MERCURY INTERACTIVE CORP
EMPLOYMENT AGREEMENT BY AND BETWEEN THE COMPANY AND ANTHONY ZINGALE
<DOCUMENT>
<TYPE>EX-10.51
<SEQUENCE>2
<FILENAME>dex1051.htm
<DESCRIPTION>EMPLOYMENT AGREEMENT BY AND BETWEEN THE COMPANY AND ANTHONY ZINGALE
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<TITLE>Employment Agreement by and between the Company and Anthony Zingale</TITLE>
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 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="right"><FONT FACE="Times New Roman" SIZE="2"><B>Exhibit 10.51 </B></FONT></P> <P STYLE="margin-top:0px;margin-bottom:-6px"><FONT
SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2"><B>EMPLOYMENT AGREEMENT </B></FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">EMPLOYMENT AGREEMENT (&#147;<B>Agreement</B>&#148;) effective as of November&nbsp;1, 2005 (the &#147;<B>Effective Date</B>&#148;) by and between Mercury
Interactive Corporation (the &#147;<B>Company</B>&#148;) and Anthony Zingale (&#147;<B>Executive</B>&#148;). </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">WHEREAS, the Company previously employed Executive as its President and Chief Operating Officer pursuant to an Employment Agreement dated as of
December&nbsp;1, 2004. This Agreement amends and restates the original Employment Agreement dated as of December&nbsp;1, 2004, and sets out the terms of the agreement between Executive and the Company henceforth; and </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">WHEREAS, Executive and the Company are parties to a Change of Control
Agreement entered into in December, 2004, which agreement is amended and restated by the Change of Control Agreement entered into simultaneously with the execution of this Agreement (the &#147;<B>Change of Control Agreement</B>&#148;); and
</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">WHEREAS, the Company considers it in the best interests of its
stockholders to employ Executive as its Chief Executive Officer (&#147;<B>CEO</B>&#148;); and </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT
FACE="Times New Roman" SIZE="2">WHEREAS, Executive is willing to accept employment with the Company on the terms hereinafter set forth in this Agreement; and </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">NOW THEREFORE, in consideration of the foregoing and of the mutual covenants and agreements of the parties set forth in this Agreement, and of other good
and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, agree as follows: </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P>
<P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">A<SMALL>RTICLE</SMALL> 1 </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">Position; Term Of
Agreement </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;1.01<I>. Position. </I>(a)&nbsp;As of
and following the Effective Date, Executive shall serve as CEO of the Company and shall report to the Board of Directors (&#147;<B>Board</B>&#148;). Executive shall have such duties and authority, consistent with such position, as shall be
determined from time to time by the Company. The Board shall nominate Executive to be a Director of the Company for as long as Executive is the Company&#146;s CEO. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT
SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">(b) During his employment with the Company, Executive will devote substantially all of his business time to the performance
of his duties under this Agreement and will not engage in any other business, profession or occupation for compensation or otherwise which would conflict with the rendition of such services either directly or indirectly, without the prior written
consent of the Board. Notwithstanding the foregoing, Executive shall be permitted to continue his service as a member of the board of directors of Interwoven, Inc., provided that such company does not compete with the Company. Executive may engage
in civic and not-for-profit activities so long as such activities do not interfere with the performance of his duties hereunder. </FONT></P>

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 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">A<SMALL>RTICLE</SMALL> 2 </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT
FACE="Times New Roman" SIZE="2">Compensation And Benefits </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman"
SIZE="2">Section&nbsp;2.01<I>. Base Salary. </I>Commencing on the Effective Date, the Company shall pay Executive an initial annual base salary (the &#147;<B>Base Salary</B>&#148;) at the annual rate of $800,000, payable in accordance with the
payroll practices of the Company from time to time. Executive&#146;s compensation package shall be subject to periodic review by the Company. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;2.02<I>. Bonus.</I> Commencing on the Effective Date, Executive shall be eligible to participate in an executive bonus plan in accordance
with the terms and conditions of such plan. Executive&#146;s target bonus (the &#147;<B>Target Bonus</B>&#148;) shall be 100% of Base Salary, subject to the Company&#146;s performance and other terms and conditions of the bonus plan as determined by
the Board in its sole discretion, including continued employment until the end of the applicable year. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;2.03. <I>Stock Options</I>. Executive has previously received an option to purchase 400,000 shares of the Company&#146;s common stock (the
&#147;<B>Common Stock</B>&#148;) in December 2004 (the &#147;<B>Option</B>&#148;). The Option has a per share exercise price equal to the fair market value of the Common Stock on the date of grant, shall vest monthly in equal installments over a
period of four years and shall remain exercisable until the later of (i)&nbsp;the 15</FONT><FONT FACE="Times New Roman" SIZE="1" COLOR="#000000"><SUP>th</SUP></FONT><FONT FACE="Times New Roman" SIZE="2" COLOR="#000000"> day of the tenth month or
(ii)&nbsp;the December&nbsp;31</FONT><FONT FACE="Times New Roman" SIZE="1" COLOR="#000000"><SUP>st</SUP></FONT><FONT FACE="Times New Roman" SIZE="2" COLOR="#000000"> that follows Executive&#146;s termination of employment for any reason (subject to
earlier termination under Sections 7 and 11 of the 1999 Plan and the &#147;Expiration Date&#148; and maximum term as defined in the award agreement evidencing the Option). Except as provided for in this paragraph and in the Change of Control
Agreement, the Option shall be subject to the terms and conditions of the Company&#146;s Amended and Restated 1999 Stock Option Plan (the <B>&#147;1999 Plan&#148;</B>) and the stock option agreement evidencing the Option. </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">As part of the Company&#146;s annual refresh grants to executives during
2005, Executive was granted an option to purchase 50,000 shares of the Company&#146;s Common Stock (the &#147;<B>2005 Option</B>&#148;). The 2005 Option has a per share exercise price equal to the fair market value of the Common Stock on the date of
grant, shall vest monthly in equal installments over a period of four years and shall remain exercisable until the later of (i)&nbsp;the 15</FONT><FONT FACE="Times New Roman" SIZE="1" COLOR="#000000"><SUP>th</SUP></FONT><FONT FACE="Times New Roman"
SIZE="2" COLOR="#000000"> day of the tenth month or (ii)&nbsp;the December&nbsp;31</FONT><FONT FACE="Times New Roman" SIZE="1" COLOR="#000000"><SUP>st</SUP></FONT><FONT FACE="Times New Roman" SIZE="2" COLOR="#000000"> that follows Executive&#146;s
termination of employment for any reason (subject to earlier termination under Sections 7 and 11 of the 1999 Plan and the &#147;Expiration Date&#148; and maximum term as defined in the award agreement evidencing the 2005 Option). Except as provided
for in this paragraph and in the Change of Control Agreement, the 2005 Option shall be subject to the terms and conditions of the 1999 Plan and the stock option agreement evidencing the 2005 Option. </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">The Board or its Compensation Committee shall approve the grant of a stock
option to Executive to purchase 500,000 shares of the Company&#146;s Common Stock (the &#147;<B>2006 Option</B>&#148;) as soon as practicable after the Effective Date and after the end of the period during which Company insiders are prohibited from
engaging in transactions with respect to Company Common Stock. The 2006 Option shall have a per share exercise price equal to the fair market value of the Common Stock on the date of grant, shall vest monthly in equal installments over a period of
four years and shall remain exercisable for a period of twelve (12)&nbsp;months following Executive&#146;s termination of employment for any reason (subject to earlier termination under Sections 7 and 11 of the 1999 Plan and the &#147;Expiration
Date&#148; and maximum term as defined in </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P>
 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">2 </FONT></P>


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 <P STYLE="margin-top:0px;margin-bottom:0px"><FONT FACE="Times New Roman" SIZE="2">the award agreement evidencing the 2006 Option). Except as provided for in this paragraph and in the Change of Control
Agreement, the 2006 Option shall be subject to the terms and conditions of the Company&#146;s 1999 Plan and the standard form of stock option agreement for the 1999 Plan. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT
SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;2.04. <I>Executive Benefits.</I> During the duration of the Executive&#146;s employment with the Company
pursuant to the terms of the Agreement (the &#147;Employment Term&#148;), Executive shall be eligible for employee benefits (including fringe benefits, vacation and health, accident and disability insurance, and retirement plan participation)
substantially similar to those benefits made available generally to similarly situated employees of the Company; <I>provided, however</I>, that Executive will earn 30 days of paid-time off per year (equivalent to 6 weeks). This paid-time off will
include both sick leave and vacation. In addition, Executive shall be entitled to all perquisites that are currently or may in the future be provided to any officer of the Company, including, but not limited to, bonus plans, life insurance, deferred
compensation, club dues, car allowance or lease, car service, first-class airline travel, charter jet travel, financial planning, and tax and estate planning services, as applicable. Executive shall be entitled to fly first class (or, if not
available, business class) on all Company-related travel. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman"
SIZE="2">Section&nbsp;2.05<I>. Revised Stock Option and Long-Term Incentive Plan</I>. During the Employment Term, if the Company adopts a revised stock option plan and/or long-term incentive plan, Executive will be eligible to participate in such
plan, according to the terms and conditions of such plan. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman"
SIZE="2">Section&nbsp;2.06<I>. Business And Travel Expenses.</I> Reasonable travel, entertainment and other business expenses incurred by Executive in the performance of Executive&#146;s duties hereunder shall be reimbursed by the Company in
accordance with the Company&#146;s policies as in effect from time to time. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT
FACE="Times New Roman" SIZE="2">Section&nbsp;2.07. <I>Signing and Milestone Bonuses.</I> In consideration of Executive&#146;s entering into this Agreement, the Company has paid him a bonus of $1 million. In addition, the Company shall pay Executive
an additional bonus of $1 million during the second quarter of 2007 provided that Executive has met certain milestones to be established by mutual agreement between Executive and the Board. </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">A<SMALL>RTICLE</SMALL> 3 </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">Severance Benefits </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;3.01<I>. Certain Events of Termination. </I>(a)&nbsp;In the event that Executive&#146;s employment is terminated by the Company without Cause
(as defined below) or by Executive for Good Reason (as defined below) during the Employment Term, but not including termination by reason of death or disability, Executive shall be entitled to the following benefits: </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:-6px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:8%"><FONT FACE="Times New Roman" SIZE="2">(i) The Company shall pay Executive during the Severance Period (as defined
below) an amount equal to Executive&#146;s Base Salary and Target Bonus in effect as of the date of termination, payable in accordance with the Company&#146;s standard payroll practices; </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT
SIZE="1">&nbsp;</FONT></P>
 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">3 </FONT></P>


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 <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:8%"><FONT FACE="Times New Roman" SIZE="2">(ii) Executive shall be provided with continued coverage under the Company&#146;s health, life, dental
and other insurance programs for the Severance Period (which may be provided by the Company paying for Executive&#146;s continued coverage under COBRA at the same cost to Executive as before his termination of employment or payment of an amount
sufficient to purchase comparable benefits) until the earlier of (A)&nbsp;the end of the Severance Period or (B)&nbsp;the date Executive becomes eligible for group health coverage with another employer with similar standards of benefits excluding
Execucare benefits; </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:8%"><FONT FACE="Times New Roman" SIZE="2">(iii) Executive shall be credited
immediately with vesting equal to the length of the Severance Period for each outstanding stock option and other equity compensation award (for example, any restricted stock grant, stock appreciation right, or phantom stock) held by Executive on the
date of termination; </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2"><I>provided</I> that (A)&nbsp;receipt of
the foregoing shall be subject to (x)&nbsp;Executive signing and not revoking a release of claims in the form attached hereto and (y)&nbsp;Executive&#146;s continued compliance with the covenants set forth in Section&nbsp;4.01&nbsp;hereof and in the
Proprietary Agreement (as defined below) and (B)&nbsp;if Executive&#146;s employment terminates during a Change of Control Period (as defined in the Change of Control Agreement), Executive&#146;s benefits, if any, shall be determined under the terms
of the Change of Control Agreement instead of under this Agreement. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman"
SIZE="2">(b) &#147;<B>Cause</B>&#148; means the occurrence of any one or more of the following: </FONT></P> <P STYLE="margin-top:0px;margin-bottom:-6px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:8%"><FONT FACE="Times New Roman" SIZE="2">(i) any act of personal dishonesty taken by Executive in connection with Executive&#146;s responsibilities as an employee and intended to result in
substantial personal enrichment; </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:8%"><FONT FACE="Times New Roman" SIZE="2">(ii) Executive being
convicted of a felony; or </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:8%"><FONT FACE="Times New Roman" SIZE="2">(iii) a willful act by Executive
which constitutes gross misconduct and which is materially injurious to the Company. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT
FACE="Times New Roman" SIZE="2">(c) &#147;<B>Good Reason</B>&#148; means any of the following without Executive&#146;s consent: </FONT></P> <P STYLE="margin-top:0px;margin-bottom:-6px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:8%"><FONT FACE="Times New Roman" SIZE="2">(i) Executive&#146;s assignment to any duties or the significant reduction of Executive&#146;s duties, either of which is inconsistent with
Executive&#146;s position or title with the Company and responsibilities in effect immediately prior to such assignment, or Executive&#146;s removal from such position and responsibility, or a reduction in Executive&#146;s title; </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:8%"><FONT FACE="Times New Roman" SIZE="2">(ii) a greater than 10% reduction by the Company in Executive&#146;s base
compensation as in effect immediately prior to such reduction, unless substantially all executive officers of the Company agree to an equivalent reduction in base compensation; </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT
SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:8%"><FONT FACE="Times New Roman" SIZE="2">(iii) relocation of Executive&#146;s principal place of employment by more than 50 miles; or </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P>
 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">4 </FONT></P>


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 <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:8%"><FONT FACE="Times New Roman" SIZE="2">(iv) any material breach by the Company of any material provision of this Agreement if such breach is not
cured by the Company within 30 days after written notice to the Company by Executive of such breach. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">(d) &#147;<B>Severance Period</B>&#148; shall mean 12 months after termination of employment, except that if termination of employment occurs after the
fourth anniversary of the Effective Date, the Severance Period shall mean 24 months. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT
FACE="Times New Roman" SIZE="2">Section&nbsp;3.02<I>. Indemnification. </I>Following termination of his employment, the Company shall provide Executive with indemnification rights pursuant to the terms of his indemnification agreement with the
Company and directors&#146; and officers&#146; insurance, if any, consistent with the rights and coverage provided for the same periods of time to the Company&#146;s then-current executive officers and members of the Board. </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;3.03<I> At-Will Employment Status. </I>Nothing contained in this
Agreement shall interfere with the at-will employment status of Executive or with the Company&#146;s or Executive&#146;s right to terminate Executive&#146;s employment with the Company at any time, with or without Cause, upon written notice to the
other party, subject to Section&nbsp;3.01 if applicable. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman"
SIZE="2">A<SMALL>RTICLE</SMALL> 4 </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">Covenants and Representations </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT
SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;4.01<I>. Proprietary Agreement. </I>Executive agrees to execute, or has previously executed, the Company&#146;s
standard form of Proprietary Information and Arbitration Agreement (the &#147;<B>Proprietary Agreement</B>&#148;) and agrees to comply with the obligations thereunder during and after his employment with the Company as set forth therein, including
but not limited to the non-solicitation and confidentiality covenants in Sections&nbsp;2 and 8 thereof; <I>provided</I> that Executive agrees to comply with the non-solicitation covenant in Section&nbsp;8 of the Proprietary Agreement for not less
than the Severance Period. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;4.02<I>.
Enforceability. </I>If any provision of this Agreement or the Proprietary Agreement is determined by a court of competent jurisdiction not to be enforceable in the manner set forth herein or therein, the Company and Executive agree that it is the
intention of the parties that such provision should be enforceable to the maximum extent possible under applicable law and that such court shall reform such provision to make it enforceable in accordance with the intent of the parties. </FONT></P>
<P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;4.03<I>. Executive Representation. </I>Executive expressly
represents and warrants to the Company that Executive is not a party to any contract or agreement and is not otherwise obligated in any way, and is not subject to any rules or regulations, whether governmentally imposed or otherwise, which will or
may restrict in any way Executive&#146;s ability to fully perform Executive&#146;s duties and responsibilities under this Agreement. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P>
 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">5 </FONT></P>


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 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">A<SMALL>RTICLE</SMALL> 5 </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT
FACE="Times New Roman" SIZE="2">Successors And Assignments </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman"
SIZE="2">Section&nbsp;5.01<I>. Assignments. </I>Except for an assignment in the event of a change in control, this Agreement shall not be assignable by the Company without the written consent of Executive. This Agreement shall not be assignable by
Executive. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;5.02<I>. Successors; Binding
Agreement. </I>This Agreement shall inure to the benefit of and be binding upon personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees, and legatees. </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">A<SMALL>RTICLE</SMALL> 6 </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">Miscellaneous </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;6.01. <I>Attorneys&#146; Fees</I>. The Company shall reimburse Executive for reasonable attorney fees in an amount not to exceed $10,000
incurred in negotiating and finalizing this Agreement. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman"
SIZE="2">Section&nbsp;6.02<I>. Notices. </I>Any notice required to be delivered hereunder shall be in writing and shall be addressed: </FONT></P> <P STYLE="margin-top:0px;margin-bottom:-6px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">(i) if to the Company, to: </FONT></P> <P STYLE="margin-top:0px;margin-bottom:-6px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Mercury Interactive Corporation </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">379 N.
Whisman Road </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Mountain View, California 94043 </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT
FACE="Times New Roman" SIZE="2">Attention: General Counsel </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman"
SIZE="2">(ii) if to Executive, to Executive&#146;s last known address as reflected on the books and records of the Company; </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">or, in each case, to such other address as such party may hereafter specify for the purpose by written notice to the other party hereto. Any such notice
shall be deemed received on the date of receipt by the recipient thereof if received prior to 5:00&nbsp;p.m. in the place of receipt and such day is a business day in the place of receipt. Otherwise, any such notice shall be deemed not to have been
received until the next succeeding business day in the place of receipt. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT
FACE="Times New Roman" SIZE="2">Section&nbsp;6.03<I>. Dispute Resolution. </I>(a)&nbsp;In consideration of Executive&#146;s employment with the Company, the Company&#146;s promise to arbitrate all employment-related disputes and Executive&#146;s
receipt of the compensation, pay raises and any and all other benefits paid to Executive by the Company, at present and in the future, Executive agrees that any and all controversies, claims or disputes with anyone, including any employee, manager,
officer, shareholder or benefit plan or administrator of the Company, arising from or relating to or resulting from Executive&#146;s employment with the Company, including any breach of this Agreement, shall be subject to and resolved by binding
arbitration. Binding arbitration pursuant to this Agreement shall be pursuant to California law, including California Code of Civil Procedure Section&nbsp;1280 through 1294.2, including Section&nbsp;1283.05. Executive understands that this agreement
to arbitrate also applies to any disputes that the Company may have with </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P>
 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">6 </FONT></P>


<p Style='page-break-before:always'>
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 <P STYLE="margin-top:0px;margin-bottom:0px"><FONT FACE="Times New Roman" SIZE="2">Executive. In agreeing to arbitrate any and all claims, <B>EXECUTIVE AGREES TO WAIVE ANY RIGHT TO TRIAL BY JURY,
INCLUDING ANY STATUTORY CLAIMS UNDER STATE AND FEDERAL LAW, INCLUDING BUT NOT LIMITED TO, CLAIMS UNDER TITLE VII OF THE CIVIL RIGHTS ACT OF 1964, THE AMERICANS WITH DISABILITIES ACT OF 1990, THE AGE DISCRIMINATION IN EMPLOYMENT ACT OF 1967, THE
OLDER WORKERS BENEFIT PROTECTION ACT, THE CALIFORNIA FAIR EMPLOYMENT AND HOUSING ACT, THE CALIFORNIA LABOR CODE, CLAIMS OF SEXUAL OR OTHER UNLAWFUL HARASSMENT, DISCRIMINATION OR WRONGFUL TERMINATION, ANY STATUTORY CLAIMS, AND ANY CLAIMS FOR BREACH
OF CONTRACT, TORT, OR ANY OTHER BASES IN STATE, FEDERAL OR LOCAL LAWS.</B> </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT
FACE="Times New Roman" SIZE="2">(b) Executive agrees that any arbitration will be administered by the American Arbitration Association (<B>&#147;AAA&#148;</B>) and that a neutral arbitrator will be selected in a manner consistent with its National
Rules for the Resolution of Employment Disputes (the <B>&#147;Rules&#148;</B>). Executive agrees that the arbitration shall take place in Santa Clara County, California and that the arbitrator shall conduct and administer any arbitration in a manner
consistent with the Rules, and with California law, including the power to conduct adequate discovery, decide any motions brought by any parties, and to award any remedies, including attorneys&#146; fees and costs, available under applicable law.
Executive agrees that the arbitrator shall issue a binding written award that sets forth the essential findings and conclusions on which the award is based. Executive understands that the Company shall pay for all fees charged by the arbitrator and
by the AAA, regardless of the party initiating the arbitration. The Company will reimburse Executive in any arbitration up to a maximum of $2,000 for travel expenses incurred for travel to the Santa Clara County area in connection with the
arbitration hearing if Executive resides more than 300 miles from the location selected in Santa Clara County for the arbitration. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">(c) Arbitration shall be the sole, exclusive and final remedy for any dispute between the Company and Executive. Accordingly, neither the Company nor
Executive will be permitted to pursue court action regarding claims that are subject to arbitration. However, nothing in this Agreement will prohibit either party from seeking provisional relief, and Executive agrees that any party may petition the
court for injunctive relief where either party alleges a violation of any of the covenants set forth herein. Executive further agrees that no bond or other security shall be required in obtaining such equitable relief and Executive hereby consents
to the issuance of such injunction and to the ordering of specific performance. In the event either party seeks injunctive relief, the prevailing party shall be entitled to recover reasonable costs and attorneys&#146; fees. </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">(d) This Agreement does not prohibit Executive from pursuing an
administrative claim with a local, state or federal administrative body or agency, such as the Department of Fair Employment and Housing, the Equal Employment Opportunities Commission, or the Workers&#146; Compensation Board. This Agreement does,
however, prohibit Executive from seeking or pursuing court action regarding any such claim. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT
FACE="Times New Roman" SIZE="2">Section&nbsp;6.04<I>. Unfunded Agreement. </I>The obligations of the Company under this Agreement represent an unsecured, unfunded promise to pay benefits to Executive and/or Executive&#146;s beneficiaries, and shall
not entitle Executive or such beneficiaries to a preferential claim to any asset of the Company. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P>
 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">7 </FONT></P>


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 <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;6.05<I>. Entire Agreement. </I>This Agreement (together with the Proprietary Agreement and,
if applicable, any option award agreement) represents the entire agreement between Executive and the Company and its affiliates with respect to the matters referred to herein, and supersedes all prior discussions, negotiations, agreements, and plans
concerning such matters, other than the Change of Control Agreement; <I>provided</I>, <I>however</I>, that any amounts payable to Executive hereunder shall be reduced by any payments or notice period required by applicable law in connection with any
termination of Executive&#146;s employment. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman"
SIZE="2">Section&nbsp;6.06<I>. Tax Withholding. </I>Notwithstanding anything in this Agreement to the contrary, the Company shall withhold from any amounts payable under this Agreement all federal, state, city, or other taxes as are legally required
to be withheld. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;6.07<I>. Waiver Of Rights.
</I>The waiver by either party of a breach of any provision of this Agreement shall not operate or be construed as a continuing waiver or as a consent to or waiver of any subsequent breach hereof. </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;6.08. <I>Amendment</I>. This Agreement may not be modified,
altered or changed except upon the express written consent of both parties. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT
FACE="Times New Roman" SIZE="2">Section&nbsp;6.09<I>. Severability. </I>In the event any provision of this Agreement shall be held illegal or invalid for any reason, the illegality or invalidity shall not affect the remaining parts of this
Agreement, and this Agreement shall be construed and enforced as if the illegal or invalid provision had not been included. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;6.10<I>. Indemnification Agreement. </I>The Company shall enter into an indemnification agreement with Executive providing Executive with
indemnification for his acts as a corporate officer as provided in the Company&#146;s standard form of indemnification agreement that has been provided to Executive. The Company shall provide Executive with directors&#146; and officers&#146;
insurance coverage as of the date of this Agreement in such amounts as provided to the chief executive officer. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;6.11<I> Governing Law. </I>This Agreement shall be governed by and construed in accordance with the laws of the State of California without
reference to principles of conflict of laws. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman"
SIZE="2">Section&nbsp;6.12<I>. Section&nbsp;409A. </I>The parties agree to amend this Agreement to the extent necessary to avoid imposition of any additional tax or income recognition under Code Section&nbsp;409A and any final Treasury Regulations
and IRS guidance thereunder prior to the earlier of any actual payment to Executive that may or may not be in compliance with or exempt from Code Section&nbsp;409A or December&nbsp;31, 2006. </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">The Company will not take any action that would expose any payment or benefit
to Executive to accelerated or additional tax under Section&nbsp;409A of the Code, unless (i)&nbsp;the Company is obligated to take the action under an agreement, plan, or arrangement to which Executive is a party; (ii)&nbsp;Executive requests the
action; or (iii)&nbsp;the Company advises Executive in writing that the action may result in the imposition of accelerated or additional tax under Section&nbsp;409A of the Code and Executive subsequently requests in writing that the action be taken.
The Company will hold Executive harmless for any action it may take in violation of this paragraph, </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P>
 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">8 </FONT></P>


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 <P STYLE="margin-top:0px;margin-bottom:0px"><FONT FACE="Times New Roman" SIZE="2">including any attorney&#146;s fees that Executive may incur in enforcing his rights hereto. Notwithstanding the
foregoing, if the Company proposes to take any action or to make any amendment to this Letter to avoid any violation of Code Section&nbsp;409A and Executive refuses to consent in writing to such action or amendment, then Executive shall be
responsible for any additional tax or income recognition imposed on him, and any attorney&#146;s fees Executive incurs, as a result of any violation of Code Section&nbsp;409A. With respect to any such action or amendment the Company proposes, the
Company shall, in good faith and after consultation with you, make reasonable efforts to have such proposed action or amendment minimize any adverse consequences to you. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT
SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">Section&nbsp;6.13. <I>Counterparts. </I>This Agreement may be signed in several counterparts, each of which shall be an
original, with the same effect as if the signatures thereto and hereto were on the same instrument. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">IN WITNESS WHEREOF, the Company and Executive have executed this Agreement, to be effective as of the day and year first written above. </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P><DIV ALIGN="right">
<TABLE CELLSPACING="0" CELLPADDING="0" WIDTH="40%" BORDER="0">

<TR>
<TD WIDTH="12%"></TD>
<TD VALIGN="bottom" WIDTH="1%"></TD>
<TD WIDTH="87%"></TD></TR>
<TR>
<TD VALIGN="top" COLSPAN="3"><FONT FACE="Times New Roman" SIZE="2">MERCURY INTERACTIVE CORPORATION</FONT></TD></TR>
<TR>
<TD HEIGHT="16"></TD>
<TD HEIGHT="16" COLSPAN="2"></TD></TR>
<TR>
<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">By:</FONT></TD>
<TD VALIGN="bottom"><FONT SIZE="1">&nbsp;</FONT></TD>
<TD VALIGN="bottom"> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT FACE="Times New Roman" SIZE="2">/s/ Giora Yaron</FONT></P><HR SIZE="1" NOSHADE COLOR="#000000"></TD></TR>
<TR>
<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">Name:</FONT></TD>
<TD VALIGN="bottom"><FONT SIZE="1">&nbsp;</FONT></TD>
<TD VALIGN="bottom"><FONT FACE="Times New Roman" SIZE="2">Giora Yaron</FONT></TD></TR>
<TR>
<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">Title:</FONT></TD>
<TD VALIGN="bottom"><FONT SIZE="1">&nbsp;</FONT></TD>
<TD VALIGN="bottom"><FONT FACE="Times New Roman" SIZE="2">Chairman of the Board of Directors</FONT></TD></TR>
<TR>
<TD HEIGHT="16" COLSPAN="3"></TD></TR>
<TR>
<TD VALIGN="top" COLSPAN="3"><FONT FACE="Times New Roman" SIZE="2">EXECUTIVE:</FONT></TD></TR>
<TR>
<TD HEIGHT="16" COLSPAN="3"></TD></TR>
<TR>
<TD VALIGN="top" COLSPAN="3"> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT FACE="Times New Roman" SIZE="2">/s/ Anthony Zingale</FONT></P><HR SIZE="1" NOSHADE COLOR="#000000"></TD></TR>
<TR>
<TD VALIGN="top" COLSPAN="3"><FONT FACE="Times New Roman" SIZE="2">Anthony Zingale</FONT></TD></TR>
</TABLE></DIV> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P>
 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">9 </FONT></P>


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 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2"><B>E<SMALL>XHIBIT</SMALL> A </B></FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT
SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2"><B>RELEASE AGREEMENT </B></FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2"><B>I understand that this Release Agreement (&#147;Release&#148;), together with the Employment Agreement dated January <U>&nbsp;&nbsp;&nbsp;&nbsp;</U>,
2006 (the &#147;Employment Agreement&#148;), constitutes the complete, final and exclusive embodiment of the entire agreement between the Company and me with regard to the subject matter hereof. I am not relying on any promise or representation by
the Company that is not expressly stated herein. </B></FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">In
consideration of benefits I will receive under the Employment Agreement, I hereby release, acquit and forever discharge the Company, its parents and subsidiaries, and their officers, directors, agents, servants, employees, shareholders,
attorneys&#146; successors, assigns and affiliates, of and from any and all claims, liabilities, demands, causes of action, costs, expenses, attorneys fees, damages, indemnities and obligations of every kind and nature, in law, equity, or otherwise,
known and unknown, suspected and unsuspected, disclosed and undisclosed (other than any claim for indemnification I may have as a result of any third party action against me based on my employment with the Company under my indemnification agreement
with the Company or based on any insurance obtained by the Company for my benefit or otherwise), arising out of or in any way related to agreements, events, acts or conduct at any time prior to and including the date I execute this Release,
including, but not limited to: all such claims and demands directly or indirectly arising out of or in any way connected with my employment with the Company or the termination of that employment, including but not limited to, claims of intentional
and negligent infliction of emotional distress, any and all tort claims for personal injury, claims or demands related to salary, bonuses, commissions, stock, stock options, or any other equity or ownership interests in the Company, vacation pay,
fringe benefits, expense reimbursements, severance pay, or any other form of compensation; claims pursuant to any federal, state or local law or cause of action including, but not limited to, the federal Civil Rights Act of 1964, as amended; the
federal Age Discrimination in Employment Act of 1967, as amended (&#147;ADEA&#148;); the federal Employee Retirement Income Security Act of 1974, as amended; the federal Americans with Disabilities Act of 1990; the California Fair Employment and
Housing Act, as amended; the California Labor Code; tort law; contract law; wrongful discharge; discrimination; fraud; defamation; emotional distress; and breach of the implied covenant of good faith and fair dealing. </FONT></P> <P
STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">I acknowledge that I am knowingly and voluntarily waiving and releasing any
rights I may have under the ADEA. I also acknowledge that the consideration given under the Agreement for the waiver and release in the preceding paragraph hereof is in addition to anything of value to which I was already entitled. I further
acknowledge that I have been advised by this writing, as required by the ADEA, that: (A)&nbsp;my waiver and release do not apply to any rights or claims that may arise after the date I execute this Release; (B)&nbsp;I have the right to consult with
an attorney prior to executing this Release; (C)&nbsp;I have twenty-one (21)&nbsp;days to consider this Release (although I may choose to voluntarily execute this Release earlier); (D)&nbsp;I have seven (7)&nbsp;days following my execution of this
Release to revoke the Release; and (E)&nbsp;this Release shall not be effective until the date upon which the revocation period has expired, which shall be the eighth (8th)&nbsp;day after I execute this Release (provided that I have returned it to
the Company by such date). </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P>
 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">A-1 </FONT></P>


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 <P STYLE="margin-top:0px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">I acknowledge that I have read and understand Section&nbsp;1542 of the California Civil Code which reads
as follows: <B>&#147;A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the
debtor.&#148; </B>I hereby expressly waive and relinquish all rights and benefits under that section and any law of any jurisdiction of similar effect with respect to my release of any claims I may have against the Company, its affiliates, and the
entities and persons specified above. </FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P><DIV ALIGN="right">
<TABLE CELLSPACING="0" CELLPADDING="0" WIDTH="40%" BORDER="0">

<TR>
<TD WIDTH="19%"></TD>
<TD VALIGN="bottom" WIDTH="1%"></TD>
<TD WIDTH="80%"></TD></TR>
<TR>
<TD VALIGN="top" COLSPAN="3"><FONT FACE="Times New Roman" SIZE="2"><B>A<SMALL>NTHONY</SMALL> Z<SMALL>INGALE</SMALL></B></FONT></TD></TR>
<TR>
<TD HEIGHT="16"></TD>
<TD HEIGHT="16" COLSPAN="2"></TD></TR>
<TR>
<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">Signature:</FONT></TD>
<TD VALIGN="bottom"><FONT SIZE="1">&nbsp;</FONT></TD>
<TD VALIGN="top"> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P><HR SIZE="1" NOSHADE COLOR="#000000"></TD></TR>
<TR>
<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">Date:</FONT></TD>
<TD VALIGN="bottom"><FONT SIZE="1">&nbsp;</FONT></TD>
<TD VALIGN="top"> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P><HR SIZE="1" NOSHADE COLOR="#000000"></TD></TR>
</TABLE></DIV> <P STYLE="margin-top:0px;margin-bottom:0px"><FONT SIZE="1">&nbsp;</FONT></P>
 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2">A-2 </FONT></P>

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