exv10w2



 





Exhibit 10.2





ADVANCED ENERGY INDUSTRIES, INC.

AMENDED AND RESTATED 2003 NON-EMPLOYEE DIRECTORS’ STOCK OPTION PLAN




RESTRICTED STOCK UNIT AGREEMENT




     Advanced Energy Industries, Inc., a Delaware corporation (the “Company”), hereby grants
restricted stock units (“RSUs”) relating to shares of its common stock, $0.001 par value (the
“Stock”), to the individual named below as the Grantee. The terms and conditions of the grant are
set forth in this Agreement and in the Advanced Energy Industries, Inc. Amended and Restated 2003
Non-Employee Directors’ Stock Option Plan, as amended (the “Plan”). Capitalized terms used but not
defined in this Agreement have the meanings given to them in the Plan.



Grant Date:



Name of Grantee:



Grantee’s ID Number:



Number of RSUs Granted:



Vesting Schedule:




	 	 	 	 	 	 	 	 	 
	Vesting Date	 	Vesting Percentage	 	Shares
	1st anniversary of grant date
	 	 	25	%	 	 	 	 
	2nd anniversary of grant date
	 	 	25	%	 	 	 	 
	3rd anniversary of grant date
	 	 	25	%	 	 	 	 
	4th anniversary of grant date
	 	 	25	%	 	 	 	 






     By signing this cover sheet, you agree to all of the terms and conditions described in this
Agreement and in the Plan, a copy of which will be provided on request. You acknowledge that you
have carefully reviewed the Plan and agree that the Plan will control in the event any provision of
this Agreement should appear to be inconsistent with the terms of the Plan.



	 	 	 	 	 
	Grantee:
	 	 	 	 
	 

	 	 

(Signature)
	 	 
	 
	 	 	 	 
	Company:
	 	 	 	 
	 

	 	 

(Signature)
	 	 
	 
	 	 	 	 
	 

	 	Title: President and Chief Executive Officer     	 	 






Attachment




This is not a stock certificate or a negotiable instrument.




 









 





ADVANCED ENERGY INDUSTRIES, INC.

AMENDED AND RESTATED 2003 NON-EMPLOYEE DIRECTORS’ STOCK OPTION PLAN




RESTRICTED STOCK UNITS AGREEMENT




	 	 	 	 	 
	Stock Unit Transferability	 	This grant is an award of restricted stock
units in the number set forth on the cover
sheet, subject to the vesting conditions
described below (“RSUs”). Your RSUs may not be
transferred, assigned, pledged or
hypothecated, whether by operation of law or
otherwise, nor may your RSUs be made subject
to execution, attachment or similar process.
	 
	 	 	 	 
	Vesting	 	Your RSUs shall vest according to the schedule
set forth on the cover sheet; provided, that,
you remain in Service on the relevant vesting
dates. If your Service terminates for any
reason, you will forfeit any RSUs in which you
have not yet become vested.
	 
	 	 	 	 
	Delivery of Stock Pursuant
to Units	 	A certificate for the shares of Stock
represented by your RSUs shall be delivered to
you upon vesting, unless you properly elect to
defer delivery of such Stock. If your Service
terminates for a reason other than for Cause
prior to such date, the Company will deliver
to you a certificate for the vested portion of
your RSUs represented by this Agreement. If
your Service terminates for Cause, you shall
forfeit of all of your RSUs.
	 
	 	 	 	 
	 	 	Notwithstanding the preceding paragraph:
	 
	 

	 	•
	 	If you are a “key employee” within the
meaning of Section 409A of the Code and
shares would otherwise be delivered to you on
account of your separation from
Service, then such shares shall not be
delivered to you until six months
after your separation from Service; and
	 
	 	 	 	 
	 

	 	•
	 	If the shares relating to the
vested RSUs would otherwise be
delivered during a period in which you
are (i) subject to a lock-up agreement
restricting your ability to sell
shares of Stock in the open market or
(ii) restricted from selling shares of
Stock in the open market because you
are not then eligible to sell
under the Company’s insider trading or
similar plan as then in effect (whether
because a trading window is not open
or you are otherwise restricted from
trading), delivery of the shares
related to the vested RSUs may be
delayed until no earlier than the
first date on which you are no longer
prohibited from selling shares of Stock due
to a lock-up agreement or insider trading plan
restriction, but in no event later than March 15 of the
year following the year in which you vested in the RSUs.






2









 






	 	 	 	 	 
	Deferral of Delivery of Stock	 	The American Jobs Creation Act of 2004 added
new Section 409A to the Internal Revenue
Code. Section 409A of the Internal Revenue
Code provides that deferred compensation
that is not structured to satisfy Section
409A may result in accelerated federal
income taxation, a 20% penalty tax applied
in addition to federal income tax otherwise
owed and, potentially, interest for any
underpayment of tax at the ordinary
underpayment rate plus one percentage point.
While the full impact of Section 409A on
awards granted under the plan is still
uncertain, RSUs that allow for deferral of
delivery of stock following vesting are
likely to be impacted. For this reason, the
Administrator may disallow or impose
restrictions on your ability to defer
delivery of your stock after vesting.
	 
	 	 	 	 
	Withholding Taxes	 	Withholding taxes are not applicable to
compensation paid to non-employee directors
at this time. Nonetheless, you agree, as a
condition of this grant, that you will make
acceptable arrangements to pay any
withholding or other taxes that may be due
as a result of vesting in RSUs or your
acquisition of Stock under this grant. In
the event that the Company determines that
any federal, state, local or foreign tax or
withholding payment is required relating to
your RSUs, the Company will have the right
to: (i) require that you arrange such
payments to the Company, (ii) withhold such
amounts from other payments due to you from
the Company or any Affiliate, or (iii) cause
an immediate forfeiture of shares of Stock
subject to the RSUs granted pursuant to this
Agreement in an amount equal to the
withholding or other taxes due.
	 
	 	 	 	 
	Retention Rights	 	This Agreement does not give you the right
to be retained or employed by the Company
(or any Affiliates) in any capacity.
	 
	 	 	 	 
	Shareholder Rights	 	You do not have any of the rights of a
shareholder with respect to the RSUs, unless
and until the Stock relating to the RSUs has
been delivered to you.
	 
	 	 	 	 
	Adjustments	 	In the event of a stock split, a stock
dividend or a similar change in the Company
stock, the number of RSUs covered by this
grant will be adjusted (and rounded down to
the nearest whole number) in accordance with
the terms of the Plan.






3









 






	 	 	 	 	 
	Applicable Law	 	This Agreement will be interpreted and
enforced under the laws of the State of
Colorado, other than any conflicts or
choice of law rule or principle that might
otherwise refer construction or
interpretation of this Agreement to the
substantive law of another jurisdiction.
	 
	 	 	 	 
	Consent to Electronic Delivery	 	The Company may choose to deliver certain
statutory materials relating to the Plan in
electronic form. By accepting this grant
you agree that the Company may deliver the
Plan prospectus and the Company’s annual
report to you in an electronic format. If
at any time you would prefer to receive
paper copies of these documents, as you are
entitled to receive, the Company would be
pleased to provide copies. Please contact
the Stock Plan Administrator to request
paper copies of these documents.
	 
	 	 	 	 
	The Plan	 	The text of the Plan is incorporated in
this Agreement by reference. This Agreement
and the Plan constitute the entire
understanding between you and the Company
regarding this grant of RSUs. Any prior
agreements, commitments or negotiations
concerning this grant are superseded. The
Plan will control in the event any
provision of this Agreement should appear
to be inconsistent with the terms of the
Plan.






          By signing the cover sheet of this Agreement, you agree to all of the terms and conditions
described above and in the Plan.






4