Document:

Exhibit

Exhibit 10(c)
Arrow Electronics, Inc.
Restricted Stock Unit Award Agreement

Grantee: ____________
Grant Date: ____________
Number of Restricted Stock Units: ____________
THIS RESTRICTED STOCK UNIT AWARD AGREEMENT (the “Agreement”) dated as of ____________is between Arrow Electronics, Inc., a New York corporation (the “Company” or “Arrow”), and ____________ (the “Grantee” or “you”).  In consideration of mutual promises and covenants made in this Agreement and the mutual benefits to be derived from this Agreement, the Company and Grantee agree as follows:
Subject to the provisions of this Agreement and the provisions of the Arrow Electronics, Inc. 2004 Omnibus Incentive Plan (the “Plan”), the Company hereby grants to Grantee the number of restricted stock units shown above (the “Restricted Stock Units”) as of ____________ (the “Grant Date”).  Capitalized terms used and not defined in this Agreement have the meanings given to them in the Plan.
1.Vesting Generally.  Subject to the provisions of Sections 2 through 5 of this Agreement, twenty-five percent (25%) of the Restricted Stock Units will vest and become non-forfeitable on each of the first four anniversaries of the Grant Date, but only if Grantee remains employed by Arrow (or one of its Subsidiaries or Affiliates) on the applicable anniversary. Except as provided in Section 5 of this Agreement, within thirty days after Restricted Stock Units vest, each vested Restricted Stock Unit shall be settled by delivery of one Share.  Any fractional Restricted Stock Units shall be rounded to the nearest whole number.  Delivery of Shares within the applicable grace periods permitted by Section 409A of the Code shall be deemed made on the scheduled payment date.  

2.Vesting following Retirement.  Upon your Retirement from Arrow, any unvested portion of the Restricted Stock Units will continue to vest under the same schedule as set forth under Section 1 hereof; provided that you do not engage or become interested in any Competing Business during such remaining vesting period (whether as an owner, partner, director, employee, consultant or otherwise), in which case any unvested portion of the Restricted Stock Unit will be forfeited and no payment or delivery of Shares will be made therefor.   

3.Vesting following Certain Terminations.  Upon your termination of employment from Arrow under circumstances in which you are receiving severance payments from Arrow in the form of salary continuation, any Restricted Stock Units that are unvested as of the date of your termination will continue to vest under the same schedule as set forth under Section 1 hereof to the extent they are scheduled to vest during the period you are receiving severance payments, provided that you do not engage or become interested in any Competing Business during such remaining vesting period (whether as an owner, partner, director, employee, consultant or otherwise), in which case any unvested portion of the Restricted Stock Units will be forfeited and no payment or delivery of Shares will be made therefor.   

4.Death or Disability.  Upon your termination of employment from Arrow by reason of death or Disability, any unvested part of the Restricted Stock Units will vest immediately.

5.Termination of Employment following a Change of Control.  Any unvested portion of the Restricted Stock Units that have been substituted or replaced with an equivalent award by the successor will vest immediately upon the termination of your employment by Arrow without Cause, or by you for Good Reason, in either such case occurring within two (2) years after a Change of Control of Arrow (an “Involuntary Termination”).  

If your employment ends for any reason (other than as described in Section 2 through 4 above) before your Restricted Stock Units fully vest, the unvested portion of the Restricted Stock Units will be forfeited and there will be no payment or delivery of Shares to you related to such forfeited Restricted Stock Units.
The terms “Cause,” “Change of Control,” “Competing Business,” “Disability,” “Good Reason,” and “Retirement,” as used in this Agreement are defined in Section 15 below.
6.Restriction Period.  For any Restricted Stock Unit, the “Restriction Period” begins on the Grant Date and ends on the date on which that Restricted Stock Unit vests.

7.Rights of Shareholder.  Grantee shall not be entitled to any voting rights or other rights or privileges of ownership of Shares with respect to the Restricted Stock Units unless and until Shares are actually delivered to Grantee pursuant to this Agreement.

8.Dividends.  In the event that dividends are paid, Grantee will be credited as of the date each such dividend is paid with additional Restricted Stock Units having a value equal to the aggregate amount of the dividend that would have been paid with respect to Grantee’s Restricted Stock Units if they had been actual Shares, based on the Fair Market Value (as defined in the Plan) of a Share on the applicable dividend payment date.  Such additional Restricted Stock Units shall also be credited with additional Restricted Stock Units as dividends are paid thereafter, and shall be subject to the same restrictions and conditions as the Restricted Stock Unit with respect to which they were credited.

9.Transferability.  Except as otherwise determined by the Committee, Restricted Stock Units granted under this Agreement are not transferable by Grantee, whether voluntarily or involuntarily, by operation of law or otherwise, during the Restriction Period, except as provided in the Plan.  Any assignment, pledge, transfer or other disposition, voluntary or involuntary, of the Restricted Stock Units made, or attachment, execution, garnishment, or lien issued against or placed upon the Restricted Stock Units, shall be void.

10.Administration.  This Agreement and the rights of Grantee hereunder are subject to all the terms and conditions of the Plan, as the same may be amended from time to time, as well as to such rules and regulations as the Committee may adopt for administration of the Plan.  It is expressly understood that the Committee is authorized to administer, construe, and make all determinations necessary or appropriate to the administration of the Plan and this Agreement, all of which shall be binding upon Grantee.  Any inconsistency between this Agreement and the Plan shall be resolved in favor of the Plan.  You can only accept 

and receive the award by indicating your acceptance of the terms and conditions set forth in this Agreement.  By accepting this Agreement, you accept and agree to all of its terms.  If you do not accept this Agreement your award will be forfeited.

11.Arrow Electronics Anti-Hedging Policy.  You are required to comply with the Arrow Electronics Anti-Hedging Policy with respect to transactions in Shares acquired under the Plan.

12.Personal Data.  You hereby explicitly and unambiguously consent to the collection, use and transfer, in electronic or other form, of your personal data as described in this Agreement and any other Restricted Stock Unit grant materials by and among, as applicable, your employer (the “Employer”), the Company and its Subsidiaries or Affiliates for the exclusive purpose of implementing, administering and managing your participation in the Plan.
You understand that the Company and the Employer may hold certain personal information about you, including, but not limited to, your name, home address and telephone number, date of birth, social insurance number or other identification number (e.g., resident registration number), salary, nationality, job title, any stock or directorships held in the Company, details of all Restricted Stock Units or any other entitlement to stock awarded, canceled, exercised, vested, unvested or outstanding in your favor (“Data”), for the exclusive purpose of implementing, administering and managing the Plan.  
You understand that Data will be transferred to any third parties assisting the Company with the implementation, administration and management of the Plan.  You understand that the recipients of the Data may be located in the United States or elsewhere, and that the recipients’ country (e.g., the United States) may have different data privacy laws and protections than your country.  You understand that if you reside outside the United States, you may request a list with the names and addresses of any potential recipients of the Data by contacting your local human resources representative.  You authorize the Company, its Subsidiaries and Affiliates, the Employer and any other possible recipients which may assist the Company (presently or in the future) with implementing, administering and managing the Plan to receive, possess, use, retain and transfer the Data, in electronic or other form, for the sole purpose of implementing, administering and managing your participation in the Plan.  You understand that Data will be held only as long as is necessary to implement, administer and manage your participation in the Plan including any requisite transfer of such Data as may be required to a broker or other third party with whom you may elect to deposit any Shares acquired upon vesting of the Restricted Stock Units.  You understand that if you reside outside the United States, you may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the consent herein, in any case without cost, by contacting in writing your local human resources representative.  Further, you understand that you are providing the consent herein on a purely voluntary basis.   If you do not consent, or if you later seek to revoke your consent, your employment status or service with the Employer will not be adversely affected; the only consequence of refusing or withdrawing your consent is that the Company would not be able to grant you Restricted Stock Units or other awards or administer or maintain such awards.  Therefore, you understand that refusing or withdrawing your consent may affect your ability to participate in the Plan.  For more information on the consequences of your refusal to consent or withdrawal of consent, you understand that you may contact your local human resources representative.
13.Nature of Grant.  By participating in the Plan, you acknowledge, understand and agree that: (a) the Plan is established voluntarily by the Company, it is discretionary in nature and may be modified, amended, suspended or terminated by the Company at any time, to the extent permitted by the Plan; (b) the grant of the Restricted Stock Units is voluntary and occasional and does not create any contractual or other right to receive future grants or benefits in lieu of Restricted Stock Units, even if Restricted Stock Units have been granted in the past; (c) all decisions with respect to future grants of Restricted Stock Units, if any, will be at the sole discretion of the Company; (d)  the Restricted Stock Unit grant and your participation in the Plan shall not create a right to employment or be interpreted as forming an employment or service contract with the Company, the Employer or any Subsidiary or Affiliate and shall not interfere with the ability of the Company, the Employer or any Subsidiary or Affiliate, as applicable, to terminate your employment or service relationship (if any); (e) you are voluntarily participating in the Plan; (f) the Restricted Stock Units are not intended to replace any pension rights or compensation; (g) the Restricted Stock Units, the underlying Shares and the income and value of same are not part of normal or expected compensation for purposes of calculating any severance, resignation, termination, redundancy, dismissal, end-of-service payments, bonuses, long-service awards, pension or retirement or welfare benefits or similar payments; (h) the future value of the underlying Shares is unknown, indeterminable and cannot be predicted with certainty; (i) no claim or entitlement to compensation or damages shall arise from forfeiture of the Restricted Stock Units resulting from the termination of your employment or other service relationship (for any reason whatsoever, whether or not later found to be invalid or in breach of employment laws in the jurisdiction where you are employed or the terms of your employment agreement, if any), and in consideration of the grant of the Restricted Stock Units to which you are otherwise not entitled, you irrevocably agree never to institute any such claim against the Company, any of its Subsidiaries or Affiliates or the Employer, waive your ability, if any, to bring any such claim, and release the Company, its Subsidiaries and Affiliates and the Employer from any such claim; if, notwithstanding the foregoing, any such claim is allowed by a court of competent jurisdiction, then, by participating in the Plan, you shall be deemed irrevocably to have agreed not to pursue such claim and agree to execute any and all documents necessary to request dismissal or withdrawal of such claim; (j) unless otherwise agreed with the Company in writing, the Restricted Stock Units, the underlying Shares and the income and value of same are not granted as consideration for, or in connection with, any service you may provide as a director of a Subsidiary or Affiliate; (k) for purposes of the Restricted Stock Units, your employment or other service relationship will be considered terminated as of the date you are no longer actively providing services to the Company or one of its Subsidiaries or Affiliates (regardless of the reason for such termination and whether or not later found to be invalid or in breach of employment laws in the jurisdiction where you are employed or the terms of your employment agreement, if any), and unless otherwise expressly provided in Sections 2 through 5 of this Agreement or determined by the Company, your right to vest in the Restricted Stock Units under this Agreement, if any, will terminate as of such date and will not be extended by any notice period (e.g., your period of service would not include any contractual notice period or any period of “garden leave” or similar period mandated under employment laws in the jurisdiction where you are employed or the terms of your employment agreement, if any); the Committee shall have the exclusive discretion to determine when you are no longer actively providing services for purposes of the Restricted Stock Unit grant (including whether you may still be considered to be providing services while on an approved leave of absence); and (l) the following provisions apply only if you are providing services outside the United States: (A) the Restricted Stock Units, the underlying Shares, and the income and value of same are not part of normal or expected compensation or salary for any purpose; and (B) neither the Company, the Employer nor any Subsidiary or Affiliate shall be liable for any foreign exchange rate fluctuation between your local currency and the U.S. dollar that may affect the value of the Restricted Stock Units or of any amount due to you pursuant to the settlement of the Restricted Stock Units or the subsequent sale of any Shares acquired upon settlement.

14.No Advice Regarding Grant.  The Company is not providing any tax, legal or financial advice, nor is the Company making any recommendations regarding your participation in the Plan, or your acquisition or sale of the underlying Shares.  You should consult with your own personal tax, legal and financial advisors regarding your participation in the Plan before taking any action related to the Plan.

15.Definitions.  For purposes of this Agreement, the following terms will have the meanings set forth below: 
“Cause” means that the Committee, in its sole discretion, determined that you: (i) intentionally failed to perform your duties for Arrow and that failure continues after you receive written warning concerning your failure to perform (this does not mean a mere failure to attain financial goals);  (ii) engaged in illegal conduct or gross misconduct which is significantly and demonstrably injurious to Arrow; or (iii) violated any provision of Arrow’s Worldwide Code of Business Conduct and Ethics or of any other written agreement you may have with Arrow.  

“Competing Business” means any business, which, directly or indirectly, provides the same or substantially similar products or services as those provided by the organization, business units or groups for which you worked or had responsibility during your tenure at Arrow or any of its Subsidiaries or Affiliates. 
“Committee” means the Compensation Committee of Arrow’s Board of Directors or a designated subcommittee thereof.
“Change of Control” means the occurrence of either of the following events: (a) any one person, or more than one person acting as a group, acquires (or has acquired during the 12-month period ending on the date of the most recent acquisition by such person or persons) ownership of stock of the Company possessing 30 percent or more of the total voting power of the stock of the Company, or (b) a majority of the members of the Company’s Board of Directors is replaced during a 12-month period by directors whose appointment or election is not endorsed by a majority of the members of the Company’s Board of Directors before the date of the appointment or election, in each case, limited to circumstances that constitute a “change in control event” within the meaning of Treasury Reg. §1.409A-3(i)(5). 
“Disability” means Grantee is considered “disabled” within the meaning of Section 409A(a)(2)(C) of the Code and the regulations thereunder, or, with respect to Grantee who is not a U.S. Taxpayer, as may otherwise be determined or construed by the Committee.  
 “Good Reason” means the occurrence of any of the following changes to your employment, provided that Arrow does not rescind such changes within thirty days following your written request: (i) a material adverse diminution in your duties and responsibilities; (ii) your base salary is materially reduced, other than in connection with a region-wide or company-wide pay cut/furlough program; or (iii) a material change in the geographic location of your principal place of business of more than fifty (50) miles from your current location.  For the avoidance of doubt, a mere change in title and/or reporting relationship shall not be grounds for a claim of “Good Reason.”  You will have “Good Reason” to terminate your employment only if such action is taken during the two year period following a Change of Control. 
“Retirement” means your retirement under a retirement plan of Arrow, or one of its Subsidiaries or Affiliates, at or after your normal retirement age or, with the written consent of the Committee, at an early retirement date.
16.Tax Withholding.  You acknowledge that, regardless of any action taken by the Company or, if different, the Employer, the ultimate liability for all income tax, social insurance, payroll tax, fringe benefits tax, payment on account or other tax-related items related to your participation in the Plan and legally applicable to you (“Tax-Related Items”) is and remains your responsibility and may exceed the amount actually withheld by the Company or the Employer.  You further acknowledge that the Company and/or the Employer (a) make no representations or undertakings regarding the treatment of any Tax-Related Items in connection with any aspect of the Restricted Stock Units, including, but not limited to, the grant, vesting or settlement of the Restricted Stock Units, the subsequent sale of Shares acquired pursuant to such settlement and the receipt of any dividends and/or any dividend equivalents; and (b) do not commit to and are under no obligation to structure the terms of the grant or any aspect of the Restricted Stock Units to reduce or eliminate your liability for Tax-Related Items or achieve any particular tax result.  Further, if you are subject to Tax-Related Items in more than one jurisdiction, the Company and/or the Employer (or former employer, as applicable) may be required to withhold or account for Tax-Related Items in more than one jurisdiction.

Prior to any relevant taxable or tax withholding event, as applicable, you agree to make adequate arrangements satisfactory to the Company and/or the Employer to satisfy all Tax-Related Items.  In this regard, you authorize the Company and/or the Employer, or their respective agents, at their discretion, to satisfy the obligations with regard to all Tax-Related Items by one or a combination of the following:  (a) withholding from your wages or other cash compensation paid to you by the Company and/or the Employer; or (b) withholding from proceeds of the sale of Shares acquired upon settlement of the Restricted Stock Units either through a voluntary sale or through a mandatory sale arranged by the Company (on your behalf pursuant to this authorization without further consent); or (c) withholding in Shares to be issued upon settlement of the Restricted Stock Units.
Depending on the withholding method, the Company may withhold or account for Tax-Related Items by considering applicable minimum statutory withholding rates or other applicable withholding rates, including maximum applicable rates.  If the maximum rate is used, any over-withheld amount will be refunded to you in cash by the Company or Employer (with no entitlement to the Share equivalent) or if not refunded, you may seek a refund from the local tax authorities.  If the obligation for Tax-Related Items is satisfied by withholding in Shares, for tax purposes, you are deemed to have been issued the full number of Shares subject to the vested Restricted Stock Units, notwithstanding that a number of the Shares are held back solely for the purpose of paying the Tax-Related Items.    
Finally, you agree to pay to the Company or the Employer, any amount of Tax-Related Items that the Company or the Employer may be required to withhold or account for as a result of your participation in the Plan that cannot be satisfied by the means previously described.  The Company may refuse to issue or deliver the Shares or the proceeds of the sale of Shares, if you fail to comply with your obligations in connection with the Tax-Related Items.
Notwithstanding anything in this Section 16 to the contrary, to avoid a prohibited acceleration under Section 409A of the Code, if Shares subject to the Restricted Stock Units will be withheld (or sold on your behalf) to satisfy any Tax Related Items arising prior to the date of settlement of the Restricted Stock Units for any portion of the Restricted Stock Units that is considered nonqualified deferred compensation subject to Section 409A of the Code, then the number of Shares withheld (or sold on your behalf) shall not exceed the number of Shares that equals the liability for Tax-Related Items.

17.Section 409A Compliance.  The following provisions shall apply if Grantee is a U.S. Taxpayer.

Notwithstanding the foregoing provisions of this Agreement, no Shares or amounts payable hereunder in connection with a termination of your employment that are subject to Section 409A of the Code as deferred compensation (and do not qualify for the “short term deferral” or any other exemption under applicable U.S. Treasury Regulations) and that are payable upon a termination of your employment (“Separation Payments”) shall be paid unless the termination constitutes a “separation from service,” within the meaning of Section 409A of the Code.  In addition, if you are a “specified employee,” within the meaning of Section 409A of the Code, at the time of a separation from service, any Separation Payments payable in connection with a separation from service shall instead be paid on the first business day following the earlier to occur of (a) the expiration of the six (6)-month period following your separation from service or (b) your death, if necessary to comply with Section 409A of the Code.  
The Restricted Stock Units are intended to be exempt from or compliant with Section 409A of the Code and the U.S. Treasury Regulations relating thereto so as not to subject Grantee to the payment of additional taxes and interest under Section 409A of the Code or other adverse tax consequences.  In furtherance of this intent, the provisions of this Agreement will be interpreted, operated, and administered in a manner consistent with these intentions.  The Committee may 

modify the terms of this Agreement, the Plan or both, without the consent of Grantee, in the manner that the Committee may determine to be necessary or advisable in order to comply with Section 409A of the Code or to mitigate any additional tax, interest and/or penalties or other adverse tax consequences that may apply under Section 409A of the Code if compliance is not practical.  This Section 17 does not create an obligation on the part of the Company to modify the terms of this Agreement or the Plan and does not guarantee that the Restricted Stock Units or the delivery of Shares upon vesting/settlement of the Restricted Stock Units will not be subject to taxes, interest and penalties or any other adverse tax consequences under Section 409A of the Code.  In no event whatsoever shall Arrow or any of its Subsidiaries or Affiliates be liable to any party for any additional tax, interest or penalties that may be imposed on Grantee by Section 409A of the Code or any damages for failing to comply with Section 409A of the Code or for any action taken by the Committee.
18.Foreign Asset/Account, Exchange Control and Tax Reporting.  You may be subject to foreign asset/account, exchange control and/or tax reporting requirements as a result of the acquisition, holding and/or transfer of Shares or cash (including dividends, dividend equivalents and the proceeds arising from the sale of Shares) derived from your participation in the Plan, to and/or from a brokerage/bank account or legal entity located outside your country.  The applicable laws of your country may require that you report such accounts, assets, the balances therein, the value thereof and/or the transactions related thereto to the applicable authorities in such country.  You acknowledge that you are responsible for ensuring compliance with any applicable foreign asset/account, exchange control and tax reporting requirements and should consult your personal legal advisor on this matter.

19.Insider Trading Restrictions/Market Abuse Laws.  You acknowledge that, depending on your country, you may be subject to insider trading restrictions and/or market abuse laws, which may affect your ability to acquire or sell Shares or rights to Shares under the Plan during such times as you are considered to have “inside information” regarding the Company (as defined by the laws in your country).  Any restrictions under these laws or regulations are separate from and in addition to any restrictions that may be imposed under any applicable Company insider trading policy.  You acknowledge that it is your responsibility to comply with any applicable restrictions, and you should speak to your personal advisor on this matter.

20.Governing Law and Venue.  The Restricted Stock Unit grant and the provisions of this Agreement are governed by, and subject to, the laws of the State of New York, without regard to the conflict of law provisions, as provided in the Plan.  
For purposes of litigating any dispute that arises under this grant or the Agreement, the parties hereby submit to and consent to the exclusive jurisdiction of the State of New York, agree that such litigation shall be conducted in the courts of New York County, or the federal courts for the United States for the Southern District of New York, where this grant is made and/or to be performed.
21.Electronic Delivery and Acceptance.  The Company may, in its sole discretion, decide to deliver any documents related to current or future participation in the Plan by electronic means.  You hereby consent to receive such documents by electronic delivery and agree to participate in the Plan through an on-line or electronic system established and maintained by the Company or a third party designated by the Company.

22.Language.  If you have received this Agreement or any other document related to this Agreement translated into a language other than English and if the meaning of the translated version is different than the English version, the English version will control.

23.Severability.  The provisions of this Agreement are severable and if any one or more provisions are determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions shall nevertheless be binding and enforceable.

24.Waiver.  You acknowledge that a waiver by the Company of breach of any provision of this Agreement shall not operate or be construed as a waiver of any other provision of this Agreement, or of any subsequent breach of this Agreement.  

25.Appendix.  Notwithstanding any provisions in the Agreement, the Restricted Stock Units shall be subject to the additional terms and conditions set forth in any appendix to this Agreement (the “Appendix”) for your country.  Moreover, if you relocate to one of the countries included in the Appendix, the special terms and conditions for such country will apply to you, to the extent the Company determines that the application of such terms and conditions is necessary or advisable for legal or administrative reasons.  The Appendix constitutes part of the Agreement.

26.Imposition of Other Requirements. The Company reserves the right to impose other requirements on your participation in the Plan, on the Restricted Stock Units and on any Shares acquired under the Plan, to the extent the Company determines it is necessary or advisable for legal or administrative reasons, and to require you to sign any additional agreements or undertakings that may be necessary to accomplish the foregoing.

The parties have entered into this Agreement as of the date first written above by signing where indicated below.
Arrow Electronics, Inc.

By:
Gregory Tarpinian
SVP and General Counsel
        
________________        
PARTICIPANT NAMEExhibit

Exhibit 10.1 

	
					
	
	 
	O’Hara House
One Bermudiana Road
Hamilton HM 08
PO Box HM 2245
Hamilton HM JX
Bermuda

	 

	 

	 

	 

	 

	 

	 
	Phone
	+1 441 292 8515

	 
	Fax
	+1 441 295 4846

	 
	xlgroup.com

[Date]

Private and Confidential

[Executive Name]
[Executive Address]

Dear _________:

Your Appointment

On behalf of XL Group Ltd and XL Services (Bermuda) Ltd (collectively, “the Company”), we are pleased to confirm your appointment to the role of [____________________] of the XL Group.  Subject to clause 14 you will continue to be based in Bermuda.

This Letter of Appointment sets forth the general terms and conditions applicable to your employment with the Company and appointment to the XL Group Leadership Team (your “Appointment”) with effect from [insert date].   This Agreement shall replace all prior agreements between you and any Company affiliate, and such prior agreements shall have no further effect from the date you commence your new role under this Agreement, and shall also serve as your Statement of Employment for the purposes of the Employment Act 2000.   This letter confirms that your continuous services date with the Company is _________.

		
	1.
	Duties

As _______________, you will report directly to ____________________.
You will be responsible for the Company’s ____________ [operations] [department] and a member of the Company’s leadership team (“Leadership Team” or LT).

XL Services (Bermuda) Ltd    An XL Group company

During the Appointment and subject to clause 5 you shall devote the whole of your time and attention to the duties assigned to you and shall well and faithfully serve the Company and use your best efforts, skills and abilities to promote the interests of the Company and the wider XL Group and shall obey all reasonable and lawful directions given to you by or under the authority of the Company’s CEO and the Board of Directors of XL Group Ltd (the “Board”).
You may be required in pursuance of your duties hereunder to perform services not only for the Company but also to serve as a director for such other Group Companies as may from time to time be required.  The services hereunder are global in nature and shall be performed at the location or locations reasonably requested by the Company, but your principal work location shall be in Bermuda.  You acknowledge that you may be required to travel to perform the services hereunder, which travel may be extensive.

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	2.
	Compensation

		
	(a)
	Base Salary:

Your annual base salary will be USD $_________, payable monthly in accordance with the Company’s regular payroll practices.  Salaries will be paid on the 20th of each month, unless these dates fall on weekends or public holidays when they will be paid on the last working day prior to these dates.  
		
	(b)
	Annual Incentive Plan

You will be eligible to participate in the Annual Incentive Plan (“AIP”).  Any incentive bonus awarded under the AIP is at the sole discretion of the Company and will be based on your individual achievement, functional unit and corporate results and as otherwise approved by the Management Development and Compensation Committee (“MDCC”) of the Board. Such discretionary bonus, if any, will be paid to you at the time other AIP bonuses are paid (currently scheduled for March following the performance year), subject to your being actively employed on that date, and otherwise consistent with the terms of the AIP. Your target bonus opportunity is ___% of your annual base salary.

It should be noted that any annual incentive bonus under the AIP is at the sole discretion of the Company and may, therefore, vary below or above the target.  
		
	(c)
	Long Term Incentives:

You will continue to be eligible to participate each year in the 1991 XL Group Ltd Performance Incentive Program (the “91 Plan”) or such replacement long term incentive plans and programs of the Company then in effect and at a level comparable to that of other similarly situated executives, subject to your being actively employed on the date such long term incentives are awarded, and as otherwise determined by the MDCC.  These incentives will be awarded to you at the Company’s sole discretion.  For informational purposes only, awards granted during this past year’s annual compensation process included non-qualified stock options and Performance Units.   Provided you remain otherwise employed on the date of grant, your aggregate annual long-term target value will be $___________ as of date of grant.  Any award made under any long term incentive plan or program of the Company shall be subject to the terms and conditions of the applicable plan, program, grant or award agreement. Any award granted will also be subject to the Company’s share ownership and share retention requirements in effect from time to time.  It should be noted that any long term incentive awarded to you is at the sole discretion of the Company and may, therefore, vary below or above the target. 

If the Appointment should terminate for any reason (including as a result of a repudiatory breach of contract by the Company) your rights under any Company long term incentive plan or program will be governed entirely by the terms of the 1991 Plan or replacement program and the applicable grant or award agreements, and you will not be entitled to any further or other compensation for any loss of any right or benefit or prospective right or benefit under any such plan, program, grant or award agreement which you may have enjoyed whether such compensation is claimed by way of damages for wrongful dismissal or other breach of contract or by way of compensation for loss of office or otherwise.  

3

		
	(d)
	Withholdings and Deductions:

All payments required to be made by the Company to you in connection with the Appointment shall be subject to withholding of such amounts relating to taxes or other applicable contributions as the Company may reasonably determine should be withheld pursuant to any applicable law or regulation.  Deductions from gross pay may include, but are not limited to, pension or premium costs.  Please note that these are subject to periodic review and adjustment from time to time.
		
	3.
	Benefits

You shall be entitled to participate in the relevant Company employee benefit plans and insurance programs offered by the Company or which the Company may adopt from time to time for its executive management. Currently these include Medical Insurance, Life Insurance, Long Term Disability Insurance, Annual Leisure Club Membership, Monthly Local Living Allowance and a Pension Scheme (as applicable to your nationality and circumstances).  The Company reserves the right, at its absolute discretion, to amend the benefits provided or the terms on which they are provided.
		
	4.
	Expenses & Hours of Work

You shall be reimbursed by the Company for all travelling, hotel and other expenses properly incurred by you in the performance of your duties hereunder provided that such expenses are generally or specifically approved or authorized by the Board or management and are evidenced in such manner as the Company may reasonably specify from time to time.

The Company's normal hours of work are from 9 a.m. to 5 p.m. from Monday to Friday, however it is expected that hours will be worked, before 9am or after 5pm, and on week-ends, as required in accordance with the needs of the business.
		
	5.
	Annual Leave

(a)    Vacation:  You shall be entitled to 30 days' of paid annual leave in addition to such public holidays as recognized by Company Policy.
(b)    Sickness and Injury:  In the case of absence from work due to sickness or injury then, subject to receipt of the appropriate medical certificate which the Employer is entitled to request from you in respect of two or more consecutive days’ absence, you will be paid salary pro-rated based on a maximum entitlement of 10 days.
		
	6.
	Notice and Termination

You and the Company will give the other ______ months  written notice to terminate your employment.

4

The Appointment shall be subject to summary termination at any time by the Company by notice in writing if you are dismissed for Cause (as defined in the Executive Severance Benefit Program described below).
The Company reserves the right to give you pay in lieu of any notice of termination (whether given by the Company or by you).
During any period of notice of termination  (whether given by the Company or by you), or in the case of any repudiatory or anticipatory breach of the Appointment by you, the Company may by issuance of written notice place you on “garden leave” for all or a portion of your notice period.  During a garden leave, the Company shall be under no obligation to assign any duties to you and shall be entitled to exclude you from its premises, provided that this shall not affect your entitlement to receive your base salary and other contractual benefits.  During a garden leave, the Company may require you to carry out alternative duties or to perform such specific duties as are expressly assigned to you, and you shall remain otherwise bound by the terms of this Appointment (including any implied duties of good faith and fidelity).
Upon the termination of the Appointment howsoever arising you shall: 
		
	(a)
	at any time or from time to time thereafter upon the request of the Company, resign without claim for compensation from all offices held in the Company or any of the companies in the XL Group;

		
	(b)
	deliver to the Company all Company property including Company ID entry cards, motor cars, car keys, credit cards and office entry keys, and if you should fail to do so the Company is hereby irrevocably authorised to appoint some person in your name and on your behalf to sign any documents and do any things necessary or requisite to give effect thereto.

		
	7.
	Confidential Information; Intellectual Property 

You agree that without the prior written consent of the Company, except to the extent required by an order of a court having competent jurisdiction or under subpoena from an appropriate government agency, you shall not disclose, except to the extent that such disclosure or use is directly related to and required by your performance of duties assigned to you pursuant to this Letter of Appointment, to any third person, or permit the use of for the benefit of any person, including yourself, or any entity other than the Company or the XL Group, any Confidential Information (as defined below) of which you are or become aware in the course of your Appointment whether or not such information is developed by you.  Under all circumstances and at all times, you will take all appropriate steps to safeguard Confidential Information in your possession and to protect it against disclosure, misuse, espionage, loss and theft.  "Confidential Information" shall mean (i)  trade secrets, customer lists, information regarding product development, marketing plans, sales plans, management organization information (including data and other information relating to members of the Board of XL Group Ltd or any other XL Group company and its or their management), operating policies or manuals, business plans, financial records, or other financial, organizational, commercial, business, sales, marketing, technical, product or employee information relating to the XL Group, or any other information designated by the Company as confidential, proprietary, and/or a trade secret, or any other information relating to the XL Group, that you reasonably know 

5

or should know from the circumstances should be treated as confidential, or (ii) any information that the XL Group may receive belonging to customers, agents or others who do business with the XL Group, except to the extent that any such information previously has been disclosed to the public by the XL Group or is in the public domain (other than by reason of your violation of this clause 7).  Upon the termination of your Appointment, you agree to return to the Company all files, papers, electronic or digital copies, and materials of any kind containing or relating to Confidential Information.  You will be permitted to retain your electronic or physical rolodex of personal contacts, on condition that you follow appropriate Company information security protocols related to that retention.

In the event that you as part of your activities on behalf of the Company generate, author or contribute to any invention, design, new development, device, product, method of process (whether or not patentable or reduced to practice or comprising Confidential Information), any copyrightable work (whether or not comprising Confidential Information) or any other form of Confidential Information relating directly or indirectly to the business of the Company or any other company in the XL Group as now or hereinafter conducted (collectively, “Intellectual Property”), you acknowledge that such Intellectual Property is the sole and exclusive property of the Company and hereby assign all right title and interest in and to such Intellectual Property to the Company.  You acknowledge and agree that all Intellectual Property that constitutes original works of authorship made by you within the scope of your employment and which are protectable by copyright are each intended to be a “work made for hire,” as that term is defined in Section 101 of the United States Copyright Act of 1976 (the “Act”), and shall be the sole and exclusive property of the Company and the Company shall be the sole and exclusive author within the meaning of the Act.  If the copyright to any such copyrightable Intellectual Property does not qualify as a “work made for hire” under the Act, you agree to assign and hereby assigns to the Company, without further consideration, all of your right, title and interest in and to such copyrightable work product (and all other rights thereto) and will cooperate with the Company and its designees, at the Company’s sole expense, to secure, maintain and defend for the Company’s benefit copyrights and any extensions and renewals thereof on any and all such Intellectual Property.

Notwithstanding anything in this section, you are expressly not prevented from using or disclosing Confidential Information in connection with disclosing possible violations of United States federal law or regulation to any governmental agency or entity, including but not limited to the Department of Justice, the Securities and Exchange Commission, and any US agency Inspector General, or your right to make other disclosures that are protected under the whistleblower protections of US federal law or regulation or under the laws of Bermuda.

		
	8.
	Executive Severance Benefit Plan  

As a member of the XL Group Leadership Team ("LT") you will be eligible to participate in the XL Group Ltd Executive Severance Benefit Plan (the “Severance Plan”) on condition that you enter into and comply with the restrictive covenants contained in Clause 9 of this Letter of Appointment.  For the avoidance of doubt, when calculating any payment due under the Severance Plan credit will be given for pay and benefits received in lieu of notice or while on garden leave in accordance with clause 6 of this Letter of Appointment.   A copy of the Severance Plan is attached at Annex 1 to this Letter of Appointment.

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This Letter of Appointment and the restrictive covenants and confidentiality provisions in clauses 7 and 9 shall serve as a "Participation Agreement" as provided for under the Severance Plan.  The Company acknowledges and agrees that subject to the Executive Vice President, Human Resources, receiving this Letter of Appointment, signed by you, and executing it on behalf of the Company, upon the commencement of your Appointment you will become a participant in the Severance Plan, and will be covered by and subject to all of the Severance Plan's provisions.  Should the Company in its discretion terminate the Severance Plan prior to the date of your termination of employment without establishing a successor plan, you will no longer be a participant in the Severance Plan and the restrictions set forth in clause 9 of this Letter of Appointment shall cease to be effective as of the date the Severance Plan terminates.
		
	9.
	Post-Termination Restrictions

The Company recognizes that as a member of the LT, you play a vital role in securing the XL Group's continuing success.  Your role provides you with access to and use of confidential and proprietary information of the XL Group, which you also are entrusted to safeguard.  In light of that, it would pose a serious risk of harm to the XL Group’s business and reputation if you were to become employed by a competitor immediately upon your leaving the Company for any reason, or if you attempted to solicit the XL Group's valued employees, clients, or customers within a reasonable time after your separation from employment. Therefore, and in consideration of your becoming eligible to receive Severance Pay and benefits under the Severance Plan, you hereby covenant and agree that:

		
	(a)
	Non-Competition and Non-Solicitation. 

		
	(i)
	Restriction on Work for a Competitor/Solicitation of Business: 

While employed by XL  and for a six month period following termination of your employment with XL for any reason (the “Restriction Period”), except that the Restriction Period shall be one-year following termination of your employment for any reason with twenty-four months after a Change in Control: 
		
	(1)
	You will not become employed by or associated with any entity, whether as a principal, advisor, partner, employee, agent, consultant, shareholder (other than as a shareholder of less than 5% of any publicly traded company) or in any other relationship or capacity, paid or unpaid, that is actively engaged in selling or providing, either directly or indirectly, in the United States, Bermuda, Greater London, or the Republic of Ireland, any products or services that are the same as or similar to insurance and reinsurance products or services that as of the date of your termination are being provided in those locations either directly or indirectly by the Company or any other entity in the XL Group. 

		
	(2)
	You will not, directly or indirectly contact, seek, entice, solicit, induce, persuade, divert or attempt to divert any business away from the XL Group, including any former, present or prospective customer, client, insured, vendor, supplier, investor, or business partner of which you have personal knowledge or with whom you are personally involved during your 

7

employment at the Company, with respect to any existing or proposed contractual or business arrangement with the XL Group, insurance or reinsurance product or service sold or provided by or to the XL Group during your employment, or any such product or service that is under development by the XL Group at the time your employment ends. It is presumed that by reason of your membership on the Leadership Team of XL Group that you have actual knowledge of any material business arrangement or contract, or any insurance or reinsurance products or services, whether currently provided or under development during, your employment.   The restrictions in this paragraph shall not apply if you are expressly permitted to engage in the otherwise prohibited activity, in writing, by the Company, in its sole discretion, following its receipt of your written request before commencement of the activity.
		
	(ii)
	Restriction on the Solicitation of Employees: 

While employed by the Company and for a one-year period following termination of your employment with the Company for any reason, you will not directly or indirectly solicit, encourage or induce any employee of the XL Group to terminate employment with the XL Group, and will not directly or indirectly, either individually or as owner, agent, employee, consultant or otherwise, employ or offer employment to any person who was employed by the XL Group at the time of your termination from employment with the Company or at any time during the six-month period prior to your termination ("XL employee") to engage in any business activity which competes with the insurance or reinsurance businesses of the XL Group or its investment, corporate, or financial operations.  You also agree that during the one-year period following your termination of employment with the Company for any reason, any subsequent employer's hiring of an XL employee into a position that reports directly or indirectly to you who was employed in a senior leadership capacity at the XL Group (currently defined to be the XL Leadership Team, Band E or Band D) will constitute a breach of this clause. 
		
	(b)
	Equitable Relief:

You acknowledge and agree that the covenants and obligations in clause 9(a) are reasonable and relate to special, unique and extraordinary matters and that, given the extensive knowledge of the XL Group's operations and Confidential Information that you have acquired and will continue to acquire, a violation of any of the terms of these covenants and undertakings will cause the XL Group irreparable injury for which adequate remedies are not available at law. Therefore, you agree that XL Group Ltd and such other entitles in the XL Group to which these provisions relate shall be entitled to an injunction, restraining order or such other equitable relief from a court of competent jurisdiction (without the requirement to post bond) restraining you from committing any violation of the covenants and obligations contained in clause 9(a).  Further, the Company shall, to the extent permitted by applicable law and the Severance Plan, have no obligation to pay any amounts to you following any material violation of the covenants and undertakings contained in clause (a), including any unpaid payments or benefits outstanding under the 

8

Severance Plan. You also agree that, pursuant to the terms of the Severance Plan, the Company shall have the right to claw back any payments paid to you under the Severance Plan prior to its discovery of your material breach of clause 9(a).  These remedies are cumulative and are in addition to any other rights and remedies the Company or any other entity in the XL Group may have at law or in equity or pursuant to the Severance Plan.  If any court determines that any of the terms herein are unreasonable, invalid or unenforceable, the court may interpret, alter, amend or modify any or all of the terms to include as much of the scope, time period, and intent as will render the restrictions enforceable, and then as modified, enforce those terms.
		
	(c)
	For the purposes of clauses 7 and 9 of this Appointment Letter, references to XL Group shall be understood to include XL Group Ltd and all of its subsidiaries and affiliates.

		
	10.
	Representations and Warranties – Disclosure of Interests 

Except as a representative of the Company or with the prior written consent of the Board (which shall not be unreasonably withheld or delayed), you shall not during the Appointment engage or be concerned directly or indirectly in any business which competes with the business of the Company provided that you shall be permitted to hold shares or securities of a company any of whose shares or securities are quoted or dealt in on any recognised investment exchange provided that any such holding shall not exceed five per cent of the issued share capital of the company concerned and is held by way of bona fide investment only ("Investment"). 
You represent and warrant to the Company that (a) the execution, delivery and performance of this Letter of Appointment by you does not and will not conflict with, breach, violate or cause a default under any contract, agreement, instrument, order, judgment or decree to which you are a party or by which you are bound, (b) except for agreements you have already provided to the Company, you are not a party to or bound by any employment agreement, noncompetition agreement, confidentiality agreement or similar agreement with any other person.  Finally, you represent and warrant that you will not use the confidential or proprietary information of any other person in violation of any agreement or rights of others known to you in connection with your provision of services to the Company. 
		
	11.
	General Conditions

The benefits, terms and conditions of employment referred to in this letter are for Bermuda only and are not transferable.  Should circumstances arise, requiring you to transfer employment to an XL Group company outside of Bermuda, your employment will be subject to the benefits, terms and conditions of the new location, based on 'home country' status.

Within your first month of employment you should expect to meet with a representative of the Human Resources team who will provide you with a variety of information for your review and/or completion.

You are required to notify Human Resources of any change to your personal circumstances (name, address, marital status, next of kin, and telephone number) to ensure that any data held is accurate and up to date.

As an employee of the Company, your employment is subject to the terms and conditions of the Employee Handbook, the XL Group Code of Conduct and Policy Statements, as well as other applicable Company 

9

policies and procedures that may be in effect from time to time (collectively “Company Policies”).   Such Company Policies do not constitute a contract.  Company Policies are guidelines provided for information purposes only and may be changed at any time at the sole discretion of the Company. 

We confirm that the Company is not a party to any collective agreement.
Upon the commencement of your Appointment, this Letter of Appointment shall constitute your Statement of Employment in accordance with the Bermuda Employment Act 2000.
For the purposes of this Agreement “XL Group” shall mean XL Group Ltd  and its subsidiaries and affiliates from time to time.
		
	12.
	Notices

Any notice to be given in relation to this Letter of Appointment shall be in writing.  Notices may be given by either party by personal delivery or post or by fax addressed to the other party at (in the case of the Company) XL Group Ltd’s registered office for the time being and (in your case) your last known address and any such notice given by letter or fax shall be deemed to have been served at the time at which the letter was delivered personally or transmitted or if sent by post would be delivered in the ordinary course of post.
		
	13.
	Prior Agreements, Assignment and Modification

This Letter of Appointment and the documents referred to herein constitute the entire agreement between us and replace any prior agreements between us relating to the subject matter hereof whether implied, verbal, or in writing.

Please note that while the Company believes that its employment relationship with you will be mutually satisfying and beneficial, there is no contractual right or obligation for you to remain in our employment or for the Company to employ you for any specified period of time.  Subject to the provisions in clauses 7 and 9 of this Letter of Appointment, which may not be modified or amended except by written instrument signed by you and the Chief Human Resources Officer of XL Group Ltd or his or her designee, the Company reserves the right to make reasonable changes to any of your terms of employment and conditions of employment, including compensation, benefits and other privileges at any time, at its sole discretion.  The Company shall, as soon as practicable and no later than one month after the matters are prescribed or the change agreed, provide you with an amendment to the statement of employment containing particulars of the change or a revised statement which shall (in either case) be signed and dated by the employer and employee. 

You understand that during the course of your Appointment, the XL Group may grow and/or expand through merger, acquisition or otherwise. You acknowledge that this Letter of Appointment and the rights and obligations of the parties hereto shall bind and inure to the benefit of any successor or successors of the Company by reorganization, merger, acquisition or otherwise and any assignee of all or substantially all of the Company's business or properties.
The expiration or termination of this Letter of Appointment, however arising, shall not operate to affect such of the provisions of this Letter of Appointment as are expressed to operate or have effect after that time and shall be without prejudice to any accrued rights or remedies of the parties.

10

The various provisions and sub-provisions of this Letter of Appointment are severable and if any provision or any identifiable part of any provision is held to be unenforceable by any court of competent jurisdiction then such unenforceability shall not affect the enforceability of the remaining provisions or identifiable parts of them.
		
	14.
	Governing Law and Jurisdiction

This Letter of Appointment shall be governed and construed under the laws of Bermuda, without reference to principles of conflicts or choice of law under which the law of any other jurisdiction would apply.  In the event that one or more of the provisions of this Letter of Appointment shall become invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not be affected thereby. Any dispute or controversy arising under or in connection with this Letter of Appointment shall be resolved by binding arbitration, to be held in the City of Stamford, Connecticut, and conducted in accordance with the Employment Arbitration Rules of the American Arbitration Association in effect at the time of the arbitration, and otherwise in accordance with the principles that would be applied by a court of law or equity.  
		
	15.
	Acceptance of Offer

You acknowledge that you have carefully read this Agreement, fully understand its provisions, and have had a sufficient opportunity to consider its effect, and have had an opportunity to consult with an attorney prior to executing this Letter of Appointment. You specifically acknowledge and agree that the purposes of the restrictions and undertakings contained in this Letter of Appointment is to protect the XL Group from unfair competition, including improper use of the XL Group’s confidential and proprietary information, and that the restrictions and undertakings herein are reasonable as to both scope and duration of application.  You further acknowledge that you are knowingly and voluntarily entering into this Letter of Appointment.  

If you accept this offer of employment you are required to sign and return the copy of this Letter of Appointment together with the enclosed documentation duly completed to the undersigned within two days of your acceptance.

Remainder of page intentionally left blank

11

We look forward to welcoming you to the XL Group and to a mutually rewarding relationship.  In the meantime, if you have any questions regarding this letter, please do not hesitate to call me.

Yours sincerely,

Eileen Whelley                            Lisa Robinson
Chief Human Resources Officer,                      Human Resources Business Partner
 (for and on behalf of XL Group Ltd)                  (for and on behalf of
XL Services (Bermuda) Ltd)

Encs.

I confirm my acceptance of the terms and conditions of employment set out in this letter.

________________________________        ______________________________
Executive                    Date

12

ANNEX 1

(Senior Executive Severance Benefit Plan)

13

As of March 31, 2017, the following executive officers were party to this form of Letter of Appointment:

Charles Cooper 

14

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