Just got my first real job offer I have a question about the non compete clause?

one sentence scares me... "This Agreement restricts your ability to enter into competitive employment for a period of one year after you leave the company."

I read that two different ways

1. I can't go into employment for myself that directly competes with this company for at least one year after termination/quit.

2. I can't go work for a company that competes directly with this company for at least one year after termination/quit.

Can someone enlighten me who knows how this noncompete agreement works.

Thanks