EXHIBIT 10.2

 

July 1, 2004

 

Harry M. Cornell, Jr.

No. 1 Leggett Road

Carthage, MO 64836

 

     Re:    Whole Life Insurance Policy                Our File No.:     

 

Dear Harry:

 

I am writing to confirm the agreement between you and Leggett & Platt,
Incorporated (the “Company”) regarding a payment from the Company in exchange
for life insurance coverage currently provided by the Company.

 

Under your employment agreement, the Company agreed to provide you with life
insurance coverage, plus a tax gross-up, at least equal to the coverage provided
before termination of employment. The Company had provided you with $250,000 of
life insurance coverage under a whole life policy.

 

You have agreed to give up the life insurance coverage in exchange for a payment
of $185,978, which includes a tax gross-up, from the Company. This payment will
be held by the Company and used to offset certain post-retirement expenses for
rental space and other services provided to you by the Company.

 

If you are in agreement with the terms of this exchange, please return a signed
copy of this letter to me.

 

   

Sincerely,

   

LEGGETT & PLATT, INCORPORATED

   

/s/ Ernest C. Jett

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Ernest C. Jett

   

Vice President, General Counsel and Secretary

AGREED TO:

   

/s/ Harry M. Cornell Jr.

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Harry M. Cornell Jr.