Document:

EX-10.14

 Exhibit 10.14 
  

 
 TERADYNE, INC. 2006 EQUITY AND CASH
COMPENSATION INCENTIVE PLAN 
 NOTICE OF STOCK OPTION GRANT AND TERMS FOR U.S. RECIPIENTS 

 
  

Name: 
 Employee ID: 

In granting stock options, Teradyne, Inc. (“Teradyne”) seeks to provide employees with incentive to help drive Teradyne’s future success
and to share in the economic benefits of that success. We all look forward to your contributions to that effort. 
 In recognition of your contributions to
Teradyne, you have been granted a stock option award consisting of the right to receive up to xx shares of Teradyne common stock upon exercise of this option in accordance with its terms. This stock option grant was approved effective
[●] (the “Effective Date”). The Stock Option Grant Details applicable to this stock option grant are listed below. 

This stock option grant is subject to the Stock Option Terms attached hereto and the terms of the Teradyne, Inc. 2006 Equity and Cash Compensation Incentive
Plan (the “Plan”). Stock options covered by this award will be exercisable over time as described in and subject to the vesting conditions of the attached Stock Option Terms. 

The Plan prospectus, consisting of a “Participant Information” document that summarizes the Plan and the complete Plan, is available on “In-Site,” Teradyne’s internal Web site. To access the information, go to: 

http://cms.corp.teradyne.com/insite/FunctionsGroups/GeneralAdministrative/HumanResources/GLOBALPOLICY/ 

EquityCompensationOptionsRSU%E2%80%99s/index.htm. 
 Please
note that printed versions of the Plan prospectus documents are available to you, at no charge, upon request to HR Service Center, Teradyne, Inc., 600 Riverpark Drive, North Reading, MA 01864,
(978) 370-3041. 
  

			
		 	TERADYNE, INC.
		
	 Stock Option Grant Details:
 Grant
Date/Effective Date: [●]
 Number of Shares under Option: [xx]

Per Share Option Price/FMV on Grant Date: [$●]
	 	

		 	Charles J. Gray
		 	V.P., General Counsel and Secretary

 (2016 Stock Option) 
 Grant #

  
 1 

  

STOCK OPTION TERMS FOR U.S. RECIPIENTS 

1. Option Grant, Exercise and Vesting. 

(a) Option Grant. Teradyne, Inc. hereby grants to the recipient an award (this “Award”) of nonstatutory stock options
(the “Stock Options”) under the Teradyne, Inc. 2006 Equity and Cash Compensation Incentive Plan (the “Plan”). The Stock Options represent the right of the recipient to purchase that number of shares of Teradyne
common stock set forth in the Notice of Stock Option Grant and Terms (the “Notice of Grant”) attached hereto upon satisfaction of the terms set forth in this Agreement. This Award is governed by and subject to the terms of the Plan,
the Notice of Grant and this Agreement. 
 Capitalized terms used but not otherwise defined herein will have the meaning set forth in the
Notice of Grant or the Plan. In the event of any inconsistencies or differences between the Plan and these terms, the Plan shall prevail. The terms governing this Award are intended to comply with all applicable laws and regulations. 

(b) These Stock Options vest and become exercisable yearly on the anniversary of the Effective Date. None of the Stock Options subject
to this Award will be vested or exercisable on the Effective Date. Except as provided in (d) below, 25% of the Stock Options granted will vest and become exercisable on the first and each of the three subsequent anniversaries of the Effective
Date until the total grant is fully vested and exercisable on the fourth anniversary of the Effective Date. The Committee shall have the right to accelerate the date that any installment of this Award becomes vested and exercisable, including, but
not limited to events such as disability, death or upon the acquisition of control of Teradyne by another entity. 
 (c) After Stock
Options become exercisable, they can be exercised at any time prior to and on the Option Expiration Date. This Award expires at the close of business at Teradyne’s headquarters on the date that is seven years from the Effective Date (the
“Option Expiration Date”). This Award may expire earlier if the recipient’s employment or other business relationship terminates, as described below. 

(d) This Award will not vest further after termination of employment or other business relationship except in limited certain
circumstances. If the recipient’s employment or business relationship with Teradyne or any Subsidiary terminates for any reason except disability or death, then this Award will not vest after the recipient’s employment or other
business relationship ends and this Award will automatically expire at the close of business at Teradyne’s headquarters on the date ninety (90) days after the recipient’s termination date, or if earlier, the Option Expiration Date. If
the recipient’s employment or other business relationship with Teradyne or a Subsidiary ends on account of permanent disability or death, the unvested portion of this Award which would have vested under the applicable rule stated in
(b) above shall automatically become vested in full on the date of the recipient’s termination of employment or business relationship on account of permanent disability or death and the vested portion of this Award may be exercised in
accordance with Section 11(a) of the Plan until the earlier of the close of business at Teradyne’s headquarters on the date that is one year subsequent to the recipient’s termination due to permanent disability or death or the Option
Expiration Date. 
 Employment or another business relationship shall be considered as continuing uninterrupted during any bona fide leave
of absence (such as those attributable to illness or military obligations) provided that the period of such leave does not exceed 90 days or, in the case of an employee, if longer, any period during which the employee’s right to reemployment is
guaranteed by statute. A bona fide leave of absence with the written approval of the Committee shall not be considered an interruption of employment or other business relationship, provided that such written approval contractually obligates Teradyne
or a Subsidiary to continue the recipient’s employment or other business relationship after the approved period of absence. 
 2.
Procedure for Exercising Stock Options. 
 (a) Stock Options are exercised by giving written notice to Teradyne in the form (or
by such other procedures as) specified by the Committee stating the election to exercise, specifying the number of shares as to which Stock Options are being exercised and paying Teradyne the full option price for such shares, plus any applicable Tax-Related Items (as defined in Section 6 below). Payment can be made to Teradyne by a combination of cash, certified or 

  
 2 

 
bank check, or personal check (in each case in United States dollars), or by delivery of shares of Teradyne common stock having a Fair Market Value equal as of the date of the exercise to the
cash exercise price of the Option, provided that such shares were not acquired by the Participant in the prior six months, or through a broker-dealer sale and remittance procedure pursuant to which the recipient shall provide written irrevocable
instructions to a brokerage firm to effect the immediate sale of some or all of the purchased shares and remit to Teradyne sufficient funds to cover the aggregate exercise price payable for the purchased shares, plus any applicable Tax-Related Items designated by Teradyne, and shall provide written directives to Teradyne to deliver the purchased shares directly to such brokerage firm to complete the sale transaction, provided that such process
is consistent with and permissible under applicable law. 
 (b) The recipient shall not have any rights as a stockholder in, to or
with respect to any shares which may be covered by this Award (including but not limited to the right to vote or to receive dividends) until the issuance of shares to the recipient upon exercise of the Stock Options. All shares issuable upon
exercise of the Stock Options will be transferred or issued to the recipient (or his or her estate, in the event of death) promptly upon exercise. 

(c) With regard to any Stock Option exercises, Teradyne will not be required to transfer or issue any shares until arrangements
satisfactory to it have been made to address any Tax-Related Items and withholding requirements which might arise by reason of the Stock Option exercise. Teradyne will pay any transfer or issue tax and deliver
the shares purchased. 
 3. Assignment and Transferability. This Stock Option may not be assigned or transferred (except by will or
the laws of descent and distribution) other than as provided in Section 11(a) of the Plan. 
 4. Capital Changes and Business
Succession. Section 3(c) of the Plan contains provisions for adjusting (or substituting) the number and class of securities, vesting schedule, exercise price and other terms of outstanding stock-based awards granted under the Plan if a
recapitalization, stock split, merger, or other specified event occurs and the Committee determines that an adjustment (or substitution) is appropriate. In that event, the recipient will be notified of the adjustment (or substitution), if any, to
this Award. 
 5. Employment or Business Relationship. Granting this Award does not imply any right of continued employment or
business relationship with Teradyne or its Subsidiaries, and does not affect the right of the recipient, Teradyne or its Subsidiaries to terminate the recipient’s employment or a business relationship at any time. 

6. Tax Obligations. 

(a) Responsibility for Taxes. The recipient acknowledges that, regardless of any action taken by Teradyne or, if different, the
recipient’s employer (the “Employer”), the ultimate liability for all income tax, social insurance, payroll tax, fringe benefits tax, payment on account or other tax-related items related
to the recipient’s participation in the Plan and legally applicable to the recipient (“Tax-Related Items”), is and remains the recipient’s responsibility and may exceed the amount
actually withheld by Teradyne or the Employer. The recipient further acknowledges that Teradyne and/or the Employer (1) make no representations or undertakings regarding the treatment of any Tax-Related
Items in connection with any aspect of the Stock Options, including, but not limited to, the grant, vesting or exercise of the Stock Options, the subsequent sale of shares acquired pursuant to such exercise and the receipt of any dividends or other
distributions, and (2) do not commit to and are under no obligation to structure the terms of the grant or any aspect of the Stock Option to reduce or eliminate the recipient’s liability for
Tax-Related Items or achieve any particular tax result. Further, if the recipient is subject to Tax-Related Items in more than one jurisdiction between the Effective
Date and the date of any relevant taxable or tax withholding event, as applicable, the recipient acknowledges that Teradyne and/or the Employer (or former employer, as applicable) may be required to withhold or account for Tax-Related Items in more than one jurisdiction. 
 (b) Tax Withholding. Prior to the relevant
taxable or tax withholding event, as applicable, the recipient agrees to make adequate arrangements satisfactory to Teradyne and/or the Employer to satisfy all Tax-Related Items. In this regard, the recipient
authorizes Teradyne and/or the Employer, or their respective agents to satisfy the obligations with regard to all Tax-Related Items by withholding from proceeds of the sale of shares acquired at exercise of
the Stock Options. Teradyne shall withhold or account for Tax-Related Items at minimum applicable rates. Alternatively, Teradyne, in its sole discretion and pursuant to such procedures as it may specify from
time to time, may permit or require the recipient to satisfy the recipient’s obligations for Tax-Related Items, in whole or in part (without limitation) by delivery of cash or check to Teradyne or
the Employer. 

  
 3 

 7. Compliance with Laws. Shares to be issued under this Award are currently registered
under the United States Securities Act of 1933, as amended. If such registration is not in effect at the time of vesting, the recipient will be required to represent to Teradyne that the recipient is acquiring such shares as an investment and not
with a view to the sale of those shares. Notwithstanding any other provision of the Plan or the Agreement, unless there is an available exemption from any registration, qualification or other legal requirement applicable to the shares of common
stock, Teradyne shall not be required to deliver any shares of common stock issuable upon exercise of the Stock Options prior to the completion of any registration or qualification of the shares under any local, state, federal or foreign securities
or exchange control law or under rulings or regulations of the United States Securities and Exchange Commission (“SEC”) or of any other governmental regulatory body, or prior to obtaining any approval or other clearance from any
local, state, federal or foreign governmental agency, which registration, qualification or approval Teradyne shall, in its absolute discretion, deem necessary or advisable. The recipient understands that Teradyne is under no obligation to register
or qualify the shares with the SEC or any state or foreign securities commission or to seek approval or clearance from any governmental authority for the issuance or sale of the shares. Further, the recipient agrees that Teradyne shall have
unilateral authority to amend the Plan and the Agreement without the recipient’s consent to the extent necessary to comply with securities or other laws applicable to issuance of shares. 

8. Governing Law and Venue. The Award and the provisions of this Agreement are governed by, and subject to, the laws of the
Commonwealth of Massachusetts, without regard to the conflict of law provisions, as provided in the Plan. For purposes of litigating any dispute that arises under this Award or this Agreement, the parties hereby submit to and consent to the
jurisdiction of the Commonwealth of Massachusetts, agree that such litigation shall be conducted in the courts of Middlesex County, or the federal courts for the United States for the District of Massachusetts, where this grant is made and/or to be
performed. 
 9. Electronic Delivery and Acceptance. Teradyne may, in its sole discretion, decide to deliver any documents related to
current or future participation in the Plan by electronic means. The recipient hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through an on-line or
electronic system established and maintained by Teradyne or a third party designated by Teradyne. 
 10. Severability. The provisions
of this Agreement are severable and if any one or more provisions are determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions shall nevertheless be binding and enforceable. 

11. Imposition of Other Requirements. Teradyne reserves the right to impose other requirements on the recipient’s participation in
the Plan, on the Stock Options and on any shares of common stock acquired under the Plan, to the extent Teradyne determines it is necessary or advisable for legal or administrative reasons, and to require the recipient to sign any additional
agreements or undertakings that may be necessary to accomplish the foregoing. 
 12. Waiver. The recipient acknowledges that a waiver
by Teradyne of breach of any provision of this Agreement shall not operate or be construed as a waiver of any other provision of this Agreement, or of any subsequent breach by the recipient or any other recipient. 

13. No Advice Regarding Grant. Teradyne is not providing any tax, legal or financial advice, nor is Teradyne making any recommendations
regarding the recipient’s participation in the Plan, or the recipient’s acquisition or sale of the underlying shares of common stock. The recipient is hereby advised to consult with his or her own personal tax, legal and financial advisors
regarding his or her participation in the Plan before taking any action related to the Plan. 

  
 4Exhibit

Exhibit 10.1

TiVo Corporation
2017 Senior Executive Company Incentive Plan

		
	I.
	INTRODUCTION

		
	a.
	The Objective of the 2017 Senior Executive Company Incentive Plan (the “Plan”) is to (i) enhance stockholder value by promoting strong linkages between executive contributions and company performance; (ii) support achievement of the business objectives of TiVo Corporation and its subsidiaries (the “Company”); and (iii) promote retention of participating employees of the Company.

		
	b.
	Participants:  This plan applies solely to the Chief Executive Officer and the senior executives reporting directly to the Chief Executive Officer at TiVo Corporation and its subsidiaries.

		
	c.
	Effective Date:  This Plan is effective for the fiscal year 2017, beginning January 1, 2017 through December 31, 2017.  This Plan is limited in time and expires automatically on December 31, 2017.  All benefits under this Plan are voluntary benefits.  Participation in this Plan during fiscal year 2017 does not convey any entitlement to participate in this or future plans or to the same or similar bonus payment benefits.

		
	d.
	Changes in the Plan:  The Company presently has no plans to change the Plan during the fiscal year.  However, this plan is a voluntary benefit provided by the Company and by virtue of the fact that bonuses are not a contractual entitlement and are paid at the sole discretion of the Company, the Company reserves the right to modify the Plan, in total or in part, at any time.  Any such change must be in writing and approved by the Compensation Committee of the Board of Directors.  The Compensation Committee of the Board of Directors reserves the right to interpret the Plan document as needed and such interpretations shall be final, conclusive and binding on all persons, and shall be given the maximum deference permitted by law.

		
	e.
	Entire Agreement:  This Plan is the entire agreement between the Company and the employee regarding the subject matter of this Plan and supersedes all prior bonus or commission incentive plans, whether with TiVo Corporation or any subsidiary or affiliate thereof, or any written or verbal representations regarding the subject matter of this Plan.

		
	II.
	ELIGIBILITY AND INCENTIVE PLAN ELEMENTS

		
	a.
	Eligibility:  The participants are eligible for the incentive payout if they meet the following requirements:

		
	•
	Except as otherwise explicitly set forth in the Participant’s Incentive Target Percentage Schedule (as defined in Section II below), are not currently on a sales incentive or commission plan or any other significant form of variable compensation (such as a services bonus plan); and

		
	•
	Are not on a performance improvement plan at the time of calculation and have not received a written notice of warning or other disciplinary action during the year that remains in effect at the time of calculation

AND

The participant must be employed in an incentive-eligible position on or before the first working day of the last fiscal quarter of fiscal year 2017 and must be employed by the Company on the day the bonus is paid to be eligible for a 2017 incentive payment.  Participants may expect to receive their 2017 incentive payment no later than March 15, 2018.  Participants in the Plan with less than one year of service will be eligible for a prorated incentive amount as set forth in Proration Factor below.  In no event will any individual accrue 

any right or entitlement to any incentive under this Plan unless that individual is employed by the Company on the day the bonus is paid.  

Any exception to the above must be approved in writing by the Company’s Compensation Committee.

		
	b.
	The Annual Base Salary in effect at the end of the fiscal year represents the basis for the incentive calculation.  Nothing in the Plan, or arising as a result of a Participant’s participation in the Plan, shall prevent the Company from changing a Participant’s Annual Base Salary at any time based on such factors as the Company in its sole discretion determines appropriate.

		
	c.
	Incentive Target Percentage is a percentage level of base salary determined by the employee’s position except as otherwise approved by the Compensation Committee.  These targets will be weighted by company and individual performance, and will be set forth in an Incentive Target Percentage Schedule for each Participant in substantially the form attached hereto as Schedule A.

		
	d.
	Individual Performance Factor (“IPF”) is based upon the manager’s evaluation of performance and contribution for the fiscal year and linked to one of three Performance Ratings for the year: Outstanding, Strong and Needs Improvement. 

		
	e.
	Company Performance Factor (“CPF”) is based upon the Company achieving an established worldwide revenue target and a worldwide Adjusted EBITDA target per the 2017 operating plan approved by the Board of Directors of the Company. The applicable targets for fiscal year 2017 can be amended by the Compensation Committee of the Board of Directors at any time during the fiscal year. Notwithstanding anything to the contrary contained herein, the Compensation Committee has the discretion to determine to pay less than the full amount (including to pay zero percent) of the payout to which any Participant would otherwise be entitled, which determination shall be based upon such factors as the Compensation Committee determines appropriate (including without limitation as a result of the Company’s or a Participant’s failing to achieve one or more objectives with respect to the fiscal year). The Revenue and Adjusted EBITDA attainment percentages will be determined using a straight-line interpolation approach relative to the Threshold, Target and Maximum attainment set forth during the year. The Company Performance Factor will be determined using the table below, provided however that the Company Performance factor may be modified at the sole discretion of the Compensation Committee of the Board of Directors for any reason, including in the event that such Company Performance is due to an extraordinary or exceptional circumstance.

		
	f.
	CPF Formula. The CPF payout equals the average of the payout of Revenue and Adjusted EBITDA. The plan provides for a Threshold payout of 50% relative to 90% attainment of Target. Below 90% of attainment, the plan provides for 0% payout. Between 90% and 100% attainment (Target) the plan provides for a straight-line interpolation of 5% points of payout for every 1% point of attainment. From 100% (Target) to 110% of attainment, the plan provides for 10% points of payout for every 1% point of attainment. The plan provides for a Maximum payout of 200% relative to 110% or more of attainment of Target. This is summarized in the table below.

	
								
	 
	Revenue
	 
	Adjusted EBITDA

	 
	Attainment
	Payout
	Slope
	 
	Attainment
	Payout
	Slope

	Threshold
	90%
	50%
	5 pts
	 
	90%
	50%
	5 pts

	Target
	100%
	100%
	 
	 
	100%
	100%
	 

	Max
	110%
	200%
	10 pts
	 
	110%
	200%
	10 pts

Example:    CPF Payout = Average (Adjusted EBITDA Payout + Revenue Payout)
Actual Revenue is 95% of Goal
Actual Adjusted EBITDA is 105% of Goal

Company Performance Factor = (75% + 150%) / 2 = 112.5%

		
	g.
	Calculation of Incentive:  With respect to each Participant, (1) the “Company Performance Incentive” shall mean the Participant’s Annual Base Salary times such Participant’s Incentive Target Percentage times the Company Performance Factor times such Participant’s Company Performance Weighting times such Participant’s Proration Factor; and (2) the “Individual Performance Incentive” shall mean the Participant’s Annual Base Salary times such Participant’s Incentive Target Percentage times such Participant’s Individual Performance Weighting times such Participant’s Individual Performance Factor times such Participant’s Proration Factor.  The “Individual Performance Pool” shall mean the sum of the Individual Performance Incentives for all Participants.  In no event shall any Participant’s total payout under this Plan exceed 200% of Participant’s Incentive Target Percentage (in dollars based on base salary) set forth on Schedule A.

		
	h.
	Transfers and Terminations:  Any employee who is a participant in the Plan and who transfers to a new position not governed by this Plan will be eligible on a pro-rata basis for the applicable period and paid as defined by the Plan.  Employees who transfer into the Plan from another plan will be subject to proration as well, and consequently will be eligible to receive an incentive payment based on their participation in this Plan during fiscal year 2017 applying the Proration Factors referred to below.  Payments from the Plan are subject to reduction by advances, unearned commission advances, draws or prorations and appropriate withholdings.  Any exceptions to the Plan must be in writing and approved by the Compensation Committee.

A participant must be employed as of the day the bonus is paid to be eligible for the year-end incentive.  No incentive shall be deemed earned until the payment date.  If, prior to a payment date, an employee voluntarily resigns from employment or the employee’s employment is terminated for cause, the employee will not be eligible for any incentive payment.  If, prior to a payment date, an employee is terminated by the Company for reasons other than for cause, the Compensation Committee shall have absolute discretion to determine if the employee will remain eligible to receive any bonus payment, which bonus payment, if awarded, shall be prorated for the portion of the Plan Year during which employee was employed by the Company.

		
	i.
	Proration Factor accounts for the number of calendar days during the fiscal year that the employee is in the incentive-eligible position.  For example, the proration factor for an employee who has been on the Plan the entire year will be 1.00.  For an employee who has been on the plan for 6 months, the factor will be 0.50.  Employees in the following situations will have a Proration Factor of less than 1.00:

		
	•
	Participants in the Plan who transferred to a new position not covered by the Plan

		
	•
	Employees who transferred from one incentive-eligible position to another incentive-eligible position.  Employees in this situation will have their incentive prorated based on the length of time in each position.

		
	•
	Employees who have been in the Plan less than 12 months (such as a new hire)

		
	•
	Employees who have been on a leave of absence of any length during the fiscal year

		
	•
	Employees working less than the full time standard work week will receive an incentive prorated according to the following schedule:

	
		
	Hours Worked
	Incentive Eligibility

	Less than full time > half time as defined by standard work week
	Prorated according to the average number of hours worked

	Less than half time of standard work week
	Not incentive eligible

Any modification to the above schedule must be approved by the Chief Executive Officer, the Chief Financial Officer and SVP of Human Resources in advance of the year end close date.

		
	III.
	PRACTICES AND PROCEDURES

		
	a.
	Procedure:

		
	•
	A copy of the Plan will be made available to each participant.

		
	•
	All incentive payments will be made after all required or elected withholdings have been deducted.

		
	b.
	Governing Law:  This Plan is governed by the law of California and the parties hereby submit to the exclusive jurisdiction of the County of Santa Clara, California courts.

SCHEDULE A

INCENTIVE TARGET PERCENTAGE SCHEDULE

	
				
	Position
	Incentive Target Percentage
	Company Performance Weighting
	Individual Performance Weighting

[Insert position, target and weighting of each factor for the participant]

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