Exhibit 10.26



 Exhibit 10.26 
 PEOPLE’S UNITED FINANCIAL, INC. 
 2007 RECOGNITION AND RETENTION PLAN 
  
  
 Effective as of
October 18, 2007 
 (as amended April 17, 2008) 







 TABLE OF CONTENTS 
  

					
	 	  	Page
	ARTICLE I
	
	PURPOSE
			
	 Section 1.1
	  	General Purpose of the Plan	  	1
	
	ARTICLE II
	
	DEFINITIONS
	 Section 2.1
	  	Award	  	1
	 Section 2.2
	  	Award Notice	  	1
	 Section 2.3
	  	Bank	  	1
	 Section 2.4
	  	Beneficiary	  	1
	 Section 2.5
	  	Board	  	1
	 Section 2.6
	  	Change of Control	  	1
	 Section 2.7
	  	Code	  	3
	 Section 2.8
	  	Committee	  	3
	 Section 2.9
	  	Company	  	3
	 Section 2.10
	  	Disability	  	3
	 Section 2.11
	  	Disinterested Board Member	  	3
	 Section 2.12
	  	Effective Date	  	3
	 Section 2.13
	  	Eligible Director	  	3
	 Section 2.14
	  	Eligible Employee	  	3
	 Section 2.15
	  	Employer	  	4
	 Section 2.16
	  	Exchange Act	  	4
	 Section 2.17
	  	OTS Regulation	  	4
	 Section 2.18
	  	Fund	  	4
	 Section 2.19
	  	Funding Agent	  	4
	 Section 2.20
	  	Funding Agreement	  	4
	 Section 2.21
	  	Person	  	4
	 Section 2.22
	  	Plan	  	4
	 Section 2.23
	  	Retirement	  	4
	 Section 2.24
	  	Service	  	5
	 Section 2.25
	  	Share	  	5
	
	ARTICLE III
	
	SHARES AVAILABLE UNDER PLAN
	 Section 3.1
	  	Shares Available Under Plan	  	5

  

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	ARTICLE IV
	
	ADMINISTRATION
	 Section 4.1
	  	Committee	  	5
	 Section 4.2
	  	Committee Action	  	5
	 Section 4.3
	  	Committee Responsibilities	  	6
	
	ARTICLE V
	
	THE FUND
	 Section 5.1
	  	Contributions	  	6
	 Section 5.2
	  	The Fund	  	6
	 Section 5.3
	  	Investments	  	6
	
	ARTICLE VI
	
	AWARDS
	 Section 6.1
	  	To Eligible Directors	  	7
	 Section 6.2
	  	To Eligible Employees	  	7
	 Section 6.3
	  	Awards in General	  	7
	 Section 6.4
	  	Share Allocations	  	7
	 Section 6.5
	  	Dividend Rights	  	8
	 Section 6.6
	  	Voting Rights	  	8
	 Section 6.7
	  	Tender Offers	  	9
	 Section 6.8
	  	Limitations on Awards	  	9
	
	ARTICLE VII
	
	VESTING
	 Section 7.1
	  	Vesting of Awards	  	10
	 Section 7.2
	  	Designation of Beneficiary	  	11
	 Section 7.3
	  	Manner of Distribution	  	11
	 Section 7.4
	  	Taxes	  	12
	
	ARTICLE VIII
	
	AMENDMENT AND TERMINATION
	 Section 8.1
	  	Termination	  	12
	 Section 8.2
	  	Amendment	  	12
	 Section 8.3
	  	Adjustments in the Event of a Business Reorganization	  	12

  

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	ARTICLE IX
	
	MISCELLANEOUS
	 Section 9.1
	  	Status as an Employee Benefit Plan	  	13
	 Section 9.2
	  	No Right to Continued Employment	  	13
	 Section 9.3
	  	Construction of Language	  	13
	 Section 9.4
	  	Governing Law	  	13
	 Section 9.5
	  	Headings	  	14
	 Section 9.6
	  	Non-Alienation of Benefits	  	14
	 Section 9.7
	  	Notices	  	14
	 Section 9.8
	  	Required Regulatory Provisions	  	14
	 Section 9.9
	  	Approval of Shareholders	  	14

  

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 PEOPLE’S UNITED FINANCIAL, INC. 
 2007 RECOGNITION AND RETENTION PLAN 
 ARTICLE I 
 PURPOSE 
 Section 1.1
General Purpose of the Plan. 
 The purpose of the Plan is to promote the growth and profitability of People’s United
Financial, Inc. and its affiliated companies and to provide eligible directors, certain key officers and employees of People’s United Financial, Inc. and its affiliated companies with an incentive to achieve corporate objectives, to attract and
retain directors, key officers and employees of outstanding competence, to recognize the contributions of directors, key officers and employees in achieving business objectives, and to provide such directors, officers and employees with an equity
interest in People’s United Financial, Inc. and its affiliated companies. 
 ARTICLE II 
 DEFINITIONS 
 The following
definitions shall apply for the purposes of this Plan, unless a different meaning is plainly indicated by the context: 
 Section 2.1 Award means a grant of Shares to an Eligible Director or Eligible Employee pursuant to section 6.1 or 6.2. 
 Section 2.2 Award Notice means, with respect to a particular Award, a written instrument signed by the Company and the Awards recipient evidencing the granting of the Award and establishing
the terms and conditions thereof. 
 Section 2.3 Bank means People’s United Bank and any successor thereto.

 Section 2.4 Beneficiary means the Person designated by an Eligible Director or Eligible Employee pursuant to
section 7.2 to receive distribution of any Shares available for distribution to such Eligible Director or Eligible Employee, in the event such Eligible Director or Eligible Employee dies prior to receiving distribution of such Shares. 
 Section 2.5 Board means the Board of Directors of the Company. 
 Section 2.6 Change of Control means any of the following events: 
 (a) the consummation of a reorganization, merger or consolidation of the Company with one or more other persons, other than a transaction
following which: 







 (i) at least 51% of the equity ownership interests of the entity resulting from such
transaction are beneficially owned (within the meaning of Rule 13d-3 promulgated under the Exchange Act) in substantially the same relative proportions by persons who, immediately prior to such transaction, beneficially owned (within the meaning of
Rule 13d-3 promulgated under the Exchange Act) at least 51% of the outstanding equity ownership interests in the Company; and 
 (ii) at least 51% of the securities entitled to vote generally in the election of directors of the entity resulting from such transaction are beneficially owned (within the meaning of Rule 13d-3 promulgated under the Exchange Act) in
substantially the same relative proportions by persons who, immediately prior to such transaction, beneficially owned (within the meaning of Rule 13d-3 promulgated under the Exchange Act) at least 51% of the securities entitled to vote generally in
the election of directors of the Company; 
 (b) the acquisition of all or substantially all of the assets of the Company or
beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of 25% or more of the outstanding securities of the Company entitled to vote generally in the election of directors by any person or by any persons acting in
concert; 
 (c) a complete liquidation or dissolution of the Company; 
 (d) the occurrence of any event if, immediately following such event, at least 50% of the members of the board of directors of the Company
do not belong to any of the following groups: 
 (i) individuals who were members of the board of directors of the Company on
the Effective Date; or 
 (ii) individuals who first became members of the board of directors of the Company after the
Effective Date either: 
 (A) upon election to serve as a member of the board of Directors of the Company by affirmative vote
of at least three-quarters of the members of such board, or of a nominating committee thereof, in office at the time of such first election; or 
 (B) upon election by the shareholders of the Company to serve as a member of such board, but only if nominated for election by affirmative vote of at least three-quarters of the members of the board of directors of
the Company, or of a nominating committee thereof, in office at the time of such first nomination; 
 provided, however, that
such individual’s election or nomination did not result from an actual or threatened election contest or other actual or 

  

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threatened solicitation of proxies or consents other than by or on behalf of the board of directors of the Company; 
 (e) approval by the stockholders of the Company of any agreement, plan or arrangement for the consummation of a transaction which, if
consummated, would result in the occurrence of an event described in section 2.6(a), (b), (c) or (d); or 
 (f) any event
which would be described in section 2.6(a), (b), (c), (d) or (e) if the term “Bank” were substituted for the term “Company” therein. 
 In no event, however, shall a Change of Control be deemed to have occurred as a result of any acquisition of securities or assets of the Company, the Bank, or a subsidiary of either of them, by the Company, the Bank, or any subsidiary of
either of them, or by any employee benefit plan maintained by any of them. For purposes of this section 2.6, the term “person” shall have the meaning assigned to it under sections 13(d)(3) or 14(d)(2) of the Exchange Act. 
 Section 2.7 Code means the Internal Revenue Code of 1986 (including the corresponding provisions of any succeeding law).

 Section 2.8 Committee means the Committee described in section 4.1. 
 Section 2.9 Company means People’s United Financial, Inc., a Delaware corporation, and any successor thereto. 

Section 2.10 Disability means a condition of total incapacity, mental or physical, for further performance of duty with an
Employer which the Committee shall have determined, on the basis of competent medical evidence, is likely to be permanent. 
 Section 2.11 Disinterested Board Member means a member of the Board who (a) is not a current employee of the Company or a subsidiary, (b) does not receive remuneration from the Company or a subsidiary,
either directly or indirectly, in any capacity other than as a director, except in an amount for which disclosure would not be required pursuant to Item 404(a) of the proxy solicitation rules of the Securities and Exchange Commission and
(c) does not possess an interest in any other transaction, and is not engaged in a business relationship, for which disclosure would be required pursuant to Item 404(a) or (b) of the proxy solicitation rules of the Securities and
Exchange Commission. The term Disinterested Board Member shall be interpreted in such manner as shall be necessary to conform to the requirements of section 162(m) of the Code and Rule 16b-3 promulgated under the Exchange Act. 
 Section 2.12 Effective Date means October 18, 2007. 
 Section 2.13 Eligible Director means a member of the board of directors or an advisory board of an Employer who is not also an
employee of any Employer. 
 Section 2.14 Eligible Employee means any employee whom the Committee may determine to
be a key officer or employee of the Employer and selects to receive an Award pursuant to the Plan. 
  

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 Section 2.15 Employer means the Company, the Bank and any
successor thereto and, with the prior approval of the Board of Directors of the Company, and subject to such terms and conditions as may be imposed by the Board, any other savings bank, savings and loan association, bank, corporation, financial
institution or other business organization or institution. With respect to any Eligible Employee or Eligible Director, the Employer shall mean the entity which employs such person or upon whose board of directors or advisory board such person
serves. 
 Section 2.16 Exchange Act means the Securities and Exchange Act of 1934, as amended. 
 Section 2.17 OTS Regulations means the rules and regulations of the Office of Thrift Supervision. 
 Section 2.18 Fund means the corpus (consisting of contributions paid over to the Funding Agent, and investments thereof), and
all earnings, appreciations or additions thereof and thereto, held by the Funding Agent under the Funding Agreement in accordance with the Plan, less any depreciation thereof and any payments made therefrom pursuant to the Plan. 
 Section 2.19 Funding Agent means the trustee or custodian of the Fund from time to time in office. The Funding Agent shall
serve as Funding Agent until it is removed or resigns from office and is replaced by a successor Funding Agent or Funding Agents appointed by People’s United Financial, Inc. 
 Section 2.20 Funding Agreement means the agreement between People’s United Financial, Inc. and the Funding Agent therein
named or its successor pursuant to which the Fund shall be held in trust or custody. 
 Section 2.21 Person means
an individual, a corporation, a bank, a savings bank, a savings and loan association, a financial institution, a partnership, an association, a joint-stock company, a trust, an estate, an unincorporated organization and any other business
organization or institution. 
 Section 2.22 Plan means the People’s United Financial, Inc. 2007 Recognition
and Retention Plan as amended from time to time. 
 Section 2.23 Retirement means (a) in the case of an
Eligible Employee, termination of all service for all Employers as an employee at or after age 65, and (b) in the case of an Eligible Director who is a member of an Employer’s board of directors, termination of all service for all
Employers as a voting member of the Employer’s board of directors after the attainment of the latest age at which the Eligible Director is eligible for election or appointment as a voting member of the Employer’s board of directors under
the Employer’s charter or by-laws, and (c) in the case of an Eligible Director who is a member of an advisory board of an Employer but is not a member of an Employer’s board of directors, termination of service as a member of the
Employer’s advisory board. In the case of any individual who comes within the scope of more than one of subsections (a) through (c) of the foregoing sentence, Retirement shall be deemed to have occurred at the earliest possible date.

  

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 Section 2.24 Service means service for an Employer as an employee
in any capacity, and service as a director or emeritus director or advisory director of an Employer. 
 Section 2.25
Share means a share of common stock of People’s United Financial, Inc., par value $.01 per share. 
 ARTICLE III 

 SHARES AVAILABLE UNDER PLAN 
 Section 3.1 Shares Available Under Plan. 
 (a)
The maximum number of Shares available for Awards under the Plan shall be 6,969,050, subject to adjustment pursuant to section 8.3. 
 (b) An aggregate maximum of 2,090,715 Shares (subject to adjustment pursuant to section 8.3) may be granted as Awards to Eligible Directors, and a maximum of 348,452 Shares (subject to adjustment pursuant to section 8.3) may be granted as
Awards to any one Eligible Director. 
 (c) An aggregate maximum of 6,969,050 Shares (subject to adjustment pursuant to
section 8.3) may be granted as Awards to Eligible Employees, and a maximum of 1,742,262 Shares (subject to adjustment pursuant to section 8.3) may be granted as Awards to any one Eligible Employee. 
 ARTICLE IV 
 ADMINISTRATION 

 Section 4.1 Committee. 
 The Plan shall be administered by the Compensation and Nominating Committee (the “Committee”) or such other committee of the Board that is designated and empowered to perform the functions of the Committee,
and shall be composed of not fewer than two Disinterested Board Members. 
 Section 4.2 Committee Action.

 The Committee shall hold such meetings, and may make such administrative rules and regulations, as it may deem proper. A majority of the
members of the Committee shall constitute a quorum, and the action of a majority of the members of the Committee present at a meeting at which a quorum is present, as well as actions taken pursuant to the unanimous written consent of all of the
members of the Committee without holding a meeting, shall be deemed to be actions of the Committee. Subject to the terms and conditions of the Plan and such limitations as may be imposed by the Board, all actions of the Committee shall be final and
conclusive and shall be binding upon the Company and all other interested parties. Any Person dealing with the Committee shall be fully protected in relying upon any written notice, instruction, direction or other communication signed by the Chair
of the Committee and one member of the Committee, 

  

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by two members of the Committee or by a representative of the Committee authorized to sign the same in its behalf. 
 Section 4.3 Committee Responsibilities. 
 Subject to the terms and conditions of the Plan and such limitations as may be imposed by the Board, the Committee shall be responsible for the overall management and administration of the Plan and shall have such
authority as shall be necessary or appropriate in order to carry out its responsibilities, including, without limitation, the authority: 
 (a) to interpret and construe the Plan, and to determine all questions that may arise under the Plan as to eligibility for Awards under the Plan, the amount of Shares, if any, to be granted pursuant to an Award, and
the terms and conditions of such Award; 
 (b) to adopt rules and regulations and to prescribe forms for the operation and
administration of the Plan; and 
 (c) to take any other action not inconsistent with the provisions of the Plan that it may
deem necessary or appropriate. 
 ARTICLE V 
 THE FUND 
 Section 5.1 Contributions. 
 The Company shall contribute, or cause to be contributed, to the Fund, from time to time, such amounts of money or property as shall be determined by the
Board, in its discretion. No contributions by Eligible Directors or Eligible Employees shall be permitted. 
 Section 5.2 The
Fund. 
 The Fund shall be held and invested under the Funding Agreement with the Funding Agent. The provisions of the Funding
Agreement shall include provisions conferring powers on the Funding Agent as to investment, control and disbursement of the Fund, and such other provisions not inconsistent with the Plan as may be prescribed by or under the authority of the Board.
No bond or security shall be required of any Funding Agent at any time in office. 
 Section 5.3 Investments.

 The Funding Agent shall invest the Fund in Shares and in such other investments as may be permitted under the Funding Agreement, including
savings accounts, time or other interest bearing deposits in or other interest bearing obligations of the Company, in such proportions as shall be determined by the Committee; provided, however, that in no event shall the Fund be used
to purchase more than 6,969,050 Shares (subject to adjustment pursuant to section 8.3). Notwithstanding the immediately preceding sentence, the Funding Agent may temporarily invest the Fund in short-term obligations of, or guaranteed by, the U.S.
Government 

  

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or an agency thereof, or the Funding Agent may retain the Fund uninvested or may sell assets of the Fund to provide amounts required for purposes of the
Plan. 
 ARTICLE VI 
 AWARDS 
 Section 6.1 To Eligible Directors. 
 Subject to the limitations of the Plan and such limitations as the Board may from time to time impose, the number of Shares as to which an Eligible
Director may be granted an Award shall be determined by the Committee in its discretion; provided, however, that in no event shall the number of Shares allocated to an Eligible Director in an Award exceed the number of Shares reserved
to the Plan and not allocated in connection with other Awards. 
 Section 6.2 To Eligible Employees. 
 Subject to the limitations of the Plan and such limitations as the Board may from time to time impose, the number of Shares as to which an Eligible
Employee may be granted an Award shall be determined by the Committee in its discretion; provided, however, that in no event shall the number of Shares allocated to an Eligible Employee in an Award exceed the number of Shares reserved
to the Plan and not allocated in connection with other Awards. 
 Section 6.3 Awards in General. 
 Each Award shall be evidenced by an Award Notice issued by the Committee to the Eligible Director or Eligible Employee, which notice shall: 
 (a) specify the number of Shares covered by the Award; 
 (b) specify the date of grant of the Award; 
 (c) specify the dates on which such Shares shall become vested; and 
 (d) contain such other
terms and conditions not inconsistent with the Plan as the Board or Committee may, in its discretion, prescribe. 
 Section 6.4
Share Allocations. 
 Upon the grant of an Award to an Eligible Director or Eligible Employee, the Committee shall notify the
Funding Agent of the Award and of the number of Shares subject to the Award. Thereafter, until such time as the Shares subject to such Award become vested or are forfeited, the books and records of the Funding Agent shall reflect that such number of
Shares have been awarded to such Award recipient. 
  

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 Section 6.5 Dividend Rights. 
 (a) Unless the Committee determines otherwise with respect to any Award and specifies such determination in the relevant Award Notice, any cash dividends
or distributions declared and paid with respect to Shares subject to the Award that are, as of the record date for such dividend, allocated to an Eligible Director or Eligible Employee in connection with such Award shall be promptly paid to and
retained by such Eligible Director or Eligible Employee. Any cash dividends declared and paid with respect to Shares that are not, as of the record date for such dividend, allocated to any Eligible Director or Eligible Employee in connection with
any Award shall, at the direction of the Committee, be held in the Trust or used to pay the administrative expenses of the Plan, including any compensation due to the Funding Agent. 
 (b) Unless the Committee determines otherwise with respect to any Award and specifies such determination in the relevant Award Notice, any dividends or
distributions declared and paid in property other than cash with respect to Shares shall be subject to the same vesting and other restrictions as the Shares to which the Award relates. Any such dividends declared and paid with respect to Shares that
are not, as of the record date for such dividend, allocated to any Eligible Director or Eligible Employee in connection with any Award shall, at the direction of the Committee, be held in the Trust or used to pay the administrative expenses of the
Plan, including any compensation due to the Funding Agent or, in the case of a stock dividend, used for future Awards. 
 Section 6.6 Voting Rights. 
 (a) Each Eligible Director or Eligible Employee to whom an Award has been
made that is not fully vested shall have the right to exercise, or direct the exercise of, all voting rights appurtenant to unvested Shares related to such Award. Such a direction for any Shares as to which the Eligible Director or Eligible Employee
is not the record owner shall be given by completing and filing, with the inspector of elections, the Funding Agent or such other person who shall be independent of the Company as the Committee shall designate in the direction, a written direction
in the form and manner prescribed by the Committee. If no such direction is given by an Eligible Director or Eligible Employee, then the voting rights appurtenant to the Shares allocated to him shall not be exercised. 
 (b) To the extent that the Fund contains Shares that are not allocated in connection with an Award, all voting rights appurtenant to such Shares shall be
exercised by the Funding Agent in such manner as the Committee shall direct to reflect the voting directions given by Eligible Directors or Eligible Employees with respect to Shares allocated in connection with their Awards. 
 (c) The Committee shall furnish, or cause to be furnished, to each Eligible Director or Eligible Employee who is not the record holder of the Shares
relating to his or her Award all annual reports, proxy materials and other information furnished by the Company, or by any proxy solicitor, to the holders of Shares. 
  

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 Section 6.7 Tender Offers. 
 (a) Each Eligible Director or Eligible Employee to whom an Award has been made that is not fully vested shall have the right to respond, or to direct the
response, with respect to the Shares related to such Award, to any tender offer, exchange offer or other offer made to the holders of Shares. Such a direction for any Shares as to which the Eligible Director or Eligible Employee is not the record
owner shall be given by completing and filing, with the inspector of elections, the Funding Agent or such other person who shall be independent of the Company as the Committee shall designate in the direction, a written direction in the form and
manner prescribed by the Committee. If no such direction is given by an Eligible Director or Eligible Employee, then the Shares shall not be tendered or exchanged. 
 (b) To the extent that the Fund contains Shares that are not allocated in connection with an Award, all responses to tender, exchange and other offers appurtenant to such Shares shall be given by the Funding Agent in
such manner as the Committee shall direct to reflect the responses given by Eligible Directors or Eligible Employees with respect to Shares allocated in connection with their Awards. 
 (c) The Committee shall furnish, or cause to be furnished, to each Eligible Director or Eligible Employee, all information furnished by the offeror to
the holders of Shares. 
 Section 6.8 Limitations on Awards. 
 (a) No Award shall be granted under the Plan prior to the later of the date on which the Plan is approved by shareholders pursuant to section 9.9 or
October 16, 2007; 
 (b) No Award granted under the Plan shall become vested more rapidly than under the following schedule unless,
subject to restrictions contained in the OTS Regulations, a different vesting schedule is established by the Committee and specified in the agreement evidencing the Award: 
 (i) prior to the first anniversary of the grant date, no part of any Award shall be vested in the absence of the death, Retirement or
Disability of the Award recipient or upon a Change of Control; 
 (ii) on and after the first anniversary of the grant date
and prior to the second anniversary of the grant date, an Award will be vested as to a maximum of twenty percent (20%) of the Shares subject to the Award when granted in the absence of the death, Retirement or Disability of the Award recipient
or upon a Change of Control; 
 (iii) on and after the second anniversary of the grant date and prior to the third anniversary
of the grant date, an Award may be vested as to a maximum of forty percent (40%) of the Shares subject to the Award when granted in the absence of the death, Retirement or Disability of the Award recipient or upon a Change of Control;

  

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 (iv) on and after the third anniversary of the grant date and prior to the fourth
anniversary of the grant date, an Award may be vested as to a maximum of sixty percent (60%) of the Shares subject to the Award when granted in the absence of the death, Retirement or Disability of the Award recipient or upon a Change of
Control; 
 (v) on and after the fourth anniversary of the grant date and prior to the fifth anniversary of the grant date, an
Award may be vested as to a maximum of eighty percent (80%) of the Shares subject to the Award when granted in the absence of the death, Retirement or Disability of the Award recipient or upon a Change of Control; and 
 (vi) on and after the fifth anniversary of the grant date, the Award may be vested as to one hundred percent (100%) of the Shares
subject to the Award when granted; and 
 (vii) an Award may become fully vested on the date of the Award holder’s death,
Retirement, Disability or upon a Change of Control without regard to the time expired from and after the Effective Date and the grant date. 
 (c) An Award by its terms shall not be transferable by the Eligible Director or Eligible Employee other than by will or by the laws of descent and distribution, and the Shares granted pursuant to such Award and held in the Fund shall be
distributable, during the lifetime of the Recipient, only to the Recipient. 
 ARTICLE VII 
 VESTING 
 Section 7.1
Vesting of Awards. 
 Subject to the terms and conditions of the Plan, unless otherwise determined by the Committee and
specified in the Award Notice relating to an Award, Shares subject to each Award granted to an Eligible Director or Eligible Employee under the Plan shall become vested as follows: (i) twenty percent (20%) of such Shares shall become
vested on the first anniversary of the date of grant; (ii) an additional twenty percent (20%) of such Shares shall become vested on the second anniversary of the date of grant; (iii) an additional twenty percent (20%) of such
Shares shall become vested on the third anniversary of the date of grant; (iv) an additional twenty percent (20%) of such Shares shall become vested on the fourth anniversary of the date of grant; (v) an additional twenty percent
(20%) of such Shares shall become vested on the fifth anniversary of the date of grant; provided that to the extent that any Award shall not have become vested prior to the date on which the Award holder terminates Service with an Employer such
Award shall not thereafter become vested and provided, further, an Award shall become 100% vested upon the Award recipient’s death, Retirement, Disability or upon the occurrence of a Change of Control while in the Service of an Employer.

  

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 Section 7.2 Designation of Beneficiary. 
 An Eligible Director or Eligible Employee who has received an Award may designate a Beneficiary to receive any undistributed Shares that are, or become,
available for distribution on, or after, the date of his death. Such designation (and any change or revocation of such designation) shall be made in writing in the form and manner prescribed by the Committee. In the event that the Beneficiary
designated by an Eligible Director or Eligible Employee dies prior to the Eligible Director or Eligible Employee, or in the event that no Beneficiary has been designated, any undistributed Shares that are, or become, available for distribution on,
or after, the Eligible Director’s or Eligible Employee’s death shall be paid to the executor or administrator of the Eligible Director’s or Eligible Employee’s estate, or if no such executor or administrator is appointed within
such time as the Committee, in its sole discretion, shall deem reasonable, to such one or more of the spouse and descendants and blood relatives of such deceased person as the Committee may select. 
 Section 7.3 Manner of Distribution. 
 (a) Except as provided in section 7.3(b), as soon as practicable following the date any Shares granted pursuant to an Award become vested pursuant to sections 7.1, the Committee shall take such actions as are
necessary to cause the transfer of record ownership of the Shares that have become vested from the Funding Agent to the Award holder and shall cause the Funding Agent to distribute to the Award holder all property other than Shares then being held
in connection with the Shares being distributed. 
 (b) The Committee may, in its discretion, cause the transfer to an Award recipient of
record ownership of the Shares subject to such Award that have not yet vested. Any such Shares shall be held in certificated form only, and the certificate therefor shall bear the following or a substantially similar legend: 
 The securities evidenced hereby are subject to the terms of an Award Notice dated [date] between the issuer and [name of Award recipient]
pursuant to the People’s United Financial, Inc. 2007 Recognition and Retention Plan, a copy of which is on file with the issuer and may be inspected at the issuer’s executive offices at 850 Main Street, Bridgeport, Connecticut 06604. No
sale, transfer, hypothecation or other disposition of these securities may be made except in compliance with the terms of such Award Notice and the terms of the Plan. 
 (c) The Company’s obligation to deliver Shares with respect to an Award shall, if the Committee so requests, be conditioned upon the receipt of a representation as to the investment intention of the Eligible
Director or Eligible Employee or Beneficiary to whom such Shares are to be delivered, in such form as the Committee shall determine to be necessary or advisable to comply with the provisions of applicable federal, state or local law. It may be
provided that any such representation shall become inoperative upon a registration of the Shares or upon the occurrence of any other event eliminating the necessity of such representation. The Company shall not be required to deliver any Shares
under the Plan prior to (i) the admission of 

  

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such Shares to listing on any stock exchange on which Shares may then be listed, or (ii) the completion of such registration or other qualification
under any state or federal law, rule or regulation as the Committee shall determine to be necessary or advisable. 
 Section 7.4
Taxes. 
 The Company, the Committee or the Funding Agent shall have the right to require any person entitled to receive Shares
pursuant to an Award to pay the amount of any tax which is required to be withheld with respect to such Shares, or, in lieu thereof, to retain, or to sell without notice, a sufficient number of Shares to cover the amount required to be withheld.

 ARTICLE VIII 
 AMENDMENT AND TERMINATION 
 Section 8.1 Termination. 
 The Board may suspend or terminate the Plan in whole or in part at any time by giving written notice of such suspension or termination to the Committee;
provided, however, that the Plan may not be terminated while there are outstanding Awards that may thereafter become vested. Upon the termination of the Plan, the Funding Agent shall make distributions from the Fund in such amounts and
to such persons as the Committee may direct and shall return the remaining assets of the Fund, if any, to the Company. 
 Section 8.2 Amendment. 
 The Board may amend or revise the Plan in whole or in part at any time, but no
amendment shall be made that would impair the rights of an Eligible Director or Eligible Employee under an Award theretofore granted, without such Eligible Director’s or Eligible Employee’s consent. 
 Section 8.3 Adjustments in the Event of a Business Reorganization. 
 (a) In the event of any merger, consolidation, or other business reorganization (including but not limited to a Change of Control) in which People’s
United Financial, Inc. is the surviving entity, and in the event of any stock split, stock dividend or other event generally affecting the number of Shares held by each person who is then a holder of record of Shares, the number of Shares held or
permitted to be held in the Fund, the number of Shares covered by outstanding Awards, and the number of Shares available as Awards in total or to particular individuals or groups shall be adjusted to account for such event. Such adjustment shall be
effected by multiplying such number of Shares by an amount equal to the number of Shares that would be owned after such event by a person who, immediately prior to such event, was the holder of record of one Share, unless the Committee, in its
discretion, establishes another appropriate method of adjustment. 
  

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 (b) In the event of any merger, consolidation, or other business reorganization (including but not
limited to a Change of Control) in which People’s United Financial, Inc. is not the surviving entity, the Funding Agent shall hold in the Fund any money, stock, securities or other property received by holders of record of Shares in connection
with such merger, consolidation, or other business reorganization. Any Award with respect to which Shares had been allocated to an Eligible Director or Eligible Employee shall be adjusted by allocating to the Eligible Director or Eligible Employee
receiving such Award the amount of money, stock, securities or other property received by the Funding Agent for the Shares allocated to such Eligible Director or Eligible Employee, and such money, stock, securities or other property shall be subject
to the same terms and conditions of the Award that applied to the Shares for which it has been exchanged. 
 ARTICLE IX 
 MISCELLANEOUS 
 Section 9.1
Status as an Employee Benefit Plan. 
 This Plan is not intended to satisfy the requirements for qualification under section
401(a) of the Code or to satisfy the definitional requirements for an “employee benefit plan” under section 3(3) of the Employee Retirement Income Security Act of 1974, as amended. It is intended to be a non-qualified incentive
compensation program that is exempt from the regulatory requirements of the Employee Retirement Income Security Act of 1974, as amended. The Plan shall be construed and administered so as to effectuate this intent. 
 Section 9.2 No Right to Continued Employment. 
 Neither the establishment of the Plan nor any provisions of the Plan nor any action of the Board or the Committee with respect to the Plan shall be held or construed to confer upon any Eligible Director or Eligible
Employee any right to continue in the service of any Employer. The Employers reserve the right to remove any Eligible Director or dismiss any Eligible Employee or otherwise deal with any Eligible Director or Eligible Employee to the same extent as
though the Plan had not been adopted. 
 Section 9.3 Construction of Language. 
 Whenever appropriate in the Plan, words used in the singular may be read in the plural, words used in the plural may be read in the singular, and words
importing the masculine gender may be read as referring equally to the feminine or the neuter. Any reference to an Article or section number shall refer to an Article or section of this Plan unless otherwise indicated. 
 Section 9.4 Governing Law. 
 The Plan shall be construed and enforced in accordance with the laws of the State of Delaware without giving effect to the conflict of laws principles thereof, except to the extent that such laws are preempted by the federal laws of the
United States of America. The Plan shall be construed to comply with applicable OTS Regulations. 
  

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 Section 9.5 Headings. 
 The headings of Articles and sections are included solely for convenience of reference. If there is any conflict between such headings and the text of the
Plan, the text shall control. 
 Section 9.6 Non-Alienation of Benefits. 
 The right to receive a benefit under the Plan shall not be subject in any manner to anticipation, alienation or assignment, nor shall such right be liable
for or subject to debts, contracts, liabilities, engagements or torts; provided, however, that any recipient of an Award who makes an election pursuant to section 83(b) of the Code to include the value of the Shares subject to such
Award in gross income for federal income purposes when granted rather than when vested shall have the right to margin such Shares to finance the payment of taxes. Any Shares so margined shall nevertheless remain subject to the forfeiture provisions
and other terms and conditions of the Award. 
 Section 9.7 Notices. 
 Any communication required or permitted to be given under the Plan, including any notice, direction, designation, comment, instruction, objection or
waiver, shall be in writing and shall be deemed to have been given at such time as it is personally delivered or 5 days after mailing if mailed, postage prepaid, by registered or certified mail, return receipt requested, addressed to such party at
the address listed below, or at such other address as one such party may by written notice specify to the other: 
 (a) If to the Committee:

  

	
	 People’s United Financial, Inc.
 850 Main Street

 Bridgeport, Connecticut 06604
  
 Attention: Corporate Secretary


 (b) If to an Eligible Director or Eligible Employee, to the Eligible Director’s or Eligible
Employee’s address as shown in the Employer’s records. 
 Section 9.8 Required Regulatory Provisions.

 The making and payment of Awards under this Plan shall be conditioned upon and subject to compliance with section 18(k) of the Federal
Deposit Insurance Act, 12 U.S.C. 1828(k), and the rules and regulations promulgated thereunder. 
 Section 9.9 Approval of
Shareholders. 
 The Plan shall not be effective or implemented unless approved by the holders of a majority of the total votes
eligible to be cast at any duly called annual or special meeting of the Company in which case the Plan shall be effective as of the later of (a) October 16, 2007 or (b) 

  

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the date of such approval. No Award shall be made prior to the date on which the Plan becomes effective. 
 -ooo00ooo- 
  

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