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                                                                    EXHIBIT 10.6

                         STORAGE TECHNOLOGY CORPORATION
                              AMENDED AND RESTATED
                        1987 EMPLOYEE STOCK PURCHASE PLAN

                        AMENDED AS OF SEPTEMBER 16, 1999

         1. Recitals. On February 2, 1982, Storage Technology Corporation, a
Delaware corporation (together with its Subsidiary Corporations, hereinafter
referred to, unless the context otherwise requires, as the "Company"),
established the Storage Technology Corporation 1982 Employee Stock Purchase
Plan. Such plan was subsequently amended and restated by the Board of Directors
(the "Board") on June 15, 1987 and renamed the Storage Technology Corporation
1987 Employee Stock Purchase Plan. Under the provisions of Paragraph 19, the
Company reserved the power, through its Board of Directors, to amend the plan
from time to time, subject in certain instances to approval of the Company's
stockholders. Pursuant to that power, the plan was amended and restated in its
entirety on December 14, 1995 and was approved by the stockholders of the
Company on May 30, 1996. The plan was further amended on September 23, 1997 and
December 19, 1997, and these amendments were approved by the stockholders of the
Company on May 21, 1998. The plan was further amended on September 16, 1999, and
is effective as of that date. (Shareholder approval was not required for the
September 16, 1999 amendments.) The Storage Technology Corporation 1987 Employee
Stock Purchase Plan, as amended and restated through September 16, 1999, is
referred to as the "1987 Plan or the "Plan".

         2. Purposes. The 1987 Plan is intended to provide a method whereby
employees of the Company will have an opportunity to acquire a proprietary
interest in the Company through the purchase of shares of the $.10 par value
voting Common Stock of the Company (the "Common Stock"). It is the intention of
the Company to have the Plan qualify as an "employee stock purchase plan" under
Section 423 of the Internal Revenue Code of 1986, as amended from time to time
(the "Code"). The provisions of the Plan shall, accordingly, be construed so as
to extend and limit participation in a manner consistent with the requirements
of that section of the Code.

         3. Definitions.

                  (a) "Account" means an Employee's interest in the Segregated
Account based on the contributions made thereto and the interest earned thereon.

                  (b) "Base Pay" means, at the Employee's election, either: (i)
an Employee's rate of base salary (before deduction for contributions to plans
maintained pursuant to Sections 401(k) and 125 of the Code) in effect during the
Offering Period, but EXCLUDING payments for overtime, shift premium, incentive
compensation, bonuses, and other similar

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payments; or (ii) Employee's rate of base salary (before deduction for
contributions to plans maintained pursuant to Sections 401(k) and 125 of the
Code) in effect during the Offering Period, EXCLUDING payments for overtime,
shift premium, incentive compensation, bonuses, and other similar payments, but
INCLUDING all payments for bonuses, incentive compensation and various forms of
commissions. Base Pay shall also include payments for short-term disability.

                  (c) "Committee" means the Compensation Committee of the
Company's Board of Directors or such other committee as is designated by the
Board of Directors to administer the Plan.

                  (d) "Employee" means any person who is a Regular Employee (per
CP-3-3-14) customarily employed for more than 20 hours per week and more than
five months in a calendar year by Storage Technology Corporation or any
Subsidiary Corporation.

                  (e) "Offering Commencement Date" shall mean January 1, 1991
and each following November 1 and May 1 thereafter, unless otherwise specified
by the Committee.

                  (f) "Offering Periods" shall mean the period commencing
January 1, 1991 and ending October 31, 1991 and thereafter the periods
commencing each November 1 and May 1 and ending on the next following April 30
and October 31, respectively. The duration of Offering Periods may be changed
pursuant to Paragraphs 5 and 21 of this Plan.

                  (g) "Offering Termination Date" shall mean October 31, 1991
and each following April 30 and October 31 thereafter, unless otherwise
specified by the Committee.

                  (h) "Segregated Accounts" shall mean the depository accounts
established by the Company and by Subsidiary Corporations for collection of
Employee contributions to the Plan.

                  (i) "Subsidiary Corporation" shall mean any present or future
corporation which (i) would be a subsidiary corporation with respect to the
Company as that term is defined in Section 425 of the Code, and (ii) is
designated as a participant in the Plan by the Committee described in Paragraph
14.

         4. Eligibility

                  (a) Participation in the Plan is completely voluntary. An
Employee will be eligible to become a participant in each Offering Period if
employed by the Company on or before 15 days prior to the applicable Offering
Commencement Date.

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                  (b) Any provision of the Plan to the contrary notwithstanding,
no Employee shall be granted an option under the Plan:

                           (i) if, immediately after the grant, such Employee
         would own stock, and/or hold outstanding options to purchase stock,
         possessing 5% or more of the total combined voting power or value of
         all classes of stock of the Company or of any Subsidiary Corporation
         (for purposes of this Paragraph the rules of Section 425(d) of the Code
         shall apply in determining stock ownership of any Employee); or

                           (ii) if such option would permit his or her rights to
         purchase stock under all employee stock purchase plans of the Company
         and its Subsidiary Corporations to accrue at a rate that exceeds
         $25,000 of the fair market value of the stock (determined at the time
         each option is granted) for each calendar year in which such option is
         outstanding; or

                           (iii) for shares in excess of 25,000 in respect of
         any Offering Period, provided that this limitation is subject to
         increase or decrease by the Committee prior to the commencement of any
         Offering Period in respect of such Offering Period.

         5. Plan Offerings.

                  (a) The Plan is authorized to issue a total of 12,200,000
shares of Common Stock.

                  (b) The Plan will be implemented by consecutive Offering
Periods, with a new Offering Period commencing on each Offering Commencement
Date and ending on the next Offering Termination Date, or on such other dates as
the Committee shall determine prior to the commencement of the relevant Offering
Period, and continuing until terminated in accordance with Paragraph 19 hereof.
The Committee shall have the power to change the duration of Offering Periods
(including the commencement and termination dates thereof) with respect to
future offerings without stockholder approval if such change is announced at
least five (5) days prior to the scheduled beginning of the first Offering
Period to be affected.

                  (c) The Committee may determine in its sole discretion from
time to time to fix a maximum number of shares of Common Stock of the Company,
including any unsold balances from earlier Offering Periods (subject to
adjustment upon changes in the capitalization of the Company in accordance with
Paragraph 18 hereof) that shall be issued during any one Offering Period. If the
Committee fixes a maximum number of shares per Offering Period, the maximum
number of shares to be issued in respect of any Offering

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Period may from time to time be increased or decreased by the Committee prior to
the commencement of the affected Offering Period within the limits of the total
shares then available under the Plan.

                  (d) Participation in any Offering Period under the Plan shall
neither limit, nor require, participation in any other Offering Period (except
as set forth in paragraphs 4(b)(i) and 4(b)(ii) hereof).

         6. Participation.

                  (a) An eligible Employee may become a participant by enrolling
and authorizing payroll deductions on an Interactive Voice Response system
("IVR") in such manner as is prescribed by the Company or, if such Employee does
not have access to IVR, by completing an authorization for payroll deduction on
the form provided by the Company and filing it with the department designated by
the Company or the designated country coordinator by the deadline established by
the Company, which must precede the first day of the Offering Period for which
the participant enrolls.

                  (b) Payroll deductions for a participant shall commence on the
applicable Offering Commencement Date when an authorization for a payroll
deduction becomes effective and shall end on the Offering Termination Date of
the Offering Period to which such authorization is applicable unless sooner
terminated by the participant as provided in Paragraph 11.

         7. Payroll Deductions.

                  (a) At the time a participant enrolls and authorizes payroll
deductions, the participant shall elect to have deductions made from his or her
Base Pay and deposited in a Segregated Account during the time the Employee is a
participant in an Offering Period. Deductions can be made at the rate of 1, 2,
3, 4, 5, 6, 7, 8, 9, or 10% of Base Pay.

                  (b) All payroll deductions made for a participant shall be
transferred to a Segregated Account as soon as practicable. For administrative
convenience, the Company may offset amounts advanced by the Company to pay
participant withdrawals pursuant to Paragraph 11 against amounts of payroll
deductions otherwise payable into the Segregated Account. A participant may not
make any separate cash payments into the Segregated Account. The Company shall
maintain appropriate accounting records to reflect at all times the interest and
total deductions of all participants in the Segregated Account.

                  (c) A participant may discontinue participation in the Plan as
provided in Paragraph 11, but no other change can be made during an Offering
Period and, specifically, a participant may not alter the rate of payroll
deductions for that Offering Period.

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         8. Terms and Conditions of Options.

                  (a) On the applicable Offering Commencement Date, when a
participant's authorization for a payroll deduction becomes effective, the
participant shall be deemed to have been granted an option to purchase a maximum
number of shares of Common Stock, subject to the limitations pursuant to
Paragraph 4(b) above, equal to the lesser of: (a) the Option Price (as defined
below) divided into the Employee's total deductions under the Plan in respect of
the Offering Period or (b) the Employee's pro-rata share of all shares available
for issuance under the Plan for that Offering Period, determined pursuant to
Paragraph 13, below.

                  (b) The option price per share (hereinafter "Option Price") of
Common Stock purchased with payroll deductions made during each Offering Period
shall be the lesser of:

                           (i) 85% of the closing price per share of the Common
         Stock as quoted in The Wall Street Journal for the applicable Offering
         Commencement Date (or on the next business date on which shares of the
         Common Stock shall be traded on the New York Stock Exchange in the
         event that no shares of the Common Stock shall have been traded on the
         Offering Commencement Date); or

                           (ii) 85% of the closing price per share of the Common
         Stock as quoted in The Wall Street Journal for the applicable Offering
         Termination Date (or for the next preceding business date on which
         shares of the Common Stock shall be traded on the New York Stock
         Exchange in the event that no shares of the Common Stock shall have
         been traded on the Offering Termination Date).

                  (c) The Committee may determine in its sole discretion from
time to time to issue fractional shares under the Plan. If the Committee
determines not to issue fractional shares, any accumulated payroll deductions
that would have been used to purchase fractional shares shall be (i)
automatically credited to each participant's Account and applied towards his or
her option to purchase shares in the next successive Offering Period, or (ii)
returned to each participant promptly following the termination of the Offering
Period, as may be determined by the Committee. Any accumulated payroll
deductions that are in excess of the limitations of Paragraph 8(a), together
with any net income of the Segregated Account allocable to each participant, and
the amount referenced in item (ii) above, shall be returned to each participant
promptly following the termination of an Offering Period.

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         9. Exercise of Option. Unless a participant withdraws in accordance
with Paragraph 11, his or her option to purchase Common Stock with payroll
deductions made during any Offering Period will be deemed to have been exercised
automatically on the applicable Offering Termination Date, for the purchase of
the number of full shares of Common Stock that the accumulated payroll
deductions will purchase at the applicable Option Price (but not in excess of
the number of shares for which options have been granted to the participant
pursuant to Paragraph 8(a)), and any excess in his or her Account at that time
will be returned to the participant, together with any net income of the
Segregated Account allocable to his or her Account, as provided in Paragraph 13.

         10. Delivery. As promptly as practicable after the Offering Termination
Date of each Offering Period, the Company will deliver to a broker designated by
the Committee to hold shares for the benefit of the participants the shares of
Common Stock purchased upon the exercise of the participant's option. As may be
determined by the Committee in its sole discretion from time to time, such
shares shall be delivered by physical certificates or by means of a book entry
system. A participant may instruct any such designated broker to sell shares
purchased upon exercise of the participant's option at any time, subject to
applicable securities laws; provided, that the Committee (i) may restrict a
participant's right to transfer shares to another brokerage, institution, or any
other person (including the participant) during the initial 24 months following
the Offering Commencement Date in which the shares were purchased, and (ii) may
determine that, for purposes of Section 423(b)(8)(B) of the Internal Revenue
Code, the shares were sold if a participant transfers shares to another
brokerage or financial institution, or any other person (including the
participant) during the initial 24 months following the Offering Commencement
Date in which shares were purchased.

         11. Withdrawal and Termination.

                  (a) Prior to the 15th day of the month before the applicable
Offering Termination Date, any participant may withdraw payroll deductions and
net earnings thereon credited to the participant by following the procedures
specified by the Company for effecting a withdrawal on the IVR system or, if the
participant does not have access to IVR, by giving written notice of withdrawal
to the department designated by the Company or the designated country
coordinator. As promptly as practical after the participant's withdrawal, the
payment to the participant of all the participant's payroll deductions credited
to his or her account, together with any net earnings of the Segregated Account
allocable to the participant's Account shall be made. No further payroll
deductions for such participant will be made during such Offering Period. The
Company may, for administrative convenience, elect to pay to participants (or
beneficiaries) the amount of any withdrawals and earnings thereon and may then
offset the amount of any such payments against payroll deductions otherwise
payable to the Segregated Account. The Company may, at its option, treat any
attempt to borrow by a participant on the security of the accumulated payroll
deductions allocated to the participant's Account as an election under this
Paragraph 11(a) to withdraw such amounts from the Segregated Account.

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                  (b) A participant's withdrawal from any Offering Period will
not have any effect upon eligibility to participate in any subsequent Offering
Period or in any similar plan that may hereafter be adopted by the Company.

                  (c) Upon termination of the participant's employment with the
Company for any reason (including retirement but excluding death or, in certain
cases, disability while in the employ of the Company) on or prior to the last
day of the last full payroll period immediately preceding an Offering
Termination Date, the payroll deductions credited to the participant, together
with any net earnings of the Segregated Account allocable to his or her Account,
will be returned to the participant, or, in the case of a participant's death
subsequent to the termination of employment, to the person or persons entitled
thereto under Paragraph 15. For purposes of the Plan, a participant shall be
considered disabled if the Company determines that the participant is unable to
perform the usual and customary requirements of his or her job with the Company
and will be unable to do so for at least six months; provided, however, that
such determination is subject to review by the Committee at its discretion.

                  (d) Upon termination of the participant's employment because
of death or disability prior to the Offering Termination Date, the participant
or the participant's beneficiary (as defined in Paragraph 15) shall have the
right to elect, by written notice given to the Company's General Counsel prior
to the expiration of the period of 90 days commencing on the date of death or
disability of the participant, and prior to the Offering Termination Date,
either

                           (i) to withdraw all of the payroll deductions
         credited to the participant, together with any net earnings of the
         Segregated Account allocable to his or her Account, or

                           (ii) to exercise the participant's option to purchase
         of Common Stock for the then current Offering Period on the Offering
         Termination Date for the purchase of the number of full shares of
         Common Stock that the amount allocated to the participant's Account at
         the date of the participant's death or disability will purchase at the
         applicable Option Price, and any excess credited to such Account will
         be returned to said participant or his or her beneficiary.

         In the event that no such written notice of election shall be duly
received by the office of the Company's General Counsel within the required time
period, the participant or beneficiary shall automatically be deemed to have
elected to withdraw the payroll deductions credited to the participant, together
with the net earnings of the Segregated Account allocable

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to his or her Account at the date of the participant's death or disability, and
the same will be paid promptly to said participant or beneficiary.
Notwithstanding the foregoing, if a participant's employment with the Company
and any Subsidiary Corporation terminates because of disability more than three
months prior to the Offering Termination Date, the provisions of this Paragraph
11(d) shall not apply and the provisions of Paragraph 11(c) shall apply to such
participant.

         12. Income and Accounting.

                  (a) Separate accounts shall not be established by the Company
for Employees who participate in the Plan. The Employee's payroll deductions
shall be transferred to the Segregated Account as soon as practical after each
pay period and credited to the participant.

                  (b) Each participant shall share proportionately in the income
and expense of the Segregated Account and any net income shall be taxable to the
participant, who shall be responsible for paying any income or other taxes
applicable thereto.

         13. Stock.

                  (a) If the Committee, in its sole discretion, fixes a maximum
number of shares that shall be made available for sale under the Plan during any
Offering Period, such number of shares may be adjusted if less than the number
of shares that may be specified by the Committee with respect to any Offering
Period are purchased during any Offering Period. In such event, the number of
shares not purchased in the Offering Period may be carried over and made
available for sale under the Plan during any subsequent Offering Period. If the
total number of shares subject to options that would otherwise be exercised on
any Offering Termination Date in accordance with Paragraph 9 exceeds the maximum
number of shares available for sale, subject to adjustment as aforesaid, the
Company shall make a pro rata allocation of the shares available for delivery
and distribution in as nearly a uniform manner as shall be practicable and as it
shall determine to be equitable, and the balance of payroll deductions credited
to each participant, together with the net earnings of the Segregated Account
allocable thereto, shall be returned to him or her as promptly as possible.

                  (b) A participant will have no interest in Common Stock
covered by the participant's option until such option has been exercised.
Participants in the Plan shall have no rights as stockholders with respect to
any shares covered by the Plan until the date of issue of a stock certificate to
him or her for such shares. Except as otherwise expressly provided in the Plan
or in the corporate action relating to such event, no adjustment shall be made
for dividends or other rights for which the record date is prior to the date
such stock certificate is issued.

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                  (c) Common Stock to be delivered to a participant under the
Plan will be registered in the name of the participant.

                  (d) The Board of Directors may, in its discretion, require as
conditions to the exercise of any option that the shares of Common Stock
reserved for issuance upon the exercise of the option shall have been duly
listed, upon official notice of issuance, upon the New York Stock Exchange, and
that either

                           (i) a Registration Statement under the Securities Act
         of 1933, as amended, with respect to said shares shall have become
         effective, or

                           (ii) the participant shall have represented in form
         and substance satisfactory to the Company that it is the participant's
         intention to purchase for investment the shares being purchased under
         such option.

         14. Administration. The Plan shall be administered by the Committee.
The interpretation and construction of any provision of the Plan or any
Segregated Account agreement and the adoption of rules and regulations for
administering the Plan shall be made by the Committee, subject, however, at all
times to the final concurrence of the Board of Directors of the Company.
Determinations made by the Committee and approved by the Board of Directors with
respect to any matter or provision contained in the Plan shall be final,
conclusive and binding upon the Company and upon all participants, their heirs
or legal representatives. Any rules, regulations or interpretations adopted by
the Committee shall remain in full force and effect unless and until altered,
amended, or repealed by the Committee or the Board of Directors.

         15. Designation of Beneficiary. A participant may file with the
Company, pursuant to rules adopted by the Committee, a written designation of a
beneficiary who is to receive any Common Stock and/or cash pursuant to the
provisions of the Plan in the event of the participant's death. Such designation
of beneficiary may be changed by the participant at any time by written notice.
Upon the death of a participant and upon receipt by the Company of proof of the
identity and existence at the participant's death of a beneficiary validly
designated by him under the Plan, the Company shall deliver such Common Stock to
such beneficiary and/or pay any cash in the participant's Account in the
Segregated Account to the beneficiary, as may be required under the provisions
of Paragraph 11(d). In the event of the death of a participant and in the
absence of a beneficiary validly designated under the Plan who is living at the
time

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of such participant's death, the Company shall cause such cash to be paid to the
person or persons or the entity duly designated by the participant, as shown on
the Company's records, as his or her beneficiary for the proceeds of Company
paid life insurance. In the absence of such a beneficiary who is living at the
time of the participant's death, the Company shall cause such cash to be paid to
the executor or administrator of the estate of the participant, or if no such
executor or administrator of the estate has been appointed (to the knowledge of
the Company), the Company, in its discretion, may cause such cash to be paid to
the spouse or to any one or more dependents of the participant as the Company
may designate. No beneficiary shall, prior to the death of the participant by
whom he or she has been designated, acquire any interest in the Common Stock or
in amounts credited to the participant's Account.

         16. Transferability. Neither payroll deductions credited to a
participant, nor earnings thereon, nor any rights with regard to the exercise of
an option or to receive Common Stock under the Plan may be assigned,
transferred, pledged, or otherwise disposed of in any way by the participant
otherwise than by will or the laws of descent and distribution. Any such
attempted assignment, transfer, pledge or other disposition shall be without
effect, except that the Company may treat such act as an election to withdraw
funds in accordance with Paragraph 11.

         17. Ownership of ESPP Assets. All contributions paid into Segregated
Accounts shall be the property of the respective participants in the Plan and
the Company shall have no interest in such amounts while held in the Segregated
Account.

         18. Effect of Changes in Capital Structure. If the outstanding shares
of Common Stock are changed into or exchanged for a different number or kind of
shares or other securities of the Company by reason of any recapitalization,
reclassification, stock split, stock dividend, combination, or subdivision, or
if the Company takes any other action of a similar nature affecting such Common
Stock (excluding, however, any reorganization under the United States Bankruptcy
Code), then the number and class of shares of Common Stock that may thereafter
be optioned, or the rights assigned thereto (in the aggregate and to any
participant), shall be adjusted accordingly and, in the case of each option
outstanding at the time of any such action, the number and class of shares that
may thereafter be purchased pursuant to such option and the Option Price shall
be adjusted, in each case to such extent and in such manner, if at all, as may
be determined by the Board upon the recommendations of the Committee, with the
approval of independent public accountants and counsel, to be necessary to
preserve unimpaired the rights of the holder of such option.

         19. Amendment or Termination. The Board of Directors of the Company may
at any time terminate or amend the Plan. No such termination can affect options
previously granted, nor may an amendment make any change in any option
theretofore granted without prior approval of the stockholders of the Company if
such approval is required under the laws or regulations administered by the U.S.
Treasury (including Section 423 of the Code), the Securities and Exchange
Commission (including Rule 16b-3), any other agency of the U.S. Government, or
the New York Stock Exchange, or any other exchange or system on which the
Company's stock is then registered or traded.

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         20. Notices. All notices or other communications by a participant to
the Company under or in connection with the Plan shall be deemed to have been
duly given when received by the General Counsel of the Company.

         21. Dissolution, Merger or Asset Sale.

                  (a) Dissolution or Liquidation. In the event of the proposed
dissolution or liquidation of the Company, the Offering Period shall terminate
immediately prior to the consummation of such proposed action, unless otherwise
provided by the Board.

                  (b) Merger or Asset Sale. In the event of a proposed sale of
all or substantially all of the assets of the Company, or the merger of the
Company with or into another corporation, each option under the Plan shall be
assumed or an equivalent option shall be substituted by such successor
corporation or a parent or subsidiary of such successor corporation, unless the
Board determines, in the exercise of its sole discretion and in lieu of such
assumption or substitution, to shorten the Offering Period then in progress by
setting a new Offering Termination Date (the "New Offering Termination Date") or
to cancel each outstanding right to purchase and refund all sums collected from
participants during the Offering Period then in progress. If the Board shortens
the Offering Period then in progress in lieu of assumption or substitution in
the event of a merger or sale of assets, the Board shall notify each participant
in writing, at least ten (10) business days prior to the New Termination Date,
that the Offering Termination Date for the option held by the participant has
been changed to the New Offering Termination Date and that such option shall be
exercised automatically on the New Offering Termination Date, unless prior to
such date the participant has withdrawn from the Offering Period as provided in
Paragraph 10 hereof. For purposes of this paragraph, an option granted under the
Plan shall be deemed to be assumed if, following the sale of assets or merger,
the option confers the right to purchase, for each share of option stock subject
to the option immediately prior to the sale of assets or merger, the
consideration (whether stock, cash or other securities or property) received in
the sale of assets or merger by holders of Common Stock for each share of Common
Stock held on the effective date of the transaction (and if such holders were
offered a choice of consideration, the type of consideration chosen by the
holders of a majority of the outstanding shares of Common Stock); provided,
however, that if such consideration received in the sale of assets or merger was
not solely common stock of the successor corporation or its parent (as defined
in Section 424(e) of the Code), the Board may, with the consent of the successor
corporation, provide for the consideration to be received upon exercise of the
option to be solely common stock of the successor corporation or its parent
equal in fair market value to the per share consideration received by holders of
Common Stock and the sale of assets or merger.

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         22. Effective Date of Offering Periods. Offerings may commence under
the Plan prior to approval by the stockholders of any amendments or restatements
under Paragraph 19 above, but no Common Stock requiring stockholder approval may
be purchased hereunder unless and until the requisite stockholder approval has
been received.

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                                                                    EXHIBIT 10.8

STORAGE TECHNOLOGY CORPORATION

EMPLOYMENT AGREEMENT

            , 2000
------------

<PAGE>   2

EXECUTIVE EMPLOYMENT AGREEMENT

This Employment Agreement (the "Agreement") is entered into as of ______________
(the "Effective Date") by and between Storage Technology Corporation (the
"Company"), a Delaware corporation, and __________________ (hereinafter, "you"
or "your") and sets forth the terms and conditions of your employment with the
Company. Previously, you and the Company entered into a letter agreement dated
______________ concerning your employment with the Company. This Agreement shall
replace and supersede such agreement and all prior agreements between you and
the Company concerning your employment with the Company. In consideration of
your employment by the Company on the terms and conditions set forth below, and
the mutual covenants and agreements contained herein, you and the Company agree
as follows:

         1. Position. You will be employed full-time by the Company in the
position of ______________________________ of the Company, which is an executive
and management level position, reporting to ______________________, the
___________________________of the Company. During your employment, you shall
devote your entire working time, attention and energies to the business of the
Company and shall be bound by the Company's Corporate Policies and Practices
from time to time in effect. You shall not engage in any other business or
personal activity or activities that require services by you that may conflict
with the proper performance of your duties hereunder.

         2. Certain Defined Terms.

                  a. Cause. "Cause" means any of the following: (i) willful
failure to perform your duties and responsibilities as an officer of the
Company; (ii) your willful breach of any provision of this Agreement; (iii) your
willful breach of any other written agreement between you and the Company; (iv)
gross negligence or dishonesty in the performance of your duties hereunder; (v)
your willful violation of any of the Corporate Policies and Practices as in
effect

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from time to time; (vi) your engaging in conduct or activities that materially
conflict with the interests of or injure the Company, or materially interfere
with your duties owed to the Company; (vii) your refusal to comply with or
material neglect of instructions received from your manager; and (viii) your
conviction (including any plea of guilty or nolo contendere) for a felony.

                  b. Change of Control. "Change of Control" means the occurrence
of any of the following events:

                           (i) The acquisition by any "person" (as such term is
used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as
amended), other than the Company or a person that directly or indirectly
controls, is controlled by, or is under common control with, the Company, of the
"beneficial ownership" (as defined in Rule 13d-3 under said Act), directly or
indirectly, of securities of the Company representing twenty-five percent (25%)
or more of the total voting power represented by the Company's then outstanding
voting securities; or

                           (ii) A merger or consolidation of the Company with
any other corporation, other than a merger or consolidation which would result
in the voting securities of the Company outstanding immediately prior thereto
continuing to represent (either by remaining outstanding or by being converted
into voting securities of the surviving entity [including the parent corporation
of such surviving entity]) at least fifty percent (50%) of the total voting
power represented by the voting securities of the Company or such surviving
entity outstanding immediately after such merger or consolidation, or the
approval by the stockholders of the Company of a plan of complete liquidation of
the Company, or the sale or disposition by the Company of all or substantially
all the Company's assets.

                  c. Disability. "Disability" means that you have been unable to
substantially perform your duties under this Agreement as the result of your
incapacity due to physical or mental illness for a period of twenty-six weeks,
consecutive or otherwise, after its commencement. This definition is for
purposes of this agreement only and does not address company short term or long
term benefit policies.

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<PAGE>   4
                  d. Involuntary Termination. "Involuntary Termination" means
any of the following: (i) termination of your employment by the Company which is
not effected for Cause; (ii) termination of your employment with the Company by
reason of your death or Disability; (iii) during the twenty-four month period
following a Change of Control, termination of your employment for any reason
other than for Cause; (iv) the failure of the Company to obtain the assumption
of this Agreement by any successors contemplated in Section 10 below; (v)
without your express written consent, your relocation to a facility or a
location more than 50 miles from your present office location; (vi) without your
express written consent, a material reduction in your Base Salary and Target
Bonus opportunity, stated as a percentage of your Base Salary, as defined below,
as in effect immediately prior to such reduction, where a material reduction
shall be deemed to be a cumulative reduction of greater than fifteen percent
(15%), except as provided in Section 4 below; or (vii) without your written
consent, a significant reduction of your duties, authority, responsibilities or
change in reporting relationship relative to that which was in effect
immediately prior to such reduction or change.

                  e. Termination Date. "Termination Date" means any of the
following: (i) the date on which the Company delivers to you a written notice of
termination or such later date, not to exceed ninety days, specified in the
notice of termination; (ii) in the event employment ends by reason of your death
or Disability, the date of death or determination of Disability; and (iii) in
the event this Agreement is terminated by you, the date on which you deliver a
written notice of termination to the Company. Any notice of termination shall
specify the provision(s) in this Agreement claimed to provide a basis for
termination.

         3. Base Compensation. For your services during your employment, the
Company will pay you a base salary at the annualized rate equal to $__________.
Such salary shall be paid periodically in accordance with the normal payroll
practices of the Company in effect from time to time, less any withholding taxes
as set forth below. The amount of your base salary may be

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<PAGE>   5

increased from time to time during your employment, and may be reduced,
consistent with Section 2.d, above, if the Board of Directors of the Company
("Board") requires a decrease in base salary for all corporate officers and
business unit managers, or as may be mutually agreed upon by you and the Company
(such annualized base salary as may be adjusted from time to time is referred to
in this Agreement as "Base Salary").

         4. Incentive Bonuses. The Company currently maintains a Management By
Objective Bonus Program (the "MBO Program") as may be modified from time to
time. During your employment, you shall be eligible to receive bonuses under the
terms and conditions of the MBO Program approved by the Board and/or the Human
Resources and Compensation Committee of the Board, based upon the achievement of
pre-established financial and other performance goals. In particular, you are
specifically eligible to receive a bonus under the MBO Program equal to ____% of
your Base Salary at the target level of performance. The amount of your target
bonus opportunity, stated as a percentage of your Base Salary, may be increased
from time to time during your employment, and may be reduced if the Board
requires a decrease in the target bonus opportunity for all corporate officers
and business unit managers, or as may be mutually agreed upon by you and the
Company (such annualized target bonus as may be adjusted from time to time is
referred to in this Agreement as "Target Bonus"). Any payments under the MBO
Program shall be made in accordance with the provisions of, and under the
conditions contained in, the MBO Program, and may be subject to achieving
pre-established individual performance goals. Failure to achieve your individual
performance goals may result in a reduced payment or no Target Bonus payment.

         5. Termination of Employment; Severance Benefits.

                  a. Involuntary Termination. If your employment terminates as a
result of an Involuntary Termination other than for Cause, you shall be entitled
to receive a severance payment equal to the sum of (i) one times your Base
Salary for the fiscal year then in effect, plus (ii) one times your Target Bonus
for the fiscal year then in effect, whether or not such

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<PAGE>   6

bonus would otherwise be payable (or, if no Target Bonus is in effect for such
year, the highest Target Bonus in the three preceding fiscal years); provided,
that in the event of an Involuntary Termination upon a Change of Control, you
shall be entitled to receive a severance payment equal to the sum of (x) two
times your Base Salary for the fiscal year then in effect, plus (y) two times
your Target Bonus, whether or not such bonus would otherwise be payable (or, if
no Target Bonus is in effect for such year, the highest Target Bonus in the
three preceding fiscal years). Any severance payments to which you become
entitled pursuant to this Section shall be paid to you (or your estate or
beneficiary in the event of your death) in a lump sum within thirty calendar
days of your Termination Date and shall be paid contingent upon your execution
and delivery to the Company of a Settlement and Release Agreement substantially
in the form attached hereto as Exhibit A.

                  b. Voluntary Resignation; Termination For Cause. If you
voluntarily resign from the Company (other than as an Involuntary Termination),
or if the Company terminates your employment for Cause, then you shall not be
entitled to receive any severance or other benefits except for those benefits,
if any, as may then be established under then existing benefits plans at the
time of your resignation or termination.

                  c. Restricted Stock and Stock Options. In the event you are
entitled to receive severance pursuant to this Section, then, in addition to
such severance, all unvested stock options granted to you under the Company's
stock option plans (or under any successor company's stock option plans) on or
after the Effective Date shall vest and become exercisable in full, and the
Company's right to repurchase any shares of restricted stock purchased under any
of the Company's stock plans on or after the Effective Date shall terminate and
all such stock shall become fully vested.

                  d. Notice of Termination. Any termination (of your employment
with the Company other than by reason of your Death or Disability) shall be
communicated by a notice of termination given to the other in accordance with
the Notice Provisions of this Agreement.

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<PAGE>   7

Such notice shall indicate the specific termination provision in this Agreement
relied upon, shall set forth in reasonable detail the facts and circumstances
claimed to provide a basis for termination under the provision so indicated, and
shall specify the Termination Date.

         6. Employee Benefit Programs.

                  a. You shall be eligible to participate in the employee and
executive benefit programs maintained by the Company, including (without
limitation) any qualified or non-qualified retirement plans or programs, savings
and profit-sharing plans, stock option, restricted stock and other equity plans,
bonus plans, deferred compensation plans, life, short-term and long-term
disability, medical, accident and other insurance programs, paid vacations in
accordance with the policy for executive officers as may be in effect from time
to time, and similar plans or programs, subject in each case to the generally
applicable terms and conditions of any such plan or program and to the sole
determination of the Board, or any committee of the Board, or other committee
administering such plan or program. During your employment, the Company shall
provide you with (i) an annual reimbursement for financial and tax and estate
planning expenses incurred by you in an amount not to exceed 1% of your Base
Salary; and (ii) the various executive officer perquisites to the extent the
Company continues to offer them from time to time.

                  b. Stock option, restricted stock or other equity benefits, if
any, shall be awarded by the Board pursuant to the terms and conditions of the
Company's equity plans for employees, as may be in effect from time to time. The
Company's 1995 Equity Participation Plan, as amended, provides that stock option
and stock appreciation rights may be subject to forfeiture and any option gain
may be payable by you to the Company during a period specified in the plan in
the event you may engage in activities that are in competition with the Company
following your termination. You are encouraged to carefully review the terms of
the plan and any other equity plans that may be in effect from time to time, and
any stock option agreements in their entirety.

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<PAGE>   8

         7. Limitation on Payments. In the event that the severance and other
benefits provided for in this Agreement or otherwise payable to you (i) would
constitute "parachute payments" within the meaning of Section 280G of the
Internal Revenue Code of 1986, as amended (the "Code") and (ii) but for this
Section, would be subject to the excise tax imposed by Section 4999 of the Code,
then such severance and other benefits shall be either (i) delivered in full, or
(ii) delivered as to such lesser extent which would result in no portion of such
severance and other benefits being subject to excise tax under Section 4999 of
the Code, whichever of the foregoing amounts, taking into account the applicable
federal, state and local income taxes and the excise tax imposed by Section
4999, results in the receipt by you on an after-tax basis, of the greatest
amount of benefits, notwithstanding that all or some portion of such benefits
may be taxable under Section 4999 of the Code. Unless you and the Company agree
otherwise in writing, any determination required under this Section shall be
made in writing by the Company's independent public accountants (the
"Accountants"). Such determination shall be conclusive and binding upon you and
the Company for all purposes. For purposes of making the calculations required
by this Section, the Accountants may make reasonable assumptions and
approximations concerning applicable taxes and may rely on reasonable, good
faith interpretations concerning the application of Sections 280G and 4999 of
the Code. You and the Company shall furnish to the Accountants such information
and documents as the Accountants may reasonably request in order to make a
determination under this Section. The Company shall bear all costs the
Accountants may reasonably incur in connection with any calculations
contemplated by this Section.

         8. Non-Compete; Non-Solicit.

                  a. Each of the parties hereto recognize that your services are
special and unique and that the level of compensation and the other provisions
herein for compensation and benefits are partly in consideration of and
conditioned upon your agreement not to compete with the Company, and that your
covenant not to compete or solicit as set forth in this Section

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<PAGE>   9

during and after your employment with the Company is essential to protect the
business and good will of the Company.

                  b. You agree that during your employment with the Company and
for a period ending twelve months following the Termination Date, you will not
either directly or indirectly, engage in any activity in competition with any
product, service or other activity of the Company (said competing products,
services or activities to be determined and identified at the Company's
reasonable discretion at the Termination Date, which may include businesses or
markets that the Company has expressed its intent to enter), or harmful or
contrary to the interests of the Company, including, but not limited to:
accepting employment with or serving as a consultant or advisor or director to
any employer that is in competition with the Company or acting against the
interests of the Company; or disclosing or misusing any confidential,
proprietary or material information concerning the Company (such information
includes, without limitation, information regarding the Company's operations,
its products and services, product designs, business plans, strategic plans,
marketing and distribution plans and arrangements, customers, and financial
statements, budgets and forecasts, and employee names, titles, compensation,
skills and performance); or participating in any hostile takeover attempt of the
Company.

                  c. You agree that for a period of twenty four months you will
not, either directly or indirectly: (i) induce or attempt to influence any
employee of the Company to leave his/her employ with the Company; (ii) solicit
or encourage then-current employees of the Company to apply for employment with
any person or entity with which you are employed or with which you intend to
become employed, or in which you have or intend to have a financial interest, as
a consultant, recruiter, independent contractor or otherwise, or in which you
have a substantial financial or equity interest; or (iii) provide to any other
person or entity the names of any employee who is employed by the Company on the
Termination Date. For purposes of this Section, the term "Company" shall mean
and include the Company, any subsidiary or affiliate of the Company, any
successor to the business of the Company (by merger,

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<PAGE>   10

consolidation, sale of assets or stock or otherwise) and any other corporation
or entity for which you may serve as a director, officer or employee at the
request of the Company or any successor of the Company.

                  d. You agree that if you breach the covenants contained in
this Section, you will forfeit your right to receive any severance benefits
under this Agreement. Further, you agree that if any severance payments have
been paid to you, the total amount of such payments shall be returned and paid
to the Company promptly upon the Company notifying you of such breach. Nothing
contained in this paragraph (d) shall preclude injunctive relief.

                  e. You agree that the Company would suffer an irreparable
injury if you were to breach the covenants contained in this Section and that
the Company would by reason of such breach or threatened breach be entitled to
injunctive relief in a court of appropriate jurisdiction and you hereby
stipulate to the entering of such injunctive relief prohibiting you from
engaging in such breach.

                  f. If any of the restrictions contained in this Section shall
be deemed to be unenforceable by reason of the extent, duration or geographical
scope or other provisions thereof, then the parties hereto contemplate that the
court shall reduce such extent, duration, geographical scope or other provision
hereof and enforce this Section 8 in its reduced form for all purposes in the
manner contemplated hereby.

         9. Successors.

                  a. Company's Successors. Any successor to the Company (whether
direct or indirect and whether by purchase, lease, merger, consolidation,
liquidation or otherwise) to all or substantially all of the Company's business
and assets shall assume the obligations under this Agreement and agree expressly
to perform the obligations under this Agreement in the same manner and to the
same extent as the Company would be required to perform such

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<PAGE>   11

obligations in the absence of a succession. For all purposes under this
Agreement, the term "Company" shall include any successor to the Company's
business and assets which executes and delivers the assumption agreement
described in this Section or which becomes bound by the terms of this Agreement
by operation of law.

                  b. Employee's Successors. The terms of this Agreement and all
your rights hereunder shall inure to the benefit of, and be enforceable by, your
personal or legal representatives, executors, administrators, successors, heirs,
devisees and legatees.

         10. Miscellaneous Provisions.

                  a. Withholding. All payments to you pursuant to this Agreement
shall be subject to withholding of all amounts required to be withheld by
applicable Internal Revenue Service and State tax authorities by the Company and
shall be conditioned upon your submission of all information or execution of all
instruments necessary to enable the Company to comply with such withholding
requirements.

                  b. Confidentiality Agreement. As a condition of your
employment, you have executed the Company's standard form Proprietary Rights
Agreement or any other confidential inventions and trade secrets agreement. You
hereby reaffirm that during your employment with the Company and thereafter you
will comply with all provisions of such agreement and agree that you will enter
into such modifications or amendments thereof as the Company may reasonably
request from time to time.

                  c. Stock Ownership Guidelines. During your employment with the
Company, you agree to comply with the corporate officer stock ownership
guidelines approved by the Board or any committee of the Board, as may be
amended from time to time.

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                  d. Notice. Any notice required to be given under this
Agreement shall be given in writing, either by personal delivery or by causing
such written notice to be mailed, first class postage prepaid, in the United
States mail, to the parties at the addresses set forth below, or at such other
address for a party as shall be specified by like notice, provided that notices
of change of address shall be effective only upon receipt thereof.

                  Company:   Storage Technology Corporation
                             One StorageTek Drive
                             Louisville, Colorado 80028
                             Attention:  General Counsel

                  Executive: ------------------------------

                             ------------------------------

                             ------------------------------

                  e. Amendment or Modification. This Agreement may not be
amended or modified and no provision shall be waived unless agreed to in writing
and signed by you and the Company. No waiver by either party of any breach of
this Agreement shall be deemed a waiver of any other provision or condition at
another time.

                  f. Assignment. The rights of any person to payments or
benefits under this Agreement shall not be made subject to option or assignment,
either by voluntary or involuntary assignment or by operation of law, including
(without limitation) bankruptcy, garnishment, attachment or other creditor's
process, and any action in violation of this Section shall be void. The Company
may assign its rights under this Agreement to an affiliate.

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                  g. Governing Law. This Agreement is entered into in accordance
with, and shall be interpreted pursuant to the provisions of, the laws of the
State of Colorado.

                  h. Arbitration. Any controversy or claim arising between you
and the Company including, without limitation, any claims, demands or causes of
action alleging wrongful discharge; unlawful discrimination based on sex, age,
race, national origin, disability, religion or other unlawful basis; breach of
contract; or any claims seeking damages under any federal, state or local law,
rule, regulation or common law theory; but excluding any claims by you for
worker's compensation or unemployment compensation, and excluding any claims by
the Company for injunctive relief (for instance, for breach of confidentiality,
breach of a covenant not to compete, violation of trade secrets, or unfair
competition), shall be resolved by final and binding arbitration. By signing
below, you voluntarily waive any right to submit claims to a judge or jury in
either state or federal court. The arbitration shall be held in Denver,
Colorado, or elsewhere by mutual agreement. The selection of the arbitrator and
procedure shall be governed by the Employment Arbitration Rules of the American
Arbitration Association, as amended. The arbitrator shall be someone with a
minimum seven years of employment law background and from the AAA Commercial
Arbitration Panel or, if both parties agree, the Judicial Arbiters Group. The
arbitrator shall apply the applicable substantive law to any claim; for any
state law claim or damages issues, the law of Colorado shall govern, including
but not limited to the provisions of C.R.S. Sections 13-21-102(5). Judgment upon
an award rendered by an arbitration may be entered by any court having
jurisdiction. The Company will pay the cost normally associated with the
arbitration, including the arbitrator's fee and any fee for a hearing facility.
Following resolution of all claims between the parties in an arbitration
proceeding, if the arbitrator so determines, the Company shall reimburse you for
all reasonable legal fees and expenses that you incurred in connection with a
successful claim to enforce your rights under this Agreement.

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                  i. Severability. If any provision of this Agreement shall be
held to be invalid or unenforceable, such invalidity or unenforceability shall
not affect or impair the validity or enforceability of the remaining provisions
of this Agreement, which shall remain in full force and effect in accordance
with their terms.

                  j. Entire Agreement. This Agreement, together with the other
agreements referenced herein, embody the entire agreement between the parties
relating to the subject matter hereof, and supersede all previous agreements or
understandings, whether oral or written.

                  k. Knowledge and Representation. By signing below, you
acknowledge that the terms of this Agreement have been fully explained to you,
that you understand the nature and extent of the rights and obligations provided
under this Agreement, and that you have been encouraged to and have had an
opportunity to consult legal counsel prior to signing this Agreement.

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         IN WITNESS WHEREOF, each of the parties has executed this Agreement, in
the case of the Company by its duly authorized officer or representative, as of
the day and year first above written.

STORAGE TECHNOLOGY CORPORATION

By:
   ------------------------------------

Title:
      ---------------------------------

EXECUTIVE:

---------------------------------------

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                                    EXHIBIT A

                             SETTLEMENT AND RELEASE

1.      In exchange for payment of salary (in the amount of ________) and bonus
        (in the amount of _________) to ___________ ("Employee"), by Storage
        Technology Corporation ("Company") and other good and valuable
        consideration, Employee hereby irrevocably and unconditionally releases
        and discharges the Company, its past and present subsidiaries,
        divisions, officers, directors, agents, employees, successors, and
        assigns (separately and collectively, "releasees") jointly and
        individually, from any and all claims, known or unknown, which he/she,
        his/her heirs, successors or assigns have or may have against releasees
        and any and all liability which releasees may have to him/her whether
        denominated claims, demands, causes of action, obligations, damages, or
        liabilities arising from any and all bases, however denominated,
        including but not limited to, any claims of discrimination under the Age
        Discrimination in Employment Act ("ADEA"), the Older Workers Benefit
        Protection Act, the Rehabilitation Act, the Family Medical Leave Act,
        the Americans with Disabilities Act, Title VII of the Civil Rights Act
        of 1964, the Civil Rights Act of 1991 or any federal or state civil
        rights act, claims for wrongful discharge, breach of contract, or for
        damages under any other federal, state or local law, rule or regulation,
        or common law under any theory; provided, however, that this release
        does not affect (1) any claims for benefits which have vested or shall
        vest on or before the effective date of this Settlement and Release
        ("Release") under any of the Company's benefit plans; (2) any claims for
        indemnification for acts of Employee which have occurred or may occur as
        an officer or employee of the Company; or (3) any claims which may arise
        after the execution of this Release. This release specifically excepts
        any claim Employee may wish to make for unemployment compensation, and
        the Company agrees not to contest any claim made by Employee for
        unemployment compensation. This release is for any relief, no matter how
        denominated, including, but not limited to, back pay, front pay,
        compensatory damages, punitive damages, or damages for pain and
        suffering. Employee further agrees that he/she will not file or permit
        to be filed on his/her behalf any such claim, will not permit
        himself/herself to be a member of any class seeking relief against the
        releasees and will not counsel or assist in the prosecution of claims
        against the releasees, whether those claims are on behalf of
        himself/herself or others, unless he/she is under a court order to do
        so.

2.      Employee agrees that by signing this Release, he/she is giving up the
        right to sue for age discrimination, and that under this Release
        Employee shall receive consideration to which he/she is not otherwise
        entitled, and would not receive but for his/her release of rights under
        the ADEA. Employee has up to twenty-one (21) days after

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<PAGE>   17

        delivery of this Release to consider whether to sign this Release.
        Employee agrees that, after he/she has signed and delivered this Release
        to the Company, this Release will not be effective or enforceable until
        the end of a seven (7) day revocation period beginning the day after the
        Employee signs this Release, and that Employee will not receive the
        severance payment due under the Employment Agreement until this
        seven-day period has expired. During this seven-day period, Employee may
        revoke this Release, without reason and in his/her sole judgment, but
        he/she may do so only by delivering a written statement of revocation to
        the Company to the attention of General Counsel. If the Company does not
        receive a written statement of revocation from Employee by the end of
        the revocation period, then this Release will become legally enforceable
        and Employee may not thereafter revoke this Release.

3.      Employee agrees that this Release shall be governed by federal law and
        the internal laws of the State of Colorado, irrespective of the choice
        of law rules of any state.

ACKNOWLEDGMENT:

Employee's signature below acknowledges that he/she has read this document
fully, that he/she understands and agrees to its contents, that he/she
understands that it is a legally binding document, and that he/she has been
advised to consult a lawyer of his/her choosing before signing this Release, and
has had the opportunity to do so.

--------------------------                  -----------------------------------
Date                                        EMPLOYEE

This Release presented to Employee on                           .
                                      --------------------------

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