exv10w11w1



 






EXHIBIT 10.11.1










	 	 	 
	

	 	Trinity Industries, Inc.
	Notice of Grant of Stock Options

	 	     ID: 75-0225040
	and Non-Qualified Stock Option

	 	2525 Stemmons Freeway
	Agreement

	 	Dallas, Texas 75207-2401












	 	 	 
	“Name & Address of Optionee”

	 	Option Number:
	

	 	Plan:
	

	 	ID:











Effective mm/dd/yyyy, you have been granted a(n) Non-Qualified Stock Option to buy ___shares
of Industries, Inc. (the Company) stock at $___.___per share.




The total option price of the shares granted is $___.___.




Shares in each period will become fully vested on the date shown.




	 	 	 	 	 	 	 	 	 
	

	 	Shares
	 	Vest Type
	 	Full Vest
	 	Expiration
	 
	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	mm/dd/yyyy

mm/dd/yyyy

mm/dd/yyyy

mm/dd/yyyy
	 	mm/dd/yyyy

mm/dd/yyyy

mm/dd/yyyy

mm/dd/yyyy











By your signature and the Company’s signature below, you and the Company agree that these options
are granted under this Non-qualified Stock Option Agreement and are governed by the terms and
conditions of the Company’s 2004 Stock Option and Incentive Plan and include the Trinity
Industries, Inc. Non-qualified Stock Option Terms and Conditions as of September 8, 2004, all of
which are incorporated herein and made a part of this document.










	 	 	 	 	 
	Trinity Industries, Inc.

	 	Date	 	 
	 
	 	 	 	 
	/s/
	 	 	 	 
	 
	 	 	 	 
	“Optionee Name”

	 	Date	 	 
	

	 	 	 	Date

Time:






 









 






EXHIBIT 10.11.1




TRINITY INDUSTRIES, INC.

NON-QUALIFIED STOCK OPTION TERMS

AND CONDITIONS AS OF SEPTEMBER 8, 2004




          Unless otherwise prescribed by the Human Resources Committee of the Board of Directors of
Trinity Industries, Inc. (the “Committee”), the following Terms and Conditions shall be applicable
to Non-Qualified Stock Option awards by Trinity Industries from and after May 10, 2004 and shall be
incorporated by reference into all Non-Qualified Stock Option Agreements. As used herein, the
terms “this option, the option, option granted herein, or option granted hereunder” mean options
granted from time to time pursuant to a Notice of Grant of Stock Options and Non-Qualified Stock
Option Agreement into which these Terms and Conditions are incorporated.



          l. Grant of Option. Subject to the terms and conditions of the Trinity Industries,
Inc. 2004 Stock Option and Incentive Plan (the “2004 Plan”), the Company will grant from time to
time to the Optionee options to purchase from the Company the $1.00 par value Common Stock of the
Company over a period of time. The price per share (the “Exercise Price”), the total number of
shares subject to option (the “Optioned Shares”), and the periods of time during which such
Optioned Shares may be purchased are as set forth in a separate Notice of Grant of Stock Options
and Non-Qualified Stock Option Agreement into which these Terms and Conditions are incorporated and
made a part thereof.



          The options granted hereunder are not intended to constitute incentive stock options
within the meaning of Section 422A of the Internal Revenue Code of 1986, as amended from time to
time.



          2. Manner of Exercising Option. The option granted herein shall be exercised by the
Optionee only in the State of Texas at the principal office of the Company by:




(a) Delivering to the Controller of the Company a written notice specifying the
number of Optioned Shares the Optionee then desires to purchase, which written
notice shall be in substantially the following form and shall be signed by the
Optionee:




“To Trinity Industries, Inc.:




I hereby exercise my option to purchase from Trinity Industries, Inc. (the
“Company”) at Dallas, Texas ___shares of its Common Stock in
accordance with the Company’s 2004 Stock Option and Incentive Plan and in
accordance with my Non-Qualified Stock Option Agreement dated [the date of
the Agreement] and hereby tender in payment therefore cash and/or stock in
the amount of, and/or with an
aggregate value equal to $___, being $___ per share.



	 	 	 
	

	 	 
	

	 	“(Name of Optionee)”
	

	 	“(Date)”






 









 






EXHIBIT 10.11.1





(b) Tendering the full exercise price of such Optioned Shares either: (1) in cash
(including check, bank draft, or money order); or (2) by the delivery of shares of
Common Stock of the Company already owned by the Optionee; or (3) tendering shares
of Common Stock of the Company owned by the Optionee by delivery of a completed and
signed Trinity Industries, Inc. “Stock Option Exercise Attestation Form”; (4) by
providing herewith an order for a designated broker to sell part or all of the
Optioned Shares and deliver sufficient proceeds to the Company to pay the full
exercise price of the Optioned Shares; or (5) by a combination of items b(1), b(2),
b(3) or b(4) above .




(c) Tendering the amount of any federal, state, or local tax required to be withheld
by the Company due to the exercise of an option granted hereunder which shall be
satisfied, at the election of the Optionee but subject to change by the Human
Resources Committee, (the “Committee”), either (a) by payment by the Optionee to the
Company of the amount of such withholding obligation in cash (the “Cash Method”), or
(b) through the retention by the Company of a number of shares of Common Stock out
of the Shares being purchased through the exercise of the option having a fair
market value equal to the amount of the minimum withholding obligation (the “Share
Retention Method”).



                    Shares of Common Stock of the Company delivered or tendered to exercise the option must be
held for at least six months prior to the date of exercise of the option if the shares were
acquired by previous exercise of a stock option or by vesting of Restricted Stock or Restricted
Stock Units. Shares acquired by methods other than exercise of a stock option (e.g. open market
purchase, gift, etc.) do not have the six month holding requirement.



                    As soon as practicable after such exercise of the option in whole or in part by the Optionee,
the Company will deliver to the Optionee or for the account of the Optionee a certificate or
certificates for the number of shares with respect to which the option shall be so exercised minus
the number of shares to be withheld, if any, issued in the Optionee’s name. Each purchase of stock
hereunder shall be a separate and divisible transaction and a complete contract in and of itself.



          3. Compliance with Securities and Other Laws. The Company shall not be required to
sell or issue shares of Common Stock under option if the issuance thereof would constitute a
violation by either the Optionee or the Company of any provision of any law or regulation of any
governmental authority or any national securities exchange. As a condition of any sale or issuance
of the shares of Common Stock under option, the Company may place legends on shares, issue stop
transfer orders and require such agreements or undertakings from the Optionee as the Company may
deem necessary or advisable to assure compliance with any such law or regulation, including, if the
Company or its counsel deems it appropriate, representations from the Optionee that the Optionee is
acquiring the shares of Common Stock solely for investment and not with a view to distribution and
that no distribution of such shares acquired by the Optionee will be made unless registered
pursuant to applicable federal and state securities laws, or in the opinion of counsel of the
Company, such registration is unnecessary.



 









 





EXHIBIT 10.11.1




          4. Early Termination of Option. Unless otherwise determined by the Committee and
subject to the provisions of Section 7 hereof, in the event that the Optionee ceases to be an
officer, director, or employee of the Company or an Affiliate of the Company for any reason, this
option shall terminate completely as to all shares with respect to which the Optionee was not
entitled, under the terms hereof, to purchase at the date of such cessation of service. However,
to the extent that this option could have been exercised at the date of cessation of service and
the Optionee could have purchased shares, under the terms hereof, at the date of such cessation of
service, then this option shall continue with respect to those shares which the Optionee could have
purchased and had not purchased, under the terms hereof, at the date of such cessation of service
only to the extent set forth below.



          For purposes hereof, the terms “Disability”, “Retirement” and “Change in Control” shall have
the meaning set forth in the 2004 Plan, as may be amended from time to time.




(a) Unless otherwise determined by the Committee, if the Optionee ceases to be an officer,
director, or employee of the Company or an Affiliate by reason of the fact that the Optionee
is discharged for cause, as determined solely and exclusively by the Committee, all rights
of the Optionee to exercise an option shall terminate, lapse, and be forfeited at the time
of the Optionee’s discharge for cause.




(b) Unless such periods are otherwise extended by the Committee, if the Optionee ceases to
be an officer, director, or employee of the Company or an Affiliate by reason of the
Optionee’s resignation, all rights of the Optionee to exercise an option shall terminate,
lapse, and be forfeited ten (10) days after the date of the Optionee’s resignation; except
that in case the Optionee shall die within ten (10) days after the date of resignation, the
personal representatives, heirs, legatees, or distributees of the Optionee, as appropriate,
shall have the right up to twelve (l2) months from the date of resignation to exercise any
such option to the extent that the option was exercisable prior to death and had not been so
exercised.




(c) Unless such periods are otherwise extended by the Committee, if the Optionee ceases to
be an officer, director, or employee of the Company or an Affiliate by reason of the
Optionee’s Retirement, all rights of the Optionee to exercise an option shall terminate,
lapse, and be forfeited thirty-six (36) months after the date of the Optionee’s Retirement;
except that in case the Optionee shall die within thirty-six (36) months after the date of
Retirement, the personal representatives, heirs, legatees, or distributees of the Optionee,
as appropriate, shall have the right up to twelve (l2) months from the date of death to
exercise any such option to the extent that the option was exercisable prior to death and
had not been so exercised.




(d) Unless such periods are otherwise extended by the Committee, if the Optionee ceases to
be an officer, director, or employee of the Company or an Affiliate by reason of the
Optionee’s Disability, all rights of the Optionee to exercise an option shall terminate,
lapse, and be forfeited three (3) months after the date that the Optionee ceased to be an
officer, director, or employee of the Company or an Affiliate; except that in case the
Optionee shall die within three (3) months after the Optionee ceases to be an officer,
director, or employee pursuant to the provisions of this paragraph (d), the personal
representatives, heirs, legatees, or distributees of the Optionee, as appropriate, shall
have the right up to twelve (l2) months from such cessation of service to exercise any such
option to the extent that the option was exercisable prior to death and had not been so
exercised.



 









 





EXHIBIT 10.11.1





(e) Unless such periods are otherwise extended by the Committee, if the Optionee
ceases to be an officer, director, or employee of the Company or an Affiliate by reason of
death, the personal representatives, heirs, legatees, or distributees of the Optionee, as
appropriate, shall have the right up to twelve (l2) months from the termination of service
to exercise any such option to the extent that the option was exercisable prior to death and
had not been so exercised.




(f) Unless such periods are otherwise extended by the Committee, if the Optionee ceases to
be an officer, director, or employee of the Company or an Affiliate for any reason other
than discharge for cause, resignation, Retirement, Disability, or death, all rights of the
Optionee to exercise an option shall terminate, lapse, and be forfeited three (3) months
after the date that the Optionee ceased to be an officer, director, or employee of the
Company or an Affiliate; except that in case the Optionee shall die within three (3) months
after the Optionee ceases to be an officer, director, or employee pursuant to the provisions
of this paragraph (f), the personal representatives, heirs, legatees, or distributees of the
Optionee, as appropriate, shall have the right up to twelve (l2) months from such cessation
of service to exercise any such option to the extent that the option was exercisable prior
to death and had not been so exercised.




(g) Despite the provisions of paragraphs (b), (c), (d), (e), and (f) of this Section 4, no
option shall be exercisable under any condition after the date or dates specified in Section
l.



          5. Nontransferability of Option. Except as provided in the 2004 Plan, this option
shall not be transferable otherwise than by will or the laws of descent and distribution, and this
option may be exercised, during the lifetime of the Optionee, only by the Optionee. Any attempted
assignment, transfer, pledge, hypothecation, or other disposition of this option contrary to the
provisions hereof, or the levy of any execution, attachment, or similar process upon this option
shall be null and void and without effect.



          6. Adjustments upon Changes in Capitalization. The Committee may make adjustments in
the number of shares subject to option for any subdivision or consolidation of shares of Common
Stock of the Company as provided in the 2004 Plan.



          Except as expressly provided in the 2004 Plan and in Section 7 hereof, Optionee shall have no
rights by reason of any subdivision or consolidation of stock of any class or the payment of any
stock dividend or any other increase or decrease in the number of shares of stock of any class or
by reason of any dissolution, liquidation, reorganization, merger, or consolidation, or spin-off of
assets or stock of another corporation, and any issue by the Company of shares of stock of any
class, or securities convertible into shares of stock of any class, shall not affect, and no
adjustment by reason thereof shall be made with respect to, the number of Optioned Shares or the
Exercise Price.



          The granting of this option shall not affect in any way the right or power of the Company to
make adjustments, reclassifications, reorganizations, or changes of its capital or business
structure or to merge or to consolidate or to dissolve, liquidate, or sell, or transfer all or any
part of its business or assets.



 









 





EXHIBIT 10.11.1




          7. Vesting of Option.




(a) The option granted hereunder may only be exercised to the extent that the Optionee is
vested in such option. The Optionee shall vest in the option granted hereunder in
accordance with the schedule specified in Section l. This option vesting schedule will be
accelerated at the discretion of the Committee as provided in the 2004
Plan or in the event the provisions of paragraphs (b) or (c) of this Section 7 apply.




(b) If the Optionee ceases to be an officer, director, or employee of the Company or an
Affiliate by reason of death, Disability, or Retirement, or in the event of a Change in
Control of the Company, the Optionee or the personal representatives, heirs, legatees, or
distributees of the Optionee, as appropriate, shall become fully vested in the option
granted hereunder and shall have the immediate right to exercise such option to the extent
not previously exercised.




(c) In the event of the dissolution or liquidation of the Company, the option granted
hereunder shall terminate as of a date to be fixed by the Board of Directors, provided that
not less than thirty (30) days’ written notice of the date so fixed shall be given to the
Optionee and the Optionee shall have the right during such period to exercise the option
even though the option would not otherwise be exercisable under the option vesting schedule.
At the end of such period, any unexercised option shall terminate and be of no further
effect.



          8. No Rights of a Stockholder or of Continued Employment or of Grant of Additional
Options. Optionee shall not have any of the rights of a stockholder of the Company with
respect to the Optioned Shares except to the extent that one or more certificates for Optioned
Shares shall have been delivered to Optionee, or Optionee has been determined to be a stockholder
of record by the Company’s Transfer Agent, upon due exercise of the option. Further, nothing
herein shall confer upon Optionee any right to remain in the employ or continue as a director of
the Company or one of its Affiliates, and nothing herein shall be construed in any manner to
interfere in any way with the right of the Company or its Affiliates to terminate the Optionee’s
employment or directorship at any time. Further, nothing herein shall confer upon Optionee any
right to receive any future grants of options.



          9. Substitution for Stock Appreciation Rights. As provided in the 2004 Plan, the
Committee, at any time when the Company is subject to fair value accounting for equity-based
compensation granted to its employees and/or directors, shall have the right to substitute Stock
Appreciation Rights for outstanding Options granted to Optionee, provided the substituted Stock
Appreciation Rights call for settlement by the issuance of Shares, and the terms and conditions of
the substituted Stock Appreciation Rights are equivalent to the terms and conditions of the Options
being replaced, as determined by the Committee.



          10. Interpretation by the Committee. The administration of the Company’s 2004 Plan
has been vested in the Committee, and all questions of interpretation and application of these
Terms and Conditions and the Notice of Grant of Stock Options and Non-Qualified Option Agreement
shall be subject to the determination by a majority of such Committee members, which determination
shall be final and binding on Optionee.



          11. Confidentiality. The option granted hereunder is to be treated as STRICTLY
CONFIDENTIAL. An Optionee who shares information regarding the option granted hereunder with other
employees or outside persons, other than as required to comply with applicable laws or as
necessary to manage his or her personal finances, is subject to the option granted hereunder being
forfeited upon a determination by the Human Resources Committee that the Optionee has violated this
Section.



 









 





EXHIBIT 10.11.1




          12. Option Subject to Stock Option Plan. In case of any conflict between these Terms
and Conditions, the Notice of Grant of Stock Options and Non-Qualified Option Agreement and the
2004 Plan, the terms, conditions and provisions of the 2004 Plan shall be controlling.



	 	 	 	 	 	 	 	 	 
	/s/