Document:

Annual Incentive Plan

 EXHIBIT 10.21 
 EXELON CORPORATION 
 ANNUAL INCENTIVE PLAN

 FOR SENIOR EXECUTIVES 
  

	I.	Establishment. The Exelon Corporation Annual Incentive Plan for Senior Executives (the “Plan”) was originally established by Exelon Corporation (the
“Company”) effective January 1, 2004 for a term of five years. The Plan has been amended, effective January 1, 2009, to extend its term for an additional five years, subject to its approval at the 2009 annual meeting of
shareholders in accordance with Section 162(m) of the Internal Revenue Code. 

  

	II.	Purpose. The purpose of the Plan is to reward achievement of key annual goals, to enhance the Company’s ability to attract, motivate, reward and retain
certain officers and key executive employees, to strengthen their commitment to the success of the Company, to promote the near-term objectives of the Company, and to ensure annual incentive compensation payable to the Company’s
Section 162(m) Executives can be eligible to be tax-deductible by the Company. 

  

	III.	Definitions. 

  

	 	A.	Award means the annual incentive award payable to a Participant hereunder with respect to a Plan Year. 

  

	 	B.	Committee means the members of the Compensation Committee of the Board of Directors of the Company who qualify as “outside directors” within the
meaning of Section 162(m) of the Internal Revenue Code; provided that if there are not at least two such members, then the Committee shall be a committee of at least two “outside directors” as so defined, appointed by the Board of
Directors of the Company and which satisfies any other applicable requirements of the principal stock exchange on which the common stock of the Company is then traded to constitute a compensation committee. 

  

	 	C.	Company means Exelon Corporation and any successor thereto. 

  

	 	D.	Disability means a physical or mental condition on account of which benefits under the long-term disability plan of the Company or Subsidiary, whichever covers
the Participant, have commenced. 

  

	 	E.	Eligible Executive means an Employee who is a member of the Company’s strategy and policy committee (or any successor committee) or whose level is senior
vice president (or any equivalent successor level) or higher. 

  

	 	F.	Employee means an employee of the Company or a Subsidiary employed in an executive or officer level position. 

	 	G.	Incentive Pool means an amount, expressed either as a dollar value or pursuant to an objective formula or performance measure, that is designated by the
Committee as available to fund Awards for a Plan Year pursuant to Section VI.A. 

  

	 	H.	Internal Revenue Code means the Internal Revenue Code of 1986, as amended, and all applicable regulations and rulings thereunder as in effect from time to time.

  

	 	I.	Participant means an Eligible Executive who has been selected by the Committee to participate in the Plan for a particular Plan Year. Unless the context requires
otherwise, the term “Participant” shall include “Part-Year Participants” as defined in Section IV.B. 

  

	 	J.	Performance Goals means the objective performance goal(s) designated by the Committee pursuant to Section VI.B. with respect to an Incentive Pool.

  

	 	K.	Plan means this Exelon Corporation Annual Incentive Plan for Senior Executives as set forth herein and as amended from time to time. 

  

	 	L.	Plan Year means the Company’s fiscal year which, as of the effective date of the Plan, is the calendar year. 

  

	 	M.	Pro-ration Fraction means with respect to a Plan Year the number of days a Part-Year Participant was an Eligible Executive during the Plan Year, divided by 365
(or in the case of a Plan Year of more or less than 365 days, the number of days in the Plan Year). 

  

	 	N.	Required Period means at a time (1) when the outcome of the performance goals established pursuant to Article VI is substantially uncertain and
(2) either (a) before the commencement of the Plan Year or, (b) (i) in the case of a 12-month Plan Year, not later than 90 days after the commencement of such Plan Year, (ii) in the case of a Plan Year shorter than 12
months, after no more than 25% of such Plan Year has elapsed, and (iii) in the case of a Participant who became an Eligible Executive after the first day of the Plan Year, after no more than 25% of the remainder of such Plan Year has elapsed
after the Participant became an Eligible Executive. Any action required to be taken within the Required Period may be taken at a later date to the extent permissible under Section 162(m) of the Internal Revenue Code. 

 

	 	O.	 Retirement means a Participant’s termination of employment other than for “cause” (as defined in the Exelon Corporation Senior
Management Severance Plan as in effect from time to time, or such other employment or severance plan or agreement governing the terms of the Participant’s termination of employment) after attaining age 50 with 10 years of service under the
Company’s applicable defined benefit pension plan (including for this purpose any deemed pension service granted to the Participant under an employment or change in control agreement to the extent any

  

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applicable vesting or other conditions to such deemed service have been satisfied upon such termination of employment). 

  

	 	P.	Section 162(m) Executive means an Eligible Executive who is a “covered employee” as defined in Section 162(m) of the Internal Revenue Code.

  

	 	Q.	Subsidiary means a business which is affiliated through common ownership with the Company, and which is designated by the Committee as an employer whose
employees may be eligible to participate in the Plan, but only with respect to such period of affiliation. 

  

	IV.	Participation. 

  

	 	A.	Generally. Within the Required Period at the beginning of each Plan Year, the Committee shall designate the Participants (if any) for such Plan Year. Any
individual who is an Eligible Executive as of the first day of the Plan Year may be designated as a Participant. 

  

	 	B.	Individuals Who Become Eligible Executives During a Plan Year. An individual who becomes an Eligible Executive after the first day of a Plan Year may be
designated as a Participant for the remainder of the Plan Year (a “Part-Year Participant”) at any time within the Required Period after becoming an Eligible Executive. 

  

	V.	Administration. 

  

	 	A.	The Committee shall administer the Plan. 

  

	 	B.	The Committee shall have full and complete authority to establish any rules and regulations it deems necessary or appropriate relating to the Plan, to interpret and
construe the Plan and those rules and regulations, to correct defects and supply omissions, to determine who shall become Participants for any Plan Year, to determine the performance goals and other terms and conditions applicable to each Award
(including the extent to which any payment shall be made under an Award in the event of a change in control of the Company), to certify the achievement of performance goals and approve all Awards (subject to Section VII.B.), to determine whether and
to what extent Awards may be paid on a deferred basis, to make all factual and other determinations arising under the Plan, and to take all other actions the Committee deems necessary or appropriate for the proper administration of the Plan.

  

	 	C.	Notwithstanding the foregoing, the Committee shall not be authorized to increase the amount of the Award payable to a Section 162(m) Executive that would otherwise
be payable under the terms of the Plan or an Award. 

  

	 	D.	 The Committee may from time to time delegate the performance of its ministerial duties under the Plan to the Company’s Vice President of Corporate
Compensation or

  

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such other person or persons as the Committee may select; except that the power or authority of the Committee shall not be delegated to the extent such delegation would cause any Award
payable to a Section 162(m) Executive to fail to be tax-deductible under Section 162(m) of the Internal Revenue Code, including but not limited to the responsibility to certify the extent to which performance goals have been attained.

  

	 	E.	Subject to Section VII.B., the Committee’s administration of the Plan, including all such rules and regulations, interpretations and construals, selections,
factual and other determinations, approvals, decisions, delegations, amendments, terminations and other actions, as the Committee shall see fit shall be final and binding on the Company and its Subsidiaries, stockholders and all employees, including
Participants and their beneficiaries. Any decision made by the Committee in good faith in connection with its administration of or responsibilities under the Plan shall be conclusive on all persons. 

  

	 	F.	The Committee may, subject to the limitations described in paragraph D. above, engage and rely on the advice of such advisors, consultants or data as it considers
necessary or desirable in selecting eligible key employees, in designating applicable Performance Goals, and in determining attainment of performance goals and the amount of incentive awards under the Plan, and in performing its other duties under
the Plan. 

  

	 	G.	The Company and/or its participating Subsidiaries shall pay the costs of Plan administration. 

  

	VI.	Performance Goals. 

  

	 	A.	 Establishment of Incentive Pool(s). Within the Required Period for each Plan Year, the Committee shall establish in writing one or more
Incentive Pools from which Awards (if any) will be paid for such Plan Year, and shall designate the Participants eligible to share in each such Incentive Pool (subject to the Committee’s right to add new Participants during the Plan Year in
accordance with Section IV.B. above). The amount available under each Incentive Pool (or portion thereof) shall be based on the attainment of one or more specified Performance Goals, weighted in such manner as the Committee determines, and may, but
need not be based on or contingent upon the level of achievement of threshold or target or maximum performance (as set by the Committee) of the stated Performance Goals. As soon as reasonably practicable after the end of each Plan Year the Committee
shall certify in writing the level of attainment of each Performance Goal applicable to each Incentive Pool (or portion thereof) and the amount, if any, of each such Incentive Pool. The Committee shall certify the amount of each Participant’s
maximum Award for each Plan Year within a reasonable time after the end of such year. If the Company or a Subsidiary or other business unit fails to meet a threshold or other minimum applicable Performance Goal, if any, established for it for a Plan
Year, the applicable Incentive Pool shall not be funded to that extent and no related payment shall be made with respect to Awards to Participants employed by the Company or such Subsidiary or business unit for such

  

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year, as the case may be and, to the extent other (e.g., target or maximum) performance goals are established with respect to an Incentive Pool, the funding of such Incentive Pool shall not
exceed the maximum amount that could be paid based on the extent to which the Committee determines that such goals in excess of threshold or other minimum goals are actually achieved. 

  

	 	B.	Performance Goals. The Performance Goals for each Plan Year may be based upon the performance of the Company or any Subsidiary, division, business unit or
individual for the Plan Year, using one or more of the following measures as selected by the Committee: (1) cumulative shareholder value added, (2) customer satisfaction, (3) revenue, (4) primary or fully-diluted earnings per
share, (5) net income, (6) total shareholder return, (7) earnings before interest, taxes, depreciation and amortization (or any combination thereof), (8) cash flow(s), including operating cash flows, free cash flow, discounted
cash flow return on investment and cash flow in excess of cost of capital (or any combination thereof), (9) economic value added, (10) return on equity, (11) return on capital, (12) return on assets, (13) net operating
profits after taxes, (14) stock price increase, (15) return on sales, (16) debt to equity ratio, (17) payout ratio, (18) asset turnover, (19) ratio of share price to book value of shares, (20) price/earnings ratio,
(21) employee satisfaction, (22) diversity, (23) market share, (24) operating income, (25) pre-tax income, (26) safety, (27) diversification of business opportunities, (28) expense ratios, (29) total
expenditures, (30) completion of key projects, (31) dividend payout as percentage of net income, (32) direct margin, (33) expense reduction, or (34) any individual performance objective which is measured solely in terms of
quantitative targets related to the Company, any Subsidiary or the Company’s or Subsidiary’s business. Such individual performance measures related to the Company, any Subsidiary or the Company’s or Subsidiary’s business may
include: (a) production-related factors such as generating capacity factor, performance against the INPO index, generating equivalent availability, heat rates and production cost, (b) transmission and distribution-related factors such as
customer satisfaction, reliability (based on outage frequency and duration), and cost, (c) customer service-related factors such as customer satisfaction, service levels and responsiveness and bad debt collections or losses, and
(d) relative performance against other similar companies in targeted areas. Each Performance Goal may be expressed on an absolute or relative basis and may include comparisons based on current internal targets, the past performance of the
Company, its Subsidiaries or business units or the past or current performance of other companies (including industry or general market indices), or a combination of any of the foregoing, and may be applied at various organizational levels.

  

	 	C.	 Impact of Extraordinary Items or Changes in Accounting. The measures used in establishing Performance Goals for a Plan Year shall be determined
in accordance with generally accepted accounting principles (“GAAP”) and in a manner consistent with the methods used in the Company’s audited consolidated financial statements (in each case, to the extent applicable), without regard
to (i) non-cash impairments, gains or losses on the sale or other disposition of assets or businesses, or severance charges or (ii) changes in accounting, unless, in each case, the Committee decides otherwise

  

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within the Required Period for the Plan Year or as otherwise required or permitted under Section 162(m) of the Internal Revenue Code. 

  

	VII.	Determination of Award Amounts for Any Plan Year. 

  

	 	A.	Maximum Awards. The maximum Award payable to any Participant with respect to a Plan Year shall be the lesser of five million dollars ($5,000,000.00) or a portion
of the Incentive Pool(s) applicable to such Participant determined as follows: 

  

	 	1.	If the Chief Executive Officer is a Participant, the Chief Executive Officer’s maximum Award shall be an amount equal to not more than 25% of the amount of each
Incentive Pool in which he or she participates for the Plan Year. 

  

	 	2.	The portion of each Incentive Pool not allocated to the Chief Executive Officer (e.g., the remaining 75% of an Incentive Pool in which the Chief Executive Officer
participates and 100% of any other Incentive Pool) shall be divided into shares. There shall be one share for each Participant who is initially designated by the Committee for the Plan Year plus, for each Part-Year Participant, one share multiplied
by such Part-Year Participant’s Pro-ration Fraction. The number of shares shall not be reduced in the event a Participant for any reason fails to receive an Award. Thus the number of shares may be increased (thereby reducing the value of each
share) but not decreased during the Plan Year. The maximum Award for a Participant shall be one share, and the maximum Award for each Part-Year Participant shall be one share times such part-Year Participant’s Pro-ration Fraction.

  

	 	B.	Committee Discretion to Determine Amount of Award. The Committee shall have absolute discretion to reduce the amount of the Award payable to any Participant for
any Plan Year below the maximum Award determined under Section VII.A., and the Committee may decide not to pay any Award to a Participant for the Plan Year, based on such criteria, factors and measures as the Committee in its sole discretion may
determine, including but not limited to individual performance or impact and financial and other performance or financial criteria of the Company, a Subsidiary or other business unit in addition to those listed in Section VI.B. The reduction of the
Award payable to any Participant (or the decision of the Committee not to pay an Award to a Participant for a Plan Year) shall not affect the maximum Award payable to any other Participant for such Plan Year. Notwithstanding the foregoing, the
Committee’s determination of the Award for officers at the level of Executive Vice President and above shall be subject to ratification by the Company’s Board of Directors. The Committee shall certify the amount of the Award to be paid to
each Participant. 

  

	 	C.	Effect of Termination of Employment. 

  

	 	1.	 Except in the case of a Participant who has a termination of employment during a Plan Year on account of Retirement, death or Disability, a Participant
must be an

  

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Employee at the end of a Plan Year to be eligible to receive an Award for that Plan Year. A Participant will become entitled to an Award with respect to a Plan Year on the later to occur of the
end of the Plan Year for which the Award is determined and the date the Committee certifies the amount of the Award to which the Participant is entitled for such year by written communication to the Participant, provided that such certification will
occur and Awards for a Plan Year which will be paid within two and one-half months after the end of the Plan Year. No portion of an Award shall be treated as earned by a Participant prior to such date. 

  

	 	2.	A Participant who has a termination of employment prior to the last day of a Plan Year on account of Retirement, death or Disability shall be eligible to receive an
Award for such Plan Year, the amount of which shall be determined by the Committee in its sole discretion but which shall not exceed the maximum amount determined under Section VII.A. 

  

	 	3.	Notwithstanding the foregoing, if a Participant is employed pursuant to an employment agreement between the Participant and the Company or a Subsidiary which has been
approved by the Compensation Committee, (an “Employment Agreement”) or is subject to another separation or change in control plan or policy of the Company, and such Employment Agreement, plan or policy provides other applicable rules or
procedures for the determination of the Participant’s incentive award and entitlement thereto in the event of termination of employment, the provisions of such Employment Agreement, plan or policy shall be controlling with respect to the
determination of the amount of, and the Participant’s entitlement to, any Award under the Plan with respect to the Participant in the event of the Participant’s termination of employment. 

  

	 	D.	Source, Time and Manner of Payment, Interest. Each Participant’s Award for a Plan Year shall be paid in cash, solely from the general assets of the Company
or its Subsidiaries, without interest, as soon as reasonably practicable after the Committee certifies the amount of the Award, but not later than two and one-half months after the end of the Plan Year for which such Award is payable. Any Awards
payable to Participants who have had a termination of employment during the Plan Year on account of Retirement, death or Disability shall be payable at the same time other Participants receive Awards under the Plan. 

  

	 	E.	 Designation of Beneficiaries. Each Participant from time to time may name any person or persons (who may be named concurrently, contingently or
successively) to whom the Participant’s Award under the Plan is to be paid if the Participant dies before receipt of the Award. Each such beneficiary designation will revoke all prior designations by the Participant, shall not require the
consent of any previously named beneficiary, shall be in a form prescribed or permitted by the Company’s Vice President of Corporate Compensation, and will be effective only when filed with the Company’s Vice President of Corporate
Compensation during the Participant’s lifetime. If a Participant fails to so designate a beneficiary before death, or if the

  

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beneficiary so designated predeceases the Participant, any Award payable after the Participant’s death shall be paid to the Participant’s estate. 

  

	VIII.	No Assignment of Rights. No Participant or other person shall have any right, title or interest in any Award under this Plan prior to the payment thereof to such
person. The rights or interests of Participants under this Plan shall not be subject in any manner to anticipation, alienation, sale, transfer, assignment pledge, encumbrance, charge, garnishment, execution or levy of any kind, either voluntarily or
involuntarily, and any attempt to anticipate, alienate, sell, transfer, assign, pledge, encumber, charge, garnish, execute on, levy or otherwise dispose of any right to an Award or any payment hereunder shall be void. 

  

	IX.	No Greater Employment Rights. The establishment or continuance of the Plan shall not affect or enlarge the employment rights of any Participant or constitute a
contract of employment with any Participant, and nothing herein shall be construed as conferring upon a Participant any greater rights to employment than the Participant would otherwise have in the absence of the adoption of this Plan.

  

	X.	No Right to Ongoing Participation. The selection of an individual as a Participant in the Plan for any Plan Year shall not require the selection of such
individual as a Participant for any subsequent Plan Year, or, if such individual is subsequently so selected, shall not require that the same opportunity for incentive award provided the Participant under the Plan for an earlier Plan Year be
provided such Participant for the subsequent Plan Year. 

  

	XI.	No Personal Liability. Neither the Company, its Subsidiaries nor any Committee member or its delegate shall be personally liable for any act done or omitted to
be done in good faith in the administration of the Plan. 

  

	XII.	Unfunded Plan. No Participant or other person shall have any right, title or interest in any property of the Company or its Subsidiaries, and nothing herein
shall require the Company or any Subsidiaries to segregate or set aside any funds or other property for the purpose of making any payment under the Plan. 

  

	XIII.	Facility of Payment. When a person entitled to an incentive award under the Plan is under legal disability, or, in the Committee’s opinion, is in any way
incapacitated so as to be unable to manage such person’s affairs, the Committee may direct the payment of an incentive award directly to or for the benefit such person, to such person’s legal representative or guardian, or to a relative or
friend of such person. Any payment made in accordance with the preceding sentence shall be a full and complete discharge of any liability for such payment under the Plan, and neither the Committee nor the Company or any Subsidiary shall be under any
duty to see to the proper application of such payment. 

  

	XIV.	Withholding for Taxes and Benefits. The Company and its Subsidiaries, as applicable, may withhold from any payment to be made by it under the Plan all
appropriate deductions for employee benefits, if applicable, and such amount or amounts as may be required for purposes of complying with the tax withholding obligations under federal, state and local income and employment tax laws.

  

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	XV.	Amendment and Termination. The Board of Directors may amend the Plan at any time and from time to time, in whole or in part, and may terminate the Plan at any
time, which amendment or termination may include the modification, reduction or cancellation of any prospective Award hereunder which has not been earned and vested pursuant to the terms of the Plan prior to the time of any such amendment or
termination, provided that no such amendment or termination shall change the terms and conditions of payment of any Award the final amount of which the Committee has certified to a Participant. Notwithstanding the foregoing, any amendment to the
Plan that changes the class of Employees eligible to participate, changes the Performance Goals, or increases the maximum dollar amount that may be paid to a Participant for a Plan Year shall not be effective with respect to Section 162(m)
Executives unless such amendment is approved by the holders of the Company’s common stock. 

  

	XVI.	Section 162(m) and Section 409A Conditions. The Company intends for the Plan and any Awards to satisfy, and to be interpreted in such manner as to
satisfy the provisions of Section 162(m) of the Internal Revenue Code with respect to all Section 162(m) Executives. The Company also intends for the Plan to be exempt from Section 409A of the Internal Revenue Code. Any provision,
application or interpretation of the Plan that is inconsistent with such intent shall be disregarded. The Company shall have the discretion and authority to amend the Plan at any time to satisfy any requirements of such Sections of the Internal
Revenue Code or guidance provided by the U.S. Treasury Department to the extent applicable to the Plan. 

  

	XVII.	Applicable Law. The Plan shall be construed under the laws of the State of Illinois, other than its laws with respect to choice of laws.

  

 9Offer Letter

 Exhibit 10.1 
  

					
	 

	  	Ingersoll-Rand plc	  	U.S. Mailing Address
	  	170/175 Lakeview Drive	  	800-E Beaty Street
	  	Airside Business Park	  	P.O. Box 940
	  	Swords, Co. Dublin, Ireland	  	Davidson, NC 28036
	  	Tel: +353 1 870 7400	  	Tel: 704-655-5822
	  	Fax: +353 1 870 7401	  	Fax: 704-655-5815

 Herbert L. Henkel 
 Chairman of the Board 
 February 3, 2010 
 Mr. Michael W. Lamach 
 107 Eastham Court 
 Mooresville, NC 28117 
 Dear Mike: 
 Congratulations on your promotion to
President and Chief Executive Officer (“CEO”) for Ingersoll-Rand plc (the “Company”) effective on February 3, 2010. This position will be located in Davidson, North Carolina. The following is an addendum to the terms of your
employment agreement dated December 24, 2003, which was amended on June 4, 2008 and again on February 4, 2009. The following summarizes your compensation and benefits in this new role. 
  

	1.	Effective on February 3, 2010, your annual base salary as President and CEO will increase from $700,000 to $1,000,000 (one million U.S. dollars), paid monthly.

  

	2.	Effective for fiscal year 2010, your Annual Incentive Matrix (“AIM”) target opportunity will increase from 110% to 150% of your base salary. The actual AIM
award paid is dependent on your performance and the performance of Ingersoll-Rand plc. This award will be determined by the Compensation Committee of the Board of Directors (“Committee”) based on performance against pre-established
financial, operational and strategic objectives for the Company as well as your own individual performance. 

  

	3.	Effective for fiscal year 2010, the value of your annual equity target opportunity has been increased from $900,000 to $2,750,000. The Committee will use this new
target when determining your 2010 grant which will occur on or about February 16, 2010. Your 2010 equity grant will be comprised entirely of stock options. Annual equity grants are contingent on your sustained performance and demonstrated
leadership and may vary from the target opportunity. 

  

	4.	Effective for fiscal year 2010, the value of your annual Performance Share Unit (“PSU”) target opportunity has been increased from $900,000 to $2,750,000. The
Committee will use this new target when determining your grant for the 2010 to 2012 performance period, which will occur on or about February 16, 2010. The actual number of shares paid out at the end of the performance period is based on
Ingersoll-Rand plc Earnings per Share (“EPS”) growth from continuing operations relative to S&P Industrial peers. 

	5.	The terms of your Change-in-Control agreement will remain unchanged. 

  

	6.	In the event your employment with Ingersoll Rand were to involuntarily terminate (other than for cause), you would be eligible to receive a severance payment equal to
two times the sum of your current annual base salary plus a prorated AIM award for the current year based on days worked and determined on full year performance results (paid in February of the following year according to the terms of plan). This
severance payment is subject to signing a release in the form acceptable to the Company. 

  

	7.	With the exception of the Executive Deferred Compensation Plan (“EDCP”), to which you may no longer contribute, you will continue to participate at your
current level in the following plans: Elected Officer Supplemental Program (“EOSP”), non-qualified excess plans, executive long-term disability plan, executive car program, financial counseling program, and the executive health program.

  

	8.	Your share ownership guideline will increase from 75,000 to 150,000 shares pursuant to the policy established for the CEO position. You will have five years from the
date of your appointment as President and CEO to achieve this level of share ownership. 

  

	9.	For security and safety reasons, you are required to use company-provided aircraft for both business and personal reasons. Ingersoll-Rand will pay up to $150,000
annually for personal use of the company-provided aircraft, based on any incremental cost realized by the Company as determined under Security and Exchange Commission (“SEC”) rules. Furthermore, you will not be grossed-up for any personal
individual income tax incurred when company provided aircraft is used for personal business. Lastly, family members can accompany you on personal/business trips; however, they may not use the company provided aircraft if you are not accompanying
them. 

 As I am sure you can appreciate, your role provides you with the most intimate knowledge of our Company, its products and
its people. You acknowledge herein your understanding of the Confidentiality Provisions of the Code of Conduct and of other Documents, e.g., Agreement Concerning Inventions and Proprietary Information. 
 In addition, part of your above described compensation is in specific consideration for you providing reasonable Non-Solicitation, Non-Compete, and
Non-Disparagement assurances to us should you depart from the Company for any reason. Such provisions are described herein: 
  

	10.	Non-Solicitation: For a period of two years following the end of your employment, you agree not to directly or indirectly recruit or attempt to recruit or hire any
employee(s), sales representative(s), agent(s) or consultant(s) of the Company to terminate their employment, representation or other association with the Company without the prior written consent of the Company. 

  

	11.	Non-Compete: For a period of two years following the end of your employment, you agree to refrain from competing with the Company with respect to any aspect of its
businesses, including without limitation, the design, manufacture, sale or distribution of similar or competitive products as an employee or consultant/representative/owner of a competitor of the Company. 

  

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	12.	Non-Disparagement: From your departure and in perpetuity, you further agree not to make any statement or criticism that could reasonably be deemed to be adverse to the
interests of the Company or its current or former officers, directors, or employees. Without limiting the generality of the foregoing, this includes any disparaging statements concerning, or criticisms of, the Company and its current or former
directors, officers or, employees, made in public forums or to the Company’s investors, external analysts, customers and service providers. 

 You agree that any violation of these commitments will be a material breach by you of the above terms. You will also be liable for damages (both compensatory and punitive) incurred by the Company as a
result of the Breach of any Confidentiality or Breach of the above paragraphs 10 - 12. 
 Mike, congratulations again on your promotion and I
wish you much success as CEO. If you have any questions regarding the changes in your compensation and benefits, please contact Marcia Avedon or Jeff Blair. 
  

	
	Best Regards,
	
	/s/ Herbert L. Henkel
	
	Herbert L. Henkel
	Chairman of the Board

  

	cc:	Marcia Avedon 

 Jeff Blair

 Offer Accepted By: 
  

					
	       /s/ Michael W. Lamach
	 		 	       02/03/10

	Michael W. Lamach	 		 	Date

  

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