the following: 
 (a)    Declare all Obligations immediately due and payable (but if an Event of Default described in Section 8.4 occurs all Obligations are immediately due and payable without any action by
Agent and/or Lenders); 
  

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 (b)    Stop advancing money or extending credit for Borrower’s benefit under this Agreement or under any other
agreement between Borrower and Agent and/or Lenders; 
 (c)    Settle or adjust disputes and claims
directly with account debtors for amounts, on terms and in any order that Agent considers advisable and notify any Person owing Borrower money of Agent’s for the benefit of Lenders’ security interest in such funds and verify the amount of
such account. Borrower shall collect all payments in trust for Agent for the benefit of Lenders and, if requested by Agent, immediately deliver the payments to Lenders in the form received from the account debtor, with proper endorsements for
deposit; 
 (d)    Make any payments and do any acts it considers necessary or reasonable to protect its
security interest in the Collateral. Borrower shall assemble the Collateral if Agent requests and make it available as Agent designates. Agent may enter premises where the Collateral is located, take and maintain possession of any part of the
Collateral, and pay, purchase, contest, or compromise any Lien which appears to be prior or superior to its security interest and pay all expenses incurred. Borrower grants Agent for the benefit of Lenders a license to enter and occupy any of its
premises, without charge, to exercise any of Agent’s rights or remedies; 
 (e)    Apply to the
Obligations any (i) balances and deposits of Borrower it holds, or (ii) any amount held by Agent or Lenders owing to or for the credit or the account of Borrower; 
 (f)    Ship, reclaim, recover, store, finish, maintain, repair, prepare for sale, advertise for sale, and sell the Collateral. Agent is hereby granted a non-exclusive,
royalty-free license or other right to use, without charge, Borrower’s labels, patents, copyrights, mask works, rights of use of any name, trade secrets, trade names, trademarks, service marks, and advertising matter, or any similar property as
it pertains to the Collateral, in completing production of, advertising for sale, and selling any Collateral and, in connection with Agent’s exercise of its rights under this Section, Borrower’s rights under all licenses and all franchise
agreements inure to Agent’s for benefit of Lenders; and 
 (g)    Place a “hold” on any
account maintained with Agent and/or deliver a notice of exclusive control, any entitlement order, or other directions or instructions pursuant to any control agreement or similar agreements providing control of any Collateral; and 
 (h)    Dispose of the Collateral according to the Code. 
  

	 	 9.2
	 Power of Attorney. 

 Borrower hereby irrevocably appoints Agent as its lawful attorney-in-fact, to be effective upon the occurrence and during the continuance of an Event of Default, to: (i) endorse Borrower’s name on any checks or other forms of
payment or security; (ii) sign Borrower’s name on any invoice or bill of lading for any Account or drafts against account debtors, (iii) settle and adjust disputes and claims about the Accounts directly with account debtors, for
amounts and on terms Agent determines reasonable; (iv) make, settle, and adjust all claims under Borrower’s insurance policies; and (v) transfer the Collateral into the name of Agent for the benefit of Lenders or a third party as the
Code permits. Borrower hereby appoints Agent as its 

  

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 lawful attorney-in-fact to sign Borrower’s name on any documents necessary to perfect or continue the perfection of any security interest regardless
of whether an Event of Default has occurred until all Obligations (other than inchoate indemnity obligations) have been satisfied in full and Agent and Lenders are under no further obligation to make Credit Extensions hereunder. Agent’s
foregoing appointment as Borrower’s attorney in fact, and all of Agent’s rights and powers, coupled with an interest, are irrevocable until all Obligations (other than inchoate indemnity obligations) have been fully repaid and performed
and Lenders’ and Agent’s obligation to provide Credit Extensions terminates. 
  

	 	 9.3
	 Accounts, Notification and Collection. 

 In the event that an Event of Default occurs and is continuing, Agent may notify any Person owing Borrower money of Agent’s, and Lenders’ security interest in the funds and verify and/or collect the amount
of the Account. After the occurrence of an Event of Default, any amounts received by Borrower shall be held in trust by Borrower for Agent, and, if requested by Agent, Borrower shall immediately deliver such receipts to Agent in the form received
from the account debtor, with proper endorsements for deposit. 
  

	 	 9.4
	 Agent Expenses 

 Any amounts paid by Agent as provided herein are Agent Expenses and are immediately due and payable and shall bear interest at the then applicable rate and be secured by the Collateral. No payments by Agent shall be deemed an agreement to
make similar payments in the future or Agent’s and Lenders’ waiver of any Event of Default. 
  

	 	 9.5
	 Agent’s Liability for Collateral. 

 So long as the Agent and Lenders comply with reasonable banking practices regarding the safekeeping of Collateral, the Agent and Lenders shall not be liable or responsible for: (a) the safekeeping of the
Collateral; (b) any loss or damage to the Collateral; (c) any diminution in the value of the Collateral; or (d) any act or default of any carrier, warehouseman, bailee, or other Person. Borrower bears all risk of loss, damage or
destruction of the Collateral. 
  

	 	 9.6
	 Remedies Cumulative. 

 Agent’s rights and remedies under this Agreement, the Loan Documents, and all other agreements are cumulative. Agent has all rights and remedies provided under the Code, by law, or in equity. Agent’s
exercise of one right or remedy is not an election, and Agent’s waiver of any Event of Default is not a continuing waiver. Agent’s delay is not a waiver, election, or acquiescence. No waiver hereunder shall be effective unless signed by
Agent and each Lender and then is only effective for the specific instance and purpose for which it was given. 
  

	 	 9.7
	 Demand Waiver. 

 Borrower waives demand, notice of default or dishonor, notice of payment and nonpayment, notice of any default, nonpayment at maturity, release, compromise, settlement, extension, or renewal of accounts, documents, instruments, chattel
paper, and guarantees held by Agent on which Borrower is liable. 
  

 15 

	 10
	 NOTICES 

 Notices or demands by either party about this Agreement must be in writing and personally delivered or sent by an overnight delivery service, or by certified mail, postage prepaid, return receipt requested, or by telefacsimile at the
addresses listed below. A party may change its notice address by written notice to the other party. 
  

			
	 If to Borrower:
	  	 3PARdata, Inc.
 4209
Technology Drive
 Fremont, CA 94538
 Attn: Chief Financial Officer
 Fax: (510) 668-9596

		
	 If to Agent:
 or SVB:
	  	 Silicon Valley Bank
 3003 Tasman Drive
 Santa Clara, California 95054
 Attn: Quentin Falconer
 Fax: (510) 608-4787

		
	 If to Lender:
	  	 Gold Hill Venture Lending 03, LP
 3003 Tasman Drive
 Santa Clara, California 95054
 Attn: Rob Helm
 Fax: (650) 654-6256

		
	 with a copy to:
	  	 Bingham McCutchen LLP
 1900 University Avenue
 East Palo Alto, CA 94303
 Attn: Pamela J. Martinson
 Fax: (650) 849-4800

  

	 11
	 CHOICE OF LAW, VENUE AND JURY TRIAL WAIVER 

 California law governs the Loan Documents without regard to principles of conflicts of law. Borrower and Lenders, and Agent each submit to the exclusive jurisdiction of the State and Federal
courts in California and Borrower accepts jurisdiction of the courts and venue in Santa Clara County, California. NOTWITHSTANDING THE FOREGOING, THE AGENT SHALL HAVE THE RIGHT TO BRING ANY ACTION OR PROCEEDING AGAINST THE BORROWER OR ITS PROPERTY IN
THE COURTS OF ANY OTHER JURISDICTION WHICH THE AGENT DEEMS NECESSARY OR APPROPRIATE IN ORDER TO REALIZE ON THE COLLATERAL OR TO OTHERWISE ENFORCE THE LENDERS’ OR AGENT’S RIGHTS AGAINST THE BORROWER OR ITS PROPERTY. 
 BORROWER, AGENT, AND LENDERS EACH WAIVE THEIR RIGHT TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION ARISING OUT OF OR BASED UPON THIS
AGREEMENT, THE LOAN DOCUMENTS OR ANY CONTEMPLATED TRANSACTION, INCLUDING CONTRACT, TORT, BREACH OF DUTY AND ALL OTHER CLAIMS. THIS WAIVER IS A MATERIAL INDUCEMENT FOR BOTH PARTIES 

  

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 TO ENTER INTO THIS AGREEMENT. EACH PARTY HAS REVIEWED THIS WAIVER WITH ITS COUNSEL. 
  

	 12
	 GENERAL PROVISIONS 

  

	 	 12.1
	 Successors and Assigns. 

 This Agreement binds and is for the benefit of the successors and permitted assigns of each party. Borrower may not assign this Agreement or any rights or Obligations under it without Agent’s prior written
consent which may be granted or withheld in Agent’s discretion. Lenders and Agent have the right, without the consent of or notice to Borrower, to sell, transfer, assign, negotiate, or grant participation in all or any part of, or any interest
in, Lenders’ obligations, rights and benefits under this Agreement, the Loan Documents or any related agreement, including, without limitation, an assignment to any Affiliate or related party. 
  

	 	 12.2
	 Indemnification. 

 Borrower hereby indemnifies, defends and holds Agent and the Lenders and their respective officers, employees, and agents harmless against: (a) all obligations, demands, claims, and liabilities asserted by any other party in connection
with the transactions contemplated by the Loan Documents; and (b) all losses, Agent Expenses, or Lenders Expenses incurred, or paid by Lenders and/or Agent from, following, or consequential to transactions between Lenders and Borrower
(including reasonable attorneys’ fees and expenses), except, in the case of clauses (a) and (b), for losses caused by Lender’s or Agent’s gross negligence or willful misconduct. 
  

	 	 12.3
	 Attorneys’ Fees, Costs and Expenses. 

 In any action or proceeding between Borrower and Agent arising out of the Loan Documents the prevailing party will be entitled to recover its reasonable attorneys’ fees and other reasonable costs and expenses
incurred, in addition to any other relief to which it may be entitled. 
  

	 	 12.4
	 Right of Set-Off. 

 Borrower and any guarantor hereby grant to Agent for the ratable benefit of Lenders, a lien, security interest and right of set-off as security for all Obligations to Agent and each Lender, hereunder, whether now existing or hereafter
arising upon and against all deposits, credits, collateral and property, now or hereafter in the possession, custody, safekeeping or control of Agent or any entity under the control of the Agent (including an Agent subsidiary) or in transit to any
of them. At any time after the occurrence and during the continuance of an Event of Default, without demand or notice, Agent may set-off the same or any part thereof and apply the same to any liability or obligation of Borrower and any guarantor
even though unmatured and regardless of the adequacy of any other collateral securing the Obligations. ANY AND ALL RIGHTS TO REQUIRE AGENT TO EXERCISE ITS RIGHTS OR REMEDIES WITH RESPECT TO ANY OTHER COLLATERAL WHICH SECURES THE OBLIGATIONS, PRIOR
TO EXERCISING ITS RIGHT OF SETOFF WITH RESPECT TO SUCH DEPOSITS, CREDITS OR OTHER PROPERTY OF THE BORROWER OR ANY 

  

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 GUARANTOR, ARE HEREBY KNOWINGLY, VOLUNTARILY AND IRREVOCABLY WAIVED. 
  

	 	 12.5
	 Time of Essence. 

 Time is of the essence for the performance of all Obligations in this Agreement. 
  

	 	 12.6
	 Severability of Provision. 

 Each provision of this Agreement is severable from every other provision in determining the enforceability of any provision. 
  

	 	 12.7
	 Amendments in Writing, Integration. 

 All amendments to this Agreement must be in writing signed by both Agent and Borrower. This Agreement and the Loan Documents represent the entire agreement about this subject matter, and supersede prior negotiations
or agreements. All prior agreements, understandings, representations, warranties, and negotiations between the parties about the subject matter of this Agreement and the Loan Documents merge into this Agreement and the Loan Documents. 
  

	 	 12.8
	 Counterparts. 

 This Agreement may be executed in any number of counterparts and by different parties on separate counterparts, each of which, when executed and delivered, are an original, and all taken together, constitute one Agreement. 
  

	 	 12.9
	 Survival. 

 All covenants, representations and warranties made in this Agreement continue in full force while any Obligations (other than inchoate indemnity obligations) remain outstanding. This Agreement shall terminate, except that Section 12.2
will survive pursuant to the terms of the following sentence, upon the payment in full of the Obligations (other than inchoate indemnity obligations) and the termination of Lenders’ commitment to make Credit extensions under this Agreement. The
obligation of Borrower in Section 12.2 to indemnify each Lender and Agent shall survive until the statute of limitations with respect to such claim or cause of action shall have run. 
  

	 	 12.10
	 Confidentiality. 

 In handling any confidential information or non-public information of Borrower, each of Agent and Lenders will exercise the same degree of care that it exercises for its own proprietary information and will maintain the confidentiality of
such information, but disclosure of information may be made: (a) to any Lender’s subsidiaries or affiliates in connection with their present or prospective business relations with Borrower; (b) to prospective transferees or purchasers
of any interest in the Credit Extensions; (c) as required by law, regulation, subpoena, or other order so long as Borrower is given notice thereof if practicable (and Agent or the Lender is permitted to provide such notice) and an opportunity
to seek a protective order, (d) as required 

  

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 in connection with Agent or any Lender’s examination or inspection/audit; and (e) as Agent and Lenders consider appropriate in exercising
remedies under this Agreement, provided, that in each case set forth in (b), (d) and (e), such recipient of confidential information is bound by confidentiality obligations similar to those set forth herein, whether contractual or the result of
regulation. Confidential information does not include information that either: (x) is in the public domain or in Agent or any Lender’s possession when disclosed to it, or becomes part of the public domain after disclosure to Agent or any
Lender; or (y) is disclosed to Agent or any Lender by a third party. 
  

	 	 12.11
	 Effective Date. 

 Notwithstanding anything set forth in this Agreement or any Loan Document to the contrary, this Agreement and all of the Loan Documents shall not be effective until the date on which the Agent and each Lender executes this Agreement as
indicated on the signature page to this Agreement. 
  

	 13
	 DEFINITIONS 

  

	 	 13.1
	 Definitions. 

 In this Agreement: 
 “Accounts” are all existing and later arising accounts, contract rights, and
other obligations owed Borrower in connection with its sale or lease of goods (including licensing software and other technology) or provision of services, all credit insurance, guaranties, other security and all merchandise returned or reclaimed by
Borrower and Borrower’s Books relating to any of the foregoing, as such definition may be amended from time to time according to the Code. 
 “Affiliate” is a Person that owns or controls directly or indirectly the Person, any Person that controls or is controlled by or is under common control with the Person, and each of that Person’s
senior executive officers, directors, partners and, for any Person that is a limited liability company, that Person’s managers and members. 
 “Agent” means SVB, not in its individual capacity, but solely in its capacity as agent on behalf of and for the benefit of the Lenders. 
 “Agent Expenses” are all audit fees and expenses and reasonable costs or expenses (including reasonable attorneys’
fees and expenses) for preparing, negotiating, administering, defending and enforcing the Loan Documents (including appeals or Insolvency Proceedings). 
 “Basic Rate” is, as of the Growth Capital Funding Date the per annum rate of interest (based on a year of 360 days) equal to the sum of (a) U.S. Treasury note yield to maturity for a term equal
to the three-year treasury note maturity as quoted in the Wall Street Journal on the day the Loan Supplement is prepared, plus (b) the Loan Margin. 
  

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 “Borrower’s Books” are all Borrower’s books and records including ledgers, records regarding Borrower’s,
assets or liabilities, the Collateral, business operations or financial condition and all computer programs or discs or any equipment containing the information. 
 “Business Day” is any day that is not a Saturday, Sunday or a day on which the Agent is closed. 
 “Closing Date” is the date of this Agreement. 
 “Code” is the Uniform Commercial Code as adopted in California as amended and in effect from time to time. 
 “Collateral” is any and all properties, rights and assets of the Borrower granted by the Borrower to Lenders or arising under the Code, now, or in the future, including, without limitation, the
property described on Exhibit B. 
 “Contingent Obligation” is, for any Person, any direct or
indirect liability, contingent or not, of that Person for (i) any indebtedness, lease, dividend, letter of credit or other obligation of another such as an obligation directly or indirectly guaranteed, endorsed, co-made, discounted or sold with
recourse by that Person, or for which that Person is directly or indirectly liable; (ii) any obligations for undrawn letters of credit for the account of that Person; and (iii) all obligations from any interest rate, currency or commodity
swap agreement, interest rate cap or collar agreement, or other agreement or arrangement designated to protect a Person against fluctuation in interest rates, currency exchange rates or commodity prices; but “Contingent Obligation” does
not include endorsements in the ordinary course of business. The amount of a Contingent Obligation is the stated or determined amount of the primary obligation for which the Contingent Obligation is made or, if not determinable, the maximum
reasonably anticipated liability for it determined by the Person in good faith; but the amount may not exceed the maximum of the obligations under the guarantee or other support arrangement. 
 “Credit Extension” is each Growth Capital Advance or any other extension of credit under this Agreement by any Lender
for Borrower’s benefit. 
 “Demonstration Equipment” shall mean products of Borrower delivered to
potential resellers or customers. 
 “Equipment” is all present and future machinery, equipment, tenant
improvements, furniture, fixtures, vehicles, tools, parts and attachments in which Borrower has any interest. 
 “Final Payment” is a payment (in addition to and not a substitution for the regular monthly payments of principal plus accrued interest) due on the Maturity Date for such Growth Capital Advance equal to the Loan Amount for
such Growth Capital Advance multiplied by the Final Payment Percentage. 
 “Final Payment Percentage” is,
for each Growth Capital Advance, 4.0%.  
 “GAAP” is generally accepted accounting principles.

  

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 “Growth Capital Advance” or “Growth Capital Advances” is defined in Section 2.1.1(a). 

“Growth Capital Loan Commitment” is Six Million Dollars ($6,000,000).  
 “Growth Capital Commitment Termination Date” is March 31, 2006. 
 “Growth Capital Funding Date” is any date on which a Growth Capital Advance is made to or on account of Borrower.

 “Growth Capital Commitment Percentage” means with respect to SVB twenty and 83/100 percent (20.83%), and
with respect to the Gold Hill Lenders means seventy-nine and 17/100 percent (79.17%). 
 “Growth Capital Payment
Date” is defined in Section 2.3(a)(i). 
 “Growth Capital Repayment Period” is a period of
time equal to thirty (30) consecutive months commencing on April 1, 2006. 
 “Growth Capital Scheduled
payment” is defined in Section 2.3(a)(i).  
 “Guarantor” is any present or future
guarantor of the Obligations. 
 “Indebtedness” is (a) indebtedness for borrowed money or the deferred
price of property or services, such as reimbursement and other obligations for surety bonds and letters of credit, (b) obligations evidenced by notes, bonds, debentures or similar instruments, (c) capital lease obligations and
(d) Contingent Obligations. 
 “Insolvency Proceeding” is any proceeding by or against any Person under
the United States Bankruptcy Code, or any other bankruptcy or insolvency law, including assignments for the benefit of creditors, compositions, extensions generally with its creditors, or proceedings seeking reorganization, arrangement, or other
relief. 
 “Intellectual Property” means all present and future (a) copyrights, copyright rights,
copyright applications, copyright registrations and like protections in each work of authorship and derivative work thereof, whether published or unpublished, (b) trade secret rights, including all rights to unpatented inventions and know how,
and confidential information; (c) mask work or similar rights available for the protection of semiconductor chips; (d) patents, patent applications and like protections including without limitation improvements, divisions, continuations,
renewals, reissues, extensions and continuations-in-part of the same; (e) trademarks, servicemarks, trade styles, and trade names, whether or not any of the foregoing are registered, and all applications to register and registrations of the
same and like protections, and the entire goodwill of the business of Borrower connected with and symbolized by any such trademarks; (f) computer software and computer software products; (g) designs and design rights; (h) technology;
(i) all claims for damages by way of past, present and future infringement of any of the rights included above; and (j) all licenses or other rights to use any property or rights of a type described above. 
  

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 “Inventory” is present and future inventory in which Borrower has any interest, including merchandise, raw materials,
parts, supplies, packing and shipping materials, work in process and finished products intended for sale or lease or to be furnished under a contract of service, of every kind and description now or later owned by or in the custody or possession,
actual or constructive, of Borrower, including inventory temporarily out of its custody or possession or in transit and including returns on any accounts or other proceeds (including insurance proceeds) from the sale or disposition of any of the
foregoing and any documents of title. 
 “Investment” is any beneficial ownership of (including stock,
partnership interest or other securities) any Person, or any loan, advance or capital contribution to any Person. 
 “Lenders Expenses” are all audit fees and expenses and reasonable costs or expenses (including reasonable attorneys’ fees and expenses) for preparing, negotiating, administering, defending and enforcing the Loan
Documents (including appeals or Insolvency Proceedings). 
 “Letter-of-Credit Right” means a right to
payment or performance under a letter of credit, whether or not the beneficiary has demanded or is at the time entitled to demand payment or performance. 
 “Lien” is a mortgage, lien, deed of trust, charge, pledge, security interest or other encumbrance. 
 “Loan Documents” are, collectively, this Agreement, any note, or notes or guaranties executed by Borrower or Guarantor, and any other present or future agreement between Borrower and/or for the
benefit of Lenders and Agent in connection with this Agreement, all as amended, extended or restated, provided, that for the avoidance of doubt, the term “Loan Documents” shall not include the Revolving Line of Credit or the Term Loan or
any other documents executed in connection with such Revolving Line of Credit or Term Loan. 
 “Loan Margin”
is 5.97 percent. 
 “Material Adverse Change” is: (i) a material impairment in the perfection or
priority of Lenders’ security interest in the Collateral or in the value of such Collateral; (ii) a material adverse change in the business, operations, or condition (financial or otherwise) of the Borrower; or (iii) a material
impairment of the prospect of repayment of any portion of the Obligations 
 “Obligations” are debts,
principal, interest, Final Payment, Agent Expenses, Lenders Expenses, and other amounts Borrower owes Lenders and/or Agent now or later arising under this Agreement and the Loan Documents, and including interest accruing after Insolvency Proceedings
begin. Notwithstanding the foregoing, any obligations of Borrower to Lenders with respect to any warrants issued to Lenders in connection with the transactions contemplated by this Agreement shall not be deemed to be “Obligations”
hereunder. 
 “Permitted Distributions” means: 
 (a)    purchases of capital stock from former employees, consultants and directors pursuant to repurchase agreements
or other similar agreements; 
  

 22 

 EXECUTION COPY             
 (b)    distributions or dividends consisting solely of Borrower’s capital stock; 
 (c)    purchases for value of any rights distributed in connection with any stockholder rights plan; and 

(d)    any Subsidiary may pay dividends or make distributions to Borrower or another Subsidiary. 
 “Permitted Indebtedness” is: 
 (a)    Borrower’s Indebtedness to Lenders and Agent under this Agreement or the Loan Documents; 
 (b)    Borrower’s Indebtedness to SVB under the Revolving Line of Credit and Term Loan; 
 (c)    Indebtedness existing on the Closing Date and shown on the Perfection Certificate; 
 (d)    capitalized leases and purchase money Indebtedness secured by Permitted Liens not exceeding $100,000; 
 (e)    refinanced Permitted Indebtedness, provided that the amount of such Indebtedness is not increased except by an
amount equal to a reasonable premium or other reasonable amount paid in connection with such refinancing and by an amount equal to any existing, but unutilized, commitment thereunder; 
 (f)    Indebtedness of Borrower to any Subsidiary to the extent it is Subordinated Debt; Indebtedness of any
Subsidiary to another Subsidiary; and Indebtedness of any Subsidiary to Borrower to the extent permitted under clause (g) of the definition of Permitted Investments; 
 (g)    Indebtedness under any performance, surety, statutory or appeal bonds or similar obligations incurred in the ordinary course of business; 
 (h)    Indebtedness to trade creditors incurred in the ordinary course of business; and 
 (i)    Other Indebtedness in an aggregate amount not to exceed $250,000 in aggregate principal amount outstanding at
any time. 
 “Permitted Investments” are: 
 (a)    Investments existing on the Closing Date; and 
  

 23 

 EXECUTION COPY             
 (b)    (i) marketable direct obligations issued or unconditionally guaranteed by the United States or its agency or
any state maturing within 1 year from its acquisition, (ii) commercial paper maturing no more than 1 year after its creation and having the highest rating from either Standard & Poor’s Corporation (“S&P) or Moody’s
Investors Service, Inc. (“Moody’s”), (iii) SVB’s certificates of deposit issued maturing no more than two (2) years after issue, (iv) repurchase agreements having maturities of not more than 90 days; (v) money
market accounts maintained with mutual funds having assets in excess of $1,000,000; (vi) tax exempt securities rated A or better by Moody’s or A+ or better by S&P; (vii) mutual funds having at least 95% of their assets invested in
the foregoing Investments, and (viii) other Investments permitted by Borrower’s investment policy that has been approved by its board of directors (or a committee thereof) and Bank; 
 (c)    Investments consisting of deposit and investment accounts in the name of Borrower; 
 (d)    Investments consisting of extensions of credit to Borrower’s or its Subsidiaries’ customers in the
nature of accounts receivable, prepaid royalties or notes receivable arising from the sale or lease of goods, provision of services or licensing activities of Borrower; 
 (e)    Investments received in satisfaction or partial satisfaction of obligations owed by financially troubled obligors; 
 (f)    Investments acquired in exchange for any other Investments in connection with or as a result of a bankruptcy,
workout, reorganization or recapitalization; 
 (g)    Investments of Subsidiaries in or to Borrower;
Investments of Subsidiaries in or to other Subsidiaries. 
 (h)    loans by Borrower to Subsidiaries in
an aggregate amount not to exceed $300,000 in principal amount outstanding at any time; 
 (i)    Investments consisting of (i) travel advances, employee relocation loans and other employee loans and advances in the ordinary course of business not to exceed $100,000 and (ii) non-cash loans to
employees, officers or directors relating to the purchase of equity securities of Borrower pursuant to employee stock purchase plans or arrangements approved by Borrower’s board of directors; 
 (j)    temporary advances to cover incidental expenses in the ordinary course of business; 
 (k)    joint ventures or strategic alliances in the ordinary course of Borrower’s business consisting of the
non-exclusive licensing of technology, the development of technology or the providing of technical support, provided that any cash investments by Borrower do not exceed $250,000 in the aggregate in any fiscal year; and 
 (1)    other Investments in an aggregate amount not to exceed $50,000 in any fiscal year. 
  

 24 

 EXECUTION COPY             
 “Permitted Liens” are: 
 (a)    (i) Liens existing on the Effective Date and shown on the Representations; (ii) Liens in favor of Agent and Lenders arising under this Agreement or other Loan Documents; and
(iii) Liens in favor of SVB arising under the Revolving Line of Credit or the Term Loan; 
 (b)    Liens for taxes, fees, assessments or other government charges or levies, either not delinquent or being contested in good faith and for which Borrower maintains adequate reserves on Borrower’s Books, if they
have no priority over any of Agent’s security interests; 
 (c)    Liens (including with respect to
capital leases) (i) on property (including accessions, additions, parts, replacements, fixtures, improvements and attachments thereto, and the proceeds thereof) acquired or held by Borrower or its Subsidiaries incurred for financing such
property (including accessions, additions, parts, replacements, fixtures, improvements and attachments thereto, and the proceeds thereof), or (ii) existing on property (and accessions, additions, parts, replacements, fixtures, improvements and
attachments thereto, and the proceeds thereof) when acquired, if the Lien is confined to such property (including accessions, additions, parts, replacements, fixtures, improvements and attachments thereto, and the proceeds thereof) and the
Indebtedness is Permitted Indebtedness; 
 (d)    Liens incurred in the extension, renewal or refinancing
of the indebtedness secured by Liens described in (a) through (c), but any extension, renewal or replacement Lien must be limited to the property encumbered by the existing Lien and the principal amount of the indebtedness it secures may not
increase; 
 (e)    licenses or sublicenses granted in the ordinary course of Borrower’s business
and any interest or title of a licensor or under any license or sublicense, if the licenses and sublicenses permit granting Agent a security interest; 
 (f)    leases or subleases granted in the ordinary course of Borrower’s or any of its Subsidiaries’ business, including in connection with Borrower’s leased premises or leased
property; 
 (g)    carriers’, warehousemen’s, mechanics’, materialmen’s,
repairmen’s or other like Liens arising in the ordinary course of business which are not overdue for a period of more than 30 days or which are being contested in good faith and by appropriate proceeding if adequate reserves with respect
thereto are maintained on the books of the applicable Person; 
 (h)    pledges or deposits in the
ordinary course of business in connection with workers’ compensation, unemployment insurance and other social security legislation; 
 (i)    deposits to secure the performance of bids, trade contracts (other than for borrowed money), contracts for the purchase of property, leases, statutory obligations, surety and appeal bonds,
performance bonds and other obligations of a like nature, in each case, incurred in the ordinary course of business and not representing an obligation for borrowed money; 
  

 25 

 EXECUTION COPY             
 (j)    easements, rights-of-way, restrictions and other similar encumbrances affecting real property which do not
materially detract from the value of the property subject thereto or materially interfere with the ordinary conduct of the business of the applicable Person; 
 (k)    statutory, common law or contractual Liens of depository institutions or institutions holding securities accounts (including rights of set-off) provided they are
subordinate to Bank’s Liens pursuant to the terms of a control agreement; 
 (1)    Liens in favor
of customs or revenue authorities arising as a matter of law to secure payment of customs duties in connection with the importation of goods; 
 (m)    Liens on insurance proceeds in favor of insurance companies granted solely to secure financed insurance premiums. 
 (n)    Liens arising from judgments, decrees or attachments in circumstances not constituting an Event of Default; and 
 (o)    Liens securing Subordinated Debt. 
 “Person” is any individual, sole proprietorship, partnership, limited liability company, joint venture, company association, trust, unincorporated organization, association,
corporation, institution, public benefit corporation, firm, joint stock company, estate, entity or government agency. 
 “Proceeds” has the meaning described in the Code as in effect from time to time. 
 “Registered Organization” means an organization organized solely under the law of a single state or the United States and as to which the state or the United States must maintain a public record showing the organization to
have been organized. 
 “Responsible Officer” is each of the Chief Executive Officer, President, Chief
Financial Officer and the Controller of Borrower. 
 “Revolving Line of Credit” means the revolving credit
facility provided to Borrower by Silicon Valley Bank pursuant to a Loan and Security Agreement dated June 30, 2005. 
 “Schedule” is any attached schedule of exceptions. 
 “Subordinated Debt” is debt
incurred by Borrower subordinated to Borrower’s debt to Lenders (pursuant to a subordination agreement entered into between the Agent, the Borrower and the subordinated creditor), on terms acceptable to Agent. 
 “Subsidiary” is any Person, corporation, partnership, limited liability company, joint venture, or any other business
entity of which more than 50% of the voting stock or other equity interests is owned or controlled, directly or indirectly, by the Person or one or more Affiliates of the Person. 
  

 26 

 EXECUTION COPY             
 “Supporting Obligation” means a Letter-of-credit right, secondary obligation or obligation of a secondary obligor or
that supports the payment or performance of an account, chattel paper, a document, a general intangible, an instrument or investment property. 
 “Term Loan” means the term loan provided to Borrower by Silicon Valley Bank pursuant to a Loan and Security Agreement dated September 22, 2004. 
 “Total Liabilities” is on any day, obligations that should, under GAAP, be classified as liabilities on Borrower’s
consolidated balance sheet, including all Indebtedness, and current portion of Subordinated Debt permitted by Agent to be paid by Borrower, but excluding all other Subordinated Debt. 
 [signature page follows] 
  

 27 

 EXECUTION COPY             
 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first above written.

  

			
	 BORROWER:

	
	 3PARdata, Inc.

		
	 By:
	 	 /s/ Adriel G. Lures

		 	 Name: Adriel G. Lures

		 	 Title:   VP Finance & CFO

	
	 AGENT:

	
	 SILICON VALLEY BANK

		
	 By:
	 	 /s/ Quentin Falconer

		 	 Name:  Quentin Falconer

		 	 Title:    Senior V.P.

	
	 LENDERS:

	
	 GOLD HILL VENTURE LENDING 03, LP

	 By: Gold Hill Venture Lending Partners 03, LLC
        General Partner

		
	 By:
	 	 /s/ Sean Lynden

		 	 Name:  Sean Lynden

		 	 Manager

	
	 SILICON VALLEY BANK

		
	 By:
	 	 /s/ Quentin Falconer

		 	 Name:  Quentin Falconer

		 	 Title:    Senior V.P.

 Effective as of June 30, 2005 
  

 28 

 EXHIBIT A 
 Gold Hill Venture Lending 03, LP 
 Exhibit A 

 EXHIBIT B 
 The Collateral consists of all right, title and interest of Borrower in and to the following: 
 All goods, equipment, inventory, contract rights or rights to payment of money, license agreements, franchise agreements, general intangibles (including payment intangibles), accounts (including health-care
receivables), documents, instruments (including any promissory notes), chattel paper (whether tangible or electronic), cash, deposit accounts, fixtures, letters of credit rights (whether or not the letter of credit is evidenced by a writing),
commercial tort claims, securities, and all other investment property, financial assets, whether now owned or hereafter acquired, wherever located; all Supporting Obligations and all of the Borrower’s Books relating to the foregoing and any and
all claims, rights and interests in any of the above and all substitutions for, additions and accessions to and Proceeds thereof. 
 All Letter-Of-Credit Rights (whether or not the letter of credit is evidenced by a writing); and 
 All
Borrower’s Books relating to the foregoing and any and all claims, rights and interests in any of the above and all substitutions for, additions, attachments, accessories, accessions and improvements to and replacements, products, proceeds and
insurance proceeds of any or all of the foregoing. 
 The Collateral does not include: 
 Any Intellectual Property. Notwithstanding the foregoing, the Collateral shall include all accounts, license and royalty fees and other
revenues, proceeds, or income arising out of or relating to any of the foregoing Intellectual Property. To the extent a court of competent jurisdiction holds that a security interest in any Intellectual Property is necessary to have a security
interest in any accounts, license and royalty fees and other revenues, proceeds, or income arising out of or relating to any of the foregoing Intellectual Property, then the Collateral shall, effective as of the Closing Date, include the
Intellectual Property, to the extent necessary to permit perfection of the Lenders’ security interest in such accounts, license and royalty fees and other revenues, proceeds, or income arising out of or relating to any of the Intellectual
Property. 

 EXHIBIT C 
 Loan Payment/Advance Request Form 
 Fax To:
                                       
                                        
                                        
                                  Date: 
  

	
	 LOAN PAYMENT:
 3 PARdata, Inc. (Borrower)
  
 From Account #
                                        
                                        
                        To Account #
 (Deposit Account
#)                                        
                                        
                  (Loan Account #)
  
 Principal
$                                        
                            and/or Interest $
  
 All Borrower’s representation and warranties
in the Loan and Security Agreement are true, correct and complete in all material respects on the date of the telephone transfer request for an advance, but those representations and warranties expressly referring to another date shall be true,
correct and complete in all material respects as of such date:
  
 Authorized Signature:
                                        
                                    Phone Number:
  

	  
 LOAN ADVANCE:
  
 Complete Outgoing Wire Request section below if all or a portion of the funds from this loan advance are for an outgoing wire.
  
 From Account
#                                        
                                        
                         To Account #
 (Loan Account #)
                                        
                                        
                      (Deposit Account #)
  
 Amount of Advance $
  
 All Borrower’s representation and warranties in the Loan and Security Agreement are true, correct and complete in all material respects on the date
of the telephone transfer request for an advance, but those representations and warranties expressly referring to another date shall be true, correct and complete in all material respects as of such date:
  
 Authorized Signature:
                                        
                                        
                                Phone Number:
  

	  
 OUTGOING WIRE REQUEST
 Complete only if all or a portion of funds from the loan advance above are to be wired.
  
 Deadline for same day processing is 12:00pm, P.S.T.
  
 Beneficiary Name:
                                        
                                        
    Amount of Wire: $
  
 Beneficiary Bank:
                                        
                                        
     Account Number:
  
 City and
State:
  
 Beneficiary Bank Transit (ABA) #:
                                  
         Beneficiary Bank Code (Swift, Sort, Chip, etc.):
  

  

 EXECUTION COPY             
  

			
	 	 	 (For International Wire Only)

	 Intermediary Bank:
	 	 Transit (ABA) #:

	 
	 For Further Credit to:
  
 Special Instruction:
  
 By signing below, I (we) acknowledge and agree that my (our) funds transfer request shall be processed in accordance with and subject to the terms and conditions set forth in the agreements(s) covering funds transfer
service(s), which agreements(s) were previously received and executed by me (us).
  

	 Authorized Signature:
                                        
             2nd Signature (If Required):
                                        
    
  

	 Print Name/Title:
                                        
                      Print Name/Title:
  

	 Telephone #
                                        
                             Telephone #
                                        
    
  

  
  
 Exhibit C 

 EXHIBIT D 
 COMPLIANCE CERTIFICATE 
  

	 TO:
	             SILICON VALLEY BANK, as Agent 

	 FROM:
	           3PARdata, Inc. 

 The undersigned authorized officer of 3PARdata, Inc. certifies that under the terms and conditions of the Loan and Security Agreement
among Borrower, Lenders, and Agent (the “Agreement”), (i) Borrower is in complete compliance for the period ending
                         with all required covenants except as noted below and (ii) all representations and
warranties in the Agreement are true and correct in all material respects on this date. Attached are the required documents supporting the certification. In addition, the undersigned certifies that (1) Borrower [and each Subsidiary] has
timely filed all required material tax returns and paid, or made adequate provision to pay, all material taxes, except those being contested in good faith with adequate reserves under GAAP and (ii) no liens has been levied or claims made
against Borrower [or any of its Subsidiaries] relating to unpaid employee payroll or benefits which Borrower has not previously notified in writing to Agent. The Officer certifies that these are prepared in accordance with Generally Accepted
Accounting Principles (GAAP) consistently applied from one period to the next except with respect to unaudited financial statements for the absence of footnotes and subject to normal year-end adjustments. The Officer acknowledges that no borrowings
may be requested at any time or date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the date this certificate is delivered. 
 Please indicate compliance status by circling Yes/No under “Complies” column. 
  

							
	 Reporting Covenant
	  	 Required
	  	 Complies

				
	 Monthly financial statements with CC
	  	 Monthly within 30 days
	  	 Yes
	  	 No

	 Annual (CPA Audited)
	  	 FYE within 180 days
	  	 Yes
	  	 No

	 A/R & A/P Agings
	  	 Monthly within 20 days
	  	 Yes
	  	 No

  

					
	  
 Comments Regarding Exceptions: See
 Attached.
	 	  
 BANK USE ONLY
 Received by:
                                        
            
	 	
	 	 	                             AUTHORIZED SIGNER
	 	
	 	 	
	 Sincerely,
  
                                       
                          
 Signature
	 	 Date:
                                        
                        
  
 Verified:
                                        
                        
	 	
	 	 	                         AUTHORIZED SIGNER
	 	
	                                       
                          
	 	 Date:
                                        
                        
	 	
	 Title
	 	 	 	
	 	 	
	                                       
                          
	 	 Compliance Status:      Yes      No
	 	
	 Date
  
	 	 	 	

 FIRST AMENDMENT 
 TO 
 LOAN AND SECURITY AGREEMENT 
 THIS FIRST AMENDMENT to Loan and Security Agreement (this “Amendment”) is entered into this 9th day of December, 2005,
by and between Silicon Valley Bank (“Bank”) and 3PARdata, Inc., a California corporation (“Borrower”) whose address is 4209 Technology Drive, Fremont, CA 94538. 
 RECITALS 
 A.      Bank and Borrower have entered into that certain Loan and Security Agreement dated as of June 30, 2005 (as the same may from time to time be further amended, modified, supplemented or
restated, the “Loan Agreement”). 
 B.      Bank has extended credit to
Borrower for the purposes permitted in the Loan Agreement. 
 C.      Borrower has
requested that Bank amend the Loan Agreement to extend the maturity date. 
 D.      Bank has agreed to so amend certain provisions of the Loan Agreement, but only to the extent, in accordance with the terms, subject to the conditions and in reliance upon the representations and
warranties set forth below. 
 AGREEMENT 
 Now, THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, and intending
to be legally bound, the parties hereto agree as follows: 
 1.      Definitions.
Capitalized terms used but not defined in this Amendment shall have the meanings given to them in the Loan Agreement. 
 2.      Amendments to Loan Agreement. 
 2.1      Section 6.1 (Maturity Date). Section 5 of the Schedule, titled “Maturity Date’, is hereby amended to read in its entirety as follows: 
 “The “Revolving Loan Maturity Date” is December 31, 2006.” 
 2.2      Section 13 (Definitions). The following term and its definition set forth in
Section 13.1 is amended in its entirety and replaced with the following: 
 “Revolving
Loan Maturity Date” has the meaning set forth in Section 5 of the Schedule. 

 3.      Limitation of Amendments. 
 3.1      The amendments set forth in Section 2, above, are effective for the
purposes set forth herein and shall be limited precisely as written and shall not be deemed to (a) be a consent to any amendment, waiver or modification of any other term or condition of any Loan Document, or (b) otherwise prejudice any
right or remedy which Bank may now have or may have in the future under or in connection with any Loan Document. 
 3.2      This Amendment shall be construed in connection with and as part of the Loan Documents and all terms, conditions, representations, warranties, covenants and agreements set forth in the Loan
Documents, except as herein amended, are hereby ratified and confirmed and shall remain in full force and effect. 
 4.      Representations and Warranties. To induce Bank to enter into this Amendment, Borrower hereby represents and warrants to Bank as follows: 
 4.1      Immediately after giving effect to this Amendment (a) the representations and
warranties contained in the Loan Documents are true, accurate and complete in all material respects as of the date hereof (except to the extent such representations and warranties relate to an earlier date, in which case they are true and correct as
of such date), and (b) no Event of Default has occurred and is continuing; 
 4.2      Borrower has the power and authority to execute and deliver this Amendment and to perform its obligations under the Loan Agreement, as amended by this Amendment; 
 4.3      The organizational documents of Borrower delivered to Bank on the Effective Date remain
true, accurate and complete and have not been amended, supplemented or restated and are and continue to be in full force and effect; 
 4.4      The execution and delivery by Borrower of this Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, have
been duly authorized; 
 4.5      The execution and delivery by Borrower of this
Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, do not and will not contravene (a) any law or regulation binding on or affecting Borrower, (b) any contractual restriction
with a Person binding on Borrower, (c) any order, judgment or decree of any court or other governmental or public body or authority, or subdivision thereof, binding on Borrower, or (d) the organizational documents of Borrower; 

4.6      The execution and delivery by Borrower of this Amendment and the performance by Borrower
of its obligations under the Loan Agreement, as amended by this Amendment, do not require any order, consent, approval, license, authorization or validation of, or filing, recording or registration with, or exemption by any governmental 

 or public body or authority, or subdivision thereof, binding on either Borrower, except as already has
been obtained or made; and 
 4.7      This Amendment has been duly executed and
delivered by Borrower and is the binding obligation of Borrower, enforceable against Borrower in accordance with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, liquidation, moratorium or other
similar laws of general application and equitable principles relating to or affecting creditors’ rights. 
 5.      Counterparts. This Amendment may be executed in any number of counterparts and all of such counterparts taken together shall be deemed to constitute one and the same instrument.

 6.      Effectiveness. This Amendment shall be deemed effective upon (a) the
due execution and delivery to Bank of this Amendment by each party hereto, and (b) Borrower’s payment of an amendment fee in an amount equal to $15,000. 
 [Signature page follows.] 

 IN WITNESS WHEREOF,
the parties hereto have caused this Amendment to be duly executed and delivered as of the date first written above. 
  
  

									
	 BANK
	 		 	 BORROWER

			
	 Silicon Valley Bank
	 		 	 3PARdata, Inc., a California corporation

					
	 By:
	 	 /s/ Mark Harris
	 		 	 By:
	 	 /s/ Adriel G. Lares

	 Name:
	 	 Mark Harris
	 		 	 Name:
	 	 Adriel G. Lares

	 Title:
	 	 Relationship Manager
	 		 	 Title:
	 	 VP Finance & CFO

 SECOND AMENDMENT 
 TO 
 LOAN AND SECURITY AGREEMENT 
 THIS SECOND AMENDMENT to Loan and Security Agreement (this “Amendment”) is entered into this 28th day of
December, 2006, by and between Silicon Valley Bank (“Bank”) and 3PARdata, Inc., a California corporation (“Borrower”) whose address is 4209 Technology Drive, Fremont, CA 94538. 
 RECITALS 
 A.      Bank and Borrower have entered into that certain Loan and Security Agreement dated as of June 30, 2005, as amended by that certain First Amendment to Loan and Security
Agreement dated as of December 9, 2005, as may be further amended, modified, supplemented or restated from time to time (as amended, the “Loan Agreement”). 
 B.      Bank has extended credit to Borrower for the purposes permitted in the Loan Agreement. 
 C.      Borrower has requested that Bank amend the Loan Agreement to extend the maturity date.

 D.      Bank has agreed to so amend the Loan Agreement, but only to the extent, in
accordance with the terms, subject to the conditions and in reliance upon the representations and warranties set forth below. 
 AGREEMENT 
 Now, THEREFORE, in consideration of the
foregoing recitals and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, and intending to be legally bound, the parties hereto agree as follows: 
 1.       Definitions. Capitalized terms used but not defined in this Amendment shall have the
meanings given to them in the Loan Agreement. 
 2.      Amendments to Loan Agreement.

 2.1      Section 6.1 (Maturity Date). Section 5 of the Schedule, titled
“Maturity Date”, is hereby amended to read in its entirety as follows: 
 “The “Revolving Loan
Maturity Date” is January 31, 2007.” 
 2.2      Section 13
(Definitions). The following term and its definition set forth in Section 13.1 is amended in its entirety and replaced with the following: 
 “Revolving Loan Maturity Date” has the meaning set forth in Section 5 of the Schedule. 

 3.      Limitation of Amendments. 
 3.1      The amendments set forth in Section 2, above, are effective for the purposes
set forth herein and shall be limited precisely as written and shall not be deemed to (a) be a consent to any amendment, waiver or modification of any other term or condition of any Loan Document, or (b) otherwise prejudice any right or
remedy which Bank may now have or may have in the future under or in connection with any Loan Document. 
 3.2      This Amendment shall be construed in connection with and as part of the Loan Documents and all terms, conditions, representations, warranties, covenants and agreements set forth in the Loan
Documents, except as herein amended, are hereby ratified and confirmed and shall remain in full force and effect. 
 4.      Representations and Warranties. To induce Bank to enter into this Amendment, Borrower hereby represents and warrants to Bank as follows: 
 4.1      Immediately after giving effect to this Amendment (a) the representations and
warranties contained in the Loan Documents are true, accurate and complete in all material respects as of the date hereof (except to the extent such representations and warranties relate to an earlier date, in which case they are true and correct as
of such date), and (b) no Event of Default has occurred and is continuing; 
 4.2      Borrower has the power and authority to execute and deliver this Amendment and to perform its obligations under the Loan Agreement, as amended by this Amendment; 
 4.3      The organizational documents of Borrower delivered to Bank on the Effective Date remain
true, accurate and complete and have not been amended, supplemented or restated and are and continue to be in full force and effect; 
 4.4      The execution and delivery by Borrower of this Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, have
been duly authorized; 
 4.5      The execution and delivery by Borrower of this
Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, do not and will not contravene (a) any law or regulation binding on or affecting Borrower, (b) any contractual restriction
with a Person binding on Borrower, (c) any order, judgment or decree of any court or other governmental or public body or authority, or subdivision thereof, binding on Borrower, or (d) the organizational documents of Borrower; 

4.6      The execution and delivery by Borrower of this Amendment and the performance by Borrower
of its obligations under the Loan Agreement, as amended by this Amendment, do not require any order, consent, approval, license, authorization or validation of, or filing, recording or registration with, or exemption by any governmental 

 or public body or authority, or subdivision thereof, binding on either Borrower, except as already has
been obtained or made; and 
 4.7      This Amendment has been duly executed and
delivered by Borrower and is the binding obligation of Borrower, enforceable against Borrower in accordance with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, liquidation, moratorium or other
similar laws of general application and equitable principles relating to or affecting creditors’ rights. 
 5.      Counterparts. This Amendment may be executed in any number of counterparts and all of such counterparts taken together shall be deemed to constitute one and the same instrument. 
 6.      Effectiveness. This Amendment shall be deemed effective upon the due execution and delivery
to Bank of this Amendment by each party hereto. 
 [Signature page follows.] 

 IN WITNESS WHEREOF, the parties
hereto have caused this Amendment to be duly executed and delivered as of the date first written above. 
  

									
	 BANK
	 		 	 BORROWER

			
	 Silicon Valley Bank
	 		 	 3PARdata, Inc., a California corporation

					
	 By:
	 	 /s/ Kevin Zeidan
	 		 	 By:
	 	 /s/ Adriel Lares

	 Name:
	 	 Kevin Zeidan
	 		 	 Name:
	 	 Adriel Lares

	 Title:
	 	 Relationship Manager
	 		 	 Title:
	 	 VP Finance & CFO

 THIRD AMENDMENT 
 TO 
 LOAN AND SECURITY AGREEMENT AND INTERCREDITOR AGREEMENT 
 THIS THIRD AMENDMENT to Loan and Security Agreement and Intercreditor
Agreement (this “Amendment”) is entered into this 31st day of January, 2007, by and among by and among Gold Hill Venture Lending 03, LP
(“Gold Hill”)(as to the amendments in Section 3 only), Silicon Valley Bank (Gold Hill and Silicon Valley Bank are together referred to as “Lenders”), SVB, in its capacity as Agent for Lenders (“Agent”), Silicon
Valley Bank (“Bank”) and 3PARdata, Inc., a California corporation (“Borrower”) whose address is 4209 Technology Drive, Fremont, CA 94538. 
 RECITALS 
 A.      Bank and
Borrower have entered into that certain Loan and Security Agreement dated as of June 30, 2005, as amended by that certain First Amendment to Loan and Security Agreement dated as of December 9, 2005, as amended by that certain Second
Amendment to Loan and Security Agreement dated as of December 28, 2006 and as may be further amended, modified, supplemented or restated from time to time (as amended, the “Loan Agreement”). 
 B.      Agent and Lenders have entered into that that certain Intercreditor Agreement dated as of
June 30, 2005 (as the same may from time to time be further amended, modified, supplemented or restated, the “Intercreditor Agreement”). 
 C.      Bank has extended credit to Borrower for the purposes permitted in the Loan Agreement. 
 D.      Borrower has requested that Bank amend the Loan Agreement and Agent and Lenders amend the Intercreditor Agreement pursuant to the terms hereof.

 D.      Bank has agreed to so amend the Loan Agreement and Agent and Lenders have
agreed to so amend the Intercreditor Agreement, but only to the extent, in accordance with the terms, subject to the conditions and in reliance upon the representations and warranties set forth below. 
 AGREEMENT 
 Now, THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, and intending to be legally bound, the parties hereto
agree as follows: 
 1.      Definitions. Capitalized terms used but not defined in this
Amendment shall have the meanings given to them in the Loan Agreement. 

 2.      Amendments to Loan Agreement. 
 2.1      Section 6.2 (Early Termination). Section 6.2 is hereby amended to read in its
entirety as follows: 
 “6.2      Early Termination. This Agreement
may be terminated prior to the Revolving Loan Maturity Date as follows: (a) by Borrower, effective three (3) Business Days after written notice of termination is given to Bank, together with the payment of a termination fee in the amount
of $120,000, or (b) by Bank at any time after the occurrence and during the continuance of an Event of Default, without notice, effective immediately.” 
 2.2      The following term and its definition set forth in Section 13.1 is amended in its entirety and replaced with the following: 

“Borrowing Base” means 80% of Borrower’s Eligible Accounts. 
 “Eligible Accounts” means Accounts and General Intangibles arising in the ordinary course of Borrower’s business
from the sale of goods, the rendition of services, or the non-exclusive licensing of Intellectual Property to Account Debtors that are U.S. Account Debtors, that meet all Borrower’s representations and warranties in Section 3 of this
Agreement, which Bank, in its good faith business judgment, shall deem eligible for borrowing. Without limiting the fact that the determination of which Accounts are eligible for borrowing is a matter of Bank’s good faith business judgment, the
following (the “Minimum Eligibility Requirements”) are the minimum requirements for an Account to be an Eligible Account; (a) the Account must not be outstanding for more than 90 days from its invoice date (the
“Eligibility Period”): (b) the Account must not represent progress billings, or be due under a fulfillment or requirements contract with an Account Debtor; (c) the Account must not be subject to any contingencies
(including Accounts arising from sales on consignment, guaranteed sale or other terms pursuant to which payment by an Account Debtor may be conditional); (d) the Account must not be owing from an Account Debtor with whom Borrower has any
dispute (whether or not relating to the particular Account) (but, subject to Bank’s satisfactory verification, only the amount in dispute shall be excluded); (e) the Account must not be owing from a Related Account Debtor of Borrower;
(f) the Account must not be owing from an Account Debtor which is subject to any insolvency or bankruptcy proceeding, or whose financial condition is not acceptable to Bank, or which, fails or goes out of a material portion of its business;
(g) the Account must not be owing from the United States or any department, agency or instrumentality thereof (unless there has been compliance, to Bank’s satisfaction, with the United States Assignment of Claims Act); (h) the Account
must not be owing from an Account Debtor located outside the United States or Canada, provided, however, Bank, in its sole discretion, may approve up to $1,500,000 in Accounts owing from a foreign Account Debtor located outside the United
States or Canada; (i) the Account must not be owing from an Account Debtor to whom Borrower is or may be liable for goods purchased from such Account Debtor or otherwise (but, in such case, the Account will be deemed not eligible only to the
extent of any amounts owed by Borrower to such Account Debtor). Accounts owing from one Account Debtor will not be deemed Eligible Accounts to the extent they exceed 25% of 

 the total Accounts outstanding. In addition, if more than 50% of the Accounts owing from an Account
Debtor are outstanding for a period longer than their Eligibility Period (without regard to unapplied credits) or are otherwise not eligible Accounts, then all Accounts owing from that an Account Debtor will be deemed ineligible for borrowing. Bank
may, from time to time, in its good faith business judgment, revise the Minimum Eligibility Requirements upon written notice to Borrower. 
 2.3      Section 1.1 (Credit Limit). The first paragraph of Section 1 of the Schedule, titled “Credit Limit”, is hereby amended to read in its entirety as follows:

 “An amount (the “Revolving Credit Limit”) not to exceed the lesser of: (a) $12,000,000 at any
one time outstanding or (b) amounts available under the Borrowing Base.” 
 2.4      Sections 1.1 and 1.2 (Sublimits). Section 1 of the Schedule, titled “Sublimits”, are hereby amended to read in its entirety as follows: 
  

			
	 Cash Management
 Services and Reserves:
	  	  
  
 Borrower may use amounts not to exceed the Revolving Credit Limit for Bank’s Cash Management Services (as defined below), including, merchant services, business credit card, ACH and other services identified in the cash management
services agreement related to such service (the “Cash Management Services”). Bank may, in its sole discretion, reserve against Advances which would otherwise be available hereunder such sums as Bank shall determine in its good faith
business judgment in connection with the Cash Management Services, and Bank may charge to Borrower’s loan account or deposit accounts with Bank, any amounts that may become due or owing to Bank in connection with the Cash Management Services.
Borrower agrees to execute and deliver to Bank all standard form applications and agreements of Bank in connection with the Cash Management Services, and, without limiting any of the terms of such applications and agreements, Borrower will pay all
standard fees and charges of Bank in connection with the Cash Management Services. The Cash Management Services shall terminate on the Revolving Loan Maturity Date.

		
	 Foreign Exchange
 Contract Sublimit:
	  	  
  
 Borrower may enter into foreign exchange forward contracts with Bank, on its standard forms, under which Borrower commits to purchase from or sell to Bank a set amount of foreign currency more than one business day after the contract date
(the “FX Forward Contracts”). Bank will subtract ten percent of each outstanding FX Forward Contract from the foreign exchange sublimit which is a maximum of the

			
		  	 Revolving Credit Limit (the “FX Reserve”). The aggregate amount of the FX Forward Contracts at any one time may not exceed ten (10) times the amount
of the FX Reserve (which shall be in addition to other reserves). In the event at any time there are insufficient amounts available to Borrower for such FX Reserve, Borrower shall deposit and maintain with Bank cash collateral in an amount at all
times equal to such deficiency, which shall be held as Collateral for all purposes of this Agreement. Bank may, in its discretion, terminate the FX Forward Contracts at any time that an Event of Default occurs and is continuing. Borrower shall
execute all standard form applications and agreements of Bank in connection with the FX Forward Contracts, and without limiting any of the terms of such applications and agreements, Borrower shall pay all standard fees and charges of Bank in
connection with the FX Forward Contracts.

 2.5      Section 1.3 (Interest
Rate).   The proviso in Section 2 of the Schedule, titled “Interest Rate”, is hereby amended to read in its entirety as follows: 
 “provided, however, that if monthly average outstanding Advances under this Agreement are less than $4,000,000 on January 26, 2007 and at all times thereafter, interest due and
payable by Borrower shall be calculated as if such amount were advanced and outstanding.” 
 2.6      Section 1.4 (Fees).   Section 3 of the Schedule, titled “Fees”, is hereby amended to read in its entirety as follows: 
  

			
	 Commitment Fee:
	  	 An annual commitment fee or $48,000 (or 0.40% of $12,000,000) ($60,000 due on January 31, 2007 for the period from January 1, 2007 through March 31, 2008).

 2.7      Section 6.1 (Maturity
Date).   Section 5 of the Schedule, titled “Maturity Date”, is hereby amended to read in its entirety as follows: 
 “The “Revolving Loan Maturity Date” is March 31, 2008.” 
 2.8      Section 5.1 (Financial Covenants).   The grid in Section 6 of the Schedule is hereby amended to read in its entirety as follows: 
  

			
	 Months Ending
	  	 Tangible
Net Worth
 Not Less Than:

	 February 28, 2007 through
 March 31, 2007
	  	 $22,000,000

			
	 Thereafter
	 	 $28,000,000

 2.9      Section 9 (Early
Termination).   Clause (1) of Section 9 of the Schedule is hereby amended to read in its entirety as follows: 
  

			
	 (I)
	  	 Banking Relationship. Borrower shall at all times maintain its primary banking accounts with Bank or an affiliate of
Bank.

 2.10      Exhibit B, “Form of Compliance
Certificate” is hereby amended by deleting it in its entirety and replacing it with Exhibit A attached hereto. 
 3.      Amendments to Intercreditor Agreement. 
 3.1      Recitals.   Recital B is amended and restated in its entirety and replaced with the following; 
 “B, The Borrower has also entered into a certain Loan and Security Agreement with SVB dated June 30, 2005 for the financing of the Borrower’s accounts receivable in the principal
amount of Twelve Million Dollars ($12,000,000.00) (the “Bank Facility”), which loan arrangement is also secured by the Collateral.” 
 3.2      Section 2.2. Section 2.2 is amended and restated in its entirety and replaced with the following: 
 “2.2    Limitation on Further Loans. After the date hereof, except pursuant to the Loan Agreement,
the Third Amendment of the Bank Facility and as permitted pursuant to Section 4.6, no Lender may make loans to or otherwise extend credit to Borrower (excluding overdrafts under deposit accounts maintained with either Lender, as well as
unsecured extensions of credit) without notice to and the consent of each other Lender, which consent will not be unreasonably withheld; provided, however, such loans or extensions of credit do not violate the terms and conditions of the Loan
Agreement, in which case, each Lender can elect whether or not to consent in its sole discretion.” 
 3.3      Section 4.6.(a)   Section 4.6(a) is amended and restated in its entirety and replaced with the following: 
 “(a)      Cash-Collateral. In addition to Section 4.6(b) below, the parties acknowledge
that Borrower may in the future desire to pledge cash and/or securities in connection with the provision by SVB to Borrower of certain cash management services, such as the issuance of secured letters of credit, credit cards and the like
(collectively, “Cash Management Services”). The parties agree that notwithstanding anything to the contrary contained in this Agreement, Borrower may pledge cash and/or securities in the aggregate principal amount of up to Five
Hundred Thousand Dollars ($500,000) to SVB as collateral to secure its obligations to SVB relating to Cash Management Services (such 

 cash and/or securities and the proceeds thereof (but expressly excluding any other Collateral) being
hereinafter referred to as the “Cash Collateral”). The parties further agree that (x) notwithstanding anything to the contrary contained in this Agreement, SVB’s lien on the Cash Collateral shall be senior in priority to
the liens of Lenders under the Loan Agreement to the extent of Borrower’s reimbursement obligations in respect of Cash Management Services up to Five Hundred Thousand Dollars ($500,000) (collectively, the “Reimbursement
Obligations”), and (y) SVB may extend credit to Borrower in connection with the provision of Cash Management Services and take such action as SVB deems necessary to enforce its rights and remedies to satisfy the Reimbursement
Obligations in respect to Cash Management Services, all without prior notice to or the consent of Gold Hill. SVB agrees to use its best efforts to give immediate notice to Gold Hill of such action being taken, and Gold Hill may not foreclose upon,
or force SVB to take any actions with respect to, the Cash Collateral notwithstanding anything in this Agreement to the contrary. SVB consents to Borrower’s grant to Lenders of liens and security interests against the Cash Collateral, and the
parties agree that (i) the Cash Collateral and proceeds thereof shall be distributed to SVB and Gold Hill, after satisfaction of the Reimbursement Obligations to SVB, in the manner and order set forth in Sections 2.1,3 and 4.2, as
applicable, and (ii) to the extent that the Cash Collateral is insufficient to satisfy the Reimbursement Obligations to SVB in full (a “Deficiency”), any such Deficiency cannot be repaid by Borrower (and SVB shall not accept or
receive any payments as to such Deficiency) until the Borrower’s indebtedness to Lenders under the Loan Agreement has been fully repaid.” 
 4.      Limitation of Amendments. 
 4.1      The amendments set forth in Sections 2 and 3, above, are effective for the purposes set forth herein and shall be limited precisely as written and shall not be deemed to (a) be a consent to
any amendment, waiver or modification of any other term or condition of any Loan Document, or (b) otherwise prejudice any right or remedy which Bank may now have or may have in the future under or in connection with any Loan Document.

 4.2      This Amendment shall be construed in connection with and as part of the Loan
Documents and all terms, conditions, representations, warranties, covenants and agreements set forth in the Loan Documents, except as herein amended, are hereby ratified and confirmed and shall remain in full force and effect. 
 5.      Representations and Warranties. To induce Bank to enter into this Amendment. Borrower hereby
represents and warrants to Bank as follows: 
 5.1      Immediately after giving effect
to this Amendment (a) the representations and warranties contained in the Loan Documents are true, accurate and complete in all material respects as of the date hereof (except to the extent such representations and warranties relate to an
earlier date, in which case they are true and correct as of such date), and (b) no Event of Default has occurred and is continuing; 

 5.2      Borrower has the power and authority to
execute and deliver this Amendment and to perform its obligations under the Loan Agreement, as amended by this Amendment; 
 5.3      The organizational documents of Borrower delivered to Bank on the Effective Date remain true, accurate and complete and have not been amended, supplemented or restated and are and continue to be
in full force and effect; 
 5.4      The execution and delivery by Borrower of this
Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, have been duly authorized; 
 5.5      The execution and delivery by Borrower of this Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, do not
and will not contravene (a) any law or regulation binding on or affecting Borrower, (b) any contractual restriction with a Person binding on Borrower, (c) any order, judgment or decree of any court or other governmental or public body
or authority, or subdivision thereof, binding on Borrower, or (d) the organizational documents of Borrower; 
 5.6      The execution and delivery by Borrower of this Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, do not require any order,
consent, approval, license, authorization or validation of, or filing, recording or registration with, or exemption by any governmental or public body or authority, or subdivision thereof, binding on either Borrower, except as already has been
obtained or made; and 
 5.7      This Amendment has been duly executed and delivered by
Borrower and is the binding obligation of Borrower, enforceable against Borrower in accordance with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, liquidation, moratorium or other similar laws of
general application and equitable principles relating to or affecting creditors’ rights. 
 6.      Counterparts. This Amendment may be executed in any number of counterparts and all of such counterparts taken together shall be deemed to constitute one and the same instrument.

 7.      Effectiveness. This Amendment shall be deemed effective upon (a) the
due execution and delivery to Bank of this Amendment by each party hereto, (b) receipt of lien searches satisfactory to Bank and Borrower’s good standing certificate in the State of California, (c) Bank’s receipt of resolutions
(in form and substance reasonably satisfactory to Bank) from Borrower authorizing this Amendment, (d) payment to Bank of the loan fee equal to $60,000 and (a) payment of all Bank Expenses (including all reasonable attorneys’ fees and
reasonable expenses) incurred and invoiced through the date of this Amendment. 
 [Signature page follows.] 

 IN WITNESS WHEREOF, the parties
hereto have caused this Amendment to be duly executed and delivered as of the date first written above. 
  

									
	 BANK
	 		 	 BORROWER

			
	 Silicon Valley Bank, as Bank
	 		 	 3PARdata, Inc., a California corporation

					
	 By:
	 	 /s/ Kevin Zeidan
	 		 	 By:
	 	 /s/ Adriel Lares

	 Name:
	 	 Kevin Zeidan
	 		 	 Name:
	 	 Adriel Lares

	 Title:
	 	 Relationship Manager
	 		 	 Title:
	 	 VP Finance & CFO

 IN WITNESS WHEREOF, the
parties below hereby agree and consent to the amendments set forth in Section 3 above. 
  

									
	 GOLD HILL
	 		 	 SILICON VALLEY BANK

			
	 Gold Hill Venture Lending 03, LP, as a Lender
	 		 	 Silicon Valley Bank, as a Lender and as Agent

	 By:
	 	 Gold Hill Venture Lending Partners 03, LLC
	 		 		 	
		 		 		 	 By:
	 	 /s/ Kevin Zeidan

		 		 		 	 Name:
	 	 Kevin Zeidan

	 By:
	 	 /s/ Rob Helm
	 		 	 Title:
	 	 Relationship Manager

	 Name:
	 	 Rob Helm
	 		 		 	
	 Title:
	 	 Principal
Gold Hill Capital
	 		 		 	

 Exhibit B 
 FORM OF COMPLIANCE CERTIFICATE 
  

							
	 TO:
	  	 SILICON VALLEY BANK
 3003
Tasman Drive
 Santa Clara, CA 95054
	  	 Date:
	  	
				
	 FROM:
	  	 3PARdata, Inc.
  
 4209 Technology Drive
  
 Fremont, CA 94538
	  		  	

 The undersigned Chief Financial Officer of
3PARdatat Inc. (“Borrower”) certifies that under the terms and conditions of the Loan and Security Agreement dated June 30, 2005 (as
amended, restated, modified and/or supplemented from time to time), between Borrower and Bank (the “Agreement”), (i) Borrower is in complete compliance for the period ending
                     with all required covenants except as noted below and (ii) all representations and warranties in the Agreement are
true and correct in all material respects on this date. In addition, the undersigned certifies that (x) Borrower and each of its Subsidiaries has timely filed all required tax returns and paid, or made adequate provision to pay, all material
taxes, except those being contested in good faith with adequate reserves under GAAP, (y) there are no legal actions pending or threatened against Borrower or any of its Subsidiaries which Borrower has not previously notified in writing
to Bank, and (z) as of the end of this compliance period, there were no held checks. Attached are the required financial reports and calculation of financial covenants supporting the certification. The undersigned acknowledges that
no borrowings may be requested at any time or date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the date this certificate is delivered. 

Please indicate compliance status by circling Yes, No, or N/A under “Complies” column. 
  

					
	 Reporting Covenant
	    	 Required
	    	 Complies

			
	 Accounts receivable agings and reconciliations,
 aged by invoice date, accounts payable agings
 and reconciliations, aged by invoice
date,
 transaction reports, general ledger and
 outstanding or held check registers, if any end
 Borrowing Base Certificate
	    	 Monthly within 20 day of month end
	    	 Yes        No        N/A

			
	 Monthly unaudited financial statements and
 Compliance Certificate
	    	 Monthly within 30 days of month end
	    	 Yes        No        N/A

			
	 Annual operating budgets and projections
 (including income statements, balance sheets,
 and cash flow statements, each of the foregoing,
 by month) for the upcoming fiscal year
	    	 As updated, but no later than 31 days
 after FYE
	    	 Yes        No        N/A

			
	 Annual financial statements certified by, and
 with an unqualified opinion of, independent
 CPA
	    	 Annually, within 180 days after FYE
	    	 Yes        No        N/A

  

 2 

					
	 Reporting Covenant
	 	 Required
	 	 Complies

			
	 Transaction Report
	 	 Weekly if AQR is less than 1.25:1.00
	 	 Yes        No        N/A

  
  

									
	 Financial Covenant
	  	 Required
	  	 Actual
	    	 Complies

					
	 Tangible Net Worth
	  	 2/28/07 through 3/31/07:
 $22,000,000
 plus new equity
 and Subordinated
 Debt
	  	 $                     
	    	 Yes
	  	 No

					
		  	 Thereafter 
 $28,000,000
 plus new equity
 and Subordinated
 Debt
	  	 $                     
	    	 Yes
	  	 No

	 Adjusted Quick Ratio
	  	 1.25:1.00
	  	           :1.00
	    	 Yes
	  	 No
N/A

  

											
	 Sincerely,
	 		 		 	BANK USE ONLY	 	
			 	
	 3PARdata, INC.
	 		 	 Received by:
                                        
                                        
  
	 	
	  
 By:
                                        
                                        
    
	 		 	                          AUTHORIZED SIGNER
	 	
	  
 Name:
                                        
                                      
	 		 	 Date:                                     
                                        
                   
	 	
	  
 Title:   Chief Financial Officer

	 		 	 Verified:                                     
                                        
              
                          AUTHORIZED SIGNER
	 	
				 	
		 		 		 	 Date:                                     
                                        
                   
	 	
				 	
		 		 		 	 Compliance
Status:                                       
             Yes    No    
  
	 	

  

 3 

 FOURTH AMENDMENT 
 TO 
 LOAN AND SECURITY AGREEMENT 
 THIS FOURTH AMENDMENT to Loan and Security Agreement (this “Amendment”) is entered into this 28th day of February, 2007,
by and among Silicon Valley Bank (“Bank”) and 3PARdata, Inc., a California corporation (“Borrower”) whose address is 4209 Technology Drive, Fremont, CA 94538. 
 RECITALS 
 A.       Bank and Borrower have entered into that certain Loan and Security Agreement dated as of June 30, 2005, as amended by that certain First Amendment to Loan and Security Agreement
dated as of December 9, 2005, as amended by that certain Second Amendment to Loan and Security Agreement dated as of December 28, 2006, as amended by that certain Third Amendment to Loan and Security Agreement and Intercreditor Agreement
dated as of January 26, 2007 and as may be further amended, modified, supplemented or restated from time to time (as amended, the “Loan Agreement”). 
 B.       Bank has extended credit to Borrower for the purposes permitted in the Loan Agreement. 
 C.       Borrower has requested that Bank amend the Loan Agreement pursuant to the terms
hereof. 
 D.       Bank has agreed to so amend the Loan Agreement, but only to
the extent, in accordance with the terms, subject to the conditions and in reliance upon the representations and warranties set forth below. 
 AGREEMENT 
 NOW,
THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, and intending to be legally bound, the
parties hereto agree as follows: 
 1.       Definitions.  
Capitalized terms used but not defined in this Amendment shall have the meanings given to them in the Loan Agreement. 
 2.       Amendments to Loan Agreement. 
   2.1       Section 5.1 (Financial Covenants).   The grid in Section 6 of the Schedule is hereby amended to read in its entirety as follows: 
  

			
	 Months Ending                    
	  	 Tangible Net Worth                
 Not
Less Than:

			
	 March 31, 2007                    
	 	 $22,000,000

	 Thereafter
	 	 $28,000,000

 2.2       Exhibit B, “Form of
Compliance Certificate” is hereby amended by deleting it in its entirety and replacing it with Exhibit A attached hereto. 
 3.      Limitation of Amendments. 
 3.1       The amendments set forth in Sections 2 above, are effective for the purposes set forth herein and shall be limited precisely as written and shall not be deemed to (a) be a
consent to any amendment, waiver or modification of any other term or condition of any Loan Document, or (b) otherwise prejudice any right or remedy which Bank may now have or may have in the future under or in connection with any Loan
Document. 
 3.2       This Amendment shall be construed in connection with and as part
of the Loan Documents and all terms, conditions, representations, warranties, covenants and agreements set forth in the Loan Documents, except as herein amended, are hereby ratified and confirmed and shall remain in full force and effect.

 4.      Representations and Warranties. To induce Bank to enter into this Amendment,
Borrower hereby represents and warrants to Bank as follows: 
 4.1       Immediately
after giving effect to this Amendment (a) the representations and warranties contained in the Loan Documents are true, accurate and complete in all material respects as of the date hereof (except to the extent such representations and warranties
relate to an earlier date, in which case they are true and correct as of such date), and (b) no Event of Default has occurred and is continuing; 
 4.2       Borrower has the power and authority to execute and deliver this Amendment and to perform its obligations under the Loan Agreement, as amended by this Amendment;

 4.3       The organizational documents of Borrower delivered to Bank on the Effective
Date remain true, accurate and complete and have not been amended, supplemented or restated and are and continue to be in full force and effect; 
 4.4       The execution and delivery by Borrower of this Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, have
been duly authorized; 
 4.5       The execution and delivery by Borrower of this
Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, do not and will not contravene (a) any law or regulation binding on or affecting Borrower, (b) any contractual restriction
with a Person binding on Borrower, (c) any order, judgment or decree of any court or other governmental or public body or authority, or subdivision thereof, binding on Borrower, or (d) the organizational documents of Borrower; 

 4.6      The execution and delivery by Borrower of
this Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, do not require any order, consent, approval, license, authorization or validation of, or filing, recording or registration
with, or exemption by any governmental or public body or authority, or subdivision thereof, binding on either Borrower, except as already has been obtained or made; and 
 4.7      This Amendment has been duly executed and delivered by Borrower and is the binding obligation of Borrower, enforceable against Borrower in accordance
with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, liquidation, moratorium or other similar laws of general application and equitable principles relating to or affecting creditors’ rights.

 5.      Counterparts. This Amendment may be executed in any number of
counterparts and all of such counterparts taken together shall be deemed to constitute one and the same instrument. 
 6.      Effectiveness. This Amendment shall be deemed effective upon (a) the due execution and delivery to Bank of this Amendment by each party hereto and (b) payment of all Bank
Expenses (including all reasonable attorneys’ fees and reasonable expenses) incurred and invoiced through the date of this Amendment. 
 [Signature page follows.] 

 IN WITNESS WHEREOF,
the parties hereto have caused this Amendment to be duly executed and delivered as of the date first written above. 
  

									
	 BANK
	 		 	 BORROWER

			
	 Silicon Valley Bank, as Bank
	 		 	 3PARdata, Inc., a California corporation

					
	 By:
	 	 /s/ Kevin Zeidan
	 		 	 By:
	 	 /s/ Adriel Lares

	 Name:
	 	 Kevin Zeidan
	 		 	 Name:
	 	 Adriel Lares

	 Title:
	 	 Relationship Manager
	 		 	 Title:
	 	 VP Finance & CFO

 Exhibit B 
 FORM OF COMPLIANCE CERTIFICATE 
  

									
	 TO:
	  	 SILICON VALLEY BANK
 3003 Tasman Drive
 Santa Clara, CA 95054
	  		  		  	 Date:

					
	 FROM:
	  	 3PARdata, Inc.
  
 4209 Technology Drive
  
 Fremont, CA 94538
	  		  		  	

 The undersigned Chief Financial Officer of 3PARdata. Inc. (“Borrower”) certifies that
under the terms and conditions of the Loan and Security Agreement dated June 30, 2005 (as amended, restated, modified and/or supplemented from time to time), between Borrower and Bank (the “Agreement”), (i) Borrower is in
complete compliance for the period ending                     with all required covenants except as noted below and (ii) all
representations and warranties in the Agreement are true and correct in all material respects on this date. In addition, the undersigned certifies that (x) Borrower and each of its Subsidiaries has timely filed all required tax returns and
paid, or made adequate provision to pay, all material taxes, except those being contested in good faith with adequate reserves under GAAP, (y) there are no legal actions pending or threatened against Borrower or any of its Subsidiaries which
Borrower has not previously notified in writing to Bank, and (z) as of the end of this compliance period, there were no held checks. Attached are the required financial reports and calculation of financial covenants supporting
the certification. The undersigned acknowledges that no borrowings may be requested at any time or date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the
date this certificate is delivered. 
 Please indicate compliance status by circling Yes, No, or N/A under
“Complies” column. 
  

					
	 Reporting Covenant
	  	 Required
	  	 Complies

			
	 Accounts receivable agings and
 reconciliations, aged by invoice date,
 accounts payable agings and
 reconciliations, aged by invoice date,
 transaction reports, general ledger
and
 outstanding or held check registers, if any
 and Borrowing Base Certificate
	  	 Monthly within 20 day of month end
	  	 Yes         No         N/A

			
	 Monthly unaudited financial statements
 and Compliance Certificate
	  	 Monthly within 30 days of month end
	  	 Yes         No         N/A

			
	 Annual operating budgets and
 projections (including income statements,
 balance sheets, and cash flow statements,
 each of the foregoing, by month) for the
 upcoming fiscal year
	  	 As updated, but no later than 31 days after FYE
	  	 Yes         No         N/A

			
	 Annual financial statements certified by,
 and with an unqualified opinion of,
 independent CPA
	  	 Annually, within 180 days after FYE
	  	 Yes         No         N/A

  

 2 

					
	 Reporting Covenant
	  	 Required
	  	 Complies

			
	 Transaction Report
	  	 Weekly if AQR is less than 1.25: 1.00
	  	 Yes        No        N/A

  
  

									
	 Financial Covenant
	  	 Required
	  	 Actual
	    	 Complies

					
	 Tangible Net Worth
	  	 3/31/07:
 $22,000,000
 plus new equity
 and Subordinated 
 Debt
	  	 $                    
	    	 Yes
	  	 No

					
		  	 Thereafter
 $28,000,000
 plus new equity
 and Subordinated
 Debt
	  	 $                    
	    	 Yes
	  	 No

	 Adjusted Quick Ratio
	  	 1.25:1.00
	  	             :1.00
	    	 Yes
	  	 No
N/A

  

											
	 Sincerely,
	 		 		 	BANK USE ONLY	 	
			 	
	 3PARdata, INC.
	 		 	 Received by:
                                        
                                        
  
	 	
	  
 By:
                                        
                                        
    
	 		 	                          AUTHORIZED SIGNER
	 	
	  
 Name:
                                        
                                      
	 		 	 Date:                                     
                                        
                   
	 	
	  
 Title:   Chief Financial Officer

	 		 	 Verified:                                     
                                        
              
                          AUTHORIZED SIGNER
	 	
				 	
		 		 		 	 Date:                                     
                                        
                   
	 	
				 	
		 		 		 	 Compliance
Status:                                       
             Yes    No    
  
	 	

  

 3 

 FIFTH AMENDMENT 
 TO 
 LOAN AND SECURITY AGREEMENT 
 THIS FIFTH AMENDMENT to Loan and Security Agreement (this ‘‘Amendment”) is entered into this 30th day of April,
2007, by and among Silicon Valley Bank (“Bank”) and 3PARdata, Inc., a California corporation (“Borrower”) whose address is 4209 Technology Drive, Fremont, CA 94538. 
 RECITALS 
 A.       Bank and Borrower have entered into that certain Loan and Security Agreement dated as of June 30, 2005, as amended by that certain First Amendment to Loan and Security Agreement dated as of
December 9, 2005, as amended by that certain Second Amendment to Loan and Security Agreement dated as of December 28, 2006, as amended by that certain Third Amendment to Loan and Security Agreement and Intercreditor Agreement dated as of
January 26, 2007, as amended by that certain Fourth Amendment to Loan and Security Agreement dated as of February 28, 2007 and as may be further amended, modified, supplemented or restated from time to time (as amended, the “Loan
Agreement”). 
 B.       Bank has extended credit to Borrower for the purposes
permitted in the Loan Agreement. 
 C.       Borrower has requested that Bank amend the
Loan Agreement pursuant to the terms hereof. 
 D.       Bank has agreed to so amend the
Loan Agreement, but only to the extent, in accordance with the terms, subject to the conditions and in reliance upon the representations and warranties set forth below. 
 AGREEMENT 
 NOW,
THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, and intending to be legally bound, the parties hereto
agree as follows: 
 1.       Definitions. Capitalized terms used but not defined
in this Amendment shall have the meanings given to them in the Loan Agreement. 
 2.       Amendments to Loan Agreement. 
  2.1       Section 5.1 (Financial Covenants).   The grid in Section 6 of the Schedule is hereby amended to read in its entirety as follows: 
  

			
	 Months Ending
	 	   Tangible Net Worth

			
	 	 	   Not Less Than:

	 May 31, 2007 and each month   thereafter

	 	   $28,000,000

 2.2       Exhibit B, “Form of
Compliance Certificate” is hereby amended by deleting it in its entirety and replacing it with Exhibit A attached hereto. 
 3.      Limitation of Amendments. 
 3.1       The amendments set forth in Sections 2 above, are effective for the purposes set forth herein and shall be limited precisely as written and shall not be deemed to (a) be a consent to any
amendment, waiver or modification of any other term or condition of any Loan Document, or (b) otherwise prejudice any right or remedy which Bank may now have or may have in the future under or in connection with any Loan Document. 

3.2       This Amendment shall be construed in connection with and as part of the Loan Documents
and all terms, conditions, representations, warranties, covenants and agreements set forth in the Loan Documents, except as herein amended, are hereby ratified and confirmed and shall remain in full force and effect. 
 4.      Representations and Warranties. To induce Bank to enter into this Amendment,
Borrower hereby represents and warrants to Batik as follows: 
 4.1       Immediately
after giving effect to this Amendment (a) the representations and warranties contained in the Loan Documents are true, accurate and complete in all material respects as of the date hereof (except to the extent such representations and
warranties relate to an earlier date, in which case they are true and correct as of such date), and (b) no Event of Default has occurred and is continuing; 
 4.2       Borrower has the power and authority to execute and deliver this Amendment and to perform its obligations under the Loan Agreement, as amended by
this Amendment; 
 4.3       The organizational documents of Borrower delivered to Bank
on the Effective Date remain true, accurate and complete and have not been amended, supplemented or restated and are and continue to be in full force and effect; 
 4.4       The execution and delivery by Borrower of this Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by
this Amendment, have been duly authorized; 
 4.5       The execution and delivery by
Borrower of this Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, do not and will not contravene (a) any law or regulation binding on or affecting Borrower, (b) any
contractual restriction with a Person binding on Borrower, (c) any order, judgment or decree of any court or other governmental or public body or 

 
authority, or subdivision thereof, binding on Borrower, or (d) the organizational documents of Borrower; 
 4.6       The execution and delivery by Borrower of this Amendment and the performance by Borrower
of its obligations under the Loan Agreement, as amended by this Amendment, do not require any order, consent, approval, license, authorization or validation of, or filing, recording or registration with, or exemption by any governmental or public
body or authority, or subdivision thereof, binding on either Borrower, except as already has been obtained or made; and 
 4.7       This Amendment has been duly executed and delivered by Borrower and is the binding obligation of Borrower, enforceable against Borrower in accordance with its terms, except as such
enforceability may be limited by bankruptcy, insolvency, reorganization, liquidation, moratorium or other similar laws of general application and equitable principles relating to or affecting creditors’ rights. 
 5.      Counterparts. This Amendment may be executed in any number of counterparts and all of
such counterparts taken together shall be deemed to constitute one and the same instrument. 
 6.      Effectiveness. This Amendment shall be deemed effective upon (a) the due execution and delivery to Bank of this Amendment by each party hereto and (b) payment of all Bank
Expenses (including all reasonable attorneys’ fees and reasonable expenses) incurred and invoiced through the date of this Amendment. 
 [Signature page follows.] 

 Exhibit B 
 FORM OF COMPLIANCE CERTIFICATE 
  

							
	 TO:
	  	 SILICON VALLEY BANK
 3003 Tasman Drive
 Santa Clara, CA 95054
	  		  	 Date:

				
	 FROM:
	  	 3PARdata, Inc.
  
 4209 Technology Drive
  
 Fremont, CA 94538
	  		  	

 The undersigned Chief Financial Officer of 3PARdata, Inc. (“Borrower”) certifies that
under the terms and conditions of the Loan and Security Agreement dated June 30, 2005 (as amended, restated, modified and/or supplemented from time to time), between Borrower and Bank (the “Agreement”), (i) Borrower is in
complete compliance for the period ending                      with all required covenants except as noted below and (ii) all
representations and warranties in the Agreement are true and correct in all material respects on this date. In addition, the undersigned certifies that (x) Borrower and each of its Subsidiaries has timely filed all required tax returns and
paid, or made adequate provision to pay, all material taxes, except those being contested in good faith with adequate reserves under GAAP, (y) there are no legal actions pending or threatened against Borrower or any of its Subsidiaries which
Borrower has not previously notified in writing to Bank, and (z) as of the end of this compliance period, there were no held checks. Attached are the required financial reports and calculation of financial covenants supporting the
certification. The undersigned acknowledges that no borrowings may be requested at any time or date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the date
this certificate is delivered. 
 Please indicate compliance status by circling Yes, No, or N/A under “Complies”
column. 
  

					
	 Reporting Covenant
	  	 Required
	  	 Complies

			
	 Accounts receivable agings and
 reconciliations, aged by invoice date,
 accounts payable agings and
 reconciliations, aged by invoice date,
 transaction reports, general ledger
and
 outstanding or held check registers, if any
 and Borrowing Base Certificate
	  	 Monthly within 20 day of month end
	  	 Yes         No         N/A

			
	 Monthly unaudited financial statements
 and Compliance Certificate
	  	 Monthly within 30 days of month end
	  	 Yes         No         N/A

			
	 Annual operating budgets and
 projections (including income statements,
 balance sheets, and cash flow statements,
 each of the foregoing, by month) for the
 upcoming fiscal year
	  	 As updated, but no later than 31 days after FYE
	  	 Yes         No         N/A

			
	 Annual financial statements certified by,
 and with an unqualified opinion of,
 independent CPA
	  	 Annually, within 180 days after FYE
	  	 Yes         No         N/A

  

 2 

					
	 Reporting Covenant
	  	 Required
	  	 Complies

			
	 Transaction Report
	  	 Weekly if AQR is less than 1.25: 1.00
	  	 Yes        No        N/A

  
  

									
	 Financial Covenant
	  	 Required
	  	 Actual
	    	 Complies

					
	 Tangible Net Worth
	  	 5/31/07 and each month thereafter:
 $28,000,000 plus new equity and
 Subordinated Debt
	  	 $                    
	    	 Yes
	  	 No

					
	 Adjusted Quick Ratio
	  	 1.25:1.00
	  	             :1.00
	    	 Yes
	  	 No

 N/A

  

											
	 Sincerely,
	 		 		 	BANK USE ONLY	 	
			 	
	 3PARdata, INC.
	 		 	 Received by:
                                        
                                        
  
	 	
	  
 By:
                                        
                                        
    
	 		 	                          AUTHORIZED SIGNER
	 	
	  
 Name:
                                        
                                      
	 		 	 Date:                                     
                                        
                   
	 	
	  
 Title:   Chief Financial Officer

	 		 	 Verified:                                     
                                        
              
                          AUTHORIZED SIGNER
	 	
				 	
		 		 		 	 Date:                                     
                                        
                   
	 	
				 	
		 		 		 	 Compliance
Status:                                       
             Yes    No    
  
	 	

  

 3 

 IN WITNESS
WHEREOF, the parties hereto have caused this Amendment to be duly executed and delivered as of the date first written above. 
  

									
	 BANK
	 		 	 BORROWER

			
	 Silicon Valley Bank, as Bank
	 		 	 3PARdata, Inc., a California corporation

					
	 By:
	  	 /s/ Daniel Baldi
	 		 	 By:
	 	 /s/ Adriel G. Lares

	 Name:
	  	 Daniel Baldi
	 		 	 Name:
	 	 Adriel G. Lares

	 Title:
	  	 Relationship Manager
	 		 	 Title:
	 	 VP Finance & CFO

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