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                                                                   EXHIBIT 10.66







                                   LIBBEY INC.

                      LONG-TERM INCENTIVE COMPENSATION PLAN












                            EFFECTIVE JANUARY 1, 2001


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                                   LIBBEY INC.

                      LONG-TERM INCENTIVE COMPENSATION PLAN

                                TABLE OF CONTENTS
                                -----------------


                                                                 Page
                                                                 ----

1.       Purpose                                                   1

2.       Definitions                                               1

3.       Administration                                            2

4.       Eligibility and Participation                             3

5.       Award Periods                                             3

6.       Incentive Compensation Allotments                         3

7.       Incentive Compensation Objectives                         4

8.       Determination of Incentive Compensation Awards            4

9.       Payment of Incentive Compensation Awards                  5

10.      Amendment or Termination of the Plan                      6

11.      Miscellaneous                                             6

12.      Effective Date                                            6





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                                   LIBBEY INC.

                      LONG-TERM INCENTIVE COMPENSATION PLAN

                            EFFECTIVE JANUARY 1, 2001

1.   PURPOSE.
     The purposes of this Libbey Inc. Long-Term Incentive Compensation Plan are
     to reward officers and other key management employees who contribute to the
     long-term success of the Company, by making the amount of their
     compensation significantly contingent upon the Company's long-term
     profitable performance and growth, and to attract and retain officers and
     other key management employees of exceptional ability.

     2.   DEFINITIONS.
     "AWARD PERIOD" means each period, as established by the Committee in
     accordance with paragraph 5 hereof, over which it is possible for Incentive
     Compensation Awards to be fully earned;

     "CEO" means the Chief Executive Officer of Libbey Inc.;

     "COMMITTEE" means the Compensation Committee of the Board of Directors of
     Libbey Inc. or any committee of said Committee to which any or all of its
     powers or duties under the Plan may be delegated;

     "COMPANY" means Libbey Inc., a Delaware corporation, together with any
     corporation (or unincorporated business entity) 50 percent or more of the
     voting shares (or other ownership interests) of which are owned, directly
     or indirectly by Libbey Inc.;

     "INCENTIVE COMPENSATION ALLOTMENT" means an amount established for an Award
     Period in accordance with paragraph 6 hereof equal to a stated percentage
     of a Participant's average annual base salary earnings over the Award
     Period;





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     "INCENTIVE COMPENSATION AWARD" means the compensation payable to a
     Participant under this Plan;

     "INCENTIVE COMPENSATION OBJECTIVE" means an objective established in
     accordance with paragraph 7 hereof for the performance of the Company
     during an Award Period;

     "PARTICIPANT" means an officer or other key management employee of the
     Company who is eligible to participate in this Plan in accordance with
     paragraph 4 hereof;

     "PLAN" means this Libbey Inc. Long-Term Incentive Compensation Plan as set
     forth herein or as from time to time amended; and

     Words of the masculine gender include correlative words of the feminine and
     neuter genders and vice versa, and words denoting the singular include the
     plural and vice versa.

3.   ADMINISTRATION.
     3.1   The Plan will be administered by the Committee. The administrative
     powers of the Committee shall include the powers to interpret the Plan and
     to exercise full and complete discretion to adopt, modify, and/or rescind
     (or to authorize the CEO or one or more other appropriate officers of the
     Company to adopt, modify, and/or rescind) any rulings, determinations,
     policies, and/or procedures deemed necessary or appropriate for the
     maintenance and administration of the Plan. All such interpretations,
     rulings, determinations, policies, and procedures shall be final,
     conclusive, and binding upon all interested persons. The Committee may,
     with the approval of the Board, employ accountants, attorneys, consultants
     or other professional advisors and the Committee, the Company and its
     directors and officers shall be entitled to rely on the advice, opinions or
     valuations of such persons. No member of the Committee or the Board shall
     be personally liable for any action, determination or interpretation made
     in good faith with respect to the Plan or any award made or not made, and
     all members of the Committee and the





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     Board shall be fully protected by the Company in respect of any such
     action, determination or interpretation.

     3.2   The Committee, in its discretion shall be authorized at any time and
     from time to time to modify any Incentive Compensation Objective.

4.   ELIGIBILITY AND PARTICIPATION.
     An officer or other key management employee of the Company approved for
     participation in the Plan by the Committee shall be a Participant in the
     Plan for all or any part of any Award Period for which such participation
     has been approved. The Committee may, suspend or withdraw its approval with
     respect to any such Participant for all or any part of any Award Period.

5.   AWARD PERIODS.
     Award Periods shall consist of three consecutive calendar years beginning
     on any January 1 and ending on the subsequent December 31 of the third year
     following. Award Periods shall be on a rolling basis which overlap, that
     is, the initial Award Period shall be 2001-2003, the second award period
     shall be 2002-2004 and so on.

6.   INCENTIVE COMPENSATION ALLOTMENTS.
     6.1   An Incentive Compensation Allotment shall be granted to each
     Participant for each Award Period, equal in amount to a stated percentage
     of the Participant's average annual base salary earnings for the Award
     Period.

     6.2   The Committee shall establish the amount of the Incentive
     Compensation Allotment to be granted to all Participants. The Incentive
     Compensation Allotments for each Award Period shall be established before
     or as soon as practicable after the beginning of each Award Period and each
     Participant shall thereupon be notified of the Incentive Compensation
     Allotment granted to him.




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7.   INCENTIVE COMPENSATION OBJECTIVES.
     The Committee shall establish one or more Incentive Compensation Objectives
     for the Company for each Award Period that shall be expressed as the
     attainment by the Company of specified, measurable operating or financial
     objectives. The primary measure for each Award Period shall be the targeted
     cumulative increase in economic value added ("EVA") of the Company for its
     consolidated operations, including the EVA associated with the capital
     invested in Libbey's joint ventures and any subsequent changes in that
     investment, unless in its discretion the Committee finds that other
     financial objectives establish a better measure. The Incentive Compensation
     Objectives shall be established before or as soon as practicable after the
     beginning of each Award Period and each Participant shall thereupon be
     notified thereof.

8.   DETERMINATION OF INCENTIVE COMPENSATION AWARDS.
     8.1   As soon as practicable after the end of each Award Period, the
     Committee shall determine the extent to which the Company has attained its
     threshold and targeted Incentive Compensation Objectives for such Award
     Period by reference to the Company's financial statements for the years of
     such Award Period, with such adjustments as the Committee, may approve from
     time to time to prevent distortions not fairly attributable to the
     performance of Participants or for other reasons in the discretion of the
     Committee.

     8.2   If, as determined by the Committee under paragraph 8.1 hereof, the
     Company's attainment of its threshold Incentive Compensation Objectives for
     an Award Period has been met, Participants shall receive Incentive
     Compensation Awards for the Award Period based upon the level of the
     Incentive Compensation Objectives achieved. The maximum Incentive
     Compensation Allotment a Participant may receive is double the Incentive
     Compensation Allotment designated by the Committee for the Award Period. If
     the Company does not attain the threshold Incentive Compensation Objectives
     for an Award Period, the Incentive Compensation Award will not be paid.



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     8.3   For the calendar years 2001 and 2002, pro rata portions of the first
     three-year Award Period will be determined and paid no later than March 15
     of the following year.

9.   PAYMENT OF INCENTIVE COMPENSATION AWARDS.
     9.1   Each Participant's Incentive Compensation Award for each Award
     Period, to the extent earned and payable as determined in accordance with
     paragraph 8 hereof, shall be paid in cash less deductions required by any
     applicable taxing authority, provided however the Committee at its
     discretion may offer Participant's alternative methods of payments, in
     which event the participant may choose to receive the Incentive
     Compensation Award in cash or in the form of the offered alternative. Such
     payments shall be made no later than March 15 following the end of the
     applicable Award Period.

     9.2   In the event of a Participant's death after the end of an Award
     Period but before his Incentive Compensation Award, if any, for such Award
     Period has been paid to him, it shall be paid to the beneficiary or
     beneficiaries designated by him in writing filed with the Company or, in
     the absence of any such designation or if no such designated beneficiary
     survives the Participant, such Participant's Award shall be paid to the
     Participant's estate.

     9.3   If a Participant's employment with the Company is terminated for any
     reason during the course of an Award Period, or if he is transferred to a
     position with the Company which no longer qualifies him to be eligible to
     participate in this Plan, a part of his Incentive Compensation Award, if
     any, for such Award Period, proportionate to the part of such Award Period
     during which he remained a participant, will be paid to him unless the
     Committee, determines that the termination or transfer was on account of
     his willful act or omission adversely affecting (or reasonably expected to
     adversely affect) the Company.



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10.  AMENDMENT OR TERMINATION OF THE PLAN.
     The Committee, in its sole discretion, may amend, suspend, or terminate the
     Plan at any time with respect to any future Award Period, except that no
     such action shall adversely affect the rights of any person with respect to
     an Incentive Compensation Award that has become payable or proportionately
     earned without such person's consent.

11.  MISCELLANEOUS.
     11.1   Nothing in the Plan shall confer on any Participant or other
     employee of the Company any right to continue in the employ of the Company
     or limit in any way the right of the Company to terminate any such person's
     employment at any time.

     11.2   No rights under this Plan shall be assignable or transferable, or
     subject to encumbrance of any nature, except to the extent that a
     Participant may designate a beneficiary to receive any payment to be made
     following his death. If any Participant or beneficiary shall attempt to
     assign, transfer, encumber or charge any such right, or should such right
     be subjected to attachment, execution, garnishment, sequestration or other
     legal, equitable or other process, it shall thereupon pass to such one or
     more persons as may be designated by the Committee from among the
     Participant, any beneficiary theretofore designated by the Participant, and
     any spouse, parent, or child of such Participant.

     11.3   With respect to the rights of Participants under the Plan, the
     obligations of the Company under the Plan shall be wholly unsecured. The
     Company shall be under no obligation to reserve, segregate or earmark any
     cash or other property for the payment of any amounts under the Plan.

12.  EFFECTIVE DATE. This Plan, when duly executed, shall become effective on or
     as of January 1, 2001.




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     IN WITNESS WHEREOF, pursuant to the authorization and approval of the Board
of Directors of Libbey Inc. on February 6, 2001, the undersigned hereby have
caused this Libbey Inc. Long-Term Incentive Compensation Award Plan to be
adopted as of the 6th day of February, 2001 to be effective as of January 1,
2001.


                                     LIBBEY INC.




                                     By          /s/ John F. Meier
                                         ------------------------------------
                                         Chairman and Chief Executive Officer








Attest:




By       /s/ Arthur H,. Smith
   ----------------------------------
   Vice President and General Counsel




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