Item 5.02. Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On April 17, 2009, Echelon Corporation (the "Company") reported that a structured salary reduction plan had been approved by the Board of Directors, pursuant to which the salaries of the executive officers of the Company, including the named executive officers, would be reduced by 15%. The salary reduction for Frederik H. Bruggink, the Company's Senior Vice President and General Manager - Service Provider Group, was subject to a requirement under applicable law that Mr. Bruggink provide his consent. Mr. Bruggink provided his consent to the 15% reduction and, effective May 1, 2009, his new annual salary will be €276,250.

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