Document:

EX-10.17

 Exhibit 10.17 
  

EMPLOYEE NONDISCLOSURE AND ASSIGNMENT AGREEMENT 

 

 This Agreement formalizes in writing certain understandings and procedures which have been in
effect since the time I was initially employed by Penumbra, Inc. (“Company”). 
 1. Duties. In return for the compensation
now and hereafter paid to me, I will perform such duties for Company as the Company may designate from time to time. During my employment with Company, I will devote my best efforts to the interests of Company, will not engage in other employment or
in any activities that Company determines to be detrimental to its best interests and will otherwise abide by all of Company’s policies and procedures. Furthermore, I will not (a) reveal, disclose or otherwise make available to any person
any Company password or key, whether or not the password or key is assigned to me or (b) obtain, possess or use in any manner a Company password or key that is not assigned to me. I will use my best efforts to prevent the unauthorized use of
any laptop or personal computer, peripheral device, software or related technical documentation that the Company issues to me, and I will not input, load or otherwise attempt any unauthorized use of software in any Company computer, whether or not
such computer is assigned to me. 
 2. “Proprietary Information” Definition. “Proprietary Information” includes
(a) any information that is confidential or proprietary, technical or non-technical information of Company, including for example and without limitation, information related to Innovations (as defined in Section 4 below), concepts,
techniques, processes, methods, systems, designs, computer programs, source documentation, trade secrets, formulas, development or experimental work, work in progress, forecasts, proposed and future products, marketing plans, business plans,
customers and suppliers and any other nonpublic information that has commercial value or (b) any information Company has received from others that Company is obligated to treat as confidential or proprietary, which may be made known to me by
Company, a third party or otherwise that I may learn during my employment with Company.

 3. Ownership and Nondisclosure of Proprietary Information. All Proprietary Information is
the sole property of Company, Company’s assigns, Company’s customers and Company’s suppliers, as applicable. Company, Company’s assigns, Company’s customers and Company’s suppliers, as applicable, are the sole and
exclusive owners of all patents, copyrights, mask works, trade secrets and other rights in and to the Proprietary Information. I will not disclose any Proprietary Information to anyone outside Company, and I will use and disclose Proprietary
Information to those inside Company only as may be necessary in the ordinary course of performing my duties as an employee of Company. If I have any questions as to whether information constitutes Proprietary Information, or to whom, if anyone,
inside Company, any Proprietary Information may be disclosed, I will consult with my manager at Company. 
 4. “Innovations”
Definition. In this Agreement, “Innovations” means all discoveries, designs, developments, improvements, inventions (whether or not protectable under patent laws), works of authorship, information fixed in any tangible medium of
expression (whether or not protectable under copyright laws), trade secrets, know-how, ideas (whether or not protectable under trade secret laws), mask works, trademarks, service marks, trade names and trade dress. 

5. Disclosure and License of Prior Innovations. I have listed on Exhibit A (“Prior Innovations”) attached hereto
all Innovations relating in any way to Company’s business or demonstrably anticipated research and development or business, which were conceived, reduced to practice, created, derived, developed, or made by me prior to my employment with
Company (collectively, the “Prior Innovations”). 

 

  
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I represent that I have no rights in any such Company-related Innovations other than those Innovations listed in Exhibit A (“Prior Innovations”). If nothing is listed on
Exhibit A (“Prior Innovations”), I represent that there are no Prior Innovations at the time of signing this Agreement. I hereby grant to Company and Company’s designees a royalty-free, irrevocable, worldwide, fully
paid-up license (with rights to sublicense through multiple tiers of sublicensees) to practice all patent, copyright, moral right, mask work, trade secret and other intellectual property rights relating to any Prior Innovations that I incorporate,
or permit to be incorporated, in any Innovations that I, solely or jointly with others, conceive, develop or reduce to practice during my employment with Company (the “Company Innovations”). Notwithstanding the foregoing, I will not
incorporate, or permit to be incorporated, any Prior Innovations in any Company Innovations without Company’s prior written consent. 

6. Disclosure and Assignment of Company Innovations. I will promptly disclose and describe to Company all Company Innovations. I hereby
do and will assign to Company or Company’s designee all my right, title, and interest in and to any and all Company Innovations. To the extent any of the rights, title and interest in and to Company Innovations cannot be assigned by me to
Company, I hereby grant to Company an exclusive, royalty-free, transferable, irrevocable, worldwide license (with rights to sublicense through multiple tiers of sublicensees) to practice such non-assignable rights, title and interest. To the extent
any of the rights, title and interest in and to Company Innovations can neither be assigned nor licensed by me to Company, I hereby irrevocably waive and agree never to assert such non-assignable and non-licensable rights, title and interest against
Company or any of Company’s successors in interest. This Section 6 shall not apply to any Innovations that (a) do not relate, at the time of conception, reduction to practice, creation, derivation, development or making of such
Innovation to Company’s business or actual or demonstrably anticipated research, development or business; and (b) were developed entirely on my own time; and

 
(c) were developed without use of any of Company’s equipment, supplies, facilities or trade secret information; and (d) did not result from any work I performed for Company. 

7. Future Innovations. I will disclose promptly in writing to Company all Innovations conceived, reduced to practice, created, derived,
developed, or made by me during the term of my employment and for three (3) months thereafter, whether or not I believe such Innovations are subject to this Agreement, to permit a determination by Company as to whether or not the Innovations
should be considered Company Innovations. Company will receive any such information in confidence. 
 8. Notice of Nonassignable
Innovations to Employees in California. This Agreement does not apply to an Innovation that qualifies fully as a nonassignable invention under the provisions of Section 2870 of the California Labor Code. I acknowledge that a condition for
an Innovation to qualify fully as a non-assignable invention under the provisions of Section 2870 of the California Labor Code is that the invention must be protected under patent laws. I have reviewed the notification in Exhibit B
(“Limited Exclusion Notification”) and agree that my signature acknowledges receipt of the notification. 
 9. Cooperation in
Perfecting Rights to Innovations. I agree to perform, during and after my employment, all acts that Company deems necessary or desirable to permit and assist Company, at its expense, in obtaining and enforcing the full benefits, enjoyment,
rights and title throughout the world in the Innovations as provided to Company under this Agreement. If Company is unable for any reason to secure my signature to any document required to file, prosecute, register or memorialize the assignment of
any rights or application or to enforce any right under any Innovations as provided under this Agreement, I hereby irrevocably designate and appoint Company and Company’s duly authorized officers and agents as my agents and attorneys-in-fact to act for and on my behalf and instead of me to take all lawfully permitted acts

 

  
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to further the filing, prosecution, registration, memorialization of assignment, issuance, and enforcement of rights under such Innovations, all with the same legal force and effect as if
executed by me. The foregoing is deemed a power coupled with an interest and is irrevocable. 
 10. Return of Materials. At any time
upon Company’s request, and when my employment with Company is over, I will return all materials (including, without limitation, documents, drawings, papers, diskettes and tapes) containing or disclosing any Proprietary Information (including
all copies thereof), as well as any keys, pass cards, identification cards, computers, printers, pagers, personal digital assistants or similar items or devices that the Company has provided to me. I will provide Company with a written certification
of my compliance with my obligations under this Section. 
 11. No Violation of Rights of Third Parties. During my employment with
Company, I will not (a) breach any agreement to keep in confidence any confidential or proprietary information, knowledge or data acquired by me prior to my employment with Company or (b) disclose to Company, or use or induce Company to
use, any confidential or proprietary information or material belonging to any previous employer or any other third party. I am not currently a party, and will not become a party, to any other agreement that is in conflict, or will prevent me from
complying, with this Agreement. 
 12. Survival. This Agreement (a) shall survive my employment by Company; (b) does not in
any way restrict my right to resign or the right of Company to terminate my employment at any time, for any reason or for no reason; (c) inures to the benefit of successors and assigns of Company; and (d) is binding upon my heirs and legal
representatives. 
 13. No Solicitation. During my employment with Company and for one (1) year thereafter, I will not solicit,
encourage, or cause others to solicit or encourage any employees of Company to terminate their employment with Company.

 14. No Disparagement. During my employment with Company and after the termination
thereof, I will not disparage Company, its products, services, agents or employees. 
 15. Injunctive Relief. I agree that if I
violate this Agreement, Company will suffer irreparable and continuing damage for which money damages are insufficient, and Company shall be entitled to injunctive relief and/or a decree for specific performance, and such other relief as may be
proper (including money damages if appropriate). 
 16. Notices. Any notice required or permitted by this Agreement shall be in
writing and shall be delivered as follows, with notice deemed given as indicated: (a) by personal delivery, when actually delivered; (b) by overnight courier, upon written verification of receipt; (c) by facsimile transmission, upon
acknowledgment of receipt of electronic transmission; or (d) by certified or registered mail, return receipt requested, upon verification of receipt. Notices to me shall be sent to any address in Company’s records or such other address as
I may provide in writing. Notices to Company shall be sent to Company’s Human Resources Department or to such other address as Company may specify in writing. 

17. Governing Law; Forum. This Agreement shall be governed by the laws of the United States of America and by the laws of the State of
California, as such laws are applied to agreements entered into and to be performed entirely within California between California residents. Company and I each irrevocably consent to the exclusive personal jurisdiction of the federal and state
courts located in California, as applicable, for any matter arising out of or relating to this Agreement, except that in actions seeking to enforce any order or any judgment of such federal or state courts located in California, such personal
jurisdiction shall be nonexclusive. 

 

  
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 18. Severability. If a court of law holds any provision of this Agreement to be
illegal, invalid or unenforceable, (a) that provision shall be deemed amended to provide Company the maximum protection permitted by applicable law and (b) the legality, validity and enforceability of the remaining provisions of this
Agreement shall not be affected. 
 19. Waiver; Modification. If Company waives any term, provision or breach by me of this
Agreement, such waiver shall not be effective unless it is in writing and signed by

 
Company. No waiver shall constitute a waiver of any other or subsequent breach by me. This Agreement may be modified only if both Company and I consent in writing. 

20. Entire Agreement. This Agreement represents my entire understanding with Company with respect to the subject matter of this
Agreement and supersedes all previous understandings, written or oral. 

 

  
 I certify and acknowledge
that I have carefully read all of the provisions of this Agreement and that I understand and will fully and faithfully comply with such provisions. 
  

							
	“COMPANY”		EMPLOYEE:
		
	PENUMBRA, INC.		  

							
	By:		  
		By:		  

				
	Title		  
		Title		  

				
	Dated:		  
		Dated:		  

  
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 Exhibit A 

PRIOR INNOVATIONS 
 Check one of the following:

  

	 ̈	NO SUCH PRIOR INNOVATIONS EXIST. 

 OR 

 

	 ̈	YES, SUCH PRIOR INNOVATIONS EXIST AS DESCRIBED BELOW (include basic description of each Prior Innovation): 

 Exhibit B 

LIMITED EXCLUSION NOTIFICATION TO EMPLOYEES IN CALIFORNIA 

THIS IS TO NOTIFY you in accordance with Section 2872 of the California Labor Code that the foregoing Agreement between you and Company
does not require you to assign or offer to assign to Company any invention that you developed entirely on your own time without using Company’s equipment, supplies, facilities or trade secret information except for those inventions that either:

 (1) Relate at the time of conception or reduction to practice of the invention to Company’s business, or actual or demonstrably
anticipated research or development of Company; or 
 (2) Result from any work performed by you for Company. 

To the extent a provision in the foregoing Agreement purports to require you to assign an invention otherwise excluded from the preceding
Section, the provision is against the public policy of California and is unenforceable. 
 This limited exclusion does not apply to any
patent or invention covered by a contract between Company and the United States or any of its agencies requiring full title to such patent or invention to be in the United States. 

I ACKNOWLEDGE RECEIPT of a copy of this notification. 
  

							
	PENUMBRA, INC.		By:		  

			
	By:		  
		  

					(Printed Name of Employee)
				
	Title		  
				
				
	Date:		  
		Date:EX-10.18

 Exhibit 10.18 

PENUMBRA, INC. 

EMPLOYEE STOCK PURCHASE PLAN 

Section 1. Purpose of the Plan. 

The purpose of this Penumbra, Inc. Employee Stock Purchase Plan (the “Plan”) is to provide Eligible Employees (as defined
below) with an opportunity to acquire an equity interest in Penumbra, Inc. (the “Company”) by purchasing shares of the Company’s common stock (the “Stock”) in a convenient manner. This Plan is intended to
qualify under Section 423 of the Internal Revenue Code of 1986, as amended (the “Code”). This Plan is effective on the the effective date of the registration statement on Form S-1 (the “Registration Statement”)
filed by the Company with the Securities and Exchange Commission for its initial offering of Stock to the public (the “Effective Date”). 

Section 2. Administration of the Plan. 

(a) Committee Composition. The Plan shall be administered by the Board of Directors (the “Board”) or by a committee of
the Board designated to administer this Plan (the “Committee”). Unless otherwise determined by the Board, the Compensation Committee of the Board shall be the “Committee” hereunder. To the extent permitted by law, the
Committee may delegate responsibilities for day-to-day administration of the Plan to one or more officers of the Company. 
 (b)
Committee Responsibilities. 
 (i) The Committee shall interpret the Plan and make all other policy decisions relating
to the operation of the Plan. The Committee may adopt such rules, guidelines and forms as it deems appropriate to implement the Plan. The Committee’s determinations under the Plan shall be final and binding on all persons. 

(ii) The Committee may determine the Participating Companies hereunder from time to time. A “Participating
Company” means (i) the Company and (ii) each present or future Subsidiary designated by the Committee as a Participating Company. A “Subsidiary” means a “subsidiary corporation” of the Company as defined in
Section 424(f) of the Code. 
 Section 3. Enrollment and Participation. 

(a) Offering Periods. An “Offering Period” means a period with respect to which the right to purchase Stock may be
granted under the Plan, as determined pursuant to this Section 3(a). Unless and until otherwise determined by the Committee, two Offering Periods shall commence in each calendar year on each May 20 and November 20, and each Offering Period shall
consist of one Purchase Period; provided, however, that the first Offering Period under the Plan will commence on the Effective Date and will end on May 19, 2016, and the second Offering Period under the Plan will commence

  
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on May 20, 2016, and end on November 19, 2016. The duration and timing of Offering Periods may be changed pursuant to Sections 4 and 20.. The Committee may change the duration of Offering Periods
if such change is announced prior to the scheduled beginning of the first Offering Period to be affected; provided that no Offering Period may be longer than 27 months. An “Offering Date” means the first day of each Offering
Period. 
 (b) Purchase Periods. A “Purchase Period” means a period during which contributions may be made toward
the purchase of Stock under the Plan, as determined pursuant to this Section 3(b). Unless and until otherwise determined by the Committee, the Purchase Periods shall consist of the six-month periods commencing on each May 20 and November 20 and
ending on November 19 and May 19, respectively; provided, however, that the first Purchase Period under the Plan will commence on the Effective Date and will end on May 19, 2016, and the second Purchase Period under the Plan will commence on May 20,
2016, and end of November 19, 2016. The Committee may change the duration and timing of Purchase Periods at any time if such change is announced prior to the scheduled beginning of the first Purchase Period to be affected; provided that no
Purchase Period may be longer than 27 months. A “Purchase Date” means the last day of each Purchase Period (or, if such day is not a trading day, the trading day immediately preceding such day). 

(c) Eligibility and Enrollment. 

(i) An “Eligible Employee” means any employee of a Participating Company; provided that the Committee,
in its discretion, from time to time (i) may determine that Eligible Employees who customarily work twenty (20) hours or less per week or not more than five (5) months in any calendar year (or, in each case, such lesser period of time as may be
determined by the Committee in its discretion) shall not be included in the Plan or an Offering Period and (ii) may exclude employees that fall into an excludable category as described in Section 423 of the Code and the regulations thereunder. The
foregoing notwithstanding, an individual shall not be considered an Eligible Employee if his or her participation in the Plan is prohibited by the law of any country that has jurisdiction over him or her or if complying with the laws of the
applicable jurisdiction would cause the Plan or an Offering Period to violate Section 423 of the Code. 
 (ii) Any individual
who, on the day preceding the first day of an Offering Period, qualifies as an Eligible Employee may elect to become a participant in the Plan for such Offering Period by, prior to the commencement of such Offering Period, following the procedures
specified by the Company in the manner and by the deadline specified by the Company from time to time. An Eligible Employee who so elects to participate in the Plan is referred to herein as a “Participant”. The Company shall
establish an account on its books for each such Participant (a “Plan Account”). 
 (iii) Notwithstanding the
foregoing, any individual who is an Eligible 

  
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Employee immediately prior to the first Offering Period will be automatically enrolled in the first Offering Period. Any such Eligible Employee will be entitled to continue to participate in the
first Offering Period only if such individual submits a subscription form in the form prescribed by the Company (i) no earlier than the effective date of the Form S-8 registration statement with respect to the issuance of Stock under this Plan and
(ii) no later than ten (10) business days following the effective date of such S-8 registration statement or such other period of time as the Administrator may determine (the “Initial Enrollment Period”). An Eligible Employee’s
failure to submit the subscription form during the Initial Enrollment Period will result in the automatic termination of such individual’s participation in the first Offering Period. 

(d) Duration of Participation. Once enrolled in the Plan, a Participant shall continue to participate in the Plan until he or she
ceases to be an Eligible Employee or withdraws from the Plan under Section 5(a). 
 Section 4. Participant Contributions. 

(a) Frequency of Payroll Deductions. A Participant may purchase shares of Stock under the Plan solely by means of payroll deductions.
Payroll deductions, as designated by the Participant pursuant to Subsection (b) below, shall occur on each payday during participation in the Plan; provided that for the first Offering Period, payroll deductions will commence on the first
payday on or following the end of the Initial Enrollment Period. 
 (b) Amount of Payroll Deductions. As part of the enrollment
procedures described in Section 3(c) above, an Eligible Employee shall designate the portion of his or her Compensation (as defined below) that he or she elects to have withheld on each payday during the applicable Purchase Period for the purchase
of Stock. Such portion shall be a whole percentage of the Eligible Employee’s Compensation, but not less than 1% nor more than 15%. For purposes of this Plan, “Compensation” means all base straight-time gross earnings,
exclusive of commissions, payments for incentive compensation, bonuses, overtime, shift premium and other similar compensation, unless otherwise determined by the Committee on a uniform and nondiscriminatory basis; provided that the Committee
shall have the discretion to determine the application of this definition to Participants outside the United States. 
 (c) Changing
Withholding Rate. Unless otherwise specified by the Company prior to any Purchase Period: (i) if a Participant wishes to increase or decrease the rate of payroll withholding to be effective for the next Purchase Period, he or she may do so,
subject to the limits set forth in clause (b) above, by following the procedures specified by the Company in the manner and by the deadline specified by the Company from time to time; and (ii) if a Participant wishes to decrease the rate of payroll
withholding to be effective during an ongoing Purchase Period, he or she may do so one (1) time during a Purchase Period by following the procedures specified by the Company in the manner and by the deadline specified by the Company from time to
time; provided that such decreased withholding rate shall be subject to the limits set forth in clause (b) above unless otherwise determined by the Company. 

  
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 Section 5. Withdrawal from the Plan. 

(a) Withdrawal. A Participant may elect to withdraw from the Plan by following the procedures specified by the Company in the manner
and by the deadline specified by the Company from time to time. As soon as reasonably practicable thereafter, payroll deductions shall cease and the entire amount credited to the Participant’s Plan Account shall be refunded to him or her in
cash, without interest. No partial withdrawals shall be permitted. 
 (b) Re-enrollment After Withdrawal. A former Participant who
has withdrawn from the Plan shall not be a Participant until he or she re-enrolls in the Plan under Section 3(c). Re-enrollment may be effective only at the commencement of the next Offering Period. 

Section 6. Change in Employment Status. 

(a) Termination of Employment. Termination of employment as an Eligible Employee for any reason, including death, shall be treated as
an automatic withdrawal from the Plan under Section 5(a). A transfer of employment from one Participating Company to another Participating Company shall not be treated as a termination of employment. 

(b) Leave of Absence. For purposes of the Plan, and to the extent consistent with Section 423 of the Code, employment shall not be
deemed to terminate when the Participant goes on a military leave, a sick leave or another bona fide leave of absence approved by the Participating Company so long as the leave does not exceed three months or, if longer than three months, the
individual’s right to reemployment is provided by statute or has been agreed to by contract or in a written policy of the Company which provides for a right of reemployment following the leave of absence. 

(c) Death. In the event of the Participant’s death, the amount credited to his or her Plan Account shall be paid to a beneficiary
designated by him or her for this purpose on the prescribed form or, if none, to the Participant’s estate. Such form shall be valid only if, before the Participant’s death, it was filed with the Company in accordance with the
Company’s procedures. 
 Section 7. Plan Accounts and Purchase of Shares. 

(a) Plan Accounts. The Company shall maintain a Plan Account on its books in the name of each Participant. Whenever an amount is
deducted from the Participant’s Compensation under the Plan, such amount shall be credited to the Participant’s Plan Account. Amounts credited to Plan Accounts shall not be trust funds and may be commingled with the Company’s general
assets and applied to general corporate purposes. No interest shall be credited to Plan Accounts. 

  
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 (b) Purchase Price. The “Purchase Price” means the price at which
Participants may purchase a share of Stock under the Plan, which unless otherwise determined by the Committee, shall be the lower of: 

(i) 85% of the Fair Market Value of a share of Stock on the Purchase Date; or 

(ii) 85% of the Fair Market Value of a share of Stock on the Offering Date (of, if the Offering Date, other than for the first
Offering Period, is not a trading day, on the first trading day following the Offering Date); 
 provided that the “Fair Market Value”
shall be equal to the closing price of the Stock on the stock exchange on the date in question or, if the foregoing provision is not applicable, then as determined by the Committee in good faith on such basis as it deems appropriate; provided
further that for purposes of the first Offering Period, the “Fair Market Value” will be the initial price to the public as set forth in the final prospectus included within the Registration Statement. 

(c) Number of Shares Purchased. As of each Purchase Date, each Participant shall be deemed to have elected to purchase the number of
shares of Stock calculated in accordance with this Plan, unless the Participant has previously elected to withdraw from the Plan in accordance with Section 5(a). Subject to the limits set forth in Section 8 below, the amount then in the
Participant’s Plan Account shall be divided by the Purchase Price, and the number of shares that results shall be purchased with the funds in the Participant’s Plan Account. The Committee may determine with respect to all Participants that
any fractional share, as calculated under this subsection (c), shall be (i) rounded down to the next lower whole share or (ii) credited as a fractional share. 

(d) Available Shares Insufficient. In the event that the aggregate number of shares that all Participants elect to purchase during an
Purchase Period exceeds the maximum number of shares remaining available for issuance under Section 13(a), then the number of shares to which each Participant is entitled shall be determined by multiplying the number of shares available for issuance
by a fraction, the numerator of which is the number of shares that such Participant has elected to purchase and the denominator of which is the number of shares that all Participants have elected to purchase. 

(e) Delivery of Shares. By enrolling in the Plan, each Participant shall be deemed to have authorized the establishment of a brokerage
account on his or her behalf at a securities brokerage firm selected by the Committee. Alternatively, the Committee may provide for a Plan share account for each Participant to be established by the Company or by an outside entity selected by the
Company which is not a brokerage firm. As soon as reasonably practicable after each Purchase Date, the Company shall arrange for the delivery to each Participant of the shares purchased hereunder to the Participant’s brokerage or Plan share
account in a form determined by the Company. Notwithstanding any other provision of the Plan, unless otherwise determined by the Committee or required by any applicable law, rule or regulation, the Company shall not deliver to any

  
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Participant certificates evidencing shares issued in connection with any purchase under the Plan, and instead such shares shall be recorded in the books of the brokerage firm selected by the
Company or, as applicable, the Company, its transfer agent, stock plan administrator or such other outside entity which is not a brokerage firm. 

(f) Unused Cash Balances. Following the end of any Purchase Period, any amount remaining in the Participant’s Plan Account shall,
at the discretion of the Committee, either be refunded to the Participant in cash, without interest, or be retained in the Participant’s Plan Account for the next Purchase Period but only to the extent representing the unused Purchase Price for
fractional shares. 
 (g) Stockholder Approval. Any other provision of the Plan notwithstanding, no shares of Stock shall be
purchased under the Plan unless and until the Company’s stockholders have approved the adoption of the Plan. 
 Section 8.
Limitations on Stock Purchases Under the Plan. 
 (a) Share Limit. With respect to any Purchase Period, no Participant shall
purchase more than 20001 This can be any number. shares of Stock (or such other number of shares of Stock as may be determined by the Committee prior to the start of any Purchase Period). 

(b) Dollar Limit. No Participant shall be granted a purchase right under the Plan which permits his or her rights to purchase stock
under all employee stock purchase plans under Section 423 of the Code of the Company and its Subsidiaries to accrue at a rate which exceeds $25,000 of fair market value of such stock (determined at the time the purchase right is granted) for each
calendar year in which such purchase right is outstanding at any time, as determined under Section 423 of the Code and the applicable rules and regulations thereunder. If a Participant is precluded by this subsection (b) from purchasing additional
Stock under the Plan, then his or her employee contributions shall automatically be discontinued and shall resume at the beginning of the earliest Purchase Period ending in the next calendar year (if he or she then is an Eligible Employee). 

(c) Limit on Five Percent Holders. Any other provision of the Plan notwithstanding, no Participant shall be granted a right to purchase
Stock under the Plan if such Participant, immediately after his or her election to purchase such Stock, would own stock and/or hold outstanding purchase rights to purchase stock possessing 5% or more of the total combined voting power or value of
all classes of stock of the Company or any parent or Subsidiary of the Company, determined pursuant to Section 423 of the Code. 
 Section
9. Rights Not Transferable. 
 The rights of any Participant under the Plan, or any Participant’s interest in any Stock or
moneys to which he or she may be entitled under the Plan, shall not be 
   

 

	1 	This can be any number. 

  
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transferable by voluntary or involuntary assignment or by operation of law, or in any other manner other than by beneficiary designation or the laws of descent and distribution. If a Participant
in any manner attempts to transfer, assign or otherwise encumber his or her rights or interest under the Plan, other than by beneficiary designation or the laws of descent and distribution, then such act shall be treated as an election by the
Participant to withdraw from the Plan under Section 5(a). 
 Section 10. No Rights as an Employee. 

Nothing in the Plan or in any right granted under the Plan shall confer upon the Participant any right to continue in the employ of a
Participating Company for any period of specific duration or interfere with or otherwise restrict in any way any rights of the Participating Companies or of the Participant to terminate his or her employment at any time and for any reason, with or
without cause. 
 Section 11. No Rights as a Stockholder. 

A Participant shall have no rights as a stockholder with respect to any shares of Stock that he or she may have a right to purchase under the
Plan until such shares have been purchased on the applicable Purchase Date and issued to the Participant. 
 Section 12. Securities Law
Requirements. 
 Shares of Stock shall not be issued under the Plan unless the issuance and delivery of such shares comply with (or are
exempt from) all applicable requirements of law, including (without limitation) the Securities Act of 1933, as amended, the rules and regulations promulgated thereunder, state securities laws and regulations, and the regulations of any stock
exchange or other securities market on which the Company’s securities may then be traded. 
 Section 13. Stock Offered under the
Plan. 
 (a) Authorized Shares. The aggregate number of shares of Stock available for purchase under the Plan as of the Effective
Date shall be 600,000 subject to adjustment pursuant to Section 13(b). The number of Shares available for issuance under the Plan will be increased on the first day of each fiscal year of the Company beginning with the 2016 fiscal year and ending
with the 2025 fiscal year, in an amount equal to the least of (i) 500,000 Shares, (ii) 1% of the outstanding Shares on the last day of the immediately preceding fiscal year or (iii) such number of Shares determined by the Board. 

(b) Antidilution Adjustments. The aggregate number of shares of Stock offered under the Plan, the share limitation described in Section
8(a) and the price of shares that any Participant has elected to purchase shall be adjusted proportionately by the Committee for any increase or decrease in the number of outstanding shares of Stock resulting from a subdivision or consolidation of
shares or the payment of a stock dividend, any other increase or decrease in such shares effected without receipt or payment of consideration by the Company, the distribution of the shares of a Subsidiary to the Company’s stockholders or a
similar event. 

  
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 (c) Reorganizations. 

(i) “Corporate Reorganization” means: 

(A) The consummation of a merger or consolidation of the Company with or into another entity, or any other corporate
reorganization; or 
 (B) The sale, transfer or other disposition of all or substantially all of the Company’s assets or
the complete liquidation or dissolution of the Company. 
 (ii) Any other provision of the Plan notwithstanding, prior to the
effective time of a Corporate Reorganization, any Offering Period and Purchase Period then in progress shall terminate and shares shall be purchased pursuant to Section 7 on a date prior to such effective time as determined by the Committee in its
sole discretion, unless the Plan is continued by the Company or assumed by the surviving corporation or its parent corporation pursuant to the plan of merger or consolidation. The Plan shall in no event be construed to restrict in any way the
Company’s right to undertake a dissolution, liquidation, merger, consolidation or other reorganization. 
 Section 14. Amendment or
Discontinuance. 
 The Board or the Committee shall have the right to amend, suspend or terminate the Plan at any time and without
notice. Except as provided in Section 13, any increase in the aggregate number of shares of Stock to be issued under the Plan shall be subject to approval by a vote of the stockholders of the Company, and no amendment shall be made which shall allow
a Purchase Price for offerings under the Plan to be less than the lower of (i) 85% of the Fair Market Value on the Offering Date or (ii) 85% of the Fair Market Value on the Purchase Date. The Committee may adopt and amend stock purchase sub-plans
with respect to employees of non-U.S. Subsidiaries with such provisions as the Committee may deem appropriate to conform with local laws, practices and procedures. All such sub-plans shall be subject to the limitations on the amount of Stock that
may be issued under the Plan and, except to the extent otherwise provided in such sub-plans, shall be subject to all of the provisions set forth herein but shall be considered separate offerings under the Plan. 

  
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