Document:

Zep Inc Supplemental Deferred Savings Plan

 Exhibit 10.7 
  
 ZEP INC. 
 SUPPLEMENTAL DEFERRED
SAVINGS PLAN 
 (Effective as of                 ,
2007) 

 ZEP INC. 
 SUPPLEMENTAL DEFERRED SAVINGS PLAN 
 TABLE OF CONTENTS 
  

							
	 ARTICLE I INTRODUCTION AND ESTABLISHMENT
	  	1
		
	 ARTICLE II DEFINITIONS
	  	2
				
		 	 2.1
	  	“Account”	  	2
		 	 2.2
	  	"Acuity Shares"	  	2
		 	 2.3
	  	“Annual Valuation Date”	  	2
		 	 2.4
	  	“Beneficiary”	  	2
		 	 2.5
	  	“Business Unit”	  	2
		 	 2.6
	  	“Change in Capitalization”	  	2
		 	 2.7
	  	“Change in Control”	  	2
		 	 2.8
	  	“Code”	  	3
		 	 2.9
	  	“Company”	  	3
		 	 2.10
	  	“Compensation”	  	3
		 	 2.11
	  	“Deferral Subaccount”	  	4
		 	 2.12
	  	“Deferred Restricted Stock Subaccount”	  	4
		 	 2.13
	  	“Effective Date”	  	4
		 	 2.14
	  	“Election Form”	  	4
		 	 2.15
	  	“Employer”	  	4
		 	 2.16
	  	“ERISA”	  	4
		 	 2.17
	  	“Executive”	  	4
		 	 2.18
	  	“Fair Market Value”	  	4
		 	 2.19
	  	“Financial Hardship”	  	4
		 	 2.20
	  	“Fiscal Year”	  	5
		 	 2.21
	  	“In-Service Account”	  	5
		 	 2.22
	  	“Matching Subaccount”	  	5
		 	 2.23
	  	“Participant”	  	5
		 	 2.24
	  	“Performance-Based Plan”	  	5
		 	 2.25
	  	“Plan”	  	5
		 	 2.26
	  	“Plan Administrator”	  	5
		 	 2.27
	  	“Plan Year”	  	5
		 	 2.28
	  	“Pre-Section 409A Account”	  	5
		 	 2.29
	  	“Prime Rate”	  	5
		 	 2.30
	  	“Prior Plans”	  	5
		 	 2.31
	  	“Prior Plan Transfer Account”	  	5
		 	 2.32
	  	“Retirement”	  	6
		 	 2.33
	  	“Retirement Account”	  	6
		 	 2.34
	  	“Section 409A”	  	6
		 	 2.35
	  	“Section 409A Account”	  	6
		 	 2.36
	  	“Shares”	  	6
		 	 2.37
	  	“Subsidiary”	  	6
		 	 2.38
	  	“Supplemental Subaccount”	  	6
		 	 2.39
	  	“Termination for Cause”	  	6
		 	 2.40
	  	“Termination of Service”	  	6
		 	 2.41
	  	“Total and Permanent Disability”	  	6

  

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		 	 2.42
	  	“Valuation Date”	  	7
		 	 2.43
	  	“Year of Service”	  	7
		
	 ARTICLE III PARTICIPATION; DEFERRAL ELECTION
	  	8
				
		 	 3.1
	  	Eligibility to Participate.	  	8
		 	 3.2
	  	Deferral Election.	  	8
		 	 3.3
	  	Deferral Subaccount.	  	9
		 	 3.4
	  	Deferred Restricted Stock Subaccount.	  	9
		
	 ARTICLE IV EMPLOYER CONTRIBUTION CREDITS; VESTING
	  	11
				
		 	 4.1
	  	Employer Contribution Credits.	  	11
		 	 4.2
	  	Prior Plan Transfer Accounts	  	12
		 	 4.3
	  	Vesting of a Participant’s Account.	  	12
		
	 ARTICLE V PAYMENT OF ACCOUNTS
	  	14
				
		 	 5.1
	  	Timing and Form of Payment of Section 409A Account.	  	14
		 	 5.2
	  	Timing and Form of Payment of Pre-Section 409A Account.	  	17
		
	 ARTICLE VI PLAN ADMINISTRATOR
	  	20
				
		 	 6.1
	  	Plan Administrator.	  	20
		 	 6.2
	  	Right and Duties.	  	20
		 	 6.3
	  	Compensation, Indemnity and Liability.	  	20
		 	 6.4
	  	Taxes.	  	21
		
	 ARTICLE VII CLAIMS PROCEDURE
	  	22
				
		 	 7.1
	  	Claims for Benefits.	  	22
		 	 7.2
	  	Appeals.	  	22
		
	 ARTICLE VIII AMENDMENT AND TERMINATION; CHANGE IN CONTROL
	  	23
				
		 	 8.1
	  	Amendments.	  	23
		 	 8.2
	  	Termination of Plan.	  	23
		 	 8.3
	  	Change In Control Provisions.	  	23
		
	 ARTICLE IX MISCELLANEOUS
	  	25
				
		 	 9.1
	  	Limitation on Participant’s Rights.	  	25
		 	 9.2
	  	Benefits Unfunded.	  	25
		 	 9.3
	  	Other Plans.	  	25
		 	 9.4
	  	Receipt or Release.	  	25
		 	 9.5
	  	Governing Law.	  	25
		 	 9.6
	  	Gender, Tense, and Headings.	  	25
		 	 9.7
	  	Successors and Assigns; Nonalienation of Benefits.	  	26
		 	 9.8
	  	Combination With Other Plan.	  	26

 APPENDIX A PENSION PLAN MAKE-UP CONTRIBUTION CREDIT 
 APPENDIX B SERP CONTRIBUTION CREDIT 
 APPENDIX C SUPPLEMENTAL CONTRIBUTION CREDIT 
  

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 ARTICLE I 
 INTRODUCTION AND ESTABLISHMENT 
 Zep Inc. (the “Company”) hereby establishes the Zep Inc.
Supplemental Deferred Savings Plan (the “Plan”) for the benefit of eligible management and highly compensated employees of the Company and its Subsidiaries and Business Units. The Plan is designed to assist and encourage eligible employees
to accumulate capital and to supplement their retirement income and to align their interests more closely with those of stockholders. The Plan provides for elective deferrals of an employee’s compensation, Company matching contributions and
supplemental Company contributions. 
 The effective date of the Plan is
                    , 2007 (“Effective Date”). The Plan is being established in connection with the spin-off (the
“Spin-off”) of the Company from Acuity Brands, Inc. (“Acuity Brands”), which became effective                     , 2007.
Pursuant to an Employee Benefits Agreement, dated as of                     , 2007, between the Company and Acuity Brands, the amounts credited to
the Accounts (including all subaccounts) of certain employees and former employees of Acuity Brands and its subsidiaries who were participants in the Acuity Brands, Inc. Supplemental Deferred Savings Plan and the Acuity Brands, Inc. 2005
Supplemental Deferred Savings Plan (together, the “Prior Plans”) as of the Effective Date, and who became or remained employees of the Company or its Subsidiaries as of the Effective Date (including former employees of the Company and its
Subsidiaries and employees of the corporate office of Acuity Brands who become employees of the Company) shall be transferred to the Plan. As provided for herein, the elections made, and rights existing, under the Prior Plans prior to the Effective
Date, including elections regarding deferral amounts, timing and manner of payment of benefits, and designation of Beneficiaries, shall be carried over and apply for purposes of the Plan after the Effective Date (subject to any change of election
rights under the Plan). 
  

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 ARTICLE II 
 DEFINITIONS 
 When used in this Plan, the following terms shall have the meanings set forth below
unless a different meaning is plainly required by the context: 
 2.1 “Account” means the records maintained by the Plan
Administrator to determine the Participant’s deferrals and any Company contribution credits on the Participant’s behalf under this Plan, including amounts transferred from the Prior Plans. Such Account may be reflected as an entry in the
Company’s (or Employer’s) records, or as a separate account under a trust, or as a combination of both. Each Participant’s Account may consist of the following subaccounts: a Deferral Subaccount to reflect his deferrals of
Compensation; a Matching Subaccount for Employer matching contribution credits; a Supplemental Subaccount for any supplemental Employer contribution credits; and a Deferred Restricted Stock Subaccount to reflect any deferrals of Restricted Stock.
For purposes of certain provisions of the Plan, the Participant’s Account shall be divided between a Pre-Section 409A Account and a Section 409A Account. The Plan Administrator may establish such additional subaccounts as it deems
necessary for the proper administration of the Plan. 
 2.2 “Acuity Shares” means the common stock of Acuity Brands, Inc.

 2.3 “Annual Valuation Date” means December 31 of each year while the Plan is in effect. 
 2.4 “Beneficiary” means the person or persons last designated in writing by the Participant under the Plan to receive the vested amount
in his Account in the event of such Participant’s death and, if no designation has been made under this Plan, the designation of Beneficiary made by the Participant under the Prior Plans shall be deemed to be the designation under this Plan; if
no such designation under either plan shall be in effect at the time of a Participant’s death or if all designated Beneficiaries shall have predeceased the Participant, then the Beneficiary shall be the Participant’s estate or his personal
representative. 
 2.5 “Business Unit” means any of the operating units or divisions of the Company, or its Subsidiaries,
designated as a Business Unit by the Plan Administrator. 
 2.6 “Change in Capitalization” means any increase or reduction
in the number of Shares, or any change (including, but not limited to, a change in value) or exchange of Shares for a different number or kind of shares or other securities of the Company, by reason of a reclassification, recapitalization, merger,
consolidation, reorganization, spin-off, split-up, issuance of warrants or rights or debentures, stock dividend, stock split or reverse stock split, cash dividend, property dividend, combination or exchange of shares, repurchase of shares, public
offering, private placement, change in corporate structure or otherwise, which in the judgment of the Plan Administrator is material or significant. 
 2.7 “Change in Control” means any of the following events: 
 (a) The
acquisition (other than from the Company in an acquisition that is approved by the Incumbent Board) by any “Person” (as the term person is used for 

  

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purposes of Sections 13(d) or 14(d) of the Securities Exchange Act of 1934, as amended (the “1934 Act”)) of beneficial ownership (within the
meaning of Rule 13d-3 promulgated under the 1934 Act) of twenty percent (20%) or more of the combined voting power of the Company’s then outstanding voting securities; or 
 (b) The individuals who, as of the Effective Date, are members of the Board (the “Incumbent Board”), cease for any reason to
constitute at least two-thirds of the Board; provided, however, that if the election, or nomination for election by the Company’s stockholders, of any new director was approved by a vote of at least two-thirds of the Incumbent Board, such new
director shall, for purposes of this Plan, be considered as a member of the Incumbent Board; or 
 (c) Consummation of a
merger or consolidation involving the Company if the stockholders of the Company, immediately before such merger or consolidation do not, as a result of such merger or consolidation, own, directly or indirectly, more than sixty percent (60%) of
the combined voting power of the then outstanding voting securities of the corporation resulting from such merger or consolidation in substantially the same proportion as their ownership of the combined voting power of the voting securities of the
Company outstanding immediately before such merger or consolidation; or 
 (d) Consummation of a complete liquidation or
dissolution of the Company or of the sale or other disposition of all or substantially all of the assets of the Company. 
 Notwithstanding
the foregoing, a Change in Control shall not be deemed to occur pursuant to subsection (a) above, solely because twenty percent (20%) or more of the combined voting power of the Company’s then outstanding securities is acquired by
(i) a trustee or other fiduciary holding securities under one or more employee benefit plans maintained by the Company or any of its subsidiaries, or (ii) any corporation which, immediately prior to such acquisition, is owned directly or
indirectly by the stockholders of the Company in the same proportion as their ownership of stock in the Company immediately prior to such acquisition. 
 2.8 “Code” means the Internal Revenue Code of 1986, as amended. 
 2.9
“Company” means Zep Inc., a Delaware corporation, or its successor or successors. 
 2.10 “Compensation”
means the annual cash compensation (salary plus bonuses whether under a Performance-Based Plan or other annual bonuses) paid by the Employer to the Participant for the Plan Year, provided that a bonus actually paid during a subsequent Plan year
based upon performance during the preceding Plan Year shall be treated as Compensation for such preceding Plan Year. The Participant’s Compensation shall include amounts deferred by the Participant to this Plan and any other deferred
compensation plan of the Employer (whether or not qualified), and any salary reduction amounts contributed to a welfare plan. The term “Compensation” shall not include long-term incentive payments, income from stock options, stock
appreciation rights, restricted stock, restricted stock units, performance awards or other stock awards, car allowances, non-cash remuneration, such as health benefits, life insurance, and 

  

 3 

 
other fringe benefits, moving expenses, relocation allowances, and payments from this Plan or any other deferred compensation plan. 
 2.11 “Deferral Subaccount” means the subaccount maintained to reflect the Participant’s deferrals of Compensation, including
amounts previously credited to a Participant’s Deferral Subaccount in the Prior Plans that are transferred to this Plan pursuant to Section 4.2, and any earnings thereon. 
 2.12 “Deferred Restricted Stock Subaccount” or “Deferred Vested Value Subaccount” means the subaccounts maintained to
reflect the Participant’s deferrals of Restricted Stock and related dividends, including amounts previously credited to the Participant under the Prior Plans that are transferred to the Plan pursuant to Section 4.2. 
 2.13 “Effective Date” means the effective date of this Plan,
                    , 2007. 
 2.14
“Election Form” means the form prescribed by the Plan Administrator on which a Participant may specify the amount of his Compensation that is to be deferred pursuant to the provisions of Article III, and the time and manner of
payment of his benefits. The Election Form may be accessed and completed through telephonic or electronic means as determined by the Plan Administrator. 
 2.15 “Employer” means the Company and any Subsidiary or related employer designated by the Company to participate in the Plan. 
 2.16 “ERISA” means the Employee Retirement Income Security Act of 1974, as amended. 
 2.17 “Executive” means an officer of the Company, a Subsidiary or one of the Company’s Business Units, and other key employees
designated as eligible pursuant to Section 3.1. Any dispute regarding any individual’s classification shall be determined by the Plan Administrator in its sole discretion. 
 2.18 “Fair Market Value” means the fair market value of the Shares as determined in good faith by the Plan Administrator; provided,
however, that (a) if the Shares are admitted to trading on a national securities exchange, Fair Market Value on any date shall be the closing price reported for the Shares on such exchange on such date or, if no sale was reported on such date,
on the last date preceding such date on which a sale was reported, (b) if the Shares are admitted to quotation on the National Association of Securities Dealers Automated Quotation System (“NASDAQ”) or other comparable quotation
system and have been designated as a National Market System (“NMS”) security, Fair Market Value on any date shall be the last sale price reported for the Shares on such system on such date or on the last day preceding such date on which a
sale was reported, or (c) if the Shares are admitted to Quotation on NASDAQ and have not been designated a NMS Security, Fair Market Value on any date shall be the average of the highest bid and lowest asked prices of the Shares on such system
on such date. 
 2.19 “Financial Hardship” means the occurrence of an “unforeseeable emergency” with respect to
the Participant within the meaning of Section 409A. 
  

 4 

 2.20 “Fiscal Year” means the Company’s fiscal year commencing on September 1
and ending on August 31 of the following calendar year, or such other 12-month period used by the Company for financial reporting purposes. 
 2.21 “In-Service Account” means an account established by a Participant which will be paid (or commence being paid) during employment on a date selected by the Participant. 
 2.22 “Matching Subaccount” means the subaccount maintained to reflect the Employer’s matching contribution credits, including
amounts previously credited to a Participant’s Matching Subaccount in the Prior Plans that are transferred to this Plan pursuant to Section 4.2, and any earnings thereon. 
 2.23 “Participant” means an Eligible Executive as defined in Section 3.1 (or an individual who was an Eligible Executive, including
individuals who were participating in the Prior Plans who have amounts transferred to this Plan), a portion of whose Compensation for any Plan Year has been deferred pursuant to the Plan or who has received Employer contribution credits, and whose
interest in the Plan has not been wholly distributed. 
 2.24 “Performance-Based Plan” means a plan (or part of a plan) that
pays compensation which qualifies as “Performance-based compensation” within the meaning of Section 409A. 
 2.25
“Plan” means the Zep Inc. Supplemental Deferred Savings Plan, as set forth herein and as it may be amended from time to time. 
 2.26 “Plan Administrator” means the Company or, if applicable, a committee appointed pursuant to Article VI to administer the Plan. 
 2.27 “Plan Year” means January 1 through the next following December 31. 
 2.28
“Pre-Section 409A Account” means the portion (if any) of the Participant’s Account transferred from the Prior Plans that was credited to the Participant as of December 31, 2004 and vested in the Participant, and any
earnings thereon. The Participant’s Pre-Section 409A Account shall be payable in accordance with Section 5.2. 
 2.29
“Prime Rate” means the rate of interest published in the Wall Street Journal (or similar financial publication selected by the Plan Administrator) as the prime rate on a particular date (or the next business day if such date
is not a business day), as determined by the Plan Administrator. 
 2.30 “Prior Plans” means the Acuity Brands, Inc.
Supplemental Deferred Savings Plan, which became effective November 30, 2001, as amended, and the Acuity Brands, Inc. 2005 Supplemental Deferred Savings Plan, which became effective as of January 1, 2005, as amended. 
 2.31 “Prior Plan Transfer Account” means the amount credited to a Participant under the Prior Plans that is transferred to this Plan,
which shall be managed and distributed in accordance with the provisions of this Plan. The portion of the Participant’s Prior Plan Transfer Account that is a Pre-Section 409A account shall be distributed in accordance with
Section 5.2. 
  

 5 

 2.32 “Retirement” means termination of the Participant’s employment with all
Employers on or after attaining age 60, other than a Termination for Cause. 
 2.33 “Retirement Account” means the account
which is payable in accordance with Section 5.1(b) in the manner elected by the Participant if the Participant terminates employment upon death, Disability, after qualifying for Retirement, or after attaining age 55 and completing at least 5
Years of Service. 
 2.34 “Section 409A” means Section 409A of the Code, as it may be amended from time to time, and
the regulations and rulings thereunder. 
 2.35 “Section 409A Account” means the portion of the Participant’s Account
that is not a Pre-Section 409A Account. The Participant’s Section 409A Account shall be payable in accordance with Section 5.1. 
 2.36 “Shares” means the common stock, par value $.01 per share, of the Company (including any new, additional or different stock or securities resulting from a Change in Capitalization). 
 2.37 “Subsidiary” means any corporation in an unbroken chain of corporations, beginning with the Company, if each of the corporations
other than the last corporation in the unbroken chain owns stock possessing 50% or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. The term “Subsidiary” shall also include a
partnership or limited liability company in which the Company or a Subsidiary owns 50% or more of the profits interest or capital interest. 
 2.38 “Supplemental Subaccount” means the subaccount established to reflect the Employer’s supplemental contribution credits, including amounts previously credited to a Participant’s Supplemental Subaccount in the
Prior Plans that are transferred to this Plan pursuant to Section 4.2, and any earnings thereon. 
 2.39 “Termination for
Cause” means the Executive has terminated employment and has been found by the Plan Administrator to be guilty of theft, embezzlement, fraud or misappropriation of the Company’s property or of any action which, if the individual were
an officer of the Company, would constitute a breach of fiduciary duty. The final determination of whether a Participant has incurred a Termination for Cause shall be made by the Plan Administrator. 
 2.40 “Termination of Service” or similar expression means the separation from service of the Participant as an employee of the Company
and all adopting Employers. A Participant who is granted a temporary leave of absence, whether with or without pay, shall not be deemed to have terminated his service. In the event of a transfer of an Executive to a position in which he would no
longer be eligible to actively participate in this Plan, such transfer shall not constitute a Termination of Service. 
 2.41 “Total
and Permanent Disability” means a physical or mental incapacity which impairs the Participant’s ability to substantially perform his usual duties and services for the Employer for a period of one hundred eighty (180) consecutive
days. The determination as to 

  

 6 

 
whether Total and Permanent Disability exists shall be made by the Plan Administrator based upon the information provided to it and shall be made in a manner
consistent with the requirements of Section 409A. 
 2.42 “Valuation Date” means the Annual Valuation Date, and any
other date(s) selected by the Plan Administrator as of which the Accounts of Participants are valued. 
 2.43 “Year of
Service” means, subject to such Break in Service rules as the Plan Administrator may establish, each Plan Year in which the Eligible Executive is credited with 1,000 or more Hours of Service with the Employer, including all Years of Service
credited to the Eligible Executive under the Prior Plans. Hours of Service and Break in Service shall be determined hereunder in accordance with the Company’s general rules for determining such matters under its defined contribution
tax-qualified plans. 
  

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 ARTICLE III 
 PARTICIPATION; DEFERRAL ELECTION 
 3.1 Eligibility to Participate. Prior to, or at the
beginning of, each Plan Year, the Company (or its designee) shall specify the Executives who are eligible to make deferral elections under the Plan for the following Plan Year and to receive Matching Subaccount and Supplemental Subaccount credits
(an “Eligible Executive”). Such eligibility designation may be made by establishing a minimum compensation level for participation or by the use of such other criteria as the Company (or its designee) deems appropriate from time to time.

 3.2 Deferral Election. For any Plan Year in which an Eligible Executive is eligible to participate, such Eligible Executive may
elect on an Election Form to have a portion of the Compensation to be received by the Executive for such Plan Year deferred in accordance with the terms and conditions of the Plan. The Plan Administrator may provide for a separate election with
respect to salary and annual bonus. 
 An Executive desiring to exercise such election shall, prior to the beginning of each Plan Year (or
within 30 days after the date of the Eligible Executive’s initial eligibility for the Plan as determined by the Plan Administrator, if such eligibility commences other than at the beginning of a Plan Year), complete an Election Form indicating
the percentage or amount of his Compensation for such Plan Year that he elects to have deferred, provided that the Plan Administrator may extend the date for electing to defer an annual bonus under a Performance-Based Plan to the extent permitted by
Section 409A. If the Eligible Executive’s election would result in a deferral greater than the maximum established by the Plan Administrator, any deferred amount shall be reduced to the maximum limit. 
 An election to defer Compensation must be filed with the Plan Administrator within the time period prescribed by the Plan Administrator. If a Participant
fails to file a properly completed and duly executed Election Form with the Plan Administrator by the prescribed time, he will be deemed to have elected not to defer any Compensation under this Plan for the Plan Year, except to the extent the Plan
Administrator in its sole discretion permits an extension of the election period. An Eligible Executive may not, after the applicable election date change (increase or decrease) the percentage or amount of Compensation he has elected to defer for a
Plan Year. 
 At the time a Participant elects to defer Compensation, the Participant shall elect with respect to such deferral the time and
manner in which the amount deferred (and any earnings thereon) will be distributed to the Participant. The Plan Administrator may provide that such election is a continuing election with respect to all amounts credited (and to be credited) to the
Participant’s Account. The distribution elections, and any changes to such elections, shall be made in accordance with Article V. 
 The Plan Administrator may establish a maximum deferral limitation for a Plan Year for each group or class of Eligible Executives (which may be a dollar amount, a percentage of Compensation or some other limit) and may change such
limitation from year to year, provided an Eligible Executive shall not be permitted to reduce his Compensation below the amount necessary to make required or elected contributions to employee benefit plans, required federal, 

  

 8 

 
state and local tax withholdings, and any other withholdings deemed necessary by the Plan Administrator or required by law. 
 The Participant may designate on the Election Form (or on separate form provided by the Plan Administrator) a Beneficiary (or Beneficiaries) to receive
payment of amounts in his Account in the event of his death. If a Participant fails to designate a Beneficiary under the Plan, the Beneficiary(ies) under the Prior Plans shall be deemed to be the Beneficiary(ies) designated under this Plan.

 3.3 Deferral Subaccount. The Company shall establish a Deferral Subaccount for each Participant under the Plan. The initial amount
credited to the Participant’s Deferral Subaccount under the Plan shall be the amount credited to the Participant’s Deferral Subaccount in the Prior Plans that is transferred to this Plan as provided in Section 4.2 below. Each
Participant’s Deferral Subaccount shall thereafter be credited with the amounts of Compensation deferred by the Participant under this Plan. The timing and manner in which amounts are credited to a Participant’s Deferral Subaccount under
this Plan shall be determined by the Plan Administrator in its discretion, but the deferral election shall be applied to each pay period in which the Participant has Compensation during his period of participation in the Plan. The Participant’s
Deferral Subaccount shall be credited with interest at the Prime Rate, or the earnings under such other investment options that the Plan Administrator may establish, on each Annual Valuation Date based upon the amount credited to such Subaccount as
of the preceding Annual Valuation Date, and at such other times, if any, as may be determined by the Plan Administrator. 
 3.4 Deferred
Restricted Stock Subaccount and Deferred Vested Value Subaccount. The Company shall establish a Deferred Restricted Stock Subaccount and a Deferred Vested Value Subaccount for each Participant under the Plan who has Deferred Restricted Stock
Subaccount or Deferred Vested Value Subaccount credits in the Prior Plan Transfer Account being transferred from the Prior Plans. The initial amount credited to the Participant’s Deferred Restricted Stock Subaccount and Deferred Vested Value
Subaccount under the Plan shall be a number of whole Acuity Shares (with any fractional share converted to cash and treated as part of the cash portion of the account) equal in value (determined immediately after the Spin-off by the Plan
Administrator) to the number of Acuity Shares credited to the Participant’s Deferred Vested Value Subaccount and Deferred Restricted Stock Subaccount in the Prior Plans immediately prior to the Spin-off that are transferred to this Plan as
provided in Section 4.2 below. No further deferrals will be allowed to the Deferred Restricted Stock Subaccount or Deferred Vested Value Subaccount by the Participant under this Plan, unless the Plan Administrator determines otherwise. The
Deferred Restricted Stock Subaccount and Deferred Vested Value Subaccount will be adjusted on each Annual Valuation Date (and at such other dates, if any, as may be determined by the Plan Administrator) as if they were invested in Acuity Shares to
reflect any distributions, stock dividends, stock splits or similar actions with respect to the Acuity Shares since the preceding Annual Valuation Date (or such other date). The Participant’s Deferred Restricted Stock Subaccount and Deferred
Vested Value Subaccount will be adjusted on each Annual Valuation Date (and at such other dates, if any, as may be determined by the Plan Administrator) to reflect the cash equivalent of any dividends with respect to the Acuity Shares since the
preceding Annual Valuation Date (or such other date). The amounts credited to a Participant’s Deferred Restricted Stock Subaccount shall be 

  

 9 

 
distributed and subject to a further deferral election as provided in Section 5.1(f) below, and the Participant’s Deferred Vested Value Subaccount
shall be distributed and subject to further deferral election as provided in Section 5.2 below. 
  

 10 

 ARTICLE IV 
 EMPLOYER CONTRIBUTION CREDITS; VESTING 
 4.1 Employer Contribution Credits. 
 (a) Matching Subaccount. The Company shall establish a Matching Subaccount for each Participant under the Plan. The initial amount
credited to the Participant’s Matching Subaccount under the Plan shall be the amount credited to the Participant’s Matching Subaccount in the Prior Plans that is transferred to this Plan as provided in Section 4.2 below. Thereafter,
unless the Board otherwise determines, as of the end of each Plan Year (or as of such other date as the Board may determine), there shall be credited to the Matching Subaccount of each Participant who is employed on the last day of the Plan Year an
amount equal to 25% of the amount of the Participant’s deferrals for such Plan Year, provided that the maximum amount credited to a Participant’s Matching Subaccount for a Plan Year shall not exceed five percent (5%) of the
Participant’s Compensation for such Plan Year. The amounts credited to the Participant’s Matching Subaccount shall automatically be credited to the Participant’s Retirement Account. 
 (b) Supplemental Subaccount. The Company shall establish a Supplemental Subaccount for each Participant under the Plan. The
initial amount credited to the Participant’s Supplemental Subaccount under the Plan shall be the amount credited to the Participant’s Supplemental Subaccount in the Prior Plans that is transferred to this Plan as provided in
Section 4.2 below. Thereafter, unless the Board otherwise determines, as of the end of each Plan Year (or as of such other date as the Board may determine), there shall be credited to the Supplemental Subaccount of an Eligible Executive who is
employed on the last day of the Plan Year and who has a Year of Service for such Plan Year an amount equal to (i) for an Eligible Executive who is designated a senior officer for such Plan Year by the Company’s Chief Executive Officer in
his discretion, an amount equal to five percent (5%) of the Eligible Executive’s Compensation for such Plan Year, and (ii) for all other Eligible Executives, three percent (3%) of the Eligible Executive’s Compensation for
such Plan Year. The amounts credited to the Participant’s Supplemental Subaccount shall automatically be credited to the Participant’s Retirement Account. 
 (c) Crediting of Earnings. Unless the Company otherwise determines, (i) the amount credited to a Participant’s Matching
Subaccount and Supplemental Subaccount as of the Effective Date shall be credited with interest at the Prime Rate, or the earnings under such other investment options that the Plan Administrator may establish, on each Annual Valuation Date based
upon the amount credited to such subaccount as of the preceding Annual Valuation Date, and (ii) the amounts credited to a Participant’s Matching Subaccount and Supplemental Subaccount on or after the Effective Date shall be credited in
Shares, with the number of Shares being determined by dividing the dollar amount credited by the Fair Market Value of a Share on the crediting date. These subaccounts will be adjusted on each Annual Valuation Date (and at such other dates, if any,
as may be determined by the Plan Administrator) as if they were invested in Shares to reflect any distributions, stock dividends, stock splits or similar actions with respect to 

  

 11 

 
the Shares since the preceding Annual Valuation Date (or such other date). The Participant’s subaccounts will be adjusted on each Annual Valuation Date
(and at such other dates, if any, as may be determined by the Plan Administrator) to reflect the cash equivalent of any dividends with respect to the Shares since the preceding Annual Valuation Date (or such other date). 
 (d) Additional Employer Contribution Credits. Certain Participants may be eligible to receive additional Employer contribution
credits under the Plan, which additional amounts, the subaccount to which such amounts should be credited and the deemed investment of such amounts shall be described on an Appendix attached hereto and made a part hereof. 
 4.2 Prior Plan Transfer Accounts 
 (a) The Accounts of Participants in the Prior Plans are hereby transferred to the Plan and the Plan hereby assumes all obligations with respect to the amounts credited to such Accounts. The amounts credited to such
Accounts shall be maintained and administered in accordance with the Plan, including the vesting schedule of Section 4.3 and the payment rules of Article V. The Plan Administrator may permit changes to such payment elections in accordance
with Article V and Section 409A. 
 (b) The Plan Administrator shall provide such additional payment elections to
Participants with respect to amounts credited to the Plan pursuant to this Section 4.2 as are consistent with Section 409A, including the transitional rules. 
 4.3 Vesting of a Participant’s Account. 
 (a) Deferral Subaccount. Except
as provided in the next sentence, a Participant’s interest in the amount credited to his Deferral Subaccount shall at all times be 100% vested and nonforfeitable. If a Participant incurs a Termination for Cause, he shall forfeit all earnings
credited on all amounts deferred to his Deferral Subaccount that have not yet been fully distributed to him under Article V. 
 (b) Matching and Supplemental Subaccounts. (i) Except in the event of a Termination For Cause, a Participant’s interest in the amount credited to his Matching Subaccount and Supplemental Subaccount on or after the Effective
Date shall become (A) 100% vested and nonforfeitable upon his death, Total and Permanent Disability, or Retirement, or (B) vested in accordance with the following vesting schedule: 
  

							
	 Years of Service
	  	Vested Percentage	 	 	Subject to Forfeiture	 
	 Less than 2
	  	0	%	 	100	%
	 2 but less than 3
	  	10	%	 	90	%
	 3 but less than 4
	  	20	%	 	80	%
	 4 but less than 5
	  	40	%	 	60	%
	 5 but less than 6
	  	60	%	 	40	%
	 6 but less than 7
	  	80	%	 	20	%
	 7 or more
	  	100	%	 	0	%

  

 12 

 For purposes of this subsection (b)(i), Year of Service shall be determined in accordance with Section 2.43, and
shall include Years of Service prior to the Effective Date. 
 (ii) Except in the event of a Termination for Cause, a
Participant’s interest in the amount credited to his Matching Subaccount and Supplemental Subaccount prior to the Effective Date (and earnings on such amounts), including amounts transferred from the Prior Plans, shall become (A) 100%
vested and nonforfeitable upon his death, Total and Permanent Disability, Retirement, or completion of 10 or more Years of Service and attainment of age 55 while actively employed, and (B) 50% vested upon completion of 5 Years of Service and
attainment of age 55 while actively employed, with such vesting increasing (or being increased) 10% per year for each additional Year of Service up to 10 years. For purposes of this subsection (b)(ii), Years of Service shall be determined in
accordance with Section 2.43, and shall include Years of Service prior to Effective Date. 
 (iii) Subject to Article
VIII, if the Participant incurs a Termination for Cause (regardless of whether he is otherwise vested) or if the Participant’s employment is terminated prior to the time specified for any vesting above, his entire Matching and Supplemental
Subaccounts shall be forfeited. 
 (c) Deferred Restricted Stock Subaccount and Deferred Vested Value Subaccount. A
Participant’s interest in the amount credited to his Deferred Restricted Stock Subaccount and Deferred Vested Value Subaccount shall vest in accordance with the terms of the underlying award agreement for such Restricted Stock. 
 4.4 Shares Subject to the Plan. Subject to adjustment for Changes in Capitalization, the aggregate number of Shares which are available for
issuance under the Plan is                      (            ) Shares.
Shares issued with respect to the Deferred Restricted Stock Subaccount and the Deferred Vested Value Subaccount are issued under the Company’s Long-Term Incentive Plan and will not reduce the number of Shares issuable under the Plan.

  

 13 

 ARTICLE V 
 PAYMENT OF ACCOUNTS 
 5.1     Timing and Form of Payment of Section 409A
Account. 
 The following rules shall apply with respect to payment of a Participant’s Section 409A Account: 
 (a)     In General.     Subject to subsection (g) below, on the Election Form, the
Participant shall make an election as to the timing and form of payment for any Participant deferrals for such Plan Year and the form of payment for any Employer contribution credits for such Plan Year pursuant to Section 4.1 (such Employer
contribution credits are automatically credited to the Participant’s Retirement Account) from among the options set forth below for the Participant’s Retirement Account and for any Cash In-Service Account. Once the Participant elects a
form of payment for the Retirement Account, and the time and form of payment for any Cash In-Service Account, those elections may only be changed twice and only in accordance with subsection (e) below. Notwithstanding the Participant’s
payment elections under this Article V, the entire amount remaining in the Participant’s Account will be paid to the Participant in a lump sum in January of the calendar year in which the Participant will attain age 80. 
 (b)     Retirement Account.     The Participant will be entitled to payment of his
Retirement Account in accordance with his payment election if he terminates employment upon death, Disability or Retirement, or after attaining age 55 and completing five or more Years of Service. The Participant may elect that the vested amount of
his Retirement Account be distributed in a lump sum, or in annual payments for a period of up to ten (10) years, provided that if the balance of the Participant’s Account is less than $15,000, the Participant’s Account will
automatically be paid in a lump sum. For example, under the 10-year annual payment method, the first year’s payment will equal one tenth (1/10) of the total Account, the second year’s will equal one ninth (1/9) of the remaining
Account, and so forth. Subject to subsection (g) below, payment of the Participant’s Retirement Account shall be made (i) if the payment is in a lump sum, as soon as practicable after the event entitling the Participant to payment, or
(ii) if the payment is in installments, commencing in the January following the event entitling the Participant to payment. If the Participant dies after commencing to receive installment payments, the remaining payments shall be made to the
Participant’s Beneficiary over the same period as elected by the Participant or in such other manner as the Participant may elect on a form provided by the Plan Administrator. 
 (c)     Cash In-Service Account.     For a Participant’s deferrals (but not for any
Employer contribution credits), the Participants may elect to have a Cash In-Service Account payable (or commence to be paid) during January of the year selected by the Participant on the Election Form (which initial payment date may not be earlier
than two years after the end of the calendar year during which amounts are first credited to such Account), in a lump sum or in annual payments over a period of up to ten (10) years, in the manner provided in (b) above, as applicable;
provided, that any subsequent deferrals to such designated Cash In-Service Account must be made no later than the end of the 

  

 17 

 
calendar year ending two years prior to such payment date; provided, further, that a Participant may only establish such number of Cash In-Service Accounts
for his Account as may be permitted by the Plan Administrator (or his designee) and the Plan Administrator may increase the minimum deferral period for Cash In-Service Accounts. Notwithstanding the Participant’s elections under this
Section 5.1(c), in the event the Participant becomes entitled to payment of his Retirement Account under subsection (b) above or to his Account under Subsection (h) below, the remaining balance of the Participant’s Account shall
be payable in accordance with the provisions for payment under subsection (b) or under Subsection (h) (whether or not the Cash In-Service Account was in payment status at such time). 
 (d)     Annual Designation.     The Participant will designate each Plan Year which
portion of the Participant’s deferrals for such Plan Year shall be credited to the Participant’s Retirement Account and any Cash In-Service Accounts he has established. If a Participant’s Account is distributed in installments, the
Account shall continue to be credited with deemed earnings, gains and losses in accordance with Article IV until the entire amount of the Account is distributed. 
 (e)     Change of Payment Election.     A Participant may, not less than twelve
(12) months prior to the payment dates of any Cash In-Service Accounts he has established under subsection (c) above, and with the approval of the Plan Administrator, elect to defer the date on which payment of any Cash In-Service Account
shall commence and/or change the method of payment of such Cash In-Service Account, provided that, (i) after the initial election under subsection (c), a Participant may only make two election change with respect to a particular Cash In-Service
Account (after the second such election change, the election shall become irrevocable); (ii) except as otherwise permitted by Section 409A, the first in-service payment with respect to any such changed election must be deferred at least 5
years from the date such payment would otherwise have been made, (iii) except as otherwise permitted by Section 409A, the election shall not become effective for 12 months. 
 A Participant may, not less than twelve (12) months prior to the event entitling the Participant to payment of his Retirement Account under
subsection (b) above, elect to change the method of payment of the Participant’s Retirement Account, provided that (i) only two such changes are permitted and after the second such election change, the election is irrevocable;
(ii) the payment date for the Participant’s Retirement Account will be deferred for 5 years for each election change, and (iii) the election shall not become effective for 12 months. 
 All changes of election shall be made through a method established by the Plan Administrator. 
 (f)     Deferred Restricted Stock Subaccount.     Unless the Participant elects otherwise
as provided below, the vested amounts credited to his Deferred Restricted Stock Subaccount shall automatically be paid in a single payment in January, 2008. The Participant may elect on such form as may be provided by the Plan Administrator to
receive payment (i) at the same time as the initial payment of his Retirement Account 

  

 18 

 
(assuming the Participant qualifies under subsection (b)), or (ii) during January of the year selected by the Participant for payment of his Restricted
Stock In-Service Account. If the Participant terminates employment prior to the payment date of his Restricted Stock In-Service Account or event entitling the Participant to payment under subsection (b), payment of the Participant’s Deferred
Restricted Stock Subaccount will be made at the time of the Participant’s termination of employment. All distributions from the Participant’s Deferred Restricted Stock Subaccount shall be made in a lump sum. The Participant may elect to
change the time of payment of his Restricted Stock In-Service Account, but such election may only be changed twice and only in accordance with the provisions of subsection (e) above. 
 The amounts credited to the Participant’s Deferred Restricted Stock Subaccount shall be subject to the Financial Hardship distribution rules of
subsection (k) below. The amounts credited to the Deferred Restricted Stock Subaccount that are treated as invested in Acuity Shares shall be paid in whole Acuity Shares (with any fractional Acuity Share paid in cash). 
 (g)     Key Employee Restriction.     Notwithstanding the other provisions of this Article
V, in the event a Participant who is a “key employee” (as determined by the Plan Administrator in accordance with procedures that are consistent with Section 409A) becomes entitled to payments upon Retirement or Termination of
Service, payments shall not commence until 6 months after such Participant separates from service and on such date the payments that would have been made during such six-month period shall be made. 
 (h)     Payment at Certain Terminations of Service.     Subject to Section 5.1(g)
above, the vested amount of the Participant’s Account (including any unpaid amounts in the Participant’s In-Service Accounts) will be paid in a lump sum as soon as practical after the end of the month following the date on which the
Participant has a Termination of Service and the elections under Section 5.1(b) shall not be recognized, unless the Participant has completed 5 Years of Service and attained age 55 at the time of such Termination of Service, or the Participant
qualifies for Retirement or a Disability under the terms of this Plan. 
 (i)     Payment at
Death.     In the event a Participant dies while actively employed prior to Retirement or other Termination of Service, the entire amount of the Participant’s Account will become fully vested and will be paid in
accordance with the Participant’s election under Section 5.1(b). The form of payment to the Beneficiary shall be in accordance with the Participant’s election on the Election Form and, in the absence of such election, payment will be
made in a lump sum. 
 (j)     Payment at Disability.     In the event of the
Participant’s Total and Permanent Disability (as defined in Section 2.41), the entire amount of the Participant’s Account will become fully vested and payment will be made in accordance with the Participant’s election under
Section 5.1(b). Once payment has commenced, payments will continue as elected regardless of any future change in the Participant’s disability status. 
  

 19 

 (k)     Financial Hardship
Distribution.     Subject to approval by the Plan Administrator, the Participant may apply to withdraw, upon a showing of Financial Hardship, part or all of his vested Account. If the Plan Administrator determines that a
distribution should be made on account of Financial Hardship, distribution from the Participant’s Account shall be made as soon as administratively practical. Such distribution shall not exceed the dollar amount necessary to satisfy the
Financial Hardship plus amounts necessary to pay taxes reasonably anticipated as a result of the distribution, after taking into account the extent to which the Financial Hardship is or may be relieved through reimbursement or compensation by
insurance or otherwise or by liquidation of the Participant’s assets (to the extent the liquidation of such assets would not itself cause Financial Hardship). 
 5.2     Timing and Form of Payment of Pre-Section 409A Account. 
 The
following rules shall apply with respect to payment of a Participant’s Pre-Section 409A Account: 
 (a)     Deferral Subaccount. 
 (i)     In
General.     Except as provided in (ii) and (iii) below, distribution of each Class Year Subaccount of a Participant shall be made in a single lump sum payment as soon as practicable after the January 1 next
following five (5) full Plan Years after the Class Year. For example, the distribution of the 2002 Class Year Subaccount (the Participant’s deferrals credited to him for the year ended December 31, 2002) shall be made on or about
January 1, 2008, and for the 2003 Class Year Subaccount on or about January 1, 2009, and so on. All amounts shall be paid in cash, provided that amounts credited to the Deferred Vested Value Subaccount that are treated as invested in
Acuity Shares shall be paid in Acuity Shares. 
 (ii)     Election to Defer
Distribution.     A Participant who will become eligible to receive a distribution of a Class Year Subaccount under (i) above may elect to defer to the January 1 of a later year (subject to the limitations provided
below) the distribution of such Class Year Subaccount. The election to defer distribution of a Class Year Subaccount must be filed prior to the end of the fourth Plan Year immediately following the Class Year for such Class Year Subaccount. For
example, for the 2002 Class Year Subaccount, the election must be filed prior to January 1, 2007. The Participant’s deferral election for a Class Year Subaccount must indicate (A) the January 1 when he desires his benefit to be
paid or to commence, which date must be at least two (2) years after the date he could initially have received a distribution, and (B) whether the distribution should be made in a lump sum or in annual installments over a period of up to
ten (10) years; provided, that the lump sum payment shall be made not later than the year in which he attains age 70 and the last installment payment shall be made not later than the year in which the Participant attains age 75. A
Participant’s Class Year Subaccount for which a deferral election is made under this subsection (ii)

  

 20 

 
shall continue to be credited with earnings under Section 3.3 until the amount is fully distributed (except as limited in the case of a Termination for
Cause). 
 (iii)     Death, Disability or Termination of Service Prior to Vesting. 
 (A)     Notwithstanding the existence of a deferral election under Section 5.2(a)(ii), in the event of a
Participant’s death, Total and Permanent Disability, or a Termination of Service prior to the Participant’s completion of 5 Years of Service and attainment of age 55, distribution of the vested balance credited to a Participant’s
Deferral Subaccount shall be made to the Participant (or his Beneficiary in the event of death) as soon as practical. Payment of the Participant’s Deferral Subaccount shall be made in a lump sum. 
 (B)     In the event a Participant terminates after completing 5 Years of Service and attaining age 55 (except for
death and Total and Permanent Disability which are covered by (A) above), the vested balance credited to a Participant’s Deferral Subaccount shall be distributed as follows: (x) any Class Year Subaccounts as to which he has properly
elected under subsection (ii) above a delayed distribution and/or payment in installments shall be distributed in accordance with such elections; and (y) with respect to any Class Year Subaccounts as to which the five-year period has not
yet passed and that would otherwise be payable more than one (1) year in the future, the Participant may elect prior to termination to make the deferral election in (ii) above. Any Class Year Subaccounts as to which the 5-year period has
not passed that are payable within one (1) year and any Class Year Subaccounts as to which the election in (y) is not made shall be payable as soon as practical after termination. 
 (C)     In the event payments are made pursuant to this subsection (a)(iii), earnings shall be credited under
Section 3.3 until all amounts have been distributed (except as limited in the case of Termination for Cause). 
 (b)     Matching and Supplemental Subaccounts.     The vested amounts (determined in accordance with Section 4.3(b)(ii) credited to a Participant’s Matching Subaccount and
Supplemental Subaccount shall be payable in a lump sum as soon as practical after the Participant’s death, Total and Permanent Disability or Termination of Service, unless, in the case of a termination other than for death or Total and
Permanent Disability, the Participant has elected a delayed payment date and/or payment in installments on the Election Form; provided that the lump sum payment shall be made not later than the year in which he attains age 70 and the last
installment payment shall be made not later than the year in which the Participant attains age 75. The Plan Administrator may establish rules to permit Participants to change the form and timing of their payment election, provided that no such
change shall be effective unless it is made at least two (2) years prior to the Participant’s Termination of Service. In the event of death after Termination of Service, distribution of the remaining amount credited to the
Participant’s Matching Subaccount and Supplemental Subaccount shall be made to a 

  

 21 

 
Beneficiary in a lump sum as soon as practical after the Participant’s death. All amounts shall be paid in cash. 
 (c)     Hardship Distributions.     A Participant who is suffering an unforeseen and
severe financial hardship as a result of (i) an illness or accident of the Participant or his immediately family, (ii) loss of Participant’s property due to casualty, or (iii) for such other reasons as the Plan Administrator may
establish, may file a written request with the Plan Administrator for distribution of all or a portion of the amount credited to his Deferral Subaccount. The Plan Administrator shall have the sole discretion to determine whether to grant a
Participant’s hardship request and the amount to distribute to the Participant. The Plan Administrator shall have authority in connection with such hardship request to accelerate the payment of any Class Year Subaccounts which have been
deferred pursuant to Section 5.2(a)(ii). 
  

 22 

 ARTICLE VI 
 PLAN ADMINISTRATOR 
 6.1     Plan Administrator.    
The Plan Administrator shall be the Company or such committee as may be designated by the Company to administer and manage the Plan. Members of any committee shall not be required to be employees of the Company or Participants. Action of the Plan
Administrator may be taken with or without a meeting of committee members. If a member of the committee is a Participant in the Plan, he shall not participate in any decision which solely affects his own Account. 
 6.2     Right and Duties.     The Plan Administrator shall have the discretionary authority to administer
and manage the Plan and shall have all powers necessary to accomplish that purpose, including (but not limited to) the following: 
 (a)     To construe, interpret, and administer this Plan; 
 (b)     To make
allocations and determinations required by this Plan, and to maintain records relating to Participants’ Accounts; 
 (c)     To compute and certify to the Company the amount and kinds of benefits payable to Participants or their beneficiaries, and to determine the time and manner in which such benefits are to be paid; 
 (d)     To authorize all disbursements by the Company pursuant to this Plan; 
 (e)     To maintain (or cause to be maintained) all the necessary records of the administration of this Plan;

 (f)     To make and publish such rules for the regulation of this Plan as are not inconsistent with the
terms hereof; 
 (g)     To delegate to other individuals or entities from time to time the performance of
any of its duties or responsibilities hereunder; and 
 (h)     To hire agents, accountants, actuaries,
consultants and legal counsel to assist in operating and administering the Plan. 
 The Plan Administrator shall have the exclusive
discretionary authority to construe and to interpret the Plan, to decide all questions of eligibility for benefits and to determine the amount and manner of payment of such benefits, and its decisions on such matters shall be final and conclusive on
all parties. 
 6.3     Compensation, Indemnity and Liability.     The Plan Administrator
shall serve as such without bond and without compensation for services hereunder. All expenses of the Plan and the Plan Administrator shall be paid by the Company. If the Plan Administrator is a committee, no member of the committee shall be liable
for any act or omission of any other member of the committee, nor for any act or omission on his own part, excepting his own willful misconduct. The Company shall indemnify and hold harmless the Plan Administrator and each 

  

 23 

 
member of the committee against any and all expenses and liabilities, including reasonable legal fees and expenses, arising out of his membership on the
committee, excepting only expenses and liabilities arising out of his own willful misconduct. 
 6.4    
Taxes.     If the whole or any part of any Participant’s Account shall become liable for the payment of any estate, inheritance, income, or other tax which the Company shall be required to pay or withhold, the Company
shall have the full power and authority to withhold and pay such tax out of any monies or other property (including Shares and Acuity Shares) in its hand for the account of the Participant whose interests hereunder are so liable. The Company shall
provide notice of any such withholding. Prior to making any payment, the Company may require such releases or other documents from any lawful taxing authority as it shall deem necessary. 
  

 24 

 ARTICLE VII 
 CLAIMS PROCEDURE 
 7.1     Claims for Benefits.     If
a Participant or beneficiary (hereafter, “Claimant”) does not receive timely payment of any benefits which he believes are due and payable under the Plan, he may make a claim for benefits to the Plan Administrator. The claim for benefits
must be in writing and addressed to the Plan Administrator or to the Company. If the claim for benefits is denied, the Plan Administrator shall notify the Claimant in writing within 90 days after the Plan Administrator initially received the benefit
claim. However, if special circumstances require an extension of time for processing the claim, the Plan Administrator shall furnish notice of the extension to the Claimant prior to the termination of the initial 90-day period and such extension
shall not exceed one additional, consecutive 90-day period. Any notice of a denial of benefits shall advise the Claimant of the basis for the denial, any additional material or information necessary for the Claimant to perfect his claim, and the
steps which the Claimant must take to have his claim for benefits reviewed. 
 7.2    
Appeals.     Each Claimant whose claim for benefits has been denied may file a written request for a review of his claim by the Plan Administrator. The request for review must be filed by the Claimant within 60 days after
he received the written notice denying his claim. The decision of the Plan Administrator will be made within 60 days after receipt of a request for review and shall be communicated in writing to the Claimant. Such written notice shall set forth the
basis for the Plan Administrator’s decision. If there are special circumstances which require an extension of time for completing the review, the Plan Administrator’s decision shall be rendered not later than 120 days after receipt of a
request for review. 
  

 25 

 ARTICLE VIII 
 AMENDMENT AND TERMINATION; CHANGE IN CONTROL 
 8.1    
Amendments.     Subject to Section 8.3, the Company (or its designee) shall have the right in its sole discretion to amend this Plan in any manner at any time; provided, however, that no such amendment shall reduce
the Participant’s vested interest in his Account under Section 4.3 at that time. Any amendment shall be in writing and executed by a duly authorized officer of the Company. All Participants shall be bound by such amendment. 
 8.2     Termination of Plan.     The Company expects to continue this Plan, but does not obligate itself
to do so. Subject to Section 8.3, the Company reserves the right to discontinue and terminate the Plan at any time, in whole or in part, for any reason (including a change, or an impending change, in the tax laws of the United States or any
State). If the Plan is terminated, the Plan Administrator shall be notified of such action in a writing executed by a duly authorized officer of the Company, and the Plan shall be terminated at the time therein set forth. The amounts credited to the
Participants’ Accounts upon such termination shall become fully vested and (a) for the amounts credited to the Participant’s Pre-Section 409A Account, the amounts shall either be paid in a lump sum immediately, or distributed in
some other manner consistent with the Plan as determined by the Plan Administrator in its sole discretion, and (b) for amounts credited to the Participant’s Post-Section 409A Account, the amounts shall be paid in a lump sum, provided
that (i) the Company terminates at the same time any other arrangement that would be aggregated with the Plan under Section 409A; (ii) the Company does not adopt any other arrangement that would be aggregated with the Plan under
Section 409A for three years; (iii) the payments upon such termination shall not commence until 12 months after the date of termination and shall be completed within 24 months after the date of termination; and (iv) such other
requirements as may be imposed by Section 409A are satisfied. The termination of this Plan shall not result in the reduction of the amount credited to the Participant’s Account as of the date of such termination. 
 8.3     Change In Control Provisions. 
 (a)     Amendment or Termination.     Notwithstanding anything contained in this
Article VIII or the Plan to the contrary, for a period of two (2) years following a Change in Control, this Plan shall not be terminated or amended to reduce, suspend or eliminate any Eligible Executive’s or Participant’s
benefits or participation (or right to participate) provided under this Plan, including, without limitation, the benefits provided in Articles III and IV. Any amendment or termination of this Plan which a Participant reasonably demonstrates
(i) was at the request of a third party who has indicated an intention or taken steps reasonably calculated to effect a Change in Control, or (ii) otherwise arose in connection with or in anticipation of a Change in Control, and which was
not consented to in writing by the Participant shall be null and void, and shall have no effect whatsoever with respect to the Participant. 
 (b)     Termination of Employment.     Notwithstanding anything contained in this Plan to the contrary, if a Participant’s employment is terminated by the Company
(other than for “Cause” as defined in (c) below) or by the Participant for any reason within two (2) years following a Change in Control, the Participant’s Account shall become fully 

  

 26 

 
vested and the Company shall, within ten (10) days, pay to the Participant a lump sum payment in cash. Acuity Shares for any portion of the
Participant’s Account deemed to be invested in Acuity Shares and Shares for any portion of the Participant’s Account deemed to be invested in Shares (provided that the Company may elect in its discretion to pay cash in lieu of Shares) of
the full amount credited to his Account with earnings determined under Sections 3.3 and 4.1 credited thereto to the date of payment. If a Participant’s employment is terminated (i) for Cause (as defined in (c) below) within two
(2) years following a Change in Control or (ii) for any reason more than two (2) years after a Change in Control, the provisions of Article V shall apply to the distribution of the Participant’s Account. 
 (c)     Cause.     For purposes of Section 8.3(b), a termination for
“Cause” is a termination of the Executive evidenced by a resolution adopted in good faith by the Company (or in the case of executive officers of the Company, by two-thirds of the Board of Directors of the Company) that the Participant
(i) intentionally and continually failed to substantially perform his duties with the Company (other than a failure resulting from the Participant’s incapacity due to physical or mental illness) which failure continued for a period of at
least thirty (30) days after a written notice of demand for substantial performance has been delivered to the Participant specifying the manner in which the Participant has failed to substantially perform, or (ii) intentionally engaged in
conduct which is demonstrably and materially injurious to the Company, monetarily or otherwise; provided, however, that no termination of the Participant’s employment shall be for Cause as set forth in clause (ii) above until
(x) there shall have been delivered to the Participant a copy of a written notice setting forth that the Participant was guilty of the conduct set forth in clause (ii) and specifying the particulars thereof in detail, and (y) the
Participant shall have been provided an opportunity to be heard by the Board (with the assistance of the Participant’s counsel if the Participant so desires). No act, nor failure to act, on the Participant’s part, shall be considered
“intentional” unless he has acted or failed to act, with an absence of good faith and without a reasonable belief that his action or failure to act was in the best interest of the Company. Notwithstanding anything contained in this
Agreement to the contrary, in the case of any Participant who is a party to a Change in Control Agreement, no failure to perform by the Participant after a Notice of Termination (as defined in the Participant’s Change in Control Agreement) is
given by the Participant shall constitute Cause for purposes of this Plan. 
  

 27 

 ARTICLE IX 
 MISCELLANEOUS 
 9.1     Limitation on Participant’s
Rights.     Participation in this Plan shall not give any Participant the right to be retained in the Company’s employ or the employ of any Employer, or any right or interest in this Plan or any assets of the Company
other than as herein provided. The Company reserves the right to terminate the employment of any Participant without any liability for any claim against the Company under this Plan, except to the extent provided herein. 
 9.2     Benefits Unfunded.     The benefits provided by this Plan shall be unfunded. All amounts payable
under this Plan to Participants shall be paid from the general assets of the Company, and nothing contained in this Plan shall require the Company to set aside or hold in trust any amounts or assets for the purpose of paying benefits to
Participants. This Plan shall create only a contractual obligation on the part of the Company, and Participants shall have the status of general unsecured creditors of the Company under the Plan with respect to amounts of Compensation they defer
hereunder or any other obligation of the Company to pay benefits pursuant hereto. Any funds of the Company available to pay benefits pursuant to the Plan shall be subject to the claims of general creditors of the Company, and may be used for any
purpose by the Company. 
 Notwithstanding the preceding paragraph, the Company may at any time transfer assets, including Shares and Acuity
Shares, to a trust for purposes of paying all or any part of its obligations under this Plan. However, to the extent provided in the trust only, such transferred amounts shall remain subject to the claims of general creditors of the Company. To the
extent that assets are held in a trust when a Participant’s benefits under the Plan become payable, the Plan Administrator shall direct the trustee to pay such benefits to the Participant from the assets of the trust. 
 9.3     Other Plans.     This Plan shall not affect the right of any Executive or Participant to
participate in and receive benefits under and in accordance with the provisions of any other employee benefit plans which are now or hereafter maintained by the Company, unless the terms of such other employee benefit plan or plans specifically
provide otherwise. 
 9.4     Receipt or Release.     Any payment to a Participant in
accordance with the provisions of this Plan shall, to the extent thereof, be in full satisfaction of all claims against the Plan Administrator, the Company and any Employer, and the Plan Administrator may require such Participant, as a condition
precedent to such payment, to execute a receipt and release to such effect. 
 9.5     Governing
Law.     This Plan shall be construed, administered, and governed in all respects in accordance with applicable federal law and, to the extent not preempted by federal law, in accordance with the laws of the State of Georgia.
If any provisions of this instrument shall be held by a court of competent jurisdiction to be invalid or unenforceable, the remaining provisions hereof shall continue to be fully effective. 
 9.6     Gender, Tense, and Headings.     In this Plan, whenever the context so indicates, the singular or
plural number and the masculine, feminine, or neuter gender shall be deemed to 

  

 28 

 
include the other. Headings and subheadings in this Plan are inserted for convenience of reference only and are not considered in the construction of the
provisions hereof. 
 9.7     Successors and Assigns; Nonalienation of Benefits.     This Plan
shall inure to the benefit of and be binding upon the parties hereto and their successors and assigns; provided, however, that the amounts credited to the Account of a Participant shall not (except as provided in Section 6.4) be subject in any
manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, charge, garnishment, execution or levy of any kind, either voluntary or involuntary, and any attempt to anticipate, alienate, sell, transfer, assign, pledge,
encumber, charge or otherwise dispose of any right to any benefits payable hereunder, including, without limitation, any assignment or alienation in connection with a separation, divorce, child support or similar arrangement, shall be null and void
and not binding on the Plan or the Company. In addition to any obligations imposed by law upon any successor to the Company, the Company will require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to
substantially all of the business or assets of the Company to expressly agree to assume and perform this Agreement in the same manner that the Company would be required to perform it. 
 9.8     Combination With Other Plan.     The Plan may be combined or merged with other deferred
compensation plans of the Company and the Plan Administrator shall establish the terms and conditions relating to any such merger. 
 [Execution page follows] 
  

 29 

 IN WITNESS WHEREOF, the Company has caused this Plan to be executed by its duly authorized officers as of
the              day of                          2007, to be
effective on the Effective Date. 
  
 ZEP INC.

 By:                                      
                               
  

 30 

 APPENDIX A 
 PENSION PLAN MAKE-UP CONTRIBUTION CREDIT 
  

	 	(a)	In General – Commencing on the Effective Date (except where such amounts have already been credited under the Prior Plan), the Company shall for each Plan Year during
the Make-Up Contribution Period (as defined in subsection (b) below) for each Pension Plan Participant (as defined in subsection (d) below) make a Make-Up Contribution credit (determined in accordance with subsection (b) below) for
the benefit of such Pension Plan Participant. The Make-Up Contribution for each Plan Year shall be credited to the Pension Plan Participant’s Make-Up Contribution Subaccount. The Make-Up Contribution Subaccount shall become vested in accordance
with the following schedule: 

  

					
	 Completed Years of
Service
	  	Vested Participants	 	Forfeited Percentage
	 Less than 5 years
	  	0	 	100%
	 5 or more years
	  	100%	 	0%

 The Make-Up Contribution Subaccount shall be credited with interest at the Prime Rate on each
Annual Valuation Date based upon the amount credited to such Subaccount as of the preceding Annual Valuation Date and at such other times, if any, as may be determined by the Plan Administrator. The amounts credited to the Make-up Contribution
Subaccount that are part of the Participant’s Pre-Section 490A Account shall be distributed as provided in Section 5.2 and the amounts that are part of the Participant’s Section 409A Account shall be credited to the
Retirement Account and distributed as provided in Section 5.1. The Make-Up Contribution for each Plan Year shall be credited on the last day of the Plan Year, unless the Employer elects to make such credit on an earlier date. In order to be
eligible to receive the Make-Up Contribution credit for the Plan Year, the Pension Plan Participant must be actively employed on the last day of the Plan Year and complete a Year of Service for such year. Any forfeiture of the credits to a Pension
Plan Participant’s Make-Up Contribution Account shall be used to reduce future make-up contribution credits. 
  

	 	(b)	 Amount of Make-Up Contribution Credit – (i) The Make-Up Contribution credit for a Pension Plan Participant for the Plan Year shall be equal to the
Present Value determined as of January 1, 2003 of the Annual Benefit Loss of the Pension Plan Participant divided by the number of years in the Make-Up Contribution Period, adjusted by the Discount Percentage. The Annual Benefit Loss for a
Pension Plan Participant is the difference between (A) the aggregate annual retirement benefit (based upon the assumptions in subsection (b)(ii) below) the Pension Plan Participant was projected to receive at age 62 assuming that the Pension
Plan and the 401(k) Plan (as defined in subsection (d) below) continued in operation in accordance with their terms as in effect on December 31, 2002, and (B) the aggregate annual retirement benefit (based upon the assumptions in
subsection (b)(ii) below) the Pension Plan Participant was projected to receive at age 62 assuming that the Pension Plan is frozen at January 1, 2003 and the 401(k) Plan was amended effective January 1, 2003 to provide for a match of 60%
on 

  

 31 

	 	 
Elective Deferrals up to 6% of the Participant’s Annual Compensation. The Pension Plan Participant’s Make-Up Contribution Period is the period
commencing January 1, 2003 and ending on the last day of the Plan Year in which the Pension Plan Participant attains age 62. The Present Value of the Annual Benefit Loss shall be determined by taking the amount of the Annual Benefit Loss on the
date the Pension Plan Participant attains age 62 and discounting such amount to January 1, 2003 using an interest rate of 5.12% per year and the mortality table prescribed by the IRS in Rev. Rul. 95-6. 

(ii)     The Annual Benefit Loss shall be calculated using the following factors and assumptions: 
  

	 	•	 	 A Pension Plan Participant’s service and compensation under the Pension Plan are frozen as of December 31, 2002. 

	 	•	 	 The rate of Matching Contributions under the 401(k) Plan is increased effective January 1, 2003 to 60% on Elective Contributions up to 6% of a
Participant’s Annual Compensation and the Pension Plan Participant will make sufficient Elective Deferrals to receive the maximum Matching Contributions. 

	 	•	 	 A Pension Plan Participant’s Annual Compensation is his or her Annual Compensation for 2000, with an increase rate of 3% per year.

	 	•	 	 Pension Plan Participant’s Matching Contribution Account Balance in the 401(k) Plan as of December 31, 2001, will be projected to age 62 with earnings of
6% per year. 

	 	•	 	 401(k) Plan compensation limit of $200,000 applies for 2002 and prior years and will increase by 3% per year. 

	 	•	 	 Annuity and lump sum conversions are based upon a 5.12% annual interest rate and the mortality table prescribed by the IRS in Rev. Rul. 95-6.

	 	•	 	 The annual retirement benefit from the 401(k) Plan is based solely upon the Pension Plan Participant’s Matching Contribution Account (adjusted as provided
herein) and not the individual’s other accounts under Section 4.1 of the 401(k) Plan. 

 (iii)     The Make-Up Contribution to be credited to a Pension Plan Participant for a Plan Year shall be increased over the amount credited for the prior Plan Year by the Discount Percentage to account for the passage of
a year and the related foregone interest earnings potential. 
  

	 	(c)	 Change of Eligible Status – If a Pension Plan Participant is treated as a Highly Compensated Employee under the 401(k) Plan for a Plan Year (or would be
treated as a Highly Compensated Employee if he were eligible to participate in the 401(k) Plan for such Plan Year), the Pension Plan Participant shall be eligible to receive a Make-Up Contribution credit for such Plan Year. If the Pension Plan
Participant who is a Highly Compensated Employee for a Plan Year ceases to be a 

  

 32 

	 	 
Highly Compensated Employee for a subsequent Plan Year, then the Pension Plan Participant shall be ineligible to receive a Make-Up Contribution credit for
such later Plan Year. If a Pension Plan Participant ceases to be eligible to participate in the 401(k) Plan for a Plan Year, the Pension Plan Participant shall not be eligible to receive a Make-Up Contribution for such Plan Year.

  

	 	(d)	Definitions – The following definitions shall apply for purposes of this Appendix A: 

 (ii)     Pension Plan – The Acuity Brands, Inc. Pension Plan, as amended through December 31, 2002.

 (iii)     Pension Plan Participant – A participant in the Pension Plan on
December 31, 2002 who (i) is an active Employee of an Employer on December 31, 2002, (ii) will be considered a Highly Compensated Employee of the Employer for 2003 or in a subsequent Plan Year for which he would be eligible for a
Make-Up Contribution, and (iii) is a Participant in the 401(k) Plan for the Plan Year commencing on January 1, 2003 and any subsequent Plan Year for which a Make-Up Contribution credit is to be made 
 (iv)     Discount Percentage – A percentage rate equal to 5.12% per year. 
 (v)     401(k) Plan – For periods prior to the Effective Date, the Acuity Brands, Inc. 401(k) Plan for
Corporate Employees, as amended through December 31, 2002, and for periods after the Effective Date, the Zep Inc. 401(k) Plan, as amended. 
  

	 	(e)	Discretion of Company – The Company shall have the discretion to determine the amount of the Make-Up Contribution for Pension Plan Participants each Plan Year and the
Company’s determination of the Make-Up Contribution credit shall be final and binding upon all parties. 

  

	 	(f)	Amendment – This Appendix A may be amended by the Company in accordance with the usual rules for amendment of the Plan in Section 8.1. 

  

 33 

 APPENDIX B 
 SERP CONTRIBUTION CREDIT 
  

	 	(a)	In General – Commencing on the Effective Date, the Company shall for each Plan Year during the SERP Contribution Period (as defined in subsection (b) below) for
each SERP Plan Participant (as defined in subsection (d) below) make a SERP Contribution credit (determined in accordance with subsection (b) below) for the benefit of such SERP Plan Participant. The SERP Contribution for each Plan Year
shall be credited to the SERP Plan Participant’s SERP Contribution Subaccount. The SERP Contribution Subaccount shall at all times be fully vested and nonforfeitable. The amounts credited to a Participant’s SERP Contribution Subaccount
shall be credited with interest at the Prime Rate. The SERP Contribution Subaccount shall be distributed in accordance with Section 5.1(b) in the same manner as the Participant’s Retirement Account. The SERP Contribution for each Plan Year
shall be credited on the last day of the Plan Year, unless the Employer elects to make such credit on an earlier date. In order to be eligible to receive the SERP Contribution credit for the Plan Year, the SERP Plan Participant must be actively
employed on the last day of the Plan Year and complete a Year of Service for such year. 

  

	 	(b)	Amount of SERP Contribution Credit – The SERP Contribution credit for a SERP Plan Participant for the Plan Year shall be an amount determined annually (“Annual
Benefit Loss”) which is equal to the Present Value determined as of the last day of the Plan Year of the amount determined in (i) below, minus the amounts determined (ii) and (iii) below, where (i) is the aggregate annual
supplemental retirement benefit (based upon the assumptions in subsection (b)(ii) below) the SERP Plan Participant would receive at age 60 assuming that the SERP Plan Participant continued to participate in the Acuity Brands SERP (as defined in
subsection (d) below) in accordance with its terms as in effect on the Effective Date during his employment with the Company (and his compensation and service with the Company continued to be credited under the Acuity Brands SERP), (ii) is
the aggregate supplemental annual retirement benefit actually payable (or to be payable) to the SERP Plan Participant under the Acuity Brands SERP and (iii) is the amount credited to the SERP Plan Participant for prior Plan Years under this
Appendix B. The Participant’s SERP Contribution Period is the period commencing on the Effective Date and ending on the earlier of the date of the Participant’s Termination of Employment or the last day of the Plan Year in which the SERP
Plan Participant attains age 60. The Present Value of the Annual Benefit Loss shall be determined by taking the amount of the Annual Benefit Loss on the date the SERP Plan Participant attains age 60 and discounting such amount to the last day of
each Plan Year using an interest rate of             % per year and the mortality table prescribed by the IRS in Rev. Rul. 95-6. 

 (ii)     The Annual Benefit Loss shall be calculated using the following factors and assumptions: 
  

 34 

	 	•	 	 A SERP Plan Participant’s Average Annual Compensation and Years of Credited Service (as defined in the Acuity Brands SERP), determined as if the SERP Plan
Participant’s compensation and service with the Company continued to be credited under the Acuity Brands SERP. 

  

	 	•	 	 The other provisions of the Acuity Brands’ SERP continued to apply to the SERP Plan Participant. 

  

	 	(c)	Discretion of Company – The Company shall have the discretion to determine the amount of the SERP Contribution for SERP Plan Participants each Plan Year and the
Company’s determination of the SERP Contribution credit shall be final and binding upon all parties. 

  

	 	(d)	Definitions – The following definitions shall apply for purposes of this Appendix B: 

 (i)     Acuity Brands SERP – the Acuity Brands, Inc. 2002 Supplemental Executive Retirement Plan.

 (ii)     SERP Plan Participant – John K. Morgan 
  

	 	(e)	Amendment – This Appendix B may be amended in accordance with a written agreement between the SERP Plan Participant and the Company. 

  

 35 

 APPENDIX C 
 SUPPLEMENTAL CONTRIBUTION CREDIT 
 As of the Effective Date, the Company shall make a
supplemental contribution credit to the Account of William A. Holl in the amount of $                . The supplemental contribution credit pursuant to this Appendix C
shall be (i) credited to his Retirement Account, (ii) fully vested and nonforfeitable at all times, (iii) distributed in accordance with Section 5.1, and (iv) credited with earnings in the same manner as amounts credited to
his Supplemental Subaccount. 
  

 36Form of Change-in-Control Agreement

 EXHIBIT 10.9 
 Form of CIC Agreement 
 CHANGE IN CONTROL AGREEMENT 
 FOR EXECUTIVE OFFICERS 
 THIS CHANGE IN
CONTROL AGREEMENT made as of this      day of                     , 2007, by and between Zep Inc. (the
“Company”) and
                                        
(the “Executive”). 
 WITNESSETH: 
 WHEREAS, Executive is a key executive of the Company; and 
 WHEREAS, the Board of Directors of the Company
(the “Board”) recognizes that the possibility of a Change in Control (as hereinafter defined) exists and that the threat of or the occurrence of a Change in Control can result in significant distractions of its key management personnel
because of the uncertainties inherent in such a situation; and 
 WHEREAS, the Board has determined that it is essential and in the best
interest of the Company and its stockholders to retain the services of the Executive in the event of a threat or occurrence of a Change in Control and to ensure his continued dedication and efforts in such event without undue concern for his
personal financial and employment security; and 
 WHEREAS, Executive has previously entered into an Amended and Restated Change In Control
Agreement, dated as of April 21, 2006 (the “Prior Agreement”), with Acuity Brands, Inc. (“Acuity Brands”), the former parent company of the Company, providing the Executive with certain compensation and benefits in the event
his employment is terminated in connection with a change in control of Acuity Brands; and 
 WHEREAS, in order to continue to induce the
Executive to provide services to the Company (including its subsidiary corporations), particularly in the event of a threat or the occurrence of a Change in Control, the Company desires to enter into this Change in Control Agreement (the
“Agreement”) with the Executive to provide the Executive with certain benefits in the event his employment is terminated as a result of, or in connection with, a Change in Control and to provide the Executive with certain other benefits
whether or not the Executive’s employment is terminated. 
 NOW, THEREFORE, in consideration of the respective agreements of the parties
contained herein, it is agreed as follows: 
  

	 	1.	Term of Agreement. 

 (a) Unless earlier terminated
as hereinafter provided, this Agreement shall commence on the date hereof and shall be for a rolling, two-year term (the “Term”) and shall be deemed to extend automatically, without further action by either the Company or Executive, each
day for an additional day, such that the remaining term of the Agreement shall continue to be two years; provided, however, that either party may, by written notice to the other, cause this Agreement to cease to extend automatically
and, upon such notice, the “Term” of this Agreement shall be the two-year period following the date of such notice and this Agreement 

 
shall terminate upon the expiration of such Term. This Agreement shall not be considered an employment agreement and in no way guarantees Executive the right
to continue in the employment of the Company or its affiliates. Executive’s employment is considered employment at will, subject to Executive’s right to receive payments and benefits upon certain terminations of employment as provided
below. 
 (b) Notwithstanding the foregoing, (1) the term of this Agreement shall not expire during a Threatened Change in Control
Period or prior to the expiration of two (2) years after the occurrence of a Change in Control and (2) prior to a Change in Control and other than during a Threatened Change in Control Period, the term of this Agreement shall expire on the
date the Executive terminates employment (except in circumstances that entitle the Executive to compensation and benefits hereunder), unless such termination was at the request of a Third Party or otherwise occurred in connection with, or in
anticipation of, a Change in Control. 
 (c) Each place in this Agreement where a reference to the “Company” appears that relates
to the Executive’s employment, termination of employment or performing services, including the definitions of “Cause” and “Good Reason,” such reference shall mean and include any subsidiary of the Company which is the
primary employer of the Executive. Further, in each place where this Agreement refers to a benefit plan or program, payment of compensation, compensation arrangement or other similar plan or program maintained by the Company, such reference shall
include any plan, program or arrangement maintained or established by a subsidiary of the Company. Notwithstanding the foregoing, the references in the definitions of “Change in Control,” “Threatened Change in Control Period” and
similar references to changes in ownership and control of the Company shall mean and refer to Zep Inc., a Delaware corporation. 
 (d) As of
the date hereof, this Agreement is intended to, and shall, supersede and replace in its entirety the compensation and benefits provided under Executive’s Prior Agreement, and the Prior Agreement shall be of no further force or effect.

  

	 	2.	Definitions. 

 (a) Cause. For purposes of
this Agreement, “Cause” shall mean a reasonable determination by the Company that the Executive (a) intentionally and continually failed to substantially perform his duties with the Company (other than a failure resulting from the
Executive’s incapacity due to physical or mental illness) which failure continued for a period of at least thirty (30) days after a written notice of demand for substantial performance has been delivered to the Executive specifying the
manner in which the Executive has failed to substantially perform, or (b) intentionally engaged in conduct which is demonstrably and materially injurious to the Company, monetarily or otherwise or was convicted of a misdemeanor or felony
involving moral turpitude; provided, however that no termination of the Executive’s employment shall be for Cause as set forth in clause (b) above until (x) there shall have been delivered to the Executive a copy of a
written notice setting forth that the Executive was guilty of the conduct set forth in clause (b) and specifying the particulars thereof in detail, and (y) the Executive shall have been provided an opportunity to be heard by the Board or a
committee of the Board (with the assistance of the Executive’s counsel if the Executive so 

  

 2 

 
desires). No act, nor failure to act, on the Executive’s part, shall be considered “intentional” unless he has acted, or failed to act, with a
lack of good faith and without a reasonable belief that his action or failure to act was in the best interest of the Company. Notwithstanding anything contained in this Agreement to the contrary, no failure to perform by the Executive after a Notice
of Termination is given by the Executive shall constitute Cause for purposes of this Agreement. 
 2.2 Change in Control. For purposes
of this Agreement, a “Change in Control” shall mean any of the following events: 
 (a) The acquisition (other than from the Company
in an acquisition that is approved by the Incumbent Board) by any “Person” (as the term person is used for purposes of Sections 13(d) or 14(d) of the Securities Exchange Act of 1934, as amended (the “1934 Act”) of beneficial
ownership (within the meaning of Rule 13d-3 promulgated under the 1934 Act) of twenty percent (20%) or more of the combined voting power of the Company’s then outstanding voting securities; or 
 (b) The individuals who, as of
                    , 2007, are members of the Board (the “Incumbent Board”), cease for any reason to constitute at least two-thirds
of the Board; provided, however, that if the election, or nomination for election by the Company’s stockholders, of any new director was approved by a vote of at least two-thirds of the Incumbent Board, such new director shall,
for purposes of this Agreement, be considered as a member of the Incumbent Board; or 
 (c) Consummation of a merger or consolidation
involving the Company if the stockholders of the Company, immediately before such merger or consolidation do not, as a result of such merger or consolidation, own, directly or indirectly, more than sixty percent (60%) of the combined voting
power of the then outstanding voting securities of the corporation resulting from such merger or consolidation in substantially the same proportion as their ownership of the combined voting power of the voting securities of the Company outstanding
immediately before such merger or consolidation; or 
 (d) Consummation of a complete liquidation or dissolution of the Company or of the
sale or other disposition of all or substantially all of the assets of the Company. 
 Notwithstanding the foregoing, a Change in Control shall not be deemed
to occur pursuant to Section 2.2(a), solely because twenty percent (20%) or more of the combined voting power of the Company’s then outstanding securities is acquired by (i) a trustee or other fiduciary holding securities under
one or more employee benefit plans maintained by the Company or any of its subsidiaries or (ii) any corporation which, immediately prior to such acquisition, is owned directly or indirectly by the stockholders of the Company in the same
proportion as their ownership of stock in the Company immediately prior to such acquisition (hereinafter referred to as “Related Persons”). 
 (e) Notwithstanding anything contained in this Agreement to the contrary, if the Executive’s employment is terminated prior to a Change in Control and the Executive 

  

 3 

 
reasonably demonstrates that such termination (1) was at the request of a Third Party (as hereinafter defined) or (2) otherwise occurred in
connection with, or in anticipation of, a Change in Control (including, without limitation, during a Threatened Change in Control Period), then for all purposes of this Agreement, the date of a Change in Control shall mean the date immediately prior
to the date of such termination of the Executive’s employment. 
 2.3 Confidential Information. For purpose of this Agreement,
“Confidential Information” shall mean all technical, business, and other information relating to the business of the Company or its subsidiaries or affiliates, including, without limitation, technical or nontechnical data, formulae,
compilations, programs, devices, methods, techniques, processes, financial data, financial plans, product plans, and lists of actual or potential customers or suppliers, which (i) derives economic value, actual or potential, from not being
generally known to, and not being readily ascertainable by proper means by, other persons, and (ii) is the subject of efforts that are reasonable under the circumstances to maintain its secrecy or confidentiality. Such information and
compilations of information shall be subject to protection under this Agreement whether or not such information constitutes a trade secret and is separately protectable at law or in equity as a trade secret. 
 2.4 Disability. For purposes of this Agreement, “Disability” shall have the meaning ascribed to such term in the Company’s
long-term disability plan or policy covering the Executive, or in the absence of such plan or policy, a meaning consistent with Section 22(e)(3) of the Internal Revenue Code of 1986, as amended. The determination of Disability shall be made by
the Company in a manner consistent with the requirements of Section 409A. 
 2.5 (a) Good Reason. For purposes of this Agreement,
“Good Reason” shall mean the occurrence coincident with or after a Change in Control of any of the events or conditions described in Subsections (1) through (8) hereof: 
 (1) a change in the Executive’s status, title, position or responsibilities (including reporting responsibilities) which, in the Executive’s
reasonable judgment, represents an adverse change from his status, title, position or responsibilities as in effect immediately prior thereto; the assignment to the Executive of any duties or responsibilities which, in the Executive’s
reasonable judgment, are inconsistent with his status, title, position or responsibilities; or any removal of the Executive from or failure to reappoint or reelect him to any of such offices or positions, except in connection with the termination of
his employment for Disability, Cause, as a result of his death or by the Executive other than for Good Reason; 
 (2) a reduction in the
Executive’s base salary or any failure to pay the Executive any compensation or benefits to which he is entitled within five days of the date due; 
 (3) the Company’s requiring Executive to be based more than 50 miles from the primary workplace where Executive is based immediately prior to the Change in Control except for reasonably required travel on the
Company’s business which is not greater than such travel requirements prior to the Change in Control; 
  

 4 

 (4) the failure by the Company (A) to continue in effect (without reduction in benefit level,
and/or reward opportunities) any compensation or employee benefit plan in which the Executive was participating immediately prior to the Change in Control, including, but not limited to, the plans listed on Appendix A in which Executive is
participating, unless a substitute or replacement plan has been implemented which provides substantially identical compensation or benefits to the Executive or (B) to provide the Executive with compensation and benefits, in the aggregate, at
least equal (in terms of benefit levels and/or reward opportunities) to those provided for under each other compensation or employee benefit plan, program and practice as in effect immediately prior to the Change in Control (or as in effect
following the Change in Control, if greater); 
 (5) the insolvency or the filing (by any party, including the Company) of a petition for
bankruptcy of the Company; 
 (6) any material breach by the Company of any provision of this Agreement; 
 (7) any purported termination of the Executive’s employment for Cause by the Company which does not comply with the terms of Section 2.1; or

 (8) the failure of the Company to obtain an agreement, satisfactory to the Executive, from any successor or assign of the Company to
assume and agree to perform this Agreement, as contemplated in Section 9 hereof. 
 (b) Any event or condition described in Sections
2.5(a)(1) through (8) which occurs prior to a Change in Control but which the Executive reasonably demonstrates (1) was at the request of a third party who has indicated an intention or taken steps reasonably calculated to effect a Change
in Control (a “Third Party”), or (2) otherwise arose in connection with or in anticipation of a Change in Control, shall constitute Good Reason for purposes of this Agreement notwithstanding that it occurred prior to the Change in
Control. 
 (c) The Executive’s right to terminate his employment pursuant to this Section 2.5 shall not be affected by his
incapacity due to physical or mental illness. 
 2.6 Threatened Change in Control. For purposes of this Agreement, a Threatened Change
in Control shall mean the occurrence of any of the following events: 
 (a) when the Company is aware of or is contemplating, a proposal (a
“Proposal”) for any Person other than a Related Person (1) to acquire five percent (5%) or more of the voting power of the Company’s outstanding securities, or (2) to merge or consolidate with another entity, transfer
or sell assets of the Company, or liquidate or dissolve the Company, in each case described in this clause (2) in a transaction that would constitute a Change in Control; or 
 (b) any Person other than a Related Person, 
  

 5 

 (1) acquires five percent (5%) or more of the voting power of the Company’s outstanding
securities, other than as a holder whose investment in the Company is eligible to be reported on Schedule 13G pursuant to Rule 13d-1 (b) (1) promulgated under the Exchange Act, or 
 (2) initiates a tender or exchange offer to acquire such number of securities as would result in such Person holding twenty percent (20%) or more
of the voting power of the Company’s outstanding securities, or 
 (3) solicits proxies for votes to elect members of the Board at a
shareholders’ meeting of the Company. 
 2.7 Threatened Change in Control Period. For purposes of this Agreement, a Threatened
Change in Control Period shall mean the period commencing on the date that a Threatened Change in Control has occurred and ending upon: 
 (a)
the date the Proposal referred to in Section 2.6(a) is abandoned; 
 (b) the acquisition of five percent (5%) of the voting power
of the Company’s outstanding securities by the Person referred to in Section 2.6(a)(1) if such acquisition does not constitute a Threatened Change in Control under Section 2.6(b)(1); 
 (c)(1) the date when any Person described in Section 2.6(b)(1) shall own less than five percent (5%) of the voting power of the Company’s
outstanding securities, (2) shall have abandoned the tender or exchange offer, or (3) shall not have elected a member of the Board as the case may be; or 
 (d) the date a Change in Control occurs. 
 2.8 1934 Act. The Securities Exchange Act of 1934, as
amended. 
  

	 	3.	Termination of Employment. 

 3.1 If, during the term
of this Agreement, the Executive’s employment with the Company shall be terminated coincident with or within two (2) years following the occurrence of a Change in Control, the Executive shall be entitled to the following compensation and
benefits depending upon the circumstances of such termination (in addition to any compensation and benefits provided for under any of the Company’s employee benefit plans, policies and practices): 
 (a) If the Executive’s employment with the Company shall be terminated during such 2-year period (1) by the Company for Cause or Disability,
(2) by reason of the Executive’s death, or (3) by the Executive other than for Good Reason (as each term is defined herein), the Company shall pay the Executive all amounts earned or accrued through the Termination Date but not paid
as of the Termination Date, including (i) base salary, (ii) reimbursement for reasonable and necessary expenses incurred by the Executive on behalf of the Company during the period ending on the Termination Date, (iii) vacation pay,
and (iv) sick 

  

 6 

 
leave (collectively, “Accrued Compensation”). In addition to the foregoing, if the Executive’s employment is terminated by the Company for
Disability or by reason of the Executive’s death, the Company shall pay to the Executive or his beneficiaries an amount equal to the “Pro Rata Bonus” (as hereinafter defined). The “Pro Rata Bonus” is an amount equal to the
Bonus Amount (as hereinafter defined) multiplied by a fraction the numerator of which is the number of days in such fiscal year through the Termination Date and the denominator of which is 365. The term “Bonus Amount” shall mean the
greater of the (x) most recent annual bonus paid or payable to the Executive, or, (y) the target annual bonus payable for the fiscal year during which the Termination Date occurs, or, if greater, for the fiscal year during which a Change
in Control occurred or (z) the average of the annual bonuses paid or payable during the three full fiscal years ended prior to the Termination Date or, if greater, the three full fiscal years ended prior to the Change in Control (or, in each
case, such lesser period for which annual bonuses were paid or payable to the Executive). Executive’s entitlement to any other compensation or benefits shall be determined in accordance with the Company’s employee benefit plans and other
applicable programs and practices then in effect. In the event Executive becomes entitled to the Pro Rata Bonus under this Section 3.1(a) or under Section 3.1(b)(1) and also to a bonus under the Company’s incentive plan in connection
with a Change in Control, Executive shall be entitled to receive whichever bonus amount is greater and Executive shall not receive a duplicate bonus pursuant to such Sections. 
 (b) If the Executive’s employment with the Company shall be terminated (other than by reason of death) during such 2-year period, by the Company
other than for Cause or Disability, or by the Executive for Good Reason, the Executive shall be entitled to the following: 
 (1) the Company
shall pay the Executive all Accrued Compensation and a Pro-Rata Bonus; 
 (2) the Company shall pay the Executive as severance pay and in
lieu of any further compensation for periods subsequent to the Termination Date, in a single payment an amount (the “Severance Amount”) in cash equal to
                                     times the sum of
(A) the greater of the Executive’s base salary in effect on the Termination Date or at any time during the 90-day period prior to the Change in Control (“Base Salary”) and (B) the Bonus Amount. Notwithstanding the foregoing,
if the Executive has attained at least age                      on the Termination Date the Severance Amount to be paid under this Subsection
(ii) shall be the amount described in the preceding sentence multiplied by a fraction (which in no event shall be less than one-half) the numerator of which shall be the number of months (for this purpose any partial month shall be considered
as a whole month) remaining until the Executive’s 65th birthday (but in no event shall be less than         ) and the denominator of which shall be
            ; 
 (3) for a number of months equal to the lesser of
(A) ___ or (B) the number of months remaining until the Executive’s 65th birthday (the “Continuation Period”), the Company shall at its expense continue on behalf of the Executive and his dependents and beneficiaries as if
Executive remained actively employed, the life insurance, disability, and healthcare (including dental and vision, if applicable) benefits provided (x) to the Executive at the time the Notice of Termination is given, at any time during the
90-day period prior to the 

  

 7 

 
Change in Control or at any time thereafter, or (y) to other similarly situated executives who continue in the employ of the Company during the
Continuation Period. The coverage and benefits (including deductibles and costs) provided in this Section 3.1(b)(3) during the Continuation Period shall be no less favorable to the Executive and his dependents and beneficiaries, than the most
favorable of such coverages and benefits during any of the periods referred to in clauses (x) and (y) above. Any costs Executive was paying for such coverages at the time of termination shall be paid by Executive by separate check to the
Company each month in advance. If the terms of the life insurance or disability plan referred to in this subsection (3), or the laws applicable to such plan, do not permit continued participation by Executive as required by this subsection, then the
Company will arrange for other coverages satisfactory to Executive at the Company’s expense providing substantially identical benefits or, at the Executive’s election, the Company will pay Executive a lump sum amount equal to the costs to
Executive for the coverage (or coverages) for the full Continuation Period within five (5) days after the Executive’s Termination Date. If the terms of the health care plan referred to in this subsection (3) do not permit continued
participation by Executive as required by this subsection or if the healthcare benefits to be provided to Executive and his dependents pursuant to this subsection (3) cannot be provided in a manner such that the benefit payments will be
tax-free to Executive and his dependents, then the Company shall (A) pay to Executive within five (5) days after Executive’s Termination Date a lump sum amount equal to the monthly rate for COBRA coverage at the date of
Executive’s termination under the healthcare plan that is then being paid by former active employees for the level of coverage that applies to Executive and his dependents, minus the amount active employees are then paying for such coverage,
multiplied by the number of months in the Continuation Period (plus a tax gross-up on the lump sum amount determined under this subsection (3)(A)), and (B) permit Executive and his dependents to elect to participate in the healthcare plan for
the Continuation Period upon payment of the applicable rate for COBRA coverage during the Continuation Period; 
 The Company’s
obligation hereunder with respect to the foregoing benefits shall be limited to the extent that the Executive obtains any such benefits pursuant to a subsequent employer’s benefit plans, in which case the Company may reduce the coverage of any
benefits it is required to provide the Executive hereunder as long as the aggregate coverages and benefits of the combined benefit plans is no less favorable to the Executive than the coverages and benefits required to be provided hereunder. This
subsection (3) shall not be interpreted so as to limit any benefits to which the Executive or his dependents may be entitled under any of the Company’s employee benefit plans, programs or practices following the Executive’s
termination of employment, including without limitation, retiree medical and life insurance benefits; 
 In the event the Executive receives
healthcare benefits coverage for the full length of the Continuation Period pursuant to the provisions of this subsection (3), the Executive and his dependents shall continue to be eligible to elect to receive healthcare benefits coverage for up to
an additional thirty-six (36) months (“Extended Continuation Period”), provided, however, that no benefits will be provided (A) if healthcare benefits coverage is available to the Executive through another employer
during the Extended Continuation Period, or (B) after the covered individual reaches age 65. The healthcare benefits coverage during the Extended Continuation Period shall be substantially similar to the healthcare benefits coverage 

  

 8 

 
Executive received during the Continuation Period. The costs to the Executive for the healthcare benefits coverage during the Extended Continuation Period
shall be the same as the COBRA costs paid by terminating employees during the same time period as the Extended Continuation Period; 
 (4)
the Company shall pay in a single payment an amount in cash equal to the amount the Executive would have received if he remained employed for an additional              years (or
until his 65th birthday, if earlier), his annual compensation during such period had been equal to his Base Salary and the Bonus Amount and the Company had continued to make employer contributions or credits on Executive’s behalf to each
defined contribution plan in which Executive was a participant at the Termination Date including, without limitation, the Zep Inc. 401(k) Plan (assuming Executive participated in such plan at the maximum permissible contribution level) and the Zep
Inc. Supplemental Deferred Savings Plan (“SDSP”). For purposes of the SDSP, the Executive shall be credited with the contribution to the Supplemental Subaccount (but not the Matching Subaccount), the Make-Up Contribution Credit and the
SERP Make-Up Contribution Credit for such
                                     year period (to the
extent Executive is eligible under the SDSP for each such type of contribution), provided that the requirements of the SDSP that the Executive have a Year of Service for each year and be employed on the last day of the year shall not apply to the
eligibility to receive such contributions; and 
 (5)(A) the restrictions on any outstanding incentive awards (including restricted stock,
restricted stock units and granted Performance Shares) granted to the Executive under the Company’s Long-Term Incentive Plan or under any other long-term incentive plans or arrangements shall lapse and such incentive awards shall become one
hundred percent (100%) vested, all stock options and stock appreciation rights granted to the Executive shall become immediately exercisable and shall become 100% vested, and Performance Units granted to Executive shall become 100% vested [and
(B) the Executive shall have the right to require the Company to purchase, for cash, any shares of unrestricted stock or shares purchased upon exercise of any options, at a price equal to the fair market value of such shares on the date of
purchase by the Company.] 
 (c) The amounts provided for in Sections 3.1(a) and 3.1(b)(1), (2), (4), and (5) shall be paid within five
(5) days after the Executive’s Termination Date. 
 (d) The Executive shall not be required to mitigate the amount of any payment
provided for in this Agreement by seeking other employment or otherwise and no such payment shall be offset or reduced by the amount of any compensation or benefits provided to the Executive in any subsequent employment except as provided in
Section 3.1(b)(3). 
 3.2 If, as a result of Executive’s termination of employment, Executive becomes entitled to compensation and
benefits under this Agreement and under the Severance Agreement, dated as of                     , 2007, (“Severance Agreement”),
between Executive and the Company, Executive shall be entitled to receive benefits under whichever agreement provides Executive the greater aggregate compensation and benefits (and not under the other agreement) and there shall be no duplication of
benefits. Except as provided in the preceding 

  

 9 

 
sentence, the severance pay and benefits provided for in Sections 3.1(a) and 3.1(b) shall be in lieu of any other severance pay to which the Executive may be
entitled under any Company severance plan, program or arrangement for a termination of employment covered by such circumstances, except that if the severance pay of the type referenced in Section 3.1(b)(2) provided under such other plans,
programs or arrangements is greater than the amount calculated under Section 3.1(b)(2), then that greater amount and not the amount under Section 3.1(b)(2) shall be paid. 
 3.3 To the extent applicable, this Agreement shall at all times be operated in accordance with the requirements of Section 409A of the Internal
Revenue Code of 1986, as amended and the regulations and rulings thereunder (“Section 409A”), including any applicable transition rules. The Company shall have authority to take action, or refrain from taking any action, with respect to
the payments and benefits under this Agreement that is reasonably necessary to comply with Section 409A. Specifically, the Company shall have the authority to delay the commencement of payments under Section 3.1 to “key
employees” of the Company (as determined by the Company in accordance with procedures established by the Company that are consistent with Section 409A) to a date which is six months after the date of Executive’s Termination of
Employment (and on such date the payments that would otherwise have been made during such six-month period shall be made) to the extent such delay is required under the provisions of Section 409A, provided that the Company and Executive may
agree to take into account any transitional rule available under Section 409A. 
  

	 	4.	Notice of Termination. 

 During a Threatened Change
in Control Period and following a Change in Control, any purported termination by the Company or by the Executive shall be communicated by written Notice of Termination to the other. For purposes of this Agreement, a “Notice of
Termination” shall mean a notice which indicates the specific termination provision in this Agreement relied upon and shall set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the
Executive’s employment under the provision so indicated. For purposes of this Agreement, no such purported termination shall be effective without such Notice of Termination. 
  

	 	5.	Termination Date. 

 “Termination Date”
shall mean in the case of the Executive’s death, his date of death, and in all other cases, the date specified in the Notice of Termination subject to the following: 
 (a) If the Executive’s employment is terminated by the Company for Cause or due to Disability, the date specified in the Notice of Termination shall be at least thirty (30) days from the date the Notice of
Termination is given to the Executive, provided that in the case of Disability the Executive shall not have returned to the full-time performance of his duties during such period of at least 30 days; and 
  

 10 

 (b) If the Executive’s employment is terminated for Good Reason, the date specified in the Notice of
Termination shall not be more than sixty (60) days from the date the Notice of Termination is given to the Company. 
  

	 	6.	Excise Tax Payments. 

 (a) Notwithstanding anything
contained in this Agreement to the contrary, to the extent that the payments and benefits provided under this Agreement (“Agreement Payments”) and benefits provided to, or for the benefit of, the Executive under any other Company plan or
agreement (such payments or benefits are collectively referred to as the “Total Payments”) would be subject to the excise tax (the “Excise Tax”) imposed under Section 4999 of the Internal Revenue Code of 1986, as amended
(the “Code”), the Agreement Payments shall be reduced or eliminated if and to the extent necessary so that no Agreement Payment to be made to the Executive shall be subject to the Excise Tax. Unless the Executive shall have given prior
written notice specifying a different order to the Company to effectuate the foregoing, the Company shall reduce or eliminate the Agreement Payments, by first reducing or eliminating the portion of the Agreement Payments which are payable in cash
and then by reducing or eliminating non-cash payments, in each case in reverse order beginning with Agreement Payments which are to be paid the farthest in time from the Determination (as hereinafter defined). Any notice given by the Executive
pursuant to the preceding sentence shall take precedence over the provisions of any other plan, arrangement or agreement governing the Executive’s rights and entitlements to any benefits or compensation. 
 (b) The determination of whether the Agreement Payments shall be reduced or eliminated as provided in Section 6(a) above and the amount of such
reduction shall be made, at the Company’s expense, by an accounting firm selected by the Company which is one of the four largest accounting firms in the United States (the “Accounting Firm”). The Accounting Firm shall provide its
determination (the “Determination”), together with detailed supporting calculations and documentation to the Company and the Executive within fifteen (15) business days of the Termination Date, if applicable, or such other time as
requested by the Company or by the Executive (provided the Executive reasonably believes that any of the Total Payments may be subject to the Excise Tax) and if the Accounting Firm determines that no Excise Tax is payable by the Executive with
respect to the Total Payments, it shall furnish the Executive with an opinion reasonably acceptable to the Executive that no Excise Tax will be imposed with respect to the Total Payments. The Determination shall be binding, final and conclusive upon
the Company and the Executive. 
 (c) Notwithstanding anything contained in this Agreement to the contrary, in the event that, according to
the Determination, an Excise Tax will be imposed on any Payment or Payments, the Company shall pay to the applicable government taxing authorities as Excise Tax withholding, the amount of the Excise Tax that the Company has actually withheld from
the Payment or Payments. 
  

 11 

	 	7.	Unauthorized Disclosure. 

 During the period that
the Executive is actively employed by the company or Division, and for a period of six (6) months after Executive’s termination of employment, the Executive shall not make any Unauthorized Disclosure. For purposes of this Agreement,
“Unauthorized Disclosure” shall mean disclosure by the Executive without the consent of the Board (other than pursuant to a court order) to any person, other than an employee or director of the Company or a person to whom disclosure is
reasonably necessary or appropriate in connection with the performance by the Executive of his duties as an executive of the Company or as may be legally required, of any material Confidential Information obtained by the Executive while in the
employ of the Company (including any material Confidential Information with respect to any of the Company’s customers or methods of distribution) the disclosure of which is demonstrably and materially injurious to the Company; provided,
however, that such term shall not include the use or disclosure by the Executive, without consent, of any information known generally to the public (other than as a result of disclosure by him in violation of this Section 7) or any
information not otherwise considered confidential and material by a reasonable person engaged in the same business as that conducted by the Company; provided further, however, that any breach of this Section 7 shall in no event
subject the Executive to damages (including costs, fees and expenses incurred by the Company or the Business Unit) in excess of $10,000 in the aggregate. 
  

	 	8.	Non-Compete. 

 During the period that the Executive
is actively employed by the Company or Business Unit and for six months following the Executive’s termination of employment, the Executive shall not directly or indirectly, own, manage, operate, control, consult with, or be connected as an
officer, employee, agent, partner, director or consultant with, or have any financial interest in, or assist anyone in the conduct of, any business which directly competes with any business or line of business of the Company. Notwithstanding the
foregoing, the Executive shall not be in violation of the preceding sentence due to ownership (directly or indirectly) by the Executive of not more than five percent (5%) of the issued and outstanding class of securities of a corporation whose
securities are publicly traded. 
  

	 	9.	Non-Solicitation. 

 For six-months after termination
of employment with the Company for any reason, the Executive shall not directly or indirectly solicit for hire, or assist any other person in soliciting for hiring, any employee of the Company (as for the date of termination), or induce any such
employee to terminate his or her employment with the Company. 
  

	 	10.	Successors; Binding Agreement. 

 (a) This Agreement
shall be binding upon and shall inure to the benefit of the Company, its successors and assigns and the Company shall require any successor or assign to expressly assume and agree to perform this Agreement in the same manner and to the same extent
that the Company would be required to perform it if no such succession or assignment 

  

 12 

 
had taken place. Failure of the Company to obtain such assumption and agreement prior to the effectiveness of any such succession shall be a breach of this
Agreement and shall entitle the Executive to compensation from the Company in the same amount and on the same terms as the Executive would be entitled to hereunder if the Executive were to terminate the Executive’s employment for Good Reason,
except that, for purposes of implementing the foregoing, the date on which any such succession becomes effective shall be deemed the Date of Termination. The term “the Company” as used herein shall include such successors and assigns. The
term “successors and assigns” as used herein shall mean a corporation or other entity acquiring all or substantially all the assets and business of the Company (including this Agreement) whether by operation of law or otherwise.

 (b) Neither this Agreement nor any right or interest hereunder shall be assignable or transferable by the Executive, his beneficiaries or
legal representatives, except by will or by the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by the Executive’s legal personal representative. 
  

	 	11.	Fees and Expenses. 

 The Company shall pay all legal
fees and related expenses (including the costs of experts, evidence and counsel) incurred by the Executive as they become due as a result of (a) the Executive’s termination of employment (including all such fees and expenses, if any,
incurred in contesting or disputing any such termination of employment), (b) the Executive seeking to obtain or enforce any right or benefit provided by this Agreement or by any other plan or arrangement maintained by the Company under which
the Executive is or may be entitled to receive benefits, including, without limitation, the plans listed on Appendix A, or the Executive’s hearing before the Board as contemplated in Section 2.1 of this Agreement; provided,
however, that the circumstances which result in the Executive incurring the fees and related expenses set forth in clauses (a) and (b) (other than as a result of the Executive’s termination of employment under circumstances
described in Section 2.2(e)) occurred on or after a Change in Control. 
  

	 	12.	Notice. 

 For the purposes of this Agreement,
notices and all other communications provided for in the Agreement (including the Notice of Termination) shall be in writing and shall be deemed to have been duly given when personally delivered or sent by certified mail, return receipt requested,
postage prepaid, addressed to the respective addresses last given by each party to the other, provided that all notices to the Company shall be directed to the attention of the Board with a copy to the Secretary of the Company. All notices and
communications shall be deemed to have been received on the date of delivery thereof or on the third business day after the mailing thereof, except that notice of change of address shall be effective only upon receipt. 
  

	 	13.	Non-Exclusivity of Rights. 

 Except as provided in
Section 3.2 with respect to the Severance Agreement, nothing in this Agreement shall prevent or limit the Executive’s continuing or future participation in any benefit, bonus, incentive or other plan or program provided by the Company or
any of its 

  

 13 

 
subsidiaries and for which the Executive may qualify, nor shall anything herein limit or reduce such rights as the Executive may have under any other
agreements with the Company or any of its subsidiaries. Amounts which are vested benefits or which the Executive is otherwise entitled to receive under any plan or program of the Company or any of its subsidiaries shall be payable in accordance with
such plan or program, except as explicitly modified by this Agreement. 
  

	 	14.	Settlement of Claims. 

 The Company’s
obligation to make the payments provided for in this Agreement and otherwise to perform its obligations hereunder shall not be affected by any circumstances, including, without limitation, any set-off, counterclaim, recoupment, defense or other
right which the Company may have against the Executive or others. 
  

	 	15.	Miscellaneous. 

 No provision of this Agreement may
be modified, waived or discharged unless such waiver, modification or discharge is agreed to in writing and signed by the Executive and the Company. No waiver by either party hereto at any time of any breach by the other party hereto of, or
compliance with, any condition or provision of this Agreement to be performed by such other party shall be deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or subsequent time. No agreement or
representations, oral or otherwise, express or implied, with respect to the subject matter hereof have been made by either party which are not expressly set forth in this Agreement. 
  

	 	16.	Indemnification. 

 During the term of this Agreement
and for a period of three (3) years after Executive’s termination, the Company shall indemnify Executive and hold Executive harmless from and against any claim, loss or cause of action arising from or out of Executive’s performance as
an officer, director or employee of the Company or any of its subsidiaries or other affiliates or in any other capacity, including any fiduciary capacity, in which Executive serves at the Company’s request, in each case to the maximum extent
permitted by law and under the Company’s Articles of Incorporation and By-Laws (the “Governing Documents”), provided that in no event shall the protection afforded to Executive hereunder be less than that afforded under the Governing
Documents as in effect on the date of this Agreement except from changes mandated by law. During the Term and for a period of three (3) years, Executive shall be covered by any policy of directors and officers liability insurance maintained by
the Company for the benefit of its then officers and directors. 
  

	 	17.	Governing Law. 

 This Agreement shall be governed by
and construed and enforced in accordance with the laws of the State of Georgia without giving effect to the conflict of laws principles thereof Any action brought by any party to this Agreement shall be brought and maintained in a court of competent
jurisdiction in Fulton county in the State of Georgia. 
  

 14 

	 	18.	Severability. 

 The provisions of this Agreement
shall be deemed severable and the invalidity or unenforceability of any provision shall not affect the validity or enforceability of the other provisions hereof. 
  

	 	19.	Entire Agreement. 

 This Agreement constitutes the
entire agreement between the parties hereto and supersedes all prior agreements, if any, understandings and arrangements, oral or written, between the parties hereto with respect to the subject matter hereof. 
 IN WITNESS WHEREOF, the Company has caused this Agreement to be executed by its duly authorized officer and the Executive has executed this Agreement as
of the day and year first above written. 
  

			
	ZEP INC.
		
	By:	 	  

	
	EXECUTIVE:
	
	  

  

 15 

 APPENDIX A 
 BENEFIT PLANS AND AGREEMENTS 
 (To The Extent Executive Participates In Such Plans and Agreements)

 Management Compensation and Incentive Plan 
 Supplemental Deferred Savings Plan 
 Long-Term Incentive Plan 
 401(k) Plan (or similar tax qualified deferred compensation plan covering the Executive) 
 Employment Letter Agreement,
                                        ,
and any amendments to such agreement 
  

 16

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