<PAGE> 1
As filed with the Securities and Exchange Commission on October 16, 1996
Registration No. 33-______________
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM S-8
REGISTRATION STATEMENT
Under
THE SECURITIES ACT OF 1933
ADAPTEC, INC.
(Exact name of issuer as specified in its charter)
California 94-2748530
(State of Incorporation) (I.R.S. Employer Identification No.)
691 South Milpitas Boulevard
Milpitas, California 95035
(Address of principal executive offices)
1990 DIRECTORS' OPTION PLAN
(Full title of the Plan)
F. GRANT SAVIERS
President and Chief Executive Officer
r ADAPTEC, INC.
691 South Milpitas Boulevard
Milpitas, California 95035
(408) 945-8600
(Name, address and telephone number of agent for service)
Copies to:
HENRY P. MASSEY, JR., ESQ.
Wilson, Sonsini, Goodrich & Rosati
Professional Corporation
650 Page Mill Road
Palo Alto, California 94304-1050
(415) 493-9300
<PAGE> 2
CALCULATION OF REGISTRATION FEE
<TABLE>
<CAPTION>
Proposed Proposed
Title of Maximum Maximum
Securities Amount Offering Aggregate Amount of
to be to be Price Offering Registration
Registered Registered Per Share Price Fee
- ---------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Common Stock
$.001 par value, to be issued
under 1990 Stock Plan 400,000(1) $ 61.750(2) $24,700,000 $7,485
===================================================================================================
</TABLE>
(1) For the sole purpose of calculating the registration fee, the number of
shares to be registered under this Registration Statement is the number
of additional shares authorized to be issued under the 1990 Stock Plan.
(2) Estimated in accordance with Rule 457(h) under the Securities Act of
1933, as amended (the "Securities Act") solely for the purpose of
calculating the total registration fee. Computation based upon the
average of the high and low prices of the Common Stock as reported on the
Nasdaq National Market on October 9, 1996 because the price at which the
options to be granted in the future may be exercised is not currently
determinable.
<PAGE> 3
PART II: INFORMATION REQUIRED IN THE REGISTRATION STATEMENT
ITEM 3. Information Incorporated by Reference
The following documents and information heretofore filed with the
Securities and Exchange Commission are hereby incorporated by reference:
(A) The Registrant's Annual Report on Form 10-K, file no. 0-15071
filed on June 21, 1996, which contains audited financial
statements for the Registrant's fiscal year ended March 31,
1996.
(B) The Registrant's Quarterly Report on Form 10-Q, file no.
0-15071, filed on August 8, 1996, which contains the
Registrant's unaudited financial statements as of June 28,
1996.
(C) Items 1 and 2 of the Registrant's Registration Statement
Amendment on Form 8-A filed on July 20, 1992 pursuant to
Section 12 of the Securities Exchange Act of 1934, as amended
(the "Exchange Act").
All documents subsequently filed by the Registrant pursuant to Sections
13(a), 13(c), 14 and 15(d) of the Exchange Act, prior to the filing of a
post-effective amendment which indicates that all securities offered have been
sold or which deregisters all securities then remaining unsold, shall be deemed
to be incorporated by reference in this Registration Statement and to be part
hereof from the date of filing such documents.
ITEM 4. Description of Securities
Not Applicable.
ITEM 5. Interests of Named Experts and Counsel
Not Applicable.
ITEM 6. Indemnification of Directors and Officers
Section 317 of the California General Corporation law makes provisions
for the indemnification of officers, directors, and other corporate agents in
terms sufficiently broad to indemnify such persons, under certain circum
stances, for liabilities (including reimbursement of expenses incurred) arising
under the Securities Act. The Registrant has entered into indemnification
agreements to such effect with its officers and directors.
Article IV of Registrant's Articles of Incorporation and Article VI of
the Bylaws of Registrant provide that the Registrant shall indemnify certain
agents of the Registrant to the maximum extent permitted by the California
Corporations Code. Persons covered by this indemnification provision include
current and former directors, officers, employees and other agents of the
Registrant as well as persons who serve at the request of the Registrant as
directors, officers, employees or agents of another enterprise.
II-1
<PAGE> 4
The Registrant shall have the power, to the extent and in the manner
permitted by Section 317 of the California Corporations Code, to indemnify each
of its employees and agents (other than directors and officers) against
expenses, judgments, fines, settlements, and other amounts actually and
reasonably incurred in connection with any proceeding arising by reason of the
fact that such person is or was an agent of the Company. For this purpose, an
"employee" or "agent" of the Registrant includes any person (i) who is or was an
employee or agent of Registrant, (ii) who is or was serving at the request of
Registrant as an employee or agent of another corporation, partnership, joint
venture, trust or other enterprise, or (iii) who was an employee or agent of a
corporation which was a predecessor corporation of Registrant or of another
enterprise at the request of such predecessor corporation.
The Registrant has entered into separate indemnification agreements
with its directors and officers, which may require the Registrant, among other
things, to indemnify them against certain liabilities that may arise by reason
of their status or service as directors or officers (other than liabilities
arising from willful misconduct of a culpable nature), and to advance their
expenses incurred as a result of any proceeding against them as to which they
could be indemnified.
ITEM 7. Exemption From Registration Claimed
Not Applicable.
ITEM 8. Exhibits
4.1 First Amended and Restated Common Shares Rights Agreement
between Registrant and Chemical Trust Company as Rights
Agents, dated June 30, 1992. (Incorporated by reference to
Exhibit 1.1 to Amendment No. 3 on Form 8 (filed July 20,
1992) to the Registrant's Registration Statement (No.
0-15071) on Form 8-A filed on May 11, 1992.)
4.2 1990 Directors' Option Plan, as amended and forms of
option agreements.
5.1 Opinion of Wilson, Sonsini, Goodrich & Rosati, P.C., as to
legality of securities being registered.
23.1 Consent of Independent Accountants (see Page II-6).
23.2 Consent of Counsel (contained in Exhibit 5.1).
24.1 Power of Attorney (see Page II-4).
ITEM 9. UNDERTAKINGS
(A) The undersigned Registrant hereby undertakes:
(1) To file, during any period in which offers or sales are
being made, a post-effective amendment to this Registration Statement to include
any material information with respect to the plan of distribution not previously
disclosed in this Registration Statement or any material change to such
information in this Registration Statement.
II-2
<PAGE> 5
(2) That, for the purpose of determining any liability under
the Securities Act, each such post-effective amendment shall be deemed to be a
new registration statement relating to the securities offered therein, and the
offering of such securities at that time shall be deemed to be the initial bona
fide offering thereof.
(3) To remove from registration by means of a post-effective
amendment any of the securities being registered which remain unsold at the
termination of the offering.
(B) The undersigned Registrant hereby undertakes that, for purposes of
determining any liability under the Securities Act, each filing of the
Registrant's annual report pursuant to Section 13(a) or Section 15(d) of the
Exchange Act (and, where applicable, each filing of an employee benefit plan's
annual report pursuant to Section 15(d) of the Exchange Act) that is
incorporated by reference in the registration statement shall be deemed to be a
new registration statement relating to the securities offered therein, and the
offering of such securities at that time shall be deemed to be the initial bona
fide offering thereof.
(C) Insofar as indemnification for liabilities arising under the
Securities Act may be permitted to directors, officers and controlling persons
of the Registrant pursuant to the California General Corporations Code, the
Restated Articles of Incorporation of the Registrant, the Bylaws of the
Registrant, Indemnification Agreements entered into between the Registrant and
its officers and directors, or otherwise, the Registrant has been advised that
in the opinion of the Commission such indemnification is against public policy
as expressed in the Securities Act and is, therefore, unenforceable. In the
event that a claim for indemnification against such liabilities (other than the
payment by the Registrant of expenses incurred or paid by a director, officer or
controlling person of the Registrant in the successful defense of any action,
suit or proceeding) is asserted by such director, officer or controlling person
in connection with the securities being registered, the Registrant will, unless
in the opinion of its counsel the matter has been settled by controlling
precedent, submit to a court of appropriate jurisdiction the question whether
such indemnification by it is against public policy as expressed in the
Securities Act and will be governed by the final adjudication of such issue.
II-3
<PAGE> 6
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, the
Registrant, Adaptec, Inc, a corporation organized and existing under the laws of
the State of California, certifies that it has reasonable grounds to believe
that it meets all of the requirements for filing on Form S-8 and has duly caused
this Registration Statement to be signed on its behalf by the undersigned,
thereunto duly authorized, in the City of Milpitas, State of California, on this
15th day of October, 1996.
ADAPTEC, INC.
By: /s/ F. Grant Saviers
-------------------------------
F. Grant Saviers
Chief Executive Officer, President
and Director
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature
appears below constitutes and appoints F. Grant Saviers and Paul G. Hansen,
jointly and severally, his attorneys-in-fact, each with the power of
substitution, for him in any and all capacities, to sign any amendments to this
Registration Statement on Form S-8, and to file the same, with exhibits thereto
and other documents in connection therewith, with the Securities and Exchange
Commission, hereby ratifying and confirming all that each of said
attorneys-in-fact, or his substitute or substitutes, may do or cause to be done
by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, this
Registration Statement has been signed by the following persons in the
capacities and on the dates indicated.
<TABLE>
<CAPTION>
SIGNATURE TITLE DATE
--------- ----- ----
<S> <C> <C>
/s/ F. Grant Saviers
- ----------------------------------------- Chief Executive Officer, President and October 15, 1996
(F. Grant Saviers) Director (Principal Executive Officer)
/s/ Paul G. Hansen
- ----------------------------------------- Vice President of Finance, Chief October 15, 1996
(Paul G. Hansen) Financial Officer (Principal Financial
Officer) and Assistant Secretary
</TABLE>
II-4
<PAGE> 7
<TABLE>
<S> <C> <C>
/s/ Andrew J. Brown
- ----------------------------------------- Corporate Controller (Principal October 15, 1996
(Andrew J. Brown) Accounting Officer)
/s/ John G. Adler
- ----------------------------------------- Chairman of the Board and Director October 15, 1996
(John G. Adler)
/s/ Laurence B. Boucher
- ----------------------------------------- Director October 15, 1996
(Laurence B. Boucher)
/s/ Carl J. Conti
- ----------------------------------------- Director October 15, 1996
(Carl J. Conti)
/s/ John East
- ----------------------------------------- Director October 15, 1996
(John East)
/s/ Robert J. Loarie
- ----------------------------------------- Director October 15, 1996
(Robert J. Loarie)
/s/ B.J. Moore
- ----------------------------------------- Director October 15, 1996
(B.J. Moore)
/s/ W. Ferrell Sanders
- ----------------------------------------- Director October 15, 1996
(W. Ferrell Sanders)
/s/ Phillip E. White
- ----------------------------------------- Director October 15, 1996
(Phillip E. White)
</TABLE>
II-5
<PAGE> 8
CONSENT OF INDEPENDENT ACCOUNTANTS
We hereby consent to the incorporation by reference in this
Registration Statement on Form S-8 of our report dated April 22, 1996, which
appears on page 51 of the 1996 Annual Report to Shareholders of Adaptec, Inc.,
which is incorporated by reference in Adaptec, Inc.'s Annual Report on Form 10-K
for the year ended March 31, 1996.
/s/ PRICE WATERHOUSE LLP
San Jose, California
October 14, 1996
II-6
<PAGE> 9
CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS
As independent public accountants, we hereby consent to the incorporation by
reference in this Registration Statement of our report dated April 25, 1994
included in Adaptec, Inc.'s Form 10-K for the year ended March 31, 1995.
/s/ ARTHUR ANDERSEN LLP
San Jose, California
October 15, 1996
II-7
<PAGE> 10
INDEX TO EXHIBITS
<TABLE>
<CAPTION>
Exhibit Page
Number No.
------ ---
<S> <C>
4.1(1) First Amended and Restated Common Shares Rights Agreement between
Registrant and Chemical Trust Company as Rights Agents, dated June 30,
1992.
4.2 1990 Directors' Option Plan, as amended and forms of option agreements.
5.1 Opinion of counsel as to legality of securities being registered.
23.1 Consent of Independent Accountants (see page II-6).
23.2 Consent of Counsel (contained in Exhibit 5.1).
24.1 Power of Attorney (see page II-4).
</TABLE>
(1) Incorporated by reference to Exhibit 1.1 to Amendment No. 3 on Form 8
(filed July 20, 1992) to the Registrant's Registration Statement (No.
0-15071) on Form 8-A filed on May 11, 1992.
<PAGE> 1
ADAPTEC, INC.
1990 DIRECTORS' OPTION PLAN
(as amended May 9, 1996)
1. Purposes of the Plan. The purposes of this Directors' Option Plan
are to attract and retain the best available personnel for service as Directors
of the Company, to provide additional incentive to the Outside Directors of the
Company to serve as Directors, and to encourage their continued service on the
Board.
All options granted hereunder shall be "non-statutory stock
options".
2. Definitions. As used herein, the following definitions shall apply:
(a) "Board" means the Board of Directors of the Company.
(b) "Code" means the Internal Revenue Code of 1986, as amended.
(c) "Common Stock" means the Common Stock of the Company.
(d) "Company" means Adaptec, Inc., a California corporation.
(e) "Continuous Status as a Director" means the absence of any
interruption or termination of service as a Director.
(f) "Director" means a member of the Board.
(g) "Employee" means any person, including officers and Directors,
employed by the Company or any Parent or Subsidiary of the Company. The payment
of a Director's fee by the Company shall not be sufficient in and of itself to
constitute "employment" by the Company.
(h) "Exchange Act" means the Securities Exchange Act of 1934, as
amended.
(i) "Fair Market Value" means, as of any date, the value of Common
Stock determined as follows:
(i) If the Common Stock is listed on any established stock
exchange or a national market system, including without limitation the National
Market System of the National Association of Securities Dealers, Inc. Automated
Quotation ("NASDAQ") System, the Fair Market Value of a Share of Common Stock
shall be the closing sales price for such stock (or the closing bid, if no sales
were reported, as quoted on such system or exchange (or the exchange with the
greatest volume of trading in Common Stock) on the last market trading day prior
to the day of determination) as reported in the Wall Street Journal or such
other source as the Board deems reliable;
<PAGE> 2
(ii) If the Common Stock is quoted on the NASDAQ System (but
not on the National Market System thereof) or regularly quoted by a recognized
securities dealer but selling prices are not reported, the Fair Market Value of
a Share of Common Stock shall be the mean between the high and low asked prices
for the Common Stock on the last market trading day prior to the date of
determination, as reported in the Wall Street Journal or such other source as
the Board deems reliable, or;
(iii) In the absence of an established market for the Common
Stock, the Fair Market Value thereof shall be determined in good faith by the
Board.
(j) Option" means a stock option granted pursuant to the Plan.
(k) "Optioned Stock" means the Common Stock subject to an
Option.
(l) "Optionee" means an Outside Director who receives an Option.
(m) "Outside Director" means a Director who is not an Employee.
(n) "Parent" means a "parent corporation", whether now or
hereafter existing, as defined in Section 425(e) of the Internal Revenue Code of
1986.
(o) "Plan" means this 1990 Directors' Option Plan.
(p) "Share" means a share of the Common Stock, as adjusted in
accordance with Section 10 of the Plan.
(q) "Subsidiary" means a "subsidiary corporation", whether now
or hereafter existing, as defined in Section 424(f) of the Internal Revenue Code
of 1986.
3. Stock Subject to the Plan. Subject to the provisions of Section 10
of the Plan, the maximum aggregate number of Shares which may be optioned and
sold under the Plan is 1,100,000 Shares (the "Pool") of Common Stock. The Shares
may be authorized, but unissued, or reacquired Common Stock.
If an Option should expire or become unexercisable for any
reason without having been exercised in full, the unpurchased Shares which were
subject thereto shall, unless the Plan shall have been terminated, become
available for future grant under the Plan.
4. Administration of and Grants of Options under the Plan.
(a) Administrator. Except as otherwise required herein, the
Plan shall be administered by the Board. No discretion concerning decisions
regarding the Plan shall be afforded to any person who is not a "disinterested
person" (as defined in Rule 16b-3 under the Exchange Act).
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<PAGE> 3
(b) Procedure for Grants. All grants of Options hereunder
shall be automatic and non-discretionary and shall be made strictly in
accordance with the following provisions:
(i) No person shall have any discretion to select
which Outside Directors shall be granted Options or to determine the number of
Shares to be covered by Options granted to Outside Directors.
(ii) Each Outside Director shall be automatically
granted an Option to purchase 40,000 Shares upon the date (on or after the
effective date of this Plan) on which such person first becomes a Director,
whether through election by the shareholders of the Company or appointment by
the Board to fill a vacancy; provided, however, that no Option shall be issued
under the Plan or become exercisable until shareholder approval of the Plan has
been obtained in accordance with Section 16 hereof.
(iii) On March 31, 1991 and on each March 31
thereafter during the term of this Plan, each Outside Director shall
automatically receive an Option to purchase 10,000 Shares.
(iv) The terms of each Option granted hereunder shall
be as follows:
(A) the term of the Option shall be ten (10)
years.
(B) the Option shall be exercisable only
while the Outside Director remains a Director of the Company, except as set
forth in Section 8 hereof.
(C) the exercise price per Share shall be
100% of the Fair Market Value per Share on the date of grant of the Option.
(D) the Option shall become exercisable in
installments cumulatively as to twenty-five percent (25%) of the Optioned Stock
on the first anniversary of the date of grant of the Option and as to six and
one-quarter percent (6.25%) of the remaining Optioned Stock for each full
calendar quarter thereafter that the Optionee remains a Director.
(E) if granted pursuant to Section 4(b)(iii)
above, the Option shall become exercisable in installments cumulatively as to
twenty-five percent (25%) of the Optioned Stock on the last day of each full
calendar quarter after the date of grant, provided that the Optionee remains a
Director as of such date.
(v) In the event that any Option granted under the
Plan would cause the number of Shares subject to outstanding Options plus the
number of Shares previously purchased upon exercise of Options to exceed the
Pool, then each such automatic grant shall be for that number of Shares
determined by dividing the total number of Shares remaining available for grant
by the number of Outside Directors on the automatic grant date. No further
grants shall be made until such time, if any, as additional Shares become
available for grant under the Plan through action of the
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<PAGE> 4
shareholders to increase the number of Shares which may be issued under the Plan
or through can cellation or expiration of Options previously granted hereunder.
(c) Powers of the Board. Subject to the provisions and
restrictions of the Plan, the Board shall have the authority, in its discretion:
(i) to determine, upon review of relevant information and in accordance with
Section 2(i) of the Plan, the Fair Market Value of the Common Stock; (ii) to
interpret the Plan; (iii) to prescribe, amend and rescind rules and regulations
relating to the Plan; (iv) to authorize any person to execute on behalf of the
Company any instrument required to effectuate the grant of an Option previously
granted hereunder; and (v) to make all other determinations deemed necessary or
advisable for the administration of the Plan.
(d) Effect of Board's Decision. All decisions, determinations
and interpretations of the Board shall be final.
(e) Suspension or Termination of Option. If the President of
the Company or his designee reasonably believes that an Optionee has committed
an act of misconduct, the President may suspend the Optionee's right to exercise
any Option pending a determination by the Board (excluding the Outside Director
accused of such misconduct). If the Board (excluding the Outside Director
accused of such misconduct) determines an Optionee has committed an act of
embezzlement, fraud, dishonesty, nonpayment of an obligation owed to the
Company, breach of fiduciary duty or deliberate disregard of the Company rules
resulting in loss, damage or injury to the Company, or if an Optionee makes an
unauthorized disclosure of any Company trade secret or confidential information,
engages in any conduct constituting unfair competition, induces any Company
customer to breach a contract with the Company or induces any principal for whom
the Company acts as agent to terminate such agency relationship, neither the
Optionee nor his estate shall be entitled to exercise any Option whatsoever. In
making such determination, the Board (excluding the Outside Director accused of
such misconduct) shall act fairly and shall give the Optionee an opportunity to
appear and present evidence on Optionee's behalf at a hearing before the Board
or a committee of the Board.
5. Eligibility. Options may be granted only to Outside Directors. All
Options shall be automatically granted in accordance with the terms set forth in
Section 4(b) hereof. An Outside Director who has been granted an Option may, if
he is otherwise eligible, be granted an additional Option or Options in
accordance with such provisions.
The Plan shall not confer upon any Optionee any right with respect
to continuation of service as a Director or nomination to serve as a Director,
nor shall it interfere in any way with any rights which the Director or the
Company may have to terminate his directorship at any time.
6. Term of Plan. The Plan shall become effective upon the earlier to
occur of its adoption by the Board or its approval by the shareholders of the
Company as described in Section 16 of the Plan. It shall continue in effect for
a term of ten (10) years unless sooner terminated under Section 12 of the Plan.
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<PAGE> 5
7. Exercise Price and Consideration.
(a) Exercise Price. The per Share exercise price for Optioned
Stock shall be 100% of the Fair Market Value per Share on the date of grant of
the Option.
(b) Form of Consideration. The consideration to be paid for
the Shares to be issued upon exercise of an Option, including the method of
payment, shall be determined by the Board and may consist entirely of (i) cash,
(ii) check, (iii) promissory note, (iv) other shares which (x) in the case of
Shares acquired upon exercise of an Option either have been owned by the
Optionee for more than six (6) months on the date of surrender or were not
acquired, directly or indirectly, from the Company, and (y) have a Fair Market
Value on the date of surrender equal to the aggregate exercise price of the
Shares as to which said Option shall be exercised, (v) delivery of a properly
executed exercise notice together with irrevocable instructions to a broker to
promptly deliver to the Company the amount of sale or loan proceeds required to
pay the exercise price, (vi) by delivering an irrevocable subscription agreement
for the Shares which irrevocably obligates the Optionee to take and pay for the
Shares not more than twelve (12) months after the date of delivery of the
subscription agreement, (vii) any combination of the foregoing methods of
payment, or (viii) such other consideration and method of payment for the
issuance of Shares to the extent permitted under applicable law.
8. Exercise of Option.
(a) Procedure for Exercise; Rights as a Shareholder. Any
Option granted hereunder shall be exercisable at such times as are set forth in
Section 4(b) hereof; provided, however, that no Options shall be exercisable
until shareholder approval of the Plan in accordance with Section 16 hereof has
been obtained.
An Option may not be exercised for a fraction of a Share.
An Option shall be deemed to be exercised when written notice
of such exercise has been given to the Company in accordance with the terms of
the Option by the person entitled to exercise the Option and full payment for
the Shares with respect to which the Option is exercised has been received by
the Company. Full payment may consist of any consideration and method of payment
allowable under Section 7(b) of the Plan. Until the issuance (as evidenced by
the appropriate entry on the books of the Company or of a duly authorized
transfer agent of the Company) of the stock certificate evidencing such Shares,
no right to vote or receive dividends or any other rights as a shareholder shall
exist with respect to the Optioned Stock, notwithstanding the exercise of the
Option. A share certificate for the number of Shares so acquired shall be issued
to the Optionee as soon as practicable after exercise of the Option. No
adjustment will be made for a dividend or other right for which the record date
is prior to the date the stock certificate is issued, except as provided in
Section 10 of the Plan.
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<PAGE> 6
Exercise of an Option in any manner shall result in a decrease
in the number of Shares which thereafter may be available, both for purposes of
the Plan and for sale under the Option, by the number of Shares as to which the
Option is exercised.
(b) Rule 16b-3. Options granted to Outside Directors must
comply with the applicable provisions of Rule 16b-3 promulgated under the
Exchange Act or any successor thereto and shall contain such additional
conditions or restrictions as may be required thereunder to qualify for the
maximum exemption from Section 16 of the Exchange Act with respect to Plan
transactions.
(c) Termination of Status as a Director. If an Outside
Director ceases to serve as a Director, he may, but only within three (3) months
after the date he ceases to be a Director of the Company, exercise his Option to
the extent that he was entitled to exercise it at the date of such termination.
Notwithstanding the foregoing, in no event may the Option be exercised after its
term has expired. To the extent that he was not entitled to exercise an Option
at the date of such termination, or if he does not exercise such Option (which
he was entitled to exercise) within the time specified herein, the Option shall
terminate.
(d) Disability of Optionee. Notwithstanding the provisions of
Section 8(c) above, in the event an Optionee is unable to continue his service
as a Director as a result of his total and permanent disability (as defined in
Section 22(e)(3) of the Code), he may, but only within six (6) months from the
date of termination, exercise his Option to the extent he was entitled to
exercise it at the date of such termination. Notwithstanding the foregoing, in
no event may the Option be exercised after its term has expired. To the extent
that he was not entitled to exercise the Option at the date of termination, or
if he does not exercise such Option (which he was entitled to exercise) within
the time specified herein, the Option shall terminate.
(e) Death of Optionee. In the event of the death of an
Optionee, the Option may be exercised, at any time within six (6) months
following the date of death, by the Optionee's estate or by a person who
acquired the right to exercise the Option by bequest or inheritance, but only to
the extent of the right to exercise that had accrued at the date of death.
Notwithstanding the foregoing, in no event may the option be exercised after its
term has expired.
9. Non-Transferability of Options. The Option may not be sold, pledged,
assigned, hypothecated, transferred, or disposed of in any manner other than by
will or by the laws of descent or distribution and may be exercised, during the
lifetime of the Optionee, only by the Optionee.
10. Adjustments Upon Changes in Capitalization or Merger.
(a) Subject to any required action by the shareholders of the
Company, the number of Shares covered by each outstanding Option, and the number
of Shares which have been authorized for issuance under the Plan but as to which
no Options have yet been granted or which have been returned to the Plan upon
cancellation or expiration of an Option, as well as the price per Share covered
by each such outstanding Option, shall be proportionately adjusted for any
increase or
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<PAGE> 7
decrease in the number of issued Shares resulting from a stock split, reverse
stock split, stock dividend, combination or reclassification of the Common
Stock, or any other increase or decrease in the aggregate number of issued
Shares effected without receipt of consideration by the Company; provided,
however, that conversion of any convertible securities of the Company shall not
be deemed to have been "effected without receipt of consideration." Such
adjustment shall be made by the Board, whose determination in that respect shall
be final, binding and conclusive. Except as expressly provided herein, no
issuance by the Company of Shares of stock of any class, or securities
convertible into Shares of stock of any class, shall affect, and no adjustment
by reason thereof shall be made with respect to, the number or price of Shares
subject to an Option.
In the event of the proposed dissolution or
liquidation of the Company, all outstanding Options will terminate immediately
prior to the consummation of such proposed action, unless otherwise provided by
the Board. The Board may, in the exercise of its sole discretion in such
instances, declare that any Option shall terminate as of a date fixed by the
Board and give each Optionee the right to exercise his Option as to all or any
part of the Optioned Stock, including Shares as to which the Option would not
otherwise be exercisable.
Subject to the provisions of paragraph (b) hereof, in
the event of a proposed sale of all or substantially all of the assets of the
Company, or the merger of the Company with or into another corporation, each
outstanding Option shall be assumed or an equivalent option shall be substituted
by such successor corporation or a parent or subsidiary of such successor
corporation, unless the Board determines, in the exercise of its sole discretion
and in lieu of such assumption or substitution, that the Optionee shall have the
right to exercise the Option as to all of the Optioned Stock, including Shares
as to which the Option would not otherwise be exercisable. If the Board makes an
Option fully exercisable in lieu of assumption or substitution in the event of a
merger or sale of assets, the Company shall notify the Optionee that the Option
shall be fully exercisable for a period of fifteen (15) days from the date of
such notice, and the Option will terminate upon the expiration of such period.
For purposes of this paragraph, an Option granted under the Plan shall be deemed
to be assumed if, following the sale of assets or merger, the Option confers the
right to purchase, for each Share of Optioned Stock subject to the Option
immediately prior to the sale of assets or merger, the consideration (whether
stock, cash or other securities or property) received in the sale of assets or
merger by holders of Common Stock for each Share held on the effective date of
the transaction (and if such holders were offered a choice of consideration, the
type of consideration chosen by the holders if a majority of the outstanding
Shares); provided, however, that if such consideration received in the sale of
assets or merger was not solely Common Stock of the successor corporation or its
parent, the Board may, with the consent of the successor corporation and the
participant, provide for the consideration to be received upon exercise of the
Option to be solely Common Stock of the successor corporation or its parent
equal in Fair Market Value to the per share consideration received by holders of
Common Stock in the sale of assets or merger.
(b) In the event of a "Change in Control" of the Company, as
defined in paragraph (c) below, unless otherwise determined by the Board prior
to the occurrence of such Change in Control, the following acceleration and
valuation provisions shall apply:
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<PAGE> 8
(1) Any Options outstanding as of the date such
Change in Control is determined to have occurred that are not yet
exercisable and vested on such date shall become fully exercisable and
vested; and
(2) The value of all outstanding Options shall,
unless otherwise determined by the Board at or after grant, be cashed
out at the Change in Control Price. The cash out proceeds shall be paid
to the Optionee or, in the event of death of an Optionee prior to
payment, to the estate of the Optionee or to a person who acquired the
right to exercise the Option by bequest or inheritance.
(c) Definition of "Change in Control". For purposes of this
Section 10, a "Change in Control" means the happening of any of the following:
(i) When any "person," as such term is used in
Sections 13(d) and 14(d) of the Securities Exchange Act (other than the
Company, a Subsidiary or a Company employee benefit plan, including any
trustee of such plan acting as trustee) is or becomes the "beneficial
owner" (as defined in Rule 13d-3 under the Exchange Act), directly or
indirectly, of securities of the Company representing fifty percent
(50%) or more of the combined voting power of the Company's then
outstanding securities; or
(ii) The occurrence of a transaction requiring shareholder
approval, and involving the sale of all or substantially all of the
assets of the Company or the merger of the Company with or into another
corporation.
(d) Change in Control Price. For purposes of this Section 10,
"Change in Control Price" shall be, as determined by the Board, (i) the highest
closing sale price of a Share of the Common Stock as reported by the NASDAQ
System and as appearing in the Wall Street Journal (or, in the event the Common
Stock is listed on a stock exchange, the highest closing price on such exchange
as reported on the Composite Transaction Reporting System), at any time within
the 60 day period immediately preceding the date of determination of the Change
in Control Price by the Board (the "60-Day Period"), or (ii) the highest price
paid or offered, as determined by the Board, in any bona fide transaction or
bona fide offer related to the Change in Control of the Company, at any time
within the 60-Day Period.
11. Amendment and Termination of the Plan.
(a) Amendment and Termination. The Board may at any time
amend, alter, suspend, or discontinue the Plan, but no amendment, alteration,
suspension, or discontinuation shall be made which would impair the rights of
any Optionee under any grant theretofore made, without his or her consent. In
addition, to the extent necessary and desirable to comply with Rule 16b-3 under
the Exchange Act (or any other applicable law or regulation), the Company shall
obtain shareholder approval of any Plan amendment in such a manner and to such a
degree as required.
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<PAGE> 9
(b) Effect of Amendment or Termination. Any such amendment or
termination of the Plan shall not affect Options already granted and such
Options shall remain in full force and effect as if this Plan had not been
amended or terminated.
12. Time of Granting Options. The date of grant of an Option shall, for all
purposes, be the date determined in accordance with Section 4(b) hereof. Notice
of the determination shall be given to each Outside Director to whom an Option
is so granted within a reasonable time after the date of such grant.
13. Conditions Upon Issuance of Shares. Shares shall not be issued pursuant
to the exercise of an Option unless the exercise of such Option and the issuance
and delivery of such Shares pursuant thereto shall comply with all relevant
provisions of law, including, without limitation, the Securities Act of 1933, as
amended, the Exchange Act, the rules and regulations promulgated thereunder,
state securities laws, and the requirements of any stock exchange upon which the
Shares may then be listed, and shall be further subject to the approval of
counsel for the Company with respect to such compliance.
As a condition to the exercise of an Option, the Company may
require the person exercising such Option to represent and warrant at the time
of any such exercise that the Shares are being purchased only for investment and
without any present intention to sell or distribute such Shares, if, in the
opinion of counsel for the Company, such a representation is required by any of
the aforementioned relevant provisions of law.
Inability of the Company to obtain authority from any
regulatory body having jurisdiction, which authority is deemed by the Company's
counsel to be necessary to the lawful issuance and sale of any Shares hereunder,
shall relieve the Company of any liability in respect of the failure to issue or
sell such Shares as to which such requisite authority shall not have been
obtained.
14. Reservation of Shares. The Company, during the term of this Plan, will
at all times reserve and keep available such number of Shares as shall be
sufficient to satisfy the requirements of the Plan.
15. Option Agreement. Options shall be evidenced by written option
agreements in such form as the Board shall approve.
16. Shareholder Approval. Continuance of the Plan shall be subject to
approval by the shareholders of the Company at or prior to the first annual
meeting of shareholders held subsequent to the granting of an Option hereunder.
Such shareholder approval shall be obtained in the degree and manner required
under applicable state and federal law.
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<PAGE> 10
ADAPTEC, INC.
DIRECTOR'S OPTION AGREEMENT
(First Option)
Adaptec, Inc., a California corporation (the "Company"), has granted to
____________________________________________ (the "Optionee"), an option to
purchase a total of 40,000 shares of the Company's Common Stock (the "Optioned
Stock"), at the price deter mined as provided herein, and in all respects
subject to the terms, definitions and provisions of the 1990 Directors' Option
Plan (the "Plan") adopted by the Company which is incorporated herein by
reference. The terms defined in the Plan shall have the same defined meanings
herein.
1. Nature of the Option. This Option is a nonstatutory option and
is not intended to qualify for any special tax benefits to the
Optionee.
2. Exercise Price. The exercise price is $____________ for each
share of Common Stock, which is 100% of the fair market value of the
Common Stock as determined on the
date of grant of this Option.
3. Exercise of Option. This Option shall be exercisable during
its term in accordance with the provisions of Section 8 of the Plan as
follows:
a. Right to Exercise.
i. This Option shall become exercisable cumulatively as
to twenty-five percent (25%) of the Optioned Stock on
the first anniversary of the date of the grant and as
to six and one-quarter percent (6.25%) of the
remaining Optioned Stock for each full quarter
thereafter that the Optionee remains a Director;
provided, however, that in no event shall this Option
be exercisable until shareholder approval of the Plan
has been obtained in accordance with Section 16
thereof.
ii. This Option may not be exercised for a fraction of a
share.
iii. In the event of Optionee's death, disability or other
termination of service as a Director, the
exercisability of the Option is governed by Sections 6,
7 and 8 of this Agreement.
b. Method of Exercise. This Option shall be exercisable by
written notice which shall state the election to exercise the
Option, the number of Shares in respect of which the Option is
being exercised, and such other representations and agreements
as
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<PAGE> 11
to the holder's investment intent with respect to such Shares
of Common Stock as may be required by the Company pursuant to
the provisions of the Plan. Such written notice shall be
signed by the Optionee and shall be delivered in person or by
certified mail to the Secretary of the Company. The written
notice shall be accompanied by payment of the exercise price.
4. Method of Payment. Payment of the exercise price shall be by
any of the following, or a combination thereof, at the election of the
Optionee:
a. cash;
b. check; or
c. surrender of other Shares of Common Stock of the
Company which(A) either have been owned by the Optionee for
more than six (6) months on the date of surrender or were not
acquired, directly or indirectly, from the Company, and (B)
have a fair market value on the date of surrender equal to the
exercise price of the Shares as to which the Option is being
exercised.
5. Restrictions on Exercise. This Option may not be exercised if the
issuance of such Shares upon such exercise or the method of payment of
consideration for such shares would constitute a violation of any
applicable federal or state securities or other law or regulations, or
if such issuance would not comply with the requirements of any stock
exchange upon which the Shares may then be listed. As a condition to
the exercise of this Option, the Company may require Optionee to make
any representation and warranty to the Company as may be required by
any applicable law or regulation.
6. Termination of Status as a Director. If Optionee ceases to serve
as a Director, he may, but only within three (3) months after the date
he ceases to be a Director of the Company, exercise this Option to the
extent that he was entitled to exercise it at the date of such
termination. Notwithstanding the foregoing, in no event may the Option
be exercised after the ten (10) year term has expired. To the extent
that he was not entitled to exercise this Option at the date of such
termination, or if he does not exercise this Option within the time
specified herein, the Option shall terminate.
7. Disability of Optionee. Notwithstanding the provisions of Section
6 above, if Optionee is unable to continue his service as a Director as
a result of his total and permanent disability (as defined in Section
22(e)(3) of the Internal Revenue Code), he may, but only within six (6)
months from the date of termination, exercise this Option to the extent
he was entitled to exercise it at the date of such termination. To the
extent that he was not entitled to exercise this Option at the date of
termination, or if he does not exercise this Option within the time
specified herein, the Option shall terminate.
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<PAGE> 12
8. Death of Optionee. In the event of the death of Optionee, the
Option may be exercised, at any time within six (6) months following
the date of death, by Optionee's estate or by a person who acquired the
right to exercise the Option by bequest or inheritance, but only to the
extent of the right to exercise that had accrued at the date of death.
9. Non-Transferability of Option. This Option may not be transferred
in any manner otherwise than by will or by the laws of descent or
distribution and may be exercised during the lifetime of Optionee only
by him. The terms of this Option shall be binding upon the executors,
administrators, heirs, successors and assigns of the Optionee.
10. Term of Option. This Option may not be exercised more than ten
(10) years from the date of grant of this Option, and may be exercised
during such term only in accordance with the Plan and the terms of this
Option.
11. Taxation Upon Exercise of Option. Optionee understands that, upon
exercise of this Option, he will recognize income for tax purposes in
an amount equal to the excess of the then fair market value of the
Shares purchased over the exercise price paid for such Shares. (Since
the Optionee is subject to Section 16(b) of the Securities Exchange Act
of 1934, as amended, the measurement and timing of such income may be
deferred, and the Optionee is advised to contact a tax advisor
concerning the desirability of filing an 83(b) election in connection
with the exercise of the Option.) Upon a resale of such Shares by the
Optionee, any difference between the sale price and the fair market
value of the Shares on the date of exercise of the Option will be
treated as capital gain or loss.
DATE OF GRANT: _________________
ADAPTEC, INC.,
a California corporation
By:
---------------------------
President
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<PAGE> 13
Optionee acknowledges receipt of a copy of the Plan, a copy of which is
annexed hereto, and represents that he is familiar with the terms and provisions
thereof, and hereby accepts this Option subject to all of the terms and
provisions thereof. Optionee hereby agrees to accept as binding, conclusive and
final all decisions or interpretations of the Board upon any questions arising
under the Plan.
Dated: _________________
Optionee
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<PAGE> 14
ADAPTEC, INC.
DIRECTOR'S OPTION AGREEMENT
(Annual Option)
Adaptec, Inc., a California corporation (the "Company"), has granted to
_________________________________________ (the "Optionee"), an option to
purchase a total of 10,000 shares of the Company's Common Stock (the "Optioned
Stock"), at the price determined as provided herein, and in all respects subject
to the terms, definitions and provisions of the 1990 Directors' Option Plan (the
"Plan") adopted by the Company which is incorporated herein by reference. The
terms defined in the Plan shall have the same defined meanings herein.
1. Nature of the Option. This Option is a nonstatutory option and is
not intended to qualify for any special tax benefits to the Optionee.
2. Exercise Price. The exercise price is $_____________ for each
share of Common Stock, which is 100% of the fair market value of the
Common Stock as determined on the date of grant of this Option.
3. Exercise of Option. This Option shall be exercisable during its
term in accordance with the provisions of Section 8 of the Plan as
follows:
a. Right to Exercise.
i. This Option shall become exercisable
cumulatively as to twenty-five percent (25%) of the
Optioned Stock for each full quarter after the date
of grant that the Optionee remains a Director;
provided, however, that in no event shall this Option
be exercisable until shareholder approval of the Plan
has been obtained in accordance with Section 16
thereof.
ii. This Option may not be exercised for a fraction
of a share.
iii. In the event of Optionee's death, disability or
other termination of service as a Director, the
exercisability of the Option is governed by Sections
6, 7 and 8 of this Agreement.
b. Method of Exercise. This Option shall be exercisable
by written notice which shall state the election to exercise
the Option, the number of Shares in respect of which the
Option is being exercised, and such other representations and
agreements as to the holder's investment intent with respect
to such Shares of Common Stock as may
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<PAGE> 15
be required by the Company pursuant to the provisions of the
Plan. Such written notice shall be signed by the Optionee and
shall be delivered in person or by certified mail to the
Secretary of the Company. The written notice shall be
accompanied by payment of the exercise price.
4. Method of Payment. Payment of the exercise price shall be by
any of the following, or a combination thereof, at the election of the
Optionee:
a. cash;
b. check; or
c. surrender of other Shares of Common Stock of the Company which
(A) either have been owned by the Optionee for more than six
(6) months on the date of surrender or were not acquired,
directly or indirectly, from the Company, and (B) have a fair
market value on the date of surrender equal to the exercise
price of the Shares as to which the Option is being exercised.
5. Restrictions on Exercise. This Option may not be exercised if
the issuance of such Shares upon such exercise or the method of payment
of consideration for such shares would constitute a violation of any
applicable federal or state securities or other law or regulations, or
if such issuance would not comply with the requirements of any stock
exchange upon which the Shares may then be listed. As a condition to
the exercise of this Option, the Company may require Optionee to make
any representation and warranty to the Company as may be required by
any applicable law or regulation.
6. Termination of Status as a Director. If Optionee ceases to
serve as a Director, he may, but only within three (3) months after the
date he ceases to be a Director of the Company, exercise this Option to
the extent that he was entitled to exercise it at the date of such
termination. Notwithstanding the foregoing, in no event may the Option
be exercised after its ten (10) year term has expired. To the extent
that he was not entitled to exercise this Option at the date of such
termination, or if he does not exercise this Option within the time
specified herein, the Option shall terminate.
7. Disability of Optionee. Notwithstanding the provisions of
Section 6 above, if Optionee is unable to continue his service as a
Director as a result of his total and permanent disability (as defined
in Section 22(e)(3) of the Internal Revenue Code), he may, but only
within six (6) months from the date of termination, exercise this
Option to the extent he was entitled to exercise it at the date of such
termination. To the extent that he was not entitled to exercise this
Option at the date of termination, or if he does not exercise this
Option within the time specified herein, the Option shall terminate.
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<PAGE> 16
8. Death of Optionee. In the event of the death of Optionee, the
Option may be exercised, at any time within six (6) months following
the date of death, by Optionee's estate or by a person who acquired the
right to exercise the Option by bequest or inheritance, but only to the
extent of the right to exercise that had accrued at the date of death.
9. Non-Transferability of Option. This Option may not be
transferred in any manner otherwise than by will or by the laws of
descent or distribution and may be exercised during the lifetime of
Optionee only by him. The terms of this Option shall be binding upon
the executors, administrators, heirs, successors and assigns of the
Optionee.
10. Term of Option. This Option may not be exercised more than ten
(10) years from the date of grant of this Option, and may be exercised
during such term only in accordance with the Plan and the terms of this
Option.
11. Taxation Upon Exercise of Option. Optionee understands that,
upon exercise of this Option, he will recognize income for tax purposes
in an amount equal to the excess of the then fair market value of the
Shares purchased over the exercise price paid for such Shares. (Since
the Optionee is subject to Section 16(b) of the Securities Exchange Act
of 1934, as amended, the measurement and timing of such income may be
deferred, and the Optionee is advised to contact a tax advisor
concerning the desirability of filing an 83(b) election in connection
with the exercise of the Option.) Upon a resale of such Shares by the
Optionee, any difference between the sale price and the fair market
value of the Shares on the date of exercise of the Option will be
treated as capital gain or loss.
DATE OF GRANT: ______________
ADAPTEC, INC.,
a California corporation
By:
President
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<PAGE> 17
Optionee acknowledges receipt of a copy of the Plan, a copy of which is
annexed hereto, and represents that he is familiar with the terms and provisions
thereof, and hereby accepts this Option subject to all of the terms and
provisions thereof. Optionee hereby agrees to accept as binding, conclusive and
final all decisions or interpretations of the Board upon any questions arising
under the Plan.
Dated: _________________
Optionee
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<PAGE> 1
EXHIBIT 5.1
October 15, 1996
Adaptec, Inc.
691 South Milpitas Boulevard
Milpitas, California 95035
RE: REGISTRATION STATEMENT ON FORM S-8
Gentlemen:
We have examined the Registration Statement on Form S-8 to be filed by
Adaptec, Inc. (the "Company") with the Securities and Exchange Commission on or
about October 16, 1996 (the "Registration Statement") in connection with the
registration under the Securities Act of 1933, as amended, of 400,000 additional
shares of Common Stock (the "Shares") reserved for issuance under the 1990
Directors' Option Plan (the "Plan"). As your counsel, we have examined the
proceedings taken and are familiar with the proceedings proposed to be taken by
you in connection with said issuance and sale of the Shares pursuant to the
Plan.
It is our opinion that, upon completion of the proceedings being taken
or contemplated by us to be taken prior to the issuance and sale of the Shares
pursuant to the Plan, and upon completion of the proceedings being taken in
order to permit such transaction to be carried out in accordance with the
securities laws of the various states where required, the Shares, when issued
and sold in the manner referred to in the Plan and the Registration Statement,
will be legally and validly issued, fully-paid and non-assessable.
We consent to the use of this opinion as an exhibit to the Registration
Statement, and further consent to the use of our name wherever appearing in the
Registration Statement, including the prospectus constituting a part thereof,
and any amendments thereto.
Very truly yours,
/s/ WILSON, SONSINI, GOODRICH & ROSATI
Professional Corporation
[hpm]
