Adaptec 2006 Annual Report Download - page 122

(10%) of the Compensation which he or she receives during the Offering Period. The aggregate of any payroll deductions made during the Offering Period shall
not exceed ten percent (10%) of the participant’s Compensation during said Offering Period, except as otherwise provided by the Board (or its delagee).
Notwithstanding the foregoing, a participant employed by a Subsidiary located outside of the United States may, while on a Company approved leave of absence
only, continue to participate in the Plan by remitting to the Company (or its applicable Subsidiary) contributions via check or other means (as the Company may
specify) in an amount not to exceed the amount such participant would have been eligible to contribute to the Plan if he or she was an active employee during
such Company approved leave of absence (as determined by the Company).
(b) All payroll deductions made for a participant shall be credited to his or her account under the Plan and will be withheld in whole percentages
only. Except as provided below, a participant may not make any additional payments into such account. Each participant in the January Offering Period who
elects to participate in the Offering Period that begins on February 15, 2003 (the “February Offering Period”) and withdraws from the January Offering Period
shall be permitted to transfer his or her accumulated payroll deductions from the January Offering Period to the participant’s account under the February Offering
Period (at such time as determined by the Board or its delagee). In addition, each eligible Employee who elects to participate in the February Offering Period
shall be permitted to make an additional payment to his or her account under the February Offering Period in an amount not to exceed the greatest amount of
payroll deductions accumulated from January 1, 2003 through February 15, 2003 by any single participant in the January Offering Period, less the amount of
payroll deductions that the eligible Employee transfers from the January Offering Period to the February Offering Period (at such time as determined by the
Board or its delagee).
(c) A participant may discontinue his or her participation in the Plan as provided in paragraph 10, or may decrease the rate of his or her payroll
deductions during the current Purchase Period by filing with the Company a new subscription agreement authorizing a decrease in payroll deduction rate. The
decrease in rate shall be effective with the first full payroll period following ten (10) business days after the Company’s receipt of the new subscription
agreement unless the Company elects to process a given change in participation more quickly. A participant may increase the rate of his or her payroll deductions
for an upcoming Purchase Period by filing with the Company a new subscription agreement authorizing an increase in payroll deduction rate within ten
(10) business days of the commencement of the upcoming Purchase Period. A participant’s subscription agreement shall remain in effect for successive Purchase
Periods and Offering Periods unless terminated as provided in paragraph 10. The Board shall be authorized to limit the number of participation rate changes
during any Offering Period.
(d) Notwithstanding the foregoing, to the extent necessary to comply with Section 423(b)(8) of the Code and paragraph 3(b) herein, a participant’s
payroll deductions may be decreased to 0% at such time during any Purchase Period which is scheduled to end during the current calendar year (the “Current
Purchase Period”) that the aggregate of all payroll deductions and other contributions (if any) which were previously used to purchase stock under the Plan in a
prior Purchase Period which ended during that calendar year plus all payroll deductions and other contributions (if any) accumulated with respect to the Current
Purchase Period equal $21,250. Payroll deductions shall recommence at the rate provided in such participant’s subscription agreement at the beginning of the
first Purchase Period which is scheduled to end in the following calendar year, unless terminated by the participant as provided in paragraph 10.
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Source: PMC SIERRA INC, 10-K, March 01, 2007 Powered by Morningstar® Document Research℠