Common use of Adjustments for Recapitalization and Dividends Clause in Contracts

Adjustments for Recapitalization and Dividends. In the event that, prior to the distribution of Shares pursuant to Section 2(c) above, any dividend in Shares, recapitalization, Share split, reverse split, reorganization, merger, consolidation, spin-off, combination, repurchase, or share exchange, or other such change affects the Shares such that they are increased or decreased or changed into or exchanged for a different number or kind of shares, other securities of the Company or of another corporation or other consideration, then in order to maintain the proportionate interest of the Employee and preserve the value of the Award, there shall automatically be substituted for each Share subject to the Award the number and kind of shares, other securities or other consideration (including cash) into which each outstanding Share shall be changed or for which each such Share shall be exchanged.