Common use of Stock Splits and Recapitalization Clause in Contracts

Stock Splits and Recapitalization. The number of shares of common stock issuable upon exercise of options granted hereby and the exercise price of such options shall be automatically adjusted to reflect any change in the capitalization of Employer, including, but not limited to, such changes as stock dividends, stock splits or recapitalizations. If any adjustment under this Section would create the right of Employee to acquire a fractional share of stock, such fractional share shall be disregarded and the number of shares of common stock subject to the options shall be the next lower number of whole shares of common stock, rounding all fractions downward.

Stock Splits and Recapitalization. The number of shares of common stock issuable upon exercise of options the Stock Options granted hereby to Employee by the Company and the exercise price of such options shall be automatically adjusted to reflect any change in the capitalization of Employerthe Company, including, but not limited to, such changes as stock dividends, stock splits splits, recapitalizations or recapitalizationsextraordinary distributions or dividend on its shares to compensate Employee for the economic effect thereof. If any adjustment under this Section would create the right of Employee to acquire a fractional share of stock, such fractional share shall be disregarded and the number of shares of common stock subject to the options shall be the next lower number of whole shares of common stock, rounding all fractions downward.