JUNIPER NETWORKS, INC. PERFORMANCE SHARE AGREEMENT
EXHIBIT 10.21
JUNIPER NETWORKS, INC.
2006 EQUITY INCENTIVE PLAN
1. Grant. The Company hereby grants to the Employee an award of Performance Shares
(“Performance Shares”), as set forth in the Notice of Grant of Performance Shares and subject to
the terms and conditions in this Agreement and the Company’s 2006 Equity Incentive Plan (the
“Plan”). Unless otherwise defined herein, the terms defined in the Plan shall have the same
defined meanings in this Performance Share Agreement.
5. Payment after Vesting. Any Performance Shares that vest in accordance with paragraph 3
will be paid to the Employee (or in the event of the Employee’s death, to his or her estate) in
Shares, provided that to the extent determined appropriate by the Company, any national, state and
local withholding of taxes and/or social security contributions with respect to such Performance
Shares, if applicable, will be paid by the Employee pursuant to Section 18 below.
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17. Notice of Governing Law. This grant of Performance Shares shall be governed by,
and construed in accordance with, the laws of the State of California without regard to principles
of conflict of laws.
Prior to the vesting of Performance Shares, the Employee agrees to pay or make adequate
arrangements satisfactory to the Company and/or its affiliates to satisfy all withholding
obligations of the Company and/or its affiliates. In this regard, the Employee authorizes the
Company and/or its affiliates to withhold all applicable Tax-Related Items legally payable by the
Employee from his or her wages, within legal limits, or other cash compensation paid by the Company
and/or its affiliates or from proceeds of the sale of the Shares. The payment of such Tax-Related
Items shall generally be made through the Employee’s brokerage account designated by the Company;
provided, however, that at the Company’s discretion, it may permit the Employee to satisfy such
obligations in whole or in part by having the Company withhold
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otherwise deliverable Shares with a value equal to the minimum amount statutorily required to be withheld (“Net Withholding”). With
respect to payments from the Employee’s brokerage account, the Employee may choose to cover
the payment of Tax-Related Items through (i) cash on deposit at the broker, or (ii) by electing to
have the broker sell vested shares to cover taxes, social security contributions and related fees.
However, should the Employee’s account have insufficient funds, and if Net Withholding is not
permitted by the Company, the Employee will be deemed to have elected to have the broker sell
vested shares to cover taxes, social security contributions and related fees. The Employee
acknowledges and agrees that if the amount of withholding taxes, social security contributions and
related fees satisfied by selling vested shares or by Net Withholding exceeds the amount remitted
by the Company, the Company will refund the excess amount to him or her within a reasonable period
without any interest. Finally, the Employee shall pay to the Company and/or its affiliates any
amount of Tax-Related Items that may be required to withhold as a result of participation in the
Plan that cannot be satisfied by the means previously described. The Company may refuse to deliver
the Shares if Employee fails to comply with his or her obligations in connection with the
Tax-Related Items as described in this section.
a. the Plan is established voluntarily by the Company, it is discretionary in nature and it
may be modified, amended, suspended or terminated by the Company at any time, unless otherwise
provided in the Plan and this letter;
b. the grant of the Performance Shares is voluntary and occasional and does not create any
contractual or other right to receive future Performance Share grants, or benefits in lieu of
Performance Shares, even if Performance Shares have been granted repeatedly in the past;
c. all decisions with respect to future Performance Shares, if any, will be at the sole
discretion of the Company;
d. participation in the Plan shall not create a right to further employment with the
Employee’s employer and shall not interfere with the ability of the Employee’s employer to
terminate the Employee’s employment relationship at any time with or without cause;
e. the Employee is voluntarily participating in the Plan;
f. the Performance Shares are an extraordinary item that does not constitute compensation of
any kind for services of any kind rendered to the Company or to the Employee’s employer, and which
is outside the scope of the Employee’s employment contract, if any;
g. the Performance Shares are not part of normal or expected compensation or salary for any
purpose, including, but not limited to, calculating any severance, resignation, termination,
redundancy, end of service payments, bonuses, long-service Performance Shares, pension or
retirement benefits or similar payments;
h. in the event that the Employee is not an employee of the Company, the Performance Shares
will not be interpreted to form an employment contract or relationship with
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the Company; and furthermore, the Performance Shares will not be interpreted to form an employment
contract with any subsidiary or affiliate of the Company;
i. the future value of the underlying Shares is unknown and cannot be predicted with
certainty;
j. in consideration of the grant of the Performance Shares, no claim or entitlement to
compensation or damages shall arise from termination of the Performance Shares or diminution in
value of the Performance Shares or the Shares acquired through the Performance Shares which results
from termination of employment by the Company or its affiliates (for any reason whatsoever and
whether or not in breach of local labor laws) and the Employee irrevocably releases the Company or
its affiliates from any such claim that may arise; if, notwithstanding the foregoing, any such
claim is found by a court of competent jurisdiction to have arisen, then, by accepting the
Performance Shares, the Employee shall be deemed irrevocably to have waived his or her entitlement
to pursue such claim; and
k. notwithstanding any terms or conditions of the Plan to the contrary, in the event of
involuntary termination of the Employee’s employment (whether or not in breach of local labor
laws), the Employee’s right to receive Performance Shares and vest in Performance Shares under the
Plan, if any, will terminate effective as of the date that the Employee is no longer actively
employed; furthermore, in the event of involuntary termination of employment (whether or not in
breach of local labor laws), the Employee’s right to receive Shares pursuant to the Performance
Shares, if any, will be measured by the date of termination of the Employee’s active employment.
By accepting the Performance Shares the Employee hereby explicitly and unambiguously consents
to the collection, use and transfer, in electronic or other form, of the Employee’s personal data
as described in this document by and among, as applicable, the Employee’s employer and the Company
and its subsidiaries and affiliates for the exclusive purpose of implementing, administering and
managing participation in the Plan.
The Employee understands that the Company and the Employee’s employer hold certain personal
information about the Employee, including, but not limited to, his or her name, home address and
telephone number, date of birth, social insurance number or other identification number, salary,
nationality, job title, any Shares of stock or directorships held in the Company, details of all
Options or any other entitlement to Shares of stock Awarded, canceled, exercised, vested, unvested
or outstanding in the Employee’s favor, for the purpose of implementing, administering and managing
the Plan (“Data”). The Employee understands that Data may be transferred to any third parties
assisting in the implementation, administration and management of the Plan, that these recipients
may be located in the Employee’s country or elsewhere, and that the recipient’s country may have
different data privacy laws and protections than the Employee’s country. The Employee understands
that he or she may request a list with the names and addresses of any potential recipients of the
Data by contacting the local human resources
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representative. The Employee authorizes the recipients to receive, possess, use, retain and transfer the Data, in electronic or other form, for
the purposes of implementing, administering and managing
participation in the Plan, including any requisite transfer of such Data as may be required to
a broker or other third party with whom the Employee may elect to deposit any Shares of stock
acquired through the Performance Shares. The Employee understands that Data will be held only as
long as is necessary to implement, administer and manage participation in the Plan. The Employee
understands that he or she may, at any time, view Data, request additional information about the
storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the
consents herein, without cost, by contacting in writing the local human resources representative.
The Employee understands, however, that refusing or withdrawing consent may affect his or her
ability to participate in the Plan. For more information on the consequences of refusal to consent
or withdrawal of consent, the Employee understands that the Employee may contact the local human
resources representative.
By your signature and the signature of the Company’s representative below, you and the Company
agree that this Grant is approved under and governed by the terms and conditions of the Plan and
this Agreement. Employee has reviewed the Plan and this Agreement in their entirety, has had an
opportunity to obtain the advice of counsel prior to executing this Agreement and fully understands
all provisions of the Plan and this Agreement. Employee hereby agrees to accept as binding,
conclusive and final all decisions or interpretations of the Administrator upon any questions
relating to the Plan and Agreement. Employee further agrees to notify the Company upon any change
in the residence address indicated below.
JUNIPER NETWORKS, INC. |
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By: | ||||
Employee: | ||||
Date: |
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ATTACHMENT A
PERFORMANCE SHARE NOTICE OF GRANT
Employee Name:
Date of Grant:
Maximum number of Performance Shares ([ ] % of total Target number):
Total target number:
Annual target amount:
Vesting:
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