Document:

Contract Services Agreement

 Exhibit 10.13 
 CONTRACT SERVICES AGREEMENT 
 THIS CONTRACT SERVICES AGREEMENT
(“Agreement”) is made and entered into 18th day of May, 2005 (the “Effective Date”), by and between VERTEX PHARMACEUTICALS (SAN DIEGO)
LLC, a Delaware limited liability company, having a principal place of business at 11010 Torreyana Road, San Diego, CA 92121, USA (hereinafter “Vertex”) and WUXI PHARMATECH CO., LTD., having a business address at 2nd Floor, A, Building 4, #253 Aidu Road, Waigaoqiao Free Trade Zone, Shanghai, China 200131 (hereinafter “Company”). 
 WITNESSETH 
 WHEREAS, Company
provides certain contract chemistry and research services to pharmaceutical and biotech companies; and 
 WHEREAS, Vertex wishes to
engage Company to perform, and Company wishes to perform, such services on Vertex’s behalf in accordance with the terms and conditions set forth in this Agreement. 
 NOW, THEREFORE in consideration of the above premises and the mutual promises and covenants contained herein, the parties hereto agree as follows: 
 1. SERVICES 
 (a) Projects. Company shall perform contract chemistry and research
services, including chemical synthesis and chemical process research, and shall provide technical expertise in the field of organic chemical synthesis and related areas (all of the foregoing hereinafter referred to collectively as “Contract
Services”), as requested by Vertex from time to time. The Contract Services will be as mutually agreed by the parties and set forth in numbered appendices in the form attached hereto as Exhibit A, commencing with Appendix #01, for each
such project (the “Project”), executed by an authorized representative of each party. Vertex will define the Project parameters and Company will provide Vertex with reasonable estimates of the costs required to perform the Project.

 2. TERM AND TERMINATION 
 (a)
Term. This Agreement shall commence on the Effective Date, and shall remain in effect for a twelve-month period (the “Term”). Thereafter, this Agreement shall automatically renew for additional 12-month Term(s). 
 (b) Termination. Company may terminate this Agreement or any Appendix prior to completion of the Contract Services at any time for a
material breach by Vertex, including but not limited to non-payment, provided that Company will have first given thirty (30) days prior written notice to Vertex describing such breach and stating Company’s intention to terminate this
Agreement if such breach remains uncured, and Vertex thereafter fails to cure such breach within such thirty (30) days period. Vertex may terminate this Agreement or any appendix hereunder at any time upon thirty (30) days prior written
notice to Company. 
  

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 (c) Consequences of Termination. Termination shall be without prejudice to any other right
or remedy either party may have arising on or before the date of termination. Within seven (7) days after the effective date of termination of this Agreement or any Appendix hereunder by Vertex, Company shall deliver to Vertex: (i) a
report on the progress of the Contract Services and all Project deliverables, if any, up to the effective date of termination, (ii) a list of identities and quantities of all intermediates and undelivered Work Product, (iii) any other
information and materials reasonably requested by Vertex in connection with the Contract Services. Upon request Company shall promptly return to Vertex all written copies or other embodiments of Vertex’s confidential information, except that
Company may retain one (1) copy of Vertex’s confidential information solely to determine Company’s obligations hereunder. 
 3. REPORTING

 Company shall keep Vertex regularly informed of the progress of the Contract Services and shall provide such progress and summary
reports at such times and in the manner as specified in the applicable Appendix, and provide such other records and documents (including without limitation validation reports, protocols, SOPs and raw data) as may be reasonably requested by Vertex
relating to the Contract Services. Company shall retain copies of all records, documents and raw data produced by it hereunder for such period of time as shall be required under applicable regulations or as otherwise agreed in the applicable
Appendix. All reports and communication regarding the Contract Services shall be directed to Dr. Lew Makings of Vertex or other individuals as may be designated from time to time by Vertex. 
 4. ACCEPTANCE AND DELIVERY 
 (a) Acceptance.
The technical specifications for Project deliverables will be as set forth in the applicable Appendix. Company shall ship the Project deliverables in accordance with Vertex’s instructions and at Vertex’s expense. Vertex shall
accept or reject such Project deliverables based on Vertex’s internal testing and analyses within fifteen (15) days after receipt of such Project deliverables from Company. If Vertex rejects the Project deliverables by written notice given
to Company within such fifteen (15) day period, and such rejection is not disputed by Company, Company, at its expense (unless otherwise provided in the applicable Appendix), shall promptly provide a replacement quantity of such Project
deliverables meeting the applicable technical specifications or, at Company’s option, shall refund the price paid for the work carried out during the Project under which such Project deliverables were made. In the event that Vertex does not
notify Company whether it accepts or rejects the Project deliverables within such fifteen (15) day period, such lack of notification shall be deemed an acceptance of the Project deliverables. If a dispute arises between the parties as to any
failure of the Project deliverables to meet the applicable technical specifications which cannot be resolved by the parties within thirty (30) days of Vertex’s notice to Company as set forth above, either Vertex or Company shall be
entitled to require that the matter in dispute be referred to a United States based independent laboratory nominated by agreement of the parties. Such referral shall be solely for the purpose of establishing whether or not there is any failure of
the Project deliverables to meet the applicable technical specifications. The decision of such independent laboratory shall be binding upon the parties and the party against which the decision is made shall be responsible for the costs of the
independent laboratory. 
  

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 (b) Delivery. Deliveries of all Project deliverables will be made to *. Risk of loss and
title in respect of all Project deliverables supplied to Vertex under this Agreement shall pass to Vertex on delivery to the carrier designated by Vertex at Company’s facility, except to the extent such loss is caused by Company’s
negligence in packaging the Project deliverables. 
 5. COMPENSATION 
 The amount to be paid and the payment schedule shall be set forth in the applicable Project Statement. In the event of termination of this Agreement or any Project Statement prior to completion, Vertex shall pay all
costs accrued by Company as of the date of termination, including non-cancelable obligations incurred prior to the notice of termination, and reasonable costs associated with winding up the Studies. Terms are net 30 days from Vertex’s receipt
of the Company’s invoice. Invoices shall be sent to: 
 Vertex Pharmaceuticals (San Diego) LLC 
 P.O. Box 390309 
 Cambridge, MA 02139 
 Attention: Contracts Management Group 
 6. CONFIDENTIAL INFORMATION AND MATERIALS 
 (a)
Confidential Information. Company shall hold all of Vertex’s Confidential Information in confidence and shall not disclose any Confidential Information to any third party. Company shall use the same level of care to prevent any
unauthorized use or disclosure of such Confidential Information as Company exercises in protecting Company’s own information of similar nature. Company shall not use Vertex’s Confidential Information for any purpose except as may be
necessary in the ordinary course of performing Contract Services hereunder, without the prior written consent of Vertex. For purposes hereof, Vertex’s “Confidential Information” shall mean (a) all project parameters as set forth
in the Project Appendices, including but not limited to, the identity of compounds requested by Vertex, (b) all Work Product, as defined below, and (c) all data, trade secrets, business plans, and other information of a confidential or
proprietary nature, belonging to Vertex or its affiliates or third parties with whom Vertex may have business dealings, disclosed or otherwise made available to Company by Vertex; provided, however, that Confidential Information shall
not include information Company receives from Vertex which Company establishes by competent proof: (a) is in the public domain at the time of disclosure; (b) after disclosure, becomes part of the public domain by publication or otherwise,
except by breach of this Agreement; (c) was in Company’s possession at the time of disclosure by Vertex, except to the extent such information was previously disclosed by Vertex to Company under obligations of confidentiality; (d) is
rightfully received by Company from third parties who have no obligations of confidentiality to Vertex; or (e) is required to be disclosed by any applicable statute, law, rule or regulation of any governmental authority or pursuant to any order
of any court of competent jurisdiction; provided that Company shall advise 
  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

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 Vertex in a timely manner prior to making any such disclosure to enable Vertex to apply for such legal protection as may
be available with respect to the confidentiality of the Confidential Information. 
 (b) Materials. Company shall not
distribute or release any compounds or other material provided to Company by Vertex hereunder (hereinafter referred to collectively as the “Vertex Material”) to any third party, unless prior written permission is obtained from Vertex.
Company may use the Vertex Material solely for the purposes of performing Contract Services under this Agreement, or as otherwise expressly agreed in writing by Vertex. Company will use the Vertex Material in compliance with all applicable
governmental regulations. Nothing herein shall be construed as a grant of any rights under any Vertex patents. Company shall have no rights to the Vertex Material other than as provided in this Agreement, and at the request of Vertex at any time,
Company will return to Vertex or destroy all unused Vertex Material. 
 7. WORK PRODUCT AND INVENTIONS 
 (a) Disclosure of Inventions. Company will promptly disclose to Vertex all inventions and discoveries, whether or not patentable or
copyrightable, including formulas, processes, techniques, data, copyrightable material, derivative works, and improvements, (collectively, “Inventions”), that are conceived and/or reduced to practice by Company directly from the
performance of the Projects using Vertex’s Confidential Information and/or the Vertex Material. 
 (b) Ownership. All
Project deliverables, materials, data, work product, results, reports, drawings, and any other information received, generated, derived or provided to Vertex by Company as part of or in connection with the performance of the Projects using
Vertex’s Confidential Information and/or Vertex Material (all of the foregoing collectively, “Work Product”) will be and remain the sole property of Vertex. Company hereby assigns to Vertex any rights it may have or acquire in any and
all such Work Product and Inventions as defined above, and Company shall not have any rights to disclose or otherwise use any Vertex Work Product or Inventions hereunder except with Vertex’s prior written consent. Company shall assist Vertex in
every reasonable way (including causing its personnel and subcontractors to execute requisite documents relating to patent applications on Inventions) to obtain and enforce patents on any such Inventions. Company’s obligation to assist Vertex
in obtaining and enforcing patents will continue beyond the expiration or termination of this Agreement, and Vertex will compensate Company at reasonable rates for the assistance Company provides at Vertex’s request. Company hereby irrevocably
appoints Vertex and its duly authorized officers and agents as Company’s agents and attorneys-in-fact to execute and file all documents and perform all other lawful acts related to the terms of this paragraph. 
 8. LIABILITY 
 (a) Indemnification of Vertex.
Company shall secure and maintain in full force and effect throughout the Term, insurance coverage for Workers Compensation and General Liability in amounts appropriate to the performance of the Contract Services by Company and its
personnel. Certificates evidencing such insurance will be made available for examination upon request by Vertex. Company shall indemnify Vertex from and against any loss, claim, damage or liability, of whatsoever kind or nature, which may arise from
or in connection with (i)

  

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Company’s performance of the Contract Services, including production of any Work Product hereunder, and (ii) the use, handling, storage or disposal
of the Vertex Material by Company, except to the extent caused by the negligence or intentional misconduct of Vertex. 
 (b)
Indemnification of Company. Vertex shall indemnify Company from and against any loss, claim, suit, liability, damages or expense, of whatsoever kind or nature, arising out of Vertex’s use of the Work Product, except to the extent that
such loss, claim, suit, liability, damages or expense results from the negligence or intentional misconduct of Company. 
 9. WARRANTIES AND PERFORMANCE

 (a) Company Warranties. Company represents and warrants that (i) Company possesses the legal right and authority to
execute and perform this Agreement, and (ii) the execution and performance of this Agreement will not violate any other agreement, commitment or obligation by which Company may be bound, nor are the terms of this Agreement superseded by the
terms of any other agreement, and (iii) to the best of its knowledge, Company’s application of its technology to the Vertex Material will not infringe any third party intellectual property rights. 
 (b) Performance of Projects. Company understands and acknowledges that in connection with the performance of the Projects, certain
materials may be generated or produced which may have unknown biological and physiological effects including various toxicities, flammability or explosive hazards. Company will accordingly ensure that any personnel making, handling, disposing of and
otherwise potentially exposed to such Project materials take appropriate precautions. The Projects shall be performed in accordance with this Agreement, the applicable Appendix and any applicable protocol agreed upon by the parties and in accordance
with applicable good laboratory practices, other applicable regulations, and professional standards. If Company’s performance of the Projects fails to conform to the foregoing, and Company receives timely notice thereof from Vertex, Company
shall, at Vertex’s election, either (i) return the fees paid for that portion of the Projects that is determined to be nonconforming, or (ii) re-perform such Projects at no additional cost to Vertex. 
 10. NOTICES 
 Except as provided in
Section 3, any notice or other communication required or permitted to be given hereunder shall be sufficient if hand delivered or if sent by overnight courier, or by certified mail, return receipt requested, postage prepaid, to the
respective addresses set forth above, or, in each case, to such other address as may be designated by written notice given in the manner herein provided. Time of notice or other communication shall be deemed to be the date of receipt. 
 If to Vertex, such notices will be sent to the attention of the Legal Department, and if to Company, such notices will be sent to the attention of
Dr. Ge Li, CEO, and in each case, in the manner as set forth above. 
 11. ASSIGNMENT AND SUBCONTRACTING 
 (a) Assignment. This Agreement may not be assigned or otherwise transferred by either party without the consent of the other party;
provided, however, that Vertex may, without such 

  

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consent, assign this Agreement and its rights and obligations hereunder in connection with the transfer or sale of all or substantially all of the business
to which this Agreement pertains, or in the event of its merger or consolidation or change in control or similar transaction. 
 (b)
Subcontracting. Company shall not subcontract any of its obligations hereunder unless (i) Vertex gives its prior approval, and (ii) the subcontractor agrees to be bound by the terms and conditions of this Agreement to the extent
they apply to the obligations subcontracted. Notwithstanding the foregoing, Company shall remain fully responsible for the performance of all obligations under this Agreement. 
 12. RELATIONSHIP OF THE PARTIES 
 Company’s relationship to Vertex under this Agreement shall be
that of an independent contractor. Neither the making of this Agreement nor the performance hereunder shall be construed to constitute either party an agent, employee or legal representative of the other party for any purpose. Neither party shall,
by reason of this Agreement, have the authority to bind the other. 
 13. PUBLICITY 
 Neither party may use the name of the other, nor that of any employee of the other, nor any trade or service mark or trade name of the other party, in any
publicity, news release, publication or advertising on or via any media without the prior written consent of the other party. 
 14. FORCE MAJEURE 

 If either party is affected by any circumstances beyond its reasonable control (including, without limitation, any fire, flood,
earthquakes, legal restrictions, civil disturbance, strike, lock-out or other form of industrial action) it shall forthwith notify the other party of the nature and extent thereof. Neither party shall be deemed to be in breach of this Agreement, or
otherwise be liable to the other, by reason of any delay in performance, or non-performance, of any of its obligations hereunder to the extent such delay or non-performance is due to any such circumstance described above of which it has notified the
other party; and the time for performance of that obligation shall be extended accordingly. 
 15. ENTIRE AGREEMENT 
 This Agreement and any Appendices attached hereto constitutes the entire understanding between the parties hereto with respect to the subject matter
hereof and supersedes all prior agreements, written or oral, with respect thereto. No modification or amendment hereof shall be valid or binding upon the parties hereto unless made in writing and duly executed on behalf of both parties. No actual
waiver of breach or default by a party of any provision of this Agreement shall be deemed or construed to be a waiver of any succeeding breach or default of the same or any other provision. 
  

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 16. DISPUTE RESOLUTION 
 Except as provided in Section 4, in the event of any controversy or claim arising out of or relating to this Agreement or the breach hereof (“Dispute”) the parties hereto shall be required to
refer such Dispute to their respective presidents or CEO’s or such other parties’ designated representative (provided such representative is at least a Vice President) who shall meet in person or by telephone within ten (10) business
days after referral to attempt in good-faith to resolve such Dispute. 
 Any Dispute which cannot be settled by the parties as set forth
above shall be settled by arbitration. Such arbitration shall take place in San Diego, California, USA. The arbitrator shall be jointly selected by the parties. 
 The arbitration finding shall be final and binding upon the parties and may be entered in any court having jurisdiction. The arbitrator shall award attorneys’ fees and other costs of the arbitration, including
the fees and expenses of the arbitrator, to the prevailing party, as determined by the arbitrator. 
 17. SURVIVAL 
 Following expiration or termination of this Agreement the applicable provisions of Sections 2, 3 ,4, 5, 6, 7, 8, 9, 10, 11, 13, 16, and 17 shall remain in
full force and effect in accordance with their terms. 
 [SIGNATURE PAGE TO FOLLOW] 
  

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 [SIGNATURE PAGE] 
 IN WITNESS WHEREOF the parties hereto have caused this Agreement to be executed by their duly authorized representatives as of the Effective Date set forth above. 
  

													
	VERTEX PHARMACEUTICALS (SAN DIEGO) LLC	 		 	WUXI PHARMATECH CO. LTD.
					
	Signature:	 	  
	 		 	Signature:	 	  

		 	Name:	 	Paul Negulescu, Ph.D.	 		 		 	Name:	 	Ge Li, Ph.D.
		 	Title:	 	Vice President, Research	 		 		 	Title:	 	CEO

  

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 AMENDMENT No. 1 
 CONTRACT SERVICES AGREEMENT 
 This Amendment No. 1 (“Amendment No. 1”) to the Contract Services Agreement dated May 18, 2005 (the “Master Agreement”), between Vertex Pharmaceuticals (San
Diego) LLC and WuXi Pharmatech Co., Ltd. (the “Company”) is made this 29th day of June, 2005. 
 Whereas, Vertex Pharmaceuticals (San Diego) LLC is a wholly-owned subsidiary of Vertex Pharmaceuticals Incorporated, a Massachusetts corporation;
and 
 Whereas, Vertex Pharmaceuticals Incorporated wishes to become a party to the Master Agreement and engage the services of the
Company under the terms and conditions of the Master Agreement; and 
 Whereas, the Company wishes to perform such services on behalf
of Vertex Pharmaceuticals Incorporated and its subsidiaries, under the terms and conditions of the Master Agreement. 
 Now therefore, be
it resolved, for good and valuable consideration, receipt of which is hereby acknowledged, the undersigned hereby agree that the Master Agreement shall be amended by this Amendment No. 1 as follows: 
  

	1.	Parties. Vertex Pharmaceuticals Incorporated is made a party to the Master Agreement. All references in the Master Agreement to “Vertex” shall be deemed to refer to
Vertex Pharmaceuticals Incorporated and its subsidiaries. 

  

	2.	Section 5 - Compensation. Section 5 of the Master Agreement is hereby amended by adding the following address for Company’s invoices to Vertex
Pharmaceuticals Incorporated: 

 Vertex Pharmaceuticals Incorporated 
 130 Waverly Street 
 Cambridge, MA 02139

 USA 
 Attention: Contracts
Management 
  

	3.	Section 10 - Notices. Section 10 of the Master Agreement is hereby amended by adding the following address for Company’s invoices to Vertex
Pharmaceuticals Incorporated: 

 Vertex Pharmaceuticals Incorporated 
 130 Waverly Street 
 Cambridge, MA 02139

 USA 
 Attention: Office of
General Counsel 
 All Project communications will be addressed as specified in the applicable Appendix. 
  

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 Except as amended hereby, the terms and conditions of the Master Agreement shall remain in full force and
effect. This Amendment No. 1 shall become effective upon execution by both parties hereto. 
 In Witness Whereof, the undersigned
have duly executed this Amendment No. 1 as of the date first above written. 
  

									
	VERTEX PHARMACEUTICALS INCORPORATED	 		 	WUXI PHARMATECH CO., LTD.
					
	By:	 	  
	 		 	By:	 	  

		 	 Jeffrey D. Wilson, Ph.D.
 VP, Pharmaceutical
Operations
	 		 		 	 Ge Li, Ph.D.
 CEO

  

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 CONTRACT SERVICES AGREEMENT 
 APPENDIX #VT-051213 
 THIS APPENDIX to the Contract Services Agreement
dated May 18, 2005, as amended by Amendment No. 1 (collectively, the “Master Agreement”), is made by and between Vertex Pharmaceuticals Incorporated and WuXi PharmaTech Co. Ltd. All capitalized terms not otherwise defined
herein shall have the meaning so attributed to such terms in the Master Agreement. 
 Period of Performance: This Appendix shall
become effective as of the date of execution and shall remain in effect until the completion of the Project or until such time Vertex elects to exercise its termination rights, as outlined in Section 2(b) of the Master Agreement. It is
anticipated the Project will commence early January, 2006 and be completed by June 30, 2006. 
 Scope of Services; Deliverables:
Company shall synthesize and deliver to Vertex’s designee *, made according to the specifications described in Attachment 1, attached hereto and incorporated herein by reference. 
 Company will procure all materials necessary for the production of *, including * of a certain starting material, *. Any unused * will be stored by
Company on Vertex’s behalf, and at Vertex’s expense, in a dedicated storage area at the Company for a period of one year from the date of completion of the Project. 
 In connection with the Project, Vertex will provide Company with detailed process descriptions and analytical methods, a specification document and
technical support during laboratory evaluations and plant production, if necessary. 
 Company will submit samples of completed * to Vertex
in advance of the delivery, in order to confirm the acceptability of the * to Vertex. Company will conduct the Contract Services in accordance with Company’s Standard Operating Procedures (SOPs), including handling of all raw materials, unless
otherwise specified in writing by Vertex. 
 Upon completion of the Project, Company will provide to Vertex copies of pertinent production
records, data and summary reports from the production. In addition, Company will recover * and * for re-use during the production of the *. 
 Ship To: Company shall deliver the * to Vertex’s third party contractor, *, at the address listed below: 
 * 

Budget and Payment Schedule: Vertex shall pay Company (i) at the rate of * delivered to * upon completion of the Project and Vertex’s
confirmation of * receipt of material; (ii) a total of * for the *; and (iii) a total of * for storage of the *. In no event shall the total amount payable by Vertex under parts (i), (ii) and (iii) exceed * without Vertex’s
written authorization. 
  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

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 The parties acknowledge that the costs of shipping and handling deliverables is not included in the total
amount payable above and will be as mutually agreed by the parties prior to Company’s shipment of material to *. 
 All costs and fees
are quoted in US Dollars. Payment terms are net 30 days from Vertex’s receipt of Company’s invoice. Company’s invoice should be sent to: 
 Vertex Pharmaceuticals Incorporated 
 130 Waverly Street 
 Cambridge, MA 02139 
 USA 
 Attention: Contracts Management 
 EXECUTED as of the 12th day of January, 2006. 
 ACCEPTED AND AGREED: 
  

									
	VERTEX PHARMACEUTICALS INCORPORATED	 		 	WUXI PHARMATECH CO. LTD.
					
	By:	 	  
	 		 	By:	 	  

	Name:	 	  
	 		 	Name:	 	  

	Title:	 	  
	 		 	Title:	 	  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

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 CONFIDENTIAL 
 ATTACHMENT 1 
 * 
  

	 	1.	Appearance: White Solid 

  

	 	2.	Purity: * 

  

	 	3.	Enantiomeric Excess: * 

 [END OF ATTACHMENT 1]

  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

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 CONTRACT SERVICES AGREEMENT 
 APPENDIX (NOVEMBER 13, 2006 –*) 
 APPENDIX, dated November 13,
2006 (the “Date of Execution”), to the Contract Services Agreement, dated May 18, 2005, as amended by Amendment No. 1, dated June 29, 2005 (collectively, the “Master Agreement”), is made by and
between Vertex Pharmaceuticals Incorporated (hereinafter “Vertex”) and WuXi PharmaTech Co. Ltd. (hereinafter “WuXi PharmaTech” or “WuXi”). All capitalized terms not otherwise defined herein shall
have the meaning so attributed to such terms in the Master Agreement. 
 1. Period of Performance: This Appendix shall become
effective as of the Date of Execution and shall remain in effect until the completion of the Project or until such time Vertex elects to exercise its termination rights, as outlined in Sections 11 and 12 set forth below. It is anticipated the
Project will commence in January 2007 and WuXi PharmaTech will use best commercial efforts to ship the Product (as defined below) in accordance with the delivery dates defined in this Appendix. 
 2. Scope of Services (the “Proiect Deliverables”): WuXi PharmaTech shall synthesize and deliver to Vertex’s designee
(defined below) a total of *, also known as * (the “Product”), made according to the specifications attached hereto as Exhibit 1 and incorporated herein by reference (the “Specifications”). The * is estimated to be
produced continuously by WuXi PharmaTech * and will be shipped to Vertex’s designee, or stored as described below, on a monthly basis with the following projections: 
  

	 	1.	*to be shipped prior to *; 

	 	2.	*to be shipped after * and before *; 

	 	3.	*to be shipped after * and before *; and 

	 	4.	*to be shipped after * and before *. 

 3.
Product Acceptance Terms: For each individual batch of Product produced, WuXi PharmaTech will submit a Certificate of Analysis along with samples of completed Product to Vertex, or its designee, in advance of the delivery, in order for
Vertex to confirm the acceptability of the Product. Vertex will evaluate the samples and notify WuXi PharmaTech of acceptance or rejection within 15 days after receipt of such samples, as the case may be. In the event that Vertex rejects a
particular delivery (either because the samples are rejected or because the Product delivered does not meet the Specifications and other requirements described herein), at Vertex’s election, WuXi PharmaTech will either refund any payments made
for the non-conforming Product or re-perform such Project Deliverables. The parties agree that the provisions of Section 4(a) of the Master Agreement regarding Product acceptance and rejection will not apply to the Project Deliverables
described in this Appendix. 
 4. Compliance: WuXi PharmaTech will manufacture and handle the Project Deliverables in
accordance with WuXi PharmaTech’s Standard Operation Procedures (SOPs), including handling of all raw materials, unless otherwise specified in writing by Vertex, and in compliance with all applicable health, safety, environmental and labor
laws. 
  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

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 5. Product Records: Upon completion of each of the shipments or upon the * release by WuXi
PharmaTech as described above, and as may be requested by Vertex, WuXi PharmaTech will provide to Vertex copies of pertinent production records, data and summary reports from the production generated in connection with the applicable shipment.

 6. Raw Materials: In connection with performance of the Project Deliverables, WuXi PharmaTech will be solely responsible to
procure, at its expense, all raw materials necessary for the production of the Product with the exception of *, which Vertex will make available to WuXi PharmaTech at no charge except in the event that WuXi’s process yields less than the target
conversion yield described below. Anticipated raw material costs, with the exception of *, are set forth in Exhibit 3 attached hereto and incorporated by reference. 
 7. Vertex Provision of *: It is agreed and understood by WuXi PharmaTech that Vertex has contracted with * to produce and store ample
quantities of * at the * finished goods warehouse in *. WuXi will define the quantity and timing of delivery of * required to perform the Project Deliverables and Vertex will release such quantities from * to WuXi. It is also agreed and understood
that WuXi PharmaTech is working to identify an alternate source of supply of * and the parties may agree to source * from time to time from a new mutually approved alternate source. The target conversion yield of the * to * is * units of * to one
unit of *. WuXi will reimburse Vertex at Vertex’s actual cost for additional * that is required if WuXi’s process yields less than this target conversion yield. 
 8. Storage; Ship To: Delivery terms shall be *, except that the delivery for the orders through July 31, 2007 will be * (INCO terms 2000). For delivery of Product manufactured under this Appendix up
to July 31, 2007 and, upon written request by Vertex for subsequent Product supply, WuXi PharmaTech will store the finished Product either at WuXi PharmaTech at no additional charge to Vertex, or in a third party facility agreed upon by Vertex
and at Vertex’s expense, pending request by Vertex to ship the Product to Vertex’s designee. Unless the Product is placed in storage in accordance with the terms described above, WuXi PharmaTech shall deliver the Product to Vertex’s
third party contractor, * at the address listed below, and according to the following delivery term: * to a carrier approved in advance by Vertex. 
 * 
 In addition, Vertex may from time to time designate an alternate ship to designee. 
 9. Price, Budget, Invoice and Payment Terms: Vertex shall pay WuXi PharmaTech at the rate of * (which rate is fixed and shall not be
adjusted as a result of currency exchange rate fluctuation) of acceptable Product delivered to storage or to * (or Vertex’s other designee). In no event shall the total amount payable by Vertex for completion of the Project under this Appendix
exceed * without Vertex’s advance written authorization. Cost breakdown is attached in Exhibit 2 attached hereto and incorporated by reference. The parties acknowledge that the costs of 
  

	*	 Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has
been requested with respect to the omitted portions. 

					
		  	2	  	Appendix November 2006

 
storage, shipping and handling Product are not included in the total amount payable or in the per kilo price, each as set forth above and will be as mutually
agreed by the parties prior to WuXi PharmaTech’s storage or shipment of Product to *or to another Vertex designee. All costs and fees in this Appendix are in US Dollars, and payment for Project Deliverables pursuant to this Appendix will be
made in US Dollars and subject to Product Acceptance terms described above. Invoices will be submitted upon * for shipment of Product to Vertex’s designee, as applicable, and title will transfer to Vertex at the time the invoice is issued.
Payment terms are net 30 days from Vertex’s receipt of WuXi PharmaTech’s invoice. WuXi PharmaTech’s invoice should be sent to: 
 Vertex Pharmaceuticals Incorporated 
 130 Waverly Street 
 Cambridge, MA 02139 USA 
 Attention: Kevin
Gerow, Finance Department, FWII 
 10. Long Term Supply Agreement: WuXi Pharmatech’s manufacture of Product following
completion of the Project Deliverables under this Appendix will be subject to Vertex’s continued development of its proprietary compound known as * and the terms and conditions of a mutually acceptable long-term supply agreement (a “Supply
Agreement”) to be negotiated in good faith by the parties. The Supply Agreement is anticipated to include such terms and conditions as are customarily found in commercial supply agreements of this nature. Subject to Vertex’s continued
development of its proprietary compound known as * , the parties will use their commercially reasonable efforts to execute the Supply Agreement no later than *. Key terms of the Supply Agreement are expected to be as follows: 
  

	 	•	 	 Plant production capacity beginning in *, for the manufacture and supply at WuXi’s operations in WuXi PharmaTech, China will be *of Product. This plant
production capacity will be capable of delivering Product at a rate of * per calendar quarter. 

  

	 	•	 	 Price of the Product will not exceed * per kilogram of Product, where the initial * equals the exchange rate between Chinese Yuan Renminbi (CNY) and U.S. Dollars
(USD) of *. The * (or the next business day) * to match the actual exchange rate then in effect as published in the Wall Street Journal New York Edition; provided, however, *; and the * equals the * between CNY and USD as published in
the Wall Street Journal New York Edition on the date of the pertinent Product invoice. If the * is within *, there will be no adjustment to the Product invoice. * with respect to currency exchange (i.e., no adjustment will be made that
would increase or decrease the price of the Product * from the initial price of * For avoidance of doubt, the Product price of * is based on an initial * 

  

	 	•	 	 WuXi Pharmatech will provide full transparency into costing of the Product, including cost of associated raw materials, labor, production yields and overhead rates.

  

	 	•	 	 WuXi Pharmatech will endeavor to reduce the cost to produce the Product over the term of the Supply Agreement. The Parties will negotiate in good faith an
arrangement for *of the Supply Agreement. 

  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

					
		  	3	  	Appendix November 2006

	 	•	 	 The initial term of the Supply Agreement will be for 5 years, subject to early termination penalties as indicated by * in Table 1 below, provided early
termination penalties will not be payable in the event that Vertex terminates for cause. 

  

	 	•	 	 The Parties will negotiate in good faith the annual volume of Product to be manufactured and delivered under the Supply Agreement, it being understood that WuXi
PharmaTech has based its investment in new plant and equipment on an Annual Volume of Product (as defined below) in the range of *. Notwithstanding the foregoing and subject to WuXi’s pricing being commercially competitive, it is anticipated
that the Supply Agreement will provide that if the Annual Volume of Product is less than * for Product from WuXi PharmaTech. The “Annual Volume of Product” will be the total of the Product forecasted * for a calendar year.

  

	 	•	 	 WuXi PharmaTech will offer *. 

  

	 	•	 	 WuXi PharmaTech will endeavor to remain commercially competitive with respect to price. 

  

	 	•	 	 WuXi Pharma Tech will obtain and maintain adequate insurance coverage from reputable insurers that is commercially reasonable in light of its contractual
obligations. 

 Appendix November 2006 *- 3 
 11. Termination by Vertex Without Cause: Notwithstanding Section 2(b) of the Master Agreement as it applies to Vertex, Vertex may terminate this Appendix * upon written notice to WuXi PharmaTech. If
Vertex terminates this *, Vertex will then pay to WuXi PharmaTech the applicable amount set forth in the following table (Table 1). For purposes of this Section 11, unless the parties are in good faith negotiations to complete and
execute a Supply Agreement, it shall be deemed a termination of this Appendix by Vertex (with effective notice of termination deemed to be *) if WuXi has completed the Project Deliverables under this Appendix and the parties fail to enter into a
Supply Agreement by * for any reason attributable solely to Vertex. 
 Table 1 
  

			
	 Date of Notice of
Termination
	  	 Termination Fee Payable by Vertex

	*	  	*
	*	  	*
	*	  	*
	*	  	*
	*	  	*

 Applicable to the Supply Agreement contemplated to be entered into by the parties as described in
the Section 10, above. 
  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

					
		  	4	  	Appendix November 2006

 In addition to the applicable termination fee payment referenced above in Table 1, if Vertex
terminates this Appendix (other than as a result of termination for cause as set forth in Section 12, below) prior to *, Vertex will pay (i) WuXi PharmaTech’s cost for services incurred for the work-in-process synthesis of Product up
to the termination date and (ii) non-cancelable third party raw material costs that are allocable to the balance of delivery remaining under this Appendix (in all cases, not to exceed the applicable “Termination Wind-Up Costs” set
forth on Exhibit 4 attached hereto and incorporated by reference. *. WuXi PharmaTech shall make available to Vertex, for audit, complete documentation related to any fees payable pursuant to this Section 11, including third party
invoices and documentation of WuXi PharmaTech’s costs associated with the synthesis of Product work-in-process. 
 12.
Termination by Vertex for Cause: This Appendix may be terminated at any time by Vertex (a) if WuXi is in breach of its material obligations under this Appendix and has not cured such breach within sixty (60) days after notice
from Vertex; or (b) if WuXi has filed or instituted bankruptcy, reorganization, liquidation, receivership or similar proceedings, or assigned a substantial portion of its assets for the benefit of creditors, or suffers or permits the entry of
an order adjudicating it to be bankrupt or insolvent. 
 13. Effects of Termination: Upon notice of termination, WuXi
PharmaTech will use commercially reasonable efforts to cancel all open raw material orders or other commitments as necessary to minimize the amount of the termination “wind-up” costs payable by Vertex. In the event that this Appendix is
terminated by either party, WuXi will return to Vertex or its designee all Vertex-provided inventory of *. In addition, WuXi will deliver to Vertex any work in process and finished Product made to Specifications (each in quantities consistent with
and not to exceed those described in the Section 2, above) and any other information and materials reasonably requested. Vertex will pay for finished Product and work in process (at a pro rated price mutually agreed upon) in accordance with the
terms of this Appendix. 
 14. Miscellaneous: 
 a. Project Deliverables are Contract Services. The parties agree to hereby amend the definition of Contract Services in the Master Agreement to include the Project Deliverables and related activities described
in this Appendix. 
 b. Confidentiality. The terms and information contained in this Appendix including the attached Exhibits are
Vertex Confidential Information. 
 c. Inventions and Work Product. The parties hereby agree to delete the first sentences of each of
Sections 7(a) and 7(b) of the Master Agreement and replace them with the following: 
 Section 7(a): “WuXi will
promptly disclose to Vertex all inventions and discoveries, whether or not patentable or copyrightable, including formulas, processes, techniques, data, copyrightable material, derivative works, and improvements, (collectively,
“Inventions”), that are conceived and/or reduced to practice by Company directly from the performance of the Projects.”; and 
  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

					
		  	5	  	Appendix November 2006

 Section 7(b) “All Project Deliverables, materials, data, work product, results,
reports, drawings, and any other information received, generated, derived or provided to Vertex by WuXi as part of or in connection with the performance of the Projects, (all of the foregoing collectively, “Work Product”) will be
and remain the sole property of Vertex.” 
 d. Compliance with General Laws. The parties agree to comply with all relevant
material laws in the performance of this Appendix, including but not limited to those relating to export control. Further, WuXi agrees that it will not take any action (a) in furtherance of an unlawful offer, promise or payment to a
public official, or (b) that would cause Vertex to be in violation of the US Foreign Corrupt Practices Act (15 USC § 78dd, et seq.). 
 e. Governing Law. This Appendix shall be governed by and interpreted under the laws of the State of New York, USA, excluding (a) its conflicts of laws principles; (b) the United Nations
Conventions on Contracts for the International Sale of Goods; (c) the 1974 Convention on the Limitation Period in the International Sale of Goods (the “1974 Convention”); and (d) the Protocol amending the
1974 Convention, done at Vienna April 11, 1980. 
 f. Arbitration. If the parties are unable to resolve a dispute despite using
reasonable efforts to do so, either party may, by written notice to the other, pursue any matter through binding arbitration in accordance with the Rules for Non-Administered Arbitration then pertaining of the International Institute for Conflict
Prevention and Resolution or its successors, except where those rules conflict with these provisions, in which case the provisions of this Appendix control. All proceedings will be conducted in the English language. The arbitration will be held in
New York, New York, USA. 
 g. Limitation of Liability. In no event shall either party be liable to the other for any claim to
punitive, exemplary, incidental, consequential, multiplied or special damages, including without limitation loss of profit or revenues; provided, however, this limitation shall not apply to claims with are indemnified under Section 8 of
the Master Agreement. 
 h. Entire Agreement; Interpretation. This Appendix, together with the Master Agreement, constitutes the
entire agreement between the parties with respect to the subject matter hereof and supersedes all prior agreements, written or oral, with respect thereto. In the event of any conflict between the terms of this Appendix and the Master Agreement, the
terms of this Appendix shall prevail. 
 i. Survival. Following completion of the Project Deliverables or earlier termination of this
Appendix, in addition to the applicable provisions of the Master Agreement (described in Section 17 thereof), the provisions of Sections 3, 4, 5, 7, 9, 11, 12, 13, and 14 of this Appendix will survive and remain in full force and effect
indefinitely. 
 [Signature Page Follows] 

					
		  	6	  	Appendix November 2006

 EXECUTED as of the date first written above. 
  

							
	VERTEX PHARMACEUTICALS INCORPORATED	 	WUXI PHARMATECH CO. LTD.
				
	By:	 	  
	 	By:	 	  

		 	 Joshua Boger, Ph.D.
 President and Chief Executive
Officer
	 		 	 Ge Li, Ph.D.
 Chairman and Chief Executive Officer

					
		  	7	  	Appendix November 2006

 EXHIBIT 1 
 Specifications for Product (“*”) 
 [See attached] 
  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

 1 

													
	VERTEX	  	 VERTEX PHARMACEUTICALS INCORPORATED
 130 WAVERLY STREET, CAMBRIDGE, MA 02139
  
 PHARMACEUTICAL OPERATIONS
 ANALYTICAL DEVELOPMENT DEPARTMENT
  
 TECHNICAL DEVELOPMENT SPECIFICATIONS (TDS)

	
	VERTEX DOCUMENT NUMBER: *
	
	TITLE: Specification for *
	
	PROJECT: *
	
	DS   ̈        Intermediate   ̈        DP  
 ̈        Placebo   ̈        Excipient   ̈        Other:  Raw Material
	
	GLP   ̈        GMP  x        Non GMP/GLP   ̈    General Purpose   ̈
			
	CORRESPONDING MAR:	  	N/A  x	 	
	
	FOR DOCUMENTATION DEPARTMENT ONLY
			
	EFFECTIVE DATE:	  	JUN 23 2006	 	

 APPROVALS 
  

					
	Author:	  	Todd A. Blythe, Manager, Quality Assurance	  	Date:                             
			
	Approved:	  	Eda Ross Montgomery, Director, Analytical Development	  	Date:
                            
			
	Approved:	  	Andrew Jones, Director, Process Chemistry	  	Date:
                            
			
	Approved:	  	Mark DeRosch, Director, Regulatory Affairs	  	Date:
                            
			
	Approved:	  	Sep Naraghi, Director, Quality Control, Quality Assurance	  	Date:
                            

 DISTRIBUTION 
  

													
		
	 Name
	  	Company
	Author/Approvers	  	Vertex
	Principal Analyst – John Guzowski	  	Vertex
	Minzhang Chen	  	Vertex
	*	  	*

  

													
	            *    	  	VERTEX PHARMACEUTICALS INCORPORATED	  	Page 1 of 4
	CONFIDENTIAL INFORMATION
	All references to Vertex document numbers refer to the most current version of that document.
	OFFICIAL COPY

  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

 2 

 REVISION HISTORY 
 Note: For revision history of previous versions that are not detailed in the table below, see Vertex file for this Vertex document number. 
  

									
	 Version
	  	 Justification/Impact Assessment:
	  	 Description of Change (include
link to a process if applicable):

	  	 Author
	  	 Effective Date
 mm/dd/yyyy

	.00	  	See * for Justification.	  	New Release	  	Todd A. Blythe	  	03/31/2006
					
	.01	  	Please refer to *, the justification for *, where it is correctly written.	  	There is a typographical error in * The PURITY (GC) test in the OTHER TESTS section should read ASSAY (GC).	  	Todd A. Blythe	  	JUN 23 2006

  

					
	*	  	VERTEX PHARMACEUTICALS INCORPORATED	  	Page 2 of 4
		  	CONFIDENTIAL INFORMATION	  	
		  	All references to Vertex document numbers refer to the most current version of that document.	  	
		  	OFFICIAL COPY	  	

  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

					
		  	3	  	Appendix November 2006

 Title: Specification for * 
  

					
	  
	 TEST
	 	 SPECIFICATION
	 	 METHOD1

	*	 	*	 	*

  

					
	*	  	VERTEX PHARMACEUTICALS INCORPORATED	  	Page 3 of 4
		  	CONFIDENTIAL INFORMATION	  	
		  	All references to Vertex document numbers refer to the most current version of that document.	  	
		  	OFFICIAL COPY	  	

  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

					
		  	4	  	Appendix November 2006

 Title: Specification for * 

					
	  
	 OTHER TESTS
	 	 SPECIFICATION
	 	 METHOD1

	*	 	Report	 	*
	*	 	Report *	 	*

 Footnotes refer to the entire document 
  

					
	*	  	VERTEX PHARMACEUTICALS INCORPORATED	  	Page 4 of 4
		  	CONFIDENTIAL INFORMATION	  	
		  	All references to Vertex document numbers refer to the most current version of that document.	  	
		  	OFFICIAL COPY	  	

  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

					
		  	5	  	Appendix November 2006

 EXHIBIT 2 
 Cost Breakdown for Project Deliverables 
  

			
	 Time
	  	 Cost

	*	  	*
	*	  	*
	*	  	*
	*	  	*

  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

 1 

 EXHIBIT 3 
 Anticipated Costs Break-down 
  

			
	 Items
	  	 Cost ($/kg)

	Material	  	*
	Facility	  	*
	Labor/overhead	  	*
	Waste handling	  	*
	Others	  	*
	Total cost	  	*

 The material cost does not include the cost of the raw material * 
  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

 1 

 EXHIBIT 4 
 Termination “Wind-Up” Costs 
  

			
	 Time
	  	 Anticipated Cost Not to Exceed

	*	  	*
	*	  	
	*	  	
	*	  	
	*	  	

 Represents amounts of *to be delivered and invoiced to Vertex during such quarter pursuant to
Section 2 of the Appendix. The additional maximum costs subject to reimbursement of material preparation, * and *are as set forth above. 
 For example, if Vertex terminates the Agreement without cause on September 15, 2007, the Termination Wind Up Costs as set forth in Section 11 would be * plus the cost of the Q3 2007 shipment*, to the extent not previously
invoiced. 
  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

 1 

			
	VERTEXTM	  	 Vertex Pharmaceuticals Incorporated
 130 Waverly
Street • Cambridge, MA 02139-4242
 Tel: 617.444.6100 • Fax: 617.444.6680
 www.vrtx.com

 March 29, 2007 
 RE: Contract Services Agreement Appendix – * by and between WuXi and Vertex dated November 13, 2006 (the “* Agreement”) Amendment to Payments for * 
 Dear Mr. Suhan Tang: 
 As previously
discussed, * is unable to continue to accept payment in US Dollars from Vertex as originally agreed in connection with deliveries of * to be used in WuXi’s production of * under the * Agreement. WuXi has agreed to make the payment on behalf of
Vertex to *. In order to expedite payment of * (VAT inclusive) which has been owed to* by Vertex in connection with 2006 deliveries of * of *, Vertex will request * to issue a VAT inclusive invoice(s) to WuXi for * WuXi has agreed to
make this payment to * in CNY on Vertex’s behalf immediately upon receipt of the invoice from *. 
 WuXi in turn will issue an invoice
to Vertex for an amount equivalent to * calculated in US Dollars based on the CNY:USD exchange rate published in the Wall Street Journal (New York Edition) on the date of the invoice. Vertex shall pay WuXi that amount of the invoice in US dollars
immediately upon receipt of the WuXi invoice.x 
 In addition, in connection with the current order for * of * being manufactured and
delivered in March and April by * for Vertex for use in the manufacture of * by WuXi, * shall invoice WuXi in CNY for the full amount owed by Vertex at a rate of * (VAT inclusive) per kilogram upon delivery. Vertex will
reimburse in US dollars (calculated as described above) WuXi for this payment to * promptly upon receipt of the WuXi US dollar invoice and no later than five (5) days prior to the date payment is due from WuXi to * 
 All other terms and conditions of the * Agreement remain in full force and effect. In addition. the terms of the agreement between * and Vertex regarding
delivery and storage of * remain in full force and effect. 
 Please indicate your agreement to the terms of this letter by signing where
indicated below and kindly return the signed letter via facsimile to Kevin Gerow at 617-441-6105, followed by postal delivery of the original signed copy. 
  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

 1 

			
	VERTEXTM	  	 Vertex Pharmaceuticals Incorporated
 130 Waverly
Street • Cambridge, MA 02139-4242
 Tel: 617.444.6100 • Fax: 617.444.6680
 www.vrtx.com

  

			
	 VERTEX PHARMACEUTICALS INCORPORATED

		
	 By:
	 	  

	
	 WUXI PHARMATECH CO. LTD.

		
	 By:
	 	  

	 Title:
	 	  

  

 2 

 CONTRACT SERVICES AGREEMENT 
 APPENDIX * 
 THIS APPENDIX to the Contract Services Agreement dated May 18, 2005,
as amended by Amendment No. 1 (collectively, the “Master Agreement”), is made by and between Vertex Pharmaceuticals Incorporated and WuXi PharmaTech Co. Ltd. All capitalized terms not otherwise defined herein shall have the
meaning so attributed to such terms in the Master Agreement. 
 Period of Performance: This Appendix shall become effective as of the
date of execution and shall remain in effect until the completion of the Project or until such time Vertex elects to exercise its termination rights, as outlined in Section 2(b) of the Master Agreement. It is anticipated the Project will
commence late-March, 2007 and be completed 14-16 weeks from commencement of the Project. 
 Scope of Services; Deliverables: Company
shall synthesize and deliver to Vertex approximately * of Target Compound A, the * of Vertex proprietary compound *, made according to the specifications described in Attachment 1, attached hereto and incorporated herein by reference. Company
will procure all materials necessary for the synthesis. 
 Company will conduct the Contract Services in accordance with Company’s
Standard Operating Procedures (SOPs), including handling of all materials, unless otherwise specified in writing by Vertex. Upon completion of the Project, Company will provide to Vertex copies of pertinent documentation for the synthesis.

 Budget and Payment Schedule: Vertex shall pay Company * for the synthesis upon completion of the Project and Vertex’s receipt
of all Target Compound A synthesized under this Appendix. In no event shall the total amount payable by Vertex for Contract Services under this Appendix exceed * without Vertex’s written authorization, exclusive of shipping and handling
charges. 
 All costs and fees are quoted in US Dollars. Payment terms are net 30 days from Vertex’s receipt of Company’s invoice.
Company’s invoice should be sent to the attention of Contracts Management at: 
 Vertex Pharmaceuticals Incorporated 
 130 Waverly Street 
 Cambridge, MA 02139

 USA 
 Executed as of the
             day of March, 2007. 
 ACCEPTED AND AGREED: 
  

							
	VERTEX PHARMACEUTICALS INCORPORATED	 	WUXI PHARMATECH CO. LTD.
				
	By:	 	  
	 	By:	 	  

	Name:	 	  
	 	Name:	 	  

	Title:	 	  
	 	Title:	 	  

  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

 1 

 ATTACHMENT 1 
 * 
 [End of Attachment 1] 
  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

 2 

			
	 

 INCORPORATED
  
 02139-4242
	  	 VERTEX PHARMACEUTICALS
  
 130 WAVERLY STREET • CAMBRIDGE, MA
  
 TEL. 617.444.6100 • FAX 617.444-6645
 http://www.vrtx.com

  

 May     , 2007 
 Dr. Ge Li, CEO 
 WuXi PharmaTech Co., LTD. 
 288 FuTe ZhongLu 
 Waigaoqiao Free Trade Zone 
 Shanghai, China 200131 
 Re: Appendix (November 13, 2006 –*) (the “November 13th Appendix”), appended to that certain Contract Services Agreement (the “Agreement”) by and among Vertex
Pharmaceuticals Incorporated, Vertex Pharmaceuticals (San Diego) LLC and WuXi PharmaTech Co., Ltd. (“WuXi”) dated May 18, 2005, as amended. 
 Dear Dr. Li: 
 Reference is herein made to the
November 13th Appendix to extend the period of time provided for the negotiation of the Supply Agreement and to that end we propose that (a) * as
written in the third sentence of Section 10 of the November 13th Appendix be deleted and replaced with * and (b) * as written in the first
sentence of the first bullet point of Section 10 of the November 13th Appendix be deleted and replaced with *. 

Except as provided herein, the November 13th Appendix shall remain unchanged and shall govern the conditions of engagement and the Contract Services to be provided thereunder. All capitalized terms not defined herein shall have the meaning in the Agreement
attributed thereto. 
 Please indicate acceptance of the foregoing on behalf of WuXi by signing and returning one copy of this letter of agreement.

  

					
		 	VERTEX INCORPORATED
			
	  
	 	By:	  	  

		 		  	 John Condon,
 Vice President Pharmaceutical Operations

 Accepted and agreed: 
  

			
	WUXI PHARMATECH CO., LTD.
		
	By:	 	  

		 	Ge Li, Ph.D., CEO
	Date:	 	  

  

	*	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with
respect to the omitted portions. 

  

 31987 Employee Stock Purchase Plan, as amended May 8, 2007

 EXHIBIT 10.2 
 ALTERA CORPORATION 
 1987 EMPLOYEE STOCK PURCHASE PLAN 
 (as amended and restated May 8, 2007) 
 The following constitute the provisions of the 1987 Employee Stock Purchase Plan, as amended and restated May 8, 2007, of Altera Corporation. 
 1. Purpose. The purpose of the Plan is to provide employees of the Company and its Designated Subsidiaries with an opportunity to purchase Common Stock of the Company through accumulated payroll deductions. It
is the intention of the Company to have the Plan qualify as an “Employee Stock Purchase Plan” under Section 423 of the Internal Revenue Code. The provisions of the Plan, accordingly, shall be construed so as to extend and limit
participation in a uniform and nondiscriminatory basis consistent with the requirements of Section 423. 
 2. Definitions.

 (a) “Administrator” shall mean the Board or any Committee designated by the Board to administer the plan pursuant to
Section 15 of the Plan. 
 (b) “Board” shall mean the Board of Directors of the Company. 
 (c) “Change of Control” shall mean the occurrence of any of the following events: 
 (i) Any “person” (as such term is used in Sections 13(d) and 14(d) of the Exchange Act) becomes the “beneficial owner” (as defined in
Rule 13d-3 of the Exchange Act), directly or indirectly, of securities of the Company representing fifty percent (50%) or more of the total voting power represented by the Company’s then outstanding voting securities; or 
 (ii) The consummation of the sale or disposition by the Company of all or substantially all of the Company’s assets; or 
 (iii) The consummation of a merger or consolidation of the Company, with any other corporation, other than a merger or consolidation that 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 or its parent) at least fifty percent
(50%) of the total voting power represented by the voting securities of the Company, or such surviving entity or its parent outstanding immediately after such merger or consolidation. 
 (iv) A change in the composition of the Board, as a result of which fewer than a majority of the Directors are Incumbent Directors. “Incumbent
Directors” shall 

  

 1 

 
mean Directors who either (A) are Directors of the Company, as applicable, as of the date hereof, or (B) are elected, or nominated for election, to
the Board with the affirmative votes of at least a majority of those Directors whose election or nomination was not in connection with any transaction described in subsections (i), (ii) or (iii) or in connection with an actual or
threatened proxy contest relating to the election of directors of the Company. 
 (d) “Code” shall mean the Internal Revenue
Code of 1986, as amended. 
 (e) “Committee” means a committee of the Board appointed by the Board in accordance with
Section 15 hereof. 
 (f) “Common Stock” shall mean the common stock of the Company. 
 (g) “Company” shall mean Altera Corporation, a Delaware corporation. 
 (h) “Compensation” shall mean all base straight time gross earnings, sales commissions and sales incentives, but exclusive of payments
for overtime, shift premiums, other incentive payments, bonuses or other compensation. 
 (i) “Designated Subsidiary” shall
mean any Subsidiary selected by the Administrator as eligible to participate in the Plan. 
 (j) “Eligible Employee” shall
mean any individual who is a common law employee of the Company or any Designated Subsidiary and whose customary employment with the Company or Designated Subsidiary is at least twenty (20) hours per week and more than five (5) months in
any calendar year. For purposes of the Plan, the employment relationship shall be treated as continuing intact while the individual is on sick leave or other leave of absence approved by the Company. Where the period of leave exceeds 90 days and the
individual’s right to reemployment is not guaranteed either by statute or by contract, the individual shall be deemed to have withdrawn from the Plan on the 91st day of such leave. 
 (k) “Exercise Date” shall mean the Trading Day on or before April 30th and October 31st of each year. 
 (l) “Fair Market Value” shall mean, as of any date, the value of Common Stock determined as follows: 
 (i) If the Common Stock is listed on any established stock exchange or a national market system, including without limitation the Nasdaq National Market
or The Nasdaq SmallCap Market of The Nasdaq Stock Market, its Fair Market Value shall be the closing sales price for such stock (or the closing bid, if no sales were reported) as quoted on such exchange or system on the date of determination, as
reported in The Wall Street Journal or such other source as the Board deems reliable; 
 (ii) If the Common Stock is regularly quoted
by a recognized securities dealer but selling prices are not reported, its Fair Market Value shall be the mean of the closing bid and asked prices for the Common Stock on the date of determination, as reported in The Wall Street Journal or
such other source as the Board deems reliable; 
  

 2 

 (iii) In the absence of an established market for the Common Stock, the Fair Market Value thereof shall
be determined in good faith by the Board; or 
 (iv) For purposes of the Offering Date of the first Offering Period under the Plan, the Fair
Market Value shall be the initial price to the public as set forth in the final prospectus included within the registration statement in Form S-1 filed with the Securities and Exchange Commission for the initial public offering of the Company’s
Common Stock (the “Registration Statement”). 
 (m) “Offering Date” shall mean the first Trading Day of each
Offering Period. 
 (n) “Offering Periods” shall mean the periods of approximately twelve (12) months during which an
option granted pursuant to the Plan may be exercised, usually commencing on the first Trading Day on or after May 1st and November 1st of each year and terminating on the Trading Day on or before April 30th and October 31st. The
duration and timing of Offering Periods may be changed pursuant to Section 4 of this Plan. 
 (o) “Plan” shall mean
this Employee Stock Purchase Plan. 
 (p) “Purchase Period” shall mean the approximately six (6) month period
commencing on one Exercise Date and ending with the next Exercise Date, except that the first Purchase Period of any Offering Period shall commence on the Offering Date and end with the next Exercise Date. 
 (q) “Purchase Price” shall mean 85% of the Fair Market Value of a share of Common Stock on the Offering Date or on the Exercise Date,
whichever is lower; provided however, that the Purchase Price may be adjusted by the Administrator pursuant to Section 20. 
 (r)
“Subsidiary” shall mean a “subsidiary corporation,” whether now or hereafter existing, as defined in Section 424(f) of the Code. 
 (s) “Trading Day” shall mean a day on which national stock exchanges and the Nasdaq System are open for trading. 
 3. Eligibility. 
 (a) Subsequent Offering Periods. Any Eligible Employee on a given Offering
Date shall be eligible to participate in the Plan. 
 (b) Limitations. Any provisions of the Plan to the contrary notwithstanding, no
Eligible Employee shall be granted an option under the Plan (i) to the extent that, immediately after the grant, such Eligible Employee (or any other person whose stock would be attributed to such Eligible Employee pursuant to
Section 424(d) of the Code) would own capital stock of the Company and/or hold outstanding options to purchase such stock possessing five percent (5%) or 

  

 3 

 
more of the total combined voting power or value of all classes of the capital stock of the Company or of any Subsidiary, or (ii) to the extent that his
or her rights to purchase stock under all employee stock purchase plans of the Company and its subsidiaries accrues at a rate that exceeds Twenty-Five Thousand Dollars ($25,000) worth of stock (determined at the Fair Market Value of the shares at
the time such option is granted) for each calendar year in which such option is outstanding at any time. 
 4. Offering Periods. The Plan shall be implemented by consecutive, overlapping Offering Periods with a new Offering Period commencing on the first Trading Day on or after May 1st and November 1st each year, or on such other date as the Board shall determine,
and continuing thereafter until terminated in accordance with Section 21 hereof. The Board shall have the power to change the duration of Offering Periods (including the commencement dates thereof) with respect to future offerings without
shareholder approval if such change is announced prior to the scheduled beginning of the first Offering Period to be affected thereafter. 
 5. Subsequent Offering Periods. An Eligible Employee may become a participant in the Plan by completing a subscription agreement authorizing payroll deductions in the form of Exhibit A to this Plan and filing
it with the Company’s Stock Administration Department prior to the applicable Offering Date. 
 6. Payroll Deductions.

 (a) At the time a participant files his or her subscription agreement, he or she shall elect to have payroll deductions made on each pay
day during the Offering Period in an amount not exceeding 10% of the Compensation that he or she receives on each pay day during the Offering Period; provided, however, that should a pay day occur on an Exercise Date, a participant shall have the
payroll deductions made on such day applied to his or her account under the new Offering Period or Purchase Period, as the case may be. A participant’s subscription agreement shall remain in effect for successive Offering Periods unless
terminated as provided in Section 11 hereof. 
 (b) Payroll deductions for a participant shall commence on the first payday following
the Offering Date and shall end on the last payday in the Offering Period to which such authorization is applicable, unless sooner terminated by the participant as provided in Section 11 hereof. 
 (c) All payroll deductions made for a participant shall be credited to his or her account under the Plan and shall be withheld in whole percentages only.
A participant may not make any additional payments into such account. 
 (d) A participant may discontinue his or her participation in the
Plan as provided in Section 11 hereof, or decrease the rate of his or her payroll deductions during the Offering Period by completing or filing with the Company a new subscription agreement authorizing a change in payroll deduction rate. A
participant may increase his or her rate of payroll deductions only for a subsequent Offering Period in which he or she is scheduled to participate and may not increase his or her rate of payroll deductions during an outstanding Offering Period in
which such participant 

  

 4 

 
is currently participating. The Administrator may, in its discretion, limit the nature and/or number of participation rate changes during any Offering
Period. Any decrease in rate shall be effective fifteen (15) days following the Company’s receipt of the notification. 
 (e)
Notwithstanding the foregoing, to the extent necessary to comply with Section 423(b)(8) of the Code and Section 3(b) hereof, the Administrator may decrease a participant’s payroll deductions to zero percent (0%) at any time during a
Purchase Period. Payroll deductions shall recommence at the rate provided in such participant’s subscription agreement at the beginning of the first Purchase Period that is scheduled to end in the following calendar year, unless terminated by
the participant as provided in Section 11 hereof. 
 (f) At the time the option is exercised, in whole or in part, or at the time some
or all of the Company’s Common Stock issued under the Plan is disposed of, the participant must make adequate provision for the Company’s federal, state, or other tax withholding obligations, if any, which arise upon the exercise of the
option or the disposition of the Common Stock. At any time, the Company may, but shall not be obligated to, withhold from the participant’s compensation the amount necessary for the Company to meet applicable withholding obligations, including
any withholding required to make available to the Company any tax deductions or benefits attributable to sale or early disposition of Common Stock by the Eligible Employee. 
 7. Grant of Option. On the Offering Date of each Offering Period, each Eligible Employee participating in such Offering Period shall be granted an
option to purchase on each Exercise Date during such Offering Period (at the applicable Purchase Price) up to a number of shares of the Company’s Common Stock determined by dividing such Eligible Employee’s payroll deductions accumulated
prior to such Exercise Date and retained in the Participant’s account as of the Exercise Date by the applicable Purchase Price; provided that in no event shall an Eligible Employee be permitted to purchase during each Purchase Period more than
10,000 shares of the Company’s Common Stock (subject to any adjustment pursuant to Section 20 hereof), and provided further that such purchase shall be subject to the limitations set forth in Section 3(b) and other sections of the
Plan that may limit such number. The Eligible Employee may accept the grant of such option by turning in a completed Subscription Agreement to the Company on or prior to an Offering Date. The Administrator may, for future Offering Periods, increase
or decrease, in its absolute discretion, the maximum number of shares of the Company’s Common Stock an Eligible Employee may purchase during each Purchase Period of such Offering Period. Exercise of the option shall occur as provided in
Section 9 hereof, unless the participant has withdrawn pursuant to Section 11 hereof. The option shall expire on the last day of the Offering Period. 
 8. Automatic Transfer to Low Price Offering Period. To the extent permitted by any applicable laws, regulations, or stock exchange rules, if the Fair Market Value of the Common Stock on any Exercise Date in an
Offering Period is lower than the Fair Market Value of the Common Stock on the Offering Date of such Offering Period, then all participants in such Offering Period shall be automatically withdrawn from such Offering Period immediately after the
exercise of their option on such Exercise Date and automatically re-enrolled in the immediately following Offering Period. 
  

 5 

 9. Exercise of Option. 
 (a) Unless a participant withdraws from the Plan as provided in Section 11 hereof, his or her option for the purchase of shares shall be exercised
automatically on the Exercise Date, and the maximum number of full shares subject to option shall be purchased for such participant at the applicable Purchase Price with the accumulated payroll deductions in his or her account. No fractional shares
shall be purchased; any payroll deductions accumulated in a participant’s account that are not sufficient to purchase a full share shall be retained in the participant’s account for the subsequent Purchase Period or Offering Period,
subject to earlier withdrawal by the participant as provided in Section 11 hereof. Any other funds left over in a participant’s account after the Exercise Date shall be returned to the participant. During a participant’s lifetime, a
participant’s option to purchase shares hereunder is exercisable only by him or her. 
 (b) If the Administrator determines that, on a
given Exercise Date, the number of shares with respect to which options are to be exercised may exceed (i) the number of shares of Common Stock that were available for sale under the Plan on the Offering Date of the applicable Offering Period,
or (ii) the number of shares available for sale under the Plan on such Exercise Date, the Administrator may in its sole discretion (1) provide that the Company shall make a pro rata allocation of the shares of Common Stock available for
purchase on such Offering Date or Exercise Date, as applicable, in as uniform a manner as shall be practicable and as it shall determine in its sole discretion to be equitable among all participants exercising options to purchase Common Stock on
such Exercise Date, and continue all Offering Periods then in effect, or (2) provide that the Company shall make a pro rata allocation of the shares available for purchase on such Offering Date or Exercise Date, as applicable, in as uniform a
manner as shall be practicable and as it shall determine in its sole discretion to be equitable among all participants exercising options to purchase Common Stock on such Exercise Date, and terminate any or all Offering Periods then in effect
pursuant to Section 21 hereof. The Company may make pro rata allocation of the shares available on the Offering Date of any applicable Offering Period pursuant to the preceding sentence, notwithstanding any authorization of additional shares
for issuance under the Plan by the Company’s shareholders subsequent to such Offering Date. 
 10. Delivery. As soon as
reasonably practicable after each Exercise Date on which a purchase of shares occurs, the Company shall arrange the delivery to each participant the shares purchased upon exercise of his or her option in a form determined by the Administrator.

 11. Withdrawal. 
 (a) A
participant may withdraw all but not less than all the payroll deductions credited to his or her account and not yet used to exercise his or her option under the Plan at any time by giving written notice to the Company. All of the participant’s
payroll deductions credited to his or her account shall be paid to such participant promptly after receipt of notice of withdrawal and such participant’s option for the Offering Period shall be automatically terminated, and no further payroll
deductions for the purchase of shares shall be made for such Offering Period. If a participant withdraws from an Offering Period, payroll deductions shall not resume at the beginning of the succeeding Offering Period unless the participant delivers
to the Company a new Subscription Agreement. 
  

 6 

 (b) A participant’s withdrawal from an Offering Period shall not have any effect upon his or her
eligibility to participate in any similar plan that may hereafter be adopted by the Company or in succeeding Offering Periods that commence after the termination of the Offering Period from which the participant withdraws. 
 12. Termination of Employment. In the event a participant ceases to be an Eligible Employee prior to the Exercise Date of the Offering Period in
question for any reason, including retirement or death, the payroll deductions credited to the participant’s account will be returned to the participant, or in the case of the participant’s death, to the person or persons entitled thereto
pursuant to Section 16 of the Plan, and the participant’s option will automatically terminate. 
 13. Interest. No interest
shall accrue on the payroll deductions of a participant in the Plan. 
 14. Stock. 
 (a) Subject to adjustment upon changes in capitalization of the Company as provided in Section 20 hereof, the maximum number of shares of the
Company’s Common Stock that shall be made available for sale under the Plan shall be 21,700,000. 
 (b) Until the shares are issued (as
evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company), a participant shall only have the rights of an unsecured creditor with respect to such shares, and no right to vote or receive
dividends or any other rights as a stockholder shall exist with respect to such shares. 
 (c) Shares to be delivered to a participant under
the Plan shall be registered in the name of the participant or in the name of the participant and his or her spouse. 
 15.
Administration. The Administrator shall administer the Plan and shall have full and exclusive discretionary authority to construe, interpret and apply the terms of the Plan, to determine eligibility and to adjudicate all disputed claims filed
under the Plan. Every finding, decision and determination made by the Administrator shall, to the full extent permitted by law, be final and binding upon all parties. 
 16. Designation of Beneficiary. 
 (a) Unless otherwise prohibited by applicable law, a participant may
file a written designation of a beneficiary who is to receive any shares and cash, if any, from the participant’s account under the Plan in the event of such participant’s death subsequent to an Exercise Date on which the option is
exercised but prior to delivery to such participant of such shares and cash. In addition, a participant may file a written designation of a beneficiary who is to receive any cash from the participant’s account under the Plan in the event of
such participant’s death prior to exercise of the option. If a participant is married and the designated beneficiary is not the spouse, spousal consent shall be required for such designation to be effective. 
  

 7 

 (b) Such designation of beneficiary may be changed by the participant at any time by written notice. In
the event of the death of a participant and in the absence of a beneficiary validly designated under the Plan who is living at the time of such participant’s death, the Company shall deliver such shares and/or cash to the executor or
administrator of the estate of the participant, or if no such executor or administrator has been appointed (to the knowledge of the Company), the Company, in its discretion, may deliver such shares and/or cash to the spouse or to any one or more
dependents or relatives of the participant, or if no spouse, dependent or relative is known to the Company, then to such other person as the Company may designate. 
 (c) All beneficiary designations shall be in such form and manner as the Administrator may designate from time to time. 
 17. Transferability. Neither payroll deductions credited to a participant’s account nor any rights with regard to the exercise of an option or to receive shares under the Plan may be assigned, transferred,
pledged or otherwise disposed of in any way (other than by will, the laws of descent and distribution, or as provided in Section 16 hereof) by the participant. Any such attempt at assignment, transfer, pledge or other disposition shall be
without effect, except that the Company may treat such act as an election to withdraw funds from an Offering Period in accordance with Section 11 hereof. 
 18. Use of Funds. All payroll deductions received or held by the Company under the Plan may be used by the Company for any corporate purpose, and the Company shall not be obligated to segregate such payroll
deductions. Until shares are issued, participants shall only have the rights of an unsecured creditor. 
 19. Reports. Individual
accounts shall be maintained for each participant in the Plan. Statements of account shall be given to participating Eligible Employees at least annually, which statements shall set forth the amounts of payroll deductions, the Purchase Price, the
number of shares purchased and the remaining cash balance, if any. 
 20. Adjustments Upon Changes in Capitalization, Dissolution,
Liquidation, Merger or Change of Control. 
 (a) Changes in Capitalization. Subject to any required action by the shareholders of
the Company, the maximum number of shares of the Company’s Common Stock that shall be made available for sale under the Plan, the maximum number of shares each participant may purchase each Purchase Period (pursuant to Section 7), as well
as the price per share and the number of shares of Common Stock covered by each option under the Plan that have not yet been exercised, shall be proportionately adjusted for any increase or decrease in the number of issued shares of Common Stock
resulting from a stock split, reverse stock split, stock dividend, combination or reclassification of the Common Stock, or any other change in the number of shares of Common Stock effected without receipt of consideration by the Company; provided,
however, that conversion of any convertible securities of the Company shall not be deemed to 

  

 8 

 
have been “effected without receipt of consideration.” Such adjustment shall be made by the Administrator, whose determination in that respect
shall be final, binding and conclusive. Except as expressly provided herein, no issuance by the Company of shares of stock of any class, or securities convertible into shares of stock of any class, shall affect, and no adjustment by reason thereof
shall be made with respect to, the number or price of shares of Common Stock subject to an option. 
 (b) Dissolution or Liquidation.
In the event of the proposed dissolution or liquidation of the Company, the Offering Period then in progress shall be shortened by setting a new Exercise Date (the “New Exercise Date”), and shall terminate immediately prior to the
consummation of such proposed dissolution or liquidation, unless provided otherwise by the Administrator. The New Exercise Date shall be before the date of the Company’s proposed dissolution or liquidation. The Administrator shall notify each
participant in writing, at least ten (10) business days prior to the New Exercise Date, that the Exercise Date for the participant’s option has been changed to the New Exercise Date and that the participant’s option shall be exercised
automatically on the New Exercise Date, unless prior to such date the participant has withdrawn from the Offering Period as provided in Section 11 hereof. 
 (c) Merger or Change of Control. In the event of a merger or Change of Control, each outstanding option shall be assumed or an equivalent option substituted by the successor corporation or a Parent or
Subsidiary of the successor corporation. In the event that the successor corporation refuses to assume or substitute for the option, any Purchase Periods then in progress shall be shortened by setting a New Exercise Date and any Offering Periods
then in progress shall end on the New Exercise Date. The New Exercise Date shall be before the date of the Company’s proposed merger or Change of Control. The Administrator shall notify each participant in writing, at least ten
(10) business days prior to the New Exercise Date, that the Exercise Date for the participant’s option has been changed to the New Exercise Date and that the participant’s option shall be exercised automatically on the New Exercise
Date, unless prior to such date the participant has withdrawn from the Offering Period as provided in Section 11 hereof. 
 21.
Amendment or Termination. 
 (a) The Administrator may at any time and for any reason terminate or amend the Plan. Except as otherwise
provided in the Plan, no such termination can affect options previously granted, provided that an Offering Period may be terminated by the Administrator on any Exercise Date if the Administrator determines that the termination of the Offering Period
or the Plan is in the best interests of the Company and its shareholders. Except as provided in Section 20 and this Section 21 hereof, no amendment may make any change in any option theretofore granted which adversely affects the rights of
any participant. To the extent necessary to comply with Section 423 of the Code (or any successor rule or provision or any other applicable law, regulation or stock exchange rule), the Company shall obtain shareholder approval in such a manner
and to such a degree as required. 
 (b) Without shareholder consent and without regard to whether any participant rights may be considered
to have been “adversely affected,” the Administrator shall be entitled to 

  

 9 

 
change the Offering Periods, limit the frequency and/or number of changes in the amount withheld during an Offering Period, establish the exchange ratio
applicable to amounts withheld in a currency other than U.S. dollars, permit payroll withholding in excess of the amount designated by a participant in order to adjust for delays or mistakes in the Company’s processing of properly completed
withholding elections, establish reasonable waiting and adjustment periods and/or accounting and crediting procedures to ensure that amounts applied toward the purchase of Common Stock for each participant properly correspond with amounts withheld
from the participant’s Compensation, and establish such other limitations or procedures as the Administrator determines in its sole discretion advisable which are consistent with the Plan. 
 (c) In the event the Administrator determines that the ongoing operation of the Plan may result in unfavorable financial accounting consequences, the
Board may, in its discretion and to the extent necessary or desirable, modify or amend the Plan to reduce or eliminate such accounting consequence including, but not limited to: 
 (i) increasing the Purchase Price for any Offering Period, including an Offering Period underway at the time of the change in Purchase Price; 

(ii) shortening any Offering Period so that Offering Period ends on a new Exercise Date, including an Offering Period underway at the time of the
Board action; and 
 (iii) allocating shares. 
 Such modifications or amendments shall not require stockholder approval or the consent of any Plan participants. 
 22.
Notices. All notices or other communications by a participant to the Company under or in connection with the Plan shall be deemed to have been duly given when received in the form and manner specified by the Company at the location, or by the
person, designated by the Company for the receipt thereof. 
 23. Conditions Upon Issuance of Shares. Shares shall not be issued with
respect to an option unless the exercise of such option and the issuance and delivery of such shares pursuant thereto comply with all applicable provisions of law, domestic or foreign, including, without limitation, the Securities Act of 1933, as
amended, the Securities Exchange Act of 1934, as amended, the rules and regulations promulgated thereunder, and the requirements of any stock exchange upon which the shares may then be listed, and shall be further subject to the approval of counsel
for the Company with respect to such compliance. 
 As a condition to the exercise of an option, the Company may require the person
exercising such option to represent and warrant at the time of any such exercise that the shares are being purchased only for investment and without any present intention to sell or distribute such shares if, in the opinion of counsel for the
Company, such a representation is required by any of the aforementioned applicable provisions of law. 
  

 10 

 24. Term of Plan. The Plan shall become effective upon the earlier to occur of its adoption by the
Board of Directors or its approval by the shareholders of the Company. It shall continue in effect until terminated under Section 21 hereof. 
  

 11

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