Document:

Exhibit 10.3

                    AMENDED AND RESTATED EMPLOYMENT AGREEMENT
                    -----------------------------------------

         This Amended and Restated Employment Agreement (this "Agreement") is
entered into as of January 15, 2007, by and between Bruce R. Wright (the
"Executive") and Ultratech, Inc., a Delaware corporation (the "Company"), and,
except as otherwise provided herein, shall be effective as of January 1, 2004.

                                   WITNESSETH:

         WHEREAS, the Executive is currently a party to an employment agreement
with the Company dated November 24, 2003 (the "Prior Agreement") that completely
and totally superseded an employment agreement between the parties dated as of
June 8, 1999;

         WHEREAS, the Company desires that the Executive continue to be employed
by the Company and the Executive is willing to continue to be employed by the
Company; and

         WHEREAS, the Company and the Executive desire to amend and restate the
terms and conditions of the Prior Agreement;

         NOW, THEREFORE, in consideration of the mutual promises and covenants
contained herein, the Company and the Executive agree as follows:

1.   Duties.

     1.1  Retention.  The Company  does hereby  retain , engage,  and employ the
          Executive  as its Senior  Vice  President,  Finance,  Chief  Financial
          Officer,  and Secretary,  reporting to the Chief Executive  Officer of
          the Company (the "Chief  Executive  Officer"),  and the Executive does
          hereby  accept  and  agree  to  such  retention  ,   engagement,   and
          employment.  The Executive  shall serve the Company in such  positions
          and shall have the duties, responsibilities and authorities consistent
          with such positions as well as any other reasonable  duties determined
          by the Chief Executive Officer.

     1.2  No Other Employment. During the Executive's employment by the Company,
          the Executive  shall devote  substantially  all of his business  time,
          energy, and skill to the performance of his duties for the Company.

     1.3  No Breach of Contract.  The Executive hereby represents to the Company
          that the execution and delivery of this Agreement by the Executive and
          the Company and the  performance  by the Executive of the  Executive's
          duties  hereunder  shall not  constitute  a breach  of,  or  otherwise
          contravene,  the teluis of any employment or other agreement or policy
          to which the  Executive  is a party or  otherwise  bound.  The Company
          hereby represents to the Executive that it is authorized to enter into
          this  Agreement and that the execution and delivery of this  Agreement
          to the Executive and the employment of the Executive  hereunder  shall
          not constitute a breach of, or otherwise contravene,  the terns of any
          law, agreement or policy by which it is bound.

                                        1
<PAGE>

2.   At-Will Employment.

     The Executive and the Company agree that  Executive's  employment  with the
     Company  is and  shall  at all  times  during  the  Executive's  employment
     hereunder  be  "at-will"   employment.   The  Company  may   terminate  the
     Executive's  employment at any time for any reason,  with or without Cause,
     by  providing  thirty  (30)  days'  written  notice to the  Executive.  The
     Executive may terminate his employment with the Company by providing thirty
     (30) days' written  notice to the Company.  Notwithstanding  the foregoing,
     the Company may relieve the Executive of his duties  immediately  or at any
     time during the thirty-day period following the written  termination notice
     provided by the Company or the  Executive  hereunder.  No provision of this
     Agreement  shall be construed as  conferring  upon the Executive a right to
     continue as an  employee of the  Company,  and the  "at-will"  relationship
     between the Executive  and the Company may not be altered  except as agreed
     by the Executive and the Company in writing.

3.   Compensation.

     3.1  Base Salary. The Executive's initial Base Salary shall be at a rate of
          $275,000  per year,  paid in  accordance  with the  Company's  regular
          payroll practices in effect from time to time, but not less frequently
          than monthly.  The Executive's Base Salary shall be reviewed  annually
          and may be adjusted  by the Board of  Directors  of the  Company  (the
          "Board") or the Compensation Committee of the Board (the "Compensation
          Committee"). (As used in this Agreement, "Base Salary" shall mean Base
          Salary as adjusted from time to time.)

     3.2  Annual  Bonus.  While  employed  hereunder,  the  Executive  shall  be
          considered for an annual incentive bonus ("Annual Bonus") of up to 40%
          of his annual Base Salary,  based upon the  achievement of performance
          objectives established by the Compensation Committee. Payment of up to
          50% of the  Executive's  Annual  Bonus may be deferred and paid out in
          equal  annual  installments  over a period of no more than three years
          with  interest at prime as set forth in The Wall Street  Journal  from
          time to time (the "Deferral Period"), during which Deferral Period the
          unpaid  portion  of  the  deferred  Annual  Bonus  may be  subject  to
          forfeiture if the Executive terminates  employment without Good Reason
          (as  defined in Section  7.2.1) or is  terminated  by the  Company for
          Cause (as  defined  in Section  6.1.1).  The  Executive's  performance
          objectives  and maximum  level of Annual Bonus as a percentage of Base
          Salary,  as well as the payment terms for the Annual  Bonus,  shall be
          reviewed  annually and may be adjusted by the Compensation  Committee,
          including,  without limitation,  an adjustment to increase the maximum
          level of Annual Bonus as a percentage of Base Salary.

     3.3  Equity Compensation.

         3.3.1 Future  Grants.  In  addition  to the stock  options  previously
               granted to the  Executive, the  Executive  shall be eligible for
               periodic grants of stock options or other equity awards under the
               Company's equity  award  program,  subject  to  the  Executive's
               continued employment  hereunder.  The teens,  exercise price (if
               applicable),  vesting period, any  post-termination of employment
               provisions,  and other  provisions  of each stock option or other
               equity award granted pursuant to this Section 3.3 shall,  subject
               to the express provisions of this Agreement, be determined by the
               Compensation  Committee  at the time of grant  of the  option  or
               other equity award.

                                       2
<PAGE>

         3.3.2 Acceleration  and Extension.  Notwithstanding  Section 3.3.1, if
               the  Executive's  employment is terminated (i) by the Company for
               any reason other than for Cause (as defined in Section  6.1.1) or
               (ii) by the  Executive  with Good  Reason (as  defined in Section
               7.2.1)  or (iii) on  account  of death or  Disability,  then each
               stock option and other equity award  granted on or after July 21,
               2003 shall thereupon become vested as to an additional 25% of the
               shares of stock subject thereto (or such lesser  percentage as to
               make the award 100% vested). Further, in the event of a Change of
               Control (as defined in Section 8.1.1) or a Corporate  Transaction
               (as defined in Section 8.1.2), all of the options or other equity
               awards described in the preceding  sentence shall  immediately be
               fully vested.  To the extent that the equity awards  described in
               this Section  3.3.2 are stock  options and have become  vested by
               their  terms or become  vested as  described  herein,  such stock
               options  shall remain vested and  exercisable  at least until the
               date that is one year and ninety (90) days after the  termination
               of the Executive's  employment as described in clauses (i), (ii),
               or  (iii)  of  this  Section  3.3.2  or  any  termination  of the
               Executive's  employment  following  a  Change  of  Control  or  a
               Corporate  Transaction (or such later date as may be specified in
               the  award  agreement),  but in no event  will  such  options  be
               exercisable after the expiration of their original terms. Each of
               the  Executive's  stock  options  granted  prior to July 21, 2003
               shall be amended to add the foregoing acceleration of vesting and
               extension of exercise  period  provisions  at such time,  if any,
               that the  Company's  Board of Directors  determines,  in its sole
               discretion,  that  such  amendments  and the  related  accounting
               charges would not adversely  affect,  when relevant,  in any way,
               the  Company's  condition  (financial  or  otherwise),  financial
               statements,  earnings,  earnings  per  share  or  other  relevant
               Company information.

4.   Benefits.

     4.1  Pension and Welfare Plans. While the Executive is employed  hereunder,
          he shall be  entitled  to  participate  in all  employee  pension  and
          welfare  benefit  plans and programs  made  available to the Company's
          senior level executives or to its employees  generally,  as such plans
          or programs may be in effect from time to time.

     4.2  Reimbursement of Business and Other Expenses

         4.2.1 Expense  Reimbursement.  The  Executive is  authorized  to incur
               reasonable    expenses   in   carrying   out   his   duties   and
               responsibilities  under  this  Agreement  and the  Company  shall
               promptly  reimburse  him for all  business  expenses  incurred in
               connection with carrying out the business of the Company, subject
               to  documentation  in  accordance  with  the  Company's   expense
               reporting policy.

                                       3
<PAGE>

         4.2.2 Legal  Expenses.   The  Company  shall  promptly  reimburse  the
               Executive  for his legal  expenses,  up to a maximum  of  $3,000,
               incurred in negotiating and  documenting  this Agreement with the
               Company.

     4.3  Vacation.  During the Executive's employment hereunder,  the Executive
          shall be  entitled  to  vacation  in  accordance  with  the  Company's
          vacation policy for its executive officers.

     4.4  Retiree Health Coverage.  Effective the earliest of (A) the occurrence
          of a Change of Control (as defined in Section  8.1.1) while  Executive
          is serving as an executive officer of the Company,  (B) the occurrence
          of a  Corporate  Transaction  (as  defined  in  Section  8.1.2)  while
          Executive  is serving as an executive  officer of the Company,  or (C)
          the first date on which (1) Executive is at least sixty-two (62) years
          old and (2)  Executive  has  served  as an  executive  officer  of the
          Company for ten (10) consecutive  years (and is then serving as such),
          and  notwithstanding  anything  contained herein to the contrary,  the
          Executive and his spouse on the date of his  termination of employment
          (his "Spouse")  shall each be entitled to the retiree health  coverage
          described  herein  for  the  remainder  of his or her  life  following
          Executive's termination of employment with the Company for any reason.
          The retiree health  coverage  provided by the Company to the Executive
          and his Spouse shall be  comparable  to the  coverage  provided by the
          Company  to  them   immediately   prior  to  the  termination  of  the
          Executive's employment until they become covered by Medicare. Once the
          Executive or his Spouse becomes covered by Medicare, the Company shall
          provide retiree health coverage that, together with Medicare coverage,
          is comparable to the coverage that the Company  provided to him or her
          immediately prior to the Executive's  termination of employment.  Such
          retiree health  coverage shall,  to the extent  possible,  be provided
          through  continued  health care  coverage  for the  Executive  and his
          Spouse  under  the  Company's   group  health  plan  pursuant  to  the
          provisions of Section  4980B of the Internal  Revenue Code of 1986, as
          amended,   and  Section  10116.5  of  the  California  Insurance  Code
          ("COBRA"). If COBRA coverage is not available or it is exhausted or no
          longer  available,  such  retiree  health  coverage  shall be provided
          through health insurance policy or policies  acquired by the Executive
          and/or his Spouse until age 65 and thereafter through insurance policy
          or policies providing Medicare supplemental coverage obtained by them,
          with the Company to reimburse the Executive  and/or his Spouse for the
          premiums  paid for such  coverage,  to the extent  expressly  provided
          below.  The Executive and/or his Spouse shall provide the Company with
          evidence of the applicable  health insurance or Medicare  supplemental
          health insurance policy. The cost of such retiree health care coverage
          for the Executive  and his Spouse shall be shared  between the Company
          and the Executive as follows:

          (i)  For each  period the  Executive  and/or  his Spouse are  provided
               post-  retirement  health care coverage under the Company's group
               health plan,  the Executive or his Spouse shall pay the Company a
               dollar amount for that coverage  equal to the cost charged active
               employees  of the Company or their  spouses  for such  individual
               and/or  spousal  coverage for the same period under the plan, and
               the  Company  shall  be  responsible   for  the  payment  of  any
               additional costs required to provide such coverage.  The payments
               required of the Executive  must be made on or before the date the
               Executive  would  have  to pay for  such  coverage  if an  active
               employee under the Company's group health plan.

                                       4
<PAGE>

          (ii) To the  extent  such post  retirement  health  care  coverage  is
               provided  through  health  insurance  policies  acquired  by  the
               Executive  and/or his Spouse,  the Company  shall  reimburse  the
               Executive  and/or his Spouse for the portion of each premium paid
               by them in excess of the dollar amount the  Executive  and/or his
               Spouse  would have had to pay for health  care  coverage  for the
               period covered by the premium had the Executive and/or his Spouse
               been an active  participant under the Company's group health plan
               at that time. The applicable  insurance premiums shall be paid by
               the  Executive  and/or the Spouse within ten (10) days after each
               due date, and the Company shall promptly  reimburse the Executive
               and/or his Spouse for its share of each such  insurance  premium,
               with such  reimbursement  to be made in all events not later than
               the close of the  calendar  year in which the premium was paid by
               the  Executive  and/or his  Spouse or (if  later)  within two and
               one-half months following the premium payment date.

               To the extent the  post-retirement  health care coverage required
               hereunder is provided through a self-funded reimbursement program
               maintained  by the Company,  the Executive  shall,  within thirty
               (30) days after his receipt of each  invoice  for a  reimbursable
               health or medical care expense  under this Section 4.4,  submit a
               copy of such  invoice to the Company for  reimbursement,  and the
               Company  shall pay such  reimbursement  within  thirty  (30) days
               following receipt of the submitted invoice.

               The Executive and his Spouse shall be solely  responsible for any
               federal,   state  or  local  tax   liability   arising  from  the
               post-retirement  health care coverage and benefits  provided them
               hereunder,  and the Company shall have no obligation to indemnify
               or reimburse them for any tax liability they so incur.

5.   Death or Disability.

     5.1  Definition of Disabled and Disability. For purposes of this Agreement,
          the terms  "Disabled"  and  "Disability"  shall  mean the  Executive's
          inability, because of physical or mental illness or injury, to perform
          his  customary  duties  pursuant  to this  Agreement,  with or without
          reasonable  accommodation,  and  the  continuation  of  such  disabled
          condition for a period of one hundred eighty (180)  continuous days as
          determined by an approved  medical  doctor.  For purposes  hereof,  an
          approved  medical  doctor shall mean a doctor  selected by the Company
          and the Executive.  If the Company and the Executive cannot agree on a
          medical doctor, each shall select a medical doctor and the two doctors
          shall select a third who shall be the approved medical doctor for this
          purpose.

     5.2  Termination  Due to  Death or  Disability.  If the  Executive  dies or
          becomes  Disabled  while  employed  hereunder and prior to a Change of
          Control (as defined in Section 8.1.1) or a Corporate  Transaction  (as
          defined  in  Section  8.1.2),   this  Agreement  and  the  Executive's
          employment shall  automatically  cease and terminate as of the date of
          the Executive's  death or the date of Disability  (which date shall be
          determined under Section 5.1 above, and referred to as the "Disability
          Date"),  as the case may be.  In the event of the  termination  of the
          Executive's  employment due to his death or Disability,  the Executive
          (or,  in the event of his death,  his  estate)  shall be  entitled  to
          receive:

                                       5
<PAGE>

          (i)  a lump sum cash  payment,  payable  within ten (10) business days
               after the date of death or the  Disability  Date equal to the sum
               of (A) any accrued but unpaid Base Salary as of the date of death
               or the  Disability  Date,  (B) any earned but unpaid  portions of
               Annual Bonuses in respect of fiscal years  completed prior to the
               date of  death  or the  Disability  Date,  (C)  any  compensation
               deferred under the provisions of any deferred  compensation  plan
               and (D) any  unreimbursed  business  expenses  due under  Section
               4.2.1 of this Agreement;

          (ii) a monthly  payment  payable  in each of the  twelve  (12)  months
               following the date of the Executive's death or Disability Date in
               an amount  equal to  one-twelfth  (1  /12th)  of the  Executive's
               annual  Base Salary in effect  immediately  prior to his death or
               Disability Date;

         (iii) in the event that the  Executive is not entitled to the benefits
               provided   by  Section  4.4  and  solely  in  the  event  of  the
               tetniination of the Executive's employment due to his Disability,
               if the Executive  elects to continue his medical  coverage  under
               COBRA,  reimbursement  by the  Company of such COBRA  costs for a
               period of up to eighteen (18) months following the termination of
               his employment;  provided, however, that the Company's obligation
               under this Section  5.2(iii)  shall be reduced to the extent that
               comparable medical coverage is provided by a subsequent employer;

          (iv) partial   acceleration  of  the  vesting  of  a  portion  of  the
               Executive's stock options and other equity awards,  and extension
               of time to  exercise  any vested  stock  options,  as provided in
               Section 3.3.2; and

          (v)  such employee benefits  described in Section 4.1 as the Executive
               or his estate may be entitled to  hereunder or under the employee
               benefit plans,  programs and  arrangements of the Company and, if
               applicable, the retiree health coverage described in Section 4.4.

6.   Termination by the Company.

     6.1  Termination For Cause.

          6.1.1 Definition  of  Termination  with Cause.  A  termination  of the
               Executive's  employment by the Company for cause  ("Cause") shall
               mean the termination of the  Executive's  employment by the Board
               for any of the reasons  listed  below,  except in the case of the
               reason set forth in (i) below,  only after written  notice by the
               Board stating the reason for the proposed  termination  for Cause
               and the  Executive's  failure to cure within  ninety (90) days of
               receipt of such notice:

          (i)  the Executive's repeated failure to perform any essential duty of
               his  position  other than due to  Disability  or such  illness or
               injury as  described  in and  determined  under  Section 5.1 that
               would result in Disability if it continued for the period of time
               prescribed in Section 5.1;

                                       6
<PAGE>

          (ii) the  Executive's  commitment  of an act  that  constitutes  gross
               misconduct and is injurious to the Company, any subsidiary of the
               Company or any successor to the Company;

         (iii) the  Executive's  conviction  of  or  pleading  guilty  or  nolo
               contendere   to  any  felony   involving   theft,   embezzlement,
               dishonesty or moral turpitude;

          (iv) the  Executive's  commission of an act of fraud  against,  or the
               misappropriation  of  property  belonging  to, the  Company,  any
               subsidiary  of the Company or any  successor to the Company;

          (v)  the Executive's  commitment of an act of dishonesty in connection
               with his  responsibilities  as an  employee  that is  intended to
               result in his personal  enrichment or the personal  enrichment of
               his family or others; or

          (vi) the  Executive's  material  breach  of this  Agreement  or  other
               agreement between the Executive and the Company or any subsidiary
               of or successor to the Company.

         6.1.2 Entitlements  Upon a Termination  for Cause.  If the Executive's
               employment  is terminated  for Cause,  the  termination  shall be
               effective  on the date the Company  gives the  Executive  written
               notice of  termination,  except in the case of a termination  for
               the  reason  described  in  Section  6.1.1(i),  in which case the
               termination  shall be effective on the last day of the ninety-day
               cure period.  In the event of the  termination of the Executive's
               employment  hereunder  due to a tell  7ination by the Company for
               Cause prior to a Change of Control (as defined in Section  8.1.1)
               or a Corporate  Transaction (as defined in Section  8.1.2),  then
               the Executive shall be entitled to receive:

          (i)  a lump sum cash  payment,  payable  within ten (10) business days
               after the date of  telinination  of the  Executive's  employment,
               equal to the sum of (A) any  accrued but unpaid Base Salary as of
               the date of such  termination,  (B) any  earned  and  vested  but
               unpaid  portions  of Annual  Bonuses in  respect of fiscal  years
               completed  prior  to  the  date  of  such  termination,  (C)  any
               compensation  deferred  under  the  provisions  of  any  deferred
               compensation  plan, (D) any unreimbursed  business  expenses that
               are due under Section 4.2.1 of this  Agreement and (E) any unpaid
               vacation.

          (ii) such employee benefits  described in Section 4.1 as the Executive
               or his estate may be entitled to  hereunder or under the employee
               benefit plans,  programs and  arrangements of the Company and, if
               applicable, the retiree health coverage described in Section 4.4.

          6.2  Termination  Without  Cause.  If the  Executive's  employment  is
               terminated by the Company without Cause, the termination shall be
               effective on the thirtieth (30th) day following written notice of
               such  termination  to  the  Executive.   In  the  event  of  such
               termination  without  Cause  prior to a  Change  of  Control  (as
               defined in Section 8.1.1) or a Corporate  Transaction (as defined
               in Section 8.1.2), then, subject to the Executive's  execution of
               a release and non-disparagement agreement in a form acceptable to
               the Company, the Executive shall be entitled to:

          (i)  a lump sum cash  payment,  payable  within ten (10) business days
               after  the date of  termination  of the  Executive's  employment,
               equal to the sum of (A) any  accrued but unpaid Base Salary as of
               the date of such  termination,  (B) any  earned  and  vested  but
               unpaid  portions  of Annual  Bonuses in  respect of fiscal  years
               completed  prior  to  the  date  of  such  tennination,  (C)  any
               compensation  deferred  under  the  provisions  of  any  deferred
               compensation  plan, (D) any unreimbursed  business  expenses that
               are due under Section 4.2.1 of this  Agreement and (E) any unpaid
               vacation.

          (ii) a monthly  severance  payment  payable in each of the twelve (12)
               months  following  the  date of  termination  of the  Executive's
               employment  in an amount  equal to  one-twelfth  (1/12th)  of the
               Executive's  annual  Base Salary in effect  immediately  prior to
               such teunination;

          (iii) in the event that the  Executive is not entitled to the benefits
               provided by Section 4.4 and if the  Executive  elects to continue
               his medical coverage under COBRA, reimbursement by the Company of
               such  COBRA  costs for a period  of up to  eighteen  (18)  months
               following the termination of his employment;  provided,  however,
               that the Company's  obligation  under this Section 6.2(iii) shall
               be reduced to the extent  that  comparable  medical  coverage  is
               provided by a subsequent employer;

          (iv) partial   acceleration  of  the  vesting  of  a  portion  of  the
               Executive's  outstanding  stock options and other equity  awards.
               and  extension of time to exercise any vested stock  options,  as
               provided in Section 3.3.2; and

          (v)  such employee benefits  described in Section 4.1 as the Executive
               or his estate may be entitled to  hereunder or under the employee
               benefit plans,  programs and  arrangements of the Company and, if
               applicable, the retiree health coverage described in Section 4.4.

7.   Termination by the Executive.

     7.1  Termination   Without  Good  Reason.  If  the  Executive   voluntarily
          terminates his employment  with the Company  without Good Reason,  the
          termination  shall be  effective at the end of the  thirty-day  notice
          period.  Upon such termination of employment without Good Reason prior
          to a Change of Control  (as  defined in Section  8.1.1) or a Corporate
          Transaction  (as defined in Section  8.1.2),  the Executive shall have
          the same  entitlements  as provided in Section  6.1.2 in the case of a
          termination by the Company for Cause.

     7.2  Termination With Good Reason.

          7.2.1 Definition of Good Reason. For purposes of this Agreement, "Good
               Reason" shall mean the occurrence of any of the following  events
               without the Executive's written consent:

                                       7
<PAGE>

          (i)  any  reduction in the  aggregate  level of the  Executive's  Base
               Salary except a reduction that is part of a program applicable to
               all of the Company's officers to reduce expenses;

          (ii) the failure by the Company or any  subsidiary  of or successor to
               the Company to comply with any material  terms of this  Agreement
               or any other  material  agreement  between the  Executive and the
               Company or any subsidiary of or successor to the Company;

         (iii) any material reduction in the nature or scope of the Executive's
               duties, title, function, authority or responsibilities; or

          (iv) a requirement that the Executive relocate his principal office to
               a location  that is more than sixty (60) miles from the  location
               of his principal office on January 1, 2004;

               provided,  however, that none of the events specified above shall
               constitute  Good Reason unless the Executive  shall have notified
               the Company in writing  describing  the events  which  constitute
               Good Reason and the Company  shall have failed to cure such event
               within  thirty  (30) days  after the  Company's  receipt  of such
               written notice.

          7.2.2 Entitlements  Upon  a  Termination  with  Good  Reason.  If  the
               Executive   terminates  his  employment  with  Good  Reason,  the
               termination  shall be effective at the end of the thirty-day cure
               period.  Upon such termination of his employment with Good Reason
               in  accordance  with  Section  7.2.1  hereof  prior to  Change of
               Control (as defined in Section 8.1.1) or a Corporate  Transaction
               (as defined in Section 8.1.2),  the Executive  shall,  subject to
               the  Executive's  execution  of a release  and  non-disparagement
               agreement  in a form  acceptable  to the  Company,  have the same
               entitlements  as provided  under Section 6.2 for a termination by
               the Company without Cause.

8.   Change of Control Provisions.

     8.1  Definitions.

          8.1.1 Definition of Change of Control. For purposes of this Agreement,
               "Change of Control" shall mean either of the following events:

          (i)  any person or related group of persons (other than the Company or
               a person that directly or indirectly controls,  is controlled by,
               or is  under  common  control  with,  the  Company)  directly  or
               indirectly acquires  beneficial  ownership (within the meaning of
               Rule 13d-3 of the Securities Exchange Act of 1934, as amended) of
               securities  possessing more than fifty percent (50%) of the total
               combined  voting power of the  Company's  outstanding  securities
               pursuant  to a tender or  exchange  offer  made  directly  to the
               Company's stockholders; or

                                       8
<PAGE>

          (ii) there is a change in the  composition  of the Board over a period
               of  thirty-six  (36)  consecutive  months  or  less  such  that a
               majority of the Board  members  ceases,  by reason of one or more
               proxy  contests for the election of Board members to be comprised
               of   individuals   who  either   (A)  have  been  Board   members
               continuously  since the beginning of such period or (B) have been
               elected or nominated  for election as Board  members  during such
               period by at least a majority of the Board  members  described in
               clause (A) who were still in office at the time such  election or
               nomination was approved by the Board.

         8.1.2 Definition  of  Corporate  Transaction.  For  purposes  of  this
               Agreement,   "Corporate   Transaction"  shall  mean  any  of  the
               following  stockholder approved transactions to which the Company
               is a party:

          (i)  a  merger  or  consolidation  in  which  the  Company  is not the
               surviving entity,  except for a transaction the principal purpose
               of  which  is to  change  the  state  in  which  the  Company  is
               incorporated,

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

         (iii) any reverse merger in which the Company is the surviving  entity
               but in which securities  possessing more than fifty percent (50%)
               of the total combined  voting power of the Company's  outstanding
               securities are  transferred  to person or persons  different from
               the persons holding those  securities  immediately  prior to such
               merger.

     8.2  Effect of Change of Control or Corporate Transaction.  In the event of
          a Change of Control or a Corporate Transaction,  the Executive's stock
          options and equity awards shall  automatically  vest in full,  and the
          time to exercise his vested stock  options  shall be extended,  to the
          extent provided in Section 3.3.2. Upon the Executive's  tennination of
          employment for any reason following a Change of Control, then, subject
          to  the  Executive's  execution  of a  release  and  non-disparagement
          agreement in a form acceptable to the Company,  the Executive shall be
          entitled  to the  following  in lieu of, and not in  addition  to, the
          entitlements described in Sections 6.2 and 7.2.2:

          (i)  a lump sum cash payment,  payable  within ten (10) days after the
               date of the  termination of the Executive's  employment  equal to
               the sum of (A) any  accrued but unpaid Base Salary as of the date
               of such termination, (B) any earned but unpaid portions of Annual
               Bonuses in respect of fiscal years completed prior to the date of
               the   termination  of  the   Executive's   employment,   (C)  any
               compensation  deferred under any deferred  compensation  plan and
               (D) any unreimbursed business expenses due under Section 4.2.1 of
               this Agreement;

          (ii) a  monthly  payment  in  each  of the  twenty  four  (24)  months
               following  the  date  of  the   termination  of  the  Executive's
               employment  in an amount  equal to  one-twelfth  (1112`')  of the
               Executive's  annual  Base Salary in effect  immediately  prior to
               such  termination  (or,  if  greater,  his annual  Base Salary in
               effect  immediately  prior to the Change of Control or  Corporate
               Transaction); and

                                       9
<PAGE>

         (iii) such employee benefits described in Section 4.1 as the Executive
               or his estate may be entitled to  hereunder or under the employee
               benefit plans,  programs and  arrangements of the Company and the
               retiree health coverage described in Section 4.4.

     8.3  Option to Refuse  Payments.  The Executive shall be entitled to refuse
          all or any portion of any payments or benefits under this Agreement if
          the Executive  determines  that receipt of such payment or benefit may
          result in adverse tax  consequences  to him under  Section 4999 of the
          Code or  otherwise.  The  Company  shall be  totally  and  permanently
          relieved  of any  obligation  to pay any  amounts  or to  provide  any
          benefits that the Executive specifically so refuses in writing.

9.   Non-Competition.

     The Executive  acknowledges and recognizes the highly competitive nature of
     the  businesses of the Company,  the amount of sensitive  and  confidential
     information  involved in the discharge of the Executive's position with the
     Company, and the harm to the Company that would result if such knowledge or
     expertise was disclosed or made available to a competitor,  and accordingly
     agrees that during the period that he is receiving any payments  under this
     Agreement,  he shall not,  directly or indirectly in any manner or capacity
     (e.g.,  as  an  advisor,  principal,  agent,  partner,  officer,  director,
     shareholder,  employee,  member of any association or otherwise) engage in,
     work for, consult, provide advice or assistance or otherwise participate in
     any activity  that is  competitive  with the  business of the Company.  The
     Executive  further  agrees  that  during  such period he will not assist or
     encourage  any other  person in  carrying  out any  activity  that would be
     prohibited  by the  foregoing  provisions  of this Section if such activity
     were carried out by the Executive and, in particular.  the Executive agrees
     that he will not induce any  employee  of the Company to carry out any such
     activity;  provided.  however,  that  the  "beneficial  ownership"  by  the
     Executive,  either  individually or as a member of a "group," as such terms
     are  used in Rule  13d of the  General  Rules  and  Regulations  under  the
     Exchange Act, of not more than one percent (1 %) of the voting stock of any
     publicly held corporation shall not be a violation of this Agreement. It is
     further expressly agreed that the Company will or would suffer  irreparable
     injury if the Executive  were to compete with the Company or any subsidiary
     or affiliate of the Company in  violation  of this  Agreement  and that the
     Company  would by reason of such  competition  be  entitled  to  injunctive
     relief in a court of appropriate  jurisdiction,  and the Executive  further
     consents and  stipulates to the entry of such  injunctive  relief in such a
     court  prohibiting  the Executive  from  competing  with the Company or any
     subsidiary or affiliate of the Company in violation of this  Agreement.  In
     the event that the Executive breaches the provisions of this Section 9, the
     severance   benefits  under  Sections  6.2,  7.2.2  or  8.2,  whichever  is
     applicable,  shall immediately  terminate,  the Executive shall cease to be
     entitled to any  additional  payments under this  Agreement,  and all stock
     options shall cease to be exercisable.

                                       10
<PAGE>

10.  Confidentiality and Treatment of Inventions.

     10.1 Confidentiality. The Executive will not at any time (whether during or
          after his  employment  with the Company),  other than in the course of
          his duties hereunder or unless  compelled by lawful process,  disclose
          or use for his own  benefit or  purposes or the benefit or purposes of
          any other  person,  firm.  partnership,  joint  venture,  association,
          corporation or other business organization, entity or enterprise other
          than an entity  within the Company or a subsidiary or affiliate of the
          Company,  any trade secrets, or other confidential data or information
          relating  to  customers,   development  programs,   costs,  marketing.
          trading, investment, sales activities, promotion, credit and financial
          data,  financing methods, or plans of any entity within the Company or
          any  subsidiary  or  affiliate  of  the  Company;  provided  that  the
          foregoing  shall not apply to information  that is generally  known to
          the industry or the public  other than as a result of the  Executive's
          breach of this covenant. The Executive agrees that upon termination of
          his employment with the Company for any reason,  he will return to the
          Company immediately all memoranda,  books,  papers,  software,  plans,
          information,  letters  and  other  data,  and all  copies  thereof  or
          therefrom,  in any way relating to the  business of any entity  within
          the Company or any subsidiary or affiliate of the Company, except that
          he may  retain  personal  notes,  notebooks  and  diaries  that do not
          contain  confidential   information  of  the  type  described  in  the
          preceding  sentence.  The  Executive  further  agrees that he will not
          retain or use for his account at any time any trade  names,  trademark
          or other proprietary  business designation used or owned in connection
          with the business of any entity  within the Company of any  subsidiary
          or affiliate of the Company.

     10.2 Treatment of Inventions.

        10.2.1 Prior  Inventions.  The Executive  understands and acknowledges
               that he does not have any right or claim to any invention,  idea,
               process,  foiinula,  discovery,   technical  information,   trade
               secret,  design,  computer  program,   proprietary   information,
               copyright,  patent or other  such item or matter  (together,  any
               "Invention"),  including  without  limitation  any Invention made
               prior to his employment with the Company.  The Executive  further
               understands and  acknowledges  that he has had the opportunity to
               disclose any Invention to the Company,  and has  voluntarily  and
               knowingly waived and declined such opportunity  because he has no
               Invention to disclose.

        10.2.2 Subsequent Invention Disclosure. The Executive hereby agrees to
               disclose to the Company in a prompt manner any Invention  that he
               develops at any time prior to the  six-month  anniversary  of his
               termination of employment with the Company.

       10.2.3  Assignment  of  Inventions.  Except as  otherwise  provided by
               Section 10.2.4, the Executive hereby assigns and agrees to assign
               to the Company or its  designee  the  Executive's  entire  right,
               title,  and interest in and to any Invention  that the Executive,
               whether  solely  or  jointly,  develops  prior  to the  six-month
               anniversary of his  termination  of employment  with the Company,
               with the use of time, material,  equipment,  supplies, facilities
               or trade secret  information  of the Company or any subsidiary or
               affiliate of the Company,  whether or not during  working  hours.

                                       11
<PAGE>

               The Executive further agrees to cooperate with the Company and to
               perform all acts deemed  necessary or desirable by the Company to
               permit and to assist the Company,  at the Company's  expense,  in
               obtaining and enforcing the full benefits,  enjoyment, rights and
               title  (whether  domestic  or foreign)  to any  Invention  hereby
               assigned by the Executive to the Company.

        10.2.4 Inventions  not Assigned.  Section 10.2.3 shall not apply to an
               Invention that the Executive  developed  entirely on his own time
               without  using  the  Company's  or any of  its  subsidiaries'  or
               affiliates' time, material,  equipment,  supplies,  facilities or
               trade secret  information,  except for any Invention  that either
               (i) relates at the time of conception or reduction to practice of
               the Invention to the Company's or a  subsidiary's  or affiliate's
               business,   or  actual  or  demonstrably   anticipated   research
               development  of the Company or a  subsidiary  or affiliate of the
               Company  or (ii)  results  from  the  Executive's  work  with the
               Company or a subsidiary  or affiliate of the Company,  whether or
               not during normal working hours.

11.  Antisolicitation.

     The Executive  promises and agrees that, for a period of twelve (12) months
     following his  termination of employment,  he will not influence or attempt
     to  influence  suppliers  or  customers  of the Company  hereunder,  either
     directly or  indirectly,  to divert their business away from the Company to
     any  individual,  partnership,  firm,  corporation  or other entity then in
     competition with the Company or any subsidiary of successor to the Company.

12.  Soliciting Employees.

     The Executive  promises and agrees that, for a period of twelve (12) months
     following termination of his employment hereunder,  he will not directly or
     indirectly solicit any person who is then, or at any time within six months
     prior  thereto  was,  an employee of the Company to leave the employ of the
     Company  to  work  for  any  business,   individual,   partnership,   firm,
     corporation,  or other entity then in competition  with the business of the
     Company or any subsidiary of or successor to the Company.

13.  Cooperation in Litigation.

     The Executive agrees that he will reasonably  cooperate with the Company in
     any litigation that arises out of events occurring prior to the termination
     of his  employment,  including but not limited to,  serving as a witness or
     consultant and producing documents and information  relevant to the case or
     helpful to the Company.  The Company  agrees to reimburse the Executive for
     all  reasonable  costs  and  expenses  he  incurs  in  connection  with his
     obligations under this Section 13.

<PAGE>

14.  Indemnification.

     Indemnification  shall be  provided  to the  Executive  as set forth in the
     indemnification   agreement  entered  into  between  the  Company  and  the
     Executive on June 1, 1999 and/or any subsequent  indemnification  agreement
     between the Company and the Executive (the "Indemnification Agreement").

15.  Assignment.

     This  Agreement is personal in its nature and neither of the parties hereto
     shall,  without the consent of the other, assign or transfer this Agreement
     or any rights or obligations  hereunder;  provided,  however,  that, in the
     event  of  a  merger,  consolidation,   or  transfer  or  sale  of  all  or
     substantially  all of  the  assets  of the  Company  with  or to any  other
     individual(s) or entity,  this Agreement  shall,  subject to the provisions
     hereof, be binding upon and inure to the benefit of such successor and such
     successor shall discharge and perfonn all the promises,  covenants, duties,
     and obligations of the Company hereunder, and; provided,  further, that the
     Executive may assign his rights to compensation  and benefits by will or by
     operation of law or pursuant to Section 27.

16.  Governing Law.

     This Agreement and the legal  relations  hereby created between the parties
     hereto shall be governed by and construed  under and in accordance with the
     internal laws of the State of  California,  without  regard to conflicts of
     laws principles thereof except as provided in Section 14.

17.  Entire Agreement.

     This  Agreement  and the  Indemnification  Agreement  represent  the entire
     agreement of the parties hereto  respecting the matters within the scope of
     this  Agreement and the  Indemnification  Agreement and supersede the Prior
     Agreement  and any and all prior  agreements  of the parties  hereto on the
     subject  matter  hereof  Any  prior  negotiations,   correspondence,  other
     agreements,  proposals  or  understandings  relating to the subject  matter
     hereof shall he deemed to be merged into this  Agreement  and to the extent
     inconsistent  herewith,  such  negotiations,   correspondence,  agreements,
     proposals,  or understandings  shall be deemed to be of no force or effect.
     There are no representations, warranties, or agreements, whether express or
     implied,  or oral or written,  with respect to the subject  matter  hereof,
     except as set forth herein.

18.  Modifications.

     This Agreement shall not be modified by any oral agreement,  either express
     or implied,  and all modifications hereof shall be in writing and signed by
     the parties hereto.

19.  Waiver.

     Failure to insist upon strict compliance with any of the terms,  covenants,
     or conditions  hereof shall not be deemed a waiver of such term,  covenant,
     or  condition,  nor shall any  waiver or  relinquishment  of, or failure to
     insist upon strict compliance with, any right or power hereunder at any one
     or more times be deemed a waiver or  relinquishment  of such right or power
     at any other time or times.

                                       12
<PAGE>

20.  Number and Gender.

     Where the context  requires,  the singular  shall  include the plural,  the
     plural shall include the  singular,  and any gender shall include all other
     genders.

21.  Section Headings.

     The section  headings in this  Agreement are for the purpose of convenience
     only and shall not limit or otherwise affect any of the terms hereof.

22.  Resolution of Disputes.

     Any  controversy  or claim  arising out of or  relating to the  Executive's
     employment,   this   Agreement,   its   enforcement,    arbitrability,   or
     interpretation,   or   because   of  an   alleged   breach,   default,   or
     misrepresentation  in  connection  with  any of its  provisions,  shall  be
     submitted to arbitration in Santa Clara County, California, before a single
     arbitrator,  in accordance  with the National  Rules for the  Resolution of
     Employment Disputes then in effect of the American Arbitration  Association
     ("AAA")  as  modified  by the  terms and  conditions  of this  Section  22;
     provided, however, that provisional injunctive relief may, but need not, be
     sought in a court of law while arbitration proceedings are pending, and any
     provisional  injunctive relief granted by such court shall remain effective
     until the matter is finally  determined by the  arbitrator.  The arbitrator
     shall be  selected  by mutual  agreement  of the parties or, if the parties
     cannot agree,  by striking from a list of arbitrators  supplied by AAA. The
     arbitrator shall issue a written opinion  revealing,  however briefly,  the
     essential  findings and  conclusions  upon which the award is based.  Final
     resolution  of any dispute  through  arbitration  may include any remedy or
     relief which the arbitrator  deems just and equitable.  Any award or relief
     granted  by the  arbitrator  hereunder  shall be final and  binding  on the
     parties hereto and may be enforced by any court of competent jurisdiction.

     The parties acknowledge that they are hereby waiving any rights to trial by
     jury in any action,  proceeding  or  counterclaim  brought by either of the
     parties against the other in connection with any matter whatsoever  arising
     out of or in any way  connected  with  this  Agreement  or the  Executive's
     employment.

     The Company shall pay the  arbitrator's  fees and arbitration  expenses and
     any other costs associated with the arbitration or arbitration hearing that
     are  unique to  arbitration.  The  Company  and the  Executive  each  shall
     separately pay its or his own  deposition,  witness,  expert and attorneys'
     fees and other  expenses  as and to the same  extent as if the matter  were
     being held in court unless otherwise  provided by law;  provided,  however,
     that if the  Executive  prevails,  the  arbitrator  may award the Executive
     reasonable  attorneys' fees. The arbitrator shall resolve any dispute as to
     reasonableness  of any fee or cost. The arbitrator  shall have the sole and
     exclusive power and authority to decide any and all issues of or related to
     arbitrability.

                                       13
<PAGE>

23.  Severability.

     In the event that a court of  competent  jurisdiction  determines  that any
     portion of this  Agreement is in violation of any statute or public policy,
     then only the  portions of this  Agreement  which  violate  such statute or
     public policy shall be stricken,  and all portions of this Agreement  which
     do not violate any statute or public  policy  shall  continue in full force
     and  effect.  Furthermore,  any court  order  striking  any portion of this
     Agreement  shall modify the stricken  terms as narrowly as possible to give
     as much  effect as  possible to the  intentions  of the parties  under this
     Agreement.

24.  Notices.

     All notices  under this  Agreement  shall be in writing and shall be either
     personally  delivered or mailed postage prepaid,  by certified mail, return
     receipt requested:

     (i)  if to the Company:

          Ultratech, Inc.
          3050 Zanker Road
          San Jose, California 95134
          Attention: Chair, Compensation Committee of the Board of Directors

     (ii) if to the Executive:

          Bruce R. Wright
          47 Red Birch Court
          Danville, CA 94506

     Either party may change its address set forth above by written notice given
     to the other party in accordance  with the  foregoing.  Any notice shall be
     effective when personally delivered,  or five (5) business days after being
     mailed in accordance with the foregoing.

25.  Counterparts.

     This Agreement may be executed in any number of counterparts, each of which
     shall be deemed an original and all of which together shall  constitute one
     and the same instrument.

26.  Withholding Taxes.

     The Company may withhold from any amounts payable under this Agreement such
     federal,  state  and local  income,  employment,  or other  taxes as may be
     required to be withheld pursuant to any applicable law or regulation.

27.  Beneficiaries.

     The  Executive  shall  be  entitled,  to the  extent  permitted  under  any
     applicable  law and to the  extent  permitted  under  any  benefit  plan or
     program  maintained by the Company,  to select and change a beneficiary  or
     beneficiaries  to receive any compensation or benefit  hereunder  following

                                       14
<PAGE>

     the  Executive's  death by giving the  Company  written  notice  thereof in
     accordance  with the  terms of such  plan or  program.  In the event of the
     Executive's  death  or  a  judicial   determination  of  his  incompetence,
     reference  in this  Agreement  to the  Executive  shall  be  deemed,  where
     appropriate,   to  refer  to  his   beneficiary,   estate  or  other  legal
     representative.

28.  Director's and Officer's Insurance.

     The Company shall provide  director's and officer's  insurance coverage for
     the  Executive  to the extent the Company  provides  such  coverage for its
     other senior executive officers.

29.  No Mitigation or Offset.

     In the event of any  termination of employment  under this  Agreement,  the
     Executive  shall be under no obligation to seek other  employment and there
     shall be no offset against  amounts due the Executive  under this Agreement
     on account of any  remuneration  attributable to any subsequent  employment
     that  he  may  obtain  except  (i) as  specifically  provided  in  Sections
     5.2(iii),  6.2(iii) and 8.2(iii) of this  Agreement,  or (ii) on account of
     any claims the Company may have against the Executive.

30.  Right to Advice of Counsel

     The  Executive  acknowledges  that he has had the  right  to  consult  with
     counsel  and is fully  aware  of his  rights  and  obligations  under  this
     Agreement.  O'Melveny & Myers, LLP has served as the Company's counsel with
     respect to this Agreement.

31.  Section 409Ab

     It is not the intent of the parties  that the  amendments  accomplished  by
     this amended and restated  agreement will make this agreement in compliance
     with Section  409A of the Code at this time,  however,  the parties  shall,
     prior to December  31, 2006 or any  extended  compliance  date,  amend this
     agreement in such a way as the parties in good faith determine is necessary
     to ensure  compliance with Section 409A. The Company  reserves the right to
     amend this  Agreement in any way that the Company in good faith  determines
     may be  advisable  to  help  ensure  compliance  with  Section  409A of the
     Internal  Revenue Code and any  regulations  or other  guidance  thereunder
     (together,  "Section  409A").  Any such amendment  shall  preserve,  to the
     extent  reasonably  possible  and in a manner  intended to satisfy  Section
     409A,  the  original  intent  of the  parties  and the  level  of  benefits
     hereunder.  Without  limiting the generality of the foregoing,  the Company
     may suspend (without  interest) the payment of any compensation or benefits
     pursuant  to this  Agreement  to the extent  that the Company in good faith
     determines that the Executive is a "specified  individual" (as such term is
     used in Section 409A) and the  suspension of benefits is advisable to avoid
     the imputation of penalties or taxes under Section 409A.

32.  Survival.

     Upon the termination of this Agreement,  the provisions of Sections 4.4, 5,
     6, 7, 8, 9, 10,  11,  12.  13,  14,  16,  22,  23,  24, 26, 28 and 29 shall
     survive.

                                       15
<PAGE>

         IN WITNESS WHEREOF, the Company and the Executive have executed this
Employment Agreement as of the date first above written.

                                        THE COMPANY

                                        Ultratech, Inc.,
                                        a Delaware corporation

                                        By: /s/ Art Zafiropoulo
                                            ------------------------------------
                                                Art Zafiropoulo
                                                Chief Executive Officer

                                        THE EXECUTIVE

                                        /s/ Bruce R. Wright
                                        --------------------
                                        Bruce R. Wright

                                       16Exhibit 10.14
 

 

 

 

 

 

SHENANDOAH TELEPHONE COMPANY

EXECUTIVE SUPPLEMENTAL RETIREMENT PLAN

 

 

 

 

 

 

 

 

 

 

Effective December 31, 2006

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

TABLE OF CONTENTS

 

	 INTRODUCTION
	
        1

	 ARTICLE
        I  DEFINITIONS
	
        2

	  
	 1.01. 
        Actuarial Equivalent
	   2

	  
	 1.02.
         Accrued Benefit
	   2

	  
	 1.03.
         Affiliate
	   2

	  
	 1.04.
         Applicable Percentage
	   2

	  
	 1.05.
         Beneficiary
	   2

	  
	 1.06.
         Board
	   3

	  
	 1.07. 
        Committee
	   3

	  
	 1.08.
         Company
	   3

	  
	 1.09. 
        Compensation
	   3

	  
	 1.10. 
        Credited Service
	   3

	  
	 1.11. 
        Early Retirement Date
	   3

	  
	 1.12.  Employee
	   3

	  
	 1.13. 
        Final Compensation
	   3

	  
	 1.14. 
        Hour of Service
	   3

	  
	 1.15.  Normal
        Retirement Date
	   4

	  
	 1.16. 
        Participant
	   4

	  
	 1.17. 
        Plan Year
	   4

	  
	 1.18. 
        Regular Retirement Plan
	   4

	  
	 1.19. 
        Surviving Spouse
	   4

	 ARTICLE
        II  PARTICIPATION
	
        5

	 ARTICLE
        III  RETIREMENT BENEFITS
	
        6

	  
	 3.01. 
        Normal Retirement Benefit
	   6

	  
	 3.02. 
        Early Retirement Benefit
	   6

	  
	 3.03. 
        Deferred Retirement Benefit
	   6

	  
	 3.04. 
        Pre-Retirement Death Benefit
	   6

	  
	 3.05.
         Post-Retirement Death Benefit
	   7

	  
	 3.06. 
        Forfeiture of Benefit
	   7

	  
	 3.07. 
        Optional Forms of Retirement Payments
	   7

	  
	 3.08. 
        Enhanced Retirement Benefit
	
        9

	  
	 3.09. 
        Distributions to Specified Employees
	
      10

	 ARTICLE
        IV ADMINISTRATION OF THE PLAN
	
      11

	  
	 4.01.
         Administrative Rules
	
      11

	  
	 4.02.
         Claims Procedure
	
      11

			

 

- i -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

	 ARTICLE
        V  AMENDMENTS AND TERMINATION
	 13

	 ARTICLE
        VI  MISCELLANEOUS
	 14

	  
	 6.01. 
        No Guarantee of Employment
	 14

	  
	 6.02.
         Liability
	 14

	  
	 6.03.
         Nonassignability
	 14

	  
	 6.04.
         Construction
	 14

	  
	 6.05.
         Governing Law
	 14

	 SIGNATURE
        PAGE
	 15

			

 

 

 

 

- ii -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

INTRODUCTION

Effective May 12, 2003, the Board of Directors of Shenandoah Telephone Company (the “Company”) adopted this Executive Supplemental Retirement Plan (the “Plan”) for selected key employees who are Participants in the Shenandoah Telephone Company Retirement Plan (such plan hereinafter referred to as “the Regular Retirement Plan”). 

The purpose of this Plan is to provide retirement benefits in addition to those provided under the Regular Retirement Plan. The Plan is intended to be a plan that is unfunded and maintained primarily for the purpose of providing deferred compensation for a “select group of management or highly compensated employees” (as such phrase is used in the Employee Retirement Income Security Act of 1974). The Plan must be administered and construed in a manner that is consistent with that intent.

On December 22, 2006, the Company amended the Plan to include a lump-sum distribution option and to allow Participants to elect, by no later than December 31, 2006, the form of payment with respect to benefits payable in 2007, consistent with guidance issued under section 409A of the Internal Revenue Code of 1986, as amended (the “Code”). Effective December 31, 2006, the Company amended and restated the Plan (i) to comply with Code section 409A, in accordance with proposed regulations promulgated thereunder, (ii) to provide for an enhanced early retirement benefit, and (iii) to clarify that the lump-sum distribution option added to the Plan by the December 22, 2006, amendment is intended to apply only to participants who receive the enhanced early retirement benefit. Although this amended and restated Plan document is effective as of December 31, 2006, the amendments required
by Code section 409A are effective as of January 1, 2005.

 

- 1 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

ARTICLE I

DEFINITIONS

The terms used herein shall have the meanings set forth in Article I of the Shenandoah Telephone Company Retirement Plan (the “Regular Retirement Plan”) except as modified below or otherwise provided in this document.

	
            1.01.
 	
            Actuarial Equivalent 
 

Actuarial Equivalent means, when used in reference to any form of benefit, a form of benefit which has the same value as the referenced benefit based on actuarial assumptions and methods employed in determining actuarial equivalence under the Regular Retirement Plan.

	
            1.02.
 	
            Accrued Benefit
 

Accrued Benefit means, on any given date, a monthly benefit for the life of a Participant determined as follows:

(1)   the Applicable Percentage of the Participant’s Final Compensation; less

(2)   the accrued monthly benefit payable at age 65 to the Participant under the Regular Retirement Plan on that date; less

(3)   the Participant’s estimated monthly Primary Social Security Benefit payable at age 65.

	
            1.03.
 	
            Affiliate 
 

Affiliate means any corporation which, when considered with the Company, would constitute, a controlled group of corporations within the meaning of Code section 1563(a) determined without reference to Code section 1563(a)(4) and 1563(e)(3)(C).

	
            1.04.
 	
            Applicable Percentage
 

Applicable Percentage means 50% for Participants with 20 years or less of Credited Service. The Applicable Percentage is increased by 1% for each additional year of Credited Service up to a maximum of 70% with 40 years of Credited Service. Notwithstanding the preceding, for purposes of determining the Applicable Percentage, Credited Service shall not take into account any service after December 31, 2006. 

	
            1.05.
 	
            Beneficiary
 

Beneficiary means any person designated by a Participant to receive such benefits as may become payable under the Plan after the death of the Participant.

 

- 2 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

	
            1.06.
 	
            Board
 

Board means the Board of Directors of the Company.

	
            1.07.
 	
            Committee
 

Committee means the committee appointed by the Board to administer the Plan.

	
            1.08.
 	
            Company
 

Company means the Shenandoah Telephone Company.

	
            1.09.
 	
            Compensation 
 

Compensation means the taxable earnings paid in cash by the Company to the Participant, plus amounts deferred under Code section 401(k) and amounts of earnings that are reduced under Code section 125 pursuant to the Participant’s salary reduction agreement.

	
            1.10.
 	
            Credited Service 
 

Credited Service means credited service as defined in the Regular Retirement Plan.

	
            1.11.
 	
            Early Retirement Date
 

Early Retirement Date means the first day of the month coinciding with or next following the month in which the Participant attains age sixty (60) and completes ten (10) years of Credited Service.

	
            1.12.
 	
            Employee
 

Employee means an employee of the Company or an Affiliate of the Company.

	
            1.13.
 	
            Final Compensation
 

Final Compensation means, as of the date of determination, one-twelfth (1/12th) of the Participant’s total Compensation for the twelve consecutive months immediately preceding the earlier of the date of determination, or December 31, 2006.

	
            1.14.
 	
            Hour of Service
 

Hour of Service means hour of service as defined in the Regular Retirement Plan.

 

- 3 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

	
            1.15.
 	
            Normal Retirement Date
 

Normal Retirement Date means the first day of the month coinciding with or next following the month in which the Participant attains age sixty-five (65) and completes ten (10) years of credited service with the Company.

	
            1.16.
 	
            Participant
 

Participant means an Employee who becomes a Participant in the Plan pursuant to Plan Article II hereof.

	
            1.17.
 	
            Plan Year
 

Plan Year means each 12-month period beginning on January 1 and ending on December 31.

	
            1.18.
 	
            Regular Retirement Plan
 

Regular Retirement Plan means the Shenandoah Telephone Company Retirement Plan as amended for the applicable time.

	
            1.19.
 	
            Surviving Spouse
 

Surviving Spouse means the person to whom the Participant is legally married on the Participant’s date of death.

 

- 4 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

ARTICLE II

PARTICIPATION

(a)        Any Employee who is selected by the Board to participate in the Plan and whose participation is approved in writing by a resolution adopted by the Board will become a Participant.

(b)        A Participant shall cease to be a Participant in the Plan if his employment terminates prior to his Early Retirement Date, upon the Participant’s death or when his Accrued Benefit under the Plan is paid in full.

 

- 5 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

ARTICLE III

RETIREMENT BENEFITS

	
            3.01.
 	
            Normal Retirement Benefit
 

A Participant who retires on his Normal Retirement Date shall be entitled to receive his Accrued Benefit as of his Normal Retirement Date. Except as provided in section 3.09, the monthly retirement benefit shall be paid or begin to be paid on the first day of the month after the month in which the Participant retires and, except as provided in section 3.07, shall continue until the month in which the Participant dies.

	
            3.02.
 	
            Early Retirement Benefit
 

A Participant who retires on or after his Early Retirement Date but before his Normal
Retirement Date shall be entitled to receive his Accrued Benefit as of the date he retires,
reduced by five-ninths of one percent (5/9%) for each of the first 60 months and five-eighteenths of one percent
(5/18%) for each of the next 60 months by which the Participant’s date of retirement precedes his Normal Retirement Date. Except as provided in section 3.09, the monthly retirement benefit shall be paid or begin to be paid on the first day of the month after the month in which the Participant retires and, except as provided in section 3.07, shall continue until the month in which the Participant dies.

	
            3.03.
 	
            Deferred Retirement Benefit
 

A Participant who retires on his Deferred Retirement Date shall be entitled to receive his Accrued Benefit as of his Deferred Retirement Date. Except as provided in section 3.09, the monthly retirement benefit shall be paid or begin to be paid on the first day of the month after the month in which the Participant retires and, except as provided in section 3.07, shall continue until the month in which the Participant dies.

	
            3.04.
 	
            Pre-Retirement Death Benefit
 

(a)        If a Participant dies while in the Company’s employ, and on or after either (i) completing fifteen (15) years of Credited Service, or (ii) his Early Retirement Date, there shall be payable to the Surviving Spouse the monthly retirement allowance that would have been payable to the Surviving Spouse if the Participant had retired on the day before his death, elected to receive his Accrued Benefit as a joint and 50% survivor annuity (Option 3 in section 3.07) and died one day later.

(b)        The monthly retirement allowance payable to the Surviving Spouse shall begin on the first day of the month after the month of the Participant’s death and shall continue until the month in which the Surviving Spouse dies.

 

- 6 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

	
            3.05.
 	
            Post-Retirement Death Benefit
 

Upon the death of a Participant who is receiving benefits under the Plan, his Surviving Spouse or Beneficiary shall be entitled to receive the monthly retirement allowance, if any, payable under the form of benefit in which the Participant was receiving the benefit prior to his death.

	
            3.06.
 	
            Forfeiture of Benefit
 

Except as provided in section 3.04, a Participant forfeits his Accrued Benefit if his employment is terminated for any reason prior to his Early Retirement Date.

	
            3.07.
 	
            Optional Forms of Retirement Payments
 

Each Participant shall have the right to make a written election, subject to the approval of the Committee, to have his retirement allowance under Plan section 3.01, 3.02 or 3.03 paid under one of the options set forth in this Plan section, except that Option 6 shall be limited to Participants eligible to receive an enhanced retirement benefit under section 3.08. The optional forms of benefit set forth in this Plan section shall be the Actuarial Equivalent of the benefit payable under Plan section 3.01, 3.02 or 3.03.

OPTION 1. TEN YEARS CERTAIN AND CONTINUOUS OPTION

 

A Participant may elect to receive a reduced retirement allowance during his lifetime and, upon his death after retirement but before 120 monthly retirement allowance payments have fallen due, such reduced retirement allowance shall be continued to his designated Beneficiary until the remainder of such 120 monthly payments have been made. If the designated Beneficiary is not living at the death of the Participant, the Actuarial Equivalent of the remaining guaranteed payments shall be paid in a lump sum to the estate of the Participant or to such members of the Participant’s family as the Committee in its sole discretion shall designate. If payments are continued to the Beneficiary and the Beneficiary should then die before a combined total of 120 monthly payments have been made to the Participant and the Beneficiary, the Actuarial Equivalent of the remaining guaranteed payments shall
be paid in a lump sum to the estate of the Beneficiary.

 

OPTION 2. FIFTEEN YEARS CERTAIN AND CONTINUOUS OPTION

 

A Participant may elect to receive a reduced retirement allowance during his lifetime and, upon his death after retirement but before 180 monthly retirement allowance payments have fallen due, such reduced retirement allowance shall be continued to his designated Beneficiary until the remainder of such 180 monthly payments have been made. If the designated Beneficiary is not living at the death of the Participant, the Actuarial Equivalent of the remaining guaranteed payments shall be paid in a lump sum to the estate of the Participant or to such members of the Participant’s family as the Committee 

 

- 7 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

in its sole discretion shall designate. If payments are continued to the Beneficiary and the Beneficiary should then die before a combined total of 180 monthly payments have been made to the Participant and the Beneficiary, the Actuarial Equivalent of the remaining guaranteed payments shall be paid in a lump sum to the estate of the Beneficiary.

 

OPTION 3. JOINT AND 50% SURVIVOR ANNUITY

 

A Participant may elect to receive a reduced retirement allowance during his lifetime and, upon his death after retirement, a monthly benefit shall be paid to his Surviving Spouse, if any, equal to 50% of the monthly annuity payable to the Participant during his lifetime. The Surviving Spouse’s benefit shall be payable beginning with the month following the Participant’s death and shall continue to be paid to the Surviving Spouse during the Surviving Spouse’s lifetime.

 

OPTION 4. JOINT AND 75% SURVIVOR ANNUITY

 

A Participant may elect to receive a reduced retirement allowance during his lifetime and, upon his death after retirement, a monthly benefit shall be paid to his Surviving Spouse, if any, equal to 75% of the monthly annuity payable to the Participant during his lifetime. The Surviving Spouse’s benefit shall be payable beginning with the month following the Participant’s death and shall continue to be paid to the Surviving Spouse during the Surviving Spouse’s lifetime.

 

OPTION 5. JOINT AND 100% SURVIVOR ANNUITY

 

A Participant may elect to receive a reduced retirement allowance during his lifetime and, upon his death after retirement, a monthly benefit shall be paid to his Surviving Spouse, if any, equal to the monthly annuity payable to the Participant during his lifetime. The Surviving Spouse’s benefit shall be payable beginning with the months following the Participant’s death and shall continue to be paid to the Surviving Spouse during the Surviving Spouse’s lifetime.

 

OPTION 6. LUMP SUM PAYMENT

 

A Participant who is eligible to receive an enhanced retirement benefit under section 3.08 may elect to receive his retirement allowance as a single lump sum payment.

 

Consistent with Code section 409A and guidance issued thereunder, a Participant may elect, no later than December 31, 2006, to receive his retirement allowance under one of the optional forms of benefit described in this section 3.07; provided however, that the Participant’s election may not (i) postpone until 2007 or a later year the payment of a Plan benefit that otherwise would have been payable in the year in which the election is made or (ii) accelerate to the year in which the election is made the payment of a Plan benefit that otherwise would have been payable in 2007 or a later year. An election under the preceding sentence must be in

 

 

- 8 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

writing and submitted in the manner prescribed by the Committee. If the Participant does not elect an optional form of payment by the required date, then a benefit payable in 2007 or a later year will be paid as a joint and 50% survivor annuity (Option 3) if the Participant is married on the date of his retirement or, if he is not married on that date, in the manner described in sections 3.01, 3.02, and 3.03 (i.e., as a single life annuity).

	
            3.08.
 	
            Enhanced Retirement Benefit
 

(a)        Notwithstanding anything in the Plan to the contrary, the retirement allowance payable under the Plan shall be computed with additional years of age and additional years of Credited Service as provided in subsection 3.08(b) if (i) the Participant is described in subsection 3.08(c), (ii) the Participant elects to retire as provided in subsection 3.08(d), (iii) the Participant actually retires as provided in subsection 3.08(e) and (iv) the Participant executes a release as provided in subsection 3.08(f).

(b)        If the requirements of this section 3.08 are satisfied, the Participant’s retirement allowance and the Participant’s rights under the Plan shall be determined as if the Participant’s age on his date of retirement is the lesser of (i) the sum of (x) the Participant’s actual age plus (y) five years or (ii) age 65. If the requirements of this section 3.08 are satisfied, the Participant’s retirement allowance and the Participant’s rights under the Plan shall be determined as if the Participant’s years of Credited Service equal the sum of the Participant’s years of Credited Service on his date of retirement plus the lesser of (i) five years of Credited Service or (ii) the number of years of Credited Service
that the Participant would earn if he continued employment from his date of retirement until his sixty-fifth birthday. The adjusted age and Credited Service awarded under this subsection 3.08(b) shall be taken into account for purposes of determining whether the Participant is described in subsection 3.08(c), for purposes of determining whether the Participant retires on his Normal Retirement Date or Early Retirement Date, for purposes of calculating the Participant’s Accrued Benefit and for purposes of calculating the benefit reduction under section 3.02.

(c)        A Participant is described in this subsection 3.08(c) if, as of the date of his retirement, the Participant has attained age 55 and has completed 10 years of Credited Service. For purposes of this subsection 3.08(c), the Participant’s age and Credited Service shall include any age and Credited Service that will be awarded under subsection 3.08(b) if the requirements of this section 3.08 are satisfied.

(d)        The age and Credited Service awarded under subsection 3.08(b) shall be credited to a Participant described in subsection 3.08(c) only if such Participant elects, on or after December 8, 2006, and no later than January 23, 2007, to retire from the service of the Company and its Affiliates. The Participant’s election must be made in accordance with procedures established by the Committee.

(e)        The age and Credited Service awarded under subsection 3.08(b) shall be credited to a Participant described in subsection 3.08(c) only if such Participant satisfies the requirements 

 

- 9 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

of subsection 3.08(d) and actually retires from the service of the Company and its Affiliates on a date acceptable to the Company and no later than April 30, 2007.

(f)         As a condition to receiving an enhanced retirement allowance and other rights under this section 3.08, the Participant must execute a release and waiver of claims, in a form prescribed by the Company. The requirement of this subsection 3.08(f) is satisfied on the date that such executed release becomes effective and irrevocable by the Participant.

	
            3.09.
 	
            Distributions to Specified Employees
 

Notwithstanding Plan sections 3.01, 3.02, 3.03, or 3.08, in the case of a Participant who is a “specified employee” within the meaning of Code section 409A(a)(2)(B)(i), a distribution under the Plan on account of a termination of employment for a reason other than the Participant’s death or because the Participant is “disabled” within the meaning of Code section 409A(a)(2)(C), shall commence on the first day of the seventh month beginning after the Participant’s termination. Payments to which the specified employee would otherwise be entitled during the first six months following termination shall be accumulated (without interest or other adjustment) and paid as of the first day of the seventh month beginning after the month in which the Participant terminates.

 

- 10 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

ARTICLE IV

ADMINISTRATION OF THE PLAN

	
            4.01.
 	
            Administrative Rules
 

The Company reserves the right to adopt any rules for the administration and application of the Plan as necessary which are not inconsistent with the express terms hereof, to amend or revoke any such rule, and to interpret the Plan and any rules adopted pursuant to this Plan Article. All actions taken and all determinations made by the Company in good faith shall be final and binding upon all Participants, beneficiaries, or other persons interested in the Plan.

	
            4.02.
 	
            Claims Procedure
 

(a)        All claims for benefits under the Plan shall be submitted to the Committee or such person as the Committee may designate in writing who shall have the initial responsibility for determining the eligibility of any claim for benefits. All claims for benefits shall be made in writing and shall set forth the facts which such claimant believes to be sufficient to entitle him to the benefit claimed.

(b)        In the event a claim for benefits is denied the claimant shall be notified in writing or by electronic mail within ninety (90) days after the claim is submitted. The notice shall be written in a manner calculated to be understood by the claimant and shall include:

(1)        The specific reason or reasons for the denial;

(2)        Specific references to the pertinent Plan provisions on which the denial is based;

(3)        A description of any additional material or information necessary for the claimant to perfect the claim and an explanation why such material or information is necessary; and

(4)        An explanation of the Plan’s claim review procedures and time limits applicable to such procedures, including the claimant’s right to bring a civil action under ERISA section 502(a) following an adverse benefit determination on review.

If special circumstances require an extension of time for processing the initial claim, a written notice of the extension and the reason therefore shall be furnished to the claimant before the end of the initial 90 day period. In no event shall the extension exceed 90 days.

(c)        In the event a claim for benefits is wholly or partly denied, the claimant or his duly authorized representative, at the claimant’s sole expense, may appeal the denial to the Committee within 60 days of the receipt of written notice of the denial. In pursuing the appeal the claimant or his duly authorized representative:

 

- 11 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

(1)        may request in writing that the Committee review the denial, taking into account all comments, documents, records and information submitted by the claimant relating to the claim without regard to whether the information was submitted or considered in the initial benefit determination;

(2)        upon request, and free of charge, may review or receive copies of documents and records relevant to the claim for benefits; and

(3)        may submit documents, records and written issues relating to the claim.

The decision on review shall be made within 60 days of receipt of the request for review, unless special circumstances require an extension of time for processing, in which case a decision shall be rendered as soon as possible, but not later than 120 days after receipt of the request for review. If such an extension of time is required, written notice of the extension shall be furnished to the claimant before the end of the original 60 day period. The decision on review shall be made in writing, shall be written in a manner calculated to be understood by the claimant, and shall include specific references to the provisions of the Plan on which the denial is based.

 

- 12 -

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

ARTICLE V

AMENDMENTS AND TERMINATION

The Company hopes and expects to continue the Plan indefinitely, but reserves the right, by resolution of the Board or any executive committee of the Board, to amend, modify, or terminate the Plan at any time and for any reason by a majority vote of its members, by unanimous consent in lieu of a meeting or in any other manner applicable under state law; provided, however, that no amendment or termination of the Plan shall cause a distribution of benefits in violation of Code section 409A. In addition, the Board or the executive committee of the Board may delegate to an appropriate officer, or officers of the Company, or committee, may delegate to the all or part of the authority to amend or terminate the Plan.

 

- 13 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

ARTICLE VI

MISCELLANEOUS

	
            6.01.
 	
            No Guarantee of Employment
 

The Plan does not in any way limit the right of the Company or an Affiliate at any time and for any reason to terminate the Participant’s employment or such Participant’s status as an officer of the Company or an Affiliate. In no event shall the Plan by its terms or implications constitute an employment contract of any nature whatsoever between the Company or an Affiliate and a Participant.

	
            6.02.
 	
            Liability
 

A Participant’s right to a benefit under the Plan shall be solely that of an unsecured creditor of the Company. The source of Plan benefits pursuant to the Plan shall be the general funds of the Company; no assets of the Company or its subsidiaries shall be segregated or committed to insure the Company’s or its subsidiaries’ obligations hereunder. No officer, director, or stockholder of the Company or its subsidiaries shall be individually liable therefore, or on account of any claim arising by reason of the provisions of this Plan or of any instrument or instruments implementing the provisions or purposes hereof.

	
            6.03.
 	
            Nonassignability
 

The rights, interests, and benefits of a Participant (or beneficiary thereof) in this Plan shall not be subject to assignment, anticipation, transfer, pledge, hypothecation or other transfer, and such rights, interests and benefits shall not be liable for the debts, contracts, or engagements of a Participant (or beneficiary thereof), or otherwise subject to execution, attachment, garnishment, or similar process.

	
            6.04.
 	
            Construction
 

Headings are given for ease of reference and must be disregarded in interpreting the Plan. Masculine pronouns wherever used shall include feminine pronouns and the use of the singular shall include the plural.

	
            6.05.
 	
            Governing Law
 

This Plan shall be governed by the laws of the Commonwealth of Virginia (other than its choice-of-law provisions) except to the extent that the laws of the Commonwealth of Virginia are preempted by the laws of the United States.

 

- 14 -

 

 

 

Shenandoah Telephone Company

Executive Supplemental Retirement Plan

Effective December 31, 2006

 

 

 

SIGNATURE PAGE

As evidence of its adoption of the restated Shenandoah Telephone Company Executive Supplemental Retirement Plan Effective December 31, 2006, the Company has caused this document to be executed by its duly authorized officer as of the 18th day of January, 2007.

 

SHENANDOAH TELEPHONE COMPANY

	 By:
        /s/ Christopher E. French              

               Christopher E. French

               President 
	 

					

 

 

- 15 -

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00116-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00116-of-00352.parquet"}]]