Document:

exv10w15

EXHIBIT 10.15

VIRTUSA CORPORATION

2007 STOCK OPTION AND INCENTIVE PLAN

			
	SECTION 1.	 	GENERAL PURPOSE OF THE PLAN; DEFINITIONS

     The name of the plan is the Virtusa Corporation 2007 Stock Option and Incentive Plan (the
“Plan”). The purpose of the Plan is to encourage and enable the officers, employees, Non-Employee
Directors and other key persons (including consultants and prospective employees) of Virtusa
Corporation (the “Company”) and its Subsidiaries upon whose judgment, initiative and efforts the
Company largely depends for the successful conduct of its business to acquire a proprietary
interest in the Company. It is anticipated that providing such persons with a direct stake in the
Company’s welfare will assure a closer identification of their interests with those of the Company
and its stockholders, thereby stimulating their efforts on the Company’s behalf and strengthening
their desire to remain with the Company.

     The following terms shall be defined as set forth below:

     “Act” means the Securities Act of 1933, as amended, and the rules and regulations thereunder.

     “Administrator” means either the Board or the compensation committee of the Board or a similar
committee performing the functions of the compensation committee and which is comprised of not less
than two Non-Employee Directors who are independent.

     “Award” or “Awards,” except where referring to a particular category of grant under the Plan,
shall include Incentive Stock Options, Non-Qualified Stock Options, Stock Appreciation Rights,
Deferred Stock Awards, Restricted Stock Awards, Unrestricted Stock Awards, Cash-based Awards and
Dividend Equivalent Rights.

     “Award Agreement” means a written or electronic agreement setting forth the terms and
provisions applicable to an Award granted under the Plan. Each Award Agreement is subject to the
terms and conditions of the Plan.

     “Board” means the Board of Directors of the Company.

     “Cash-based Award” means an Award entitling the recipient to receive a cash-denominated
payment.

     “Code” means the Internal Revenue Code of 1986, as amended, and any successor Code, and
related rules, regulations and interpretations.

     “Covered Employee” means an employee who is a “Covered Employee” within the meaning of Section
162(m) of the Code.

     “Deferred Stock Award” means an Award of phantom stock units to a grantee.

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     “Dividend Equivalent Right” means an Award entitling the grantee to receive credits based on
cash dividends that would have been paid on the shares of Stock specified in the Dividend
Equivalent Right (or other award to which it relates) if such shares had been issued to and held by
the grantee.

     “Effective Date” means the date on which the Plan is approved by stockholders as set forth in
Section 19.

     “Exchange Act” means the Securities Exchange Act of 1934, as amended, and the rules and
regulations thereunder.

     “Fair Market Value” of the Stock on any given date means the fair market value of the Stock
determined in good faith by the Administrator; provided, however, that if the Stock is admitted to
quotation on the National Association of Securities Dealers Automated Quotation System (“NASDAQ”),
NASDAQ Global Market or another national securities exchange, the determination shall be made by
reference to market quotations. If there are no market quotations for such date, the determination
shall be made by reference to the last date preceding such date for which there are market
quotations, provided further, however, that if the date for which Fair Market Value is determined
is the first day when trading prices for the Stock are reported on a national securities exchange,
the Fair Market Value shall be the “Price to the Public” (or equivalent) set forth on the cover
page for the final prospectus relating to the Company’s Initial Public Offering.

     “Incentive Stock Option” means any Stock Option designated and qualified as an “incentive
stock option” as defined in Section 422 of the Code.

     “Initial Public Offering” means the consummation of the first fully underwritten, firm
commitment public offering pursuant to an effective registration statement under the Act covering
the offer and sale by the Company of its equity securities, or such other event as a result of or
following which the Stock shall be publicly held.

     “Non-Employee Director” means a member of the Board who is not also an employee of the Company
or any Subsidiary.

     “Non-Qualified Stock Option” means any Stock Option that is not an Incentive Stock Option.

     “Option” or “Stock Option” means any option to purchase shares of Stock granted pursuant to
Section 5.

     “Restricted Stock Award” means an Award entitling the recipient to acquire, at such purchase
price (which may be zero) as determined by the Administrator, shares of Stock subject to such
restrictions and conditions as the Administrator may determine at the time of grant.

     “Sale Event” shall mean (i) the sale of all or substantially all of the assets of the
Company on a consolidated basis to an unrelated person or entity, (ii) a merger, reorganization or
consolidation in which the outstanding shares of Stock are converted into or exchanged for
securities of the successor entity and the holders of the Company’s outstanding voting power

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immediately prior to such transaction do not own a majority of the outstanding voting power of the
successor entity immediately upon completion of such transaction, or (iii) the sale of all of the
Stock of the Company to an unrelated person or entity.

     "Sale Price” means the value as determined by the Administrator of the consideration payable,
or otherwise to be received by stockholders, per share of Stock pursuant to a Sale Event.

     “Section 409A” means Section 409A of the Code and the regulations and other guidance
promulgated thereunder.

     “Stock” means the Common Stock, par value $0.01 per share, of the Company, subject to
adjustments pursuant to Section 3.

     “Stock Appreciation Right” means an Award entitling the recipient to receive shares of Stock
having a value equal to the excess of the Fair Market Value of the Stock on the date of exercise
over the exercise price of the Stock Appreciation Right multiplied by the number of shares of Stock
with respect to which the Stock Appreciation Right shall have been exercised.

     “Subsidiary” means any corporation or other entity (other than the Company) in which the
Company has at least a 50 percent interest, either directly or indirectly.

     “Ten Percent Owner” means an employee who owns or is deemed to own (by reason of the
attribution rules of Section 424(d) of the Code) more than 10 percent of the combined voting power
of all classes of stock of the Company or any parent or subsidiary corporation.

     “Unrestricted Stock Award” means an Award of shares of Stock free of any restrictions.

			
	SECTION 2.	 	ADMINISTRATION OF PLAN; ADMINISTRATOR AUTHORITY TO SELECT GRANTEES AND DETERMINE AWARDS

     (a) Administration of Plan. The Plan shall be administered by the Administrator.

     (b) Powers of Administrator. The Administrator shall have the power and authority to
grant Awards consistent with the terms of the Plan, including the power and authority:

          (i) to select the individuals to whom Awards may from time to time be granted;

          (ii) to determine the time or times of grant, and the extent, if any, of Incentive Stock
Options, Non-Qualified Stock Options, Stock Appreciation Rights, Restricted Stock Awards, Deferred
Stock Awards, Unrestricted Stock Awards, Cash-based Awards and Dividend Equivalent Rights, or any
combination of the foregoing, granted to any one or more grantees;

          (iii) to determine the number of shares of Stock to be covered by any Award;

          (iv) to determine and modify from time to time the terms and conditions, including
restrictions, not inconsistent with the terms of the Plan, of any Award, which terms and

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conditions may differ among individual Awards and grantees, and to approve the form of written
instruments evidencing the Awards;

          (v) to accelerate at any time the exercisability or vesting of all or any portion of any
Award;

          (vi) subject to the provisions of Section 5(a)(ii), to extend at any time the period in which
Stock Options may be exercised; and

          (vii) at any time to adopt, alter and repeal such rules, guidelines and practices for
administration of the Plan and for its own acts and proceedings as it shall deem advisable; to
interpret the terms and provisions of the Plan and any Award (including related written
instruments); to make all determinations it deems advisable for the administration of the Plan; to
decide all disputes arising in connection with the Plan; and to otherwise supervise the
administration of the Plan.

     All decisions and interpretations of the Administrator shall be binding on all persons,
including the Company and Plan grantees.

     (c) Delegation of Authority to Grant Options. Intentionally Deleted.

     (d) Award Agreement. Awards under the Plan shall be evidenced by Award Agreements that
set forth the terms, conditions and limitations for each Award which may include, without
limitation, the term of an Award, the provisions applicable in the event employment or service
terminates, and the Company’s authority to unilaterally or bilaterally amend, modify, suspend,
cancel or rescind an Award.

     (e) Indemnification. Neither the Board nor the Administrator, nor any member of either
or any delegate thereof, shall be liable for any act, omission, interpretation, construction or
determination made in good faith in connection with the Plan, and the members of the Board and the
Administrator (and any delegate thereof) shall be entitled in all cases to indemnification and
reimbursement by the Company in respect of any claim, loss, damage or expense (including, without
limitation, reasonable attorneys’ fees) arising or resulting therefrom to the fullest extent
permitted by law and/or under the Company’s articles or bylaws or any directors’ and officers’
liability insurance coverage which may be in effect from time to time and/or any indemnification
agreement between such individual and the Company.

     (f) Foreign Award Recipients. Notwithstanding any provision of the Plan to the
contrary, in order to comply with the laws in other countries in which the Company and its
Subsidiaries operate or have employees or other individuals eligible for Awards, the Administrator,
in its sole discretion, shall have the power and authority to: (i) determine which Subsidiaries
shall be covered by the Plan; (ii) determine which individuals outside the United States are
eligible to participate in the Plan; (iii) modify the terms and conditions of any Award granted to
individuals outside the United States to comply with applicable foreign laws; (iv) establish
subplans and modify exercise procedures and other terms and procedures, to the extent the
Administrator determines such actions to be necessary or advisable (and such subplans and/or
modifications shall be attached to this Plan as appendices); provided, however, that no such
subplans and/or modifications shall increase the share limitations contained in Section 3(a)

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hereof; and (v) take any action, before or after an Award is made, that the Administrator
determines to be necessary or advisable to obtain approval or comply with any local governmental
regulatory exemptions or approvals. Notwithstanding the foregoing, the Administrator may not take
any actions hereunder, and no Awards shall be granted, that would violate the Exchange Act or any
other applicable United States securities law, the Code, or any other applicable United States
governing statute or law.

			
	SECTION 3.	 	STOCK ISSUABLE UNDER THE PLAN; MERGERS; SUBSTITUTION

     (a) Stock Issuable. The maximum number of shares of Stock reserved and available for
issuance under the Plan shall be the sum of (i) 2,600,000 shares, (ii) the number of Shares under
the Company’s Amended and Restated 2000 Stock Option Plan and 2005 Stock Appreciation Rights Plan
(together, the “Prior Plans”) which are not needed to fulfill the Company’s obligations for awards
issued under the Prior Plans as a result of forfeiture, expiration, cancellation, termination or
net issuances of awards thereunder, and (iii) on April 1, 2008 and on each April 1 thereafter, an
additional number of shares equal to the lower of (A) two and nine tenths percent (2.9%) of the
outstanding number of shares of Stock on the immediately preceding March 31, or (B) such lower
number of shares of Stock as may be determined by the Board of Directors, in each case subject to
adjustment as provided in Section 3(b). For purposes of this limitation, the shares of Stock
underlying any Awards that are forfeited, canceled, held back upon exercise of an Option or
settlement of an Award to cover the exercise price or tax withholding, reacquired by the Company
prior to vesting, satisfied without the issuance of Stock or otherwise terminated (other than by
exercise) (including any such Awards under the Prior Plans) shall be added back to the shares of
Stock available for issuance under the Plan. Subject to such overall limitations, shares of Stock
may be issued up to such maximum number pursuant to any type or types of Award; provided, however,
that (i) Incentive Stock Options may be granted with respect to no more than 2,600,000 shares, plus
on each April 1, starting April 1, 2008, an additional number of shares equal to the lesser of (A)
two and nine tenths percent (2.9%) of the outstanding number of shares of Stock on the immediately
preceding March 31 and (B) 2,600,000 shares of Stock and (ii) Stock Options or Stock Appreciation
Rights with respect to no more than 3,000,000 shares of Stock may be granted to any one individual
grantee during any one calendar year period. The shares available for issuance under the Plan may
be authorized but unissued shares of Stock or shares of Stock reacquired by the Company.

     (b) Changes in Stock. Subject to Section 3(c) hereof, if, as a result of any
reorganization, recapitalization, reclassification, stock dividend, stock split, reverse stock
split or other similar change in the Company’s capital stock, the outstanding shares of Stock are
increased or decreased or are exchanged for a different number or kind of shares or other
securities of the Company, or additional shares or new or different shares or other securities of
the Company or other non-cash assets are distributed with respect to such shares of Stock or other
securities, or, if, as a result of any merger or consolidation, sale of all or substantially all of
the assets of the Company, the outstanding shares of Stock are converted into or exchanged for
securities of the Company or any successor entity (or a parent or subsidiary thereof), the
Administrator shall make an appropriate or proportionate adjustment in (i) the maximum number of
shares reserved for issuance under the Plan, (ii) the number of Stock Options or Stock Appreciation
Rights that can be granted to any one individual grantee, (iii) the number and kind of shares or
other securities subject to any then outstanding Awards under the Plan, (iv) the

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repurchase price, if any, per share subject to each outstanding Restricted Stock Award and (v) the
price for each share subject to any then outstanding Stock Options and Stock Appreciation Rights
under the Plan, without changing the aggregate exercise price (i.e., the exercise price multiplied
by the number of Stock Options and Stock Appreciation Rights) as to which such Stock Options and
Stock Appreciation Rights remain exercisable. The Administrator shall also make equitable or
proportionate adjustments in the number of shares subject to outstanding Awards and the exercise
price and the terms of outstanding Awards to take into consideration cash dividends paid other than
in the ordinary course or any other extraordinary corporate event. The adjustment by the
Administrator shall be final, binding and conclusive. No fractional shares of Stock shall be issued
under the Plan resulting from any such adjustment, but the Administrator in its discretion may make
a cash payment in lieu of fractional shares.

     (c) Mergers and Other Transactions. Except as the Administrator may otherwise specify
with respect to particular Awards in the relevant Award documentation, in the case of and subject
to the consummation of a Sale Event, all Options and Stock Appreciation Rights that are not
exercisable immediately prior to the effective time of the Sale Event shall become fully
exercisable as of the effective time of the Sale Event, all other Awards with time-based vesting,
conditions or restrictions shall become fully vested and nonforfeitable as of the effective time of
the Sale Event and all Awards with conditions and restrictions relating to the attainment of
performance goals may become vested and nonforfeitable in connection with a Sale Event in the
Administrator’s discretion, unless, in any case, the parties to the Sale Event agree that Awards
will be assumed or continued by the successor entity. Upon the effective time of the Sale Event,
the Plan and all outstanding Awards granted hereunder shall terminate, unless provision is made in
connection with the Sale Event in the sole discretion of the parties thereto for the assumption or
continuation of Awards theretofore granted by the successor entity, or the substitution of such
Awards with new Awards of the successor entity or parent thereof, with appropriate adjustment as to
the number and kind of shares and, if appropriate, the per share exercise prices, as such parties
shall agree (after taking into account any acceleration hereunder). In the event of such
termination, (i) the Company shall have the option (in its sole discretion) to make or provide for
a cash payment to the grantees holding Options and Stock Appreciation Rights, in exchange for the
cancellation thereof, in an amount equal to the difference between (A) the Sale Price multiplied by
the number of shares of Stock subject to outstanding Options and Stock Appreciation Rights (to the
extent then exercisable (after taking into account any acceleration hereunder) at prices not in
excess of the Sale Price) and (B) the aggregate exercise price of all such outstanding Options and
Stock Appreciation Rights; or (ii) each grantee shall be permitted, within a specified period of
time prior to the consummation of the Sale Event as determined by the Administrator, to exercise
all outstanding Options and Stock Appreciation Rights held by such grantee.

     (d) Substitute Awards. The Administrator may grant Awards under the Plan in
substitution for stock and stock based awards held by employees, directors or other key persons of
another corporation in connection with the merger or consolidation of the employing corporation
with the Company or a Subsidiary or the acquisition by the Company or a Subsidiary of property or
stock of the employing corporation. The Administrator may direct that the substitute awards be
granted on such terms and conditions as the Administrator considers appropriate in the
circumstances. Any substitute Awards granted under the Plan shall not count against the share
limitation set forth in Section 3(a).

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SECTION 4. ELIGIBILITY

     Grantees under the Plan will be such full or part-time officers and other employees,
Non-Employee Directors and key persons (including consultants and prospective employees) of the
Company and its Subsidiaries as are selected from time to time by the Administrator in its sole
discretion.

SECTION 5. STOCK OPTIONS

     Any Stock Option granted under the Plan shall be in such form as the Administrator may from
time to time approve.

     Stock Options granted under the Plan may be either Incentive Stock Options or Non-Qualified
Stock Options. Incentive Stock Options may be granted only to employees of the Company or any
Subsidiary that is a “subsidiary corporation” within the meaning of Section 424(f) of the Code. To
the extent that any Option does not qualify as an Incentive Stock Option, it shall be deemed a
Non-Qualified Stock Option.

     (a) Stock Options Granted to Employees and Key Persons. The Administrator in its
discretion may grant Stock Options to eligible employees and key persons of the Company or any
Subsidiary. Stock Options granted pursuant to this Section 5(a) shall be subject to the following
terms and conditions and shall contain such additional terms and conditions, not inconsistent with
the terms of the Plan, as the Administrator shall deem desirable. If the Administrator so
determines, Stock Options may be granted in lieu of cash compensation at the optionee’s election,
subject to such terms and conditions as the Administrator may establish.

          (i) Exercise Price. The exercise price per share for the Stock covered by a Stock
Option granted pursuant to this Section 5(a) shall be determined by the Administrator at the time
of grant but shall not be less than 100 percent of the Fair Market Value on the date of grant. In
the case of an Incentive Stock Option that is granted to a Ten Percent Owner, the option price of
such Incentive Stock Option shall be not less than 110 percent of the Fair Market Value on the
grant date.

          (ii) Option Term. The term of each Stock Option shall be fixed by the Administrator,
but no Stock Option shall be exercisable more than ten years after the date the Stock Option is
granted. In the case of an Incentive Stock Option that is granted to a Ten Percent Owner, the term
of such Stock Option shall be no more than five years from the date of grant.

          (iii) Exercisability; Rights of a Stockholder. Stock Options shall become exercisable
at such time or times, whether or not in installments, as shall be determined by the Administrator
at or after the grant date. The Administrator may at any time accelerate the exercisability of all
or any portion of any Stock Option. An optionee shall have the rights of a stockholder only as to
shares acquired upon the exercise of a Stock Option and not as to unexercised Stock Options.

          (iv) Method of Exercise. Stock Options may be exercised in whole or in part, by giving
written notice of exercise to the Company, specifying the number of shares to be

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purchased. Payment of the purchase price may be made by one or more of the following methods to
the extent provided in the Option Award Agreement:

          (A) In cash, by certified or bank check or other instrument acceptable to the
Administrator;

          (B) Through the delivery (or attestation to the ownership) of shares of Stock that have
been purchased by the optionee on the open market or that are beneficially owned by the
optionee and are not then subject to restrictions under any Company plan. Such surrendered shares shall be valued at Fair Market Value on the exercise date. To the extent required to
avoid variable accounting treatment under FAS 123R or other applicable accounting rules, such
surrendered shares shall have been owned by the optionee for at least six months; or

          (C) By the optionee delivering to the Company a properly executed exercise notice
together with irrevocable instructions to a broker to promptly deliver to the Company cash or
a check payable and acceptable to the Company for the purchase price; provided that in the
event the optionee chooses to pay the purchase price as so provided, the optionee and the
broker shall comply with such procedures and enter into such agreements of indemnity and
other agreements as the Administrator shall prescribe as a condition of such payment
procedure.

Payment instruments will be received subject to collection. The transfer to the optionee on the
records of the Company or of the transfer agent of the shares of Stock to be purchased pursuant to
the exercise of a Stock Option will be contingent upon receipt from the optionee (or a purchaser
acting in his stead in accordance with the provisions of the Stock Option) by the Company of the
full purchase price for such shares and the fulfillment of any other requirements contained in the
Option Award Agreement or applicable provisions of laws (including the satisfaction of any
withholding taxes that the Company is obligated to withhold with respect to the optionee). In the
event an optionee chooses to pay the purchase price by previously-owned shares of Stock through the
attestation method, the number of shares of Stock transferred to the optionee upon the exercise of
the Stock Option shall be net of the number of shares attested to. In the event that the Company
establishes, for itself or using the services of a third party, an automated system for the
exercise of Stock Options, such as a system using an internet website or interactive voice
response, then the paperless exercise of Stock Options may be permitted through the use of such an
automated system.

          (v) Annual Limit on Incentive Stock Options. To the extent required for “incentive
stock option” treatment under Section 422 of the Code, the aggregate Fair Market Value (determined
as of the time of grant) of the shares of Stock with respect to which Incentive Stock Options
granted under this Plan and any other plan of the Company or its parent and subsidiary corporations
become exercisable for the first time by an optionee during any calendar year shall not exceed
$100,000. To the extent that any Stock Option exceeds this limit, it shall constitute a
Non-Qualified Stock Option.

     (b) Stock Options Granted to Non-Employee Directors. The Administrator in its
discretion may grant Non-Qualified Stock Options to Non-Employee Directors. Any such grant

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may vary among individual Non-Employee Directors. Non-Qualified Stock Options granted pursuant to
this Section 5(b) shall be subject to the following terms and conditions and shall contain such
additional terms and conditions, not inconsistent with the terms of the Plan, as the Administrator
shall deem desirable. If the Administrator so determines, Non-Qualified Stock Options may be
granted in lieu of cash compensation at the optionee’s election, subject to such terms and
conditions as the Administrator may establish.

          (i) Exercise Price. The exercise price per share for the Stock covered by a Stock
Option granted under this Section 5(b) shall be equal to the Fair Market Value of the Stock on the
date the Stock Option is granted.

          (ii) Exercise; Termination.

          (A) Options shall become exercisable at such time or times, whether or not in
installments, as shall be determined by the Administrator at or after the grant date. The
Administrator may at any time accelerate the exercisability of all or any portion of any
Stock Option. An Option issued under this Section 5(b) shall not be exercisable after the
expiration of ten years from the date of grant.

          (B) Options granted under this Section 5(b) may be exercised only by written notice to
the Company specifying the number of shares to be purchased. Payment of the full purchase
price of the shares to be purchased may be made by one or more of the methods specified in
Section 5(a)(iv). An optionee shall have the rights of a stockholder only as to shares
acquired upon the exercise of a Stock Option and not as to unexercised Stock Options.

			
	SECTION 6.	 	STOCK APPRECIATION RIGHTS

     (a) Exercise Price of Stock Appreciation Rights. The exercise price of a Stock
Appreciation Right shall not be less than 100 percent of the Fair Market Value of the Stock on the
date of grant (or more than the Stock Option exercise price per share, if the Stock Appreciation
Right was granted in tandem with a Stock Option).

     (b) Grant and Exercise of Stock Appreciation Rights. Stock Appreciation Rights may be
granted by the Administrator in tandem with, or independently of, any Stock Option granted pursuant
to Section 5 of the Plan. In the case of a Stock Appreciation Right granted in tandem with a
Non-Qualified Stock Option, such Stock Appreciation Right may be granted either at or after the
time of the grant of such Option. In the case of a Stock Appreciation Right granted in tandem with
an Incentive Stock Option, such Stock Appreciation Right may be granted only at the time of the
grant of the Option.

     A Stock Appreciation Right or applicable portion thereof granted in tandem with a Stock Option
shall terminate and no longer be exercisable upon the termination or exercise of the related
Option.

     (c) Terms and Conditions of Stock Appreciation Rights. Stock Appreciation Rights shall
be subject to such terms and conditions as shall be determined from time to time by the
Administrator, subject to the following:

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          (i) Stock Appreciation Rights granted in tandem with Options shall be exercisable at such time
or times and to the extent that the related Stock Options shall be exercisable.

          (ii) Upon exercise of a Stock Appreciation Right, the applicable portion of any related Option
shall be surrendered.

          (iii) Stock Appreciation Rights may have a term of no more than ten years.

			
	SECTION 7.	 	RESTRICTED STOCK AWARDS

     (a) Nature of Restricted Stock Awards. The Administrator shall determine the
restrictions and conditions applicable to each Restricted Stock Award at the time of grant.
Conditions may be based on continuing employment (or other service relationship) and/or achievement
of pre-established performance goals and objectives. The grant of a Restricted Stock Award is
contingent on the grantee executing the Restricted Stock Award Agreement. The terms and conditions
of each such Award Agreement shall be determined by the Administrator, and such terms and
conditions may differ among individual Awards and grantees.

     (b) Rights as a Stockholder. Upon execution of the Restricted Stock Award Agreement
and payment of any applicable purchase price, a grantee shall have the rights of a stockholder with
respect to the voting of the Restricted Stock, subject to such conditions contained in the
Restricted Stock Award Agreement. Unless the Administrator shall otherwise determine, (i)
uncertificated Restricted Stock shall be accompanied by a notation on the records of the Company or
the transfer agent to the effect that they are subject to forfeiture until such Restricted Stock
are vested as provided in Section 7(d) below, and (ii) certificated Restricted Stock shall remain
in the possession of the Company until such Restricted Stock is vested as provided in Section 7(d)
below, and the grantee shall be required, as a condition of the grant, to deliver to the Company
such instruments of transfer as the Administrator may prescribe.

     (c) Restrictions. Restricted Stock may not be sold, assigned, transferred, pledged or
otherwise encumbered or disposed of except as specifically provided herein or in the Restricted
Stock Award Agreement. Except as may otherwise be provided by the Administrator either in the Award
Agreement or, subject to Section 16 below, in writing after the Award Agreement is issued, if any,
if a grantee’s employment (or other service relationship) with the Company and its Subsidiaries
terminates for any reason, any Restricted Stock that has not vested at the time of termination
shall automatically and without any requirement of notice to such grantee from or other action by
or on behalf of, the Company be deemed to have been reacquired by the Company at its original
purchase price (if any) from such grantee or such grantee’s legal representative simultaneously
with such termination of employment (or other service relationship), and thereafter shall cease to
represent any ownership of the Company by the grantee or rights of the grantee as a stockholder.
Following such deemed reacquisition of unvested Restricted Stock that are represented by physical
certificates, a grantee shall surrender such certificates to the Company upon request without
consideration.

     (d) Vesting of Restricted Stock. The Administrator at the time of grant shall specify
the date or dates and/or the attainment of pre-established performance goals, objectives and other

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conditions on which the non-transferability of the Restricted Stock and the Company’s right of
repurchase or forfeiture shall lapse. Subsequent to such date or dates and/or the attainment of
such pre-established performance goals, objectives and other conditions, the shares on which all
restrictions have lapsed shall no longer be Restricted Stock and shall be deemed “vested.” Except
as may otherwise be provided by the Administrator either in the Award Agreement or, subject to
Section 16 below, in writing after the Award Agreement is issued, a grantee’s rights in any shares
of Restricted Stock that have not vested shall automatically terminate upon the grantee’s
termination of employment (or other service relationship) with the Company and its Subsidiaries and
such shares shall be subject to the provisions of Section 7(c) above.

			
	SECTION 8.	 	DEFERRED STOCK AWARDS

     (a) Nature of Deferred Stock Awards. The Administrator shall determine the
restrictions and conditions applicable to each Deferred Stock Award at the time of grant.
Conditions may be based on continuing employment (or other service relationship) and/or achievement
of pre-established performance goals and objectives. The grant of a Deferred Stock Award is
contingent on the grantee executing the Deferred Stock Award Agreement. The terms and conditions of
each such Award Agreement shall be determined by the Administrator, and such terms and conditions
may differ among individual Awards and grantees. At the end of the deferral period, the Deferred
Stock Award, to the extent vested, shall be settled in the form of shares of Stock.

     (b) Election to Receive Deferred Stock Awards in Lieu of Compensation. The
Administrator may, in its sole discretion, permit a grantee to elect to receive a portion of future
cash compensation otherwise due to such grantee in the form of a Deferred Stock Award. Any such
election shall be made in writing and shall be delivered to the Company no later than the date
specified by the Administrator and in accordance with Section 409A and such other rules and
procedures established by the Administrator. Any such future cash compensation that the grantee
elects to defer shall be converted to a fixed number of phantom stock units based on the Fair
Market Value of Stock on the date the compensation would otherwise have been paid to the grantee if
such payment had not been deferred as provided herein. The Administrator shall have the sole right
to determine whether and under what circumstances to permit such elections and to impose such
limitations and other terms and conditions thereon as the Administrator deems appropriate.

     (c) Rights as a Stockholder. A grantee shall have the rights as a stockholder only as
to shares of Stock acquired by the grantee upon settlement of a Deferred Stock Award; provided,
however, that the grantee may be credited with Dividend Equivalent Rights with respect to the
phantom stock units underlying his Deferred Stock Award, subject to such terms and conditions as
the Administrator may determine.

     (d) Termination. Except as may otherwise be provided by the Administrator either in
the Award Agreement or, subject to Section 16 below, in writing after the Award Agreement is
issued, a grantee’s right in all Deferred Stock Awards that have not vested shall automatically
terminate upon the grantee’s termination of employment (or cessation of service relationship) with
the Company and its Subsidiaries for any reason.

11

 

			
	SECTION 9.	 	UNRESTRICTED STOCK AWARDS

     Grant or Sale of Unrestricted Stock. The Administrator may, in its sole discretion, grant (or
sell at par value or such higher purchase price determined by the Administrator) an Unrestricted
Stock Award under the Plan. Unrestricted Stock Awards may be granted in respect of past services or
other valid consideration, or in lieu of cash compensation due to such grantee.

			
	SECTION 10.	 	CASH-BASED AWARDS

     (a) Grant of Cash-based Awards. The Administrator may, in its sole discretion, grant
Cash-based Awards to any grantee in such number or amount and upon such terms, and subject to such
conditions, as the Administrator shall determine at the time of grant. The Administrator shall
determine the maximum duration of the Cash-based Award, the amount of cash to which the Cash-based
Award pertains, the conditions upon which the Cash-based Award shall become vested or payable, and
such other provisions as the Administrator shall determine. Each Cash-based Award shall specify a
cash-denominated payment amount, formula or payment ranges as determined by the Administrator.
Payment, if any, with respect to a Cash-based Award shall be made in accordance with the terms of
the Award and may be made in cash or in shares of Stock, as the Administrator determines.

			
	SECTION 11.	 	DIVIDEND EQUIVALENT RIGHTS

     (a) Dividend Equivalent Rights. A Dividend Equivalent Right may be granted hereunder
to any grantee as a component of another Award or as a freestanding award. The terms and conditions
of Dividend Equivalent Rights shall be specified in the Award Agreement. Dividend equivalents
credited to the holder of a Dividend Equivalent Right may be paid currently or may be deemed to be
reinvested in additional shares of Stock, which may thereafter accrue additional equivalents. Any
such reinvestment shall be at Fair Market Value on the date of reinvestment or such other price as
may then apply under a dividend reinvestment plan sponsored by the Company, if any. Dividend
Equivalent Rights may be settled in cash or shares of Stock or a combination thereof, in a single
installment or installments. A Dividend Equivalent Right granted as a component of another Award
may provide that such Dividend Equivalent Right shall be settled upon exercise, settlement, or
payment of, or lapse of restrictions on, such other Award, and that such Dividend Equivalent Right
shall expire or be forfeited or annulled under the same conditions as such other Award. A Dividend
Equivalent Right granted as a component of another Award may also contain terms and conditions
different from such other Award.

     (b) Interest Equivalents. Any Award under this Plan that is settled in whole or in
part in cash on a deferred basis may provide in the grant for interest equivalents to be credited
with respect to such cash payment. Interest equivalents may be compounded and shall be paid upon
such terms and conditions as may be specified by the grant.

     (c) Termination. Except as may otherwise be provided by the Administrator either in
the Award Agreement or, subject to Section 16 below, in writing after the Award Agreement is
issued, a grantee’s rights in all Dividend Equivalent Rights or interest equivalents granted as a
component of another Award that has not vested shall automatically terminate upon the grantee’s

12

 

termination of employment (or cessation of service relationship) with the Company and its
Subsidiaries for any reason.

			
	SECTION 12.	 	TRANSFERABILITY OF AWARDS

     (a) Transferability. Except as provided in Section 12(b) below, during a grantee’s
lifetime, his or her Awards shall be exercisable only by the grantee, or by the grantee’s legal
representative or guardian in the event of the grantee’s incapacity. No Awards shall be sold,
assigned, transferred or otherwise encumbered or disposed of by a grantee other than by will or by
the laws of descent and distribution. No Awards shall be subject, in whole or in part, to
attachment, execution, or levy of any kind, and any purported transfer in violation hereof shall be
null and void.

     (b) Administrator Action. Notwithstanding Section 12(a), the Administrator, in its
discretion, may provide either in the Award Agreement regarding a given Award or by subsequent
written approval that the grantee (who is an employee or director) may transfer his or her Awards
(other than any Incentive Stock Options) to his or her immediate family members, to trusts for the
benefit of such family members, or to partnerships in which such family members are the only
partners, provided that the transferee agrees in writing with the Company to be bound by all of the
terms and conditions of this Plan and the applicable Award.

     (c) Family Member. For purposes of Section 12(b), “family member” shall mean a
grantee’s child, stepchild, grandchild, parent, stepparent, grandparent, spouse, former spouse,
sibling, niece, nephew, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law,
or sister-in-law, including adoptive relationships, any person sharing the grantee’s household
(other than a tenant of the grantee), a trust in which these persons (or the grantee) have more
than 50 percent of the beneficial interest, a foundation in which these persons (or the grantee)
control the management of assets, and any other entity in which these persons (or the grantee) own
more than 50 percent of the voting interests.

     (d) Designation of Beneficiary. Each grantee to whom an Award has been made under the
Plan may designate a beneficiary or beneficiaries to exercise any Award or receive any payment
under any Award payable on or after the grantee’s death. Any such designation shall be on a form
provided for that purpose by the Administrator and shall not be effective until received by the
Administrator. If no beneficiary has been designated by a deceased grantee, or if the designated
beneficiaries have predeceased the grantee, the beneficiary shall be the grantee’s estate.

			
	SECTION 13.	 	TAX WITHHOLDING

     (a) Payment by Grantee. Each grantee shall, no later than the date as of which the
value of an Award or of any Stock or other amounts received thereunder first becomes includable in
the gross income of the grantee for Federal income tax purposes, pay to the Company, or make
arrangements satisfactory to the Administrator regarding payment of, any Federal, state, or local
taxes of any kind required by law to be withheld by the Company with respect to such income. The
Company and its Subsidiaries shall, to the extent permitted by law, have the right to deduct any
such taxes from any payment of any kind otherwise due to the

13

 

grantee. The Company’s obligation to deliver evidence of book entry (or stock certificates) to any
grantee is subject to and conditioned on tax withholding obligations being satisfied by the
grantee.

     (b) Payment in Stock. Subject to approval by the Administrator, a grantee may elect to
have the Company’s minimum required tax withholding obligation satisfied, in whole or in part, by
authorizing the Company to withhold from shares of Stock to be issued pursuant to any Award a
number of shares with an aggregate Fair Market Value (as of the date the withholding is effected)
that would satisfy the withholding amount due.

			
		 	SECTION 14. ADDITIONAL CONDITIONS APPLICABLE TO NONQUALIFIED DEFERRED COMPENSATION UNDER SECTION 409A.

     In the event any Stock Option or Stock Appreciation Right under the Plan is materially
modified and deemed a new grant at a time when the Fair Market Value exceeds the exercise price, or
any other Award is otherwise determined to constitute “nonqualified deferred compensation” within
the meaning of Section 409A (a “409A Award”), the following additional conditions shall apply and
shall supersede any contrary provisions of this Plan or the terms of any agreement relating to such
409A Award.

     (a) Exercise and Distribution. Except as provided in Section 14(b) hereof, no 409A
Award shall be exercisable or distributable earlier than upon one of the following:

          (i) Specified Time. A specified time or a fixed schedule set forth in the written
instrument evidencing the 409A Award.

          (ii) Separation from Service. Separation from service (within the meaning of Section
409A) by the 409A Award grantee; provided, however, that if the 409A Award grantee is a “key
employee” (as defined in Section 416(i) of the Code without regard to paragraph (5) thereof) and
any of the Company’s Stock is publicly traded on an established securities market or otherwise,
exercise or distribution under this Section 14(a)(ii) may not be made before the date that is six
months after the date of separation from service.

          (iii) Death. The date of death of the 409A Award grantee.

          (iv) Disability. The date the 409A Award grantee becomes disabled (within the meaning
of Section 14(c)(ii) hereof).

          (v) Unforeseeable Emergency. The occurrence of an unforeseeable emergency (within the
meaning of Section 14(c)(iii) hereof), but only if the net value (after payment of the exercise
price) of the number of shares of Stock that become issuable does not exceed the amounts necessary
to satisfy such emergency plus amounts necessary to pay taxes reasonably anticipated as a result of
the exercise, after taking into account the extent to which the emergency is or may be relieved
through reimbursement or compensation by insurance or otherwise or by liquidation of the grantee’s
other assets (to the extent such liquidation would not itself cause severe financial hardship).

14

 

          (vi) Change in Control Event. The occurrence of a Change in Control Event (within the
meaning of Section 14(c)(i) hereof), including the Company’s discretionary exercise of the right to
accelerate vesting of such grant upon a Change in Control Event or to terminate the Plan or any
409A Award granted hereunder within 12 months of the Change in Control Event.

     (b) No Acceleration. A 409A Award may not be accelerated or exercised prior to the
time specified in Section 14(a) hereof, except in the case of one of the following events:

          (i) Domestic Relations Order. The 409A Award may permit the acceleration of the
exercise or distribution time or schedule to an individual other than the grantee as may be
necessary to comply with the terms of a domestic relations order (as defined in Section
414(p)(1)(B) of the Code).

          (ii) Conflicts of Interest. The 409A Award may permit the acceleration of the exercise
or distribution time or schedule as may be necessary to comply with the terms of a certificate of
divestiture (as defined in Section 1043(b)(2) of the Code).

          (iii) Change in Control Event. The Administrator may exercise the discretionary right
to accelerate the vesting of such 409A Award upon a Change in Control Event or to terminate the
Plan or any 409A Award granted thereunder within 12 months of the Change in Control Event and
cancel the 409A Award for compensation.

     (c) Definitions. Solely for purposes of this Section 14 and not for other purposes of
the Plan, the following terms shall be defined as set forth below:

          (i) “Change in Control Event” means the occurrence of a change in the ownership of the
Company, a change in effective control of the Company, or a change in the ownership of a
substantial portion of the assets of the Company (as defined in Section 1.409A-3(g) of the proposed
regulations promulgated under Section 409A by the Department of the Treasury on September 29, 2005
or any subsequent guidance).

          (ii) “Disabled” means a grantee who (i) is unable to engage in any substantial gainful
activity by reason of any medically determinable physical or mental impairment that can be expected
to result in death or can be expected to last for a continuous period of not less than 12 months,
or (ii) is, by reason of any medically determinable physical or mental impairment that can be
expected to result in death or can be expected to last for a continuous period of not less than 12
months, receiving income replacement benefits for a period of not less than three months under an
accident and health plan covering employees of the Company or its Subsidiaries.

          (iii) “Unforeseeable Emergency” means a severe financial hardship to the grantee resulting
from an illness or accident of the grantee, the grantee’s spouse, or a dependent (as defined in
Section 152(a) of the Code) of the grantee, loss of the grantee’s property due to casualty, or
similar extraordinary and unforeseeable circumstances arising as a result of events beyond the
control of the grantee.

15

 

			
	SECTION 15.	 	TRANSFER, LEAVE OF ABSENCE, ETC.

     For purposes of the Plan, the following events shall not be deemed a termination of
employment:

     (a) a transfer to the employment of the Company from a Subsidiary or from the Company to a
Subsidiary, or from one Subsidiary to another; or

     (b) an approved leave of absence for military service or sickness, or for any other purpose
approved by the Company, if the employee’s right to re-employment is guaranteed either by a statute
or by contract or under the policy pursuant to which the leave of absence was granted or if the
Administrator otherwise so provides in writing.

			
	SECTION 16.	 	AMENDMENTS AND TERMINATION

     The Board may, at any time, amend or discontinue the Plan and the Administrator may, at any
time, amend or cancel any outstanding Award for the purpose of satisfying changes in law or for any
other lawful purpose, but no such action shall adversely affect rights under any outstanding Award
without the holder’s consent unless otherwise required by, or necessary to comply with, applicable
law. Except as provided in Section 3(b) or 3(c), in no event may the Administrator exercise its
discretion to reduce the exercise price of outstanding Stock Options or Stock Appreciation Rights
or effect repricing through cancellation and re-grants. Any material Plan amendments (other than
amendments that curtail the scope of the Plan), including any Plan amendments that (i) increase the
number of shares reserved for issuance under the Plan, (ii) expand the type of Awards available
under, materially expand the eligibility to participate in, or materially extend the term of, the
Plan, or (iii) materially change the method of determining Fair Market Value, shall be subject to
approval by the Company stockholders entitled to vote at a meeting of stockholders. In addition, to
the extent determined by the Administrator to be required by the Code to ensure that Incentive
Stock Options granted under the Plan are qualified under Section 422 of the Code or to ensure that
compensation earned under Awards qualifies as performance-based compensation under Section 162(m)
of the Code, Plan amendments shall be subject to approval by the Company stockholders entitled to
vote at a meeting of stockholders. Nothing in this Section 16 shall limit the Administrator’s
authority to take any action permitted pursuant to Section 3(c).

			
	SECTION 17.	 	STATUS OF PLAN

     With respect to the portion of any Award that has not been exercised and any payments in cash,
Stock or other consideration not received by a grantee, a grantee shall have no rights greater than
those of a general creditor of the Company unless the Administrator shall otherwise expressly
determine in connection with any Award or Awards. In its sole discretion, the Administrator may
authorize the creation of trusts or other arrangements to meet the Company’s obligations to deliver
Stock or make payments with respect to Awards hereunder, provided that the existence of such trusts
or other arrangements is consistent with the foregoing sentence.

16

 

			
	SECTION 18.	 	GENERAL PROVISIONS

     (a) No Distribution. The Administrator may require each person acquiring Stock
pursuant to an Award to represent to and agree with the Company in writing that such person is
acquiring the shares without a view to distribution thereof.

     (b) Delivery of Stock Certificates. Stock certificates to grantees under this Plan
shall be deemed delivered for all purposes when the Company or a stock transfer agent of the
Company shall have mailed such certificates in the United States mail, addressed to the grantee, at
the grantee’s last known address on file with the Company. Uncertificated Stock shall be deemed
delivered for all purposes when the Company or a Stock transfer agent of the Company shall have
given to the grantee by electronic mail (with proof of receipt) or by United States mail, addressed
to the grantee, at the grantee’s last known address on file with the Company, notice of issuance
and recorded the issuance in its records (which may include electronic “book entry” records).
Notwithstanding anything herein to the contrary, the Company shall not be required to issue or
deliver any certificates evidencing shares of Stock pursuant to the exercise of any Award, unless
and until the Board has determined, with advice of counsel (to the extent the Board deems such
advice necessary or advisable), that the issuance and delivery of such certificates is in
compliance with all applicable laws, regulations of governmental authorities and, if applicable,
the requirements of any exchange on which the shares of Stock are listed, quoted or traded. All
Stock certificates delivered pursuant to the Plan shall be subject to any stop-transfer orders and
other restrictions as the Administrator deems necessary or advisable to comply with federal, state
or foreign jurisdiction, securities or other laws, rules and quotation system on which the Stock is
listed, quoted or traded. The Administrator may place legends on any Stock certificate to reference
restrictions applicable to the Stock. In addition to the terms and conditions provided herein, the
Board may require that an individual make such reasonable covenants, agreements, and
representations as the Board, in its discretion, deems necessary or advisable in order to comply
with any such laws, regulations, or requirements. The Administrator shall have the right to require
any individual to comply with any timing or other
restrictions with respect to the settlement or exercise of any Award, including a window-period
limitation, as may be imposed in the discretion of the Administrator.

     (c) Stockholder Rights. Until Stock is deemed delivered in accordance with Section
18(b), no right to vote or receive dividends or any other rights of a stockholder will exist with
respect to shares of Stock to be issued in connection with an Award, notwithstanding the exercise
of a Stock Option or any other action by the grantee with respect to an Award.

     (d) Other Compensation Arrangements; No Employment Rights. Nothing contained in this
Plan shall prevent the Board from adopting other or additional compensation arrangements, including
trusts, and such arrangements may be either generally applicable or applicable only in specific
cases. The adoption of this Plan and the grant of Awards do not confer upon any employee any right
to continued employment with the Company or any Subsidiary.

     (e) Trading Policy Restrictions. Option exercises and other Awards under the Plan
shall be subject to such Company’s insider trading policy and procedures, as in effect from time to
time.

17

 

     (f) Forfeiture of Awards under Sarbanes-Oxley Act. If the Company is required to
prepare an accounting restatement due to the material noncompliance of the Company, as a result of
misconduct, with any financial reporting requirement under the securities laws, then any grantee
who is one of the individuals subject to automatic forfeiture under Section 304 of the
Sarbanes-Oxley Act of 2002 shall reimburse the Company for the amount of any Award received by such
individual under the Plan during the 12-month period following the first public issuance or filing
with the United States Securities and Exchange Commission, as the case may be, of the financial
document embodying such financial reporting requirement.

			
	SECTION 19.	 	EFFECTIVE DATE OF PLAN

     This Plan shall become effective upon approval by the holders of a majority of the votes cast
at a meeting of stockholders at which a quorum is present or pursuant to written consent. No grants
of Stock Options and other Awards may be made hereunder after the tenth anniversary of the
Effective Date and no grants of Incentive Stock Options may be made hereunder after the tenth
anniversary of the date the Plan is approved by the Board.

			
	SECTION 20.	 	GOVERNING LAW

     This Plan and all Awards and actions taken thereunder shall be governed by, and construed in
accordance with, the laws of the Commonwealth of Massachusetts, applied without regard to conflict
of law principles.

DATE APPROVED BY BOARD OF DIRECTORS: May 14, 2007

DATE APPROVED BY STOCKHOLDERS: May 22, 2007

18

 

INCENTIVE STOCK OPTION AGREEMENT

UNDER THE VIRTUSA CORPORATION

2007 STOCK OPTION AND INCENTIVE PLAN

	 	 	 	 	 
	Name of Optionee:
	 	 	 	 
	 

	 	 	 	 
	No. of Option Shares:
	 	 	 	 
	 

	 	 	 	 
	Option Exercise Price per Share: $
	 	 	 	 
	 

	 	 	 	 
	 	 	[FMV on Grant Date (110% of FMV if a 10% owner)]
	Grant Date:
	 	 	 	 
	 

	 	 	 	 
	Expiration Date:
	 	 	 	 
	 

	 	 	 	 
	 	 	[up to 10 years (5 if a 10% owner)]

     Pursuant to the Virtusa Corporation 2007 Stock Option and Incentive Plan as amended through
the date hereof (the “Plan”), Virtusa Corporation (the “Company”) hereby grants to the Optionee
named above an option (the “Stock Option”) to purchase on or prior to the Expiration Date specified
above all or part of the number of shares of Common Stock, par value $0.01 per share (the “Stock”),
of the Company specified above at the Option Exercise Price per Share specified above subject to
the terms and conditions set forth herein and in the Plan.

     1. Exercisability Schedule. No portion of this Stock Option may be exercised until
such portion shall have become exercisable. Except as set forth below, and subject to the
discretion of the Administrator (as defined in Section 2 of the Plan) to accelerate the
exercisability schedule hereunder, this Stock Option shall be exercisable with respect to the
following number of Option Shares on the dates indicated:

	 	 	 	 	 	 	 	 	 
	Incremental Number of	 	 	 	 
	Option Shares Exercisable*	 	 	 	Exercisability Date
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	(___%)	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	(___%)	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	(___%)	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	(___%)	 	 	 	 
	 

	 	 	 	 	 	 	 	 

 

			
	*	 	Max. of $100,000 per yr.

     Once exercisable, this Stock Option shall continue to be exercisable at any time or times
prior to the close of business on the Expiration Date, subject to the provisions hereof and of the
Plan.

 

 

2. Manner of Exercise.

          (a) The Optionee may exercise this Stock Option only in the following
manner: from time to time on or prior to the Expiration Date of this Stock Option, the
Optionee may give written notice to the Administrator of his or her election to purchase some or all of
the Option Shares purchasable at the time of such notice. This notice shall specify the number of Option Shares to be purchased.

     Payment of the purchase price for the Option Shares may be made by one or more of the
following methods: (i) in cash, by certified or bank check or other instrument acceptable to the
Administrator; (ii) through the delivery (or attestation to the ownership) of shares of Stock that
have been purchased by the Optionee on the open market or that are beneficially owned by the
Optionee and are not then subject to any restrictions under any Company plan and that otherwise
satisfy any holding periods as may be required by the Administrator; (iii) by the Optionee
delivering to the Company a properly executed exercise notice together with irrevocable
instructions to a broker to promptly deliver to the Company cash or a check payable and acceptable
to the Company to pay the option purchase price, provided that in the event the Optionee chooses to
pay the option purchase price as so provided, the Optionee and the broker shall comply with such
procedures and enter into such agreements of indemnity and other agreements as the Administrator
shall prescribe as a condition of such payment procedure; or (iv) a combination of (i), (ii) and
(iii) above. Payment instruments will be received subject to collection.

     The transfer to the Optionee on the records of the Company or of the transfer agent of the
Option Shares will be contingent upon (i) the Company’s receipt from the Optionee of the full
purchase price for the Option Shares, as set forth above, (ii) the fulfillment of any other
requirements contained herein or in the Plan or in any other agreement or provision of laws, and
(iii) the receipt by the Company of any agreement, statement or other evidence that the Company may
require to satisfy itself that the issuance of Stock to be purchased pursuant to the exercise of
Stock Options under the Plan and any subsequent resale of the shares of Stock will be in compliance
with applicable laws and regulations. In the event the Optionee chooses to pay the purchase price
by previously-owned shares of Stock through the attestation method, the number of shares of Stock
transferred to the Optionee upon the exercise of the Stock Option shall be net of the shares
attested to.

          (b) The shares of Stock purchased upon exercise of this Stock Option shall be
transferred to the Optionee on the records of the Company or of the transfer agent upon
compliance to the satisfaction of the Administrator with all requirements under applicable
laws or regulations in connection with such issuance and with the requirements hereof and of the
Plan. The determination of the Administrator as to such compliance shall be final and binding on the
Optionee. The Optionee shall not be deemed to be the holder of, or to have any of the rights
of a holder with respect to, any shares of Stock subject to this Stock Option unless and until this
Stock Option shall have been exercised pursuant to the terms hereof, the Company or the
transfer agent shall have transferred the shares to the Optionee, and the Optionee’s name shall have
been entered as the stockholder of record on the books of the Company. Thereupon, the Optionee
shall have full voting, dividend and other ownership rights with respect to such shares of
Stock.

2

 

          (c) The minimum number of shares with respect to which this Stock Option may be exercised at
any one time shall be 100 shares, unless the number of shares with respect to which this Stock
Option is being exercised is the total number of shares subject to exercise under this Stock Option
at the time.

          (d) Notwithstanding any other provision hereof or of the Plan, no portion of this Stock
Option shall be exercisable after the Expiration Date hereof.

     3. Termination of Employment. If the Optionee’s employment by the Company or a
Subsidiary (as defined in the Plan) is terminated, the period within which to exercise the
Stock Option may be subject to earlier termination as set forth below.

          (a) Termination Due to Death. If the Optionee’s employment terminates by reason of the
Optionee’s death, any portion of this Stock Option outstanding on such date may thereafter be
exercised by the Optionee’s legal representative or legatee for a period of 12 months from the date
of death or until the Expiration Date, if earlier.

          (b) Termination Due to Disability. If the Optionee’s employment terminates by reason
of the Optionee’s disability (as determined by the Administrator), any portion of this Stock Option
outstanding on such date may thereafter be exercised by the Optionee for a period of 12 months from
the date of termination or until the Expiration Date, if earlier.

          (c) Termination for Cause. If the Optionee’s employment terminates for Cause, any
portion of this Stock Option outstanding on such date shall terminate immediately and be of no
further force and effect. For purposes hereof, “Cause” shall mean, unless otherwise provided in an
employment agreement between the Company and the Optionee, a determination by the Administrator
that the Optionee shall be dismissed as a result of (i) any material breach by the Optionee of any
agreement between the Optionee and the Company; (ii) the conviction of, indictment for or plea of
nolo contendere by the Optionee to a felony or a crime involving moral turpitude; or (iii) any
material misconduct or willful and deliberate non-performance (other than by reason of disability)
by the Optionee of the Optionee’s duties to the Company.

          (d) Other Termination. If the Optionee’s employment terminates for any reason other
than the Optionee’s death, the Optionee’s disability, or Cause, and unless otherwise determined by
the Administrator, any portion of this Stock Option outstanding on such date may be exercised, to
the extent exercisable on the date of termination, for a period of three months from the date of
termination or until the Expiration Date, if earlier. Any portion of this Stock Option that is not
exercisable on the date of termination shall terminate immediately and be of no further force or
effect.

     The Administrator’s determination of the reason for termination of the Optionee’s employment
shall be conclusive and binding on the Optionee and his or her representatives or legatees.

     4. Incorporation of Plan. Notwithstanding anything herein to the contrary, this Stock Option
shall be subject to and governed by all the terms and conditions of the Plan,
including the powers of the Administrator set forth in Section 2(b) of the Plan and the powers of the
Administrator under Section 16 of the Plan to amend or cancel this Stock Option if
required

3

 

by, or necessary to comply with, applicable law. Capitalized terms in this Agreement shall have the
meaning specified in the Plan, unless a different meaning is specified herein.

     5. Transferability. This Agreement is personal to the Optionee, is non-assignable and
is not transferable in any manner, by operation of law or otherwise, other than by will or the laws
of descent and distribution. This Stock Option is exercisable, during the Optionee’s lifetime, only
by the Optionee, and thereafter, only by the Optionee’s legal representative or legatee.

     6. Status of the Stock Option. This Stock Option is intended to qualify as an
“incentive stock option” under Section 422 of the Internal Revenue Code of 1986, as amended (the
“Code”), but the Company does not represent or warrant that this Stock Option qualifies as such.
The Optionee should consult with his or her own tax advisors regarding the tax effects of this
Stock Option and the requirements necessary to obtain favorable income tax treatment under Section
422 of the Code, including, but not limited to, holding period requirements. To the extent any
portion of this Stock Option does not so qualify as an “incentive stock option,” such portion shall
be deemed to be a non-qualified stock option. If the Optionee intends to dispose or does dispose
(whether by sale, gift, transfer or otherwise) of any Option Shares within the one-year period
beginning on the date after the transfer of such shares to him or her, or within the two-year
period beginning on the day after the grant of this Stock Option, he or she will so notify the
Company within 30 days after such disposition.

     7. Tax Withholding. The Optionee shall, not later than the date as of which the
exercise of this Stock Option becomes a taxable event for Federal income tax purposes, pay to the
Company or make arrangements satisfactory to the Administrator for payment of any Federal, state,
and local taxes required by law to be withheld on account of such taxable event. The Optionee may
elect to have the minimum required tax withholding obligation satisfied, in whole or in part, by
authorizing the Company to withhold from shares of Stock to be issued a number of shares of Stock
with an aggregate Fair Market Value that would satisfy the withholding amount due.

     8. No Obligation to Continue Employment. Neither the Company nor any Subsidiary is
obligated by or as a result of the Plan or this Agreement to continue the Optionee in employment
and neither the Plan nor this Agreement shall interfere in any way with the right of the Company or
any Subsidiary to terminate the employment of the Optionee at any time.

4

 

     9. Notices. Notices hereunder shall be mailed or delivered to the Company at
its principal place of business and shall be mailed or delivered to the Optionee at the address on
file with the Company or, in either case, at such other address as one party may subsequently
furnish to the other party in writing.

	 	 	 	 	 
	 	VIRTUSA CORPORATION

 	 
	 	By:  	 	 
	 	 	Title: 	 
	 	 	 	 
	 

The foregoing Agreement is hereby accepted and the terms and conditions thereof hereby agreed to by
the undersigned.

	 	 	 	 	 	 	 
	Dated:
	 	 	 	 	 	 
	 

	 	 
	 	 	 	 
	 

	 	 	 	 	 	Optionee’s Signature
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	Optionee’s name and address:
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	 

5

 

NON-QUALIFIED STOCK OPTION AGREEMENT

FOR COMPANY EMPLOYEES

UNDER THE VIRTUSA CORPORATION

2007 STOCK OPTION AND INCENTIVE PLAN

     Pursuant to the Virtusa Corporation 2007 Stock Option and Incentive Plan as amended through
the date hereof (the “Plan”), Virtusa Corporation, a Delaware corporation (together with
its successors, the “Company”) hereby grants to the person named (the “Optionee” or
(“Grantee”) in the Notice of Grant of Stock Option (the “Notice”) which is either
attached hereto or provided electronically to the Optionee, a non-qualified stock option (the
“Stock Option”) to purchase on or prior to the Expiration Date (as defined in the Notice)
all or part of the number of shares of Common Stock, par value $0.01 per share (the “Option
Shares”) of the Company specified in the Notice (under Number of Option Shares) at the Exercise
Price per Share specified in the Notice, subject to the terms and conditions set forth herein, the
Notice and in the Plan, including the adjustment provision thereof. All capitalized terms used
herein and not otherwise defined shall have the respective meanings set forth in the Notice and the
Plan (as applicable). This Stock Option is not intended to be an “incentive stock option” under
Section 422 of the Internal Revenue Code of 1986, as amended.

     1. Exercisability Schedule. No portion of this Stock Option may be exercised until
such portion shall have become exercisable. Except as set forth herein, and subject to the
discretion of the Administrator (as defined in Section 2 of the Plan) to accelerate the
exercisability schedule hereunder, this Stock Option shall be exercisable with respect to the
number of Option Shares and on the dates as set forth in the Notice. Once exercisable, this Stock
Option shall continue to be exercisable at any time or times prior to the close of business on the
Expiration Date, subject to the provisions hereof, the Notice (including vesting provisions) and of
the Plan.

     2. Manner of Exercise.

          (a) The Optionee may exercise this Stock Option only in the following manner: from time to
time on or prior to the Expiration Date of this Stock Option, the Optionee may give written notice
to the Administrator of his or her election to purchase some or all of the Option Shares
purchasable at the time of such notice. This notice shall specify the number of Option Shares to be
purchased.

     Payment of the purchase price for the Option Shares may be made by one or more of the
following methods: (i) in cash, by certified or bank check or other instrument acceptable to the
Administrator; (ii) through the delivery (or attestation to the ownership) of shares of Stock that
have been purchased by the Optionee on the open market or that are beneficially owned by the
Optionee and are not then subject to any restrictions under any Company plan and that otherwise
satisfy any holding periods as may be required by the Administrator; (iii) by the Optionee
delivering to the Company a properly executed exercise notice together with irrevocable
instructions to a broker to promptly deliver to the Company cash or a check payable and acceptable
to the Company to pay the option purchase price, provided that in the event the Optionee chooses to
pay the option purchase price as so provided, the Optionee and the broker shall comply with such
procedures and enter into such agreements of indemnity and other

 

 

agreements as the Administrator shall prescribe as a condition of such payment procedure; or (iv) a
combination of (i), (ii) and (iii) above. Payment instruments will be received subject to
collection.

     The transfer to the Optionee on the records of the Company or of the transfer agent of the
Option Shares will be contingent upon (i) the Company’s receipt from the Optionee of the full
purchase price for the Option Shares, as set forth above, (ii) the fulfillment of any other
requirements contained herein or in the Plan or in any other agreement or provision of laws, and
(iii) the receipt by the Company of any agreement, statement or other evidence that the Company may
require to satisfy itself that the issuance of Stock to be purchased pursuant to the exercise of
Stock Options under the Plan and any subsequent resale of the shares of Stock will be in compliance
with applicable laws and regulations. In the event the Optionee chooses to pay the purchase price
by previously-owned shares of Stock through the attestation method, the number of shares of Stock
transferred to the Optionee upon the exercise of the Stock Option shall be net of the Shares
attested to.

          (b) The shares of Stock purchased upon exercise of this Stock Option shall be transferred to
the Optionee on the records of the Company or of the transfer agent upon compliance to the
satisfaction of the Administrator with all requirements under applicable laws or regulations in
connection with such issuance and with the requirements hereof and of the Plan. The determination
of the Administrator as to such compliance shall be final and binding on the Optionee. The Optionee
shall not be deemed to be the holder of, or to have any of the rights of a holder with respect to,
any shares of Stock subject to this Stock Option unless and until this Stock Option shall have been
exercised pursuant to the terms hereof, the Company or the transfer agent shall have transferred
the shares to the Optionee, and the Optionee’s name shall have been entered as the stockholder of
record on the books of the Company. Thereupon, the Optionee shall have full voting, dividend and
other ownership rights with respect to such shares of Stock.

          (c) The minimum number of shares with respect to which this Stock Option may be exercised at
any one time shall be 100 shares, unless the number of shares with respect to which this Stock
Option is being exercised is the total number of shares subject to exercise under this Stock Option
at the time.

          (d) Notwithstanding any other provision hereof or of the Plan, no portion of this Stock Option
shall be exercisable after the Expiration Date hereof.

     3. Termination of Employment. If the Optionee’s employment by the Company or
a Subsidiary (as defined in the Plan) is terminated, the period within which to exercise the Stock
Option may be subject to earlier termination as set forth below.

          (a) Termination Due to Death. If the Optionee’s employment terminates by reason of the
Optionee’s death, any portion of this Stock Option outstanding on such date may thereafter be
exercised by the Optionee’s legal representative or legatee for a period of 12 months from the date
of death or until the Expiration Date, if earlier.

          (b) Termination Due to Disability. If the Optionee’s employment terminates by reason
of the Optionee’s disability (as determined by the Administrator), any portion of this Stock Option
outstanding on such date may thereafter be exercised by the Optionee for a period of 12 months from
the date of termination or until the Expiration Date, if earlier.

2

 

          (c) Termination for Cause. If the Optionee’s employment terminates for Cause, any
portion of this Stock Option outstanding on such date shall terminate immediately and be of no
further force and effect. For purposes hereof, “Cause” shall mean, unless otherwise provided in an
employment agreement between the Company and the Optionee, a determination by the Administrator
that the Optionee shall be dismissed as a result of (i) any material breach by the Optionee of any
agreement between the Optionee and the Company; (ii) the conviction of, indictment for or plea of
nolo contendere by the Optionee to a felony or a crime involving moral turpitude; or (iii) any
material misconduct or willful and deliberate non-performance (other than by reason of disability)
by the Optionee of the Optionee’s duties to the Company.

          (d) Other Termination. If the Optionee’s employment terminates for any reason other
than the Optionee’s death, the Optionee’s disability or Cause, and unless otherwise determined by
the Administrator, any portion of this Stock Option outstanding on such date may be exercised, to
the extent exercisable on the date of termination, for a period of three months from the date of
termination or until the Expiration Date, if earlier. Any portion of this Stock Option that is not
exercisable on the date of termination shall terminate immediately and be of no further force or
effect.

     The Administrator’s determination of the reason for termination of the Optionee’s employment
shall be conclusive and binding on the Optionee and his or her representatives or legatees.

     4. Incorporation of Plan. Notwithstanding anything herein to the contrary,
this Stock Option shall be subject to and governed by all the terms and conditions of the Plan,
including the powers of the Administrator set forth in Section 2(b) of the Plan and the powers of
the Administrator under Section 16 of the Plan to amend or cancel this Stock Option if required by,
or necessary to comply with, applicable law. Capitalized terms in this Agreement shall have the
meaning specified in the Plan, unless a different meaning is specified herein. The Board may, at
any time, amend or discontinue the Plan and the Administrator may, at any time, amend or cancel any
outstanding Award for the purpose of satisfying changes in law or for any other lawful purpose, but
no such action shall adversely affect rights under any outstanding Award without the holder’s
consent.

     5. Transferability. This Agreement is personal to the Optionee, is non-assignable and
is not transferable in any manner, by operation of law or otherwise, other than by will or the laws
of descent and distribution. This Stock Option is exercisable, during the Optionee’s lifetime, only
by the Optionee, and thereafter, only by the Optionee’s legal representative or legatee.

     6. Tax Withholding. The Optionee shall, not later than the date as of which the
exercise of this Stock Option becomes a taxable event for Federal income tax purposes, pay to the
Company or make arrangements satisfactory to the Administrator for payment of any Federal, state,
and local taxes required by law to be withheld on account of such taxable event. The Optionee may
elect to have the minimum required tax withholding obligation satisfied, in whole or in part, by
authorizing the Company to withhold from shares of Stock to be issued a number of shares of Stock
with an aggregate Fair Market Value that would satisfy the withholding amount due.

3

 

     7. No Obligation to Continue Employment. Neither the Company nor any
Subsidiary is obligated by or as a result of the Plan or this Agreement to continue the Optionee in
employment and neither the Plan nor this Agreement shall interfere in any way with the right of the
Company or any Subsidiary to terminate the employment of the Optionee at any time.

     8. Notices. Notices hereunder shall be mailed or delivered to the Company at its
principal place of business and shall be mailed or delivered to the Optionee at the address on file
with the Company or, in either case, at such other address as one party may subsequently furnish to
the other party in writing.

	 	 	 	 	 
	 	VIRTUSA CORPORATION

 	 
	 	By:  	/s/ Thomas R Holler
 	 
	 	 	THOMAS R. HOLLER 	 
	 	 	EVP, Finance & CFO 	 
	 

4

 

NON-QUALIFIED STOCK OPTION AGREEMENT

FOR NON-EMPLOYEE DIRECTORS

UNDER THE VIRTUSA CORPORATION

2007 STOCK OPTION AND INCENTIVE PLAN

     Pursuant to the Virtusa Corporation 2007 Stock Option and Incentive Plan as amended through
the date hereof (the “Plan”), Virtusa Corporation, a Delaware corporation (together with
its successors, the “Company”) hereby grants to the person named (the “Optionee” or
(“Grantee”) in the Notice of Grant of Stock Option (the “Notice”) which is either
attached hereto or provided electronically to the Optionee, a non-qualified stock option (the
“Stock Option”) to purchase on or prior to the Expiration Date (as defined in the Notice)
all or part of the number of shares of Common Stock, par value $0.01 per share (the “Option
Shares”) of the Company specified in the Notice (under Number of Option Shares) at the Exercise
Price per Share specified in the Notice, subject to the terms and conditions set forth herein, the
Notice and in the Plan, including the adjustment provision thereof. All capitalized terms used
herein and not otherwise defined shall have the respective meanings set forth in the Notice and the
Plan (as applicable). This Stock Option is not intended to be an “incentive stock option” under
Section 422 of the Internal Revenue Code of 1986, as amended.

     1. Exercisability Schedule. No portion of this Stock Option may be exercised until
such portion shall have become exercisable. Except as set forth herein, and subject to the
discretion of the Administrator (as defined in Section 2 of the Plan) to accelerate the
exercisability schedule hereunder, this Stock Option shall be exercisable with respect to the
number of Option Shares and on the dates as set forth in the Notice.

     In the case of and subject to the consummation of a Sale Event, the Optionee shall be entitled
to a twelve (12) month acceleration of all unvested Option Shares so that the shares that would
have vested in the one-year period following such Sale Event become immediately vested and the
remaining unvested Option Shares would continue to vest quarterly but on a schedule that would be
twelve (12) months earlier than had the Sale Event not transpired. Once exercisable, this Stock
Option shall continue to be exercisable at any time or times prior to the close of business on the
Expiration Date, subject to the provisions hereof and of the Plan.

     2. Manner of Exercise.

          (a) The Optionee may exercise this Stock Option only in the following manner: from time
to time on or prior to the Expiration Date of this Stock Option, the Optionee may give written
notice to the Administrator of his or her election to purchase some or all of the Option Shares
purchasable at the time of such notice. This notice shall specify the number of Option Shares to be
purchased.

     Payment of the purchase price for the Option Shares may be made by one or more of the
following methods: (i) in cash, by certified or bank check or other instrument acceptable to the
Administrator; (ii) through the delivery (or attestation to the ownership) of shares of Stock that

 

have been purchased by the Optionee on the open market or that are beneficially owned by the
Optionee and are not then subject to any restrictions under any Company plan and that otherwise
satisfy any holding periods as may be required by the Administrator; (iii) by the Optionee
delivering to the Company a properly executed exercise notice together with irrevocable
instructions to a broker to promptly deliver to the Company cash or a check payable and acceptable
to the Company to pay the option purchase price, provided that in the event the Optionee chooses to
pay the option purchase price as so provided, the Optionee and the broker shall comply with such
procedures and enter into such agreements of indemnity and other agreements as the Administrator
shall prescribe as a condition of such payment procedure; or (iv) a combination of (i), (ii) and
(iii) above. Payment instruments will be received subject to collection.

     The transfer to the Optionee on the records of the Company or of the transfer agent of the
Option Shares will be contingent upon (i) the Company’s receipt from the Optionee of the full
purchase price for the Option Shares, as set forth above, (ii) the fulfillment of any other
requirements contained herein or in the Plan or in any other agreement or provision of laws, and
(iii) the receipt by the Company of any agreement, statement or other evidence that the Company may
require to satisfy itself that the issuance of Stock to be purchased pursuant to the exercise of
Stock Options under the Plan and any subsequent resale of the shares of Stock will be in compliance
with applicable laws and regulations. In the event the Optionee chooses to pay the purchase price
by previously-owned shares of Stock through the attestation method, the number of shares of Stock
transferred to the Optionee upon the exercise of the Stock Option shall be net of the Shares
attested to.

          (b) The shares of Stock purchased upon exercise of this Stock Option shall be transferred to
the Optionee on the records of the Company or of the transfer agent upon compliance to the
satisfaction of the Administrator with all requirements under applicable laws or regulations in
connection with such transfer and with the requirements hereof and of the Plan. The determination
of the Administrator as to such compliance shall be final and binding on the Optionee. The Optionee
shall not be deemed to be the holder of, or to have any of the rights of a holder with respect to,
any shares of Stock subject to this Stock Option unless and until this Stock Option shall have been
exercised pursuant to the terms hereof, the Company or the transfer agent shall have transferred
the shares to the Optionee, and the Optionee’s name shall have been entered as the stockholder of
record on the books of the Company. Thereupon, the Optionee shall have full voting, dividend and
other ownership rights with respect to such shares of Stock.

          (c) The minimum number of shares with respect to which this Stock Option may be exercised at
any one time shall be 100 shares, unless the number of shares with respect to which this Stock
Option is being exercised is the total number of shares subject to exercise under this Stock Option
at the time.

          (d) Notwithstanding any other provision hereof or of the Plan, no portion of this Stock Option
shall be exercisable after the Expiration Date hereof.

     3. Termination as Director. If the Optionee ceases to be a Director of the Company,
the period within which to exercise the Stock Option may be subject to earlier termination as set
forth below.

2

 

          (a) Termination by Reason of Death. If the Optionee ceases to be a Director by reason
of the Optionee’s death, any portion of this Stock Option outstanding on such date may be exercised
by his or her legal representative or legatee for a period of 12 months from the date of death or
until the Expiration Date, if earlier.

          (b) Other Termination. If the Optionee ceases to be a Director for any reason other
than the Optionee’s death, any portion of this Stock Option outstanding on such date may be
exercised for a period of six months from the date of termination or until the Expiration Date, if
earlier.

     4. Incorporation of Plan. Notwithstanding anything herein to the contrary, this Stock
Option shall be subject to and governed by all the terms and conditions of the Plan, including the
powers of the Administrator set forth in Section 2(b) of the Plan and the powers of the
Administrator under Section 16 of the Plan to amend or cancel this Stock Option if required by, or
necessary to comply with, applicable law. Capitalized terms in this Agreement shall have the
meaning specified in the Plan, unless a different meaning is specified herein.

     5. Transferability. This Agreement is personal to the Optionee, is non-assignable and
is not transferable in any manner, by operation of law or otherwise, other than by will or the laws
of descent and distribution. This Stock Option is exercisable, during the Optionee’s lifetime, only
by the Optionee, and thereafter, only by the Optionee’s legal representative or legatee.

     6. No Obligation to Continue as a Director. Neither the Plan nor this Stock Option
confers upon the Optionee any rights with respect to continuance as a Director.

     7. Notices. Notices hereunder shall be mailed or delivered to the Company at its
principal place of business and shall be mailed or delivered to the Optionee at the address on file
with the Company or, in either case, at such other address as one party may subsequently furnish to
the other party in writing.

     8. Amendment. Pursuant to Section 18 of the Plan, the Administrator may at any time
amend or cancel any outstanding portion of this Stock Option, but no such action may be taken that
adversely affects the Optionee’s rights under this Agreement without the Optionee’s consent.

	 	 	 	 	 
	 	VIRTUSA CORPORATION

 	 
	 	By:  	/s/ Thomas R Holler
 	 
	 	 	THOMAS R. HOLLER 	 
	 	 	EVP Finance & CFO 	 
	 

3

 

RESTRICTED STOCK AWARD AGREEMENT

UNDER THE VIRTUSA CORPORATION

2007 STOCK OPTION AND INCENTIVE PLAN

Pursuant to the Virtusa Corporation 2007 Stock Option and Incentive Plan as amended through the
date hereof (the “Plan”), Virtusa Corporation, a Delaware corporation (together with its
successors, the “Company”) hereby grants to the person named (the “Grantee”) in the Notice of Grant
of Restricted Stock Award (the “Notice”) which is either attached hereto or provided electronically
to the Grantee, a Restricted Stock Award (a “Restricted Stock Award”). The Grantee shall receive
the number of shares of Common Stock, par value $0.01 per share (the “Stock”) of the Company
specified in the Notice, subject to the restrictions and conditions set forth herein, the Notice
and in the Plan including the adjustment provision thereof. The Company acknowledges the receipt
from the Grantee of an amount equal to the aggregate par value for the Stock in the form of cash,
services or other appropriate consideration. All capitalized terms used herein and not otherwise
defined shall have the respective meanings set forth in the Notice and the Plan (as applicable).

     1. Acceptance of Award. The Grantee shall accept this Restricted Stock Award
by
(i) signing and delivering to the Company a copy of the Notice (or otherwise accepting by
electronic approval in compliance with the Company’s electronic acceptance process), and (ii)
delivering to the Company a stock power endorsed in blank. The shares of Restricted Stock granted
hereunder shall be issued and held by the Company’s transfer agent in book entry form, and the
Grantee’s name shall be entered as the stockholder of record on the books of the Company. The
Grantee shall have all the rights of a stockholder with respect to such shares, including voting
and dividend rights, subject, however, to the restrictions and conditions specified in Paragraph 2
below, the Plan and the Notice. .

     2. Restrictions and Conditions.

          (a) Any book entries for the shares of Restricted Stock granted herein shall bear an
appropriate legend, as determined by the Administrator in its sole discretion, to the effect that
such shares are subject to restrictions as set forth herein and in the Plan.

          (b) Shares of Restricted Stock granted herein may not be sold, assigned, transferred, pledged
or otherwise encumbered or disposed of by the Grantee prior to vesting.

          (c) If the Grantee’s employment with the Company and its Subsidiaries is voluntarily or
involuntarily terminated for any reason (including death) and Grantee’s service relationship with
the Company and its Subsidiaries is terminated, prior to vesting of shares of Restricted Stock
granted herein, all shares of Restricted Stock not vested as of such date shall immediately and
automatically be forfeited and returned to the Company.

     3. Vesting of Restricted Stock. The restrictions and conditions in Paragraph
2 of this
Agreement shall lapse on the Vesting Date or Dates specified in the Notice so long as the Grantee
remains an employee of the Company or a Subsidiary on such Dates or otherwise

 

 

maintains a service relationship with the Company or its Subsidiaries. If a series of Vesting Dates
is specified, then the restrictions and conditions in Paragraph 2 shall lapse only with respect to
the number of shares of Restricted Stock specified as vested on such date. Subsequent to such
Vesting Date or Dates, the shares of Stock on which all restrictions and conditions have lapsed
shall no longer be deemed Restricted Stock. The Administrator may at any time accelerate the
vesting schedule specified in this Paragraph 3.

     4. Dividends. Dividends on shares of Restricted Stock shall be paid
currently to the Grantee.

     5. Incorporation of Plan. Notwithstanding anything herein to the contrary,
this Agreement shall be subject to and governed by all the terms and conditions of the Plan, including
the powers of the Administrator set forth in Section 2(b) of the Plan and the powers of the
Administrator under Section 16 of the Plan to amend or cancel this Restricted Stock Award if
required by, or necessary to comply with, applicable law. Capitalized terms in this Agreement shall
have the meaning specified in the Plan, unless a different meaning is specified herein.

     6. Transferability. This Agreement is personal to the Grantee, is non-assignable and
is not transferable in any manner, by operation of law or otherwise, other than by will or the laws
of descent and distribution.

     7. Tax Withholding. The Grantee shall, not later than the date as of which the receipt
of this Restricted Stock Award becomes a taxable event for Federal income tax purposes, pay to the
Company or make arrangements satisfactory to the Administrator for payment of any Federal, state,
and local taxes required by law to be withheld on account of such taxable event. Except in the case
where an election is made pursuant to Paragraph 8 below, unless the Grantee makes arrangements
satisfactory to the Administrator for the payment of the applicable Federal, state, and local taxes
required by law to be withheld on account of such taxable event by the date of the taxable event,
the Grantee shall and hereby does authorize the full settlement and satisfaction of the minimum tax
withholding obligation in whole or, to the extent not settled and satisfied in full prior to or on
such taxable event, in part, by authorizing the Company to withhold from shares of Stock to be
issued or released by the transfer agent a number of shares of Stock with an aggregate Fair Market
Value that would satisfy the withholding amount due; provided such arrangement is satisfactory to
the Administrator.

     8. Election Under Section 83(b). The Grantee and the Company hereby agree that the
Grantee may, within 30 days following the acceptance of this Restricted Stock Award as provided in
Paragraph 1 hereof, file with the Internal Revenue Service and the Company an election under
Section 83(b) of the Internal Revenue Code. In the event the Grantee makes such an election, he or
she agrees to provide a copy of the election to the Company.

     9. No Obligation to Continue Employment. Neither the Company nor any
Subsidiary is obligated by or as a result of the Plan or this Agreement to continue the Grantee in
employment and neither the Plan nor this Agreement shall interfere in any way with the right of the
Company or any Subsidiary to terminate the employment of the Grantee at any time.

2

 

     10. Notices. Notices hereunder shall be mailed or delivered to the Company at its
principal place of business and shall be mailed or delivered to the Grantee at the address on file
with the Company or, in either case, at such other address as one party may subsequently furnish to
the other party in writing.

	 	 	 	 	 
	 	VIRTUSA CORPORATION

 	 
	 	By:  	/s/ Thomas R Holler
 	 
	 	 	THOMAS R. HOLLER 	 
	 	 	EVP, Finance & CFO 	 
	 

3exv10w22

EXHIBIT 10.22

SUDATH PERERA ASSOCIATES

Attorney-at-Law & Notary Public

No. 51, Kassapa Road

Colombo 5.

PRIOR REGISTRATION:
Vide Schedule

LEASE AGREEMENT

NO: 438

THIS INDENTURE OF LEASE made and entered into at Colombo in the Republic
of Sri Lanka on this Seventeenth (17th ) day of May Two Thousand and Seven
(2007)

     BY AND BETWEEN

ORION DEVELOPMENT PVT LTD a Company duly incorporated in Sri Lanka under
the Companies Act No. 17 of 1982 bearing Company Registration No N(PVS) 49516
and having its Registered Office at No 752 Baseline Road Colombo 09 in the
Democratic Socialist Republic of Sri Lanka (hereinafter referred to as “the
Lessor” which term or expression as herein used shall where the context so
requires or admits mean and include the said ORION DEVELOPMENT PVT LTD and
its Successor or Successors and assigns) ONE PART

AND

VIRTUSA (PRIVATE) LIMITED a Company duly incorporated in the said Republic of
Sri Lanka under the Companies Act No 17 of 1982 and having its Registered
Office at No 117 Trans Asia Commercial Complex Sir Chittampalam A. Gardiner
Mawatha Colombo 2 in the said Republic of Sri Lanka (hereinafter referred to
as “the Lessee” which term or expression as herein used shall where the
context so requires or admits mean and include the said VIRTUSA (PRIVATE)
LIMITED and its Successor or Successors and assigns in tide) of the Other
Part.

WHEREAS CEYLON SYNTHETIC TEXTILE MILLS LIMTED is seised and possessed of or
otherwise well and sufficiently entitled to all that allotment of land
buildings and Premises marked LOT A in said plan No. 1187 dated
27th 29th March
1985 and 01st and 15th April 1985 morefully described in the First schedule
hereto bearing Assessment No. 752

(part of)

 

2

(part of) situated along Baseline Road together with the rights of way
and other rights over the road reservations marked Lot 2 Lot 4 Lot 7 in plan
No. 873 dated 06th April 1964 made by S.Singanayagan Licensed Surveyor
morefully described in the Second Schedule hereto.

AND
WHEREAS the said CEYLON SYNTHETIC TEXTILE MILLS LIMITED entered in to a
Lease Agreement bearing No 595 dated 30th March 2007 attested by
U.S.N.P.Perera Notary Public Colombo with the Lessor which is a 100% own
subsidiary Company of the said CEYLON SYNTHETIC TEXTILE MILLS LIMITED for a
period of THIRTY (30) years commencing from 15th March 2007 and ending on 14th
March 2037 for IT related business all that allotment of land buildings and
Premise bearing Assessment No 752 standing on the said land marked LOT A
morefully described in the First Schedule hereto together with the right to
use the road reservations marked Lot 2 Lot 4 Lot 7 according to said plan No.
873 morefully described in the Second Schedule hereto.

And the said Lot A in said plan No. 1187 according to a more recent survey
plan bearing No. 1969 dated
27th and
29th
March 1985 made by P. Sinnathamby
Licensed Surveyor is depicted as LOT X and is morefully described in the First
Schedule hereto.

AND WHEREAS the Lessor under and by virtue of clause 5 (3) of the said Lease
Agreement bearing No. 595 is permitted to sublease the said land and premises
morefully described in the First Schedule hereto or any part of portion
thereof and the Lessor has agreed with the Lessee to sublease to the lessee
the allotment of land buildings and premises marked as X1 and XI1 as shown in
the sketch plan dated 19th April 2007 coloured in green and attached to and
forming part and parcel of these presents containing an aggregate area of
Seventy Eight Thousand one hundred and Seventy Five Square feet (78,175
sq.ft.) inclusive of the proposed mezzanine floor together with the parking
area marked as X2 as shown in the sketch plan coloured in orange and
containing in extent of Twenty Eight Thousand Square Feet (28,000 sq.ft)
together with the rights of way other rights over the common access marked as
X10 as shown in the sketch plan coloured in yellow and over Lots 24 and 7 on
the said plan No. 873 and the other rights in the Second Schedule hereto fully
described (herein after called and referred to as the demised premises) for a
period of Five years and Three and a half (3 1/2) months commencing
on the 1st
day of July 2007 and ending on the 14th day of October 2012 at the monthly
rental and subject to the terms and conditions hereinafter set out and
contained.

	1.	 	NOW THIS AGREEMENT WITNESSETH that for and in consideration of a sum of
RUPEES NINETY FIVE MILLION TWO HUNDRED AND FORTY THREE THOUSAND THREE
HUNDRED (Rs.95,243,300/-) being rental deposit payment which shall be
held by the Lessor as an interest free refundable deposit to be refunded
to the Lessee as herein provided after deducting therefrom all monies due
and /or damages if any caused to the demised premises and/or the fixtures
and fittings therein or thereto belonging

Whereof/-

 

3

	 	 	whereof and 30% of the said interest free refundable deposit amounting
to RUPEES TWENTY EIGHT MILLION FIVE HUNDRED
AND SEVENTY TWO THOUSAND NINE HUNDRED AND NINETY (Rs.28,572,990/-) of
lawful money of Sri Lanka shall be paid by the Lessee to the Lessor at
the execution of these presents (the receipt whereof the Lessor doth
hereby admit and acknowledge) and 50% of the said interest free
refundable deposit amounting to RUPEES FORTY SEVEN MILLION SIX HUNDRED
AND TWENTY ONE THOUSAND SIX HUNDRED AND FIFTY (Rs.47,621,650/-) shall
be paid by the Lessee to the Lessor as per the clause 6 (14) stated
hereof and the final balance 20% of the said interest free refundable
deposit of RUPEES NINETEEN MILLION FORTY EIGHT THOUSAND SIX HUNDRED AND
SIXTY (Rs.19,048,660/-) shall be paid after completion of all renovations
to be carried out within the rent free period of Three and a half (3 1/2)
months in terms of this agreement and in consideration of the covenants
provisions and agreements hereinafter contained on the part and on behalf
of the Lessee to be observed and performed the Lessor doth hereby let
lease and demise unto the Lessee the demised premises together with all
and singular the rights and privileges easements servitudes and
appurtenances whatsoever to the demised premises belonging or used and
enjoyed therewith or reputed or known as part and parcel thereof.
	 
	2.	 	TO HOLD the said demised premises unto and to the use of the Lessee for
the term or period of Five (05) Years and Three and a half (3 1/2) months
commencing from the First (01st) day of July Two Thousand and Seven
(2007) and ending on the Fourteenth (14th) day of October in the year Two
Thousand and Twelve (2012)
	 
	3.	 	YIELDING and PAYING therefore unto the said Lessor the sum of RUPEES
FOUR HUNDRED AND SEVENTY FIVE MILLION SIX HUNDRED AND FIFTY NINE
THOUSAND ONE HUNDRED AND NINETY SIX (Rs.475,659,196/-) (Excluding
Government Tax) being the aggregate lease rental for the entire term of
Five years and Five months hereby created of lawful money of Sri Lanka to
be paid by the Lessee to the Lessor as follows:
	 
	(1)	 	The period of Three and a half (31/2) months commencing from the First
(1st) day of July Two Thousand and Seven (2007) and ending on the Fourteenth
(14th) day of October Two thousand and Seven (2007) shall be free of the
payment of lease rental
	 
	(2)	 	The monthly rental of a sum of Rupees Seven Million Two Hundred and Seventy
Thousand Two Hundred and Seventy Five (Rs.7, 270,275/-) plus Value added Tax
(or the relevant tax at the time) on the monthly rental to be paid on or before
the Twentieth (20th) day of each and every month commencing from the 15th day of
October 2007 and ending on the 14th day of October 2008.

(3) The monthly/-

 

 

4

	(3)	 	The monthly rental of a sum of Rupees Seven Million Two Hundred and
Seventy Thousand Two Hundred and Seventy Five (Rs.7,270,275/-) plus Value
added Tax (or the relevant tax at the time) on the monthly rental to be paid
on or before the Twentieth (20th) day of each and every month commencing from
the 15th day of October 2008 and ending on the 14th day of October 2009
	 
	(4)	 	The monthly rental of a sum of Rupees Eight Million Seventy Thousand and
Five (Rs. 8,070,005/-) plus Value added Tax (or the relevant tax at the time)
on the monthly rental to be paid on or before the tenth Twentieth (20th) day of
each and every month commencing from the 15th day of October 2009 and ending on
the 14th day of October 2010.
	 
	(5)	 	The monthly rental of a sum of Rupees Eight Million Seventy Thousand and
Five (Rs. 8,070,005/-) plus Value added Tax (or the relevant tax at the time)
on the monthly rental to be paid on or before the tenth Twentieth
(20th) day
of each and every month commencing from the 15th day of October 2010 and
ending on the 14th day of October 2011.
	 
	(6)	 	The monthly rental of a sum of Rupees Eight Million Nine Hundred and
Fifty Seven Thousand Seven Hundred and Six (Rs.8,957,706/-) plus Value Added
Tax (or the relevant tax at the time) shall be set off against the said
deposit of 50% set forth in clause 1 hereof at the rate of Rs. 3,968,471 per
month and the balance of Rs. 4,989,235 plus Value Added Tax (or the relevant
tax at the time) shall be paid as balance monthly rental per month commencing
from the 15th day of October 2011 and ending on the 14th day of October 2012
	 
	4.	 	AND the Lessee to the intent and its obligations shall continue
throughout the term hereby created doth hereby covenant with the Lessor
as follows:-
	 
	01.	 	To pay regularly and punctually the monthly lease rental as aforesaid to
the Lessor at Colombo
	 
	02.	 	To pay regularly and punctually at the time of setting the monthly lease rental plus the Tax or
the relevant tax at the time as aforesaid to the Lessor at Colombo 

03.To pay/-

	 	 	 	 	 	 	 
	CRION DEVELOPMENT (PVT) LIMITED	 	 
	 	 	 	 	Virtusa (Private) Limited
	[-s- ILLEGIBLE]

	 	[-s- ILLEGIBLE]
	 	[-s- ILLEGIBLE]
	 	[-s- ILLEGIBLE]
	Director

	 	Director
	 	Director
	 	Director

[-s- ILLEGIBLE]
NOTARY PUBLIC

 

5

	03.	 	To pay and settle regularly and punctually all meter charges of
electricity utilized by Lessee for their UPS and for the Service equipments
including Lift Air condition units Light fittings Water pumps Fire protection
unit, B.M.S. Components water bills and telephone bills and other charges to
the respective authorities on account of electricity and Water consumed and
telephone calls taken in the said demised premises during the continuance of
the lease hereby created and shall forward receipts of such payments quarterly
to the Lessor.
	 
	04.	 	To use the said demised premises for the sole purpose of IT related
business of the lessee subject however to the provisions of the clause 4(9)
hereof
	 
	05.	 	Subject to the provisions of the clause 5 (5) and (6) hereof not to hold
the Lessor liable in any way whatsoever for failure to provide or damage
caused to the Lessee by the unavailability of electricity and water to the
demised premises
	 
	06.	 	Not to permit any act of commission or omission which would create a
nuisance to tenants or occupiers of the neighbouring buildings

	 
	07.	 	 The Lessee shall attend to all minor repairs per item of the demised
premises (other than structural and external repairs) not exceeding a sum of
Rupees Five Thousand (Rs.5,000/-) of lawful money of Sri Lanka per month
	 
	08.	 	Not to store chemicals inflammable liquids acetylene gas or alcohol or
butyl or explosive oils compounds or substances upon the demised premises or
use any such substances or fluids in the demised premises (other than domestic
LPG cylinders for cooking or preparation of tea and other beverages) for any
purpose other than for the specified use of the demised premises approved by
the Lessor or its Agent/s and to be responsible for any accident or damage
that may occur due to any unauthorized storage and to pay the total cost of
the loss or damage caused within 14 days of its occurrence
	 
	09.	 	Not to sub-lease sub-let demise or in any manner the said demised premises
or any part or portion thereof other than to a subsidiary company of the
Lessee for any IT related business without the prior written consent of the
Lessor. However the consent of the Lessor shall not be unreasonablywithheld or
delayed.
	 
	10.	 	To keep the demised premises and every part or portion thereof including
the fixtures fittings and all other service equipments/ instrument at the
demised premises in good and proper order and condition and in the event of any
damage being caused by the wilful or negligent act of the Lessee the Lessee
shall make good of such damage ordinary wear and tear excepted provided that
the maintenance of the same should be carried out by the Lessor as herein
provided.

11.To/-

 

6

	11.	 	To keep the said demised premises in a clean and sanitary state order and
condition in conformity with the rules and conditions of the local authority.
	 
	12.	 	To permit the Lessor or its agents at all reasonable hours of the day
convenient to the Lessee to visit and inspect the condition of the demised
premises after Lessor giving prior written notice of twenty four (24) hours
thereof to the Lessee.
	 
	13.	 	Not to cut damage in any way or suffer to be cut or damage in any way the
roof floor walls windows doors or any other part of the demised premises
	 
	14.	 	Subject to clause 4(13) the Lessee shall be entitled to effect all
necessary repairs alterations additions of a non permanent nature to suit the
running of its IT office and to effect necessary wiring for purposes of
telephone extensions, net working and electrical requirements of the Lessee’s
Business.
	 
	15.	 	The Lessee shall throughout the lease period be responsible for insuring
its own property against all losses or damages by fire malicious damage
tempest riot and civil commotion and other risks and the lessor shall not be
liable or be oblige to make good any loss or damage caused hereto or to
replace the same
	 
	16.	 	To conform to all terms and conditions in the Fire Insurance Policy or
policies in respect of the demised premises and not to do or cause to be done
an act or thing whereby the policy or policies effected by the Lessor shall
become vitiated or payment of moneys due thereon refused or the premium
thereto increased and in such events to pay to the Lessor on demand all such
sums paid by way of increased premium in consequence of the breach or non
observance of this covenant.
	 
	17.	 	The Lessee shall appoint a fit and proper responsible person from the
Lessee company for the purpose of correspondence with the Lessor
	 
	18.	 	The Elevators (Lifts) of the said demised premises shall be used by the
Lessee and its clients, visitors, agents, employees, and workers and the
electricity charges for operating the said lift shall be borne by the Lessee
and the periodical service and overhaul of the said lifts shall be at the cost
of the Lessor as per clause 5(10) hereof.
	 
	19.	 	Janitorial services shall other than general maintenance as per clause 5
(14) hereof be organised by the Lessee at its own expense.
	 
	20.	 	At the end of the term hereby created or at sooner determination thereof
the Lessee shall hand over the Lessor quiet vacant and peaceful possession of
the said demised premises in good order and condition reasonable wear and tear
excepted and the Lessee shall be liable to replace the damages caused (if any)
in removing the improvements partitions etc of the demised premises.

5. AND/-

 

7

	5.	 	AND the Lessor to the intent and its obligations shall continue
throughout the term hereby created doth hereby covenant with the Lessee as
follows :-
	 
	1.	 	To permit the Lessee and its aforewritten to occupy the said demised
premises during the term hereby created without any obstruction hindrance
and/or interruption either by Lessor or by any person lawfully claiming
any right under the lease Agreement and to warrant and defend the title to
the demised premises and to indemnify and keep the lessee indemnified and
saved harmless at all times from all claims demands costs damages losses
which may be incurred or suffered by the lessee arising out of the
title
to the demised premises being defective.
	 
	2.	 	To pay and discharge or cause to be paid and discharged the existing
rates and taxes due in respect of the said demised premises and duly pay
all lease rentals and other charges in respect of the lease Agreement No.
595 and to comply with all the terms and conditions therein contained
during the continuance of the Lease Agreement hereof and shall and will
hold the Lessee and its aforewritten freed and indemnified and discharged
from the payment of same and incurred in respect thereof.
	 
	3.	 	In the event the Lessor obtains a mortgage during these presents on the
land morefully described in the Schedule hereto and on the said demised
premises the Lessor shall pay all instalments of principal and interest
due under such mortgage bond and shall ensure that all instalments of
principal and interest in respect of any existing mortgages in respect of
the demised premises are paid on the due dates without delay as provided
in such bonds and keep the Lessee freed and indemnified from any claims
damages actions and losses arising there from.
	 
	4.	 	A new access 25 feet wide capable of accommodating motor vehicles as
shown in blue dotted lines on plan number 1028 dated 15th September 1970
made by K. K. Thirunavukarasu licensed surveyor shall be duly provided by
the Lessor to the Lessee as COMMON ACCESS to the demised premises and the
entire premises of the Lessor prior to the completion of the said rent
free period of 3 1/2 months set forth in clause 3 (1) hereof from the
date of execution of this Agreement. A temporary wall shall be
constructed adjacent to this access and any modifications needed to
improve the appearance of buildings etc. along this access shall be done
by the Lessor at its cost. On completion of this new access and due grant
thereof to the Lessee the Lessee shall use only this new common access
and not any other road ways as it’s common access to the said demised
premises provided that such new access shall be free of any obstruction
for the unimpeded use thereof by the Lessee. In the event of the Lessor
requiring to construct a commercial building on the property marked as
Lot 3 referred to in Plan No. 1028 of the Lessor which requires an
amendment to the said new access, the Lessee shall use the alternative
common access 25 feet wide capable of accommodating motor vehicles as
shown in red dotted lines on the said Plan number 1028 over which the
Lessee has been granted a right of way

and

 

8

	 	 	and other rights in this agreement subject to the compliance by the
Lessor of the following conditions;

	 	i.	 	 The said alternative common access is mutually beneficial to the Lessor and
the Lessee
	 
	 	ii.	 	the said alternative common access shall not be used by any
industrial vehicles other than those vehicles mutually agreed
	 
	 	iii.	 	The said alternative access and its surroundings shall be upgraded and landscaped so as to be
similar to the said new access

	 	 	provided further that the said new access or the said alternative access
shall provide full and unimpeded access to the Lessor without any
obstruction or disturbance whatsoever and on mutual agreement between
the parties hereto the Lessor shall convey the right of way and other
rights over the said new access/ alternative access by way of a
supplement to this lease agreement in lieu of the right of way and other
rights granted to the Lessee under this agreement. In the event the
alternative common access shown in red dotted lines on the said plan
number 1028 is granted to use by the Lessee by the Lessor the Lessee
shall cease the use of new access shown in blue dotted lines on plan
number 1028 granted to the Lessee under this agreement.
	 
	5.	 	Prior to the completion of the said rent free period of 3 1/2 months the
Lessor shall provide electricity from the substation of the Lessor to
cover the requirement of the Lessees equipment (maximum 900 KVA) plus
other equipment and lighting at the demised premises which the Lessor
confirms will amount to Nine Hundred and Twenty (920) KVA as per the
existing plan.
	 
	6.	 	Prior to the completion of the said rent free period of 3 1/2 months the
Lessor shall provide a standby generator at its cost to meet
contingencies in the event of shortage or failure of power supply as
provided in clause 5(5).Required diesel to run the Generators shall be
supplied by the Lessee at their cost and the periodical service and
overhaul of the said generators shall be at the cost of the Lessor.
	 
	7.	 	In addition a Diesel storage tank to store fuel for a minimum of ten
days shall be provided at the cost of the Lessor.

8. The

	 	 	 	 	 	 	 
	ORION DEVELOPMENT (PVT) LIMITED	 	 
	 	 	 	 	Virtusa (Private) limited
	[-s- ILLEGIBLE]	 	[-s- ILLEGIBLE]	 	[-s- ILLEGIBLE]	 	[-s- ILLEGIBLE]
	Director

	 	Director
	 	Director
	 	Director

[-s- ILLEGIBLE]
NOTARY
PUBLIC

 

9

	8.	 	The buildings of the demised premises shall be air conditioned at the
cost of the Lessor prior to the completion of the said rent free period
of 3 1/2 months and all related equipment shall be maintained by the
Lessor during the term herein granted.
	 
	9.	 	A sprinkler system for fire protection of the demised premises shall be
provided at the cost of the Lessor prior to the completion of the said
rent free period and maintained by the Lessor
	 
	10.	 	The two (2) elevators at the demised premises shall be replaced and
maintained by the Lessor prior to the completion of the said rent free period
of 3 1/2 months and maintained by the Lessor provided however one (1) elevator
shall always be functional during such work for use by the Lessee.
	 
	11.	 	The Lessor shall at the Lessor cost and with no charge to the Lessee
provide the Lessee with space for covered parking of 120 cars in the adjacent
building coloured in orange on the sketch plan marked as X2 and 40 parking
slots near the demised building prior to the completion of the said rent free
period. It is further agreed in the^event the Lessor intends to develop the
building coloured in orange on the sketch plan marked as X2 herein contained
and the Lessor undertakes to provide a similar alternative car park in the
same/adjacent premises during such development period.
	 
	12.	 	On the request of the Lessee the Lessor agrees to develop within a period
of two years from the date of commencement of this lease a further minimum of
160,000 Square Feet of available buildings along with space for car parking at
the rate not exceeding of Rs.135/- per Square Foot. And the Lessor
and the
Lessee shall enter in to a fresh lease agreement as per new terms and
conditions mutually discussed and agreed by both parties in respect
of the
said 160,000 Square Feet.
	 
	13.	 	Landscaping shall be done by the Lessor at the cost of the Lessor prior to
the completion of said rent free period of Three and a half (3 1/2) months
	 
	14.	 	General maintenance and upkeep of the buildings and building maintenance &
services shall be done by the Lessor at the cost of the Lessor.
	 
	15.	 	Roadways access ways and adjacent areas of the demised premises shall be
maintained by the Lessor at the cost of the Lessor.
	 
	16.	 	The Lessor shall at its cost and within the said rent free
period of 3
1/2
months from the date of commencement of the lease herein granted carry out
external upgrading of the demised premises with cladding (opening and glazing)
of the said demised premises and the said demised premises shall be upgraded
internally at the cost of the Lessor with suspended ceilings fluorescent lights
fittings painting of the entire building refitting of the doors and windows,
carpeting and tiling and fitting of bathrooms and hygienic facilities according
to the specifications previously agreed by the Lessor and the Lessee.

17. To/-

 

10

	17.	 	To insure and keep insured at the cost of the Lessor the demised premises
during the currency of this lease to its full insurable value against any loss
or damage by fire lighting storm tempest explosion and civil commotion
terrorism malicious damage riots and strikes and such other or similar causes
or contingencies with the Sri Lanka Insurance Corporation Ltd or the National
Insurance Corporation Ltd or any other Company or Corporation carrying on the
business of insurance and regularly and punctually pay all the premium
necessary for effecting or keeping in force such insurance and in the event of
any loss or damage by any of the aforesaid agencies all sums of money received
or recovered by the Lessor by virtue of such insurance shall be paid out and
expended in rebuilding or reinstating the demised premises
	 
	18.	 	Both parties shall appoint a fit and proper responsible person from its
Company for the purpose of correspondence with each party
	 
	19	 	On expiration of the lease hereby created or sooner determination the
Lessor shall refund and repay to the Lessee 40% of the remaining interest
free refundable deposit upon the Lessee surrendering the demised premises
to the Lessor in good order repair and condition reasonable wear and tear
excepted and remainder of the refundable deposit shall be refunded and
repaid to the Lessee within 4 weeks of the Lessee surrendering the
demised premises after deducting from the said deposit the sum total of
any loss or damage that may have been caused by the Lessee to the demised
premises or to its fixtures and fittings
	 
	6.	 	PROVIDED ALWAYS and it is hereby mutually agreed and declared between
the Lessor and the Lessee as follows:-
	 
	1	 	The Lessor shall grant the Lessee peaceful vacant possession of the
demised premises on the First day of July 2007 provided however the
Lessor and its workmen shall be permitted by the Lessee to carry out the
renovations and improvements without any interferences and hindrances to
the demised premises as to enable the Lessor to comply with the
provisions pertaining to the said renovations and improvements as set
forth in this agreement
	 
	2.	 	The Lessee shall allow the Lessors identified workmen / servicemen to
enter in to the demised premises at a mutually agreed time to carry out
the necessary services and maintenance.
	 
	3	 	The Lessor and the Lessee agree that if the Lessor completes the
renovation of part of the demised premises as agreed prior to the expiry
of the said rent free period of 3 1/2 months and informs the Lessee that
part of the building is ready the Lessee shall if it considers feasible
commence business operations in the partially completed building and
shall pay the lease rental proportionately to the square foot area that
is being occupied by the Lessee. Provided further that the obligation of
the Lessor to complete the entire building in terms of clause 5(16) and 6
(5) hereof during the said rent free period of 3 1/2 months shall
continue to be valid and applicable to the Lessor.

To/

 

11

	4.	 	To permit the Lessee at its own cost to erect display affix or exhibit on or to the exterior
of the demised premises a name board of reasonable dimensions with or without illumination
containing the name of the Lessee and the Lessee shall remove all such additions without
causing damages to the demised premises on the termination of the agreement and on such
removal of the additions any damages caused to the premises shall be settled by the Lessee to
the Lessor
	 
	5.	 	If at the expiration of the term hereby created or sooner
determination, the Lessee fails or otherwise neglects to peaceably
surrender and yield up unto the Lessor the said demised premises the
Lessee shall be liable to pay the Lessor RUPEES THREE HUNDRED AND FIFTY
THOUSAND (Rs.350,000/=) per day as liquidated damages until such quiet
and vacant possession is given to the Lessor
	 
	6.	 	At the cost and expense of the Lessor and within the said rent free
period of 3 1/2 months from the date of commencement of the lease herein
granted the demised premises shall be upgraded externally with cladding
and glazing and in addition internally with: 

	 	a . 	 	Suspended ceilings
	 
	 	b.	 	Energy saving light fittings 
	 
	 	c.	 	 Complete painting
	 
	 	d.	 	Refitting doors
and windows
	 
	 	e.	 	Carpeting 
	 
	 	f.	 	 Tiling and fitting of hygienic facilities
	 
	 	g.	 	Building Management
System according to specifications previously agreed by the Lessor and the Lessee.

	7.	 	That the Lessee paying the rent hereby reserved and observing and
performing the several covenants herein contained shall peaceably hold and
enjoy the demised premises during the term hereby created without any
interruption by the Lessor or any other person claiming under or in trust
for the Lessor. The Lessor hereby expressly warrants and defends title to
the demised premises and expressly states that it has good legal and valid
title to the demised premises and shall keep the Lessee indemnified and
saved harmless from all claims demands costs damages losses which may be
incurred or suffered by the Lessee arising out of the title to the demised
premises being defective.
	 
	8.	 	If the rates and taxes imposed on the demised premises increases by more
than Rupees Eight Hundred Thousand (Rs.800,000/-) per annum from the date
of commencement of the term herein granted or an additional tax is imposed
on the demised premises as a consequence of the business carried on by the
Lessee the Lessee shall be liable to pay such increase or the additional
tax amount to the Lessor.
	 
	9.	 	I. The Lessee shall be entitled to terminate this Agreement after a period
of Three (3) years from the commencement of the lease herein granted by
giving Six (6) calendar month’s prior written notice to the Lessor and on
such termination the Lessor shall refund to the Lessee all unutilised
lease rentals paid by Lessee to the Lessor together with the said
refundable deposit subject to clause 5 (19) and the provisions herein
contained.

11 If

 

12

	 	 	II If either party is in breach of any terms or conditions of the lease
herein granted or if the Lessor is in breach of any of the terms or
conditions contained in the said Lease Agreement No. 595 the aggrieved
party shall be entitled to give fifteen (15) days written notice to the
defaulting party to rectify such breach and at the end of such period if
such breach is not rectified the aggrieved party may take steps to
rectify such breach as aforesaid and in such event the defaulting party
shall forthwith pay to the aggrieved party on written notification by
the aggrieved party such sum of money expended by the aggrieved party to
rectify such breach plus damages at Twenty (20%) per centum of the said
cost for non-compliance by the defaulting party of such breach. In the
event of non-payment or further breach by the defaulting party the
aggrieved party shall be entitled to refer the same to an independent
arbitrator as per Arbitration Act No.11 of 1995 and if the arbitration
order is not given in fifteen (15) days time the aggrieved party shall
be entitled to terminate the lease herein granted by giving a further
fifteen (15) days written notice
	 
	10.	 	In the event of the Lessee being desirous of an extension of the term of
occupation for a further period of five (5) years the Lessee shall Three (03)
months prior to the expiration of this lease agreement notify the Lessor in
writing and the Lessor shall extend the term on an agreed lease rental per
square foot which shall not exceed Rs. 150 per square foot and on the same
terms as herein contained. Such new agreement shall include the rights of
access as set forth in clause 5(4)of this agreement.
	 
	11.	 	Placing of hoardings name boards shall be carried out by the Lessee with
prior written approval and discussions made with the Lessor to the said
demised premises morefully described in the First and Second Schedules hereto
	 
	 	 	The Lessor shall within a period of Three and a half (3 1/2) months from
the date of execution of these presents complete the renovations of the
demised premises. In the event of delay neglect or failure on the part
of the Lessor to complete the said renovation the Lessee shall permit
the Lessor to complete the said renovation within an extended period of
six weeks and further if the Lessor is unable to complete the
renovation during the extended period a further extension of two and a
half months will be granted subject to non payment of lease rental for
such period that the Lessee permits the Lessor to complete the said
renovation and

Subject

	 	 	 	 	 	 	 
	ORION DEVELOPMENT (PVT) LIMITED	 	 
	 	 	 	 	Virtusa (Private) Limited
	[-s- ILLEGIBLE]	 	[-s- ILLEGIBLE]	 	[-s- ILLEGIBLE]	 	[-s- ILLEGIBLE]
	Director

	 	Director
	 	Director
	 	Director
	 
	 	 	 	 	[- s- ILLEGIBLE]

NOTARY PUBLIC

 

13

	 	 	subject to the Lessor paying the Lessee interest on the refundable
deposit at the said rate of 2% over the said SLIBOR (Sri Lanka Inter
Bank Offer Rate) during the period of two and a half months provided
however the Lessee shall be entitled to commence business in the
comlepeted section of the said building. And in the event of delay
neglect or failure on the part of the Lessor to complete the said
renovations on the date of expiry of such extended period the Lessee
shall at its option be entitled to terminate this agreement by a notice
in writing to the Lessor and the Lessor shall refund to the Lessee the
refundable deposit plus interest at the said rate from the date of
execution of this agreement
	 
	13.	 	The Lessee is permitted to move in the Lessees equipment and make
necessary fittings prior to the commencement of the lease

	 
	14.	 	The balance 50% of the refundable deposit of one years rental deposit
amounting to RUPEES FORTY SEVEN MILLION SIX
HUNDRED AND TWENTY ONE THOUSAND SIX HUNDRED AND FIFTY
(Rs.47,621,650/-) shall be paid by the Lessee to the Lessor in the
following manner:
	 
		 	 a) 10% shall be paid on submission and verification of Progress
Report of Civil Work stage I 

b) 10% shall be paid on submission and
verification of Progress Report of Civil Work stage II 

c) 10% shall be
paid on submission and verification of Progress Report of Civil Work
stage III 

d) 10% shall be paid on submission and verification of
Progress Report of Civil Work stage IV 

e) 10% shall be paid on
completion of building facade
the Lessee shall be entitled to employ its
own architects, engineers , quantity surveyors etc for purposes of
verification of progress reports.

	15.	 	The Lessee shall employ at its own cost its internal security guards for
the points mutually agreed by the Lessor and Lessee as demarcated in the
annexed document marked Y
	 
	16.	 	In the event of a significant portion of the demised premises or the
building thereon being damaged beyond usage as a result of fire lighting
explosion malicious agency strikes riots civil commotion terrorism or due to
act of god other than due to an error omission or negligence of the Lessee as
per clause 4 (10) the Lessee may terminate this agreement forthwith by notice
to the Lessor or at its sole option to suspend this agreement by notice in
writing to the Lessor for such period pending reinstatement of the demised
premises to its original condition by the Lessor and in such event the
obligation of the Lessee under this agreement (including payment of lease
rentals) shall be deemed to be forthwith suspended and this agreement shall be
revived only when the Lessee resumes the use of the demised premises for the
business of the Lessee provided that the Lessee shall have the right at any
time to terminate this Agreement by notice in writing to the Lessor during the
said period of suspension.. The Lessor shall refund to the Lessee all
unutilised lease rentals and the said refundable deposit subject to clause 5
(19) on such termination as aforesaid.

17.The/-

 

14

	17.	 	The Lessee shall inform in writing to the lessor of any complaints
regarding the Consultant employed by the Lessor on the maintenance and
upgrading of the demised premises and the Lessor shall consider the complaints
forthwith and remedy the complains without any delay after mutual discussion
with the Lessee
	 
	18.	 	Both parties shall bear in equal share the lawyer’s legal fees and
incidental expenses in respect of this Lease Agreement and the stamp duty
shall be born by the Lessee
	 
	19.	 	All notices required to be served under these Presents shall be deemed to
be sufficiently sent if addressed and posted by Registered Post to the Lessee
and the Lessor at the above said Registered addresses and any change or
changes in the respective addresses aforesaid may be given by Registered Post
in like manner.

IN WITNESS WHEREOF the parties have hereunto and to three others of the same
tenor and date as these presents affixed its respective common Seal at the
place on the day month and year at the beginning hereof written.

THE FIRST SCHEDULE ABOVE REFERRED TO

	1.	 	All that divided and defined allotment of land and buildings
bearing Assessment No. 752 Danister de Silva Mawatha formerly Baseline
Road which said allotment of land is marked LOT A in Plan No. 1187
dated 27th, 29th March 1985 and 1st
and 15th April 1985 made by P.
Sinnathamby Licensed Surveyor is a divided and defined portion of land
from and out of the land called Umbichy Mills situated along Danister
de Silva Mawatha formerly Baseline Road within the Municipality and
District of Colombo Western Province and is bounded on the North by
Lots D.N. & O in Plan No. 1187 and Lot 2 in Plan No. 1028 made by P.
Sinnathamby Licensed Surveyor and bearing Assessment No. 752/1,
Danister de Silva Mawatha on the East by Lot 2 in Plan No. 1028 and
bearing Assessment No. 752/1, Daister de Silva Mawatha and Dematagoda
Ela on the South by premises bearing No. G 658 Danister de Silva
Mawatha and Lot B In Plan No. 1187 and on the West by Lot B in Plan No.
1187, premises bearing Assessment Nos. G 658 & G 716 Danister de Silva
Mawatha Private Road and Lot N in Plan No. 1187 and containing in
extent Six Acres Thirteen Decimal Seven Five Perches (A6-R0-P13.75) and
registered in A 850/71 at the Colombo District Land Registry.

According to a more recent survey the above said Lot A is morefully described
as follows.

All that divided and defined allotment of land marked Lot X (Part) depicted in
Plan No. 1969 dated 23rd March 1988 made by P. Sinnathamby Licensed Surveyor
(being a resurvey of Lot A in survey plan No. 1187 dated 27th, 29th

March/-

 

15

March 1985
and 1st and 15th April 1985 made by P.
Sinnathamby Licensed Surveyor) presently
bearing assessment No. 752 and formerly No 752 (part of) situated along a road off Danister De
Silva Mawatha formerly Baseline Road in the Dematagoda Ward No. 29 in the Palle Pattu of Salpiti
Korale within the administrative limits of Colombo Municipal Council Colombo Western Province and
which said Lot X is bounded on the North by Lot 6 (Approved private Road 40 feet wide) hereof and
Lot 2 in plan No. 1028 bearing assessment No. 752/1
Danister De Silva Mawatha on the East by Lot 2
in plan No. 1028 bearing assessment No. 752/1 Danister De Silva Mawatha and Dematagoda Ela on the
South by Premsies bearing Assessment No. G658 Danister De Silva Mawatha and Lot Y hereof on the
West by Lot Y hereof premises bearing assessment No. G658
Danister de Silva Mawatha Private Road
and premises bearing assessment G716 Danister De Silva Mawatha and Lot 2 in plan No. 1028 bearing
assmt.752/1 Danister De Silva Mawatha and containing in extent Six Acres Thirteen Decimal Seven
Five Perches (A6-RO-P13.75) according to the said Plan No. 1969.

THE
SECOND SCHEDULE ABOVE REFERRED TO :-

Together with the right to use the following Road Reservations :

	02.	 	All that divided and defined allotment of land marked Lot 2 (Reservation
for a Private Street) depicted in Plan No. 873 dated 6-4-1964 made by S.
Singanayagam Licensed Surveyor and Leveller of the land called Umbichy Mills
situated along Baseline Road aforesaid and which said Lot 2 is bounded on the
North East by Lot 1 in Plan No.
873 South East by Lot 1 in Plan No. 873 South West by Lot 4 in Plan No. 873 on the
South East by Lot 1 in Plan No. 873 on the South West by Lot 4 in Plan No. 873 and on the
North West by Lot 1 in Plan No. 873 and containing in extent Thirty Eight perches
(A0-R0-P38.0) and registered in volume A 640/257 at the Colombo Land Registry.
	 
	03.	 	All that divided and defined allotment of land marked Lot 4 (Reservation for
a Road) of the land called Umbichy Mills bearing assessment No.736, 750/1 and
752/10 Baseline Road situated along Baseline Road aforesaid and which said Lot 4
is bounded on the North East by Lots 1 and 2 in Plan No.873 on the South East by
Lots 1 and 3 in Plan No.873 on the South West by Lots 5 & 6 in Plan No.873 and
Baseline Road and on the North West by Lot 5 in Plan No.873 Baseline Road and
Lot 7 in Plan No.873 and containing in extent One Rood Twenty
Eight (A0 Rl P28)
and registered in volume A 638/250 at the Land Registry Colombo.
	 
	04.	 	All that divided and defined allotment of land marked Lot 7 (Road) of
the land called Umbichy Mills situated along Baseline Road aforesaid and

which

 

16

	 	 	which said Lot 7 in bounded on the North East by premises now bearing
assessments Nos.758/3, 758/4, 758/5, 758/6 and 760 Baseline Road and Lot 4
in Plan No.873 on the South East by Lot 4 No.873 on the South West by
Baseline Road and on the North West by Baseline Road and premises now
bearing assessments Nos.758/3, 758/4, 758/5, 758/6 and 760 Baseline Road
and containing in extent Eighteen Decimal Five Perches (A0 R1 P18.5) and
registered in volume A 638/249 at the Land Registry Colombo.

Together with a further right of way over a new Road Reservation now in use
marked Lot 6 in Plan No. 1969 dated 27th, 29th
March 1985 and 1st April 1985
made by P. Sinnathamby Licensed Surveyor and containing in extent One Rood
Seventeen Decimal Six Nought Perches (A0-R1-P17.60) as per the said Plan No.
1969.

The Common Seal of the said

ORION DEVELOPMENT PVT LTD

Is hereto affixed
in the presence of

	 	 	 	 	 	 	 
	1.
	 	 	 	 	 	 
	 
	2.
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Who do hereby attest the sealing thereof 	ORION DEVELOPMENT (PVT) LIMITED
	 
	 	 	 	 	 	 
	W I T N E S S E S :-	 	[- s- ILLEGIBLE]	 	[- s- ILLEGIBLE]
	 

	 	 	 	Dirctor
	 	Director
	1.
	 	[ILLEGIBLE]	 	 	 	 
	 
	2.
	 	[ILLEGIBLE]	 	 	 	 
	 
	 	 	 	 	 	 
	The Common Seal of the said	 	 	 	 
	VIRTUSA (PRIVATE) LIMITED	 	 	 	 
	Is hereto affixed in the presence of	 	 	 	 
	 
	 	 	 	 	 	 
	1.	 	 	 	Virtusa (Private) Limited
	 
	 	 	 	 	 	 
	2.

	 	 	 	[- s- ILLEGIBLE]
Director
	 	[- s- ILLEGIBLE]

Director
	 
	 	 	 	 	 	 
	Who do hereby attest the sealing thereof	 	 
	 
	 	 	 	 	 	 
	W I T N E S S E S :-	 	 	 	 
	 
	 	 	 	 	 	 
	1.
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	2.

	 	[ILLEGIBLE]	 	 	 	 
	 	 	 	 	[- s- ILLEGIBLE]

NOTARY PUBLIC

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