Document:

Amendment to Trust Agreement

 Exhibit 10.28 
 AMENDMENT TO TRUST AGREEMENT 
 This Amendment to Trust Agreement (this “Amendment”) is made
by Avon Products, Inc. (the “Company”) effective as of January 1, 2009. 
 W I T N E
S S E T H : 
 WHEREAS, the Company entered into a Trust Agreement (the “Trust Agreement”) with
The Chase Manhattan Bank, N.A., dated as of October 29, 1998; and 
 WHEREAS, Article X of the Trust Agreement provides that the Company
may amend the Trust Agreement pursuant to a resolution of its board of directors by delivering to the trustee a certified copy of such resolution and a written instrument duly executed and acknowledged in the same form as the Trust Agreement; and

 WHEREAS, the Company now wishes to amend the Trust Agreement in order to comply with Section 409A of the Internal Revenue Code
(“Section 409A”); 
 NOW, THEREFORE, the Company hereby amends the Trust Agreement as follows: 
 1. A new sentence is added to the end of Section 5.5 of the Trust Agreement to read as follows: 
 “The distribution right set forth in the immediately preceding sentence will not apply to any Participant under the SLIP (as amended as of
January 1, 2009) who has an “Individual Agreement” (as that term is defined in the SLIP, amended as of January 1, 2009). The Company shall notify the Trustee of all Participants under the SLIP who have such “Individual
Agreements” and the Trustee shall be fully protected in relying on such notification.” 
 2. Article IX of the Trust Agreement is
amended in its entirety to read as follows: 
 “ARTICLE IX 
 Termination 
 The Trust may be terminated by the Company with
respect to any Participant or Beneficiary under the SERP, and with respect to any Participant or Beneficiary under the SLIP subject to an “Individual Agreement” (as that term is defined in the SLIP), after payment to such Participants (or
their Beneficiaries), pursuant to the terms of the Plans and this Agreement, of all amounts held in the Trust for their Plan benefits. Any such termination may be effected, pursuant to a resolution of the Board of Directors of the Company, upon
delivery to the Trustee of a certified copy of 

 
such resolution and a written instrument of termination duly executed and acknowledged in the same form as this Agreement. The Trustee shall be fully
protected in relying on such resolution and written instrument of termination. 
 The foregoing provision shall not apply to
any Participant under the SLIP (other than those subject to an “Individual Agreement” as that term is defined in the SLIP) who are identified in writing by the Company to the Trustee and the Trust will continue to be terminable in
accordance with Article IX of the Trust Agreement as in effect immediately prior to January 1, 2009 for such Participants and Beneficiaries. 
 Upon complete termination of the Trust, any assets remaining in the Trust shall be returned to the Company.” 
 3. Section 11.9 of the Trust Agreement is amended in its entirety to read as follows: 
 “11.9 Adverse
Tax Consequences. 
 (a) Notwithstanding any other provision of the Trust Agreement to the contrary, the Trustee shall
make appropriate payments hereunder before such payments are otherwise due if it is notified by a Participant or Beneficiary, in the format provided in Appendix I, that based on (i) a change in the tax or revenue laws of the United States of
America, (ii) a published ruling or similar announcement issued by the Internal Revenue Service, (iii) a regulation issued by the Secretary of the Treasury or his delegate, (iv) a decision by a court of competent jurisdiction
involving the Participant or Beneficiary, or (v) a closing agreement made under Code Section 7121 that is approved by the Internal Revenue Service and involves the Participant or Beneficiary, that Participant or Beneficiary has recognized
or will recognize income for federal income tax purposes with respect to amounts that are or will be payable to him under the Plans before they are paid to him. The Company will provide written notification to the Trustee of the Participants and
Beneficiaries who have the payment right set forth in this Section 11.9(a) and the amount to be paid to each such Participant and Beneficiary. 
 (b) Notwithstanding any other provision of the Trust Agreement to the contrary, the Trustee shall make appropriate payments hereunder before such payments are otherwise due if it is notified by a Participant or
Beneficiary, in the format provided in Appendix II, that the Participant or Beneficiary has recognized, or will recognize during the then-current tax year, income for federal income tax purposes under Section 409A with respect to amounts that
are or will be payable to him under the Plans before they are paid to him. The amount of any such payment may not exceed the 
  

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amount that such Participant or Beneficiary has recognized, or will recognize during the then-current tax year, under Section 409A with respect to
amounts that are or will be payable to him under the Plans. The Company will provide written notification to the Trustee of the Participants and Beneficiaries who have the payment right set forth in this Section 11.9(b) and the amount to be
paid to each such Participant and Beneficiary (such right being limited to SLIP Participants not subject to Section 11.9(a) above with respect to SLIP benefits held in the Trust and SERP Participants and Beneficiaries with respect to SERP
benefits held in the Trust).” 
 4. The Trust Agreement is amended by adding Appendix II thereto in the form attached to this Amendment.

  

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 IN WITNESS WHEREOF, the Company has caused this Amendment to be executed on the date set forth below.

  

			
	AVON PRODUCTS, INC.
		
	By:	 	/s/ Kim K.W. Rucker
	Name: 	 	Kim K.W. Rucker
	Title:	 	Senior Vice President and General Counsel

  

									
					
	Attest: 	 	Karen Leu	 		 	Dated: 	 	November 14, 2008

 Acknowledgement 
  

			
	 STATE OF NEW YORK
	  	)
		  	)        ss.:
	 COUNTY OF NEW YORK
	  	)

 Personally appeared Kim K.W. Rucker of Avon Products, Inc., signer and sealer of the
foregoing instrument, and acknowledged the same to be his/her free act and deed as SVP and General Counsel and the free act and deed of said Company, before me on November 14, 2008. 
  

	
	
	/s/ Lorna P. Laemmie
	Notary Public

  
  

							
	 LORNA P. LAEMMIE
 Notary Public, State of New York
 No. 01LA4896276
 Qualified in Queens County
 Certificate Filed in New York County
 Commission Expires June 20, 2010
	 		 		 	

  

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 APPENDIX II 
 FORM OF NOTICE OF 409A TAXATION 
 I, the undersigned Participant (Beneficiary) under the Avon
Products, Inc. Trust Agreement, as amended, hereby notify JPMorgan Chase Bank as Trustee, that pursuant to Section 11.9(b) thereof, the undersigned has recognized or will recognize tax during the current tax year under Section 409A of the
Internal Revenue Code with respect to funds held in said trust. The undersigned requests payment of $                     from the trust funds to
which the undersigned is entitled. I certify that this amount does not exceed the amount required to be included in income as a result of the failure to comply with Section 409A and the regulations thereunder. 
  

	
	
	  
	Participant/Beneficiary

  

			
		
	Date: 	 	 

  

 A-1Amendement to Employment Letter Agreement, effective as of November 12, 2008

 Exhibit 10.32 
 [Avon Products, Inc. letterhead] 
 November 7, 2008 
 Ms. Elizabeth A. Smith 
 Avon Products, Inc. 
 1345 Avenue of the Americas 
 New York, N.Y. 10105-0196 
 Dear Liz: 
 Reference is made to your employment letter agreement with Avon Products, Inc. (“Avon”) dated
November 1, 2004 (the “Employment Letter Agreement”). In order to comply with final regulations issued under Section 409A of the Internal Revenue Code (“Section 409A”) and to avoid unfavorable tax treatment to you,
certain amendments are required to be made to the Employment Letter Agreement. For this purpose, you and Avon have agreed to amend the Employment Letter Agreement in accordance with the terms of this letter. You acknowledge that the consideration
supporting the amendments made by this letter includes, without limitation, the mutual promises set forth herein to avoid unfavorable tax treatment for you under Section 409A. 
 Addition of Six-Month Wait for Severance Benefits. Pursuant to the terms of the Employment Letter Agreement, if you incur a “Severance Termination” (as that term is defined in the Employment Letter
Agreement), you become entitled to severance payments in the form of continued base salary payments for twenty-four (24) months as well as the continued provision of certain benefits beyond your separation from service (the “Severance
Package”). If you become entitled to the Severance Package, then, to the extent that any portion of the Severance Package constitutes an amount payable or benefit to be provided under a “nonqualified deferred compensation plan” (as
defined in Section 409A) following a “separation from service” (as defined in Section 409A) and which is not exempt from Section 409A, and since you are a “specified employee” (as that term is defined in
Section 409A), notwithstanding any other provision in the Employment Letter Agreement or this letter to the contrary, such payment or benefit provision will not be made to you during the six-month period immediately following your
“separation from service” date. Instead, on the first day of the seventh month following such “separation from service” date, all amounts that otherwise would have been paid or provided to you during that six-month period, but
were not because of this provision, will be paid or provided to you on the first day of the seventh month following your “separation from service” date, with any cash payment delayed during such six-month period to be made in a single lump
sum. 

 Rules for Continued Benefits and Perquisites. If you become entitled to continued benefits and/or perquisites from
Avon beyond the date that you separate from service from Avon, then, in addition to being subject to the other provisions of this letter, such continued benefits and/or perquisites will also be subject to the following rules: (a) to the extent
that any such benefit or perquisite is provided via reimbursement to you, Avon must provide the reimbursement no later than the end of the year following the year in which the underlying expense is incurred, (b) the amount of any such benefit
or perquisite provided by Avon in any year will not be affected by the amount of such benefit or perquisite provided by Avon in any other year, and (c) under no circumstances will you be permitted to liquidate or exchange any such benefit or
perquisite for cash or any other benefit. 
 Time Period in Which Any Gross-Up Payment Must be Made. Should you become entitled to a “Gross-Up
Payment” (as defined in the Employment Letter Agreement), Avon will make such payment to you no later than the end of the calendar year following the year in which you pay the Excise Taxes (as defined in the Employment Letter Agreement) that
are being “grossed-up” by the Gross-Up Payment. 
 Executive Severance Summary. An Executive Severance Summary was attached to the
Employment Letter Agreement, for which clarifying changes are necessary due to Section 409A and other tax law changes affecting qualified retirement plans, including: 
  

	(a)	inserting Section 409A’s six-month wait for severance benefits (cash and perquisites, but excluding health insurance) provided to “specified employees;”
providing that deferrals and payments under Avon’s Deferred Compensation Plan will be governed by the terms of the Plan, as amended to comply with Section 409A; and limiting the end of the exercise period for any stock option to a date no
later than the original expiration date of such option, which is required in order to maintain the stock option’s exemption from Section 409A’s rules; and 

  

	(b)	eliminating the right to defer severance payments to, and limiting the crediting of severance pay and severance periods under, Avon’s tax-qualified retirement plans.

 You agree that the payments and benefits to which you are entitled under the Executive Severance Summary will be those to which you are
entitled under the terms of Avon’s severance pay plan and other benefit programs as in effect from time to time, provided that in no event shall the amount of your severance payments, as set forth in the Executive Severance Summary, be reduced
to below twenty-four (24) months at your base salary in effect upon your “separation from service” date. 
  

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 Please sign below to acknowledge your agreement to the terms of this letter and the amendments made by this letter to the
Employment Letter Agreement, and return this letter to me. 
  

			
	Sincerely,
	
	 AVON PRODUCTS, INC.

		
	By:	 	/s/ Kim K.W. Rucker
	Name:	 	Kim K.W. Rucker
	Title:	 	Senior Vice President and General Counsel

 Acknowledged and agreed: 
  

					
	 /s/ Elizabeth A. Smith
	 		 	 11/12/08

	Elizabeth A. Smith	 		 	Date

  

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