Common use of Incentive Stock Option Grant Clause in Contracts

Incentive Stock Option Grant. In addition to the compensation and benefits described above, the Company will grant you, following your start as an employee following the Hire Date and subject to the approval of the Company’s board of directors and the Company successfully obtaining a permit from the applicable state authority, the option to purchase one hundred ten thousand (110,000) shares of the Company’s common stock, representing approximately 1.2% of currently outstanding shares based on the current capitalization of the company, at the fair market value as determined by the Company’s board of directors at the date of the grant. The foregoing stock option will be subject to the Company’s 2006 Equity Incentive Plan and standard form of stock option agreement (the “Option Agreement”), and shall provide that 25% of the shares vest after twelve (12) months, and the remaining 75% of the shares vest in equal monthly installments over the following thirty-six (36) months.

Incentive Stock Option Grant. In addition to the compensation and benefits described above, the Company will grant you, following your start as an employee following the Hire Date and subject to the approval of the Company’s board of directors and the Company successfully obtaining a permit from the applicable state authority, the option to purchase one hundred ten thousand (110,000in addition to the options granted previously pursuant to the offer letter dated 2-1-2012) 55,000 shares of the Company’s common stock, representing approximately 1.20.75% of currently outstanding the fully diluted shares based on the current capitalization of the company, at the fair market value as determined by the Company’s board of directors at the date of the grant. The foregoing stock option will be subject to the Company’s 2006 Equity Incentive Plan and standard form of stock option agreement (the “Option Agreement”), and shall provide that 25% of the shares vest after twelve (12) months, and the remaining 75% of the shares subject to such option vest in equal monthly installments over the following thirtya period of forty-six eight (3648) months.