Document:

Prepared by R.R. Donnelley Financial -- Offer Letter and Employment Contract Mark L. Sanders

  
 Exhibit 10.63 
  
 [PINNACLE SYSTEMS, INC. LETTERHEAD] 
  
 Offer
Letter and Employment Contract dated June 28, 2002 
 between Pinnacle Systems, Inc. and Mark L. Sanders 
  
 June 28, 2002 
  
 Mr. Mark Sanders 
 280 N. Bernardo 
 Mountain View, CA 94043 
  
 Dear Mark: 
  
 I am pleased to offer you this letter to memorialize
your current employment terms with Pinnacle Systems, Inc. (the “Company”). Your work with the Company pursuant to the terms and conditions of this letter shall commence on July 1, 2002 (the “Effective Date”). While employed, you
shall report to the Board of Directors (“Board”) of the Company and shall have such duties and responsibilities as the Board may from time to time require. 
  
 Your employment with the Company pursuant to this letter (the “Employment Term”) shall commence on the Effective Date and continue, unless otherwise terminated
earlier, for a period of one year (the “First Term”). The Board intends to review your status as an employee prior to the end of each Term. The Employment Term will automatically be extended for up to three (3) additional one-year terms
(the “Second Term”, the “Third Term” and the “Fourth Term”) unless the Board or a designee of the Board notifies you otherwise at least thirty (30) days prior to the expiration of the then current term. At the
expiration of such term, or upon the expiration of the Fourth Term in the case your service with the Company is not terminated earlier, your employment pursuant to this letter will immediately terminate. 
  
 During the Employment Term, you will also continue to serve as a member and Chairman of the Board, subject to any required Board and/or
stockholder approval. 
  
 While employed by the Company, you shall receive as compensation for your services a base
salary at the annualized rate of three hundred and sixty thousand dollars ($360,000) for the First Term, a base salary at the annualized rate of two hundred and forty thousand dollars ($240,000) for the Second Term and a base salary at the
annualized rate of one hundred twenty thousand dollars ($120,000) for both the Third Term and Fourth Term. Your salary shall be paid periodically in accordance with normal Company payroll practices and be subject to the usual, required withholding.
The Board has agreed that you have no obligation to work a minimum number of hours in order to receive this salary, therefore, you will receive the aforementioned base pay for each Term regardless of the amount of time you spend on company business.

  
 During your employment hereunder, you shall continue to be eligible to participate in the employee benefit plans
currently and hereafter maintained by the Company of general applicability to other senior executives of the Company, including, without limitation, the Company’s group medical, dental, vision, disability and life insurance plans. The Company
reserves the right to cancel or change the benefit plans and programs it offers to its employees at any time. However, since your role will be advisory only, you will not be included in the management bonus program. Also, since you have no
obligation to spend a minimum 
 

 1 

  
 number of hours on company business, beginning on the Effective date you will no longer accrue paid time
off and your current accrued PTO balance will be paid in full. 
  
 The Company will pay or reimburse you for
reasonable travel, entertainment or other expenses incurred by you in the furtherance of or in connection with the performance of your duties hereunder in accordance with the Company’s established policies. 
  
 If your service as Chairman or employment with the Company during the Employment Term terminates other than (i) for “Cause” (as
defined herein) by the Company or (ii) voluntarily by you, then (A) you shall be entitled to receive pay in an amount equal to the salary you would have received had you continued to provide services through the expiration of the Fourth term, paid
quarterly (B) your stock options will continue to vest as long as you remain Chairman or as a member of the Board of Directors (C) the Company will pay your COBRA premiums (to the extent you are eligible) until the earlier of (y) the expiration of
the applicable term at the time of termination or (z) you obtain other employment which provides comparable medical benefits. 
  
 For purposes of this letter, “Cause” is defined as (i) an act of material dishonesty made by you in connection with your responsibilities as an employee of the Company, (ii) your conviction of, or plea of nolo
contendere to, a felony, or (iii) your gross misconduct. 
  
 If your service as Chairman or employment with the
Company terminates (i) voluntarily by you or (ii) for Cause by the Company, then you shall only be eligible for severance benefits in accordance with the Company’s established policies as then in effect. 
  
 You agree to maintain the confidentiality of all confidential and proprietary information of the Company and understand that the
Confidential Information and Inventions Assignment Agreement you entered into on August 30, 1994 remains effective during the Employment Term. Further, you agree not to actively engage in any other employment, occupation or consulting activity for
any direct or indirect remuneration without the prior approval of the Board. 
  
 This letter, the documents
incorporated herein by reference and the Confidential Information and Inventions Assignment Agreement dated August 30, 1994 represent the entire agreement and understanding between you and the Company concerning your employment relationship with the
Company, and supersede in their entirety any and all prior agreements and understandings concerning your employment relationship with the Company, whether written or oral. 
  
 The terms of this letter may only be amended, canceled or discharged in writing signed by you and the Company. This letter shall be governed by the internal substantive
laws, but not the choice of law rules, of the State of California. 
  
 In the event that any provision hereof becomes
or is declared by a court of competent jurisdiction to be illegal, unenforceable, or void, this letter shall continue in full force and effect without such provision. 
 

 2 

  
 To indicate your acceptance of the Company’s offer, please sign and date
this letter in the space provided below. A duplicate original is enclosed for your records. 
  
 
	 Sincerely,
  
 PINNACLE
SYSTEMS, INC.
 
	 
	 /s/    GLENN PENISTEN
        
 

	 Glenn Penisten
 Director,
Chairman, Compensation Committee
 Pinnacle Systems, Inc.
 

 
  
 Date: June 28, 2002 
  
 
	 ACCEPTED AND AGREED TO:
 
	 
	 /s/    MARK
SANDERS        
 

	 Mark Sanders
 

 
  
 

 3Prepared by R.R. Donnelley Financial -- Lease Agreement dated 12/19/1997

  
 Exhibit 10.64 
  
 English summary of leases “Mietvertrag für Gewerberäume zwischen Herrn 
 Horst Theilemann und FAST Multimedia Aktiengesellschaft und Pinnacle 
 Systems GmbH” and “Mietvertrag für
Gewerberäume zwischen Herrn Horst 
 Theilemann und FAST Multimedia Aktiengesellschaft” 
  

Industrial Lease Contract 
 between 
 Mr. Horst Theilemann 
 Rüdesheimer Straße 11-13, 80686 Munich 
 (the “Lessor”) 
 and 
 FAST Multimedia Aktiengesellschaft 
 Mr. Reiner Bielmeier, Board Representative 
 Rüdesheimer Straße 11-13, 80686 Munich 
 (the “Former Lessee”) 
 and 
 Pinnacle Systems GmbH 
 Mr. Oliver Hellmold and Christoph Schwieter, Authorized Representatives 
 Frankfurter Straße 3 c, 38122 Braunschweig 
 (the “New Lessee”) 
  
 Section
1:  Preamble 
 Under the lease contract of December 19, 1997, Fast Multimedia AG leased property (plot number 8502/5 and a part of plot number 8506) located at
Rüdesheimer Straße 11-13, 80686 Munich. The lease contract was amended six times between 1998-1999. Upon inspection of the leased premises, the parties accepted the lease contract by signing the document prepared by the professional
expert Christian Schiessel. The lease is for the period August 1, 1998 until July 31, 2008, although it may be extended or cancelled in accordance with the provisions in Section 3. According to FAST Multimedia AG, Pinnacle Systems, Inc., 280 North
Bernardo Avenue, Mountatin View, California 94043, U.S.A. took over the property of the Former Lessee on October 1, 2001. FAST Multimedia AG wishes to be discharged from the contract, with Pinnacle Systems GmbH, Frankfurter Straße 3 c, 38122
Braunschweig taking over the lease contract for its European headquarters. 
  
 Section 2:  Assumption of the
Contract 
 Fast Multimedia AG will be discharged from the lease contract described in Section 1 from midnight, November 1, 2001. Pinnacle Systems GmbH of Braunschweig will
assume the lease contract described in Section 1 from midnight, November 1, 2001, in the place of the Former Lessee. The Lessor consents to the assumption of the contract by the New Lessee. All rights and obligations of the Former Lessee will be
transferred to the New Lessee with the result that the New Lessee will be treated as if it had been the lessee from the beginning of the lease contract. Except as outlined here, the Lessor assures that all outstanding obligations until October 31,
2001 are settled and that the Lessor has no claims against the New Lessee arising during this time. The parties agree that repair costs, etc. of the property itself will not be calculated as at November 1, 2001, and that these costs will be directly
assumed by the New Lessee as its own costs. The operational costs and additional costs for the current year will be divided between the Former Lessee and the New Lessee internally, and the New Lessee assumes the duty to pay fully upcoming
operational and additional costs, including 

  
 those costs incurred but not yet due prior to the assumption of the lease. The New Lessee must transfer
a deposit in the amount of 385,082.01 German marks to a German bank as a condition of the lease contract. Because transfer of the stated amount is not possible because of technical reasons on October 31, 2001, the New Lessee must transfer 385,082.01
as a cash deposit to Michael Ehrlich, attorney for the Lessor. This deposit must remain available on a daily basis, shall not accrue interest and should be transferred to the New Lessee upon the provision of the lease contract safety deposit by the
New Lessee. Michael Ehrlich must consent to the parties’ instructions for payment of the deposit he holds, and in the case of dispute between the Lessor and New Lessee, Michael Ehrlich is authorized to transfer the deposit in the form of a
trust to a court of law, whereupon Michael Ehrlich is discharged from obligations under the lease contract deposit. 
  
 Section 3:  Final Provisions 
 The agreement will be governed by German law, and all disputes under the agreement are to be settled by Munich
courts. The agreement consists of the lease contract of December 19, 1997, with its 8 attachments, the agreement to accept the leased property of August 3, 1998 and the various amendments to the lease contract. 
  
 Date and signatures 
  
  
 Industrial Lease Contract 
 between 
 Mr. Horst Theilemann 
 Rüdesheimer Straße 11-13, 80686 Munich 
 (the “Lessor”) 
 and 
 FAST Multimedia
Aktiengesellschaft 
 Mr. Matthias Zahn and Mr. Peter Kronfeld, Board Representatives 
 Landsberger Straße 76, 80339 Munich 
 (the “Lessee”) 
  
 Section 1:  Leased Property 
 The property to be leased is located at Rüdesheimer
Straße 11-13, 80686 Munich (plot number 8502/5 and a part of plot number 8506). The leased property includes a courtyard (subject to the lease with the city of Munich described below), office space, an attic, a basement, a garage, parking
spaces, ramps, and general walkways such as staircases. The leased property does not include certain parking spaces located on the property, and the Lessor retains certain rights of access. The Lessee consents to rent the property as described in
this agreement and is liable for rent, operational costs and additional costs. The Lessor is the owner of the property at Rüdesheimer Straße 11-13. The adjoining courtyard to the property of plot number 8506 belongs in part to the City of
Munich. Under a lease agreement that may be cancelled on an annual basis, the City of Munich has leased the adjoining courtyard to the property of plot number 8506 to the Lessor. If the lease between the Lessor and the City of Munich of the
adjoining courtyard to the property of plot number 8506 is cancelled for any reason, the said property will no longer be included in the lease between the Lessor and Lessee, the monthly rent will be adjusted downward although the Lessee will have no

  
 claims of damages or further compensation, the remainder of this lease between the Lessor and Lessee
remains valid for all other leased property described herein with the exception of the courtyard leased to the Lessor by the City of Munich. The Lessor has consented to the Lessee’s plans to replace the locks and keys to the property with an
electronic card system. Upon assumption of the lease, the Lessee bears the burden of any changes to the leased property required by the Lessee for use of the property. The Lessor assumes no liability for any public law prerequisites or licenses
applicable to the Lessee’s use of the property. Prior to the beginning of the lease period, the Lessor, at his own costs, will renovate the property. 
  
 Section 2:  Purpose of the Lease 
 The property to be leased will be used as offices and work areas for
electronics development, production and storage. The Lessee agrees to use the property for these purposes only, and if the property is used by a third party, the third party must also use the property for the same purposes only. The Lessee may not
sublet the property without the Lessor’s permission, and the Lessor may not withhold his permission except for important reasons. The Lessor may also withdraw his permission for important reasons. The same terms of this lease agreement will
apply to any sublets. 
  
 Section 3:  Period, Assumption and Cancellation of the Lease 

The lease begins on August 1, 1998, and the property will be available no later than August 1, 1998 or the Lessor must pay damages, which will be no higher than 1,000,000 German marks. The
lease is for ten years and ends on May 31, 2008 although the lease will be automatically extended each year thereafter for periods of one year only unless either of the parties cancels in writing no less than 12 months before the end of the lease.
The lease may not be cancelled during the agreed upon time except for important reasons set out in the lease contract. If the Lessor is unable to rent the property or only able to rent the property at a lower price following a cancellation for
important reasons, the Lessee is liable for the difference the Lessor would have received if the property had been rented for the contract price. 
  
 Section 4:  Rent 
 The gross cost of the rent is 128,360.70 German marks including VAT monthly, and the Lessee is responsible for all
operational and additional costs. The rent is to be paid to the Lessor’s bank account. The rent may be adjusted upward or downward according to a prescribed formula in the lease agreement to reflect changes in the cost of living as determined
by the index for the cost of living for private Households of the Federal Office of Statistics (Statistisches Bundesamt). The Lessee may only demand a reduction of rent in writing. The rent and additional costs must be received in the Lessor’s
bank account no later than the third workday of each month. 
  
 Sections 5-7:  Condition of the Property,
Deposit and Insurance 
 The Lessee is responsible for keeping the property in good condition. The Lessee must provide a safety deposit of 385,082.10 German marks. The Lessee
is responsible for holding adequate insurance for the period of the lease. 
  
 Sections 8-10:  Use of the
Garage, Signs and Mailboxes, and Licenses 
 The garage may be used for keeping vehicles there, and the Lessee is required to use reasonable care to avoid damage and will be
liable for any such damage. The wall spaces outside the property rented are not included in the lease. The Lessee may hang 

  
 signs and a mailbox at prescribed locations, and the Lessee is responsible for any costs associated with
such. The Lessor will not be liable for damages with regard to any licenses for the Lessee. 
  
 Sections
11-14:  Maintenance and Changes in the Property and Entry into the Property 
 The Lessee is responsible for keeping the property clean and in good condition and is
liable for any damage to the property. The Lessor is required to make house improvements such as painting, hanging wallpaper, etc. at regular intervals of 5 years. Changes in the property by the Lessee are only allowed with the Lessor’s
permission, and the Lessee is responsible for securing any necessary licenses. The Lessor retains the right to make improvements on the property during the term of the lease, even without obtaining the consent of the Lessee although the Lessor is
required to give the Lessee notice before such improvements are made. The Lessor has the right to show other potential tenants the property during normal business hours after obtaining the Lessee’s permission. 
  
 Section 15:  Termination of the Lease 
 Upon termination
of the lease, the Lessee must make certain repairs, including painting the walls and installing new carpet. The Lessee must leave the property in clean and good condition upon termination of the lease. The Lessee is responsible for taking away any
items installed in or on the property by him during the tenancy. The Lessor may store items left on the premises after termination of the lease at the Lessee’s expense or auction them or dispose of them. 
  
 Sections 16-20:  Other Details 
 The Lessee assumes the
general liability for damage to third parties in connection with the premises and is responsible for keeping the walkways around the property clear, including removing snow in the winter. The Lessee must follow the rules of the house. The Lessee
must inform the Lessor without delay of any legal changes to the form of the Lessee. If the Lessee’s business in part or whole is transferred to another, this lease agreement is not transferred also unless the Lessor gives his prior permission.
If the cancellation agreement concerning the lease between the Lessor and Signalbau Huber AG (the former lessee) is not shown to the Lessee by the Lessor in a prescribed period of time, the Lessee and Lessor have respective cancellation rights
ending on February 28, 1998 at the latest. 
  
 Section 20:  Final Provisions 
 The agreement will be governed by German law, and all disputes under the agreement are to be settled by Munich courts. 
  
 Date and signatures

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00043-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00043-of-00352.parquet"}]]