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California-Sunnyvale-1240 Crossman Avenue Lease [Amendment No. 1] - Network Appliance Inc. and PalmSource Inc.

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AMENDMENT NO. 1 TO LEASE AGREEMENT AND WORK LETTER AGREEMENT
 
THIS AMENDMENT NO. 1 TO LEASE AGREEMENT AND WORK LETTER AGREEMENT (“Amendment”) is made as of May 23, 2002, between NETWORK APPLIANCE, INC., a Delaware corporation (“Landlord”), and PALMSOURCE, INC., a Delaware corporation (“Tenant”).
 
THE PARTIES ENTER INTO THIS AMENDMENT based upon the following facts, understandings and intentions:
 
A.    Landlord and Tenant are now parties to that certain Lease Agreement, effective as of April 19, 2002 (the “Lease”), whereby Landlord leases to Tenant, and Tenant leases from Landlord, approximately 88,096 rentable square feet of space (the “Premises”) located in Landlord’s building located at 1240 Crossman Avenue in Sunnyvale, California.
 
B.    Landlord and Tenant are also now parties to that certain Improvement Agreement, effective as of April 19, 2002 (the “Improvement Agreement”) which sets forth the obligations of Landlord and Tenant with respect to the build out of the Premises. The Lease and Improvement Agreement are hereinafter referred to as the “Lease Documents.”
 
C.    Pursuant to the terms of the Improvement Agreement, Landlord has agreed to perform certain improvements to the Premises in accordance with the “Approved Plans” attached thereto. Tenant may request change orders to the Approved Plans pursuant to the terms of the Improvement Agreement. Tenant has requested certain change orders to the Approved Plans, the cost of which the parties have estimated to be $106,649. Those change orders, which are a part of the “Landlord’s Work” described in Exhibit B-1 attached hereto, are hereinafter referred to as the “Tenant’s Change Orders”. Tenant has requested that the cost of such Tenant’s Change Orders be paid in cash by Tenant to Landlord. Tenant’s Change Orders shall also require certain changes in the Furniture included with the Premises, as more particularly described below.
 
D.    Section 8.12 of the Lease states that Tenant may install and use a satellite/antenna on the roof of the Building in accordance with plans and specifications attached to the Lease as Schedule 4. Tenant has no immediate plans to install the satellite/antenna, and Schedule 4 is not currently attached to the Lease.
 
E.    Section 22.34 of the Lease states that either party thereto may terminate the Lease if the Master Lessor does not consent to its terms within forty five (45) days after the Effective Date of the Lease. However, after the Effective Date, but prior to the expiration of such forty-five (45) day time period, Landlord purchased the Project from the Master Lessor and terminated the Master Lease, rendering the need for Master Lessor’s written consent to the Lease obsolete.
 
F.    The parties hereto desire to modify the Lease Documents as hereinafter provided. Capitalized terms used herein shall have the same meaning given them in the Lease Documents.

1

NOW, THEREFORE, IN CONSIDERATION of the mutual covenants and promises of the parties, the parties hereto agree as follows:
 
1.    Estimated Commencement Date.    The Estimated Commencement Date is hereby modified to August 15, 2002. Notwithstanding anything to the contrary in the Lease Documents, the Commencement Date shall not be affected as a result of the Tenant’s Change Orders.
 
2.    Approved Plans.    The “Approved Plans” attached to the Improvement Agreement as Exhibits B-1 and B-2 are hereby deleted in their entirety and replaced with the plans attached hereto as Exhibit B-1, which plans shall be the “Approved Plans” for the purposes of the Lease Documents.
 
3.    Payment of Change Orders Costs.    The cost of the Tenant’s Change Orders is agreed by the parties to be $106,649 (“Change Order Cost”). Tenant shall pay the Change Order Cost to Landlord upon execution of this First Amendment.
 
4.    Furniture.    The description of the Furniture to be included as part of the Premises pursuant to Section 1.4 of the Lease and attached thereto as Schedule 2 is hereby deleted in its entirety and replaced with the description of Furniture attached hereto as Schedule 2.
 
5.    Master Lessor’s Consent.    Master Lessor’s consent to the Lease is no longer required, and neither party shall have the right to terminate the Lease pursuant to Section 22.34 of the Lease, notwithstanding the failure of the Master Lessor to consent to its terms.
 
6.    Satellite/Antenna.    Landlord acknowledges that Tenant has no immediate plans to install a satellite/antenna on the roof of the Building and that a Schedule 4 is not currently attached to the Lease. Tenant acknowledges and agrees that at such time as Tenant determines to install a satellite/antenna, Schedule 4 will be provided in advance to Landlord for Landlord’s review and approval, which shall not be unreasonably withheld or delayed.
 
7.    Full Force and Effect.    Except as herein amended and supplemented, the Lease Documents shall continue in full force and effect as written.

2

IN WITNESS WHEREOF, the parties hereto have executed this Amendment with duplicate counterparts as of the day and year first above written.
 
“Landlord”
 
NETWORK APPLIANCE, INC.,
a Delaware corporation
By:
 
/s/    THOM BRYANT        
 
Name: Thom Bryant
Title: VP WPR
 
“Tenant”
 
PALMSOURCE, INC.,
a Delaware corporation
By:
 
/s/    DOREEN S. YOCHUM        
 
Name: Doreen S. Yochum
Title: CAO

3

 
SCHEDULE 1
APPROVED PLANS
 
[TO BE ATTACHED]
 
Network Appliance
Building 5 Tenant Improvement
Sunnyvale, CA
Owner Revisions-Private Offices Delta 05
March 7, 2001
 
SHEET INDEX
    
ARCHITECTURAL
    
   
COVER SHEET
    
A5—0.1
  
TITLE SHEET
  
AS NOTED
A5—0.2
  
GENERAL NOTES AND ABBREVIATIONS
  
NTS
A5—0.3
  
GENERAL NOTES
  
NTS
A5—1.01
  
EXITING/OCCUPANCY FLOOR 1
  
1/8"=1'—0"
A5—1.02
  
EXITING/OCCUPANCY FLOOR 2
  
1/8"=1'—0"
A5—1.03
  
EXITING/OCCUPANCY FLOOR 3
  
1/8"=1'—0"
A5—1.04
  
SHELL/TI COORDINATION FLOOR 1
  
1/8"=1'—0"
A5—1.05
  
SHELL/TI COORDINATION FLOOR 2
  
1/8"=1'—0"
A5—1.06
  
SHELL/TI COORDINATION FLOOR 3
  
1/8"=1'—0"
   
CONSTRUCTION PLANS
    
A5—2.1
  
CONSTRUCTION PLAN FLOOR 1
  
1/8"=1'—0"
A5—2.2
  
CONSTRUCTION PLAN FLOOR 2
  
1/8"=1'—0"
A5—2.3
  
CONSTRUCTION PLAN FLOOR 3
  
1/8"=1'—0"
   
POWER + SIGNAL AND FURNITURE PLANS
    
A5—3.1
  
POWER + SIGNAL AND FURN. PLAN FLOOR 1
  
1/8"=1'—0"
A5—3.2
  
POWER + SIGNAL AND FURN. PLAN FLOOR 2
  
1/8"=1'—0"
A5—3.3
  
POWER + SIGNAL AND FURN. PLAN FLOOR 3
  
1/8"=1'—0"
   
RCP
    
A5—4.1
  
REFLECTED CEILING PLAN FLOOR 1
  
1/8"=1'—0"
A5—4.2
  
REFLECTED CEILING PLAN FLOOR 2
  
1/8"=1'—0"
A5—4.3
  
REFLECTED CEILING PLAN FLOOR 3
  
1/8"=1'—0"
   
FINISH PLANS
    
A5—5.1
  
FINISH PLAN FLOOR 1
  
1/8"=1'—0"
A5—5.2
  
FINISH PLAN FLOOR 2
  
1/8"=1'—0"
A5—5.3
  
FINISH PLAN FLOOR 3
  
1/8"=1'—0"
A5—5.4
  
FINISH SCHEDULE
    
   
ENLARGED PLANS
    
A5—6.11
  
ENLARGED FINISH PLANS
  
1/4"=1'—0"
A5—6.12
  
ENLARGED DELI FINISH PLAN
  
1/4"=1'—0"
A5—6.21
  
ENLARGED TYPICAL PRIVATE OFFICES PLAN
  
1/4"=1'—0"
   
ELEVATIONS
    
A5—7.11
  
ELEVATIONS FLOOR 1
  
1/4"=1'—0"
A5—7.12
  
ELEVATIONS FLOOR 1
  
1/4"=1'—0"
A5—7.13
  
ELEVATIONS FLOOR 1
  
1/4"=1'—0"
A5—7.14
  
ELEVATIONS FLOOR 1
  
1/4"=1'—0"
A5—7.15
  
ELEVATIONS FLOOR 3 (2 SIM)
  
1/4"=1'—0"
A5—7.16
  
ELEVATIONS FLOOR 3 (2 SIM)
  
1/4"=1'—0"
A5—7.17
  
ELEVATIONS FLOOR 3 (2 SIM)
  
1/4"=1'—0"
A5—7.18
  
ELEVATIONS FLOOR 1, 2 & 3
  
1/4"=1'—0"
   
DETAILS
  
A5—8.01
  
PARTITION DETAILS
  
AS NOTED
A5—8.02
  
PARTITION DETAILS
  
AS NOTED
A5—8.03
  
PARTITION DETAILS
  
AS NOTED
A5—8.11
  
CEILING DETAILS
  
AS NOTED
A5—8.21
  
MILLWORK DETAILS
  
AS NOTED
A5—8.31
  
FINISHES DETAILS
  
AS NOTED
   
DETAIL AREAS
    
A5—9.1
  
ENLARGED TOILET CORE PLANS AND ELEVATIONS
  
AS NOTED
A5—9.21
  
STAIR #1 PLANS/SECTION
  
AS NOTED
A5—9.22
  
STAIR #2 PLANS/SECTION
  
AS NOTED
A5—9.23
  
STAIR DETAILS
  
AS NOTED
A5—9.3
  
ELEVATOR PLAN, SECTION & DETAILS
  
AS NOTED
         
   
DOORS AND WINDOWS
    
A5—10.01
  
DOOR & WINDOW SCHEDULE FLOOR 1 & 2
  
NTS
A5—10.02
  
HARDWARE & GLASS SCHEDULE, NOTES
  
NTS
A5—10.03
  
DOOR DETAILS
  
AS NOTED
FOOD SERVICE CONSULTANT
    
FS1.1
  
EQUIPMENT PLAN
  
AS NOTED
FS1.2
  
BUILDING CONDITIONS PLAN
  
AS NOTED
FS1.3
  
PLUMBING ROUGH—IN PLAN
  
AS NOTED
FS1.4
  
ELECTRICAL ROUGH—IN PLAN
  
AS NOTED
FS1.5
  
SHEET NOTES, SYMBOLS & DETAILS
  
AS NOTED
FS1.6
  
EXISTING BLDG 1 DELI PLAN
  
AS NOTED
STRUCTURAL
    
TIS—1
  
GENERAL NOTES
  
AS NOTED
TIS—2
  
GENERAL NOTES
  
AS NOTED
TIS—3
  
TYPICAL CONCRETE DETAILS
  
AS NOTED
TIS—4
  
TYPICAL METAL DECK AND STEEL DETAILS
  
AS NOTED
TIS—5
  
STAIR #1 FRAMING PLANS/DETAILS
  
AS NOTED
MECHANICAL
    
M5—0
  
MECHANICAL LEGEND, INDEX & SYMBOLS
  
AS NOTED
M5—0.1
  
MECHANICAL ENERGY COMPLIANCE FORMS
  
AS NOTED
M5—0.2
  
MECHANICAL ENERGY COMPLIANCE FORMS
  
AS NOTED
M5—2.1
  
MECHANICAL FIRST FLOOR PLAN
  
AS NOTED
M5—2.2
  
MECHANICAL SECOND FLOOR PLAN
  
AS NOTED
M5—2.3
  
MECHANICAL THIRD FLOOR PLAN
  
AS NOTED
M5—2.4
  
MECHANICAL ROOF PLAN
  
AS NOTED
M5—3.1
  
MECHANICAL SCHEDULES
  
AS NOTED
M5—3.2
  
MECHANICAL SCHEDULES
  
AS NOTED
M5—5.1
  
CHILLED WATER PIPING DIAGRAM
  
AS NOTED
M5—5.2
  
HEATING HOT WATER DIAGRAM
  
AS NOTED
M5—5.3
  
MISCELLANEOUS DIAGRAMS
  
AS NOTED
M5—6.1
  
MECHANICAL DETAILS
  
AS NOTED
M5—6.2
  
MECHANICAL DETAILS
  
AS NOTED
PLUMBING
    
P5—0
  
PLUMBING LEGEND, INDEX & SYMBOLS
  
AS NOTED
P5—2.1
  
PLUMBING FIRST FLOOR PLAN
  
AS NOTED
P5—2.2
  
PLUMBING SECOND FLOOR PLAN
  
AS NOTED
P5—2.3
  
PLUMBING THIRD FLOOR PLAN
  
AS NOTED
P5—2.4
  
PLUMBING ROOF PLAN
  
AS NOTED
P5—2.5
  
ENLARGED KITCHEN & TOILET ROOM PLANS
  
AS NOTED
P5—2.6
  
ENLARGED TOILET ROOM PLANS
  
AS NOTED
P5—5.1
  
WASTE/VENT PIPING DIAGRAM
  
AS NOTED
ELECTRICAL
    
E5—0.0
  
COVER SHEET
  
AS NOTED
E5—0.1
  
SINGLE LINE DIAGRAM
  
AS NOTED
E5—0.2
  
FIRST FLOOR PANEL SCHEDULES
  
AS NOTED
E5—0.3
  
FIRST FLOOR PANEL SCHEDULES
  
AS NOTED
E5—0.4
  
FIRST FLOOR PANEL SCHEDULES
  
AS NOTED
E5—0.5
  
SECOND FLOOR PANEL SCHEDULES
  
AS NOTED
E5—0.6
  
SECOND FLOOR PANEL SCHEDULES
  
AS NOTED
E5—0.7
  
THIRD FLOOR PANEL SCHEDULES
  
AS NOTED
E5—0.8
  
THIRD FLOOR PANEL SCHEDULES
    
E5—0.9
  
FIXTURE SCHEDULE & TILE 24
    
E5—1.1
  
FIRST FLOOR LIGHTING PLAN
  
AS NOTED
E5—1.2
  
SECOND FLOOR LIGHTING PLAN
  
AS NOTED
E5—1.3
  
THIRD FLOOR LIGHTING PLAN
  
AS NOTED
E5—2.1
  
FIRST FLOOR POWER PLAN
  
AS NOTED
E5—2.1A
  
FIRST, SECOND, THIRD LAB POWER PLAN
  
AS NOTED
E5—2.2
  
SECOND FLOOR POWER PLAN
  
AS NOTED
E5—2.3
  
THIRD FLOOR POWER PLAN
  
AS NOTED
E5—3.0
  
ROOF NORTH ELECTRICAL PLAN
  
AS NOTED
 
[DIAGRAMS]

4

SCHEDULE 2
 
FURNITURE
 
[TO BE ATTACHED]

5

SCHEDULE 2
 
Network Appliance—1240 Crossman
Furniture Inventory
 
Private Office Typicals
 
   
(1) 24x60x48x24 Corner worksurface
   
(1) 24x60x38x24 Corner worksurface
   
(1) 30x24 Worksurface
   
(1) Keyboard tray
8x10 office
  
(2) 60” overhead shelves
Quantity: 274
  
(2) 60” wall mounted tack boards
   
(1) File/File pedestal
   
(1) Task light
   
(1) 48” wall mounted whiteboard
   
(1) Task chair
   
(1) Side chair
   
(1) 24x60x48x24 Corner worksurface
   
(1) 24x60x38x24 Corner worksurface
   
(1) 30x24 Worksurface
   
(1) Keyboard tray
10x17 office
  
(2) 60” overhead shelves
Quantity: 6
  
(2) 60” wall mounted tack boards
   
(2) File/File pedestal
   
(2) Task light
   
(1) 48” wall mounted whiteboard
   
(1) Task chair
   
(2) Side chairs
   
(1) 42” round table
 
First Floor
 
Room type
  
Room number
  
Furniture
    
Lobby
  
5.1.200
  
(1) Reception station
    
       
(5) Soft seating chairs
    
       
(1) Coffee table
    
       
(1) Side table
    
Conference
  
5.1.249
  
(1) 60” Round table
    
       
(5) Chairs
    
       
(1) Whiteboard
    
Conference
  
5.1.250
  
(1) 60” Round table
    
       
(5) Chairs
    
       
(1) Whiteboard
    

6

Second Floor
 
Room type
  
Room number
  
Furniture
    
Break room
  
5.2.200
  
(3) Break room tables
(6) Stools
    
Conference
  
5.2.205
  
(1) 48x84 table
(8) Chairs
(1) Whiteboard
    
Conference
  
5.2.216
  
(1) 58x216 table
(20) Chairs
(1) Whiteboard
    
Conference
  
5.2.225
  
(1) 42x96 table
(8) Chairs
(1) Whiteboard
    
Conference
  
5.2.226
  
(1) 48x120 table
(10) Chairs
(1) Whiteboard
    
Conference
  
5.2.227
  
(1) 60” Round table
(5) Chairs
(1) Whiteboard
    
Conference
  
5.2.228
  
(1) 58x192 table
(14) Chairs
(1) Whiteboard
    
Conference
  
5.2.229
  
(1) 48x96 table
(8) Chairs
(1) Whiteboard
    
Conference
  
5.2.238
  
(1) 48x121 table
(10) Chairs
(1) Whiteboard
    
Conference
  
5.2.239
  
(1) 48x144 table
(12) Chairs
(1) Whiteboard
    

7

Third Floor
 
Room type
  
Room number
  
Furniture
    
Reception
  
5.3.200
  
(6) Soft seating chairs
(2) Coffee tables
    
Conference
  
5.3.205
  
(1) 48x84 table
(8) Chairs
(1) Whiteboard
    
Library
  
5.3.087
  
(1) 42” round table
(2) chairs
    
Break room
  
5.3.216
  
(3) Break room tables
(6) Stools
    
Conference
  
5.3.225
  
(1) 42x96 table
(8) Chairs
(1) Whiteboard
    
Conference
  
5.3.226
  
(1) 48x120 table
(10) Chairs
(1) Whiteboard
    
Conference
  
5.3.227
  
(1) 60” Round table
(5) Chairs
(1) Whiteboard
    
Conference
  
5.3.228
  
(1) 58x192 table
(14) Chairs
(1) Whiteboard
    
Conference
  
5.3.229
  
(1) 48x96 table
(8) Chairs
(1) Whiteboard
    
Boardroom
  
5.3.239
  
(1) 58x240 table
(22) Chairs
(1) Whiteboard
    
Conference
  
5.3.240
  
(1) 48x121 table
(10) Chairs
(1) Whiteboard
    
Conference
  
5.3.241
  
(1) 48x144 table
(12) Chairs
(1) Whiteboard
    
Lab/Conference
  
5.3.232C
  
(1) 30x96 table
(4) chairs
    
Lab/Conference
  
5.3.232D
  
(1) 30x96 table
(4) chairs
    
Lab/Conference
  
5.3.232E
  
(1) 30x96 table
(4) chairs
    

8