Common use of Vested Stock Options Clause in Contracts

Vested Stock Options. At the "Effective Time" (as defined in the Merger Agreement), each Option that is exercisable on the date hereof and outstanding at the "Effective Time" (including any such Option with a per share purchase price equal to or greater than the "Merger Consideration" (as defined in the Merger Agreement)) shall be cancelled and the Stock Option Agreements with respect to such Options shall terminate and have no further force or effect. At the "Effective Time", the Company shall pay Executive, in cancellation of each Option that is exercisable on the date hereof and outstanding at the Effective Time, for each share of Common Stock subject to such Option, an amount (subject to any applicable withholding tax), in cash, equal to the difference between the "Merger Consideration" (as defined in the Merger Agreement) and the per share exercise price of such Option, to the extent such difference is a positive number. Payment for such Option shall be made by the Company as soon as practicable after consummation of the "Merger" (as defined in the Merger Agreement).