EX-10.3






ALASKA COMMUNICATIONS SYSTEMS GROUP, INC

POLICY




	 	 	 
	Post-Employment Stock Incentive Award Vesting Policy	 	P/P No. 508.1
	Prepared by: Human Resources Department

	 	Effective Date:
	
 
	 	 
	Supersedes:

	 	June 30, 2011
	Approved by:

	 	

	 

	 	







I. PURPOSE STATEMENT




Provide a clear understanding of the retirement age and death and disability criteria and rules
for vesting of incentive award stock grants after termination of employment with Alaska
Communications. The retirement criteria in this document are established only to determine what
prior stock award grants may vest upon retirement (or death/ disability). This Policy has no
applicability to retirement as defined in other plans (such as the IBEW Pension Plan).



II. ORGANIZATIONS AFFECTED




This policy applies to employees of Alaska Communications (hereafter “the Company”) that receive
company stock through Incentive Award grants under the 2011 Incentive Award Plan.



III. DEFINITIONS




	 	A.	 	Retirement Age:






	 	1)	 	Normal retirement (“Normal Retirement”) age will be based on and
determined by the employee’s date of hire or rehire and the years of employment.






	 	a.	 	For employees beginning employment or rehired on or
before June 30th 2011, Normal Retirement age will be at age 58,
if the employee has also attained five years of full-time employment with
the Company. If the employee has not been employed five full years with
the Company by age 58, the employee becomes eligible for Normal Retirement
after attaining the minimum age of 58 only at the time five years of
full-time employment is also attained.






	 	b.	 	For employees beginning employment or rehired on or
after July 1st 2011, Normal Retirement age will be at age 65, if
the employee has also attained five years of full-time employment with the
Company. If the employee has not been employed five full years with the
Company by age 65, the employee becomes eligible for Normal Retirement
after attaining the minimum age of 65 only at the time five years of
full-time employment is also attained.






	 	c.	 	Breaks in employment will not count toward the minimum
five years of employment. Credit will be given for any full-time
employment served as long as the break in employment does not exceed 3
years.






B. Death or Disability:




	 	1)	 	In the event of termination of employment due to death or disability,
the employee shall automatically be deemed as having attained retirement.






	 	a.	 	“Death or Disability” shall be defined as:






	 	i.	 	The employee is dead or declared legally
dead by a competent authority, or






	 	ii.	 	The employee becomes physically or mentally
incapacitated and is no longer able to perform the normal duties of
his/her position.  If the Company and employee disagree about whether
the employee is disabled, the employee agrees to submit to examination
by an independent physician selected by the Company to make the
determination.



        .



	 	IV.	 	VESTING and FORFEITURE






Vesting and forfeiture of incentive stock awards following termination of employment due to
Normal Retirement or Death or Disability (as defined in this Policy) shall determined as set
forth in the employee’s incentive stock Award Agreements.




An employee that does not meet the Normal Retirement (or Death or Disability) criteria at
the time of separation of employment will immediately forfeit all unvested stock award
grants at the time of the employee’s termination of employment.




	 	V.	 	PRIOR STOCK INCENTIVE PLAN AWARDS






Grants of stock awards made under a prior Company Stock Incentive Plan (prior to 2011) will
continue to be governed by the terms and conditions of the prior plan and any Award
Agreements entered into under the prior plan.



IV. POLICY REVIEW




The Human Resources Department is responsible for reviewing and updating this Policy.