Cygnus, Inc. Retention Bonus and Stock Option Grant Letter to Employee (December 18, 2003)
Cygnus, Inc. offers an employee a retention bonus, payable if the company is acquired and the employee remains actively employed without resigning before the sale. The employee is also granted stock options, vesting monthly over two years, with the grant date set as December 18, 2003. The agreement does not alter the at-will employment status or guarantee further compensation. The terms are confidential, except for disclosure to a spouse, accountant, or Cygnus officers.
EXHIBIT 10.508
December 18, 2003
XXX
XXX
XXX
Dear XXX:
I am pleased to inform you that Cygnus will pay you a retention bonus of $ upon any acquisition of Cygnus, Inc., if such acquisition occurs, provided that you remain an active employee and have not given notice of resignation prior to the date of the sale.
In addition, you have been granted a stock option for shares, priced at $ each, based on a grant date of December 18, 2003. These options will vest over a two-year period, vesting 1/24 of the original grant per month.
While Cygnus looks forward to a mutually rewarding relationship, nothing in this letter changes the at-will nature of your employment relationship or provides a guarantee of any additional compensation.
As a reminder, the terms and conditions of this letter are confidential and should not be shared with anyone, with the exception of your spouse/significant other, accountant, and the officers of Cygnus, Inc.
XXX, you are a critical member of the Cygnus team and we value your contribution as we move forward.
Regards,
/s/ John C Hodgman
John C Hodgman
CEO, President, and Chairman
