Document:

The Prudential Insurance Company of America Deferred Compensation Plan

 Exhibit 10.1 

 
 THE PRUDENTIAL INSURANCE COMPANY OF AMERICA 

 
 DEFERRED COMPENSATION PLAN 

 
 (UNLESS OTHERWISE NOTED, 

AS AMENDED AND RESTATED EFFECTIVE AS OF OCTOBER 10, 2011) 

 
 This document constitutes part of a prospectus covering
securities that have been registered 
 under the Securities Act of 1933. 
  
  

 THE PRUDENTIAL INSURANCE COMPANY OF AMERICA 

 
 DEFERRED COMPENSATION PLAN 

 
 ARTICLE I—PURPOSE, EFFECTIVE DATE 

 

	1.1	Purpose 

  

The purpose of The Prudential Insurance Company of America Deferred Compensation Plan (the “Plan”) is to provide the opportunity
for selected employees to defer, subject to the Plan’s terms, a portion of their incentive compensation and have it accumulate on a tax-deferred basis. The Plan is intended to be, and shall be administered as, an unfunded plan maintained for
the purpose of providing deferred compensation for a select group of management or highly compensated employees within the meaning of Title I of ERISA (as defined below). 

 

	1.2	Effective Date 

  

The Plan, as hereby amended and restated, is generally effective as of October 10, 2011, unless specifically noted otherwise.

  
 ARTICLE II—DEFINITIONS 

 
 For the purposes of this Plan, the following terms shall have
the meanings indicated, unless the context clearly indicates otherwise: 
  
 “Account” means the bookkeeping convention device used by the Employer to measure and determine the amount to be paid to a Participant under the Plan, which shall be bifurcated into a Pre-2005
Account and a Post-2004 Account, to the extent provided in Section 6.1 hereof. 
  
 “Annual Compensation” means, for purposes of determining general eligibility to participate in the Plan under Section 3.1(a)(iii) and for purposes of determining “Eligible
Compensation” for Insurance Sales Agents referenced at Section 3.2(a)(iv), (a) for such Insurance Sales Agents, the total compensation received by such employee that is reportable on Form W-2 as gross income for any Plan Year; and
(b) for all other Employees, such Employee’s gross salary and incentive bonus (including any sales bonus) payable in any Plan Year. 
  

“Beneficiary” or “Beneficiaries” means the person, persons or entity entitled under Article V to receive any Plan
benefits payable after a Participant’s death. 
  

“Board” means the Board of Directors of the Company. 

 
 “Code” means the Internal Revenue Code of 1986, as
amended from time to time (including, but not limited to, any regulations or other interpretative guidance promulgated under the Code by the U.S. Department of the Treasury or the Internal Revenue Service, as applicable, which also may be cited
separately as “Treasury Regulations” for purposes of this Plan). 
  
 “Committee” shall have the meaning set forth in Section 7.1. 
  

“Company” means The Prudential Insurance Company of America. 
  
 “Company Retirement Plan” means either (a) The Prudential Traditional Retirement Plan Document,
or (b) the Prudential Cash Balance Pension Plan Document, both components of The Prudential Merged Retirement Plan. 
  

“Continuing Service Participant” means a Participant who ceases to be an employee of, but continues to provide services to, any
of the 409A Service Recipients following his Retirement or Termination of Employment, or is reasonably expected (at the time of such Retirement or Termination of Employment) to provide services to any of the 409A Service Recipients within 12 months
of such termination of employment. 

 “Corporate Compensation” has the meaning set forth in Section 7.1.

  
 “Deferral Commitments” has the meaning
set forth in Section 3.2(b). 
  
 “Deferral
Period” means, for each Participant, the period of time commencing on the first day of the Plan Year in which Eligible Compensation would otherwise be payable unless deferred pursuant to the terms of the Plan, and ending on the date elected by
the Participant (or otherwise determined under the Plan) as provided for in Article III and Article IV. 
  

“Disability” means the first date on or prior to the Participant’s Termination of Employment as of which such Participant
qualifies for long-term disability benefits under the Company’s Welfare Benefits Plan, or comparable long-term disability benefits plan or program sponsored by the Employer or Participating Subsidiary, if applicable. 

 
 “Eligible Compensation” shall have the meaning set
forth in Section 3.2(a). 
  
 “Eligible
Employee” shall have the meaning set forth in Section 3.1(a). 
  
 “Employer” means the Company and any successor of the Company as designated by the Board. 
  

“Employee” generally means, as of any relevant date, any individual who is compensated by the Employer or any Participating
Subsidiary for services actually rendered as either a common law employee or as a statutory employee under Code Section 3121(d)(3) (relating to full time life insurance salesman) including, for these purposes and to the degree not specifically
described above, agents and other insurance sales Agents of the Employer and any Participating Subsidiary. The term “Employee,” however, for purposes of Section 3.1 of this Plan, does not include: (a) any individual who is on a
paid or unpaid leave of absence from the Company or any Participating Subsidiary; (b) any individual who is on Disability; (c) any individual who is receiving severance or similar benefits related to a Termination of Employment from a
severance plan or program sponsored or maintained by the Company, any Participating Subsidiary, or any other affiliate of the Company; or (d) any employee or agent of a subsidiary or an affiliate of the Company that is not a Participating
Subsidiary at such time as the Deferral Commitment for a particular Plan Year must be made, unless otherwise provided for in Exhibit A. 
  

“ERISA” means the Employee Retirement Income Security Act of 1974, as amended from time to time (including, but not limited to,
any regulations or other interpretative guidance promulgated under ERISA by either the U.S. Department of Labor, the Internal Revenue Service (with respect to Title II of ERISA), or the Pension Benefit Guaranty Corporation (with respect to Title IV
of ERISA), as applicable). 
  
 “409A Service
Recipients” means the Company and each other entity which is in the same controlled group of affiliated employers as the Company, as determined in accordance with the rules under Section 414(b) and (c) of the Code. 

 
 “Financial Hardship” means severe financial
hardship to the Participant resulting from a sudden and unexpected illness or accident of the Participant or of a dependent (as defined in Section 152(a) of the Code) of the Participant, loss of the Participant’s property due to casualty,
or other similar extraordinary and unforeseeable circumstances arising as a result of events beyond the control of the Participant. The circumstances that will constitute a Financial Hardship will depend upon the facts of each case, but in any case,
payment may not be made to the extent that such hardship is or may be relieved: 
  

	 	(a)	Through reimbursement or compensation by insurance or otherwise; 

  

	 	(b)	By liquidation of the Participant’s or Participant spouse’s assets, to the extent the liquidation of such assets would not itself cause severe financial
hardship; or 

  

	 	(c)	By cessation of deferrals under the Plan. 

 For purposes of the definition of the term “Financial Hardship,” the term “unforeseeable
emergencies” does not encompass sending a Participant’s dependent to college or the desire to purchase a home, and is intended to be interpreted consistent with the definition of the term under Treasury Regulations
Section 1.457-2(h)(4). 
  
 “Hardship
Withdrawal” has the meaning set forth in Section 4.3. 
  
 “Insurance Sales Agents,” “Insurance Sales Agents,” ,” and “Home Office Sales Professionals,” as used in Article III, refer to Employees of the Employer or any
Participating Subsidiary performing such functions as such terms are generally understood within the Employer or such Participating Subsidiary. 
  

“Insurance Sales Matching Contributions” has the meaning set forth in Section 3.2(c). 

 
 “Participant” means (a) an Employee who has
satisfied the eligibility requirements of Article III for any Plan Year and (b) has amounts credited to his or her Account under the terms of Article VI. 
  

“Participating Subsidiary” means the following affiliates of the Employer as of the Plan’s Effective Date: PruLease, PAMCO,
Prudential Investment Corporation, Prudential Bank & Trust, INTECH, Prudential Mutual Funds LLC, Prudential Real Estate Affiliates, PTC Services, Inc., Prudential HR Management Company, Prudential Mortgage Capital Company LLC, and
Prudential Financial, Inc. (effective as of January 1, 2002). In addition to these entities, the term “Participating Subsidiary” means 
  

	 	(a)	any affiliate of the Employer, including, but not limited to 

  

	 	(i)	any member of a “controlled group of corporations” (as such term is defined in Code Section 1563(a), without regard to the limitations of Code Sections
1563(a)(4) and 1563(e)(3)(C)) of which the Employer is a member, 

  

	 	(ii)	any trade or business, whether incorporated or not, which for any part of a Plan Year is considered to be under common control with the Employer under Code
Section 414(c), 

  

	 	(iii)	any member of an affiliated service group (as such term is defined under Code Section 414(m)) of which the Employer is a member; and 

 

	 	(b)	that the Compensation Committee of the Board as of the Effective Date or hereafter has designated as an entity whose employees may be eligible to participate under the
applicable terms of the Plan. 

  

“Participation Agreement” means the agreement submitted by a Participant to the Committee (or its representative, Corporate
Compensation (including any Plan Administrator designated by Corporate Compensation)) prior to the beginning of the Deferral Period, with respect to a Deferral Commitment made for such Deferral Period. 

 
 “Plan” means this Deferred Compensation Plan as
amended from time to time. 
  
 “Plan Year”
means the calendar year. 
  
 “Post-2004
Account” means a sub-account established within a Participant’s Account pursuant to Section 6.1 to separately record the portion, if any, of a Participant’s Account which is attributable to Eligible Compensation that had been
credited to such Account and which was earned or vested after December 31, 2004, and earnings thereon. 
  

“Pre-2005 Account” means a sub-account established within a Participant’s Account pursuant to Section 6.1 to
separately record the portion, if any, of a Participant’s Account which is attributable to Eligible Compensation that had been credited to such Account and which was earned and vested as of December 31, 2004, and earnings thereon.

  
 “Prudential Cash Balance Pension Plan”
means the Prudential Cash Balance Pension Plan Document, a component of the Company Retirement Plan. 

 “Prudential Traditional Retirement Plan” means The Prudential Traditional
Retirement Plan Document, a component of the Company Retirement Plan. 
  
 “Restricted Investment Option” means any investment option (e.g., the Prudential Financial, Inc. Common Stock Fund or the Prudential Retirement Real Estate Fund) designated as available
for the notional investment of Participants’ Accounts that the Plan Administrator shall from time to time have designated as subject to such restrictions or conditions on notional investment transfers (whether into or out of such investment
option), withdrawals or distributions as the Plan Administrator shall establish from time to time. 
  
 “Retires” or “Retirement” means a Participant’s Termination of Employment (as defined below, including the special provisions applicable to a Continuing Service Participant) on or
after the earliest date on which he or she satisfies any of the following conditions: (i) has attained age 50 and has completed 20 years of service; (ii) has attained age 55 and has completed 10 years of service or
(iii) has attained age 65. Whether a Participant Retires or has reached Retirement shall be determined regardless of whether, as of the date of his or her Termination of Employment, the Participant has commenced receipt of his or her
Pension from the Prudential Traditional Retirement Plan or any comparable retirement plan sponsored by the Employer or Participating Subsidiary. 
  

“Termination of Employment” means a Participant’s separation from service from the 409 Service Recipients for any reason
other than death; provided however, that, in the case of any Continuing Service Participant, the term Termination of Employment or Retirement (and any similar terms used in this Plan) shall be deemed to refer to the date at which such
Participant incurs a “separation from service,” within the meaning of Section 409A of the Code and the regulations promulgated thereunder, from the 409A Service Recipients. This means that rather than being entitled to receive a
distribution hereunder upon, or at a specified time following, a termination of employment, a Continuing Service Participant shall only be entitled to receive such distribution upon, or at a specified time following, such a separation from service.

  
 “Unforseeable Emergency” means is a
severe financial hardship to the Participant resulting from an illness or accident of the Participant or the Participant’s spouse or dependents; loss of the Participant’s property due to casualty; or other similar extraordinary and
unforeseeable circumstances arising as a result of events beyond the control of the Participant. Whether a Participant has an Unforseeable Emergency shall be determined on the particular facts and circumstances pertaining to such Participant, in
accordance with the provisions of Section 409A of the Code and the regulations promulgated thereunder. 
  

ARTICLE III— 
 ELIGIBILITY, PARTICIPATION AND DEFERRAL COMMITMENTS 
  

	3.1	Eligibility and Participation 

  

	 	(a)	Eligibility. Eligibility to participate in the Plan shall be limited to any one of the following Employees (each, an “Eligible Employee”) who is:

  

	 	(i)	at Vice President rank (Grade 06P) and above; 

  

	 	(ii)	at Managing Director rank and above; and/or 

  

	 	(iii)	the following select group of management and highly compensated Employees who satisfy the Annual Compensation thresholds set forth below as of the particular Plan Year
(if noted): 

  

	 	(A)	For Plan Year 2000 Deferral Commitments only: 

  

	 	(I)	An Investment Professional at Senior Vice President and Vice President rank whose Annual Compensation exceeds (or is anticipated to exceed) $200,000 in any Plan Year;
and 

  

	 	(II)	An Institutional and Retirement Sales Professional at Vice President rank whose Annual Compensation exceeds (or is anticipated to exceed) $250,000 in any Plan Year;

	 	(B)	For Plan Year 2001 Deferral Commitments and beyond: 

  

	 	    	A Home Office Sales Professional at grade PRD and above or at grade 540 and above whose Annual Compensation exceeds (or is anticipated to exceed) $200,000 (or such
greater or less amount as the Committee shall specify from time to time, to be effective as of any future Plan Year) in any Plan Year; and/or 

  

	 	(C)	An Insurance Sales Agent whose Annual Compensation exceeds (or is anticipated to exceed) $100,000 (or such greater or less amount as the Committee shall specify from
time to time, to be effective as of any future Plan Year) for such Plan Year. 

  

	 	(b)	 Participation. An Eligible Employee may elect to participate in the Plan with respect to the Deferral Period by submitting a Participation
Agreement by the 31st day of December, or such other date
specified in the enrollment materials, which must be in the year preceding the Plan Year in which the services in respect of which the Eligible Compensation is payable commence to be performed by the Participant. 

 

	3.2	Deferral Commitments and Insurance Sales Agents Matching Contributions 

 

	 	(a)	Eligible Compensation. The following compensation is eligible for deferral, in whole or in part, under the Plan by an Eligible Employee (“Eligible
Compensation”), on such terms and subject to such conditions and limitations (including, but not limited to, the manner in which a Participation Agreement shall apply to compensation payable in installments over a period of years) as may be
specified in the applicable Participation Agreement: 

  

	 	(i)	Grants under the Employer’s or any Participating Subsidiary’s long-term incentive award plans (including, but not limited to, performance share unit awards
payable in cash), the precise amounts of which, as of the time such Employee may complete a Participation Agreement, are unknown to such Employee; 

 

	 	(ii)	Grants under the Employer’s or any Participating Subsidiary’s sales bonus award plans, the precise amounts of which, as of the time such Employee may complete
a Participation Agreement, are unknown to such Employee; 

  

	 	(iii)	Grants under the Employer’s or any Participating Subsidiary’s annual incentive award plans, the precise amounts of which, as of the time such Employee may
complete a Participation Agreement, are unknown to such Employee; 

  

	 	(iv)	For Insurance Sales Agents described in Section 3.1(a)(iii)(c) above, all amounts in excess of $100,000 (or such greater or less amount as the Committee shall
specify from time to time, to be effective as of any future Plan Year) of Annual Compensation earned during the Plan Year subsequent to the year in which such Employee executes a Participation Agreement in accordance with the terms of
Section 3.4; and 

  

	 	(v)	Grants made after 2010 under the Employer’s or any Participating Subsidiary’s mid-term incentive program, the precise amounts of which, as of the time such
Employee may complete a Participation Agreement, are unknown to such Employee. 

  
 For purposes of this Section 3.2(a), the term “Eligible Compensation” does not include any (a) salary payments made to Eligible Employees (except as may be included under the terms of
Section 3.2(a)(iv) above), (b) any supplemental bonuses paid to an Eligible Employee that are not part of a compensation plan sponsored by the Employer or any Participating Subsidiary, (c) any severance payments paid to an Eligible
Employee, or (d) any amounts under any such long-term incentive award, sales bonus award or annual incentive award plans or other programs or arrangements that are “guaranteed” by the Employer or any Participating Subsidiary to an
Eligible Employee, whether or not as part of an employment or severance agreement with such Eligible Employee, or are otherwise known or determinable by such Employee as of the time of such Eligible Employee’s enrollment in the Plan pursuant to
a Participation Agreement. Notwithstanding anything else contained herein to the contrary, so long as an Eligible Employee completes a Participation Agreement in respect thereof at a time established by Corporate Compensation in compliance with the
requirements of Section 409A of the Code, grants under the 

 
Employer’s or any Participating Subsidiary’s notional carried interest investment plan, as to which the Eligible Employee had an earned and vested right to payment as of
December 31, 2004 and payment of which is made after 2007, shall be treated as Eligible Compensation. 
  

	 	(b)	Form of Deferral. The amount of Eligible Compensation that Eligible Employees may defer under the Plan with respect to services to be performed in any subsequent
Plan Year or Years (the “Deferral Commitment”) shall be indicated on any Participation Agreement as a percentage (in five percent (5%) increments up to eighty percent (80%) or such other increments as the Committee shall specify
from time to time) for Participants that are Insurance Sales Agents; and for all other Participants, a percentage (in five percent (5%) increments up to eighty-five percent (85%) or such other increments as the Committee shall specify from
time to time), of such participant’s annual incentive award or long-term incentive award. 

  

	 	(c)	Insurance Sales Agent Matching Contribution. For any Eligible Employee who is an Insurance Sales Agent and who makes a Deferral Commitment under the Plan in
respect of any Plan Year, an Insurance Sales Agent Matching Contribution shall be made on such Participant’s behalf with respect to the Deferral Commitment in an amount equal to three percent (3%) of such Deferral Commitment.

  

	3.3	Deferral Period 

  

	 	(a)	General Rule. Once the Eligible Employee has completed a Participation Agreement with respect to an amount of Eligible Compensation, a new Deferral Period begins
on the first day of the Plan Year in which the Participant commences the services in respect of which the Eligible Compensation would otherwise be earned unless deferred pursuant to the terms of the Plan. Except as otherwise expressly provided
herein (including, but not limited to, Section 4.1), such new Deferral Period will extend, at the Participant’s election, as set forth in the Participation Agreement, to any of the following: 

 

	 	1)	A specified date in a year subsequent to the year in which the Eligible Compensation deferred under the terms of this Plan would otherwise have been payable to such
Participant; 

  

	 	2)	The Participant’s Retirement; 

  

	 	3)	January of the year following the Participant’s Retirement; or 

 

	 	4)	The Participant’s death, Disability or Termination of Employment; 

 
 provided, however, effective for Plan Years beginning
after Plan Year 2007, (i) to the degree that a Participant has elected a fixed payment date pursuant to clause (1) above that has not occurred at the date of the Participant’s Retirement, payments from the Participant’s Account
will commence, regardless of such fixed date election, on the first anniversary of the Participant’s Retirement, and (ii) in all events, irrespective of the Participant’s election of a specified date, Retirement, January of the year
following Retirement or Disability or Termination of Employment under this Section 3.3, payments shall commence under the Plan no later than the later to occur of (i) the last day of the Plan Year in which any such Participant has attained
age 70 1/2, as determined under the books and records of the Company and (ii) the date on which the minimum additional five year deferral required in respect of a re-deferral election made in accordance with Section 4.1(f) is satisfied.

  

	 	(b)	Special Transition Rule Elections. Notwithstanding the provisions of Section 3.3(a), the Committee may permit any or all Participants, or any class of
Participants, to change either or both the Deferral Period and the distribution elections applicable to all or any specified portion of the Participant’s Post-2004 Account in accordance with, and not later than the latest date specified under,
the special transition relief applicable under the guidance promulgated under Section 409A of the Code. 

  

	 	(c)	Re-deferral Elections. Notwithstanding the provisions of Section 3.3(a) or any election made pursuant to Section 3.3(b) or Section 4.1(f), the Committee
may permit any or all Participants, or any class of Participants, to change the Deferral Period and/or the distribution elections applicable to all or any specified portion of the Participant’s Post-2004 Account in accordance with the
re-deferral election provisions under Section 409A of the Code, as more fully described in Section 4.1(f). 

	3.4	Enrollment 

  

	 	(a)	General Rule. In order for an Eligible Employee to become a Participant under the Plan, the Eligible Employee must complete a Participation Agreement and submit
it to the Committee (or its representative, Corporate Compensation) in the time frame specified in Section 3.1(b). If a Participation Agreement is not received by such date, the Eligible Employee is deemed to have elected not to defer any
Eligible Compensation under the Plan for such subsequent Plan Year. Except as otherwise expressly provided in Section 3.3(b), once received by the Committee (or its representative, Corporate Compensation (including any Plan Administrator
designated by Corporate Compensation)), such election to defer Eligible Compensation is irrevocable by the Eligible Employee. 

  

	 	(b)	Effect of Enrollment in the Event of a Termination of Employment. Effective in respect of compensation payable for services to be commenced in Plan Years
beginning on or after January 1, 2008, if an otherwise Eligible Employee incurs a Termination of Employment after completing a Participation Agreement in respect of services to be performed commencing in such Plan Year, but prior to the
commencement of such Plan Year, such election for that Plan Year will be deemed null and void and no amounts will be credited to the Participant’s Account under the Plan. In the event that an Eligible Employee completed a Participation
Agreement and commenced the services to which such Eligible Compensation relates, such Participation Agreement will continue in full force and effect (to the extent the Participant is otherwise entitled to receive any compensation under the terms of
the plan(s) or agreement(s) governing the payment of such Eligible Compensation). Any amount credited to the Participant’s account following Termination of Employment shall be paid in accordance with the provisions of Article IV applicable with
respect to such Deferral Commitment. 

  

	3.5	Vesting 

  

Participants will, at all times, be fully vested in the notional value of their Account balances under the Plan (which, due to notional
gains, losses and interest, may be greater or lesser than the amount of Eligible Compensation actually deferred under the Plan). 
  

ARTICLE IV—DISTRIBUTIONS 
  

	4.1	Distribution Election Requirements 

  

Except as otherwise expressly provided herein, a Participant may elect to commence to receive a distribution of amounts deferred with
respect to a Deferral Period (i) at a fixed date or (ii) at or within a specified period of time following Retirement; provided, however, that (A) if a Participant has a Termination of Employment prior to
qualifying for Retirement or prior to the occurrence of a specified date on which payments are to commence in respect of a Deferral Period, any distributions to be made under the Plan (other than distributions that have already commenced to be paid
as of a fixed date prior to Termination of Employment) shall be made in connection with such Termination of Employment regardless of the Participant’s election of a different commencement date, and (B) certain other exceptions
specified below may, in specified circumstances, modify a Participant’s election as to the payment commencement date. Upon enrollment in respect of a Deferral Period, in order for the Participation Agreement to be deemed valid by the Committee
(or its representative, Corporate Compensation) in respect of Eligible Compensation, the Participant must elect (i) either a fixed payment commencement date or the time at which distributions will commence following Retirement,
(ii) a general distribution option for amounts deferred under the Plan (other than on account of a Termination of Employment prior to qualifying for Retirement or prior to attaining an elected fixed payment date for the commencement of
such distributions) that will establish a specified schedule for the payment of distributions of the deferred amounts, and (iii) a distribution option that will establish a specified schedule for the payment of distributions of the
deferred amounts in the event of the Participant’s Termination of Employment prior to qualifying for Retirement or prior to attaining an elected fixed payment date for the commencement of such distributions. Except as otherwise expressly
provided herein, a Participant who fails to elect (i) a payment commencement date shall be deemed to have elected to receive a distribution commencing immediately (subject 

 
to Section 4.1(d)) following his or her Termination of Employment (including, where applicable, Retirement)) or (ii) a distribution option (whether under the general rules or in
connection with a Termination of Employment prior to qualifying for Retirement) shall be deemed to have elected a single, lump sum payment. 
  

	 	(a)	Payment Date. Except as otherwise expressly provided herein, Participants will elect a payment date to commence payment of amounts deferred each Plan Year that
they participate in the Plan. The payment date options that a Participant may elect are: 

  

	 	(i)	Retirement; 

  

	 	(ii)	January of the year following Retirement; or 

  

	 	(iii)	A future specified date in a year that is subsequent to the year in which the Eligible Compensation deferred under the terms of this Plan would otherwise have been
payable to such Participant; 

  
 provided that, (A) to the degree that a Participant has elected a fixed payment date pursuant to (iii) above that has not occurred at the date of the Participant’s Retirement,
payments from the Participant’s Account will commence, regardless of such fixed date election, on the first anniversary of the Participant’s Retirement, (B) in all events, irrespective of the Participant’s election of a specified
date, Retirement, or January of the year following Retirement, payments shall commence under the Plan no later than the later of (1) the last day of the Plan Year in which any such Participant has attained age 70 1/2, as determined under the books and records of the Company and
(2) the date on which the minimum additional five year deferral required in respect of a re-deferral election made in accordance with Section 4.1(f) is satisfied and (C) any election to commence distributions upon Retirement or the
January following Retirement shall be subject to the provisions of Section 4.1(d), if applicable to the Participant. 
  

	 	(b)	General Distribution Option. Except as otherwise expressly provided herein, for Participants whose service continues until Retirement or who have elected payment
at a fixed payment date which occurs prior to the date of the Participant’s Termination of Employment, any one of the following general distribution options may be chosen for payments commencing at the payment date determined in accordance with
Section 4.1(a): 

  

	 	(i)	A single, lump sum payment; 

  

	 	(ii)	36 monthly installments; 

  

	 	(iii)	60 monthly installments; or 

  

	 	(iv)	120 monthly installments 

  

	 	(c)	Distribution Option in Case of Termination. Except as otherwise expressly provided herein, for Participants whose service does not continue until Retirement,
distributions which have not been scheduled to commence under the Plan in accordance with the Participant’s elections will commence promptly (and in no event more than 90 days) following such Termination of Employment regardless of any election
made pursuant to Section 4.1(a). A Participant may choose either of the following distribution options in the event that distribution commences on account the Participant’s Termination of Employment prior to qualifying for Retirement:

  

	 	(i)	A single, lump sum payment payable as soon as practicable after such termination; or 

 

	 	(ii)	36 monthly installments beginning January of the year following the Participant’s Termination of Employment. 

 

	 	(d)	 Six Month Delay in Commencement of Distribution in Respect of Specified Employees. Notwithstanding anything else contained in this
Section 4.1 or elsewhere in the Plan to the contrary, any distribution from a Participant’s Post-2004 Account on account of Termination of Employment or Retirement (other than any such event occurring in connection with the
Participant’s death) to a Participant who, at the time such distribution would commence, is a “specified employee” within the meaning of Section 409A and the regulations promulgated thereunder shall not commence earlier than six
months following the date such Participant incurs such Termination of Employment or Retirement. 

	 	 
To the extent that any amount distributable to a Participant is delayed by reason of this Section 4.1(d), such amount shall continue to be held in accordance with the terms of the Plan and
the delayed distribution shall be made on the six month anniversary of the Participant’s Termination of Employment or Retirement. Corporate Compensation shall determine who is specified employee as of each December 31 in accordance with
procedures adopted in compliance with Section 409A, and such determination shall be effective for determining who is a specified employee with respect to distributions commencing in the 12 month period commencing on the next following
April 1 and continuing through the second following March 31. 

  

	 	(e)	 Special Rules for Insurance Sales Agents. Notwithstanding anything else contained herein (other than Section 4.5) to the contrary,
with respect to any Participant who is an Insurance Sales Agent the only payment date option that shall be available with respect to (i) any Eligible Compensation and that is payable with respect to services rendered after December 31,
2008 that is subject to a Deferral Commitment and (ii) any amount credited or to be credited to such Participant’s Post-2004 Account in respect of any Deferral Commitment which relates to any Deferral Period beginning prior to
January 1, 2009 shall be a future specified date in a year subsequent to the later of (A) the year in which the Eligible Compensation deferred under the terms of this Plan would otherwise have been payable to the Participant and
(B) 2008. Any such Participant shall select the applicable date of payment (as well as the distribution option related thereto) in accordance with the otherwise applicable provisions of the Plan (including, without limitation, Sections
3.2 and 4.1, and, to the extent permitted by the Committee, Section 3.3(b)), except that, subject to the provisions of Section 4.5, the fixed payment date elected or established under this Section 4.1(e) and the distribution option
elected or established with respect thereto in accordance with this Section 4.1 shall apply as of the elected fixed payment date regardless of whether the Insurance Sales Agents has had a Termination of Employment or Retirement prior to such
fixed payment date. If a Participant fails to elect a fixed payment date, the payment date shall be deemed to be the calendar year in which the Participant would attain age 65 or, if such year is prior to 2009 or has occurred prior to, or is, the
year in which the Eligible Compensation deferred would otherwise have been payable to the Participant, the payment date shall be the later of (i) 2009, (ii) the calendar year in which the Insurance Sales Agent would attain age 70 1/2 and (iii) the date on which the minimum
additional five year deferral required in respect of a re-deferral election made in accordance with Section 4.1(f) is satisfied. 

  

	 	(f)	 Opportunity to Further Defer Commencement of Distributions and Change Form of Distribution. Notwithstanding the generally applicable
provisions of this Section 4.1, a Participant may elect to defer the time at which distribution from the Participant’s Post-2004 Account commences and/or may also change the form in which such amounts are distributed in accordance with
this Section 4.1(f). Any such re-deferral election shall be made on a form designated for such purpose by Corporate Compensation, which election shall be delivered to Corporate Compensation not later than 12 months prior to the date upon which
distribution of the amount of deferred compensation subject to such re-deferral election (the “Delayed Distribution”) is otherwise scheduled to commence. Any re-deferral election made under this Section 4.1(f) may be changed at any
time before the last permissible date for making such an election. Any such re-deferral election in effect on such last permissible date shall become irrevocable, and any purported re-deferral election made after such last permissible date shall be
void. For this purpose, any payment to be made in installments shall be treated as a single distribution, so that any such re-deferral election must be made at least 12 months prior to the date the first installment is scheduled to commence. In
addition, any such re-deferral election must postpone payment of the Delayed Distribution for a minimum of five years from the date such Delayed Distribution would otherwise have commenced to be paid (e.g., a distribution scheduled to be paid
on the fixed date of January 15, 2015 would have to be deferred at least until January 15, 2020, and a distribution scheduled to commence on the January 1 following a Participant’s Retirement would have to be postponed until at
least the January 1 following the fifth anniversary of the Participant Retirement). Subject to the immediately preceding sentence, the form of distribution with respect to any Delayed Distribution may be modified to be payable in any form that
could be elected by the Participant pursuant to Section 4.1(a), (b) or (c), or, in the case of any Insurance Sales Agent, pursuant to Section 4.1(b), (c) or (e). For the avoidance of doubt, a Participant (i) may change the
time 

	 	 
at which a distribution occurs in accordance with this Section 4.1(f) without changing the form of payment, but no election may be made to change the form of distribution as to any amounts
credited to the Participant’s Post-2004 Account without also changing the time of distribution with regard to such amounts in accordance with this Section 4.1(f) and (ii) may not change the time at which or form in which a
distribution is to be made with respect to the Participant’s Pre-2005 Account. 

  

	4.2	Payments 

  

	 	(a)	General Rule. Subject to the terms of the Plan (including, but not limited to, Section 4.1(c) and 4.1(d)), payments will be made as of the date or
event elected in the Participation Agreement and according to the distribution payment option elected. 

  

	 	(b)	Small Account Balances—Lump Sum Cashout. Notwithstanding the foregoing, in the event the Participant’s Account balance, when coupled with the
amounts credited to the Participant under all other account balance plans maintained by any of the 409A Service Recipients which are required to be aggregated with this Plan for purposes of Section 409A of the Code, is ten thousand dollars
($10,000) or less at the time a distribution of the Participant’s Account balance would commence by reason of the application of Sections 4.1, 4.6 or 4.7, the amount of such Participant’s Account balance under this Plan and all other such
account balance plans shall be paid out in a lump sum notwithstanding the form of benefit payment elected by the Participant under Section 4.1(b), (c) or (e), Section 4.6 or 4.7, as applicable. For purposes of this
Section 4.2(b), a Participant’s Account balance shall be valued in accordance with the general provisions of Section 6.4(a). 

  

	4.3	Hardship and Unforseeable Emergency Withdrawals 

  

In the event of Financial Hardship, a Participant may request payment of all or a portion of the amounts credited to a Participant’s
Pre-2005 Account to be accelerated (a “Hardship Withdrawal”). In the event the Participant requests that payment be advanced through a Hardship Withdrawal, the amount involved cannot exceed the lesser of (i) the funds required to
satisfy the Financial Hardship or (ii) the excess of the balance in the Participant’s Pre-2005 Account minus the amount, if any, of such balance deemed invested in a Restricted Investment Option which is not then available for withdrawal
due to the applicable restrictions or conditions on such Restricted Investment Option. A Participant may request to receive a distribution of all or a portion of his or her Post-2004 Account on account of an Unforseeable Emergency. The amount that
may be distributed pursuant to the immediately preceding sentence shall not exceed the lesser of (i) the amount necessary to resolve the financial need arising due to an Unforseeable Emergency and the taxes that would due upon such distribution
or (ii) the excess of the Participant’s balance in his or her Pre-2005 Account as of the date of such withdrawal minus the amount, if any, of such balance deemed invested in a Restricted Investment Option which is not then available for
withdrawal due to the applicable restrictions or conditions on such Restricted Investment Option. In no event shall any financial need be deemed an Unforseeable Emergency to the extent that the related financial need is or may be relieved through
reimbursement or compensation from insurance or otherwise, by liquidation of the Participant’s assets, to the extent such liquidation would not itself cause severe financial hardship (including, without limitation, distribution of any amount
that is available for a Hardship Withdrawal from the Participant’s Pre-2005 Account), or by cessation of deferrals under the Plan. 
  

The Participant will be required to produce any information that the Committee finds necessary or appropriate to make a determination of
whether the participant has a Financial Hardship or an Unforseeable Emergency. Any Hardship Withdrawal or withdrawal on an account of an Unforseeable Emergency shall be payable in a lump sum within 30 days of the date that the Committee shall have
determined that such a Hardship or Unforseeable Emergency exists which entitles a Participant to receive a distribution under this Section 4.3. 
  

In the event the Participant receives a Hardship Withdrawal or a withdrawal with respect to an Unforseeable Emergency, the Participant
will be precluded from deferring additional Eligible Compensation in respect of services that would commence to be performed in the subsequent Plan Year. 

	4.4	Early Distribution With Penalty 

  

A request for an Early Distribution With Penalty of the Participant’s Pre-2005 Account balance may be made by submitting a Deferred
Compensation Withdrawal Form at any time during a Plan Year. The amount distributed from the Pre-2005 Account will be reduced by a penalty of ten percent (10%) of the Account. For purposes of any such Early Distribution With Penalty, the
Account will be valued as of the date on which the request is received and will be paid in a lump sum within thirty (30) days of receipt by the Committee (or its representative, Corporate Compensation (including any Plan Administrator
designated by Corporate Compensation)) of such Withdrawal Form. Notwithstanding the foregoing to the contrary, in no event shall the distribution from the Pre-2005 Account for purposes of Early Distribution With Penalty include any amount that is
deemed invested in a Restricted Investment Option which is not then available for distribution due to applicable restrictions or conditions on such Restricted Investment Option. 

 
 If an Early Distribution With Penalty payment is made, the
Participant will be precluded from deferring additional Eligible Compensation in respect of services that would commence to be performed in the subsequent Plan Year. 

 
 Any penalty amounts withheld from the Early Distribution With
Penalty shall be returned to the Employer’s general assets. 
  

	4.5	Distributions on the Participant’s Death 

  

Notwithstanding the distribution and payment options elected or established hereunder (including, without limitation, the distribution
options elected or established in Section 4.1(e)), payment of the entire account balance in a single lump sum will be made to the Participant’s designated Beneficiary upon the Participant’s death. Should the Participant’s death
occur after monthly installments have already started in accordance with the applicable provisions of the Plan, the balance of the Participant’s account shall become due and payable in one single lump sum to the Beneficiary within thirty
(30) days of the Participant’s death. 
  

	4.6	Distributions on the Participant’s Disability 

  

Subject to Section 4.1(d), if applicable, should the Participant incur a Disability, payment(s) in the elected form specified for
General Distribution Options will begin within thirty (30) days of notification of the Participant’s Disability, except that, if Disability should occur after monthly installments have already started in accordance with the applicable
provisions of the Plan, payments will continue for the remainder of the elected installment period. This section shall not apply to the Post-2004 Account of any Insurance Sales Agent, which shall be governed by the provisions of Section 4.1(e).

  

	4.7	Distributions On the Participant’s Termination of Employment 

 
 Except as provided in this Section 4.7, in the event of
a Participant’s Termination of Employment for any reason other than Retirement, death, or Disability, distribution of any amounts in respect of a Deferral Commitment shall be made in connection with such Termination of Employment, in accordance
with the distribution option applicable to such Deferral Commitment pursuant to Section 4.1(c), regardless of whether the Participant had otherwise elected to commence payment of the Deferral Commitment at a fixed payment date that is after the
date of such Termination of Employment. Notwithstanding the immediately preceding sentence, if payment in respect of a Deferral Commitment were to have commenced as of fixed date specified by the Participant occurring prior to such Termination of
Employment, distributions shall be made (or continue) in respect of such Deferral Commitment on the basis otherwise elected by the Participant and without adjustment due to such Termination of Employment. This section shall not apply to the
Post-2004 Account of any Insurance Sales Agent, which shall be governed by the provisions of Section 4.1(e). 

 ARTICLE V—BENEFICIARY DESIGNATION 

 

	5.1	Beneficiary Designation 

  

A Participant shall have the right, at any time, to designate one (1) or more persons or an entity as Beneficiary (both primary as
well as secondary) to whom benefits under this Plan shall be paid in the event of Participant’s death prior to complete distribution of the Participant’s Account. Each Beneficiary designation shall be in writing, on a form specified by the
Committee (or its representative, Corporate Compensation), and shall be filed with the Committee (or its representative, Corporate Compensation (including any Plan Administrator designated by Corporate Compensation)) during the Participant’s
lifetime, and any such election shall apply to the Participant’s entire Account balance. If a Participant fails to designate a Beneficiary or if a Beneficiary does not survive the Participant, payment will be made to the Participant’s
estate in the event of the Participant’s death. 
  

	5.2	Changing Beneficiary 

  

A Participant may change his/her Beneficiary at any time by completing a Beneficiary designation, again in writing on a form specified by
the Committee (or its representative, Corporate Compensation). The change will take effect only after it is received by the Committee (or its representative, Corporate Compensation (including any Plan Administrator designated by Corporate
Compensation)) and determined to be in good order. Any previous Beneficiary’s interest in the Participant’s Account under the Plan will end as of the date the request is received and determined to be in good order, even if the Participant
is not living when the request is received, and any such election to change Beneficiaries shall apply to the Participant’s entire Account balance. 
  

ARTICLE VI—ACCOUNTS 
  

	6.1	Participant Accounts 

  

An Account shall be established on behalf of each Participant under the Plan, and all Eligible Compensation amounts that such Participant
elects to defer under the terms of the Plan (as well as any Insurance Sales Agent Matching Contribution) shall be credited in such Account at the time it would have otherwise been payable to the Participant (or, in the event of any Insurance Sales
Agent Matching Contribution, when the Eligible Compensation related to such Matching Contribution would have been payable to the Participant). In respect of any Participant who had an Account to which deferred Eligible Compensation had been credited
in respect of any Plan Year prior to 2005, such Account shall be bifurcated into two sub-accounts: the Pre-2005 Account and the Post-2004 Account. 
  

	6.2	Earnings Indices and Investment Options for Accounts 

  

A Participant’s Account will be credited with notional interest, earnings (and, where applicable, notional investment gain or loss)
that are intended to mirror the investment performance and results of the indices/notional investment options selected by the Participant on the Participation Agreement beginning with the date of deferral (or, if attributable to Insurance Sales
Agent Matching Contributions, the date such amounts are credited to the Account) until such time as payment of the entire account balance is made. The Plan Administrator may from time to time designate one or more such indices/notional investment
options as a Restricted Investment Option, by specifying the restrictions or conditions that would be applicable with respect to notional investments thereunder. 

 
 For Plan Year 2000, the available notional investment options
under the Plan are intended to mirror the performance of four of the investment options available to participants of the Prudential Employee Savings Plan in 2000, as follows: (a) the Fixed Rate Fund; (b) the Prudential Stock Index Fund;
(c) the Prudential Balanced Fund; and (d) the Prudential Jennison Growth Fund. For Plan Years beginning on or after January 1, 2001, the available notional investment options under the Plan shall, at a minimum, be designed with the
intent of mirroring the performance of all of the then-current investment options available to participants of the Prudential 

 
Employee Savings Plan in such year. With respect to amounts deemed allocated to the notional Fixed Rate Fund under the Plan, such amounts will be credited with interest in the same general manner
as interest would be credited to amounts actually invested in the actual Fixed Rate Fund; with respect to amounts deemed allocated to the other notional investment options under the Plan, such amounts will be credited under the Plan as if the
Participant had actually purchased units of such separate account/mutual funds on the date of such deferral. To the extent that various actual investment options are added to, or removed from, the Prudential Employee Savings Plan, comparable changes
shall be made in the available notional investment options under this Plan, and any such changes shall be communicated to Participants as soon as administratively practicable. 

 
 Without limiting the generality of the foregoing, with
respect to the notional investment of any Accounts after October 13, 2010, the Committee (or, if such authority is delegated to it by the Committee, Corporate Compensation) may, in its discretion, from time to time and at any time add such
additional notional investment options having such terms and conditions as the Committee (or, if applicable, Corporate Compensation) shall determine. The Committee (or, if such authority is delegated to it by the Committee, Corporate Compensation)
may at any time eliminate, alter the investment parameters, or otherwise modify the terms and conditions applicable to any such notional investment option made available pursuant to the immediately preceding sentence (including, but not limited to,
limiting access to such notional investment option to a specified groups of Participants or imposing minimum and maximum amounts that may be deemed invested therein). 

 
 Except as otherwise provided in accordance with this
Section 6.2, a Participant may elect any combination of the available notional investment options; provided, however, that the Participant’s allocation of his or her account must be stated in one percent (1%) increments or such other
increments as the Committee shall specify from time to time. 
  

	6.3	Changing Indices 

  

A Participant may change how the notional amounts reflected in his or her Account are deemed invested by completing an Account
Reallocation Form. Such deemed investment allocations may be changed periodically, and in no event less than once per calendar quarter. Effective with the 2002 Plan Year, allocations may be changed monthly and changes will be effective on the first
day of the following month. Effective from and after October 13, 2010, unless Corporate Compensation shall determine that, to the extent reasonably advisable to facilitate the administration of the Plan, changes in such allocations shall be
made less frequently (but in no event less frequently than monthly), a Participant may change the manner in which the Participant’s Account is allocated among the notional investment options as of the close of business on any business day by
notice delivered in such form and by such time as Corporate Compensation shall specify from time to time. 
  

To the extent that additions to, or subtractions from, the number of indices/notional investment options are made under this Plan,
Participants will be asked to complete an Account Reallocation Form to indicate if they wish to reallocate their notional Account balances. In the event no such Form is received, no changes to the Participant’s Account will be made except that,
in the event a particular indices/notional investment option is eliminated and no Form has been completed, the notional amounts credited in such eliminated index shall be credited under the notional Fixed Account Fund as of the date of such
elimination (or as soon as administratively practicable thereafter). 
  

	6.4	Account Valuation and Reports 

  

	 	(a)	 Periodic Account Valuation. For purposes of Account recordkeeping, periodic updates of the notional value of each Participant’s Account
(and of the aggregate unfunded liabilities of the Plan as a whole) shall be made at the direction of the Committee; provided that, unless the Committee shall otherwise determine, as to any, some or all Accounts (including, but not limited to
Accounts invested in particular notional investment options), the value of each such Account shall be determined as of the close of business on each business day. With respect to any distribution for a Participant’s Account as provided for in
Article IV of the Plan, the aggregate value of any such distribution shall be calculated by reference to the notional value of the Account as of the last business day immediately prior to the

	 	 
date of distribution (or, if and to the extent reasonably advisable to facilitate such distribution, such earlier business day in reasonable proximity thereto as Corporate Compensation shall
determine). 

  

	 	(b)	Participant Statements. Quarterly statements illustrating Participant Account balances, including any notional gains or losses in such Accounts, shall be made
available to Participants as soon as practicable after the end of each calendar year quarter, in a form and manner prescribed by the Committee. 

  

ARTICLE VII—ADMINISTRATION 
  

	7.1	Administration of the Plan 

  

The Vice President—Compensation of the Company shall be deemed to be the committee appointed to administer the Plan (the
“Committee”). The Committee shall maintain such procedures and records as will enable the Committee to determine the Participants and their Beneficiaries who are entitled to receive benefits under the Plan and the amounts thereof. Further,
the Committee may elect to delegate its administrative responsibilities under the Plan (including, but not limited to, the distribution of Participation Agreements and the monitoring of the various recordkeeping services related to Accounts under
the Plan) to, among other entities, the Corporate Compensation unit of the Company’s Human Resources function (“Corporate Compensation”). To the degree the delegation of such responsibilities is specifically referenced under the terms
of the Plan, the Committee shall be deemed to have so elected to delegate such responsibilities to Corporate Compensation. 
  

	7.2	General Powers of Administration 

  

Subject to oversight by the Compensation Committee of the Board, the Committee shall have the exclusive right, power, and authority, in
its sole, full and absolute discretion, to interpret any and all of the provisions of the Plan, to supervise the administration and operation of the Plan, and to consider and decide conclusively any questions (whether of fact or otherwise) arising
in connection with the administration of the Plan or any claim for benefits arising under the Plan. Any decision or action of the Committee shall be conclusive and binding on all parties, including the Participants. In addition, to the extent that
the Plan establishes (i) any limitation or condition on the ability of a Participant to make elections as to the time at which, or the manner or increments in which the Participant’s Accounts may be deemed invested, or (ii) any other
rule or requirement primarily for purposes of facilitating the administration of the Plan (and not to comply with Section 409A of the Code or any other applicable provision of the Code or other applicable law), the Committee may in its sole
discretion, modify or adjust such limitation, condition or rule, on a prospective basis, if the Committee deems such action to be necessary or appropriate for the administration of the Plan and such action will not result in a violation of
Section 409A and is not otherwise in contravention of applicable law. 
  
 ARTICLE VIII—AMENDMENT AND TERMINATION OF PLAN 
  

	8.1	Amendment of the Plan 

  

	 	(a)	General. The Committee shall have the authority to adopt minor amendments to the Plan without prior approval by the Compensation Committee of the Board that:

  

	 	(i)	are necessary or advisable for purposes of complying with applicable laws and regulations; 

  

	 	(ii)	relate to administrative practices under the Plan; 

  

	 	(iii)	relate to the selection or deletion of additional notional investment options for Participants in their accounts; or 

 

	 	(iv)	have an insubstantial financial effect on the Plan. 

  

The Compensation Committee of the Board shall have the authority to adopt any other amendments to the Plan not encompassed under the terms
of the preceding sentence. Any such amendments must be made by written instrument, and notice of such amendments shall be provided as soon as practicable to Participants after their adoption. 

 (b) Amendments Related to Certain Corporate Transactions. Without limiting the
provisions of Section 8.1(a) above, in the event of a corporate transaction or transactions involving the sale, spin-off or other disposition of assets or equity interests in the Employer or any Participating Subsidiary to an unaffiliated
entity (“Third Party Acquirer”) and which, as a result of such transaction or transactions, it is anticipated that Participants may be transferred to, or be employed by, the Third Party Acquirer or other entities which, as a result of such
transaction, are no longer affiliated with the Employer (the “Transferred Participants”), the Company may amend the Plan to provide for the transfer of Account liabilities rather than the distribution of Account balances to such affected
Participants in accordance with the terms of Section 4.1(c) and 4.7, as follows: 
  

	 	(i)	Both the Employer (or, if relevant, the Participating Subsidiary) and the Third Party Acquirer must agree to the transfer of Account liabilities with respect to all of
the Transferred Participants transferred to, or employed by, the Third Party Acquirer or its affiliates; and 

  

	 	(ii)	The Third Party Acquirer must agree to establish a new plan (or modify an existing deferred compensation plan) (the “Transferee Plan”), on or prior to the
corporate transaction and the transfer of Account liabilities pertaining to the Transferred Participants that, in a form satisfactory to the Employer, provides, among other things, for: 

 

	 	(A)	the assumption by the Transferee Plan of all applicable terms (other than notional investment options) of such Transferred Participant’s Participation Agreements
with respect to any amounts deferred or credited under the Plan on or prior to the effective date of such Account transfer; 

  

	 	(B)	the provision of at least equivalent notional investment options to those offered under the Plan to Participants as of the proposed date of Account liability transfer;
and 

  

	 	(C)	the assumption of (and indemnification by) the Third Party Acquirer of the Company, Employer and all Participating Subsidiaries (including their agents, employees,
officers and other representatives) of any and all liabilities relating to such Transferred Participants’ Account liability transferred from the Plan to the Transferee Plan (including, but not limited to, assumption of the Employer’s
responsibility under Section 8.3 of the Plan through the adoption of identical language in the Transferee’s Plan effective as of the transfer of such Account liabilities). 

 

	8.2	Termination of the Plan 

  

The Company reserves the right to terminate the Plan in any respect and at any time and may do so pursuant to a written resolution of the
Compensation Committee of the Board. Notwithstanding the foregoing, no termination of the Plan shall accelerate or otherwise change the time at which, or the form in which, amounts are distributable hereunder, unless such acceleration or other
change can be effected in connection with such termination without causing all or any portion of such amounts to be subject to the additional rate of tax imposed under Section 409A of the Code. 

 

	8.3	Limitations on Amendment or Termination of the Plan 

  

Notwithstanding anything else to the contrary set forth in the Plan, any amendment or termination of the Plan may not adversely affect the
rights of any Participant or Beneficiary to receive the amount of benefits earned and accrued under the Plan prior to such amendment or termination; provided, however, that 

 

	 	(a)	any amendment satisfying the terms of Section 8.1(b); 

  

	 	(b)	any alteration of the notional investment options under the Plan as set forth under Section 8.1(a), 

 

	 	(c)	any acceleration of payments of amounts accrued under the Plan by operation of the Plan’s terms; or 

 

	 	(d)	any decision by the Committee or the Compensation Committee to limit participation (or other features of the Plan) prospectively under the Plan

  
 shall not be deemed to violate this provision.

 ARTICLE IX—MISCELLANEOUS 
  

	9.1	Unfunded Plan/ Participant’s Rights Unsecured and Unfunded 

 
 This Plan is an unfunded plan maintained primarily to
provide deferred compensation benefits for a select group of management or highly-compensated employees within the meaning of Sections 201,301 and 401 of ERISA, and therefore is exempt from the provisions of Parts 2,3 and 4 of Title I of ERISA.
Accordingly, no assets of the Company shall be segregated or earmarked to represent the liability for accrued benefits under the Plan. Amounts referenced in Participant Account statements are only recordkeeping devices reflecting such liability for
accrued benefits, and do not reflect any actual amounts credited. The right of a Participant (or his or her Beneficiary) to receive a payment hereunder shall be an unsecured claim against the general assets of the Company. All payments under the
Plan shall be made from the general funds of the Company. The Company is not required to set aside money or any other property to fund its obligations under the Plan, and all amounts that may be set aside by the Company prior to the distribution of
Account balances under the terms of the Plan remain the property of the Company. 
  
 Notwithstanding the foregoing, nothing in this Section 9.1 shall preclude the Company, in its sole discretion, after the Effective Date, from establishing a “rabbi trust” or other vehicle
in connection with the operation of this Plan, provided that no such action shall cause the Plan to fail to be an unfunded plan designed to provide deferred compensation benefits for a select group of management or highly-compensated employees for
purposes within the meaning of Title I of ERISA. 
  

	9.2	Plan Is Not a Contract of Employment 

  

This Plan shall not constitute a contract of employment between the Employer and/or any Participating Subsidiary and the Participant.
Nothing in this Plan shall give a Participant the right to be retained in the service of the Employer or to interfere with the right of the Employer to discipline or discharge a Participant at any time. 

 

	9.3	Notice 

  

Any notice required or permitted under the Plan shall be sufficient if in writing and hand delivered, sent by first class, registered or
certified mail, or by such other means as the Committee, in its sole discretion, may deem appropriate. Such notice shall be deemed as given as of the date of delivery or, if delivery is made by mail, as of the date shown on the postmark or on the
receipt for registration or certification. Mailed notice to the Committee shall be directed to the Company’s address, c/o Corporate Compensation. Mailed notice to a Participant or Beneficiary shall be directed to the individual’s last
known home or office address in Employer’s records. 
  

	9.4	No Guarantee of Benefits 

  

Nothing contained in the Plan shall constitute a guaranty by the Employer or any other person or entity that the assets of the Company
will be sufficient to pay any benefit hereunder. 
  

	9.5	Non-Alienation Provision 

  

No interest of any person or entity in, or right to receive a benefit or distribution under, the Plan shall be subject in any manner to
sale, transfer, assignment, pledge, attachment, garnishment, or other alienation or encumbrance of any kind; nor may such interest or right to receive a distribution be taken, either voluntarily or involuntarily for the satisfaction of the debts of,
or other obligations or claims against, such person or entity, including claims for alimony, support, separate maintenance and claims in bankruptcy proceedings. 
  

	9.6	Applicable Law 

  

The Plan shall be construed and administered under the laws of the State of New Jersey, except to the extent that such laws are preempted
by ERISA. 

	9.7	Taxes 

  

To the extent required by law, amounts accrued under the Plan shall be subject to federal and state income, federal social security and
federal or state unemployment taxes during the year the services giving rise to such amounts were performed (or, if later, when the amounts are both determinable and not subject to a substantial risk of forfeiture). The Company, the Employer or the
Participating Subsidiary (as applicable) shall withhold from any payments made pursuant to the Plan such amounts as may be required by federal, state or local law, and the Company, the Employer or the Participating Subsidiary (as applicable) further
reserves the right: (a) to limit or reduce the amounts intended to be deferred under the terms of the Plan as may be necessary or appropriate in order to ensure that any required tax withholdings can be deducted; and/or (b) to require the
Participant to pay any taxes owed on such amounts through payroll deduction. 
  

	9.8	Excess Payments 

  

If the compensation, years of service, age, or any other relevant fact relating to any person is found to have been misstated, the Plan
benefit payable by the Company to a Participant or Beneficiary shall be the Plan benefit which would have been provided on the basis of the correct information. Any excess payments due to such misstatement, or due to any other mistake of fact or
law, shall be refunded to the Company or withheld by it from any further amounts otherwise payable under the Plan. 
  

	9.9	No Impact on Other Benefits 

  

Amounts deferred and accrued under the Plan shall not be included in a Participant’s compensation for purposes calculating benefits
under any other plan, program or arrangement sponsored by the Employer or Participating Subsidiary, unless such plan, program or arrangement so provides. 
  

	9.10	Data 

  

Each Participant or Beneficiary shall furnish the Committee with all proofs of dates of birth and death and proofs of continued existence
necessary for the administration of the Plan, and the Company shall not be liable for the fulfillment of any Plan benefits in any way dependent upon such information unless and until the same shall have been received by the Committee in a form
satisfactory to it. 
  

	9.11	Incapacity of Recipient 

  

If a Participant or other Beneficiary entitled to a distribution under the Plan is living under guardianship or conservatorship,
distributions payable under the terms of the Plan to such Participant or Beneficiary shall be paid to his or her appointed guardian or conservator and such payment shall be a complete discharge of any liability of the Company, the Employer and the
Participating Subsidiary (as the case may be) under the Plan. 
  

	9.12	Usage of Terms and Headings 

  

Words in the masculine gender shall include the feminine and the singular shall include the plural, and vice versa, unless qualified by
the context. Any headings are included for ease of reference only, and are not to be construed to alter the terms of the Plan. 

 Exhibit A—Certain Employee Transfers 

 
 Transfer of Employees from the Company to Jennison Associates
During Plan Year 2000 
  
 With respect to any
Employee that (a) was transferred from the Company to Jennison Associates (a subsidiary of the Company that is not a Participating Subsidiary) in Plan Year 2000 pursuant to the transfer of the Company’s public equity management unit to
Jennison Associates and (b) that would otherwise have been treated as an “Eligible Employee” as defined under the Plan but for such transfer, such Employees shall continue to be eligible to submit a Participation Agreement to defer
Eligible Compensation (as generally defined in Section 3.2(a) of the Plan) that would otherwise be payable to such Employees in Plan Year 2001 pursuant to the terms of the Plan. Once such deferrals are made, such affected Employees will be
treated as Employees who have transferred employment from the Company to a subsidiary or affiliate of the Company that is not a Participating Subsidiary, and the general provisions of the Plan will continue to be in full force and effect.Non-Executive Chairman Consulting Agreement

 Exhibit 10.1 
 CHAIRMAN CONSULTING AGREEMENT 
 THIS CHAIRMAN CONSULTING AGREEMENT
(“Agreement”) between Leslie H. Cross (“Cross”), an individual, and Alphatec Holdings, Inc., a Delaware corporation having a principal place of business of 5818 El Camino Real, Carlsbad, California 92008, (the
“Company”) is made effective as of July 27, 2011 (the “Effective Date”). 
 WHEREAS, the Company
wishes to engage the services of Cross, and Cross wishes to accept such an engagement with the Company, on the terms and conditions set forth herein; 
 NOW, THEREFORE, in consideration of the mutual agreements contained herein, the Company and Cross agree as follows: 
 1.        Position and Duties. The Company hereby engages Cross as the non-executive Chairman of the Board of Directors (the “Board”) of the
Company. As such, Cross shall have the responsibilities, duties and authority reasonably expected of a non-executive Chairman of the Board, as more specifically defined in the Bylaws of the Company and as may be further defined by the Board. Cross
hereby accepts this engagement upon the terms and conditions herein contained and agrees to devote as much of his professional time, attention, and efforts as necessary to promote and further the business of the Company. Cross shall faithfully
adhere to, execute, and fulfill his responsibilities, duties and authorities, and shall comply with all Board directives and policies established or adopted by the Company. Subject to the restrictions set forth in Section 7 of this Agreement,
if during the Term, Cross desires to render services to any other organization, prior to agreeing to provide those services, he shall disclose to the Board in writing the identity of the organization and the nature of the services to be performed.

  

	2.        Term.	

(a)    Cross’s engagement under this Agreement shall be for a one (1) year period beginning on the
Effective Date and ending on the day preceding the first anniversary of the Effective Date (the “Term”). The Term shall be extended for successive one year engagements, each commencing on the first and second anniversaries of the Effective
Date, provided that (i) Cross is re-elected to the Board; and (ii) the Board affirms his appointment as Chairman for the successive year. 
 (b)    The Term shall expire upon the earlier of: (i) the date upon which Cross no longer serves on the Board; and (ii) any earlier date requested by either (1) the
Company (as evidenced by a vote of a majority of the Board (excluding Cross) at a meeting of the Board), or (2) Cross (as evidenced by written notice from Cross to the Board). 
 3.        Compensation. The Company shall provide Cross the following compensation in exchange for his services as Chairman. 

(a)    Cash Compensation. During the Term, the Company shall pay Cross an annual fee of $100,000, payable in
twelve equal, monthly installments on the last business day of each month. 

 (b)    Equity Compensation. During the Term, the Company shall
annually issue Cross a number of registered shares of the Company’s common stock equal to (i) $100,000 divided by (ii) the closing price of one share of the Company’s common stock on the date of issuance, which date shall be the
Effective Date for the first year of the Term, and the date of Board affirmation of Cross as Chairman in any subsequent Term, as reported on NASDAQ, (the “Shares”). The Shares shall initially be unvested. One third of the Shares shall vest
on each of the first, second and third anniversaries of the date of issuance, provided that the stock performance metric set forth in Exhibit A attached hereto (the “Stock Performance Metric”) has been achieved, as determined by the
Compensation Committee of the Board in its sole reasonable discretion. Any shares that do not vest on an applicable vesting date shall not be subject to vesting in the future. Notwithstanding the foregoing, any unvested Shares that have not been
previously eligible for vesting, but did not vest due to the non-achievement of the Stock Performance Metric shall vest on the business day immediately prior to the consummation of a Change in Control (as defined in the Plan referenced below). Cross
may file an election under Section 83(b) of the United States Internal Revenue Code within thirty (30) days of the Effective Date, provided Cross provides the Company with a copy of such election. The Company shall retain any certificates
representing Cross’ ownership of the Shares until Cross vests in such Shares. The Shares shall be subject, in all respects, to (i) the Alphatec Holdings, Inc. 2005 Employee, Director and Consultant Stock Plan, as amended (the
“Plan”); and (ii) a Restricted Stock Agreement to be entered into by Cross and the Company. 

(c)    Expenses. The Company shall reimburse Cross for all ordinary and reasonable out-of-pocket business
expenses incurred by him in connection with his performance of services for the Company during Term, provided Cross submits an expense reimbursement request and supporting documentation in accordance with the Company’s expense reimbursement
policy in effect from time to time. 
 (d)    No Other Compensation. The payments and benefits set
forth in Section 3 are in lieu of any other payments or benefits that Cross would otherwise receive as a director of the Company, and Cross hereby waives any right or entitlement to such payments or benefits. 

4.        Compensation on Termination. On the date this Agreement terminates pursuant to Section 2,
the Company shall pay Cross the fees payable under Section 3(a) through the effective date of termination and reimburse any reasonable expenses incurred on or prior to the effective date of termination under Section 3(c). Any shares that
remain unvested under Section 3(b) on the effective date of termination shall be immediately forfeited. If following the termination of this Agreement, Cross remains a director of the Company, he shall be entitled to receive any compensation
otherwise payable to him as a director. 
  

	5.        Intellectual	Property. 

(a)    Cross agrees that all ideas, discoveries, creations, manuscripts and properties, innovations, improvements,
know-how, inventions, designs, developments, apparatus, techniques and methods (all of the foregoing being hereinafter referred to as “inventions”) which relate to the Company’s business, whether or not reduced to practice and whether
patentable or copyrightable, which Cross may conceive, reduce to practice or develop during the Term (such inventions to be referred to as “Company inventions”), whether alone or in conjunction with

 
another or others, shall be the sole and exclusive property of the Company, and Cross shall not publish any of the Company inventions without the prior written consent of the Company. Cross
hereby assigns to the Company all of his right, title and interest in and to all Company inventions. Cross further agrees to maintain and furnish to the Company complete and current records of all or any Company inventions and to disclose to the
Company in writing the creation of any Company invention. 
 (b)    At any time during or after the Term,
Cross agrees that he will fully cooperate with the Company and its attorneys and agents in the preparation and filing of all papers and other documents as may be required to perfect the Company’s rights in and to any Company invention,
including, but not limited to, joining in any proceeding to obtain letters patent, copyrights, trademarks or other legal rights of the United States and of any and all other countries on such inventions, provided that the Company will bear the
expense of such proceedings, and that Cross shall assign to the Company any patent or other legal right so issued to him personally. Cross hereby designates the Company as his agent and grants to the Company a power of attorney with full power of
substitution (which power of attorney shall be deemed coupled with an interest) for the purpose of effecting the foregoing assignments from Cross to the Company. 
 (c)    The foregoing provisions shall not require Cross to assign to the Company any invention that is developed by Cross: (i) entirely on his own time or in connection with his
services for another organization; (ii) without using any of the Company’s equipment, supplies, facilities or Confidential Information; (iii) that does not relate to the business actually conducted or reasonably anticipated to be
conducted by the Company or one of its affiliates; and (iv) does not otherwise arise out of any of Cross’ services for the Company under this Agreement. 
 6.        Confidentiality. In connection with his engagement under this Agreement, Cross will be exposed to, and may develop or create, certain information
concerning the research, business, inventions, products, proposed new products, designs, data, results, clinical testing programs, manufacturing processes and techniques, customers and other information and materials that embody trade secrets or
technical or business information that is confidential and proprietary to the Company (collectively, “Confidential Information”). Cross hereby agrees not to disclose or use, other than in connection with his services performed for the
Company or its affiliates, any Confidential Information without the Company’s prior, written consent, unless such information becomes publicly available through no fault of Cross or a third party obligated by contract or other legal duty to
keep such information confidential. Cross further agrees not to make any notes or memoranda relating to the business of the Company, other than for the Company’s benefit. In addition, Cross agrees promptly upon the Company’s request to
return to the Company or permanently destroy (at the Company’s option) any and all documentary, machine-readable, electronic, magnetic or other elements or evidence based on or containing Confidential Information and any copies that may be in
Cross’ possession or under his control. The provisions of this Section 6 shall apply both during and after the Term. 

7.        No Competition. During the Term, Cross shall not, alone or as a partner, officer, director,
consultant, employee, stockholder or otherwise, engage in any commercial employment, consulting or business activity, occupation or other activity that is or is intended to be competitive with the Company, provided, however, that the
holding by Cross of any 

 
investment in any security shall not be deemed to be a violation of this Section 7 if such investment does not constitute over five percent (5%) of the outstanding issue of such
security. The term “Field of Interest” means implants and biologic-based products implanted into the human body to treat spinal disorders. 
 8.        No Solicitation. During the Term and for a period of one (1) year after the Term’s expiration for any reason, Cross will not, on
Cross’ own behalf or on behalf of any other person, partnership, association, corporation or other entity, directly or indirectly solicit (either orally or in writing), or in any manner attempt to influence or induce (i) any employee of
the Company to leave the employment of the Company, or (ii) any surgeon, hospital, surgery center, supplier or agent of the Company to terminate, modify or amend its then-current relationship with the Company. 

9.        Special Remedy. The restrictions in Sections 5, 6, 7 and 8 of this Agreement are necessary for
the protection of the Company’s business and goodwill. Cross acknowledges that the restrictions are reasonable and that any breach or threatened breach of Section 5, 6, 7 or 8 of this Agreement will cause the Company substantial and
irreparable damage. Accordingly, in the event of any breach or threatened breach of Section 5, 6, 7 or 8 of this Agreement, in addition to any other remedies that may be available by contract or at law, the Company shall have the right to seek
specific performance by Cross and to seek temporary, preliminary and permanent relief enjoining Cross from any breach or threatened breach. 

10.        No Conflicting Agreements. Cross represents and warrants that he is not a party to any
commitments or obligations inconsistent with this Agreement and hereby agrees to indemnify and hold the Company harmless against any claim based upon circumstances alleged to be inconsistent with or in breach of this representation and warranty.
During the Term, Cross will not enter into any agreement, whether oral or written, in conflict with this Agreement. 

11.        Notices. All notices and other communications under this Agreement shall be in writing, and
shall be delivered or sent by facsimile transmission, recognized courier service, registered or certified mail, return receipt requested, addressed to the party at the address set forth in the preamble of this Agreement, or to such other address as
a party may subsequently designate in writing to the other party. 
 12.        Successors and
Assigns. This Agreement shall be binding on and inure to the benefit of both parties and their respective successors and assigns, including any corporation into which the Company may be merged or which may succeed to its assets or business,
provided, however, that Cross’ obligations are personal and shall not be assigned by him. The Company may assign this Agreement following the delivery of written notice to Cross. 
 13.        Enforceability. The invalidity or unenforceability of any provision of this Agreement as to an obligation of a party shall in no way affect the
validity or enforceability of any other provision of this Agreement. Moreover, if Section 5, 6, 7 or 8 of this Agreement shall for any reason be held to be excessively broad as to scope activity or subject so as to be unenforceable at law, such
provision or provisions shall be construed by limited or reducing it, so as to be enforceable to the extent compatible with applicable governing law. 

 14.        Amendment. This Agreement may be amended or
modified only by a written instrument executed by both the Company and Cross. 
 15.        No
Waiver. No delay or omission by the Company or Cross in exercising any right under this Agreement shall operate as a waiver of that or any other right. A waiver or consent given by the Company on any one occasion shall be in writing and shall be
effective only in that instance and shall not be construed as a bar or waiver of any right on any other occasion. 

16.        Governing Law. This Agreement shall be governed by and construed in accordance with the
internal laws of the State of Delaware without regard to any state’s conflict of law rules. Each party hereby irrevocably submits to the exclusive jurisdiction of the Delaware State Courts for the adjudication of any dispute arising under or
related to this Agreement. Each party further waives any objection to the jurisdiction of the Delaware State Courts on the ground of improper or inconvenient forum and waives any right to have a dispute to be tried before a jury to the fullest
extent permitted by law. 
 17.        Entire Agreement. This Agreement and the Stock Grant
Agreement under the Plan constitute the entire agreement between the parties and supersedes all prior agreements and understandings, whether written or oral, relating to the subject matter of this Agreement. 

 

	18.        Construction.	This Agreement has been prepared jointly and shall not be strictly construed against either party. 

19.        Counterparts. This Agreement may be executed in two counterparts, each of which shall be deemed
an original but all of which together shall constitute one and the same instrument. 
 [Signature Page Follows]

 IN WITNESS WHEREOF, the parties have duly executive this Agreement as of the Effective Date.

  

			
	ALPHATEC HOLDINGS, INC.	 	LESLIE H. CROSS
		
	 By: /s/ Dirk Kuyper
	 	 /s/ Leslie H. Cross

	Name: Dirk Kuyper	 	
	Title: President and CEO

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