Document:

exv10w2

EXHIBIT 10.2

April 5, 2011

Tim Sullivan

c/o Ancestry.com Inc.

360 West 4800 North

Provo, Utah 84604

Dear Tim:

I am pleased to provide the following update to the elements of the remuneration package for your
position as President and Chief Executive Officer for Ancestry.com Inc. (the “Company”) reporting
to the Board of Directors and based in our corporate office in Provo, Utah as set forth in this
agreement (the “Agreement”) as follows:

	 	 	 
	Salary:

	 	$350,000 annualized, payable semi-monthly according to normal
Company payroll policy.

	 
	 	 
	Bonus:

	 	Target and potential maximum annual bonus shall be a percentage of
Salary as determined by the Board of Directors of the Company (the
“Board”) upon recommendation of the Compensation Committee of the
Board (the “Compensation Committee”) based upon your performance
against the Company financial performance goals and individual
performance goals, if any, established by the Board per the terms
and conditions of the Company’s Performance Incentive Program.
Notwithstanding the foregoing, your minimum target bonus shall be
100% of Salary. You must be employed by the Company at the time
of the bonus payout in order to receive the payout.

	 
	 	 
	Term:

	 	Your full-time employment with the Company will continue under the
terms of this Agreement effective as of April 5, 2011 (the
“Effective Date”) and will continue through the five (5) year
anniversary of the Effective Date (the “Expiration Date”).

	 
	 	 
	Equity:

	 	We will recommend that the Board grant you an award of 150,000
restricted stock units and an option representing the right to
acquire 300,000 shares of common stock under the terms of the
Company’s 2009 Stock Incentive Plan, in each case on the first
date after the Effective Date upon which grants may be made under
the Company’s equity issuance policy. Except as otherwise
provided herein, the restricted stock units and the stock option
will each vest with respect to 33% of the shares represented by
such award on each of the third and fourth anniversary of the date
of grant, and will vest as to 34% of each award on the fifth
anniversary of the date of grant of the award. Your award of
restricted stock units and options will be subject to the terms
and conditions of the 2009 Stock Incentive Plan and the form of
Restricted Stock Unit Agreement and Option Agreement most recently
approved by the Compensation Committee. Any future equity award
grants will be at the sole discretion of the Compensation
Committee.

 

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In addition to the foregoing, you have the opportunity to continue to participate in all available
benefits offered generally to employees of the Company from time to time. These currently include
paid time off,
holidays, health, dental, life, disability, a Section 125 cafeteria plan, tuition reimbursement and
the Company’s 401(k) retirement plan, all subject to the Company’s policies and procedures. The
scope and extent of employee benefits offered by the Company may change from time to time. As a
condition to your employment by the Company, you will execute and be bound by the Company’s
standard Agreement to Protect Company Property, including, but not limited to, the restrictive
covenants and confidentiality provisions therein.

Notwithstanding the term described above, your employment under this Agreement constitutes “at
will” employment with the Company. Both you and the Company are free to terminate our at-will
employment relationship at any time (including before the Expiration Date) for any reason, with or
without cause and with or without notice. Notwithstanding the foregoing, if the Company terminates
your employment without Cause (and other than as a result of your death or disability) or you
resign for Good Reason, you will be eligible for a severance package as follows:

Non-CIC Cash Severance. Following such separation from service, the Company will pay you a
severance amount equal to the sum of (x) twelve (12) months of Salary and (y) one time your Average
Annual Bonus (the sum of (x) and (y), the “Non-CIC Cash Severance”). The Company will pay you the
Non-CIC Cash Severance in twelve (12) equal monthly installments commencing on the first regular
Company payroll period after the Release Deadline (as defined below) and continuing on the monthly
anniversary thereof (or the last day of the month), subject to any payment delay necessary to avoid
adverse consequences under Section 409A, as described below. For purposes of this Agreement,
“Average Annual Bonus” means the average annual bonus earned by you under the Company’s Performance
Incentive Program (or any successor annual bonus program) for performance over the three (3) fiscal
years preceding the year of termination.

CIC Cash Severance. In the event that within three (3) months before or within twenty-four
(24) months following a Change of Control you are terminated by the Company without Cause (other
than as a result of your death or disability), or you resign for Good Reason, in lieu of the
Non-CIC Cash Severance described above, the Company will pay you a lump sum cash severance payment
promptly after the Release Deadline in an amount equal to two (2) times the sum of (x) your annual
Salary and (y) your Average Annual Bonus (the sum of (x) and (y), the “CIC Cash Severance”),
subject to any payment delay necessary to avoid adverse consequences under Section 409A, as
described below.

Additional Severance Benefits. Upon your separation from service (whether or not in
connection with a Change in Control), if you timely elect continuation coverage pursuant to the
Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”) for you and your
eligible dependents, within the time period prescribed pursuant to COBRA, the Company will
reimburse you for the COBRA premiums for such coverage (at the coverage levels in effect
immediately prior to your separation from service) for you and your covered dependents until the
earliest of (x) eighteen (18) months from the date of your separation from service, (y) the
expiration of your continuation coverage under COBRA or (z) the date when you receive substantially
equivalent health insurance coverage in connection with new employment or self-employment; provided
that such benefits shall be taxable to you to the extent advisable under Section 105(h) of the Code
or other applicable law.

 

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Additionally, the Company will reimburse you for your life insurance benefit premiums for a period
of eighteen (18) months following your separation from service. Further, following any such
separation from service you will be entitled to a pro-rata portion (based on the number of months
you were
employed during the year of termination) of the annual bonus you would have otherwise earned under
the Company’s Performance Incentive Program (or any successor annual bonus program) for the year of
separation from service based upon the Company’s actual result for the entire year, which bonus
will be paid at the same time annual bonuses are paid for the year of separation from service to
Company employees generally, but in no event later than March 15 of the year following the year of
separation from service. Your equity and equity-based awards will be treated as set forth in the
applicable award agreements evidencing the awards and the equity plan under which such awards were
granted.

In the event that within three (3) months before or within twenty-four (24) months following a
Change of Control you are terminated by the Company without Cause (other than as a result of your
death or disability), or you resign for Good Reason, you will receive immediate vesting as to a
total of one-hundred percent (100%) of your then unvested equity and equity-based awards.

Release Requirement. In each case outlined above, the severance payments and other
benefits are contingent upon your signing a general release of claims in favor of the Company and
such release of claims becoming irrevocable within forty-five (45) calendar days following your
separation from service (such forty-fifth (45th) day, the “Release Deadline”) and your
compliance with any restrictive covenant or confidentiality provision to which you are subject
pursuant to this Agreement or otherwise.

For purposes of this Agreement, “Cause” means (i) your willful and continued failure to
substantially perform your duties after you have received a written demand of performance from the
Company that specifically sets forth the factual basis for the Company’s belief that you have not
substantially performed your duties and have failed to cure such non-performance to the Company’s
satisfaction within ten (10) business days after receiving such notice; (ii) your gross negligence
in performance of your duties, which results in a material economic harm to the Company or any
breach of fiduciary duties to the Company; (iii) your conviction of, or plea of guilty or no
contest to any felony or a misdemeanor involving moral turpitude that has an adverse effect on your
qualifications or your ability to perform your duties; or (iv) your willful violation of any
restrictive covenant to which you are subject, including any non-competition covenant,
non-solicitation covenant or any unauthorized use or disclosure of confidential information or
trade secrets of the Company or its affiliates, or failure to cooperate in any Company
investigation. Neither bad judgment nor mere negligence nor an act of omission reasonably believed
by you to have been in, or not opposed to, the interests of the Company, shall constitute examples
of gross negligence.

For purposes of this Agreement, “Change of Control” results when: (i) any person or entity other
than Spectrum Equity Investors V L.P. (Spectrum”) or persons or entities jointly filing Schedule
13-G with Spectrum in respect of the Company’s voting securities as of the date of this Agreement
becomes the beneficial owner, directly or indirectly, of securities of the Company (or any parent
corporation) representing more than fifty percent (50%) of the total voting power of all of the
Company’s (or any parent corporation’s) then outstanding voting securities, (ii) a merger or
consolidation of the Company (or any parent corporation) in which the Company’s (or any parent
corporation’s) voting securities immediately prior to the merger or consolidation do not represent,
or are not converted into securities that represent, a majority of the voting power of all voting
securities of the surviving entity immediately after the merger or consolidation, or (iii) a sale
of all or substantially all of the assets of the Company (or any parent corporation) or a
liquidation or dissolution of the Company (or any parent corporation). Notwithstanding the
foregoing, to the extent required to avoid taxation under Section 409A of the Code (“Section 409”),
an event set forth above shall constitute a Change of Control only if it also constitutes a change
in the ownership or effective control of the Company or a change in the ownership of a substantial
portion of the assets of the Company within the meaning of Section 409A.

 

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For purposes of this Agreement, you can resign for “Good Reason” within ninety (90) days after the
occurrence of any of the following: (i) without your consent, a material reduction of your Salary,
relative to your Salary as in effect immediately prior to such reduction; provided that neither a
reduction of less than twenty percent (20%) from your then-current Salary nor a reduction applied
equally to all executive officers shall constitute Good Reason; (ii) without your consent, a
material reduction of duties, authority or responsibilities, relative to your duties, authority or
responsibilities as in effect immediately prior to such reduction, or the assignment to you of such
reduced duties, authority or responsibilities; provided that neither your removal as President of
the Company nor your relinquishment of the title of Chief Executive Officer if you remain on the
Board of Directors shall constitute Good Reason; (iii) without your express written consent, you
are relocated to a facility or location more than one hundred (100) miles from the current location
of any of the Company’s Corporate offices as in effect on the date upon which this Agreement is
executed; (iv) a material reduction in your cash incentive opportunity; provided that neither a
reduction of less than twenty percent (20%) from your then-current cash incentive opportunity nor a
reduction applied equally to all executive officers shall constitute Good Reason; (v) the failure
of the Company to obtain assumption of the Agreement by any successor to the Company; provided that
no event described in this paragraph shall constitute Good Reason unless (x) you provide the
Company notice of such event within ninety (90) days after the first occurrence or existence
thereof, which notice specifically identifies the event that you believe constitutes Good Reason
and (y) the Company fails to cure such event within thirty (30) days after delivery of such notice.

Any other changes to our at-will employment relationship will be effective only if contained in a
written agreement for that purpose, signed by you and the Company.

Section 409A. The payments hereunder are intended to be exempt under Treasury Regulation
Section 1.409A-1(b) (9)(iii). Notwithstanding the foregoing, to the extent (i) any payments to
which you become entitled under this agreement, or any agreement or plan referenced herein, in
connection with your termination of employment constitute deferred compensation subject to (and not
exempt from) Section 409A and (ii) you are deemed at the time of such termination of employment to
be a “specified” employee under Section 409A, then such payment or payments shall not be made or
commence until the earlier of (i) the expiration of the six (6)-month period measured from the date
of your “separation from service”; or (ii) the date of your death following such separation from
service; provided, however, that such deferral shall only be effected to the extent required to
avoid adverse tax treatment to you, including (without limitation) the additional twenty percent
(20%) tax for which you would otherwise be liable under Code Section 409A(a)(1)(B) in the absence
of such deferral. Upon the expiration of the applicable deferral period, any payments which would
have otherwise been made during that period (whether in a single sum or in installments) in the
absence of this paragraph shall be paid to you or your beneficiary in one lump sum. For purposes of
this agreement or any agreement or plan referenced herein, with respect to any payment that is
subject to (and not exempt from) Section 409A, termination of your employment shall be a
“separation from service” within the meaning of Section 409A, and Section 1.409A-1(h) of the
regulations thereunder. To the extent that reimbursements or in-kind benefits under this Agreement
constitute non-exempt “nonqualified deferred compensation” for purposes of Section 409A, (i) all
reimbursements hereunder shall be made on or prior to the last day of the calendar year following
the calendar year in which the expense was incurred by you, (ii) any right to reimbursement or
in-kind benefits shall not be subject to liquidation or exchange for another benefit, and (iii) the
amount of expenses eligible for reimbursement or in-kind benefits provided in any calendar year
shall not in any
way affect the expenses eligible for reimbursement or in-kind benefits to be provided, in any other
calendar year.

 

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Golden Parachute. Anything in this Agreement to the contrary notwithstanding, if any
payment or benefit you would receive from the Company or otherwise (“Payment”) would (i) constitute
a “parachute payment” within the meaning of Section 280G of the Code; and (ii) but for this
sentence, be subject to the excise tax imposed by Section 4999 of the Code (the “Excise Tax”), then
such Payment shall be equal to the Reduced Amount. The “Reduced Amount” shall be either (x) the
largest portion of the Payment that would result in no portion of the Payment being subject to the
Excise Tax; or (y) the largest portion, up to and including the total, of the Payment, whichever
amount, after taking into account all applicable federal, state and local employment taxes, income
taxes, and the Excise Tax (all computed at the highest applicable marginal rate), results in your
receipt, on an after-tax basis, of the greater amount of the Payment. Any reduction made pursuant
to this paragraph shall be made in accordance with the following order of priority: (i) stock
options whose exercise price exceeds the fair market value of the optioned stock (“Underwater
Options”), (ii) Full Credit Payments (as defined below) that are payable in cash, (iii) non-cash
Full Credit Payments that are taxable, (iv) non-cash Full Credit Payments that are not taxable, (v)
Partial Credit Payments (as defined below) and (vi) non-cash employee welfare benefits. In each
case, reductions shall be made in reverse chronological order such that the payment or benefit owed
on the latest date following the occurrence of the event triggering the excise tax will be the
first payment or benefit to be reduced (with reductions made pro-rata in the event payments or
benefits are owed at the same time). “Full Credit Payment” means a payment, distribution or
benefit, whether paid or payable or distributed or distributable pursuant to the terms of this
Agreement or otherwise, that if reduced in value by one dollar reduces the amount of the parachute
payment (as defined in Section 280G of the Code) by one dollar, determined as if such payment,
distribution or benefit had been paid or distributed on the date of the event triggering the excise
tax. “Partial Credit Payment” means any payment, distribution or benefit that is not a Full Credit
Payment.

A nationally recognized certified public accounting firm selected by the Company (the “Accounting
Firm”) shall perform the foregoing calculations related to the Excise Tax. If a reduction is
required, the Accounting Firm shall administer the ordering of the reduction as set forth in above.
The Company shall bear all expenses with respect to the determinations by such accounting firm
required to be made hereunder. The Accounting Firm engaged to make the determinations hereunder
shall provide its calculations, together with detailed supporting documentation, to you and the
Company a within fifteen (15) calendar days after the date on which your right to a Payment is
triggered. Any good faith determinations of the Accounting Firm made hereunder shall be final,
binding, and conclusive upon you and the Company.

Arbitration. The parties agree that any and all disputes arising out of the terms of this
Agreement, your employment by the Company, your service as an officer or director of the Company,
or your compensation and benefits, their interpretation and any of the matters herein released,
will be subject to binding arbitration in Salt Lake City, Utah before the American Arbitration
Association under its National Rules for the Resolution of Employment Disputes, supplemented by the
Utah Rules of Civil Procedure. The parties agree that the prevailing party in any arbitration will
be entitled to injunctive relief in any court of competent jurisdiction to enforce the arbitration
award. The parties hereby agree to waive their right to have any dispute between them resolved in a
court of law by a judge or jury. This paragraph will not prevent either party from seeking
injunctive relief (or any other provisional remedy) from any court having jurisdiction over the
parties and the subject matter of their dispute relating to your obligations
under this Agreement and the agreements incorporated herein by reference.

 

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General Provisions

This Agreement sets forth the key terms of your proposed employment by the Company, but is not
intended and shall not be construed as an employment contract. By signing below, you accept the
terms of employment as outlined above and with the understanding that the employment relationship
established by this Agreement is “at-will”. At-will employment means that either you or the
Company may terminate the employment relationship at any time, with or without notice, and with or
without cause. The Company, as an at-will employer, reserves the right to modify, revoke, suspend,
terminate or change any or all such terms of employment, in whole or in part, at any time with or
without notice. Nothing in terms of employment, either implied or expressed, is to be viewed as an
employment contract. Regarding confidentiality, you agree not to divulge, furnish, or make
accessible to anyone outside the Company. any knowledge or information coming into your possession
during your employment with respect to confidential or secret documents, processes, plans,
formulae, devices or material relating to the business and activities of the Company.

By signing this Agreement, you confirm to the Company that you are under no contractual or other
legal obligation that would prohibit you from performing your duties for the Company as described
herein.

By signing this Agreement you acknowledge that the provisions of this restated Agreement have been
read, are understood, and the continued employment on the terms and conditions described herein is
herewith accepted. This Agreement, together with the agreements specifically referenced herein
(including, but not limited to, the Agreement to Protect Company Property), supersedes and preempts
all prior or contemporaneous oral or written understandings and agreements with respect to the
subject matter hereof between you and the Company, including, without limitation, that certain
offer letter dated July 20, 2009, as amended July 22, 2010 between you and the Company.

Please signify your acceptance of this updated offer and to further indicate that you understand
that this Agreement does not constitute an employment contract, by signing where indicated below
and returning this Agreement to me by April 8, 2011.

Sincerely,

/s/ William C. Stern

Ancestry.com Inc.

Accepted and agreed to this 6th day of April, 2011

	 	 	 
	/s/ Tim Sullivan
	 	 
	 

Tim Sullivan

	 	 

 

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EXHIBIT 10.3

Amendment No. 1 to Offer Letter

This Amendment No. 1 dated April 22, 2011, to the Offer Letter dated July 22, 2010 (the “Offer
Letter”), is made by and between Ancestry.com Inc. and Joshua Hanna.

The Offer Letter is amended by replacing in its entirety the text of the Offer Letter that reads:

(i) any person or entity other than a stockholder of the Company (or any parent corporation)
as of the date of this offer letter becomes the beneficial owner, directly or indirectly, of
securities of the Company (or any parent corporation) representing fifty percent (50%) or
more of the total voting power of all of the Company’s (or any parent corporation’s) then
outstanding voting securities,

With the following text:

(i) any person or entity other than Spectrum Equity Investors V L.P. (“Spectrum”) or persons
or entities jointly filing Schedule 13G in respect of the Company’s voting securities as of
the date of this offer letter becomes the beneficial owner, directly or indirectly, of
securities of the Company (or any parent corporation) representing fifty percent (50%) or
more of the total voting power of all of the Company’s (or any parent corporation’s) then
outstanding voting securities,

Except as expressly provided for in this Amendment No. 1, this Amendment No. 1 will not modify,
amend, supplement or waive any provision of the Offer Letter.

	 	 	 	 	 
	ANCESTRY.COM INC.	 	 
	 
	 	 	 	 
	By

	 	/s/ Timothy Sullivan	 	 
	 

	 	 

Name: Timothy Sullivan
	 	 
	 

	 	Title: Chief Executive Officer	 	 
	 
	 	 	 	 
	Accepted and agreed as of the date first above written.	 	 
	 
	 	 	 	 
	/s/ Joshua Hanna	 	 
	 	 	 
	Name: Joshua Hanna

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