{"id":38898,"date":"2015-09-17T11:25:58","date_gmt":"2015-09-17T16:25:58","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-legal\/contracts\/uncategorized\/employment-agreement-akamai-technologies-inc-and-chris.html"},"modified":"2015-09-17T11:25:58","modified_gmt":"2015-09-17T16:25:58","slug":"employment-agreement-akamai-technologies-inc-and-chris","status":"publish","type":"corporate_contracts","link":"https:\/\/corporate.findlaw.com\/contracts\/compensation\/employment-agreement-akamai-technologies-inc-and-chris.html","title":{"rendered":"Employment Agreement &#8211; Akamai Technologies Inc. and Chris Schoettle"},"content":{"rendered":"<pre>                     [Akamai Technologies, Inc. Letterhead]\n\n\nFebruary 15, 2001\n\nMr. Chris Schoettle\n[address]\n\nDear Chris:\n\nOn behalf of Akamai Technologies, Inc. (the \"Company\"), I am pleased to offer\nyou the position as Chief Operating Officer for Akamai, reporting to me in my\ncapacity as Chairman and Chief Executive Officer.\n\nYour base salary will be $11,538.47 bi-weekly ($300,000 on an annualized basis).\nYou will be eligible to receive a performance-based incentive bonus of $100,000\nannually pro-rated during your first year of employment based on your employment\ndate. The bonus will be earned based on the achievement of operating targets to\nbe established after you join Akamai. The bonus is payable in cash, stock\noptions, restricted stock, stock, or any combination of the foregoing, at the\ndiscretion of the company. Bonuses for the year ending 2001 will be paid in\nearly February 2002. You must be in the employ of the Company at the time the\nbonus is paid to be eligible to receive the bonus. Your salary and incentive\nshall be subject to review periodically based upon my recommendation and the\napproval of the Board of Directors of Akamai.\n\nAs part of this employment offer, the Company will recommend to the Akamai Board\nof Directors that you be granted a stock option under the Company's 1998 Stock\nIncentive Plan (the \"Plan\") for the purchase of an aggregate of 425,000 shares\nof Common Stock of the Company (the \"Initial Grant\"), at an option price equal\nto the fair market value of the Common Stock as determined by the Board on the\ndate the Board of Directors approves your stock option. Your options will be\ngranted by the Board at the first Board of Directors meeting following your date\nof employment as you requested. These options will vest over four years, all on\na schedule beginning on the date your first options are granted. The first 25\npercent of the options will vest on the first anniversary of your first grant\ndate. An additional 6.25% of the original number of shares will vest at the end\nof each successive full three-month period following the first anniversary of\nthe Grant Date until the fourth anniversary of the Grant Date. Subject to Board\napproval, your option will be evidenced by a separate option agreement embodying\nthese terms. You will also be eligible to receive such future stock option\ngrants, as the Board of Directors shall from time to time deem appropriate. In\nthe event of a Change in Control, as defined in the Plan, the number of Shares\nas to which your option has vested shall be calculated as though the Grant Date\nwere the date that is one year prior to the Grant Date.\n\nPage 2\n\n\nYou will be eligible to participate in the Employee Stock Purchase Program\nbeginning in the June 2001 offering period. This plan allows you to contribute\nbetween 1% and 10% of your salary through regular payroll deductions. The Akamai\nplan provides for a two-year offering period, that includes four, six-month\npurchase periods. At the end of each six-month purchase period, the money that\nhas been deducted will be used to purchase shares of Akamai common stock at 85%\nof the closing price of the Common Stock at the beginning of the offer period or\nend of the purchase period, whichever is lower.\n\nYou will be eligible for health insurance, dental insurance, life insurance, and\nshort\/long term disability coverage and other benefits that are and may become\navailable generally to employees of the Company. You will also be eligible to\ncontribute to the Akamai Technologies, Inc. 401(k) Plan immediately upon\nemployment.\n\nYou will be eligible for a maximum of three weeks of vacation per year. The\nnumber of vacation days for which you are eligible in each year shall accrue at\nthe rate of 1.25 days per month that you are employed during such year. Akamai\nalso observes ten holidays each year. This year eight of the holidays are\nscheduled days, while two holidays are floating days.\n\nIn order to assist you with your relocation, the company will provide\nprofessional relocation assistance from Personal Touch Resources and Beverly\nKeyes of Hunneman Realtors in Boston. We will establish a budget maximum of\n$150,000 to cover your relocation, including the tax gross-up that will be\nrequired. Akamai anticipates that this budget should cover the following: two\n(2) home finding trips to Cambridge; packing and shipment of your household\ngoods and up to 60 days storage of those goods if necessary; shipment of up to 2\nautomobiles; and airfare for you and your family. Alternatively you may choose\nto drive your cars to Cambridge. If you do, we will reimburse the mileage\nexpenses. You will be eligible to submit most of the closing costs associated\nwith the sale of your home in Chatham as well as the closing costs associated\nwith the purchase of a new home. These expenses can include items such as\nattorney's fees on the purchase and sale, the realtor's fee for the sale of your\nhome in New Jersey, and certain other expenses required in the sale and\npurchase. Finally, Akamai will provide up to 60 days temporary living for you\nand your family after the move and travel and temporary living expenses for the\nnext several months until your family relocates to Massachusetts, which is\nanticipated to be a date not later than August 1, 2001. Please note: all these\nexpenses are taxable (as income) with the exception of the shipment of your\nhousehold goods, automobile and your final transportation from Chatham to\nCambridge. Akamai estimates that the actual relocation expenses will amount to\nabout $100,000 with the remaining $50,000 necessary to cover the federal and\nstate taxes associated with the move - i.e., the tax gross-up.\n\nPage 3\n\n\nWhen you are ready to relocate, we will put you in touch with Natale Warner at\nPersonal Touch Resources, our external relocation company. All aspects of your\nactual move will be coordinated through Personal Touch Resources. Natale can be\nreached at (800) 697-4605. Please review the enclosed documents for a detailed\noutline of the services provided by Personal Touch Resources.\n\nIn the event that you leave the employ of the Company voluntarily during the\nfirst two years of employment, you will be required to repay a pro-rated amount\nof the relocation package and relocation expenses, including the taxes paid by\nthe company on your behalf. The repayment amount will be calculated by dividing\nthe total amount of your relocation expenses by 24 months and multiplying that\nnumber by the number of months left until the two-year anniversary of your\nemployment start date. After the second year, you would have no obligation to\nrepay the moving expenses if you leave Akamai voluntarily.\n\nPrior to the commencement of your employment, you will be required to execute a\nNon-Competition, Non-Solicitation, Proprietary and Confidential Information and\nDevelopments Agreement.\n\nYou represent that you are not bound by any employment contract, restrictive\ncovenant or other restriction preventing you from entering into this agreement\nor carrying out your responsibilities for the Company as contemplated hereby, or\nwhich is in any way inconsistent with any of the terms hereof. This letter is\nnot to be construed as an agreement, either expressed or implied, to employ you\nfor any stated term. Akamai Technologies is an at will employer.\n\nIn the event that Akamai terminates your employment for reasons other than cause\nduring the first three years of your employment, you would be eligible for\nseverance on the following terms, provided you sign a separation agreement\nacceptable to Akamai that includes, among other things, a full release, a\none-year non-competition clause, a future cooperation clause, and a\nnon-disparagement clause:\n\n      If the company terminates your employment during the first three years of\n      your employment for reasons other than for cause, Akamai will pay you an\n      amount equal to one year of your then-base salary. The company will make\n      an additional one-time lump sum, taxable payment to you equal to one\n      year's worth of the company's current contribution to the medical and\n      dental plan. You may use that money to cover the costs of medical and\n      dental coverage under COBRA. In addition, Akamai will vest your options as\n      follows:\n\nPage 4\n\n\n            If your employment is terminated by the company in year one, Akamai\n            will vest the first year of the Initial Grant (i.e., any options\n            from the Initial Grant that would have vested in the first twelve\n            months), so that you will leave the company with 25% of your Initial\n            Grant vested.\n\n            If your employment is terminated by the company in year two, Akamai\n            will vest the second year of the Initial Grant (i.e., any options\n            from the Initial Grant that would have vested in the second twelve\n            months that were not already vested as of the termination date), so\n            you that will leave the company with 50% of your Initial Grant\n            vested.\n\n            If your employment is terminated by the company in year three,\n            Akamai will vest the third year of the Initial Grant (i.e., any\n            options that would have vested in the third year of your employment\n            that were not already vested as of the termination date), so that\n            you will leave the company with 75% of your Initial Grant vested.\n\n      If the company terminates your employment for any reason after the\n      completion of your third year of employment, you will be treated under the\n      Akamai policy then in effect for other senior executives who leave the\n      company involuntarily.\n\nIn the event that there is a Change in Control, as that term is defined in the\nPlan, and within the first ninety (90) days the surviving entity fails to offer\nto employ you in a position with responsibilities that are commensurate (but not\nnecessarily identical) with your responsibilities at Akamai, and as a result\nyour employment terminates voluntarily or involuntarily, you will receive an\namount equal to one year of your then-base salary. Whether you have been offered\na position with commensurate responsibilities is to be determined without regard\nto the title or reporting relationship of the new position.\n\nThis employment offer from Akamai Technologies is contingent upon your\nsubmitting an I-9 Employment Eligibility Verification Form acceptable to Akamai\nTechnologies, Inc. on your date of employment. YOU MUST BE PREPARED TO OFFER\nPROOF OF YOUR EMPLOYABILITY IN THE UNITED STATES IN ACCORDANCE WITH THE\nREQUIREMENTS LISTED ON THE I-9 FORM ON YOUR FIRST DAY OF EMPLOYMENT. YOU WILL\nNOT BE PLACED ON THE AKAMAI PAYROLL AS AN ACTIVE EMPLOYEE UNTIL YOU HAVE\nPROVIDED THIS DOCUMENTATION.\n\nPlease accept Akamai's offer of employment by signing the enclosed copy of this\nletter and the agreements attached and returning all documents to STEVE\nHEINRICH, AKAMAI TECHNOLOGIES, 500 TECHNOLOGY, 5TH FLOOR, CAMBRIDGE, MA, 02139.\nWe would appreciate your decision by the close of business on Friday, February\n23, 2001.\n\nPage 5\n\n\nOn behalf of the entire management team, I would like to encourage you to join\nAkamai as our Chief Operating Officer. We believe you can make a tremendous\ncontribution to the company at this critical juncture in Akamai's history. Your\nexperience at Lucent Technologies and AT&amp;T coupled with your strong technical\neducation will be a tremendous asset to you in this new and challenging\nresponsibility. We look forward to your joining Akamai on either Monday, March\n12, 2001 or Monday, March 19, 2001.\n\nSincerely,\n\nAKAMAI TECHNOLOGIES, INC.\n\n\/s\/ George H. Conrades\n\nGeorge H. Conrades\nChairman and Chief Executive Officer\n\nI hereby accept employment with Akamai Technologies, Inc.\n\n\/s\/ Chris Schoettle                   2\/15\/01\n-------------------------           -----------\nChris Schoettle                     Date\n\n<\/pre>\n","protected":false},"template":"","meta":{"_acf_changed":false,"_stopmodifiedupdate":true,"_modified_date":"","_cloudinary_featured_overwrite":false},"corporate_contracts_companies":[6606],"corporate_contracts_industries":[],"corporate_contracts_types":[9539,9544],"class_list":["post-38898","corporate_contracts","type-corporate_contracts","status-publish","hentry","corporate_contracts_companies-akamai-technologies-inc","corporate_contracts_types-compensation","corporate_contracts_types-compensation__employment"],"acf":[],"_links":{"self":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts\/38898","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts"}],"about":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/types\/corporate_contracts"}],"wp:attachment":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/media?parent=38898"}],"wp:term":[{"taxonomy":"corporate_contracts_companies","embeddable":true,"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts_companies?post=38898"},{"taxonomy":"corporate_contracts_industries","embeddable":true,"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts_industries?post=38898"},{"taxonomy":"corporate_contracts_types","embeddable":true,"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts_types?post=38898"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}