EXHIBIT 10.1

TENNANT’S

LONG-TERM

INCENTIVE

PLAN

(LTIP)

2006

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Tennant Company   Long Term Incentive Plan

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OBJECTIVE   To maximize Economic Profit Improvement.

LTIP DESIGN   It is essential for the management team to focus on common goals
and objectives and to work towards the organization’s long-term success. One
vehicle to help facilitate this is a Long-Term Incentive Plan (LTIP). Tennant’s
LTIP has been designed to reward:

  1.    Achievement of long-term financial objectives
2.    Improvement in Tennant stock price

ECONOMIC
PROFIT (EP)   For the 2006 LTIP, Tennant will be utilizing Economic Profit (EP)
improvement as the primary driver of our business. As a result, objectives are
tied directly to EP improvement over the three-year performance period
(2006-2008).

  The primary elements of EP are:

  •   Sales
•   Operating Expenses
     —  Cost of Sales
     —  Selling and Administration Expenses
•   Tax Rates
•   Capital Charge on net assets, including:
     —  Inventories
     —  Receivables
     —  Property, Plant and Equipment

  Payout under the EP element is a function of how well the Company performs vs.
target performance (i.e., actual three-year aggregate EP improvement vs. target
EP improvement as shown in Attachment A).

LTIP
Administration   The Management Committee will determine the final amounts of
LTIP Awards to participants, except with respect to Senior Management Team (SMT)
members whose awards will be determined by the Board Compensation Committee. The
Board Compensation Committee may exercise negative discretion to reduce the
amount of, or eliminate, an LTIP Award that otherwise would be payable. Such
determinations, except in the case of the LTIP Award for the Chief Executive
Officer, shall be made after considering the recommendations of the Chief
Executive Officer.

  The Management Committee may impose additional performance measures or modify
performance measures applicable to participants (other than SMT members, whose

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Tennant Company   Long Term Incentive Plan

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  performance measures may be modified by the Board Compensation Committee),
except in the case where the action would result in the loss of an otherwise
available exemption under Section 162(m), if the Committee determines that the
performance measures have become unsuitable as a result of certain events.

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Tennant Company   Long Term Incentive Plan

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DEFINITIONS

BASE SALARY   The total base salary of an individual on March 31st of the first
year of the LTI plan performance period.

OBJECTIVES   Company goals will be developed, approved, and communicated prior
to the first quarter of the Plan Performance Period.

MANAGEMENT
COMMITTEE   The Management Committee will consist of Tennant’s CEO, VP of
HR/Administration and CFO. This Committee has the responsibility for
administration of the Plan, including without limitation adding or modifying
performance measures applicable to participants and resolving any issues around
Plan interpretation, provided that the Board Compensation Committee must approve
any such actions that affect the members of the Company’s Senior Management
Team.

PERFORMANCE
PERIOD   The Performance Period is the three-year period over which the Actual
and Goal EP Growth are measured.

MATERIAL
CHANGES   In those instances where there are material changes in the business
(e.g., mergers, acquisitions, divestitures), the Management Committee reserves
the right, without limitation, to make corresponding adjustments to any or all
aspects of the Plan (i.e., funding schedules, individual objectives, etc.). The
Board Executive Compensation Committee must approve changes that affect the
Senior Management Team.

AWARD
DISTRIBUTION   Normally, payouts will occur near mid-March, following the end of
the performance period.

TERMINATION   Should a participant’s employment terminate prior to the end of
the Plan Performance Period for any reason other than retirement, death, or
disability (as defined by the 1998 Management Incentive Plan) the participant
will not be entitled to an incentive payment.

  If  a participant’s employment with the Company terminates by reason of
retirement, death, or disability, a prorated payment will be made within 90 days
following the end of the performance period, based upon the time the participant
served during the performance period. The final award will be based on the
performance over the entire performance period.

CHANGE IN JOB
WITHIN THE
COMPANY   A participant who changes jobs but is not eligible for this Plan in
the future retains the right to payment under this Plan for any performance
periods that have already begun.

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Tennant Company   Long Term Incentive Plan

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DEFINITIONS (CONT’D)

EMPLOYMENT
AT WILL   Participation in the Incentive Plan does not constitute a guarantee of
continued employment to individuals in the Plan. Employment with the Company
remains “at will,” which means that all aspects of the job, including employment
by the Company, may be changed or terminated by the Company at any time with or
without cause. Likewise, the individual may terminate employment with Tennant.

PLAN
INTERPRETATION
AND
IMPLEMENTATION   The Company reserves the right, without limitation, to
interpret and implement this Plan in accordance with the ____________ Plan.
Interpretations of this Plan are generally made by the Management Committee.

Participant Signature     

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Manager Signature     

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SLT Member Signature     

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