EX-10.69









Exhibit 10(69)




AMERICAN INTERNATIONAL GROUP, INC.

AMENDED AND RESTATED 2007 STOCK INCENTIVE PLAN

NON-EMPLOYEE DIRECTOR DEFERRED STOCK UNITS AWARD AGREEMENT




          This award agreement (this “Award Agreement”) sets forth the terms and conditions of an award
(this “Award”) of $___in deferred stock units (“DSUs”) granted to you under the American
International Group, Inc. Amended and Restated 2007 Stock Incentive Plan (as amended and restated
from time to time, the “Plan”).




          1. The Plan. This Award is made pursuant to the Plan, the terms of which are
incorporated in this Award Agreement. Capitalized terms used in this Award Agreement which are not
defined in this Award Agreement have the meanings as used or defined in the Plan.




          2. Award. The number of DSUs set forth on the signature page of this Award Agreement
are subject to this Award. Each DSU constitutes an unfunded and unsecured promise of AIG to
deliver (or cause to be delivered) to you, subject to the terms of this Award Agreement, one share
of Common Stock (a “Share” or “Shares” as the context requires) (or securities or other property
equal to the Fair Market Value thereof) on the Payment Date as provided herein. Until such
delivery, you have only the rights of a general unsecured creditor and no rights as a shareholder
of AIG. In the event the calculation of the number of DSUs subject to this Award Agreement results
in fractional shares, the number of Shares shall be rounded down to the next whole Share. THIS
AWARD IS SUBJECT TO ALL TERMS, CONDITIONS AND PROVISIONS OF THE PLAN AND THIS AWARD AGREEMENT.




          3. Payout.




          (a) In General. Except as provided below in this Paragraph 3 and Paragraph 8, the
Shares underlying the DSUs shall be paid, on or promptly after the last Trading Day of the month in
which you cease to provide services to the Company (the “Payment Date”), but no later than 90 days
after you cease to provide services to the Company. Subject to the Plan, AIG may deliver
securities or other property based on the Fair Market Value in lieu of all or any portion of the
Shares otherwise deliverable on the Payment Date. You shall be the beneficial owner of any Shares
at the close of business on the Payment Date and shall be entitled to any dividend or distribution
that has not already been made with respect to such Shares if the record date for such dividend or
distribution is on or after the close of business on the Payment Date. “Trading Day” means a day
on which the Common Stock trades in the regular way on the New York Stock Exchange or, if the
Common Stock is not then listed on the New York Stock Exchange, on the principal national or
regional securities exchange on which the Common Stock is then listed or, if the Common Stock is
not then listed on a national or regional securities exchange, on the principal other market on
which the Common Stock is then traded.




          (b) Death. Notwithstanding any other term or provision of this Award Agreement, if
you die prior to the Payment Date, the Shares (or securities or other property in lieu of all or
any portion thereof) corresponding to your



 









 






outstanding DSUs shall be paid to the representative of your estate promptly after your death
(but no later than 90 days after your death).




          (c) Delay of Payment. The Board may, in its sole discretion, determine to defer
payment of DSUs or permit you to elect to defer payment of DSUs, in each case in a manner that
conforms to the requirements of Section 409(a)(4) of the Code.




          4. Dividend Equivalent Rights. On the last day of each calendar quarter before the
payout of Shares (or securities or other property in lieu thereof) pursuant to this Award
Agreement, you shall be paid an amount in cash equal to any regular cash dividend payment that
would have been distributed during such quarter in respect of the Shares (or securities or other
property in lieu thereof) not yet delivered.




          5. Non-transferability. Except as may otherwise be provided in this Paragraph or as
otherwise may be provided by the Board, the limitations set forth in Section 3.5 of the Plan shall
apply. Any assignment in violation of the provisions of this Paragraph 5 shall be void. The Board
may adopt procedures pursuant to which you may transfer some or all of your DSUs through a gift for
no consideration to any child, stepchild, grandchild, parent, stepparent, grandparent, spouse,
sibling, niece, nephew, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law
or sister-in-law, including adoptive relationships, any person sharing the recipient’s household
(other than a tenant or employee), a trust in which these persons have more than 50% of the
beneficial interest, and any other entity in which these persons (or the recipient) own more than
50% of the voting interests.




          6. Withholding, Consents and Legends.




          (a) The delivery of Shares is conditioned on your satisfaction of any applicable withholding
taxes in accordance with Section 3.2 of the Plan.




          (b) Your rights in respect of the DSUs are conditioned on the receipt to the full satisfaction
of the Board of any required consents (as defined in Section 3.3 of the Plan) that the Board may
determine to be necessary or advisable; provided that if such Consent has not been so effected or
obtained as of the latest date provided by this Award Agreement for the delivery of Shares (or
securities or other property) in respect of any DSUs and further delay of delivery is not permitted
in accordance with the requirements of Section 409A, such DSUs will be forfeited and terminate
notwithstanding any prior vesting.




          (c) AIG may affix to Certificates representing Shares issued pursuant to this Award Agreement
any legend that the Board determines to be necessary or advisable. AIG may advise the transfer
agent to place a stop order against any legended Shares.




          7. Section 409A.




          (a) DSUs awarded under this Award Agreement are intended to be “deferred compensation” subject
to Section 409A of the Internal Revenue Code, including any amendments or successor provisions to
that section, and any




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regulations and other administrative guidance thereunder, in each case as they may be from
time to time amended or interpreted through further administrative guidance (“Section 409A”), and
this Award Agreement is intended to, and shall be interpreted, administered and construed to,
comply with Section 409A with respect to the DSUs. The Board shall have full authority to give
effect to the intent of this Paragraph 7(a). To the extent necessary to give effect to this
intent, in the case of any conflict or potential inconsistency between the provisions of this Award
Agreement and the provisions of the Plan, the Plan shall govern.




          (b) Without limiting the generality of Paragraph 7(a), (i) references to your ceasing to
provide services to the Company with respect to the DSUs shall mean your separation from service
with the Company within the meaning of Section 409A (which, unless inconsistent with the foregoing,
will mean your ceasing to be a director of the Board), and (ii) the right to payment of dividend
equivalents pursuant to Paragraph 4 shall be treated separately from the right to payment of the
Shares underlying the DSUs for all purposes of Section 409A.




          (c) Any payment to be made under the DSUs in connection with termination of your Employment
(and any other payment under the Plan) that would be subject to the limitations in Section
409A(a)(2)(b) of the Code shall be delayed until six months after termination of your Employment
(or earlier death) in accordance with the requirements of Section 409A.




          (d) To the extent necessary to comply with Paragraph 7(a), any securities or other property
that the Company may deliver in respect of the DSUs shall not have the effect of deferring delivery
or payment beyond the date on which such delivery or payment would occur with respect to the Shares
that would otherwise have been deliverable (unless the Committee elects a later date for this
purpose in accordance with Paragraph 3(c)).




          (e) Each payment under the DSUs shall be treated as a separate payment for purposes of Section
409A.




          8. Successors and Assigns of AIG. The terms and conditions of this Award Agreement
shall be binding upon and shall inure to the benefit of AIG and its successors and assigns.




          9. Amendment. The Board reserves the right at any time to amend the terms and
conditions set forth in this Award Agreement in any respect in accordance with Section 1.3 of the
Plan, and the Board may amend the Plan in any respect in accordance with Section 3.1 of the Plan.
Notwithstanding the foregoing and Sections 1.3.1 and 3.1 of the Plan, no such amendment shall
materially adversely affect your rights and obligations under this Award Agreement without your
consent (or the consent of your estate, if such consent is obtained after your death), and the
Board may not accelerate or postpone the payout of the Shares (or securities or other property in
lieu of any or all of the Shares) to occur at a time other than the applicable time provided for in
this Award Agreement. Any amendment of this Award Agreement shall be in writing signed by an
authorized member of the Board or any other person or persons authorized by the Board.




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          10. Governing Law. THIS AWARD SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH
THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO PRINCIPLES OF CONFLICT OF LAWS.




          11. Headings. The headings in this Award Agreement are for the purpose of convenience
only and are not intended to define or limit the construction of the provisions hereof.




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          IN WITNESS WHEREOF, AIG and you have caused this Award Agreement to be duly executed and
delivered.




	 	 	 	 	 
	 	AMERICAN INTERNATIONAL GROUP, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 



	 	 	 	 	 
	Recipient:
	 	 	 	 
	 

	 	 

	 	 
	Number of DSUs:
	 	 	 	 
	 

	 	 

	 	 
	Date:
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	Accepted and Agreed:
	 	 	 	 






	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

	 	 






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