Ex-10.18: Letter Agreement dated December 1, 2002

EX-10.18 5 g91223exv10w18.txt EX-10.18: LETTER AGREEMENT DATED DECEMBER 1, 2002 EXHIBIT 10.18 LIQUIDMETAL TECHNOLOGIES, INC. 25800 COMMERCENTRE DR., SUITE 100 LAKE FOREST, CALIFORNIA 92630 February 26, 2004 Mr. Brian McDougall 10203 Talbot Place Tampa, FL 33626 Re: Amendment of Stock Option Agreements Dear Mr. McDougall: This letter agreement sets forth the terms upon which Liquidmetal Technologies, Inc. (the "Company") has agreed to amend certain stock option agreements between you and the Company. Effective as of the date of this letter and notwithstanding the termination of your employment with the Company, the Company has agreed that those options previously granted to you under the Company's 1996 Stock Option Plan and 2002 Equity Incentive Plan (the "Plans") that would have been exercisable at any time from the date hereof until two years from the date hereof (February 26, 2006) will continue to be exercisable by you or your estate as if you had by employed by the Company on an uninterrupted basis at all times during such two-year period. Specifically, the following stock options shall be subject to the two-year extension described in the preceding sentence:
NUMBER OF NUMBER OF STOCK OPTIONS DATE OF STOCK STOCK OPTIONS INCLUDED IN OPTION INCLUDED IN TWO-YEAR PLAN AGREEMENT EXERCISE PRICE ORIGINAL GRANT EXTENSION - ---- ------------- -------------- -------------- -------------- 1996 Stock Option May 21, 2001 $ 4.65 161,291 129,032 Plan 2002 Equity November 17, Incentive Plan 2003 $ 2.49 300,000 200,000 2002 Equity November 17, Incentive Plan 2003 $ 2.49 200,000 80,000
Notwithstanding the foregoing, the options for which you will have an extended exercise period, as set forth above, shall in all other respects continue to be subject to the terms and conditions of the Plans and the applicable stock option agreements (including conditions and restrictions on exercise and vesting). -1- If you are in agreement with the terms, conditions, and restrictions of this letter agreement, please sign below to indicate your assent. Upon your signature, this letter agreement shall be deemed to be an amended to the above-referenced stock option agreements. Sincerely, /s/ David Binnie ------------------------------------------- David Binnie, Senior Vice President of Administration Acknowledged and Agreed as of the 26th day of February, 2004. Signature: /s/ Brian McDougall ---------------------------- R. Brian McDougall, individually -2-