VMware 2007 Annual Report Download - page 106

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then his or her legal representative), may, by a writing delivered to the Company on or before the date such option is exercisable, elect either
(a) to cancel any such option and receive in cash the balance in his or her withholding account, or (b) to have the balance in his or her
withholding account applied as of the last day of the option period to the exercise of his or her option pursuant to Section 8, and have the
balance, if any, in such account in excess of the total purchase price of the whole shares so issued returned in cash. In the event his or her legal
representative) does not file a written election as provided above, any outstanding option shall be treated as if an election had been filed pursuant
to subparagraph 12(a) above.
Section 13. Participant’s Rights Not Transferable, etc.
All participants granted options under the Plan shall have the same rights and privileges. Each participant’s rights and privileges under any
option granted under the Plan shall be exercisable during his or her lifetime only by him or her, and shall not be sold, pledged, assigned, or
otherwise transferred in any manner whatsoever except by will or the laws of descent and distribution. In the event any participant violates the
terms of this Section, any options held by him or her may be terminated by the Company and, upon return to the participant of the balance of his
or her withholding account, all his or her rights under the Plan shall terminate.
Section 14. Employment Rights
Neither the adoption of the Plan nor any of the provisions of the Plan shall confer upon any participant any right to continued employment
with the Company or a subsidiary or affect in any way the right of the Company to terminate the employment of such participant at any time.
Section 15. Rights as a Shareholder
A participant shall have the rights of a shareholder only as to stock actually acquired by him or her under the Plan.
Section 16. Change in Capitalization
In the event of a stock dividend, stock split or combination of shares, recapitalization, merger in which the Company is the surviving
corporation or other change in the Company’s capital stock, the number and kind of shares of stock or securities of the Company to be subject to
the Plan and to options then outstanding or to be granted hereunder, the maximum number of shares or securities which may be delivered under
the Plan, the option price and other relevant provisions shall be appropriately adjusted by the Board of Directors, whose determination shall be
binding on all persons. In the event of a consolidation or merger in which the Company is not the surviving corporation or in the event of the sale
or transfer of substantially all the
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