Document:

Exhibit 10.1

JETBLUE AIRWAYS CORPORATION

CREWMEMBER STOCK PURCHASE PLAN

(As Amended and Restated April 2, 2007)

I.    PURPOSE OF THE PLAN

This Crewmember Stock Purchase Plan is intended to promote the interests of JetBlue Airways Corporation, a Delaware corporation, by providing eligible crewmembers with the opportunity to acquire a proprietary interest in the Corporation through participation in a payroll deduction-based employee stock purchase plan designed to qualify under Section 423 of the Code.

Capitalized terms herein shall have the meanings assigned to such terms in the attached Appendix.

The terms and provisions of this April 2, 2007 restatement shall apply to all offering periods and Purchase Intervals commencing after April 30, 2007.

All share numbers in this April 2, 2007 restatement reflect the three three-for-two splits of the Common Stock effected as of December 13, 2002, November 21, 2003 and December 23, 2005.

II.    ADMINISTRATION OF THE PLAN

The Plan Administrator shall have full authority to interpret and construe any provision of the Plan and to adopt such rules and regulations for administering the Plan as it may deem necessary in order to comply with the requirements of Code Section 423. Decisions of the Plan Administrator shall be final and binding on all parties having an interest in the Plan.

III.    STOCK SUBJECT TO PLAN

A.    The stock purchasable under the Plan shall be shares of authorized but unissued or reacquired Common Stock, including shares of Common Stock purchased on the open market. The maximum number of shares of Common Stock reserved for issuance over the term of the Plan shall not exceed 29,156,883 shares. Such share reserve includes (i) the initial reserve of 5,062,500 shares and (ii) additional increases of 4,303,692; 4,593,110; 4,690,645; 5,178,659; and 5,328,277 shares effected in January 2003, 2004, 2005, 2006 and 2007, respectively, pursuant to the automatic share increase provisions of Section III.B.

B.    The number of shares of Common Stock available for issuance under the Plan shall automatically increase on the first trading day of January each calendar year during the term of the Plan, beginning with calendar year 2003, by an amount equal to three percent (3%) of the total number of shares of Common Stock outstanding on the last trading day in December of the immediately preceding calendar year, but in no event shall any such annual increase exceed 9,112,500 shares.

C.    In the event of any of the following transactions affecting the Common Stock: any stock split, stock dividend, recapitalization, combination of shares, exchange of shares, spin-off transaction or other change affecting the outstanding Common Stock as a class without the Corporation’s receipt of consideration, then equitable adjustments shall be made to (i) the maximum number and class of securities issuable under the Plan, (ii) the maximum number and class of securities purchasable per Participant on any one Purchase Date, (iii) the maximum number and class of securities purchasable in total by all Participants on any one Purchase Date, (iv) the maximum number and/or class of securities by which the share reserve is to increase automatically each calendar year pursuant to the provisions of Section III.B of this Article One and (v) the number and class of securities and the price per share in effect under each outstanding purchase right. The adjustments shall be made in such manner as the Plan Administrator deems appropriate in order to prevent the dilution or enlargement of benefits under the outstanding purchase rights, and such adjustments shall be final, binding and conclusive on the holders of those rights.

IV.    OFFERING PERIOdS 

A.    Shares of Common Stock shall be offered for purchase under the Plan through a series of overlapping offering periods until such time as (i) the maximum number of shares of Common Stock available for issuance under the Plan shall have been purchased or (ii) the Plan shall have been sooner terminated.

B.    Each offering period shall be of such duration (not to exceed twenty-four (24) months) as determined by the Plan Administrator prior to the start date of such offering period. Offering periods shall commence at semi-annual intervals on the first business day of May and November each year over the term of the Plan. Accordingly, two (2) separate offering periods shall commence in each calendar year the Plan remains in existence. Unless otherwise determined by the Plan Administrator prior to the start of such offering period, each offering period commencing after April 30, 2007 shall have a maximum duration of six (6) months.

C.    Each offering period shall consist of a series of one or more successive Purchase Intervals. Purchase Intervals shall run from the first business day in May to the last business day in October each year and from the first business day in November each year to the last business day in April in the following year. Each offering period commencing after April 30, 2007 will consist of one Purchase Interval, unless the duration of that offering period exceeds six (6) months.

D.    Effective May 1, 2007, there shall be no longer any automatic restart of an offering period if the Fair Market Value per share of Common stock on any Purchase Date within that offering period is less than the Fair Market Value per share of Common Stock on the start date of that offering period.

V.    ELIGIBILITY

A.    Each individual who is an Eligible Crewmember on the start date of any offering period under the Plan may enter that offering period on such start date. However, an Eligible Crewmember may participate in only one offering period at a time.

B.    An Eligible Crewmember must, in order to participate in the Plan for a particular offering period, complete the enrollment forms prescribed by the Plan Administrator (including a stock purchase agreement and a payroll deduction authorization) and file such forms with the Plan Administrator (or its designate) on or before the start date of that offering period.

VI.    PAYROLL DEDUCTIONS

A.    The payroll deduction authorized by the Participant for purposes of acquiring shares of Common Stock during an offering period may be any multiple of one percent (1%) of the Cash Earnings paid to the Participant during each Purchase Interval within that offering period, up to a maximum of ten percent (10%). The deduction rate so authorized shall continue in effect throughout the offering period, except to the extent such rate is changed in accordance with the following guidelines:

(i)    The Participant may, at any time during the offering period, reduce his or her rate of payroll deduction to become effective as soon as administratively possible after filing the appropriate form with the Plan Administrator. The Participant may not, however, effect more than one (1) such reduction per Purchase Interval.

(ii)    The Participant may, prior to the commencement of any new Purchase Interval within the offering period, increase the rate of his or her payroll deduction by filing the appropriate form with the Plan Administrator. The new rate (which may not exceed the ten percent (10%) maximum) shall become effective on the start date of the first Purchase Interval following the filing of such form.

B.    Payroll deductions shall begin on the first pay day administratively feasible following the start date of the offering period and shall (unless sooner terminated by the Participant) continue through the pay day ending with or immediately prior to the last day of that offering period. The amounts so collected shall be credited to the Participant’s book account under the Plan, but no interest shall be paid on the balance from time to time outstanding in such account. The amounts collected from the Participant shall not be required to be held in any segregated account or trust fund and may be commingled with the general assets of the Corporation and used for general corporate purposes.

C.    Payroll deductions shall automatically cease upon the termination of the Participant’s purchase right in accordance with the provisions of the Plan.

D.    The Participant’s acquisition of Common Stock under the Plan on any Purchase Date shall neither limit nor require the Participant’s acquisition of Common Stock on any subsequent Purchase Date, whether within the same or a different offering period.

VII.    PURCHASE RIGHTS

A.    Grant of Purchase Rights.    A Participant shall be granted a separate purchase right for each offering period in which he or she is enrolled. The purchase right shall be granted on the start date of the offering period and shall provide the Participant with the right to purchase shares of Common Stock, at the end of each Purchase Interval within that offering period, upon the terms set forth below. The Participant shall execute a stock purchase agreement embodying such terms and such other provisions (not inconsistent with the Plan) as the Plan Administrator may deem advisable.

Under no circumstances shall purchase rights be granted under the Plan to any Eligible Crewmember if such individual would, immediately after the grant, own (within the meaning of Code Section 424(d)) or hold outstanding options or other rights to purchase, stock possessing five percent (5%) or more of the total combined voting power or value of all classes of stock of the Corporation or any Corporate Affiliate.

B.    Exercise of the Purchase Right.    Each purchase right shall be automatically exercised on each successive Purchase Date within the offering period, and shares of Common Stock shall accordingly be purchased on behalf of each Participant on each such Purchase Date. The purchase shall be effected by applying the Participant’s payroll deductions (or, to the extent applicable, his or her lump sum contribution) for the Purchase Interval ending on such Purchase Date to the purchase of whole shares of Common Stock at the purchase price in effect for the Participant for that Purchase Date.

C.    Purchase Price.    The purchase price per share at which Common Stock will be purchased on the Participant’s behalf on each Purchase Date within a particular offering period in which he or she is enrolled shall be determined as follows:

(i)    For each offering period commencing prior to May 1, 2007, the purchase price shall be eighty-five percent (85%) of the lower of (i) the Fair Market Value per share of Common Stock on the start date of that offering period or (ii) the Fair Market Value per share of Common Stock on such Purchase Date.

(ii)    For each offering period commencing on or after May 1, 2007, the purchase price per share shall be equal to ninety-five percent (95%) of the Fair Market Value per share of Common Stock on each Purchase Date within that offering period.

D.    Number of Purchasable Shares.    The number of shares of Common Stock purchasable by a Participant on each Purchase Date during the particular offering period in which he or she is enrolled shall be the number of whole shares obtained by dividing the amount collected from the Participant through payroll deductions during the Purchase Interval ending with that Purchase Date by the purchase price in effect for the Participant for that Purchase Date. However, the maximum number of shares of Common Stock purchasable per Participant on any one Purchase Date shall not exceed 3,375 shares, subject to periodic adjustments in the event of certain changes in the Corporation’s capitalization. In addition, the maximum number of shares of Common Stock purchasable in total by all Participants in the Plan on any one Purchase Date shall not exceed 1,350,000 shares, subject to periodic adjustments in the event of certain changes in the Corporation’s capitalization. However, the Plan Administrator shall have the discretionary authority, exercisable prior to the start of any offering period under the Plan, to increase or decrease the limitations to be in effect for the number of shares purchasable per Participant and in total by all Participants enrolled in that particular offering period on each Purchase Date which occurs during that offering period.

E.    Excess Payroll Deductions.    Any payroll deductions not applied to the purchase of shares of Common Stock on any Purchase Date because they are not sufficient to purchase a whole share of Common Stock shall be held for the purchase of Common Stock on the next Purchase Date. However, 

any payroll deductions not applied to the purchase of Common Stock by reason of the limitation on the maximum number of shares purchasable per Participant or in total by all Participants on the Purchase Date shall be promptly refunded.

F.    Suspension of Payroll Deductions.    In the event that a Participant is, by reason of the accrual limitations in Article VIII, precluded from purchasing additional shares of Common Stock on one or more Purchase Dates during the offering period in which he or she is enrolled, then no further payroll deductions shall be collected from such Participant with respect to those Purchase Dates. The suspension of such deductions shall not terminate the Participant’s purchase right for the offering period in which he or she is enrolled, and payroll deductions shall automatically resume on behalf of such Participant once he or she is again able to purchase shares during that offering period in compliance with the accrual limitations of Article VIII.

G.    Withdrawal from Offering Period.    The following provisions shall govern the Participant’s withdrawal from an offering period:

(i)    A Participant may withdraw from the offering period in which he or she is enrolled at any time prior to the next scheduled Purchase Date by filing the appropriate form with the Plan Administrator (or its designate), and no further payroll deductions shall be collected from the Participant with respect to that offering period. Any payroll deductions collected during the Purchase Interval in which such withdrawal occurs shall, at the Participant’s election, be immediately refunded or held for the purchase of shares on the next Purchase Date. If no such election is made at the time of such withdrawal, then the payroll deductions collected from the Participant during the Purchase Interval in which such withdrawal occurs shall be refunded as soon as administratively possible.

(ii)    The Participant’s withdrawal from a particular offering period shall be irrevocable, and the Participant may not subsequently rejoin that offering period at a later date. In order to resume participation in any subsequent offering period, such individual must re-enroll in the Plan (by making a timely filing of the prescribed enrollment forms) on or before the start date of that offering period.

H.    Termination of Purchase Right.    The following provisions shall govern the termination of outstanding purchase rights:

(i)    Should the Participant cease to remain an Eligible Crewmember for any reason (including death, disability or change in status) while his or her purchase right remains outstanding, then that purchase right shall immediately terminate, and all of the Participant’s payroll deductions for the Purchase Interval in which the purchase right so terminates shall be immediately refunded.

(ii)    However, should the Participant cease to remain in active service by reason of an approved unpaid leave of absence, then the Participant shall have the right, exercisable up until the last business day of the Purchase Interval in which such leave commences, to (a) withdraw all the payroll deductions collected to date on his or her behalf for that Purchase Interval or (b) have such funds held for the purchase of shares on his or her behalf on the next scheduled Purchase Date. In no event, however, shall any further payroll deductions be collected on the Participant’s behalf during such leave. Upon the Participant’s return to active service (x) within ninety (90) days following the commencement of such leave or (y) prior to the expiration of any longer period for which such Participant has reemployment rights with the Corporation provided by statute or contract, his or her payroll deductions under the Plan shall automatically resume at the rate in effect at the time the leave began, unless the Participant withdraws from the Plan prior to his or her return. An individual who returns to active employment following a leave of absence that exceeds in duration the applicable (x) or (y) time period will be treated as a new Crewmember for purposes of subsequent participation in the Plan and must accordingly re-enroll in the Plan (by making a timely filing of the prescribed enrollment forms) on or before the start date of any subsequent offering period in which he or she wishes to participate.

I.    Change in Control.    Each outstanding purchase right shall automatically be exercised, immediately prior to the effective date of any Change in Control, by applying the payroll deductions of each Participant for the Purchase Interval in which such Change in Control occurs to the purchase of whole shares of Common Stock at a purchase price per share determined as follows:

(i)    If the purchase right pertains to an offering period commencing before May 1, 2007, then the purchase price per share will be equal to eighty-five percent (85%) of the lower of (i) the Fair Market Value per share of Common Stock on the start date of that offering period or (ii) the Fair Market Value per share of Common Stock immediately prior to the effective date of such Change in Control.

(ii)    If the purchase right pertain to an offering period commencing on or after May 1, 2007, the purchase price per share shall be equal to ninety-five percent (95%) of the Fair Market Value per share of Common Stock immediately prior to the effective date of such Change in Control.

However, the applicable limitation on the number of shares of Common Stock purchasable per Participant shall continue to apply to any such purchase, but not the limitation applicable to the maximum number of shares of Common Stock purchasable in total by all Participants on any one Purchase Date.

The Corporation shall use its best efforts to provide at least ten (10) days’ prior written notice of the occurrence of any Change in Control, and Participants shall, following the receipt of such notice, have the right to terminate their outstanding purchase rights prior to the effective date of the Change in Control.

J.    Proration of Purchase Rights.    Should the total number of shares of Common Stock to be purchased pursuant to outstanding purchase rights on any particular date exceed the number of shares then available for issuance under the Plan, the Plan Administrator shall make a pro-rata allocation of the available shares on a uniform and nondiscriminatory basis, and the payroll deductions of each Participant, to the extent in excess of the aggregate purchase price payable for the Common Stock pro-rated to such individual, shall be refunded.

K.    Assignability.    The purchase right shall be exercisable only by the Participant and shall not be assignable or transferable by the Participant.

L.    Stockholder Rights.    A Participant shall have no stockholder rights with respect to the shares subject to his or her outstanding purchase right until the shares are purchased on the Participant’s behalf in accordance with the provisions of the Plan and the Participant has become a holder of record of the purchased shares.

VIII.    ACCRUAL LIMITATIONS

A.    No Participant shall be entitled to accrue rights to acquire Common Stock pursuant to any purchase right outstanding under this Plan if and to the extent such accrual, when aggregated with (i) rights to purchase Common Stock accrued under any other purchase right granted under this Plan and (ii) similar rights accrued under other employee stock purchase plans (within the meaning of Code Section 423)) of the Corporation or any Corporate Affiliate, would otherwise permit such Participant to purchase more than Twenty-Five Thousand Dollars ($25,000.00) worth of stock of the Corporation or any Corporate Affiliate (determined on the basis of the Fair Market Value per share on the date or dates such rights are granted) for each calendar year such rights are at any time outstanding.

B.    For purposes of applying such accrual limitations to the purchase rights granted under the Plan, the following provisions shall be in effect:

(i)    The right to acquire Common Stock under each outstanding purchase right shall accrue in one or more installments on each successive Purchase Date during the offering period in which such right remains outstanding.

(ii)    No right to acquire Common Stock under any outstanding purchase right shall accrue to the extent the Participant has already accrued in the same calendar year the right to acquire Common Stock under one or more other purchase rights at a rate equal to Twenty-Five Thousand Dollars ($25,000.00) worth of Common Stock (determined on the basis of the Fair Market Value per share on the date or dates of grant) for each calendar year such rights were at any time outstanding.

C.    If by reason of such accrual limitations, any purchase right of a Participant does not accrue for a particular Purchase Interval, then the payroll deductions that the Participant made during that Purchase Interval with respect to such purchase right shall be promptly refunded.

D.    In the event there is any conflict between the provisions of this Article and one or more provisions of the Plan or any instrument issued thereunder, the provisions of this Article shall be controlling.

IX.    EFFECTIVE DATE AND TERM OF THE PLAN

A.    The Plan was adopted by the Board on February 11, 2002, and become effective at the Effective Time.

B.    The Plan was amended and restated on April 2, 2007 to effect the following changes: (i) to eliminate, effective May 1, 2007, the automatic reset feature pursuant to which individuals participating in an offering period in which the Fair Market Value per share of Common Stock on any Purchase Date is less than the Fair Market Value per share of Common Stock on the start date of that offering period are, immediately after that Purchase Date, transferred from such offering period and automatically enrolled in the next offering period commencing after such Purchase Date, (ii) to change, effective for offering periods commencing on or after May 1, 2007, the purchase price per share of Common Stock to ninety-five percent (95%) of the Fair Market Value per share of Common Stock on the applicable Purchase Date and (iii) to remove certain language in the Plan pertaining to the initial offering period under the Plan which is no longer relevant.

C.    Unless sooner terminated by the Board, the Plan shall terminate upon the earliest of (i) the last business day in April 2012, (ii) the date on which all shares available for issuance under the Plan shall have been sold pursuant to purchase rights exercised under the Plan or (iii) the date on which all purchase rights are exercised in connection with a Change in Control. No further purchase rights shall be granted or exercised, and no further payroll deductions shall be collected, under the Plan following such termination.

X.    AMENDMENT OF THE PLAN

A.    The Board may alter, amend, suspend or terminate the Plan at any time to become effective immediately following the close of any Purchase Interval. However, the Plan may be amended or terminated immediately upon Board action, if and to the extent necessary to assure that the Corporation will not recognize, for financial reporting purposes, any compensation expense in connection with the shares of Common Stock offered for purchase under the Plan, should the financial accounting rules applicable to the Plan at the Effective Time be subsequently revised so as to require the Corporation to recognize compensation expense in the absence of such amendment or termination.

B.    In no event may the Board effect any of the following amendments or revisions to the Plan without the approval of the Corporation’s stockholders: (i) increase the number of shares of Common Stock issuable under the Plan, except for permissible adjustments in the event of certain changes in the Corporation’s capitalization, (ii) alter the purchase price formula so as to reduce the purchase price payable for the shares of Common Stock purchasable under the Plan or (iii) modify the eligibility requirements for participation in the Plan.

XI.    GENERAL PROVISIONS

A.    All costs and expenses incurred in the administration of the Plan shall be paid by the Corporation; however, each Plan Participant shall bear all costs and expenses incurred by such individual in the sale or other disposition of any shares purchased under the Plan.

B.    Nothing in the Plan shall confer upon the Participant any right to continue in the employ of the Corporation or any Corporate Affiliate for any period of specific duration or interfere with or otherwise restrict in any way the rights of the Corporation (or any Corporate Affiliate employing such person) or of the Participant, which rights are hereby expressly reserved by each, to terminate such person’s employment at any time for any reason, with or without cause.

C.    The provisions of the Plan shall be governed by the laws of the State of Delaware without resort to that State’s conflict-of-laws rules.

Schedule A

Corporations Participating in

Crewmember Stock Purchase Plan

As of the Effective Time

JetBlue Airways Corporation

APPENDIX

The following definitions shall be in effect under the Plan:

A.    Board shall mean the Corporation’s Board of Directors.

B.    Cash Earnings shall mean (i) the regular base salary paid to a Participant by one or more Participating Companies during such individual’s period of participation in one or more offering periods under the Plan plus (ii) all overtime payments, bonuses, commissions, profit-sharing distributions or other incentive-type payments received during such period. Such Cash Earnings shall be calculated before deduction of (A) any income or employment tax withholdings or (B) any contributions made by the Participant to any Code Section 401(k) salary deferral plan or any Code Section 125 cafeteria benefit program now or hereafter established by the Corporation or any Corporate Affiliate. However, Cash Earnings shall not include any contributions made by the Corporation or any Corporate Affiliate on the Participant’s behalf to any crewmember benefit or welfare plan now or hereafter established (other than Code Section 401(k) or Code Section 125 contributions deducted from such Cash Earnings).

C.    Change in Control shall mean a change in ownership of the Corporation pursuant to any of the following transactions:

(i)    a merger, consolidation or other reorganization approved by the Corporation’s stockholders, unless securities representing more than fifty percent (50%) of the total combined voting power of the voting securities of the successor corporation are immediately thereafter beneficially owned, directly or indirectly and in substantially the same proportion, by the persons who beneficially owned the Corporation’s outstanding voting securities immediately prior to such transaction, or

(ii)    the sale, transfer or other disposition of all or substantially all of the assets of the Corporation in complete liquidation or dissolution of the Corporation, or

(iii)    the acquisition, directly or indirectly, by a person or related group of persons (other than the Corporation or a person that directly or indirectly controls, is controlled by or is under common control with the Corporation) of beneficial ownership (within the meaning of Rule 13d-3 of the 1934 Act) of securities possessing more than fifty percent (50%) of the total combined voting power of the Corporation’s outstanding securities pursuant to a tender or exchange offer made directly to the Corporation’s stockholders.

D.    Code shall mean the Internal Revenue Code of 1986, as amended.

E.    Common Stock shall mean the Corporation’s common stock.

F.    Corporate Affiliate shall mean any parent or subsidiary corporation of the Corporation (as determined in accordance with Code Section 424), whether now existing or subsequently established.

G.    Corporation shall mean JetBlue Airways Corporation, a Delaware corporation, and any corporate successor to all or substantially all of the assets or voting stock of JetBlue Airways Corporation that shall by appropriate action adopt the Plan.

H.    Effective Time shall mean the time at which the Underwriting Agreement is executed and the Common Stock priced for the initial public offering of such Common Stock. Any Corporate Affiliate that becomes a Participating Corporation after such Effective Time shall designate a subsequent Effective Time with respect to its Eligible Crewmember-Participants.

I.    Eligible Crewmember shall mean any person who is paid remuneration for services rendered as an employee of one or more Participating Corporations.

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J.    Fair Market Value per share of Common Stock on any relevant date shall be determined in accordance with the following provisions:

J.    Fair Market Value per share of Common Stock on any relevant date shall be determined in accordance with the following provisions:

(i)    If the Common Stock is at the time traded on the Nasdaq National Market, then the Fair Market Value shall be the average of the highest and the lowest selling price per share of Common Stock on the date in question, as such price is reported by the National Association of Securities Dealers on the Nasdaq National Market. If there is no such average selling price for the Common Stock on the date in question, then the Fair Market Value shall be the average of the highest and the lowest selling price per share of Common Stock on the last preceding date for which such quotation exists.

(ii)    If the Common Stock is at the time listed on any Stock Exchange, then the Fair Market Value shall be the average of the highest and the lowest selling price per share of Common Stock on the date in question on the Stock Exchange determined by the Plan Administrator to be the primary market for the Common Stock, as such price is officially quoted in the composite tape of transactions on such exchange. If there is no such average selling price for the Common Stock on the date in question, then the Fair Market Value shall be the average of the highest and the lowest selling price per share of Common Stock on the last preceding date for which such quotation exists.

(iii)    For purposes of the initial offering period that begins at the Effective Time, the Fair Market Value shall be deemed to be equal to the price per share at which the Common Stock is sold in the initial public offering pursuant to the Underwriting Agreement.

K.    1933 Act shall mean the Securities Act of 1933, as amended.

L.    Participant shall mean any Eligible Crewmember of a Participating Corporation who is actively participating in the Plan.

M.    Participating Corporation shall mean the Corporation and such Corporate Affiliate or Affiliates as may be authorized from time to time by the Board to extend the benefits of the Plan to their Eligible Crewmembers. The Participating Corporations in the Plan are listed in attached Schedule A.

N.    Plan shall mean the Corporation’s Crewmember Stock Purchase Plan, as set forth in this document.

O.    Plan Administrator shall mean the committee of two (2) or more Board members appointed by the Board to administer the Plan.

P.    Purchase Date shall mean the last business day of each Purchase Interval.

Q.    Purchase Interval shall mean each successive six (6)-month period within a particular offering period at the end of which there shall be purchased shares of Common Stock on behalf of each Participant.

R.    Stock Exchange shall mean the American Stock Exchange, the Nasdaq Global or Global Select Market or the New York Stock Exchange.

S.    Underwriting Agreement shall mean the agreement between the Corporation and the underwriter or underwriters managing the initial public offering of the Common Stock.

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Exhibit 10.1

EMPLOYMENT AGREEMENT

     This Employment Agreement (this “Agreement”) is entered into as of July 1, 2007, between Becky
Sheehan (the “Executive”) and Florists’ Transworld Delivery, Inc. (“FTD”).

          WHEREAS, the parties desire to modify certain terms of the Executive’s employment with FTD and
replace and supercede the Letter Agreement with this Agreement;

          NOW, THEREFORE, in consideration of the mutual promises and covenants set forth below and in
the Confidentiality and Non-Competition Agreement, FTD and the Executive hereby agree as follows:

     1. Duties. The Executive shall serve as Executive Vice President and Chief Financial
Officer of FTD or in a substantially similar position with any entity that acquires FTD or all or
substantially all of FTD’s assets through June 30, 2008 (which term shall automatically renew for
successive one year terms unless FTD provides written notice of termination to the Executive prior
to the end of the initial term or any renewal term). The Executive shall perform the duties
assigned by FTD from time to time. The Executive shall devote the Executive’s entire business time
to the affairs of FTD to the performance of the Executive’s duties under this Agreement and to the
promotion of FTD’s interests.

     2. Compensation. As full compensation for the performance by the Executive of the
Executive’s duties under this Agreement, FTD shall compensate the Executive as follows:

          (a) Base Salary. During the term of this Agreement, FTD shall pay to the Executive a
base salary set annually by the Board of Directors of FTD or FTD, Inc. or the Compensation
Committee thereof (collectively, the “Board”), such base salary to initially be $325,000 per year,
payable in the periodic installments ordinarily paid by FTD to employees of FTD at comparable
levels to the Executive. The Executive shall be entitled to such merit increases in base salary as
the Board may determine, in its discretion.

          (b) Performance Bonus. The Executive shall be entitled to participate in a
performance bonus as set by the Board based upon performance criteria to be set by the Board.

          (c) Equity Incentive Awards. In the event a Change of Control (as hereinafter
defined) occurs during the Executive’s employment, notwithstanding any provision of this Agreement
or any other agreement governing any equity incentive awards granted to the Executive, any
outstanding stock options or restricted stock awards granted to the Executive by FTD, Inc., FTD or
any subsidiary of either company shall vest in full and become immediately exercisable, and any
restrictions relating thereto shall lapse, upon the occurrence of such Change of Control.

          (d) Paid Vacation. The Executive shall be entitled to four weeks of paid vacation per
year in accordance with FTD’s policies with respect to vacations then in effect.

          (e) Benefits. During the term of Executive’s employment hereunder, the Executive
shall be entitled to the additional employment-related benefits (the “Benefits”) that are made
available from time to time to employees of FTD at comparable levels to the Executive.

 

 

          (f) Expense Reimbursement. FTD shall reimburse the Executive, in accordance with the
practice from time to time in effect for other similarly-situated employees of FTD, for all
reasonable and necessary travel expenses and other disbursements incurred by the Executive, for or
on behalf of FTD, in the performance of the Executive’s duties under this Agreement.

     3. Termination Following a Change of Control.

          (a) Involuntary Termination. If the Executive’s employment hereunder is terminated
(other than by the Executive (except as provided under clause (b) below)) or is not renewed
pursuant to Section 1 during a Change of Control Severance Period (as hereinafter defined), the
Executive shall be entitled to the benefits provided under Section 4(a) hereof; provided,
however, that the Executive shall not be entitled to such benefits upon the occurrence of
one or more of the following events:

          (i) the Executive’s death;

          (ii) if the Executive becomes permanently disabled within the meaning of, and begins
actually to receive disability benefits pursuant to, the long-term disability plan in effect
for, or applicable to, the Executive immediately prior to the Change of Control; or

          (iii) any event described in Section 4(c) hereof under the definition of “Cause”.

          (b) Constructive Termination. The Executive may terminate the Executive’s employment
hereunder during the Change of Control Severance Period upon the occurrence of one or more of the
following events (regardless of whether any other reason, other than Cause, for such termination
exists or has occurred, including without limitation other employment), in which case the Executive
shall be entitled to the benefits provided under Section 4(a) hereof:

          (i) failure to elect or reelect or otherwise to maintain the Executive in the office or
the position, or a substantially equivalent office or position, which the Executive held
immediately prior to the Change of Control;

          (ii) (A) a material adverse change in the nature or scope of the authorities, powers,
functions, responsibilities or duties attached to the position that the Executive held
immediately prior to the Change of Control; (B) a reduction in the Executive’s base salary
from the rates in effect immediately prior to the Change of Control or a material
modification in the scope of the Executive’s right to participate in any bonus program
offered to similarly-situated employees; or (C) the termination or denial of the Executive’s
rights to Benefits at least as great in the aggregate as are payable thereunder immediately
prior to the Change of Control or a reduction in the scope or value thereof other than a
general reduction applicable to all similarly-situated employees;

          (iii) a change in circumstances following the Change of Control, including, without
limitation, a change in the scope of the business or other activities for

2

 

which the Executive was responsible immediately prior to the Change of Control, which
has rendered the Executive unable to carry out any material portion of the authorities,
powers, functions, responsibilities or duties attached to the position held by the Executive
immediately prior to the Change of Control, which situation is not remedied within 30
calendar days after written notice of such change given by the Executive;

          (iv) the liquidation, dissolution, merger, consolidation or reorganization of FTD or
transfer of all or substantially all of its business and/or assets, unless the successor or
successors (by liquidation, merger, consolidation, reorganization, transfer or otherwise) to
which all or substantially all of its business and/or assets have been transferred (directly
or by operation of law) shall have assumed all duties and obligations of FTD under this
Agreement; or

          (v) the Executive is required to have his principal location of work changed to any
location that is in excess of 50 miles from the Executive’s principal location of work
immediately prior to the Change of Control.

For purposes of this Agreement:

     (i) “Change of Control” shall mean:

     (A) the acquisition by any individual, entity or group (within the meaning of Section
13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934 (the “Exchange Act”)) (a
“Person”) of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the
Exchange Act) of more than 50% of the combined voting power of the then-outstanding voting
securities entitled to vote generally in the election of directors (“Voting Stock”) of FTD,
Inc. or FTD, respectively; provided, however, that for purposes of this subsection (A), the
following acquisitions shall not constitute a Change of Control: (1) any acquisition
directly from FTD, Inc. or FTD, (2) any acquisition by FTD, Inc., FTD, any subsidiary of
FTD, Inc. or FTD or any employee benefit plan (or related trust) sponsored or maintained by
FTD, Inc. or FTD or any such subsidiary or (3) any acquisition by Leonard Green & Partners
or any of their respective affiliates;

     (B) a change in a majority of the members of the Board occurs (1) within one year
following the public announcement of an actual or threatened election contest (within the
meaning of Rule 14a-11 under the Exchange Act) or the filing of a Schedule 13D or other
public announcement indicating a Person intends to effect a change in control of FTD, Inc.
or FTD or (2) as a result of a majority of the members of the Board having been proposed,
designated or nominated by a Person (other than FTD, Inc. or FTD through the Board or duly
authorized committees thereof or through the exercise of contractual rights);

     (C) consummation of a reorganization, merger or consolidation or sale or other
disposition of all or substantially all of the assets of FTD, Inc. or FTD (a “Business
Combination”), in each case, unless, following such Business Combination, (1) more than 50%
of the Voting Stock of the entity resulting from such Business Combination is held in the
aggregate by (x) the holders of securities entitled to vote generally in the election

3

 

of directors of FTD, Inc. or FTD immediately prior to such transaction, (y) any
employee benefit plan (or related trust) sponsored or maintained by FTD, Inc. or FTD or such
entity or any subsidiary of any of them or (z) Leonard Green & Partners or any of their
respective affiliates and (2) at least half of the members of the board of directors of the
entity resulting from such Business Combination were members of the Board at the time of the
execution of the initial agreement, or the action of the Board providing for such Business
Combination; or

     (D) approval by the stockholders of FTD, Inc. or FTD of a complete liquidation or
dissolution of FTD, Inc. or FTD; and

     (ii) “Change of Control Severance Period” shall mean the period of time commencing on the date
of a Change of Control and continuing until the earliest of (A) the second anniversary of such
Change of Control, (B) the Executive’s death, or (C) the Executive’s retirement.

     4. Severance Compensation.

          (a) Severance Following a Change of Control. If the Executive is entitled to receive
benefits pursuant to the terms of Section 3(a) or Section 3(b):

          (i) The Executive, within five business days after the Executive’s demand therefor,
shall be entitled to a lump sum payment in an amount equal to (A) base salary for two years
(at the highest rate in effect for any period during the three-year period prior to the date
of termination), plus (B) two times the Executive’s target performance bonus as set by the
Board for the fiscal year in which the Change of Control or the date of termination occurs,
whichever is higher, plus (C) any pro rata performance bonus to which the Executive may be
entitled pursuant to this Agreement for the fiscal year in which the Change of Control or
the date of termination occurs, whichever is higher; and

          (ii) For two years following the date of termination (the “Continuation Period”), the
Executive will be provided, at no cost to the Executive, with (A) health benefits
substantially similar to those which the Executive was receiving or entitled to receive
immediately prior to the date of termination; provided, however, that any
such benefits otherwise receivable by the Executive pursuant to this clause (a)(ii)(A) will
be reduced to the extent comparable benefits are actually received by the Executive from
another employer during the Continuation Period, and any such benefits actually received by
the Executive shall be reported by the Executive to FTD, (B) life insurance and disability
insurance or coverage at least equivalent to that the Executive was receiving or entitled to
receive immediately prior to the date of termination and (C) reasonable and customary
executive outplacement services in an amount not to exceed $20,000.

          (iii) Other Severance Payments. FTD shall have the right to terminate the
Executive’s employment at any time during the term of this Agreement by giving the Executive
written notice of the effective date of the termination. If (i) this Agreement is not
renewed pursuant to Section 1 or (ii) the Executive’s employment is terminated (A) without
Cause by FTD (other than during the Change of Control Severance Period) or (B)

4

 

by the Executive following the Executive’s assignment to a position that represents a
material diminution in the Executive’s operating responsibilities (other than during the
Change of Control Severance Period) (it being understood that a change in the Executive’s
title shall not by itself entitle the Executive to terminate the Executive’s employment and
receive the right to severance payments under this paragraph), the Executive will be paid
(1) continuing base salary for one year (at the highest rate in effect for any period during
the three-year period prior to the date of termination) from the effective date of any such
non-renewal or termination of employment plus (2) any pro rata performance bonus to which
the Executive may be entitled pursuant to this Agreement for the fiscal year in which the
termination occurs, ; provided, however, that in no event shall the
Executive be entitled to any payment under this Section 4(b) if the Executive is in breach
of the Confidentiality and Non-Competition Agreement. For one year following the date of
termination (the “Continuation Period”), the Executive will be provided, at no cost to the
Executive, with (A) health benefits substantially similar to those which the Executive was
receiving or entitled to receive immediately prior to the date of termination;
provided, however, that any such benefits otherwise receivable by the
Executive pursuant to this clause will be reduced to the extent comparable benefits are
actually received by the Executive from another employer during the Continuation Period, and
any such benefits actually received by the Executive shall be reported by the Executive to
FTD, and (B) life insurance and disability insurance or coverage at least equivalent to that
the Executive was receiving or entitled to receive immediately prior to the date of
termination.

          (b) Cause. For purposes of this Agreement, “Cause” means any of the following events
that FTD or the Board has determined, in good faith, has occurred: (i) the Executive’s continual or
deliberate neglect of the performance of the Executive’s material duties; (ii) the Executive’s
failure to devote substantially all of the Executive’s working time to the business of FTD and its
subsidiaries or affiliated companies; (iii) the Executive’s engaging willfully in misconduct in
connection with the performance of any of the Executive’s duties, including, without limitation,
the misappropriation of funds or securing or attempting to secure personally any profit in
connection with any transaction entered into on behalf of FTD or its subsidiaries or affiliated
companies; (iv) the Executive’s willful breach of any confidentiality or nondisclosure agreements
with FTD (including this Agreement) or the Executive’s violation, in any material respect, of any
code or standard of behavior generally applicable to employees or executive employees of FTD; (v)
the Executive’s active disloyalty to FTD, including, without limitation, willfully aiding a
competitor or improperly disclosing confidential information; or (vi) the Executive’s engaging in
conduct that may reasonably result in material injury to the reputation of FTD, including
conviction or entry of a plea of nolo contendre for a felony or any crime involving fraud or
embezzlement under federal, state or local laws.

     5. Confidential Information and Non-Competition. The Executive and FTD previously
entered into the Confidentiality and Non-Competition Agreement, which provides for (a)
non-disclosure of confidential information, (b) non-competition and (c) non-solicitation of
customers, suppliers and employees. The Executive hereby acknowledges that such agreement shall
continue in full force and effect in accordance with the terms thereof from and after the date
hereof and that such continuing force and effect is a material inducement to FTD’s entering into
this Agreement. Any severance payment made in accordance with the terms of this Agreement

5

 

shall be deemed to constitute consideration for both the Executive’s termination of employment
and the Executive’s agreement regarding non-competition set forth herein and in the Confidentiality
and Non-Competition Agreement.

     6. Limitation on Payments and Benefits. Notwithstanding any other provision of this
Agreement to the contrary, in the event that it shall be determined (as hereafter provided) that
any payment or distribution by FTD or any of its affiliates to the Executive or for the Executive’s
benefit, whether paid or payable or distributed or distributable pursuant to the terms of this
Agreement or otherwise pursuant to or by reason of any other agreement, policy, plan, program or
arrangement, including without limitation any stock option, performance share, performance unit,
stock appreciation right or similar right, or the lapse or termination of any restriction on or the
vesting or exercisability of any of the foregoing, would be subject to the excise tax imposed by
Section 4999 of the Internal Revenue Code of 1986, as amended (the “Code”) (or any successor
provision thereto), by reason of being considered “contingent on a change in ownership or control”
of FTD within the meaning of Section 280G of the Code (or any successor provision thereto), or to
any similar tax imposed by state or local law, or any interest or penalties with respect to such
taxes, then such payments and benefits to be paid or provided shall be reduced to an amount (but
not below zero) that would result in the maximum possible net after tax receipts to the Executive
from all such payments or distributions (determined by reference to the present value determined in
accordance with Section 280G(d)(4) of the Code (or any successor provision thereto) of all such
payments net of all such taxes, or any interest or penalties with respect to such taxes, determined
by applying the highest marginal rate under Section 1 of the Code (or any successor provision
thereto) that applied to the Executive’s taxable income for the immediately preceding taxable year)
(the “Reduced Amount”). The fact that the Executive’s payments or benefits may be reduced by
reason of the limitations contained in this paragraph will not of itself limit or otherwise affect
any of the Executive’s other rights other than pursuant to this Agreement. If it is determined
that the Executive should receive a Reduced Amount, FTD will provide the Executive notice to that
effect and a copy of the detailed calculation thereof. The Executive will then be entitled to
designate the payments or benefits to be so reduced in order to give effect to this paragraph. In
the event that the Executive fails to make such designation within ten business days of
notification of the reduction in payments or benefits is required pursuant to this paragraph, FTD
may effect such reduction in any manner it deems appropriate.

     7. Miscellaneous. This Agreement shall be governed by and construed and enforced in
accordance with the internal laws of the State of Illinois, without giving effect to the conflicts
of laws principles thereof. The Executive and FTD consent to jurisdiction and venue in any federal
or state court in the City of Chicago. This Agreement and the Confidentiality and Non-Competition
Agreement state the entire agreement and understanding regarding the Executive’s employment with
FTD. This Agreement supercedes and replaces in its entirety the Letter Agreement. This Agreement
may be amended only by a written document signed by both the Executive and FTD. No delay or
failure to exercise any right under this Agreement waives such rights under the Agreement. If any
provision of this Agreement is partially or completely invalid or unenforceable, then that
provision shall only be ineffective to such extent of its invalidity or unenforceability, and the
validity or enforceability of any other provision of this Agreement shall not be affected. Any
controversy relating to this Agreement shall be settled by arbitration in Chicago, Illinois in
accordance with the Commercial Arbitration Rules of the American

6

 

Arbitration Association, except as otherwise provided in the Confidentiality and
Non-Competition Agreement. In the event of any inconsistency between this Agreement and any
personnel policy or manual of FTD with respect to any matter, this Agreement shall govern the
matter.

(Signature page follows)

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     IN WITNESS WHEREOF, the undersigned have hereunto set their hands as of the date first set
forth above.

	 	 	 	 	 
	 

	 	FLORISTS’ TRANSWORLD DELIVERY, INC.
	 	 
	 
	 	 	 	 
	 
	 	/s/ MICHAEL J. SOENEN	 	 
	 

	 	 	 	 
	 

	 	By: Michael J. Soenen	 	 
	 

	 	Its: President and Chief Executive
Officer	 	 
	 
	 	 	 	 
	 
	 	/s/ BECKY A. SHEEHAN	 	 
	 

	 	 	 	 
	 

	 	Becky Sheehan	 	 

8

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