Document:

Separation Agreement with K.P. Pavlich

 
Exhibit 10(b)

 
SEPARATION AGREEMENT AND RELEASE

 
THIS SEPARATION AGREEMENT AND RELEASE is
entered into at Cleveland, Ohio this 12th day of December, 2002, by and among OGLEBAY NORTON MANAGEMENT COMPANY (the “Management Company”), an Ohio corporation. OGLEBAY NORTON COMPANY (“ONCO”), an Ohio corporation, and
Kenneth P. Pavlich (“Employee”). 
 
RECITALS: 
 
A.    Management Company is a wholly owned subsidiary of ONCO formed for the sole purpose of acting as the employer of management personnel for ONCO. Management Company is hereafter referred to as the
“Company.” 
 
B.    The Company is engaged in pertinent part in the mining of industrial sands, mica, and the processing, sales, and marketing of same for use in construction materials, ceramics and glass, energy, plastics, and
other related industries within the United States (the “Business”). 
 
C.    Employee has been employed in a key management position by the Company in the Business since 1997. 
 
D.    The Company has decided to eliminate the position held by Employee
and desires to make special severance provisions for the benefit of Employee. 
 
NOW, THEREFORE, in consideration of mutual promises and agreements contained herein and intending to be legally bound hereby, the parties agree as follows: 
 
1.    Resignation.
The Company hereby agrees to continue to employ Employee until December 31, 2002, (the “Separation Date”) upon the same terms and 

 

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conditions as he is currently employed; however, Employee shall resign as an officer of ONCO and each affiliate thereof for which he
currently serves as an officer effective October 31, 2002. 
 
2.    Compensation. 
 
2.1    Separation Payment. 
 
(a)    Provided Employee does not breach this Agreement, the Company
shall pay to Employee, or in the event Employee dies prior to the fulfillment of Company’s obligations hereunder, to Employee’s spouse, or in the event Employee’s spouse is deceased, to Employee’s estate, Separation Pay of $5,780
bi-weekly commencing with the first pay period ending after December31, 2002 and continuing through the bi-weekly pay period ending on or immediately after December31, 2004. 
 
(b)    In the event of a breach of this Agreement by Employee,
Company’s obligations hereunder shall immediately cease. 
 
2.2    Certain Basic Fringe Benefits. The Company shall provide to Employee the following extra benefits: 
 
(a)    continuation of the Company provided variable life insurance
policy paid for by the Company through the policy year ending in 2005 in the same manner as that payment is currently made to Employee (In 2002, such amount was$8,696.66 per year, after gross-up); 
 
(b)    health and welfare
benefits, that are provided to its key employees and on the same terms and conditions, as may be applicable to such employees so long as the Company is obligated to pay Separation Pay to the Employee pursuant to Section 2.1(a)above (in the event
Employee dies prior to the fulfillment of Company’s obligations 

 

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hereunder, Employee’s spouse and family shall continue to receive such benefits); Company and Employee agree that COBRA coverage
commences on January 1, 2003, although the Company is paying the cost of benefits provided for there under and shall not be extended by anything contained herein; 
 
(c)    Employee shall be entitled to receive all retirement benefits to
which he is entitled pursuant to his current employment on the terms and pursuant to the provisions of such benefit plans and elections Employee has made or will make upon separation, including without limitation, benefits under the Oglebay Norton
Company Salaried Pension Plan and related SERP, the Oglebay Norton Company incentive Savings Plan and related SERP, and the Oglebay Norton Capital Accumulation Plan; and 
 
(d)    Upon execution of this agreement, Company shall pay Employee a
one-time, lump sum payment of $30,000 in lieu of paying for Outplacement Services. 
 
2.3    Incentive Compensation. Employee shall continue to be entitled to participate in the
Company’s Annual Incentive Plan for the year 2002; however, he shall not be entitled to participate in such plan or receive an incentive bonus from the Company for any time thereafter. Pursuant to such Annual Incentive Plan, Employee may
receive a bonus for 2002, if, and only if, the performance objectives and other criteria set forth in the program are met by the Company. Employee shall also be entitled to continue to be a participant in the Oglebay Norton Company 1999 Long-Term
Incentive Plan (the “LTIP”) for the purpose of the cash incentive payment to the extent he would have been entitled to a cash payment under the LTIP had he not entered into this Agreement and instead had remained employed in his capacity
as an officer of the Company until December 31, 2002. Subject to the approval of the Company’s Compensation, Organization and Governance 

 

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Committee of the Board of Directors, which the Company hereby agrees to request, Stock options issued to Employee pursuant to the 1999 LTIP,
which are not vested as of the date hereof shall be vested effective on the Separation Date and shall be fully exercisable until December 31, 2005. Employee shall also be entitled to continue as a participant in the Oglebay Norton Company 2002 Long
Term Incentive Plan for 2002 only to the extent he would have been entitled had he not entered into this agreement and remained employed as an officer of the Company until December 31, 2002. In the event of Employee’s death prior to payment of
any compensation due hereunder, the Company shall make such payment to Employee’s spouse, or in the event of her death prior to such payment, Employee’s estate. 
 
3.    Change of Control Agreement. The change of control
Employment Agreement entered into between the Company and Employee on or about May 25, 2000, (the “Change of Control Agreement”) shall be, and hereby is, terminated effective December 31, 2002. In the Event of a Change of Control, as that
term is defined in the Change of Control Agreement, then all cash compensation due and payable pursuant to Sections 2.1 and 2.3 hereunder, which has not been paid to Employee or his spouse or estate, shall become immediately due and payable and all
obligations for the payment of benefits described herein shall continue to be obligations of the Company or its successor in interest. 
 
4.    Trade Secrets Covenant. 
 
4.1    Employee acknowledges that during the course of his employment by
the Company he has been in contact with customers, employees, and others having dealings with the Company and has had access to trade secrets and other confidential 
 

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information with regard to the business, operations, accounts, books and records, sales, customers, pricing and other activities of the
Company (“Trade Secrets”). Employee recognizes and agrees that the disclosure of such Trade Secrets to parties other than the Company or the improper use thereof will cause serious and irreparable injury to the Company. Accordingly,
Employee shall, at all times, keep secret and inviolate all Trade Secrets, which he now knows. In addition, Employee shall promptly return to the Company all documents pertaining to Trade Secrets, including, but not limited to, unpublished records,
agreements, books of account, corporate documents, work papers, correspondence, customer lists, memoranda, computer software or documentation in connection therewith, plans, drawings or copies or extracts from any of the foregoing, in his possession
or under his control upon execution of this separation agreement. 
 
5.    Non-Competition Covenant. Employee agrees that for a period of 12 months commencing on the Separation Date, he will not engage in the Business or, own, manage, operate,
control, or participate in, or have any ownership interest in, or make loans to, or act as a guarantor, surety, or indemnitor for, or aid or advise as an employee, director, officer, consultant or otherwise, whether directly or indirectly, any
enterprise (whether a sole proprietorship, partnership, corporation, firm, joint venture, trust or other entity) which is engaged in the Business, without first obtaining the written consent of the President and CEO of ONCO. This provision shall not
prohibit Employee from owning less than 5% of any publicly traded shares of a company in the Business. 
 
6.    Breach of Trade Secret and/or Non-Competition Covenants. 
 
6.1    Employee agrees
that the remedy at law for any breach by him of the foregoing provisions of Sections 4 and 5 will be inadequate, and the Company shall be 
 

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entitled to both temporary and permanent injunctive relief enforcing such provisions, in addition to any other remedy it may have at law or
in equity. 
 
6.2    The covenants of Employee contained in Sections 4 and 5 are separate and independent of any other provisions hereof and shall survive the termination of this Agreement. 
 
6.3    Employee has
carefully considered the nature and extent of the restrictions upon him and the rights and remedies conferred upon the Company, and he hereby acknowledges and agrees that the same are reasonable in time and territory, are designed to eliminate
competition which otherwise would be unfair to the Company, are fully required to protect the legitimate interest of the Company, and do not confer a benefit upon the Company disproportionate to the detriment to Employee. 
 
7.    Release.

 
7.1    In
consideration of the foregoing, Employee agrees not to initiate or maintain any charges, complaints, claims, legal actions or grievances arising out of or in conjunction with his previous employment with or separation from the Company, including
claims for severance pay, or relating to any events occurring prior to the signing of this Agreement. Nothing contained herein shall be construed to limit Employee’ rights pursuant to 29 USC Section 626(f)(4) and the exercise of such rights
shall have no force and effect on any other provision set forth in this Agreement. In further consideration of the foregoing, Employee agrees to release and forever discharge the Company and any of its past, present or future affiliated companies,
subsidiaries, divisions, and any and all of the Company’s past, present and future officers, agents, directors, representatives, employees, shareholders and, as applicable, their successors, assigns, heirs and executors from any 

 

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and all claims, including, but not limited to, employment, re demands, liability, obligations, damages, rights, costs, losses, debts and
expenses (including but not limited to attorneys’ fees), causes of actions, or lawsuits based upon, related to, or arising out of his employment with and separation from the Company, all, and only, with respect to any events, whether known or
unknown or suspect or unsuspected, occurring prior to the signing of this Agreement. This Agreement not to sue includes, but is not limited to: 
 
claims, actions, causes of action or liabilities arising under Title VII of the Civil Rights Act of 1964, as amended; the Age
Discrimination in Employment Act, as amended; Employee Retirement Income Security Act of 1974, as amended; the Older Workers Benefits Protection Act, as amended; 42 U.S.C. Section 1981, as amended; the Civil Rights Act of 1991, as amended; the
Worker Adjustment and Retraining Notification Act, as amended; the Rehabilitation Act of 1973, as amended; the Americans with Disabilities Act, as amended; the Family and Medical Leave Act, as amended; any state anti- discrimination, civil rights or
human rights laws, any other federal, state or municipal employment discrimination statutes and decisional law including, but not limited to, claims based on age, sex, attainment of benefit plan rights, race, religion, national origin, marital
status, sexual orientation, ancestry, harassment, parental status, handicap, disability, retaliation, and veteran status, as well as claims for breach of contract, 
 

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employee benefits, implied contract, promissory estoppel, defamation, tort claims, and any common law claims recognized now or later,
including violations of public policy. 
 
8.    Confidentiality. Employee further agrees that he will not divulge the terms of this Agreement to any person or entity whatsoever at any time, except to his spouse, attorney and/or financial advisors,
unless required to do so by Jaw. 
 
9.    Acknowledgement. Employee acknowledges that he has been given a period of at least twenty-one (21) days within which to consider this Agreement prior to the execution of it and that he has reviewed
its terms and considered its effect, including the foregoing release of claims. Employee also acknowledges that he has been advised in writing to consult with an attorney prior to executing it. Employee understands that for a period of seven (7)
days following the execution of this Agreement, he may revoke it, and that this Agreement shall not become effective or enforceable until the revocation period of seven (7) days has expired. Employee understands that in order to revoke this
Agreement within this seven (7) day time period he must provide written notice of that intention to Michael D. Lundin, President and Chief Executive Officer of the Company so that Mr. Lundin may actually and personally receive notice of the
revocation. 
 
10.    No Admission. It is agreed that the execution and/or implementation of this Agreement does not in any way constitute or represent an admission of any kind by the Company and/or by Employee.

 
11.    Severability. The invalidity or unenforceability of any portion of this Agreement shall not impair or affect the validity or enforceability of any other portion of this Agreement, which shall remain
in full force and effect. 
 

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12.    Assignment. Employee shall not assign,
transfer, pledge or encumber this Agreement or any rights or obligations hereunder. The Company may assign or transfer this Agreement to successor Company in the event of merger, consolidation, or transfer or sale of all or substantially all of the
assets of the Company; provided, however, that in the case of any such assignment or transfer, this Agreement shall be binding upon and inure to the benefit of such transferee, which shall assume and perform all of the obligations of the Company
hereunder; provided further, however, that the Company shall riot be released of its obligations hereunder until fully discharged to Employee as a result of an assignment or transfer of this Agreement to the extent such obligations are not fulfilled
by the assignee or transferee. 
 
13.    Waiver. A waiver by either party of a breach of any provisions of this Agreement shall not operate or be construed to be a waiver of any subsequent breach. 
 
14.    Miscellaneous. This Agreement (a) shall be governed by and interpreted in accordance with the laws of the State of Ohio, (b) shall not be modified except in writing signed by the parties, (c)
constitutes the entire understandings and agreements (both oral and written), and (d) shall be binding upon and inure to the benefit of the parties hereto, their heirs, executors, administrators, successors and permitted assigns. 
 
15.    Headings.
The paragraph headings are for convenience only and shall not affect the construction or interpretation of this Agreement. 
 

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READ BEFORE SIGNING 
 
I HAVE CAREFULLY READ AND FULLY UNDERSTAND THE PROVISIONS OF THIS SEPARATION AGREEMENT AND RELEASE. THIS
RELEASE INCLUDES CLAIMS OR RIGHTS AND ALLEGED CLAIMS OR RIGHTS RELATING TO FEDERAL, STATE OR LOCAL LAWS PROHIBITING, EMPLOYMENT DISCRIMINATION, WHETHER BASED ON AGE, SEX, RACE, COLOR NATIONAL ORIGIN, RELIGION, HANDICAP OR MARITAL, PARENTAL OR
VETERAN STATUS OR CLAIMS GROWING OUT OF ANY LEGAL RESTRICTIONS ON THE COMPANY’S RIGHT TO TERMINATE ITS EMPLOYEES. I HAVE NOT RELIED UPON ANY OTHER REPRESENTATION OR STATEMENT WRITTEN OR ORAL. I HAVE HAD TIME TO CONSULT WITH AN ATTORNEY OR MY
CHOICE PRIOR TO EXECUTING THIS SEPARATION AGREEMENT AND RELEASE 
 
IN WITNESS WHEREOF, the parties hereto have executed this Agreement in multiple counterparts at the place and as of the date and year first above written. 
 
OGLEBAY NORTON MANAGEMENT COMPANY 
OGLEBAY NORTON COMPANY 
 

	
	 By:
	 	 

	 	 	 Michael D. Londin
 President and Chief Executive Officer

 

	
	 

	 Kenneth P. Pavlich “Employee”

 

10Exhibit 10.7

 
Exhibit
10.7 
 
 

	 Optionee
	    	 Grant Date
	    	 Initial Vesting Date
	    	 Expiration Date
	    	 Option Price Per Share
	    	 Number of Options Granted

	

	 	    	 	    	 	    	 	    	 	    	 
	

 
 
NONQUALIFIED STOCK OPTION AGREEMENT 
 
Under the 
 
SAVVIS COMMUNICATIONS CORPORATION 
 
1999 STOCK OPTION PLAN 
 
SAVVIS Communications Corporation, a Delaware corporation (the “Company”), and the employee of the Company named above or a Related Company (the “Optionee”), hereby agree as
follows: 
 
Section 1.    GRANT OF
OPTIONS.    In conformity with the SAVVIS Communications Corporation 1999 Stock Option Plan, as amended (the “Plan”), the provisions of which are incorporated herein by this reference, and pursuant to authorization
of the Committee charged with the administration thereof (the “Committee”), the Company hereby grants to Optionee Nonqualified Stock Options (the “Options”) to purchase all or any part of the number of shares of common stock of
the Company, par value $0.01 per share (the “Common Stock”), set forth above under the caption “Number of Options Granted,” on the terms and conditions herein set forth. The Option shall not constitute an “incentive stock
option” as defined under Section 422(b) of the Internal Revenue Code of 1986, as amended (the “Code”). The grant hereunder is made on the Grant Date set forth above (the “Grant Date”). Capitalized terms not defined in this
Agreement shall have the meanings given in the Plan. 
 
Section
2.    OPTION PRICE.    The purchase price per share of the Stock covered by the Options (the “Option Price”) shall be the Option Price Per Share set forth above. 
 
Section 3.    EXERCISABILITY. 
 
(a)    Except as otherwise provided in
this Agreement, the Options shall vest as follows: (i) one-quarter (1/4) of such Options shall vest on the Initial Vesting Date as set forth above, and (ii) one-quarter (1/4) of such Options shall vest on the same date of each year thereafter for
the succeeding three (3) years. Notwithstanding the foregoing, the Options shall be exercisable in full no later than ten (10) years after the Grant Date. 
 
(b)    The Committee may accelerate the dates on which the Options become exercisable at any time and for any reason.

 
(c)    The Optionee shall
not exercise the Options unless the Optionee has been an employee of the Company or a Related Company at all times during the period beginning on the Grant Date and (i) ending on the day three months before the date of such exercise or (ii) if
Optionee ceases to be such an employee as a result of Disability, ending on the day one year before the date of such exercise. Notwithstanding the foregoing, if the Optionee dies while employed by the Company or a Related Company or at any time
thereafter while the Options remain exercisable, the Options may be exercised until the earlier to occur of the Expiration Date or the date one year after the date of death, and shall not be exercised thereafter. 
 
(d)    The exercisability of the Options
shall not be affected by any change of duties or position of the Optionee so long as the Optionee continues to be an employee of the Company or a Related Company. For purposes of this Agreement, services as a consultant, advisor or independent
contractor shall be considered services as an employee and services provided to a Related Company shall be considered services provided to the Company. 
 
(e)    An individual who is granted a leave of absence by the Company or a Related Company for any reason shall be
considered to remain employed by the Company or a Related Company until the authorized leave expires or a date two years after the date the authorized leave commenced, whichever occurs first. 

 
Section
4.    TERMINATION.    The Options shall terminate and cease to be exercisable in accordance with the following provisions: 
 
(a)    Notwithstanding any other provisions of this Agreement, the Options shall
terminate at the close of business on the Expiration Date set forth above or, if sooner, the business day before the tenth anniversary of the Grant Date (as applicable, the “Expiration Date”), unless sooner terminated as provided below.
For this purpose, “business day” means a day on which the Company’s corporate headquarters is open for normal business. 
 
(b)    The Options shall terminate when they no longer may be exercised pursuant to Section 3(c) or when they are
forfeited as provided in Sections 7 or 8, if sooner than the Expiration Date. 
 
Section 5.    EXERCISES. 
 
(a)    The Options may be exercised only by the Optionee or his or her guardian or legal representative during his or her lifetime and only by the Optionee’s Post-Death Representatives after
the Optionee’s death. The term “Post-Death Representatives” means the executor or administrator of the Optionee’s estate or the person or persons to whom the Optionee’s rights under this Agreement shall pass by his or her
will or the laws of descent and distribution. 
 
(b)    An exercise of the Options shall be made by delivering to the Committee or its designee on the exercise date: 
 
(i)    a written notice (in the form of Exhibit A attached) designating the number of shares to be purchased, which
notice must contain such other information as the Committee or its designee may require and be signed by the Optionee or the person acting under Section 5(a) hereof, and 
 
(ii)    payment of the full amount of the Option Price of the Options being exercised.

 
(c)    An Optionee may pay
the Option Price: 
 
(i)    in
cash; 
 
(ii)    if the Stock
is publicly traded (as defined in the Plan), in Stock which, if acquired from the Company, has been held for at least six months including by deemed or constructive transfers of shares in lieu of actual transfer and physical delivery of
certificates. 
 
(iii)    if
the Stock is publicly traded (as defined in the Plan), payment in full of the Option Price need not accompany the written notice of exercise provided that the notice of exercise directs that the certificate or certificates for the shares of Stock
for which the Option is exercised be delivered to a licensed broker acceptable to the Company as the agent for the individual exercising the Option and, at the time such certificate or certificates are delivered, the broker tenders to the Company
cash (or cash equivalents acceptable to the Company) equal to the option price for the shares of Stock purchased pursuant to the exercise of the Option plus the amount (if any) of Required Withholding Taxes. 
 
(d)    The date of exercise shall be the
date the written notice and the Option Price actually are received by the Committee or its designee, regardless of the means of delivery. 
 
Section 6.    WITHHOLDING TAXES.    If as a result of the exercise of any Option Required Withholding Taxes
will become due, the Optionee shall, concurrently with the exercise of such Option(s), pay to the Company or a Related Company the amount of such Required Withholding Taxes in cash. 
 
Section 7.    NON-DISCLOSURE AGREEMENT. 
 
(a)    If, in connection with the
Optionee’s employment with the Company or a Related Company and/or the grant of Options, the Optionee has entered into a Non-Disclosure Agreement with the Company or Related Company, that agreement is incorporated by reference herein.

 
(b)    In the event the
Optionee materially breaches the Non-Disclosure Agreement, the Optionee shall have breached this Agreement and shall be liable to the Company or a Related Company for any actual damages caused by such breach, including the actual costs of
investigating such action and enforcing the Company’s or a Related Company’s rights hereunder (including court costs and attorneys’ fees). The Optionee acknowledges that monetary damages may be inadequate to fully compensate the
Company or a 

 

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Related Company for the consequences of any such breach; accordingly, the Company or Related Company shall have the right to obtain
injunctive and other appropriate equitable relief in addition to obtaining actual damages as aforesaid. 
 
(c)    In addition to the foregoing, if the Optionee materially breaches the Non-Disclosure Agreement, the Optionee
shall have failed to satisfy a condition subsequent to the grant or vesting of the Options. Accordingly, in such event: 
 
(i)    all Options which have not previously been exercised shall be forfeited to the Company, effective on the date
on which the Optionee first engages in the prohibited disclosure (the “Initial Breach Date”); 
 
(ii)    all shares of Stock received upon exercise of Options either within the 18-month period ending on the Initial
Breach Date or thereafter, and all shares of Stock received in stock splits or stock dividends paid in respect of such Option shares, shall be forfeited to the Company (collectively, “Forfeited Shares”); and 
 
(iii)    all cash or other dividends or
distributions paid or delivered to Optionee in respect of such forfeited shares of Stock (referred to in clause (ii)), either during the 18-month period ending on the Initial Disclosure Date or thereafter, shall be forfeited to the Company
(collectively, “Forfeited Distributions”). 
 
(d)    The Company shall notify the Optionee in writing of any breach under this Section within one year after the later of (i) the Initial Breach Date, or (ii) the time when the Optionee ceases to be employed by
the Company. 
 
(e)    Immediately upon the Optionee’s receipt of notice setting forth a breach of this provision referred to in paragraph (d), the Optionee shall: 
 
(i)    deliver to the Company all certificates representing Forfeited Shares which he or
she at that time owns or controls, in exchange for payment by the Company of the Option Price paid by the Optionee for such Shares; 
 
(ii)    pay to the Company in cash the Fair Market Value, as of the effective date of the forfeiture, of any
Forfeited Shares which the Optionee no longer owns or controls (including any such Shares withheld by the Company or Related Company at Optionee’s election to pay Withholding Taxes); 
 
(iii)    repay to the Company any and all cash Forfeited Distributions; and

 
(iv)    deliver to the
Company any and all non-cash Forfeited Distributions or, if the Optionee no longer owns or controls such Forfeited Distributions, to pay to the Company in cash the fair market value, as of the effective date of the forfeiture, of such Distributions.

 
All such deliveries and payment shall be made without adjustment
for any Withholding Taxes paid or withheld, interest, changes in the price of Stock before or after the forfeiture date, or otherwise. The Optionee is solely responsible for any taxes relating to Forfeited Shares, Forfeited Distributions, or the
Options. 
 
(f)    The
provisions of this Section shall survive the vesting, exercise, and/or termination of the Options, but shall terminate upon the occurrence of a Change in Control, as defined below. 
 
Section 8.    OTHER FORFEITURES; RELATED MATTERS. 
 
(a)    If the Optionee is
dismissed from employment for good cause, both vested (unless otherwise provided in an applicable employment agreement) and unvested Options shall immediately terminate and be forfeited to the extent not previously exercised. For this purpose,
“good cause” shall mean (i) being convicted of a felony or a crime involving moral turpitude whether or not related to your employment or you have entered a plea of nolo contendere (or similar plea) to a charge of such an offense or the
substantial weight of credible evidence indicates that you committed such a crime; (ii) using alcohol or any unlawful controlled substance to an extent that it interferes with the performance of your duties; (iii) any act of fraud, misappropriation
or personal dishonesty relating to or involving the Company in any way; (iv) violation of any express direction of the Board or any supervisor or violation of any rule, regulation, policy or plan established by the Company from time to time
regarding the conduct of its employees and/or its business; or (v) you engage in grossly negligent or willful misconduct that you know (or should know) will materially injure the business interests or reputation of the Company. 
 
(b)    By accepting this Agreement, the
Optionee consents to a deduction from any amounts owed to Optionee by the Company or a Related Company (including, but not limited to, amounts owed as wages or other compensation, fringe benefits, nonqualified retirement benefits, or vacation pay)
to the extent of the amounts owed by the Optionee to the Company or Related Company pursuant 

 

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to this Agreement. In the event that such set-off does not satisfy the full amount owed to the Company or Related Company, the Optionee
agrees to pay the unpaid balance immediately to the Company or Related Company. 
 
(c)    The provisions of paragraph (a) and (b) of this Section shall survive the vesting, exercise, and/or termination of the Options. 
 
Section 9.    ADJUSTMENTS. 
 
(a)    In the event of (i) any change in
the outstanding shares of Stock by reason of any stock split (excluding the July 22, 1999 stock split), combination of shares, stock dividend, reorganization, merger, consolidation, or other corporate change having a similar effect, (ii) any
separation of the Company including a spin-off or other distribution of stock or property by the Company, or (iii) any distribution to shareholders generally other than a normal dividend, the Committee shall make such equitable adjustments to Option
as it shall deem appropriate in order to prevent the dilution or enlargement of the economic value of the Option. Any such determination by the Committee shall be conclusive and binding on all concerned. 
 
(b)    Upon the dissolution or liquidation
of the Company, or upon a merger, consolidation or reorganization of the Company with one or more other entities in which the Company is not the surviving entity, or upon a sale of substantially all of the assets of the Company to another person or
entity, or upon any transaction (including, without limitation, a merger or reorganization in which the Company is the surviving entity) approved by the Board that results in any person or entity (other than persons who are holders of stock of the
Company at the time the Plan is approved by the stockholders and other than an affiliate) owning 80 percent or more of the combined voting power of all classes of stock of the Company, the Option shall terminate, except to the extent provision is
made in connection with such transaction for the assumption of the Option, or for the substitution for such Option of a new option covering the stock of a successor entity, or a parent or subsidiary thereof, with appropriate adjustments as to the
number and kinds of shares and exercise price, in which event the Option shall continue in the manner and under the terms so provided. In the event of any such termination of the Option, Optionee shall have the right (subject to the general
limitations on exercise set forth herein), immediately prior to the occurrence of such termination and during such period occurring prior to such termination as the Committee in its sole discretion shall designate, to exercise such Option in whole
or in part, whether or not such Option was otherwise exercisable at the time of such termination. The Committee shall send written notice of an event that will result in such a termination to the Optionee not later than the time at which the Company
gives notice thereof to its stockholders. Notwithstanding the foregoing, in the event of a transaction described in this Section 9(b), the Board of Directors may, in its sole discretion, cancel any outstanding Options and pay or deliver, or cause to
be paid or delivered, to the holder thereof an amount in cash or securities having a value (as determined by the Board of Directors acting in good faith) equal to the product of (A) the number of shares of Common Stock (the “Option
Shares”) that, as of the date of consummation of such transaction, the holder of such Option had become entitled to purchase (and had not purchased) multiplied by (B) the amount, if any, by which (1) the formula or fixed price per share paid to
holders of shares of Common Stock pursuant to such transaction exceeds (2) the options price applicable to such Option Shares. 
 
Section 10.    CHANGE IN CONTROL 
 
(a)    Immediately upon an Involuntary Termination of Optionee’s employment within eighteen (18) months
following either: (i) a Change in Control or (ii) a transaction described in Section 9(b) of this Agreement in which the Option is assumed, the Option, to the extent outstanding at the time but not otherwise fully exercisable, shall automatically
accelerate so that the Option shall become immediately exercisable for all the Option shares at the time subject to the Option and may be exercised for any or all of those Option Shares as fully vested shares. 
 
(b)    The Option as accelerated shall
remain so exercisable until the earlier of (i) the Expiration Date or (ii) the expiration of the one (1)-year period measured from the date of the Optionee’s Involuntary Termination. 
 
(c)    For purposes of this Agreement, the following definitions shall be in
effect: 
 
(i)    Involuntary
Termination shall mean the termination of Optionee’s service by reason of: 
 
(A)    Optionee’s involuntary dismissal or discharge by the Company for reason other than “good cause,” or 
 
(B)    Optionee’s voluntary
resignation following (x) a change in Optionee’s position with the Company which entails materially reduced responsibilities, compensation, target bonus or equity incentive opportunities, or (y) a relocation of Optionee from the metropolitan
area in which Optionee was located at the time of the Change in Control, provided and only if such change, reduction or relocation is effected by the Company without Optionee’s consent. 
 
(ii)    Change in Control occurs
when any of the following events occur: 
 

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(A)    any Person (as defined herein) becomes the beneficial owner directly or indirectly (within the meaning of Rule 13d-3 under the Act) of more than 50% of the Company’s then outstanding voting securities
(measured on the basis of voting power); or 
 
(B)    Individuals who, as of the date hereof, constitute the Board (the “Incumbent Board”) cease for any reason to constitute at least a majority of the Board; provided, however, that any individual
becoming a director subsequent to the date hereof whose election, or nomination for election by the Company’s shareholders, was approved by a vote of at least a majority of the directors then comprising the Incumbent Board shall be considered
as though such individual were a member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a result of an actual or threatened election contest with respect to the election or
removal of directors or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board; or 
 
(C)    the closing of an agreement of merger or consolidation with any other corporation or business entity, other
than (x) a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities of the
surviving entity), in combination with the ownership of any trustee or other fiduciary holding securities under an employee benefit plan of the Company, at least 50% of the combined voting power of the voting securities of the Company or such
surviving entity outstanding immediately after such merger or consolidation, or (y) a merger or consolidation effected to implement a recapitalization of the Company (or similar transaction) in which no Person acquires more than 50% of the combined
voting power of the Company’s then outstanding securities; 
 
(D)    concurrently with the liquidation or dissolution of the Company or upon the closing of a sale or disposition by the Company of all or substantially all of the Company’s assets. 
 
For purposes of this paragraph, “Person” means any
individual, entity or group within the meaning of Section 3(a)(9) of the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof; however, a Person shall not include (aa) the Company, (bb) BIS Administration, Inc., (cc) a trustee or
other fiduciary holding securities under an employee benefit plan of the Company, (dd) an underwriter temporarily holding securities pursuant to an offering of such securities, (ee) a corporation owned, directly or indirectly, by the shareholders of
the Company in substantially the same proportions as their ownership of Stock, or (ff) any person or entity or group acquiring securities of the Company pursuant to an issuance of securities approved by the Board of Directors of the Company.

 
Notwithstanding any provision of this Section 10 to the
contrary, a Change in Control shall not include any change in ownership of the Company as a result of (a) the sale by the Company of its Series A Convertible Redeemable Preferred Stock (the “Series A Preferred Stock”) pursuant to that
certain Stock Purchase Agreement, dated as of March 6, 2002, among the Company, Welsh, Carson, Anderson & Stowe VIII, L.P. (“WCAS VIII) and the entities and individuals affiliated with WCAS VIII listed on Annex I thereto and the
Other Purchasers thereto, or (b) as a result of any conversion of the Series A Preferred Stock into shares of the Company’s Common Stock in accordance with the term of the Certificate of Designation relating to the Series A Preferred
Stock. 
 
Section 11.    LIMITATION
ON RIGHTS IN COMPANY STOCK. 
 
(a)    Neither the Optionee nor his or her Post-Death Representatives shall have any of the rights of a shareholder with respect to shares of Stock covered by the Options until shares of Stock are issued to him,
her, or them upon exercise of the Option. 
 
(b)    Prior to exercise of the Options, the Company may require the Optionee to execute a restrictive stock agreement, lock-up agreement or any other agreement restricting the Optionee’s ability to transfer
Stock subsequent to the exercise of the Options in such form as the Company shall reasonably determine to be appropriate. 
 
Section 12.    LIMITATIONS ON TRANSFERS.    The Options shall not be transferable by Optionee otherwise
than by will or by the laws of descent and distribution. 
 
Section 13.    NO RIGHT TO EMPLOYMENT.    Nothing in this Agreement or the Plan shall confer on the Optionee any right or expectation to continue in the employ of his or her employer or
the Company, or to interfere in any manner with the absolute right of the employer or the Company to change or terminate the Optionee’s employment at any time for any reason or no reason. 
 
Section
14.    AMENDMENTS.    This Agreement may be amended in writing by the Company and Optionee, provided that the Company may amend this Agreement unilaterally if the amendment does not adversely affect or
impair the rights of the Optionee. The Company shall give notice to the Optionee of any such unilateral amendment either before or promptly after the effective date thereof. 
 

5 

 
IN WITNESS
WHEREOF, the parties hereto have executed this Agreement in duplicate as of the Grant Date. 
 

	 SAVVIS COMMUNICATIONS CORPORATION

	
	 By:
	 	

	 Title:
	 	

	
	
 Optionee

 

6 

 
Exhibit
10.7 
 
 
EXHIBIT A 
 
OPTION EXERCISE FORM 
 
To
be executed by the Optionee to 
exercise the rights to purchase Stock 
evidenced by the foregoing Option 
 
TO:    SAVVIS COMMUNICATIONS CORPORATION 
 
I, (First and Last Name) , a Participant under the SAVVIS Communications Corporation 1999 Stock
Option Plan (the “Plan”), do hereby exercise the right to purchase                      shares of Common Stock, $0.01 par value, of
SAVVIS Communications Corporation pursuant to the Option dated (Date of Grant) under the Plan. 
 
Enclosed herewith is 
 

	 	(i)	 	$                    , or 

 

	 	(ii)	 	shares of Common Stock, properly endorsed or accompanied by a duly executed stock power, with a Fair Market Value of
$                    , 

 
an amount equal to the total Option Price for the shares of Common Stock being purchased pursuant to this Option Exercise Form. 
 

	 	  	 
	
	 Date:
	 	
	  	 	 	

	 	 	 	  	 	 	 Signature

 
 

	
	 ADDRESS OF OPTIONEE:

	
	

	
	

	
	

	
	 Social Security No:
	 	

 
 
Send a completed copy of this Option Exercise Form to: 
 
SAVVIS Communications Corporation 
717 Office Parkway 
St. Louis, MO 63141-7115 
Attention: Legal Department

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