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Exhibit 10.2

ATHENAHEALTH, INC.

INCENTIVE STOCK OPTION AGREEMENT

UNDER THE ATHENAHEALTH, INC.
2007 STOCK OPTION AND INCENTIVE PLAN

Name of Optionee:                                         
No. of Option Shares:                                         
Option Exercise Price per Share: $                                                             

[FMV on Grant Date (110% of FMV if a 10% owner)]

Grant Date:                                         
Expiration Date:                                                                                 

[up to 10 years (5 if a 10% owner)]

     Pursuant to the athenahealth, Inc. 2007 Stock Option and Incentive Plan, as amended through the date hereof (the “Plan”), athenahealth, Inc. (the “Company”) hereby grants to the Optionee named above an option (the “Stock Option”) to purchase on or prior to the Expiration Date specified above all or part of the number of shares of Common Stock, par value $0.01 per share (the “Stock”), of the Company specified above at the Option Exercise Price per Share specified above subject to the terms and conditions set forth herein and in the Plan.

     1.  Exercisability Schedule . No portion of this Stock Option may be exercised until such portion shall have become exercisable. Except as set forth below, and subject to the discretion of the Administrator (as defined in Section 1 of the Plan) to accelerate the exercisability schedule hereunder, this Stock Option shall be exercisable with respect to the following number of Option Shares on the dates indicated:

 

 

 

 

 

Incremental Number of

 

 

Option Shares Exercisable*

 

Exercisability Date

                    

 

(___%)

 

                    

 

 

 

 

 

                    

 

(___%)

 

                    

 

 

 

 

 

                    

 

(___%)

 

                    

 

 

 

 

 

                    

 

(___%)

 

                    

 

 

 

 

 

                    

 

(___%)

 

                    

 

*

 

Max. of $100,000 per yr.

     Once exercisable, this Stock Option shall continue to be exercisable at any time or times prior to the close of business on the Expiration Date, subject to the provisions hereof and of the Plan.

athenahealth — form of incentive stock option agreement for employees

 


 

     2.  Manner of Exercise .

          (a) The Optionee may exercise this Stock Option only in the following manner: from time to time on or prior to the Expiration Date of this Stock Option, the Optionee may give written notice to the Administrator of his or her election to purchase some or all of the Option Shares purchasable at the time of such notice. This notice shall specify the number of Option Shares to be purchased.

     Payment of the purchase price for the Option Shares may be made by one or more of the following methods: (i) in cash, by certified or bank check or other instrument acceptable to the Administrator; (ii) through the delivery (or attestation to the ownership) of shares of Stock that have been purchased by the Optionee on the open market or that are beneficially owned by the Optionee and are not then subject to any restrictions under any Company plan and that otherwise satisfy any holding periods as may be required by the Administrator; (iii) by the Optionee delivering to the Company a properly executed exercise notice together with irrevocable instructions to a broker to promptly deliver to the Company cash or a check payable and acceptable to the Company to pay the option purchase price, provided that in the event the Optionee chooses to pay the option purchase price as so provided, the Optionee and the bro


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