Document:

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                                                                    Exhibit 10.1

                  EMPLOYMENT, CONFIDENTIALITY, NON-COMPETITION
                             AND SEVERANCE AGREEMENT

         THIS EMPLOYMENT, CONFIDENTIALITY, NON-COMPETITION AND SEVERANCE
AGREEMENT (the "Agreement") dated as of March 14, 2003 is made and entered into
by and between AmericasDoctor, Inc., a Delaware corporation (the "Company"), and
Julie Ross (the "Employee").

         WHEREAS, the Company wishes to retain the services of the Employee as a
key employee of the Company who is expected to make major contributions to the
short- and long-term profitability, growth and financial strength of the
Company; and

         WHEREAS, Company and Employee believe that it is in their respective
best interests to enter into and deliver this Agreement; and

         WHEREAS, the Employee acknowledges that in the course of his employment
by the Company, he will or may have access to and become informed of the
Company's confidential information and will frequently come into contact with
the Company's customers (including, without limitation, its investigative
research sites) and accounts such that the Employee will influence the business
and relationships between the Company and its customers and accounts; and

         WHEREAS, the Employee has agreed to certain confidentiality,
non-solicitation, non-competition, and severance agreements; and in
consideration for such agreements, the Company has agreed to pay the Employee
termination payments upon severance of the Employee's employment hereunder; and

         NOW, THEREFORE, the Company and the Employee agree as follows:

1.     Certain Defined Terms. In addition to terms defined elsewhere herein, the
       following terms have the following meanings when used in this Agreement
       with initial capital letters:

       (a)  "Board" means the Board of Directors of the Company.

       (b)  "Cause," when used in the phrase "for cause" or "without cause"
             means:

            (i)    the willful and continued failure by Employee to
                   substantially perform his duties hereunder (other than any
                   such failure resulting from Employee's incapacity due to
                   Disability);

            (ii)   engagement by the Employee in misconduct or gross negligence
                   which is materially injurious to the Company, monetarily or
                   otherwise;

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            (iii)  a willful act by the Employee of dishonesty, fraud,
                   embezzlement or theft in connection with his duties or in the
                   course of his employment with the Company or any Subsidiary;

            (iv)   a willful appropriation of a material business opportunity of
                   the Company or any Subsidiary, including securing any
                   personal profit in connection with any transaction entered
                   into on behalf of the Company or any Subsidiary, and which
                   appropriation causes the Company or any Subsidiary to incur
                   ascertainable damages;

            (v)    willful damage by the Employee to property of the Company or
                   any Subsidiary;

            (vi)   breach of Section 10, 11, or Section 12 hereof;

            (vii)  material breach of this Agreement;

            (viii) the conviction of, or the entering of a guilty plea or plea
                   of no contest with respect to, a felony involving fraud,
                   theft or the equivalent thereof, or any other crime involving
                   fraud or theft (but in each case only if such fraud, theft or
                   similar crime relates to the business of the Company or a
                   Subsidiary) with respect to which imprisonment for more than
                   one (1) year is a possible punishment.

       (c)  "Disabled" means the Employee's incapacity due to physical or mental
            condition to perform the essential functions of Employee's duties,
            with or without reasonable accommodation, on a full-time basis for
            six consecutive months unless the Employee returns to the full-time
            performance of the Employee's duties for a period of at least three
            consecutive months no later than 30 days after the Company has given
            the Employee a notice of termination. If the Employee disagrees with
            a determination to terminate him because the Company believes he is
            Disabled, the Company and the Employee, or in the event of the
            Employee's incapacity to designate a doctor, the Employee's legal
            representative, together shall choose a qualified medical doctor who
            shall determine whether the Employee is Disabled. If the Company and
            the Employee cannot agree on the choice of a qualified medical
            doctor, then the Company and the Employee each shall choose a
            qualified medical doctor and the two doctors together shall choose a
            third qualified medical doctor, who shall determine whether the
            Employee is Disabled. The determination of the chosen qualified
            medical doctor as to whether the Employee is Disabled shall be
            binding upon the Company and the Employee unless such determination
            is clearly made in bad faith.

       (d)  "Involuntary Termination" means the occurrence of any of the
            following: (i) the Company gives written notice to the Employee that
            the Company intends to terminate the Agreement, (ii) the Company
            reduces the Employee's base salary as set forth in Section 4, unless
            such reduction in base salary is part of a reduction applicable
            generally to senior Employees of the Company, or (iii) unless

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            otherwise agreed by the Employee, the Company relocates the Employee
            or his offices or the principal place where he is required to
            perform his duties hereunder farther than 50 miles from Gurnee,
            Illinois or such other place as the Company's principal Employee
            offices may, from time to time, be located.

       (e)  "Restricted Business" means (i) any business or division of a
            business which consists of providing services to investigative sites
            and to their customers in connection with clinical research and
            development, patient recruitment and persistency, training and
            quality assurance for clinical research, excluding pharmaceutical,
            CRO, and biotech companies, (ii) any business or division of a
            business which provides marketing or clinical research services to
            pharmaceutical companies, excluding CRO and biotech companies, (iii)
            any business of a kind in whole or in part similar to that
            heretofore or hereafter engaged in by the Company or any Subsidiary,
            excluding pharmaceutical, CRO, and biotech companies, and (iv) any
            other principal line of business developed or acquired by the
            Company or its affiliates.

       (f)  "Subsidiary" means an entity in which the Company directly or
            indirectly beneficially owns 50% or more of the outstanding Voting
            Stock.

       (g)  "Termination Date" means the date on which the Employee's employment
            is terminated (the effective date of which shall be the date of
            termination).

       (h)  "Voluntary Termination" means the occurrence of any of the
            following: (i) the date two weeks after the Employee gives written
            notice to the Company that the Employee intends to terminate this
            Agreement or if later, the date specified in such written notice,
            (ii) the Employee dies or (iii) the Employee becomes Disabled.

       (i)  "Voting Stock" means securities entitled to vote generally in the
            election of directors.

1.     Term.

       (a)  This Agreement shall be for a term that commences on the date this
            Agreement is approved by the Board ("Effective Date") and, subject
            to any benefit continuation requirements of applicable laws, expires
            on the earliest of (i) an Involuntary Termination, or (ii) a
            Voluntary Termination. For purposes of this Agreement, any reference
            to the "term" of this Agreement includes the original term and any
            extension thereof.

       (b)  The provisions of Sections 10, 11, and 12 survive termination of
            this Agreement for any reason, unless otherwise agreed to in writing
            and signed by Employee and the Chief Executive Officer of the
            Company.

2.     Continued Employment. The Company hereby agrees to the continued
       employment of the Employee, and the Employee hereby agrees to continue to
       be employed by the Company, upon the terms and conditions herein set
       forth.

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3.   Duties of the Employee. The Employee serves as the Company's Vice
     President, Operations. This Agreement survives a change in title or duties
     as directed by the Board or CEO. The Employee reports directly to the
     Company's Chief Executive Officer, or to another Corporate Officer as
     designated by the Board, and has such duties as the Chief Executive Officer
     and the Board may from time to time prescribe. The Employee devotes his
     full time and best efforts to the Company's business of providing services
     to investigative sites and to their customers in connection with clinical
     research and development and any other related duties and responsibilities
     that may from time to time be prescribed by the Chief Executive Officer or
     the Board; so long as it does not interfere with the Employee's employment
     hereunder, the Employee may serve as an officer, director or otherwise
     participate in educational, welfare, social, religious and civic
     organizations. The Employee represents that he is not under a restrictive
     covenant, non-competition agreement, confidentiality agreement or other
     agreement or obligation that might prohibit Employee from being employed by
     the Company or from performing the duties contemplated in this Section 3.

4.   Compensation.

     The Employee currently receives a gross base salary of $160,000 per annum,
     which base salary the Board may adjust from time to time, payable at the
     times and in the manner consistent with the Company's general policies
     regarding compensation of senior Employees. Such base salary includes any
     salary reduction contributions to (i) any Company-sponsored plan (the
     "401(k) Plan") that includes a cash-or-deferred arrangement under Section
     401(k) of the Internal Revenue Code of 1986, as amended (the "Code"), (ii)
     any other Company-sponsored plan of deferred compensation or (iii) any
     Company-sponsored "cafeteria plan" under Section 125 of the Code.

5.   Benefits. The Company shall make available to the Employee, subject to the
     terms and conditions of the applicable plans, including without limitation
     the eligibility rules, participation for the Employee and his eligible
     dependents in the Company-sponsored employee benefit plans or arrangements
     and such other usual and customary benefits now or hereafter generally
     available to employees of the Company and such benefits and perquisites as
     may be from time to time made available to Employees of the Company.

6.   Expenses. The Company shall pay or reimburse the Employee, in accordance
     with the general policies of the Company, for reasonable and necessary
     expenses incurred by the Employee in connection with his duties on behalf
     of the Company.

7.   Place of Performance. In connection with his employment by the Company,
     unless otherwise agreed by the Employee, the Employee shall be based at
     offices located in Gurnee, Illinois or, at the Company's request, such
     other place as the Company's principal Employee offices may, from time to
     time, be located, except for travel reasonably required for Company
     business.

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8.   Termination Payments, Vesting and Exercise of Stock Options.

     (a)   If an Involuntary Termination occurs other than for Cause and the
           Employee enters into an agreed-upon general release and settlement
           agreement with the Company, the Company will provide Employee with
           severance of three (3) months base salary at Employee's current
           salary, less applicable payroll taxes, withholdings and other
           deductions and the additional benefits outlined in this paragraph.
           Employee understands and agrees that this payment and the benefits
           described are not required by AmericasDoctor's policies and
           procedures. This payment and the benefits shall be in lieu of and
           discharge any obligations of AmericasDoctor to Employee for
           compensation, wages, bonuses, benefits, stock options, pain and
           suffering, or any other expectation of remuneration or benefit on the
           part of Employee.

           (i)   notwithstanding anything to the contrary in the Employee's
                 stock option agreement(s) or certificate(s) or in the stock
                 option plan(s) under which Employee's stock options were
                 granted, (A) all of the Employee's stock options shall cease
                 vesting as of the Termination Date, (B) Employee shall have the
                 right to exercise any and all vested stock options at any time
                 not later than 12 months after the Termination Date and (C) all
                 unvested stock options shall be canceled on the Termination
                 Date. Notwithstanding the foregoing or anything to the contrary
                 in the Employee's stock option agreement(s) or certificate(s)
                 or in the stock option plan(s) under which Employee's stock
                 options were granted, in the event of an Involuntary
                 Termination other than for Cause within two years following a
                 Change in Control, all of Employee's stock options shall
                 immediately become 100% vested and exercisable.

           (ii)  any termination payments hereunder shall not be taken into
                 account for purposes of any retirement plan or other benefit
                 plan sponsored by the Company, except as otherwise set forth
                 herein or as expressly required by such plans or applicable
                 law.

     (b)   If (i) a Voluntary Termination other than due to Employee's death or
           Disability occurs or (ii) an Involuntary Termination for Cause
           occurs, Employee will be entitled to receive his base salary then in
           effect only through the last day of the payroll period in which the
           Termination Date occurs and he will not be entitled to any bonus for
           the fiscal year during which such termination occurs or any
           subsequent fiscal year. Notwithstanding anything to the contrary in
           the Employee's stock option agreement(s) or certificate(s) or in the
           stock option plan(s) under which Employee's stock options were
           granted, all of Employee's stock options shall immediately be
           canceled.

     (c)   If a Voluntary Termination due to Employee's becoming Disabled during
           the term of this Agreement occurs, then notwithstanding anything to
           the contrary in the Employee's stock option agreement(s) or
           certificate(s) or in the stock option plan(s) under which Employee's
           stock options were granted, Employee shall have

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           a period of one year following Employee's Disability to exercise any
           vested stock options and all other stock options shall be immediately
           canceled.

     (d)   Notwithstanding the foregoing, if the Employee breaches Section 10,
           11, or 12 hereof, any right of the Employee to receive termination
           payments, to have the vesting of his options accelerated or to have
           the period during which he may exercise his options extended under
           this Section 8 shall be forfeited, but without prejudice to any
           exercise of options that may have occurred prior to such forfeit, and
           the Employee shall reimburse the Company in full for all termination
           payments made to the Employee under this Section 8 no later than 30
           days after the Company gives notice of such breach to the Employee.

9.   Benefits Upon Termination. Employee and any dependents will have any
     conversion rights available under the health insurance plans and as
     otherwise provided by law, including the Comprehensive Omnibus Budget
     Reconciliation Act ("COBRA") effective the first of the month following the
     date of termination. Employee further agrees that on the first of the month
     following the date of termination, Employee will be responsible for the
     full insurance premiums for COBRA coverage.

10.  Confidentiality Agreement.

     (a)   The Employee acknowledges that in the course of his employment by the
           Company, he will or may have access to and become informed of
           confidential and secret information that is a competitive asset of
           the Company ("Confidential Information"), including, without
           limitation, (i) the terms of agreements between the Company and its
           employees, customers (including, without limitation, its
           investigative research sites) and suppliers, (ii) pricing strategy,
           (iii) sales and marketing methods, (iv) product development ideas and
           strategies, (v) personnel training and development programs, (vi)
           financial results, (vii) strategic plans and demographic analyses,
           (viii) proprietary computer and systems software and (ix) any
           non-public information concerning the Company, its employees,
           suppliers and customers. Regardless of any actual or alleged breach
           by the Company of this Agreement, the Employee shall keep all
           Confidential Information in strict confidence and shall not directly
           or indirectly make known, divulge, reveal, furnish, make available or
           use any Confidential Information (except in the course of his regular
           authorized duties on behalf of the Company) until and unless such
           Confidential Information becomes, through no fault of the Employee,
           generally known to the public or the Employee is required by law to
           make disclosure (after giving the Company reasonable notice and an
           opportunity to contest such requirement). The Employee's obligations
           under this Section 10 are in addition to, and not in limitation or
           preemption of, all other obligations of confidentiality which the
           Employee may have to the Company under general legal or equitable
           principles.

     (b)   Except in the ordinary course of the Company's business, the Employee
           has not made and shall never make or cause to be made, any copies,
           pictures, duplicates, facsimiles or other reproductions or recordings
           or any abstracts or summaries

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            including or reflecting Confidential Information. All such documents
            and other property furnished to the Employee by the Company or
            otherwise acquired or developed by the Company shall at all times be
            the property of the Company. Upon a Voluntary Termination or
            Involuntary Termination, the Employee shall return to the Company
            any such documents or other property of the Company which are in the
            possession, custody or control of the Employee.

11.    Ownership of Inventions, Discoveries, Improvements, Etc.

       (a)  Employee shall promptly disclose and describe to the Company all
            inventions, improvements, discoveries and technical developments,
            whether or not patentable, made or conceived by Employee, either
            alone or with others, during the term of this Agreement and for a
            period of one (1) year following the Termination Date, and that (i)
            are based in whole or in part upon Confidential Information, or (ii)
            are along the lines of, useful in or related to the Company's
            business, or (iii) result from, or are suggested by, any work that
            may be done by Employee for or on behalf of the Company
            ("Inventions"). Employee hereby assigns and agrees to assign to the
            Company Employee's entire right, title and interest in and to such
            Inventions, and agrees to cooperate with the Company both during and
            after the term of this Agreement in the procurement and maintenance,
            at the Company's expense and at its direction, of patents, copyright
            registrations and/or protection of the Company's rights in such
            Inventions. Employee shall keep and maintain adequate and current
            written records of all such Inventions, which shall be and remain
            the property of the Company.

       (b)  If a patent application or copyright registration is filed by
            Employee or on Employee's behalf, or a copyright notice indicating
            Employee's authorship is used by Employee or on Employee's behalf,
            within one (1) year after the Termination Date, that describes or
            identifies any Invention within the scope of Employee's work for the
            Company or that otherwise related to a portion of the Company's
            business (or any division or Subsidiary thereof) of which Employee
            had knowledge during the term of this Agreement, it is to be
            conclusively presumed that the Invention was conceived by the
            Employee during the term of this Agreement. Employee agrees to
            notify the Company promptly of any such application or registration
            and to assign to the Company Employee's entire right, title and
            interest in such Invention and in such application or registration.

       (c)  There is no contract or duty on Employee's part now is existence to
            assign Inventions except in favor of the Company. Employee shall not
            disclose or induce the Company to use any confidential information
            that Employee is either now aware of, or shall become aware of, that
            belongs to a former employer or anyone other than the Company or a
            Subsidiary.

12.    Covenant not to Compete; No Inducement; No Solicitation. In consideration
       for the Employee's employment hereunder and the Company's providing the
       Employee with confidential information and contacts with the Company's
       customers and accounts,

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       during the term of the Employment Provisions and for a period of one year
       after the Termination Date,

       (a)  Upon voluntary termination, The Employee shall not, without the
            prior written consent of the Company (which consent may be withheld
            for any reason or no reason), directly or indirectly or by action in
            concert with others, own, manage, operate, join, control, perform
            consulting services for, be employed by, participate in or be
            connected with any business, enterprise or other entity (or the
            ownership, management, operation, or control of any such business,
            enterprise or other entity) (a "Competing Enterprise") engaged
            anywhere in the United States or Canada in the Restricted Business
            which excludes pharmaceutical, CRO, and biotech companies.
            Notwithstanding the foregoing, Employee may make purely passive
            investments on behalf of himself, his immediate family or any trust
            in public companies engaged in a Competing Enterprise so long as the
            aggregate interest represented by such investments does not exceed
            1% of any class of the outstanding debt or equity securities of any
            Competing Enterprise.

       (b)  The Employee shall not, directly or indirectly, in any capacity, on
            his own behalf or on behalf of any other firm, person or entity,
            induce or attempt to induce any customer of the Company (including,
            without limitation, any investigative research site) to cease doing
            business in whole or in part with the Company, solicit the business
            of any such customer for any Restricted Business or otherwise create
            any ill will or negative publicity with respect to the Company.

       (c)  The Employee shall not, directly or indirectly, in any capacity, on
            his own behalf or on behalf of any other firm, person or entity,
            undertake or assist in the solicitation of any Company employee,
            including, without limitation, solicitation of any employee to
            terminate his or her employment with the Company.

       Employee and the Company acknowledge that the nature of the foregoing
       prohibited activities is geographically broad as a result of the
       expansive geographic scope of the Restricted Business and the national
       scope of Employee's duties hereunder.

13.    Post-termination Assistance. Employee shall provide such information and
       assistance to the Company as the Company may reasonably request, upon
       reasonable notice, in connection with any litigation in which it or any
       of its affiliates is or may become a party. The Company shall reimburse
       the Employee for any expenses, including travel expenses, incurred by the
       Employee in connection with providing such information and assistance.

14.    Withholding of Taxes. The Company may withhold from any amounts payable
       under this Agreement all federal, state, city or other taxes as the
       Company is required to withhold pursuant to any law or government
       regulation or ruling.

15.    Specific Enforcement. The Employee acknowledges and agrees that a
       violation of Sections 10, 11 or 12 hereof that results in material
       detriment to the Company would cause irreparable harm to the Company, and
       that the Company's remedy at law for any such violation would be
       inadequate. In recognition of the foregoing, the Company shall

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       have the right, in addition to any other relief afforded by law or this
       Agreement, including damages sustained by a breach of this Agreement and
       any forfeitures under Section 8, and without any necessity or proof of
       actual damages, to enforce this Agreement by specific remedies,
       including, among other things, temporary and permanent injunctions, it
       being the understanding of the Company and the Employee that damages, the
       forfeitures described above and injunctions shall all be proper modes of
       relief and shall not be considered alternative remedies.

16.    Notices. For all purposes of this Agreement, all communications,
       including without limitation notices, consents, requests or approvals,
       required or permitted to be given hereunder shall be in writing and shall
       be deemed to have been duly given when hand delivered or dispatched by
       electronic facsimile transmission (with receipt thereof confirmed), or
       five business days after having been mailed by United States registered
       or certified mail, return receipt requested, postage prepaid, or three
       business days after having been sent by a nationally recognized overnight
       courier service (such as Federal Express or UPS) addressed to the Company
       (to the attention of the Secretary of the Company) at its principal
       Employee office and to the Employee at his principal residence, or to
       such other address as either party may have furnished to the other in
       writing and in accordance herewith, except that notices of changes of
       address shall be effective only upon receipt.

17.    Governing Law. The validity, interpretation, construction and performance
       of this Agreement shall be governed by and construed in accordance with
       the substantive laws of the State of Illinois, without giving effect to
       the principles of conflict of laws of such State.

18.    Agreement. This Agreement contains all of the covenants and agreements
       between the parties with respect to such subject matter. Each party to
       this Agreement acknowledges that no representations, inducements,
       promises, or other agreements, orally or otherwise, have been made by any
       party, or anyone acting on behalf of any party, pertaining to the subject
       matter hereof, that are not embodied herein, and that no other agreement,
       statement or promise pertaining to the subject matter hereof that is not
       contained in this Agreement shall be valid or binding on either party.

19.    Validity. If any provision of this Agreement or the application of any
       provision hereof to any person or circumstances is held invalid,
       unenforceable or otherwise illegal, the remainder of this Agreement and
       the application of such provision to any other person or circumstances
       shall not be affected, and the provision so held to be invalid,
       unenforceable or otherwise illegal shall be reformed to the extent (and
       only to the extent) necessary to make it enforceable, valid or legal.

20.    Miscellaneous. No provision of this Agreement may be modified, waived or
       discharged unless such waiver, modification or discharge is agreed to in
       writing signed by the Employee and the Company. No waiver by either party
       hereto at any time of any breach by the other party hereto or compliance
       with any condition or provision of this Agreement to be performed by such
       other party shall be deemed a waiver of similar or dissimilar provisions
       or conditions at the same or at any prior or subsequent time. Unless

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       otherwise noted, references to "Sections" are to sections of this
       Agreement. The captions used in this Agreement are designed for
       convenient reference only and are not to be used for the purpose of
       interpreting any provision of this Agreement.

21.    Counterparts. This Agreement may be executed in one or more counterparts,
       each of which shall be deemed to be an original but all of which together
       shall constitute one and the same agreement.

22.    Effective Date. Notwithstanding anything to the contrary herein, this
       Agreement shall not become effective unless and until the Board approves
       this Agreement. Upon receipt of such approval, this Agreement shall
       become immediately effective.

                  [Remainder of page intentionally left blank]

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           IN WITNESS WHEREOF, the Company and the Employee have executed this
Agreement as of the date first above written1.

AMERICASDOCTOR, INC.

       /s/ C. Lee Jones                           /s/ Julie Ross
-------------------------------------        -----------------------------
By:    C. Lee Jones
Its:   Chief Executive Officer

___________________

/1/ The validity of execution of this Agreement on behalf of the Company is
subject to the approval of this Agreement by the Board.

                                       111996 Supplemental Stock Option Plan

 EXHIBIT 10.12 
  
 PINNACLE SYSTEMS, INC. 
  
 1996 SUPPLEMENTAL STOCK OPTION PLAN 
  
 (As amended May 2003) 
  
 1. Purposes of the Plan. The purposes of this Supplemental Stock Option Plan are: 
  

	 	•	 	to attract and retain the best available personnel for positions of substantial responsibility, 

  

	 	•	 	to provide additional incentive to Employees and Consultants, and 

  

	 	•	 	to promote the success of the Company’s business. 

  
 Options granted under the Plan will be Nonstatutory Stock Options. 
  
 2. Definitions. As used herein, the following definitions shall apply: 
  
 (a) “Administrator” means the Board or any of its
Committees as shall be administering the Plan, in accordance with Section 4 of the Plan. 
  
 (b) “Applicable Laws” means the requirements relating to the administration of stock option plans under U. S. state corporate laws, U.S. federal and state securities laws, the Code, any stock exchange
or quotation system on which the Common Stock is listed or quoted and the applicable laws of any foreign country or jurisdiction where Options are, or will be, granted under the Plan. 
  
 (c) “Board” means the Board of Directors of the Company. 
  
 (d) “Code” means the Internal Revenue Code of 1986, as
amended. 
  
 (e) “Committee” means a committee of
Directors appointed by the Board in accordance with Section 4 of the Plan. 
  
 (f) “Common Stock” means the Common Stock of the Company. 
  
 (g) “Company” means Pinnacle Systems, Inc., a California corporation. 
  
 (h) “Consultant” means any person, including an advisor, engaged by the Company or a Parent or Subsidiary
to render services to such entity. 
  
 (i)
“Director” means a member of the Board. 
  
 (j)
“Disability” means total and permanent disability as defined in Section 22(e)(3) of the Code. 

 (k) “Employee” means any person, excluding Officers, employed by the Company or any
Parent or Subsidiary of the Company. A Service Provider shall not cease to be an Employee in the case of (i) any leave of absence approved by the Company or (ii) transfers between locations of the Company or between the Company, its Parent, any
Subsidiary, or any successor. Neither service as a Director nor payment of a director’s fee by the Company shall be sufficient to constitute “employment” by the Company. 
  
 (l) “Exchange Act” means the Securities Exchange Act of 1934, as amended. 
  
 (m) “Fair Market Value” means, as of any date, the value of
Common Stock determined as follows: 
  
 (i) If the Common Stock
is listed on any established stock exchange or a national market system, including without limitation the Nasdaq National Market or The Nasdaq SmallCap Market of The Nasdaq Stock Market, its Fair Market Value shall be the closing sales price for
such stock (or the closing bid, if no sales were reported) as quoted on such exchange or system for the last market trading day prior to the time of determination, as reported in The Wall Street Journal or such other source as the
Administrator deems reliable; 
  
 (ii) If the Common Stock is
regularly quoted by a recognized securities dealer but selling prices are not reported, the Fair Market Value of a Share of Common Stock shall be the mean between the high bid and low asked prices for the Common Stock on the last market trading day
prior to the day of determination, as reported in The Wall Street Journal or such other source as the Administrator deems reliable; 
  
 (iii) In the absence of an established market for the Common Stock, the Fair Market Value shall be determined in good faith by the Administrator.

  
 (n) “Notice of Grant” means a written or
electronic notice evidencing certain terms and conditions of an individual Option grant. The Notice of Grant is part of the Option Agreement. 
  
 (o) “Officer” means a person who is an officer of the Company within the meaning of Section 16 of the Exchange Act and the rules and
regulations promulgated thereunder. 
  
 (p)
“Option” means a nonstatutory stock option granted pursuant to the Plan, that is not intended to qualify as an incentive stock option within the meaning of Section 422 of the Code and the regulations promulgated thereunder.

  
 (q) “Option Agreement” means an agreement
between the Company and an Optionee evidencing the terms and conditions of an individual Option grant. The Option Agreement is subject to the terms and conditions of the Plan. 
  
 (r) “Option Exchange Program” means a program whereby outstanding options are surrendered in exchange for
options with a lower exercise price. 
  

 2 

 (s) “Optioned Stock” means the Common Stock subject to an Option. 
  
 (t) “Optionee” means the holder of an outstanding Option
granted under the Plan. 
  
 (u) “Parent” means a
“parent corporation,” whether now or hereafter existing, as defined in Section 424(e) of the Code. 
  
 (v) “Plan” means this 1996 Supplemental Stock Option Plan. 
  
 (w) “Service Provider” means an Employee or Consultant who is not also a Director or Officer. 

 
 (x) “Share” means a share of the Common Stock, as
adjusted in accordance with Section 12 of the Plan. 
  
 (y)
“Subsidiary” means a “subsidiary corporation”, whether now or hereafter existing, as defined in Section 424(f) of the Code. 
  
 3. Stock Subject to the Plan. Subject to the provisions of Section 12 of the Plan, the maximum aggregate number of Shares which may be optioned and
sold under the Plan is 18,400,000 Shares. The Shares may be authorized, but unissued, or reacquired Common Stock. 
  
 If an Option expires or becomes unexercisable without having been exercised in full, or is surrendered pursuant to an Option Exchange Program, the
unpurchased Shares which were subject thereto shall become available for future grant or sale under the Plan (unless the Plan has terminated). 
  
 4. Administration of the Plan. 
  
 (a) The Plan shall be administered by (A) the Board or (B) a Committee, which committee shall be constituted to satisfy Applicable Laws. 
  
 (b) Powers of the Administrator. Subject to the provisions of the
Plan, and in the case of a Committee, subject to the specific duties delegated by the Board to such Committee, the Administrator shall have the authority, in its discretion: 
  
 (i) to determine the Fair Market Value of the Common Stock; 
  
 (ii) to select the Service Providers to whom Options may be granted hereunder; 
  
 (iii) to determine whether and to what extent Options are granted hereunder;

  
 (iv) to determine the number of shares of Common Stock to be
covered by each Option granted hereunder; 
  

 3 

 (v) to approve forms of agreement for use under the Plan; 
  
 (vi) to determine the terms and conditions, not inconsistent with the terms
of the Plan, of any award granted hereunder. Such terms and conditions include, but are not limited to, the exercise price, the time or times when Options may be exercised (which may be based on performance criteria), any vesting acceleration or
waiver of forfeiture restrictions, and any restriction or limitation regarding any Option or the shares of Common Stock relating thereto, based in each case on such factors as the Administrator, in its sole discretion, shall determine; 

 
 (vii) to reduce the exercise price of any Option to the then current Fair
Market Value if the Fair Market Value of the Common Stock covered by such Option shall have declined since the date the Option was granted; 
  
 (viii) to institute an Option Exchange Program; 
  
 (ix) to construe and interpret the terms of the Plan and awards granted pursuant to the Plan; 
  
 (x) to prescribe, amend and rescind rules and regulations relating to the
Plan, including rules and regulations relating to sub-plans established for the purpose of qualifying for preferred tax treatment under foreign tax laws; 
  
 (xi) to modify or amend each Option (subject to Section 14(b) of the Plan), including the discretionary authority to extend the post-termination
exercisability period of Options longer than is otherwise provided for in the Plan; 
  
 (xii) to authorize any person to execute on behalf of the Company any instrument required to effect the grant of an Option or previously granted by the Administrator; 
  
 (xiii) to determine the terms and restrictions applicable to Options;

  
 (xiv) to allow Optionees to satisfy withholding tax
obligations by electing to have the Company withhold from the Shares to be issued upon exercise of an Option or Stock Purchase Right that number of Shares having a Fair Market Value equal to the amount required to be withheld. The Fair Market Value
of the Shares to be withheld shall be determined on the date that the amount of tax to be withheld is to be determined. All elections by an Optionee to have Shares withheld for this purpose shall be made in such form and under such conditions as the
Administrator may deem necessary or advisable; and 
  
 (xv) to
make all other determinations deemed necessary or advisable for administering the Plan. 
  
 (c) Effect of Administrator’s Decision. The Administrator’s decisions, determinations and interpretations shall be final and binding on all Optionees and any other holders of Options. 
  

 4 

 5. Eligibility. Options may be granted to Service Providers other than Officers (except as set
forth herein) and Directors. Officers shall not be eligible to receive Options under this Plan; provided, however, that Options may be granted to an Officer not previously employed by the Company, as an inducement essential to the individual’s
entering into an employment contract with the Company. 
  
 6.
Limitation. Neither the Plan nor any Option shall confer upon an Optionee any right with respect to continuing the Optionee’s relationship as a Service Provider with the Company, nor shall they interfere in any way with the
Optionee’s right or the Company’s right to terminate such relationship at any time, with or without cause. 
  
 7. Term of Plan. The Plan shall become effective upon its adoption by the Board. It shall continue in effect for ten (10) years, unless sooner
terminated under Section 14 of the Plan. 
  
 8. Term of
Option. The term of each Option shall be stated in the Option Agreement. 
  
 9. Option Exercise Price and Consideration. 
  
 (a) Exercise Price. The per share exercise price for the Shares to be issued pursuant to exercise of an Option shall be determined by the Administrator. 
  
 (b) Waiting Period and Exercise Dates. At the time an Option is
granted, the Administrator shall fix the period within which the Option may be exercised and shall determine any conditions which must be satisfied before the Option may be exercised. 
  
 (c) Form of Consideration. The Administrator shall determine the acceptable form of consideration for exercising an
Option, including the method of payment. Such consideration may consist entirely of: 
  
 (i) cash; 
  
 (ii) check;

  
 (iii) promissory note; 
  
 (iv) other Shares which (A) in the case of Shares acquired upon exercise of
an option, have been owned by the Optionee for more than six months on the date of surrender, and (B) have a Fair Market Value on the date of surrender equal to the aggregate exercise price of the Shares as to which said Option shall be exercised;

  
 (v) consideration received by the Company under a cashless
exercise program implemented by the Company in connection with the Plan; 
  
 (vi) a reduction in the amount of any Company liability to the Optionee, including any liability attributable to the Optionee’s participation in any Company-sponsored deferred compensation program or arrangement;

  

 5 

 (vii) such other consideration and method of payment for the issuance of Shares to the extent permitted
by Applicable Laws; or 
  
 (viii) any combination of the
foregoing methods of payment. 
  
 10. Exercise of Option.

  
 (a) Procedure for Exercise; Rights as a Shareholder.
Any Option granted hereunder shall be exercisable according to the terms of the Plan and at such times and under such conditions as determined by the Administrator and set forth in the Option Agreement. An Option may not be exercised for a fraction
of a Share. 
  
 An Option shall be deemed exercised when the
Company receives: (i) written or electronic notice of exercise (in accordance with the Option Agreement) from the person entitled to exercise the Option, and (ii) full payment for the Shares with respect to which the Option is exercised. Full
payment may consist of any consideration and method of payment authorized by the Administrator and permitted by the Option Agreement and the Plan. Shares issued upon exercise of an Option shall be issued in the name of the Optionee or, if requested
by the Optionee, in the name of the Optionee and his or her spouse. Until the Shares are issued (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company), no right to vote or receive
dividends or any other rights as a shareholder shall exist with respect to the Optioned Stock, notwithstanding the exercise of the Option. The Company shall issue (or cause to be issued) such Shares promptly after the Option is exercised. No
adjustment will be made for a dividend or other right for which the record date is prior to the date the Shares are issued, except as provided in Section 13 of the Plan. 
  
 Exercising an Option in any manner shall decrease the number of Shares thereafter available, both for purposes of the Plan
and for sale under the Option, by the number of Shares as to which the Option is exercised. 
  
 (b) Termination of Relationship as a Service Provider. If an Optionee ceases to be a Service Provider, other than upon the Optionee’s death or Disability, the Optionee may exercise his or her Option, but
only within such period of time as is specified in the Option Agreement, and only to the extent that the Option is vested on the date of termination (but in no event later than the expiration of the term of such Option as set forth in the Option
Agreement). In the absence of a specified time in the Option Agreement, the Option shall remain exercisable for three (3) months following the Optionee’s termination. If, on the date of termination, the Optionee is not vested as to his or her
entire Option, the Shares covered by the unvested portion of the Option shall revert to the Plan. If, after termination, the Optionee does not exercise his or her Option within the time specified by the Administrator, the Option shall terminate, and
the Shares covered by such Option shall revert to the Plan. 
  
 (c) Disability of Optionee. If an Optionee ceases to be a Service Provider as a result of the Optionee’s Disability, the Optionee may exercise his or her Option within such period of time as is specified in the Option Agreement,
to the extent the Option is vested on the date of termination (but in no event later than the expiration of the term of such Option as set forth in the 
  

 6 

 
Option Agreement). In the absence of a specified time in the Option Agreement, the Option shall remain exercisable for twelve (12) months following the
Optionee’s termination. If, on the date of termination, the Optionee is not vested as to his or her entire Option, the Shares covered by the unvested portion of the Option shall revert to the Plan. If, after termination, the Optionee does not
exercise his or her Option within the time specified herein, the Option shall terminate, and the Shares covered by such Option shall revert to the Plan. 
  
 (d) Death of Optionee. If an Optionee dies while a Service Provider, the Option may be exercised within such period of time as is specified in the
Option Agreement (but in no event later than the expiration of the term of such Option as set forth in the Notice of Grant), by the Optionee’s estate or by a person who acquires the right to exercise the Option by bequest or inheritance, but
only to the extent that the Option is vested on the date of death. In the absence of a specified time in the Option Agreement, the Option shall remain exercisable for twelve (12) months following the Optionee’s termination. If, at the time of
death, the Optionee is not vested as to his or her entire Option, the Shares covered by the unvested portion of the Option shall immediately revert to the Plan. The Option may be exercised by the executor or administrator of the Optionee’s
estate or, if none, by the person(s) entitled to exercise the Option under the Optionee’s will or the laws of descent or distribution. If the Option is not so exercised within the time specified herein, the Option shall terminate, and the
Shares covered by such Option shall revert to the Plan. 
  
 (e)
Buyout Provisions. The Administrator may at any time offer to buy out for a payment in cash or Shares, an Option previously granted based on such terms and conditions as the Administrator shall establish and communicate to the Optionee at the
time that such offer is made. 
  
 11. Non-Transferability of
Options. Unless determined otherwise by the Administrator, an Option may not be sold, pledged, assigned, hypothecated, transferred, or disposed of in any manner other than by will or by the laws of descent or distribution and may be exercised,
during the lifetime of the Optionee, only by the Optionee. If the Administrator makes an Option transferable, such Option shall contain such additional terms and conditions as the Administrator deems appropriate. 
  
 12. Adjustments Upon Changes in Capitalization, Dissolution, Merger or
Asset Sale. 
  
 (a) Changes in Capitalization. Subject
to any required action by the shareholders of the Company, the number of shares of Common Stock covered by each outstanding Option, and the number of shares of Common Stock which have been authorized for issuance under the Plan but as to which no
Options have yet been granted or which have been returned to the Plan upon cancellation or expiration of an Option, as well as the price per share of Common Stock covered by each such outstanding Option, shall be proportionately adjusted for any
increase or decrease in the number of issued shares of Common Stock resulting from a stock split, reverse stock split, stock dividend, combination or reclassification of the Common Stock, or any other increase or decrease in the number of issued
shares of Common Stock effected without receipt of consideration by the Company; provided, however, that conversion of any convertible securities of the Company shall not be deemed to have been “effected without receipt of consideration.”
Such adjustment shall be made by the Board, whose determination in that respect shall be final, binding and conclusive. Except as expressly provided herein, no issuance by the Company of shares of stock of any class, or securities 
  

 7 

 
convertible into shares of stock of any class, shall affect, and no adjustment by reason thereof shall be made with respect to, the number or price of shares
of Common Stock subject to an Option. 
  
 (b) Dissolution or
Liquidation. In the event of the proposed dissolution or liquidation of the Company, the Administrator shall notify each Optionee as soon as practicable prior to the effective date of such proposed transaction. The Administrator in its
discretion may provide for an Optionee to have the right to exercise his or her Option until ten (10) days prior to such transaction as to all of the Optioned Stock covered thereby, including Shares as to which the Option would not otherwise be
exercisable. In addition, the Administrator may provide that any Company repurchase option applicable to any Shares purchased upon exercise of an Option shall lapse as to all such Shares, provided the proposed dissolution or liquidation takes place
at the time and in the manner contemplated. To the extent it has not been previously exercised, an Option will terminate immediately prior to the consummation of such proposed action. 
  
 (c) Merger or Asset Sale. In the event of a merger of the Company with or into another corporation, or the sale of
substantially all of the assets of the Company, each outstanding Option shall be assumed or an equivalent option or right substituted by the successor corporation or a Parent or Subsidiary of the successor corporation. In the event that the
successor corporation refuses to assume or substitute for the Option, the Optionee shall fully vest in and have the right to exercise the Option as to all of the Optioned Stock, including Shares as to which it would not otherwise be vested or
exercisable. If an Option becomes fully vested and exercisable in lieu of assumption or substitution in the event of a merger or sale of assets, the Administrator shall notify the Optionee in writing or electronically that the Option shall be fully
vested and exercisable for a period of fifteen (15) days from the date of such notice, and the Option shall terminate upon the expiration of such period. For the purposes of this paragraph, the Option shall be considered assumed if, following the
merger or sale of assets, the option or right confers the right to purchase or receive, for each Share of Optioned Stock, immediately prior to the merger or sale of assets, the consideration (whether stock, cash, or other securities or property)
received in the merger or sale of assets by holders of Common Stock for each Share held on the effective date of the transaction (and if holders were offered a choice of consideration, the type of consideration chosen by the holders of a majority of
the outstanding Shares); provided, however, that if such consideration received in the merger or sale of assets is not solely common stock of the successor corporation or its Parent, the Administrator may, with the consent of the successor
corporation, provide for the consideration to be received upon the exercise of the Option, for each Share of Optioned Stock 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 in the merger or sale of assets. 
  
 13. Date of Grant. The date of grant of an Option shall be, for all purposes, the date on which the Administrator makes the determination granting such Option, or such other later date as is determined by the
Administrator. Notice of the determination shall be provided to each Optionee within a reasonable time after the date of such grant. 
  

 8 

 14. Amendment and Termination of the Plan. 
  
 (a) Amendment and Termination. The Board may at any time amend,
alter, suspend or terminate the Plan. 
  
 (b) Effect of
Amendment or Termination. No amendment, alteration, suspension or termination of the Plan shall impair the rights of any Optionee, unless mutually agreed otherwise between the Optionee and the Administrator, which agreement must be in writing
and signed by the Optionee and the Company. Termination of the Plan shall not affect the Administrator’s ability to exercise the powers granted to it hereunder with respect to options granted under the Plan prior to the date of such
termination. 
  
 15. Conditions Upon Issuance of Shares.

  
 (a) Legal Compliance. Shares shall not be issued
pursuant to the exercise of an Option unless the exercise of such Option and the issuance and delivery of such Shares shall comply with Applicable Laws and shall be further subject to the approval of counsel for the Company with respect to such
compliance. 
  
 (b) Investment Representations. As a
condition to the exercise of an Option the Company may require the person exercising such Option to represent and warrant at the time of any such exercise that the Shares are being purchased only for investment and without any present intention to
sell or distribute such Shares if, in the opinion of counsel for the Company, such a representation is required. 
  
 16. Inability to Obtain Authority. The inability of the Company to obtain authority from any regulatory body having jurisdiction, which authority
is deemed by the Company’s counsel to be necessary to the lawful issuance and sale of any Shares hereunder, shall relieve the Company of any liability in respect of the failure to issue or sell such Shares as to which such requisite authority
shall not have been obtained. 
  
 17. Reservation of
Shares. The Company, during the term of this Plan, will at all times reserve and keep available such number of Shares as shall be sufficient to satisfy the requirements of the Plan. 
  

 9 

 1996 SUPPLEMENTAL STOCK OPTION PLAN 
  
 STOCK OPTION AGREEMENT 
  
 Unless otherwise defined herein, the terms defined in the Plan shall have the same defined meanings in this Option Agreement. 
  
 I. NOTICE OF STOCK OPTION GRANT 
  
 [Optionee’s Name and Address] 
  
 You have been granted an option to purchase Common Stock of the Company,
subject to the terms and conditions of the Plan and this Option Agreement, as follows: 
  

	 Grant Number
	  	_________________________	  	 
			
	 Date of Grant
	  	_________________________	  	 
			
	 Vesting Commencement Date
	  	_________________________	  	 
			
	 Exercise Price per Share
	  	$________________________	  	 
			
	 Total Number of Shares Granted
	  	_________________________	  	 
			
	 Total Exercise Price
	  	$________________________	  	 
			
	 Type of Option:
	  	Nonstatutory Stock Option	  	 
			
	 Term/Expiration Date:
	  	_________________________	  	 

  
 Vesting
Schedule: 
  
 Subject to the Optionee continuing to be a
Service Provider on such dates, this Option shall vest and become exercisable in accordance with the following schedule: 
  
 25% of the Shares subject to the Option shall vest twelve months after the Vesting Commencement Date, and 1/48th of the Shares subject to the Option shall
vest upon the last day of each month thereafter, beginning with the first full quarter after the one year anniversary of the Vesting Commencement Date. 

 Termination Period: 
  
 This Option may be exercised for three (3) months after Optionee ceases to be a Service Provider. Upon the death or
Disability of the Optionee, this Option may be exercised for such longer period as provided in the Plan. In no event shall this Option be exercised later than the Term/Expiration Date as provided above. 
  
 II. AGREEMENT 
  
 1. Grant of Option. The Plan Administrator of the Company hereby grants to the Optionee named in the Notice of Grant
attached as Part I of this Agreement (the “Optionee”) an option (the “Option”) to purchase the number of Shares, as set forth in the Notice of Grant, at the exercise price per share set forth in the Notice of Grant (the
“Exercise Price”), subject to the terms and conditions of the Plan, which is incorporated herein by reference. Subject to Section 14(b) of the Plan, in the event of a conflict between the terms and conditions of the Plan and the terms and
conditions of this Option Agreement, the terms and conditions of the Plan shall prevail. 
  
 2. Exercise of Option. 
  
 (a) Right to Exercise. This Option is exercisable during its term in accordance with the Vesting Schedule set out in the Notice of Grant and the applicable provisions of the Plan and this Option Agreement. 
  
 (b) Method of Exercise. This Option is exercisable by delivery of an
exercise notice, in the form attached as Exhibit A (the “Exercise Notice”), which shall state the election to exercise the Option, the number of Shares in respect of which the Option is being exercised (the “Exercised Shares”),
and such other representations and agreements as may be required by the Company pursuant to the provisions of the Plan. The Exercise Notice shall be completed by the Optionee and delivered to the Secretary of the Company. The Exercise Notice shall
be accompanied by payment of the aggregate Exercise Price as to all Exercised Shares. This Option shall be deemed to be exercised upon receipt by the Company of such fully executed Exercise Notice accompanied by such aggregate Exercise Price.

  
 No Shares shall be issued pursuant to the exercise of this
Option unless such issuance and exercise complies with Applicable Laws. Assuming such compliance, for income tax purposes the Exercised Shares shall be considered transferred to the Optionee on the date the Option is exercised with respect to such
Exercised Shares. 
  
 3. Method of Payment. Payment of the
aggregate Exercise Price shall be by any of the following, or a combination thereof, at the election of the Optionee: 
  
 (a) cash; or 
  
 (b) check; or 
  
 (c) promissory note; or 
  

 2 

 (d) consideration received by the Company under a cashless exercise program implemented by the Company in
connection with the Plan; or 
  
 (e) surrender of other Shares
which (i) in the case of Shares acquired upon exercise of an option, have been owned by the Optionee for more than six (6) months on the date of surrender, and (ii) have a Fair Market Value on the date of surrender equal to the aggregate
Exercise Price of the Exercised Shares; or 
  
 (f) a reduction in
the amount of any Company liability to the Optionee, including any liability attributable to the Optionee’s participation in any Company-sponsored deferred compensation program or arrangement; or 
  
 (g) such other consideration and method of payment for the issuance of Shares
to the extent permitted by Applicable Laws. 
  
 4.
Non-Transferability of Option. This Option may not be transferred in any manner otherwise than by will or by the laws of descent or distribution and may be exercised during the lifetime of Optionee only by the Optionee. The terms of the Plan
and this Option Agreement shall be binding upon the executors, administrators, heirs, successors and assigns of the Optionee. 
  
 5. Term of Option. This Option may be exercised only within the term set out in the Notice of Grant, and may be exercised during such term only in
accordance with the Plan and the terms of this Option Agreement. 
  
 6. Tax Consequences. Some of the federal tax consequences relating to this Option, as of the date of this Option, are set forth below. THIS SUMMARY IS NECESSARILY INCOMPLETE, AND THE TAX LAWS AND REGULATIONS ARE SUBJECT TO CHANGE.
THE OPTIONEE SHOULD CONSULT A TAX ADVISER BEFORE EXERCISING THIS OPTION OR DISPOSING OF THE SHARES. 
  
 (a) Exercising the Option. The Optionee may incur regular federal income tax liability upon exercise of an NSO. The Optionee will be treated as
having received compensation income (taxable at ordinary income tax rates) equal to the excess, if any, of the Fair Market Value of the Exercised Shares on the date of exercise over their aggregate Exercise Price. If the Optionee is an Employee or a
former Employee, the Company will be required to withhold from his or her compensation or collect from Optionee and pay to the applicable taxing authorities an amount in cash equal to a percentage of this compensation income at the time of exercise,
and may refuse to honor the exercise and refuse to deliver Shares if such withholding amounts are not delivered at the time of exercise. 
  
 (b) Disposition of Shares. If the Optionee holds NSO Shares for at least one year, any gain realized on disposition of the Shares will be treated
as long-term capital gain for federal income tax purposes. 
  

 3 

 7. Entire Agreement; Governing Law. The Plan is incorporated herein by reference. The Plan and
this Option Agreement constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in their entirety all prior undertakings and agreements of the Company and Optionee with respect to the subject matter
hereof, and may not be modified adversely to the Optionee’s interest except by means of a writing signed by the Company and Optionee. This agreement is governed by the internal substantive laws, but not the choice of law rules, of California.

  
 8. NO GUARANTEE OF CONTINUED SERVICE. OPTIONEE
ACKNOWLEDGES AND AGREES THAT THE VESTING OF SHARES PURSUANT TO THE VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS A SERVICE PROVIDER AT THE WILL OF THE COMPANY (AND NOT THROUGH THE ACT OF BEING HIRED, BEING GRANTED AN OPTION OR PURCHASING
SHARES HEREUNDER). OPTIONEE FURTHER ACKNOWLEDGES AND AGREES THAT THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREUNDER AND THE VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN EXPRESS OR IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE
PROVIDER FOR THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND SHALL NOT INTERFERE WITH OPTIONEE’S RIGHT OR THE COMPANY’S RIGHT TO TERMINATE OPTIONEE’S RELATIONSHIP AS A SERVICE PROVIDER AT ANY TIME, WITH OR WITHOUT CAUSE.

  
 By your signature and the signature of the Company’s
representative below, you and the Company agree that this Option is granted under and governed by the terms and conditions of the Plan and this Option Agreement. Optionee has reviewed the Plan and this Option Agreement in their entirety, has had an
opportunity to obtain the advice of counsel prior to executing this Option Agreement and fully understands all provisions of the Plan and Option Agreement. Optionee hereby agrees to accept as binding, conclusive and final all decisions or
interpretations of the Administrator upon any questions relating to the Plan and Option Agreement. Optionee further agrees to notify the Company upon any change in the residence address indicated below. 

			
	OPTIONEE:	 	 	 	PINNACLE SYSTEMS, INC.
			
	
	 	 	 	

	Signature	 	 	 	By
			
	
	 	 	 	

	Print Name	 	 	 	Title
			
	
	 	 	 	 
	Residence Address	 	 	 	 
			
	
	 	 	 	 

  
  
  

 4 

 EXHIBIT A 
  
 1996 SUPPLEMENTAL STOCK OPTION PLAN 
  
 EXERCISE NOTICE 
  
 Pinnacle Systems, Inc. 
 280 N. Bernardo Avenue 
 Mountain View, CA 94043 
 Attention: Secretary 
  
 1. Exercise of Option. Effective as of today,
                    , 199    , the undersigned (“Purchaser”) hereby elects to purchase
             shares (the “Shares”) of the Common Stock of Pinnacle Systems, Inc. (the “Company”) under and pursuant to the 1996 Supplemental Stock Option Plan
(the “Plan”) and the Stock Option Agreement dated, 19     (the “Option Agreement”). The purchase price for the Shares shall be $, as required by the Option Agreement. 
  
 2. Delivery of Payment. Purchaser herewith delivers to the Company the
full purchase price for the Shares. 
  
 3. Representations of
Purchaser. Purchaser acknowledges that Purchaser has received, read and understood the Plan and the Option Agreement and agrees to abide by and be bound by their terms and conditions. 
  
 4. Rights as Shareholder. Until the issuance (as evidenced by the appropriate entry on the books of the Company or of
a duly authorized transfer agent of the Company) of the Shares, no right to vote or receive dividends or any other rights as a shareholder shall exist with respect to the Optioned Stock, notwithstanding the exercise of the Option. The Shares so
acquired shall be issued to the Optionee as soon as practicable after exercise of the Option. No adjustment will be made for a dividend or other right for which the record date is prior to the date of issuance, except as provided in Section 13 of
the Plan. 
  
 5. Tax Consultation. Purchaser understands
that Purchaser may suffer adverse tax consequences as a result of Purchaser’s purchase or disposition of the Shares. Purchaser represents that Purchaser has consulted with any tax consultants Purchaser deems advisable in connection with the
purchase or disposition of the Shares and that Purchaser is not relying on the Company for any tax advice. 
  
 6. Entire Agreement; Governing Law. The Plan and Option Agreement are incorporated herein by reference. This Agreement, the Plan and the Option
Agreement constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in their entirety all prior undertakings and agreements of the Company and Purchaser with respect to the subject matter 

 
hereof, and may not be modified adversely to the Purchaser’s interest except by means of a writing signed by the Company and Purchaser. This agreement
is governed by the internal substantive laws, but not the choice of law rules, of California. 
  

	 Submitted by:
	 	 	 	 Accepted by:

			
	 OPTIONEE:
	 	 	 	 PINNACLE SYSTEMS, INC.

			
	
 Signature
	 	 	 	
 By

			
	
 Print Name
	 	 	 	
 Title

			
	 	 	 	 	
 Date Received

			
	 Address:
	 	 	 	 Address:

			
	
	 	 	 	 280 N. Bernardo Avenue
 Mountain View, CA 94043

			
	
	 	 	 	 

  

 2

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