**Exhibit      10.26**

**INGERSOLL-RAND      COMPANY**

**ELECTED      OFFICERS SUPPLEMENTAL PROGRAM II**

**Effective      January 1, 2005**

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**Introduction**

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**INGERSOLL-RAND      COMPANY**

**ELECTED      OFFICERS SUPPLEMENTAL PROGRAM II**

**TABLE      OF CONTENTS**

|                                                                  |    |                                         |  Page |
|-----------------------------------------------------------------------|---------|----------------------------------------------|------------|
|                                                                  |    |                                         |       |
| **INTRODUCTION**                                                      |  i |
|                                                                  |    |                                         |       |
| **ARTICLE                1****-****DEFINITIONS**                      |    |
|                                                                  |    |                                         |       |
|                                                                  | 1.1     | Actuarial                Equivalent          | 1          |
|                                                                  | 1.2     | Board                                        | 1          |
|                                                                  | 1.3     | Change                in Control             | 1          |
|                                                                  | 1.4     | Company                                      | 1          |
|                                                                  | 1.5     | Committee                                    | 1          |
|                                                                  | 1.6     | Deferral                Plan                 | 1          |
|                                                                  | 1.7     | Effective                Time                | 1          |
|                                                                  | 1.8     | Elected                Officer               | 1          |
|                                                                  | 1.9     | Employee                                     | 1          |
|                                                                  | 1.10    | Estate                Program                | 1          |
|                                                                  | 1.11    | Final                Average Pay             | 1          |
|                                                                  | 1.12    | Merger                Agreement              | 2          |
|                                                                  | 1.13    | Pension                Plan                  | 2          |
|                                                                  | 1.14    | Predecessor                Program           | 2          |
|                                                                  | 1.15    | Program                                      | 2          |
|                                                                  | 1.16    | Year                of Service               | 3          |
|                                                                  |    |                                         |       |
| **ARTICLE                2****-****ARTICIPATION**                     |    |
|                                                                  |    |                                         |       |
|                                                                  | 2.1     | Commencement                of Participation | 4          |
|                                                                  | 2.2     | Duration                of Participation     | 4          |
|                                                                  |    |                                         |       |
| **ARTICLE                3****-****AMOUNT                OF BENEFIT** |    |
|                                                                  |    |                                         |       |
|                                                                  | 3.1     | Amount                of Benefit             | 5          |
|                                                                  |    |                                         |       |
| **ARTICLE                4****-****VESTING**                          |    |
|                                                                  |    |                                         |       |
|                                                                  | 4.1     | Vesting                                      | 6          |
|                                                                  | 4.2     | Forfeiture                for Cause          | 6          |

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**INGERSOLL-RAND      COMPANY**

**TABLE      OF CONTENTS (cont.)**

|                                                                  |   |                                                 | Page   |
|-----------------------------------------------------------------------|--------|------------------------------------------------------|--------|
| **ARTICLE                5****-****DISTRIBUTIONS**                    |   |
|                                                                  |   |                                                 |   |
|                                                                  | 5.1    | Retirement                                           | 7      |
|                                                                  | 5.2    | Form                of Distribution                  | 8      |
|                                                                  | 5.3    | Disability                                           | 8      |
|                                                                  | 5.4    | Death                                                | 9      |
|                                                                  | 5.5    | Payment                of Benefits                   | 10     |
|                                                                  | 5.6    | Special                Rule                          | 10     |
|                                                                  | 5.7    | No                Acceleration                       | 10     |
|                                                                  |   |                                                 |   |
|                                                                  |   |                                                 |   |
| **ARTICLE                6****-****FUNDING**                          |   |
|                                                                  |   |                                                 |   |
|                                                                  | 6.1    | Funding                                              | 11     |
|                                                                  | 6.2    | Company                Obligation                    | 11     |
|                                                                  |   |                                                 |   |
| **ARTICLE                7****-****CHANGE                IN CONTROL** |   |
|                                                                  |   |                                                 |   |
|                                                                  | 7.1    | Contributions                to Trust                | 12     |
|                                                                  | 7.2    | Amendments                                           | 12     |
|                                                                  |   |                                                 |   |
| **ARTICLE                8****-****MISCELLANEOUS**                    |   |
|                                                                  |   |                                                 |   |
|                                                                  | 8.1    | Amendment                and Termination             | 13     |
|                                                                  | 8.2    | No                Contract of Employment             | 13     |
|                                                                  | 8.3    | Withholding                                          | 13     |
|                                                                  | 8.4    | Loans                                                | 13     |
|                                                                  | 8.5    | Compensation                and Nominating Committee | 13     |
|                                                                  | 8.6    | Entire                Agreement; Successors          | 14     |
|                                                                  | 8.7    | Severability                                         | 14     |
|                                                                  | 8.8    | Governing                Law                         | 14     |
|                                                                  | 8.9    | Participant                as General Creditor       | 14     |
|                                                                  | 8.10   | Nonassignability                                     | 14     |
|                                                                  |   |                                                 |   |
| **APPENDIX                A**                                         | 16     |

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**ARTICLE      1**

**DEFINITIONS**

| **1.1** | **“Actuarial                Equivalent”**                means an amount having equal value to a single life annuity when                computed                on the basis of the mortality table specified in IRS Revenue Ruling                2001-62 and an interest rate equal to the average of the monthly                rates for                ten-year Constant Maturities for US Treasury Securities for the                twelve-month period immediately preceding the month prior to the                month in                which a determination of benefit occurs, such rate as published in                Federal                Reserve statistical release H.15(519). |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **1.2** | **“Board”**                means the Board of Directors of Ingersoll-Rand                Company. |
|---------|---------------------------------------------------------------------------------------------------------------|

| **1.3** | **“Change                in Control”**                shall have the same meaning as such term is defined in the most recent                Company Incentive Stock Plan, unless a different definition is used                for                purposes of a change in control event in any severance or employment                agreement between an Employer and an Employee, in which event as                to such                Employee such definition shall apply.  Notwithstanding any other                provision in this Program to the contrary, none of the transactions                contemplated by the Merger Agreement that are undertaken by (i)                Ingersoll-Rand Company or its affiliates prior to or as of the Effective                Time or (ii) Ingersoll-Rand Company Limited or its affiliates on                and after                the Effective Time, shall trigger, constitute or be deemed a Change                in                Control.  On and after the Effective Time, the term Change in Control                shall refer solely to a Change in Control of Ingersoll-Rand Company                Limited. |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **1.4** | **“Company”**                means Ingersoll-Rand Company, and its successors or                assigns. |
|---------|----------------------------------------------------------------------------------------------------------------------|

| **1.5** | **“Committee”**                means the Compensation Committee of Ingersoll-Rand Company                Limited. |
|---------|-------------------------------------------------------------------------------------------------------------------------------|

| **1.6** | **“Deferral                Plan”**                means the IR Executive Deferred Compensation Plan and/or the IR Executive                Deferred Compensation Plan II. |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **1.7** | **"Effective                Time"**means                the Effective Time as such term is defined in the Merger Agreement. |
|---------|-----------------------------------------------------------------------------------------------------------------------------|

| **1.8** | **“Elected                Officer”**                means an individual elected by the Board as an officer of the                Company. |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

| **1.9** | **“Employee”**                means an individual eligible to participate in the Program as provided                in                Section 2.1. |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **1.10** | **“Estate                Program”**means                the Ingersoll-Rand Company Estate Enhancement                Program. |
|----------|-------------------------------------------------------------------------------------------------------------------------------------------|

| **1.11** | **“Final                Average Pay”**                means, except as provided in Section 5.3 for purposes of disability,                the                sum of the following: |
|----------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (a) | for                Employees actively employed by the Company or one of its affiliates                on and                after February 1, 2006, the average of each of the three highest                bonus                awards (whether the awards are paid to the Employee, are a Deferral                Amount                (as such term is defined in the Deferral Plan) or the Employee has                elected                to forgo a bonus award pursuant to the Estate Program) during the                six most                recent calendar years, including the year during which the Employee’s                retirement or death occurs, or a Change in Control occurs, but excluding                Supplemental Contributions (as such term is defined in the Deferral                Plan)                or any amounts paid from the Deferred Compensation Account (as such                term                is defined in the Deferral Plan) or any other account under the Deferral                Plan including, but not limited to, amounts paid consisting of Deferral                Amounts and Supplemental Contributions and their earnings, and any                amounts                paid by the Company pursuant to the Estate Program,                and |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | the                Employee’s annualized base salary in effect immediately prior to the date                of determination (whether such base salary is paid to the Employee                or is a                Deferral Amount (as such term is defined in the Deferral                Plan)). |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **1.12** | **"Merger                Agreement"**means                that certain Agreement and Plan of Merger among the Company,                Ingersoll-Rand Company Limited, and IR Merger Corporation dated as                of                October 31, 2001, pursuant to which the Company will become an indirect                wholly-owned subsidiary of Ingersoll-Rand Company Limited. |
|----------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **1.13** | **“Pension                Plan”**                means the Ingersoll-Rand Pension Plan Number One as in effect on                January                1, 2005 and as amended from time to                time. |
|----------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **1.14** | **“Predecessor                Program”**                means the Ingersoll-Rand Company Elected Officers Supplemental Program,                as                effective                on June 30, 1995, as amended and restated, effective January 1, 2003,                and                as thereafter amended. |
|----------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **1.15** | **“Program”**means                the Ingersoll-Rand Company Elected Officers Supplemental Program                II as                stated herein and as may be amended from time to                time. |
|----------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| **1.16** | **"Year                of Service"**shall                be determined in accordance with the provisions of the qualified                defined                benefit pension plan(s) (as defined below) in which an individual                participates while an Employee that are applicable to determining                years of                vesting service under such plan.                 For purposes of this Section a qualified defined benefit pension                plan                means a plan (a) sponsored by the Company, any domestic entity in                which                the Company owns (directly or indirectly) a 50% or more interest,                or any                other entity designated by the Company and (b) which is defined in                Code                Section 414(j).  Notwithstanding any provision of the Program to the                contrary, in the event an Employee earns one or more hours of service                during a calendar year, he shall be credited with a Year of Service                with                respect to such year for purposes of the Program. |
|----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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**ARTICLE      2**

**PARTICIPATION**

| **2.1** | **Commencement                of Participation** |
|---------|--------------------------------------------------|

| **2.2** | **Duration                of Participation** |
|---------|----------------------------------------------|

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**ARTICLE      3**

**AMOUNT      OF BENEFIT**

| **3.1** | **Amount                of Benefit** |
|---------|--------------------------------------|

|  | (a) | the                product of: |
|--|-----|--------------------------------|

|   | (i) | his                Final Average Pay, |
|--------|-----|---------------------------------------|

|   | (ii) | his                Years of Service (up to a maximum of 35 Years of                Service), |
|--------|------|----------------------------------------------------------------------------------------------|

|   | (iii) | 1.9%,                and |
|--------|-------|--------------------------|

|   | (iv) | a                factor, as of the Employee’s date of retirement, used to determine the                lump sum that is the Actuarial                Equivalent |
|--------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (b) | the                amount set forth in Appendix A as attached                hereto |
|--|-----|-------------------------------------------------------------------------------------|

|  | (c) | the                benefit he would be entitled to receive under Section 5.2 of the                Program                but for his election to forgo such benefit pursuant to the Estate                Program |
|--|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (d) | the                benefit payable to the Employee under the Predecessor Program, expressed                in the same form and with the same commencement date as the benefit                payable to the Employee under this                Program. |
|--|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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**ARTICLE      4**

**VESTING**

| **4.1** | **Vesting** |
|---------|-------------|

| **4.2** | **Forfeiture                for Cause** |
|---------|-----------------------------------------|

|   | (a) | The                Employee is discharged by the Company for cause, which shall be a                breach                of the standards set forth in the Ingersoll Rand Company Code of                Conduct;                or |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Determination                by the Committee no later than 12 months after termination of employment                that the Employee has engaged in serious or willful misconduct in                connection with his employment with the Company;                or |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | The                Employee (whether while employed or for two years thereafter) without                the                written consent of the Company is employed by, becomes associated                with,                renders service to, or owns an interest in any business that is                competitive with the Company or with any business in which the Company                has                a substantial interest as determined by the Committee; provided,                however,                that an Employee may own up to 1% of the publicly traded equity securities                of any business, notwithstanding the                foregoing. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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**ARTICLE      5**

**DISTRIBUTIONS**

**5.1**
**Retirement**

|   | (a) | Retirement                at Age 62 -                An                Employee shall be eligible to retire and receive the benefit under                Section                3.1 upon attaining age 62. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Retirement                before                Age 62 - An                Employee may retire under the Program at any time after he becomes                vested                in accordance with Section 4.1.                In                the event he retires before age 62, he will receive a benefit under                the                Program in accordance with Section 5.5. Such benefit shall be equal                to the                benefit he would have received at age 62 under Section 3.1, provided                however that: |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (i) | the                amount determined under Section 3.1(a) shall be reduced by 0.429%                for each month that the benefit commences prior to age                62, |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (ii) | the                benefit offset amount derived from defined benefit plans, as identified                in                Appendix A and as adjusted for retirement at the earliest date on                which                the Employee may retire and begin receiving a benefit under such                defined                benefit plans and as further adjusted, if necessary, to the Actuarial                Equivalent of the benefit payable on the date benefits under the                Program                commence, shall be as determined under the applicable plans irrespective                of whether the Employee elects to receive a benefit under such plans,                and |
|--|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (iii) | for                years prior to Social Security normal retirement age, the Social                Security                Primary Insurance Amount (as defined in Appendix A) shall be reduced                by                the same factors used by the Social Security Administration to adjust                benefits                payable at age 62 or later, and by .3% for each month that benefits                under                the Program commence prior to age                62. |
|--|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | Retirement                after                Age 62 - If                an Employee retires after age 62 as provided under (a) above, he                will                receive a benefit equal to the greater                of: |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (i) | the                benefit determined under Section 3.1 as of his date of retirement,                or |
|--|-----|---------------------------------------------------------------------------------------------------------|

|  | (ii) | the                benefit he would have received had he retired at age 62, credited                with                interest from the date he attained age 62 until his date of retirement.                For purposes of this subsection (ii),                the                interest rate will be equal to the average of the monthly rates for                ten-year Constant Maturities for US Treasury Securities for the                twelve-month period immediately preceding the month prior to the                month in                which a determination of benefit occurs, such rate as published in                Federal                Reserve statistical release H.15(519). |
|--|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| **5.2** | **Form                of Distribution** |
|---------|-----------------------------------------|

|   | (a) | Unless                the Employee elects to make a deferral under subsection (b) below,                benefits under the Program shall be payable solely in a single lump                sum as                determined under Section 3.1 as of his date of retirement. The lump                sum                amount, determined as of the date of the Employee’s retirement, shall be                the Actuarial Equivalent of the benefit under Section 3.1 adjusted,                if                applicable, to reflect the provisions of Section 5.1. The lump sum                distribution determined under this Section 5.2 shall be credited                with                interest at a rate equal to the average of the monthly rates for                ten-year                Constant Maturities for US Treasury Securities for the twelve-month                period                immediately preceding the month prior to the month in which a                determination of benefit occurs, such rate as published in Federal                Reserve                statistical release H.15(519), from the Employee’s date of retirement                until the date of distribution. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | An                Employee may file a deferral election under the Deferral Plan at                least one                year in advance of the Employee’s date of retirement to defer the payment                of the lump sum determined under subsection (a) above for a period                of not                less than 5 years after the date on which the lump sum amount would                have                been paid had a deferral election not been made. In the event a valid                deferral election is made under the Deferral Plan, the payment of                the lump                sum amount that otherwise would have been paid under this Section                5.2                shall be credited to the Deferral Plan as of the date the lump sum                amount                would have been paid had a valid deferral election not been made. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **5.3** | **Disability** |
|---------|----------------|

|   | (a) | the                average of each of the three highest bonus awards (whether the awards                are                paid to the Employee, are a Deferral Amount (as such term is defined                in                the Deferral Plan) or the Employee has elected to forgo a bonus award                pursuant to the Estate Program) during the six most recent calendar                years,                including the year during which the Employee’s disability occurs, (or, if                the average of the three highest bonus awards would be greater, the                six                most recent calendar years prior to the year in which the Employee’s                disability occurs), but excluding Supplemental Contributions (as                such term                is defined in the Deferral Plan) or any amounts paid from the Deferred                Compensation Account (as such term is defined in the Deferral Plan)                or any                other account under the Deferral Plan including, but not limited                to,                amounts paid consisting of Deferral Amounts and Supplemental Contributions                and their earnings, and any amounts paid by the Company pursuant                to the                Estate Program, and |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (b) | the                Employee’s annualized base salary in effect as of the date he becomes                disabled. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------|

| **5.4** | **Death** |
|---------|-----------|

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| **5.5** | **Payment                of Benefits** |
|---------|----------------------------------------|

Program      shall      be      paid on the later of (i)      the      first      business day that is six months after the Employee’s retirement or death, or(ii)      the      first      business day of the calendar year following the Employee’s retirement or      death.

| **5.6** | **Special                Rule** |
|---------|---------------------------------|

| **5.7** | **No                Acceleration** |
|---------|------------------------------------|

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**ARTICLE      6**

**FUNDING**

| **6.1** | **Funding** |
|---------|-------------|

| **6.2** | **Company                Obligation** |
|---------|---------------------------------------|

funding      vehicle      to the contrary, the Company shall remain obligated to pay benefits under the      Program. Nothing in the Program or any trust agreement shall relieve the Company      of its liabilities to pay benefits under the Program except to the extent that      such liabilities are met by the distribution of trust      assets.

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**ARTICLE      7**

**CHANGE      IN CONTROL**

| **7.1** | **Contributions                to Trust** |
|---------|-------------------------------------------|

| **7.2** | **Amendments** |
|---------|----------------|

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**ARTICLE      8**

**MISCELLANEOUS**

| **8.1** | **Amendment                and Termination** |
|---------|----------------------------------------------|

(b)      in      the      case of amendments which do not materially modify the provisions hereof, the      Committee or such other committee appointed by the Board; provided, however,      that no such amendment or termination shall reduce any benefits accrued under      the terms of the Program prior to the date of termination or      amendment.

| **8.2** | **No*** ***Contract                of Employment** |
|---------|---------------------------------------------------------|

service      of the      Company or any of its subsidiaries, and all Employees and other persons shall      remain subject to discharge to the same extent as if the Program had never      been      adopted.

| **8.3** | **Withholding** |
|---------|-----------------|

| **8.4** | **Loans** |
|---------|-----------|

| **8.5** | **Compensation                Committee** |
|---------|-------------------------------------------|

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| **8.6** | **Entire                Agreement; Successors** |
|---------|-------------------------------------------------|

| **8.7** | **Severability** |
|---------|------------------|

| **8.8** | **Governing                Law** |
|---------|----------------------------------|

govern      the      Program.

| **8.9** | **Participant                as General Creditor** |
|---------|----------------------------------------------------|

| **8.10** | **Nonassignability** |
|----------|----------------------|

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**IN        WITNESS WHEREOF**

|         |                                                                            |                                     |
|--------------|---------------------------------------------------------------------------------|------------------------------------------|
|         | **INGERSOLL-RAND                COMPANY**                                       |
|    |                                                                       |                                |
|         | By:                                                                   | /s/ Timothy                McLevish |
|         | Timothy                McLevish                                                 |
|         | Senior                Vice President and Chief Financial                Officer |

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**APPENDIX        A**

|   | (a) | All                employer-paid benefits under any qualified defined benefit plan (as                defined in Code Section 414(j)) and associated supplemental plans                sponsored by the Company. For purposes of this Paragraph (a), the                amount                of any pension payable under the Clark Equipment Company Retirement                Program for Salaried Employees shall be determined without reduction                by                the lifetime pension equivalent of the Employee’s vested interest in his                PPOA Account (as such term is defined in the I-R/Clark Leveraged                Employee                Stock Ownership Plan). |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | The                Social Security Primary Insurance Amount (as defined below) estimated                at                age 65, multiplied by a fraction, the numerator of which is his Years                of                Service (up to a maximum of 35 Years of Service), and the denominator                of                which is 35. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (i) | For                benefits determined on or after age 65, payable for the year following                his                date of retirement. |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (ii) | For                benefits determined before the Employee attains age 65, payable for                the                year following his retirement or death (or which would be payable                when he                first would have become eligible if he were then unemployed), assuming                he                will not receive after retirement (or death) any income that would                be                treated as wages for purposes of the Social Security                Act. |
|--|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (c) | An                Employee’s accrued benefit under any qualified defined benefit pension                plan (as defined in Code Section 414(j)) and any nonqualified pension                plan                with respect to any business that was acquired by the Company, or                any of                its affiliates (“Acquired Business”), (each such pension plan shall be                referred to in this Paragraph (c) as a “Former Plan”), shall be used for                purposes of Section 3.1(b) of the Program if the                Employee: |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (i) | was                an employee of the Acquired Business on the date it was acquired                by the                Company, or any of its affiliates, |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (ii) | became                an employee of the Company, or any of its affiliates as a result                of the                acquisition of the Acquired Business,                and |
|--|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (iii) | was                granted vesting service under any qualified defined benefit pension                plan                (as defined in Code Section 414(j)) sponsored by the Company, any                domestic                entity in which the Company owns (directly or indirectly) a 50% or                more                interest, and any other entity designated by the Company for service                performed while an employee of the Acquired                Business. |
|--|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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