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Exhibit 10.2    
    

SEVERANCE AGREEMENT  

        AGREEMENT between FOREST OIL CORPORATION, a New York corporation
(the "Company"), and                        ("Executive"), 

W I T N E S S E T H  

        WHEREAS, the Company desires to attract and retain certain key employee personnel and, accordingly, the Board of
Directors of the Company (the "Board") has approved the Company entering into a severance agreement with Executive in order to encourage his continued service to the Company; and 

        WHEREAS, Executive is prepared to commit such services in return for specific arrangements with respect to severance compensation and
other benefits; 

        NOW, THEREFORE, in consideration of the foregoing and for other good and valuable consideration, the Company and Executive agree as
follows: 

        1.    Definitions.    

        (a)   "Annual
Compensation" shall mean an amount equal to the greater of: 

        (i)    Executive's
annual base salary at the annual rate in effect at the date of his Involuntary Termination; 

        (ii)   Executive's
annual base salary at the annual rate in effect sixty days prior to the date of his Involuntary Termination; or 

        (iii)  Executive's
annual base salary at the annual rate in effect immediately prior to a Change of Control if Executive's employment shall be subject to an Involuntary
Termination within two years after such Change of Control. 

Notwithstanding
the foregoing, if Executive's employment shall be subject to an Involuntary Termination within two years after such Change of Control, then the amount determined pursuant to the
preceding sentence shall be increased by the amount of the Annual Bonus. For purposes of the preceding sentence, the term 'Annual Bonus' shall mean the annual bonus most recently paid by the Company
to Executive prior to the date of his Involuntary Termination; provided, however, that if Executive was employed by the Company for only a portion of the year with respect to which such bonus was
paid, then the 'Annual Bonus' shall equal an amount determined by annualizing the bonus received by Executive based on the ratio of the number of days Executive was employed by the Company
during such year to 365 days; provided, further, that if Executive has not received an annual bonus from the Company at any time prior to the date of his Involuntary Termination, then the
'Annual Bonus' shall equal the amount of Executive's target annual bonus for the year in which such termination occurs. 

        (b)   "Change
in Duties" shall mean: 

        (i)    The
occurrence, prior to a Change of Control or after the date which is two years after a Change of Control occurs, of any one or more of the following: 

        (1)   A
significant change in the nature or scope of Executive's authorities or duties from those previously applicable to him; 

        (2)   A
reduction in Executive's base salary from that provided to him immediately prior to the effective date of this Agreement (or the effective date of any extension of
this Agreement pursuant to Paragraph 7(a)); or 

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        (3)   A
diminution in employee benefits (including but not limited to medical, dental, life insurance and long-term disability plans) and perquisites applicable to
Executive from those substantially similar to the employee benefits and perquisites provided by the Company (including its subsidiaries) to executives with comparable duties; or 

        (ii)   The
occurrence, within two years after the date upon which a Change of Control occurs, of any one or more of the following: 

        (1)   A
significant change in the nature or scope of Executive's authorities or duties from those applicable to him immediately prior to the date on which a Change of Control
occurs; 

        (2)   A
reduction in Executive's base salary from that provided to him immediately prior to the date on which a Change of Control occurs; 

        (3)   A
diminution in Executive's eligibility to participate in bonus, stock option, incentive award and other compensation plans which provide opportunities to receive
compensation which are the greater of (A) the opportunities provided by the Company (including its subsidiaries) for executives with comparable duties or (B) the opportunities under any
such plans under which he was participating immediately prior to the date on which a Change of Control occurs; 

        (4)   A
diminution in employee benefits (including but not limited to medical, dental, life insurance and long-term disability plans) and perquisites applicable to
Executive from the greater of (A) the employee benefits and perquisites provided by the Company (including its subsidiaries) to executives with comparable duties or (B) the employee
benefits and perquisites to which he was entitled immediately prior to the date on which a Change of Control occurs; or 

        (5)   A
change in the location of Executive's principal place of employment by the Company (including its subsidiaries) by more than 50 miles from the location where he was
principally employed immediately prior to the date on which a Change of Control occurs. 

        (c)   "Change
of Control" means the occurrence of any one or more of the following events: 

        (i)    The
Company shall not be the surviving entity in any merger, consolidation or other reorganization (or survives only as a subsidiary of an entity other than a previously
wholly-owned subsidiary of the Company); 

        (ii)   The
Company sells, leases or exchanges all or substantially all of its assets to any other person or entity (other than a wholly-owned subsidiary of the Company); 

        (iii)  The
Company is to be dissolved and liquidated; 

        (iv)  Any
person or entity, including a "group" as contemplated by Section 13(d)(3) of the Securities Exchange Act of 1934, as amended, acquires or gains ownership or
control (including, without limitation, power to vote) of more than 50% of the outstanding shares of the Company's voting stock (based upon voting power); or 

        (v)   As
a result of or in connection with a contested election of directors, the persons who were directors of the Company before such election shall cease to constitute a
majority of the Board. 

Notwithstanding
the foregoing, the term "Change of Control" shall not include any reorganization, merger or consolidation involving solely the Company and one or more previously wholly-owned
subsidiaries of the Company. 

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        (d)   "Compensation
Committee" shall mean the Compensation Committee of the Board. 

        (e)   "Disability"
shall mean that, as a result of Executive's incapacity due to physical or mental illness, he shall have been absent from the full-time
performance of his duties for six-consecutive months and he shall not have returned to full-time performance of his duties within thirty days after written notice
of termination is given to Executive by the Company (provided, however, that such notice may not be given prior to thirty days before the expiration of such six-month period). 

        (f)    "Involuntary
Termination" shall mean any termination of Executive's employment with the Company which: 

        (i)    does
not result from a resignation by Executive (other than a resignation pursuant to clause (ii) of this subparagraph (f)); or 

        (ii)   results
from a resignation by Executive on or before the date which is sixty days after the date upon which Executive receives notice of a Change in Duties; 

provided,
however, the term "Involuntary Termination" shall not include a Termination for Cause or any termination as a result of death, Disability, or Retirement. 

        (g)   "Monthly
Severance Amount" shall mean an amount equal to one-twelfth of Executive's Annual Compensation. 

        (h)   "Retirement"
shall mean Executive's resignation on or after the date he reaches age sixty-five. 

        (i)    "Severance
Amount" shall mean an amount equal to 2.5 times Executive's Annual Compensation. 

        (j)    "Severance
Period" shall mean: 

        (i)    in
the case of an Involuntary Termination which occurs prior to a Change of Control or after the date which is two years after a Change of Control occurs, a
period commencing on the date of such Involuntary Termination and continuing for a number of months (not in excess of thirty months) equal to the whole number of times that Executive's
Annual Compensation can be divided by $10,000; or 

        (ii)   in
the case of an Involuntary Termination which occurs within two years after the date upon which a Change of Control occurs, a period commencing on the date of
such Involuntary Termination and continuing for thirty months. 

        (k)   "Termination
for Cause" shall mean termination of Executive's employment by the Company (or its subsidiaries) by reason of Executive's (i) gross negligence in the
performance of his duties, (ii) willful and continued failure to perform his duties, (iii) willful engagement in conduct which is materially injurious to the Company or its subsidiaries
(monetarily or otherwise) or (iv) conviction of a felony or a misdemeanor involving moral turpitude. 

        2.    Services.    Executive agrees that he will render services to the Company (as well as
any subsidiary thereof or successor thereto) during the period of his employment to the best of his ability and in a prudent and businesslike manner and that he will devote substantially the same
time, efforts and dedication to his duties as heretofore devoted. 

        3.    Termination Other Than Within Two Years After a Change of Control.    Subject to the
provisions of Paragraph 7(i) hereof, if Executive's employment by the Company or any subsidiary thereof or successor thereto shall be subject to an Involuntary Termination which occurs
prior to a Change of Control or after the date which is two years after a Change of Control occurs, then the Company will, as additional compensation for services rendered to the Company
(including its subsidiaries), pay to 

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Executive
the following amounts (subject to any applicable payroll or other taxes required to be withheld and any employee benefit premiums) and take the following actions after the last day of
Executive's employment with the Company: 

        (a)   Pay
Executive the Monthly Severance Amount on the first day of each month throughout the Severance Period; provided, however, that in the event Executive obtains new
employment during the Severance Period, each such monthly payment shall be reduced by 50% beginning with the payment next due after the date Executive obtains such new employment. Executive shall
promptly report any such new employment to the Company. For purposes of this Paragraph 3(a), the term "employment" shall include (i) any employment as an employee or (ii) the
conduct of any trade or business (whether as a sole proprietor, independent contractor or otherwise) by Executive in which he is expected to render personal services for more than 40 hours in
any given month during the Severance Period. 

        (b)   Cause
Executive and those of his dependents (including his spouse) who were covered under the Company's medical and dental benefit plans on the day prior to Executive's
Involuntary Termination to continue to be covered under such plans throughout the Severance Period, without any cost to Executive; provided, however, that (i) such coverage shall terminate if
and to the extent Executive becomes eligible to receive medical and dental coverage from a subsequent employer (and any such eligibility shall be promptly reported to the Company by Executive) and
(ii) if Executive (and/or his spouse) would have been entitled to retiree medical and/or dental coverage under the Company's plans had he voluntarily retired on the date of such Involuntary
Termination, then such coverages shall be continued as provided under such plans. 

        4.    Termination Within Two Years After a Change of Control.    If Executive's employment by
the Company or any subsidiary thereof or successor thereto shall be subject to an Involuntary Termination which occurs within two years after the date upon which a Change of Control occurs,
then the Company will, as additional compensation for services rendered to the Company (including its subsidiaries), pay to Executive the following amounts (subject to any applicable payroll or other
taxes required to be withheld and any employee benefit premiums) and take the following actions after the last day of Executive's employment with the Company: 

        (a)   Pay
Executive a lump sum cash payment in an amount equal to the Severance Amount on or before the fifth day after the last day of Executive's employment with the
Company. 

        (b)   Cause
Executive and those of his dependents (including his spouse) who were covered under the Company's medical and dental benefit plans on the day prior to Executive's
Involuntary Termination to continue to be covered under such plans throughout the Severance Period, without any cost to Executive; provided, however, that (i) such coverage shall terminate if
and to the extent Executive becomes eligible to receive medical and dental coverage from a subsequent employer (and any such eligibility shall be promptly reported to the Company by Executive) and
(ii) if Executive (and/or his spouse) would have been entitled to retiree medical and/or dental coverage under the Company's plans had he voluntarily retired on the date of such Involuntary
Termination, then such coverages shall be continued as provided under such plans. 

        (c)   Cause
any and all outstanding options to purchase common stock of the Company held by Executive to become immediately exercisable in full and cause Executive's accrued
benefits under any and all nonqualified deferred compensation plans sponsored by the Company to become immediately nonforfeitable. If and to the extent that the preceding
provisions of this paragraph are inconsistent or conflict with the terms of any stock option agreement or nonqualified deferred compensation plan, then the preceding provisions of this paragraph shall
govern and control. 

        (d)   Cause
any and all outstanding options to purchase common stock of the Company held by Executive to remain exercisable for twelve months after the last day of Executive's
employment 

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with
the Company (but in no event shall any such option be exercisable for (i) a longer period than the original term of such option or (ii) a shorter period than that already provided
for under the terms of such option). If and to the extent that the preceding provisions of this paragraph are inconsistent or conflict with the terms of any stock option
agreement, then the preceding provisions of this paragraph shall govern and control. 

        5.    Interest on Late Payments.    If any payment provided for in Paragraph 3(a) or
Paragraph 4(a) hereof is not made when due, the Company shall pay to Executive interest on the amount payable from the date that such payment should have been made under such paragraph
until such payment is made, which interest shall be calculated at 10% plus the prime or base rate of interest announced by JPMorgan Chase Bank (or any successor thereto) at its principal office in New
York, and shall change when and as any such change in such prime or base rate shall be announced by such bank. 

        6.    Certain Additional Payments by the Company.    

        (a)   Notwithstanding
anything to the contrary in this Agreement, in the event that any payment or distribution by the Company to or for the benefit of Executive, whether paid
or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise (a "Payment"), would be subject
to the excise tax imposed by Section 4999 of the Internal Revenue Code of 1986, as amended, or any interest or penalties with respect to such excise tax (such excise tax, together with any such
interest or penalties, are hereinafter collectively referred to as the "Excise Tax"), the Company shall pay to Executive an additional payment (a "Gross-up Payment") in an amount such that
after payment by Executive of all taxes (including any interest or penalties imposed with respect to such taxes), including any Excise Tax imposed on any Gross-up Payment, Executive
retains an amount of the Gross-up Payment equal to the Excise Tax imposed upon the Payments. The Company and Executive shall make an initial determination as to whether a
Gross-up Payment is required and the amount of any such Gross-up Payment. Executive shall notify the Company immediately in writing of any claim by the Internal Revenue Service
which, if successful, would require the Company to make a Gross-up Payment (or a Gross-up Payment in excess of that, if any, initially determined by the Company and Executive)
within five days of the receipt of such claim. The Company shall notify Executive in writing at least five days prior to the due date of any response required with respect to such claim
if it plans to contest the claim. If the Company decides to contest such claim, Executive shall cooperate fully with the Company in such action; provided, however, the Company shall bear and pay
directly or indirectly all costs and expenses (including additional interest and penalties) incurred in connection with such action and shall indemnify and hold Executive harmless, on an
after-tax basis, for any Excise Tax or income tax, including interest and penalties with respect thereto, imposed as a result of the Company's action. If, as a result of the Company's
action with respect to a claim, Executive receives a refund of any amount paid by the Company with respect to such claim, Executive shall promptly pay such refund to the Company. If the Company fails
to timely notify Executive whether it will contest such claim or the Company determines not to contest such claim, then the Company shall immediately pay to Executive the portion of such claim, if
any, which it has not previously paid to Executive. 

        (b)   On
or before the date upon which a Change of Control occurs (the "Change of Control Date"), the Compensation Committee shall make a determination under the Company's
annual incentive plan as to whether bonuses under such plan for the year during which the Change of Control Date occurs are due based on partial year results through the Change of Control Date, and,
if the Compensation Committee determines that such bonuses are due, then the Compensation Committee shall also determine the amount of such bonus that shall be paid to Executive. On or before the
Change of Control Date, the Company shall pay to Executive the amount of Executive's bonus that has been determined by the Compensation Committee in accordance with the preceding sentence. 

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        7.    General.    

        (a)   Term. The effective date of this Agreement is                        ,
200    . Within thirty (30) days after
December 14, 2002, and within thirty (30) days after each successive thirty (30)-month period of time thereafter that this Agreement is in effect, the Company shall have the right to
review this Agreement, and in its sole discretion either continue and extend this Agreement, terminate this Agreement, and/or offer Executive a different agreement. The Compensation Committee
(excluding any member of the Compensation Committee who is covered by this Agreement or by a similar agreement with the Company) will vote
on whether to so extend, terminate, and/or offer Executive a different agreement and will notify Executive of such action within said thirty-day time period mentioned above. This Agreement
shall remain in effect until so terminated and/or modified by the Company. Failure of the Compensation Committee to take any action within said thirty days shall be considered as an extension
of this Agreement for an additional thirty-month period of time. Notwithstanding anything to the contrary contained in this "sunset provision," it is agreed that if a Change of Control occurs while
this Agreement is in effect, then this Agreement shall not be subject to termination or modification under this "sunset provision," and shall remain in force for a period of thirty months after
such Change of Control, and if within said thirty months the contingency factors occur which would entitle Executive to the benefits as provided herein, this Agreement shall remain in effect in
accordance with its terms. If, within such thirty months after a Change of Control, the contingency factors that would entitle Executive to said benefits do not occur, thereupon this
thirty-month "sunset provision" shall again be applicable with the thirty-day time period for Compensation Committee action to thereafter commence at the expiration of said
thirty months after such Change of Control and on each thirty-month anniversary date thereafter. 

        (b)   Indemnification. If Executive shall obtain any money judgment or otherwise prevail with respect to any litigation brought
by Executive or the Company to enforce or interpret any provision contained herein, the Company, to the fullest extent permitted by applicable law, hereby indemnifies Executive for his reasonable
attorneys' fees and disbursements incurred in such litigation and hereby agrees (i) to pay in full all such fees and disbursements and (ii) to pay prejudgment interest on any money
judgment obtained by Executive from the earliest date that payment to him should have been made under this Agreement until such judgment shall have been paid in full, which interest shall be
calculated at 10% plus the prime or base rate of interest announced by The Chase Manhattan Bank, N.A. (or any successor thereto) at its principal office in New York, and shall change when and as any
such change in such prime or base rate shall be announced by such bank. 

        (c)   Payment Obligations Absolute. The Company's obligation to pay (or cause one of its subsidiaries to pay) Executive the
amounts and to make the arrangements provided herein shall be absolute and unconditional and shall not be affected by any circumstances, including, without limitation, any set-off,
counterclaim, recoupment, defense or other right which the Company (including its subsidiaries) may have against him or anyone else. All amounts payable by the Company (including its subsidiaries
hereunder) shall be paid without notice or demand. Executive shall not be obligated to seek other employment in mitigation of the amounts payable or arrangements made under any provision of this
Agreement, and, except as provided in Paragraphs 3(a), 3(b) and 4(b) hereof, the obtaining of any such other employment shall in no event effect any reduction of the Company's
obligations to make (or cause to be made) the payments and arrangements required to be made under this Agreement. 

        (d)   Successors. This Agreement shall be binding upon and inure to the benefit of the Company and any successor of the
Company, by merger or otherwise. This Agreement shall also be binding upon and inure to the benefit of Executive and his estate. If Executive shall die prior to 

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full
payment of amounts due pursuant to this Agreement, such amounts shall be payable pursuant to the terms of this Agreement to his estate. 

        (e)   Severability. Any provision in this Agreement which is prohibited or unenforceable in any jurisdiction by reason of
applicable law shall, as to such jurisdiction, be ineffective only to the extent of such prohibition or unenforceability without invalidating or affecting the remaining provisions hereof, and any such
prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. 

        (f)    Non-Alienation. Executive shall not have any right to pledge, hypothecate, anticipate or assign this
Agreement or the rights hereunder, except by will or the laws of descent and distribution. 

        (g)   Notices. Any notices or other communications provided for in this Agreement shall be sufficient if in writing. In the
case of Executive, such notices or communications shall be effectively delivered if hand delivered to Executive at his principal place of employment or if sent by registered or certified mail to
Executive at the last address he has filed with the Company. In the case of the Company, such notices or communications shall be effectively delivered if sent by registered or certified mail to the
Company at its principal executive offices. 

        (h)   Controlling Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of
Colorado. 

        (i)    Release. As a condition to the receipt of any benefit under Paragraph 3 hereof, Executive shall first execute a
release, in the form established by the Company, releasing the Company, its shareholders, partners, officers, directors, employees and agents from any and all claims and from any and all causes of
action of any kind or character, including but not limited to all claims or causes of action arising out of Executive's employment with the Company or the termination of such employment. 

        (j)    Full Settlement. If Executive is entitled to and receives the benefits provided hereunder, performance of the obligations
of the Company hereunder will constitute full settlement of all claims that Executive might otherwise assert against the Company on account of his termination of employment. 

        (k)   Unfunded Obligation. The obligation to pay amounts under this Agreement is an unfunded obligation of the Company
(including its subsidiaries), and no such obligation shall create a trust or be deemed to be secured by any pledge or encumbrance on any property of the Company (including its subsidiaries). 

        (l)    Not a Contract of Employment. This Agreement shall not be deemed to constitute a contract of employment, nor shall any
provision hereof affect (a) the right of the Company (or its subsidiaries) to discharge Executive at will or (b) the terms and conditions of any other agreement between the Company and
Executive except as provided herein. 

        (m)  Number and Gender. Wherever appropriate herein, words used in the singular shall include the plural and the plural shall
include the singular. The masculine gender where appearing herein shall be deemed to include the feminine gender. 

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        IN WITNESS WHEREOF, the parties hereto have executed this Agreement effective as of the effective date in Paragraph 7(a). 

	

 	
 	
"EXECUTIVE"
	

 	
 	

[Name]
	

 	
 	
"COMPANY"

	

 	
 	
FOREST OIL CORPORATION
	

 	
 	

By:	
 	

	 	 	Name	 	

	 	 	Title	 	

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Exhibit 10.3    
    

FOREST OIL CORPORATION

AMENDED AND RESTATED SALARY DEFERRAL

COMPENSATION PLAN  

        1.    Purpose.    

        The
purpose of this amended and restated Plan is to provide the terms of an unfunded deferred compensation plan for a select group of management, highly compensated employees, directors
and persons who have been management, highly compensated employees or directors of Forest Oil Corporation (the "Company") who may elect, pursuant to the Deferral Elections, to defer certain
compensation otherwise due to them. It is intended that the Plan constitute an unfunded "top hat plan" for purposes of the Employee Retirement Income Security Act of 1974, as amended. 

        2.    Definitions.    

        The
following terms used in the Plan shall have the meanings set forth below: 

        (a)   "Affiliate" means, with respect to the Company, any entity directly or indirectly controlling, controlled by, or under
common control with, the Company or any other entity designated by the Board in which the Company or an Affiliate has an interest. 

        (b)   "Beneficiary" shall mean any person, persons, trust or other entity designated by a Participant to receive benefits, if
any, under the Plan upon such Participant's death. No designation or change in designation of a Beneficiary shall be effective until received and acknowledged in writing by the Committee or its
designated agent. 

        (c)   "Board" shall mean the Board of Directors of the Company. 

        (d)   "Change of Control" shall mean any of the following: 

        (i)    the
Company is not the surviving entity in any merger, consolidation or other reorganization (or survives only as a subsidiary of an entity other than a previously
wholly-owned subsidiary of the Company); 

        (ii)   the
Company sells, leases or exchanges all or substantially all of its assets to any other person or entity (other than a wholly-owned subsidiary of the Company): 

        (iii)  the
Company is to be dissolved and liquidated; 

        (iv)  any
person or entity, including a "group" as contemplated by Section 13(d)(3) of the Securities Exchange Act of 1934, as amended, acquires or gains ownership or
control (including, without limitation, power to vote) of more than 50% of the outstanding shares of the Company's voting stock (based on voting power); or 

        (v)   as
a result of or in connection with a contested election of directors, the persons who were directors of the Company before such election cease to constitute a majority
of the Board; 

provided, however, that "Change of Control" shall not include any reorganization, merger or
consolidation involving solely the Company and one or more previously wholly-owned subsidiaries of the Company. 

        (e)   "Claimant" shall have the meaning set forth in Section 9(a). 

        (f)    "Code" shall mean the Internal Revenue Code of 1986, as amended. 

        (g)   "Committee" shall mean the Compensation Committee appointed by the Board. 

        (h)   "Company" shall mean Forest Oil Corporation and its successors. 

 

        (i)    "Deferral Account" shall mean the recordkeeping account established and maintained by the Company in the name of a
Participant as provided in Section 4(b) for deferrals made by a Participant pursuant to a Deferral Election. 

        (j)    "Deferral Amount" shall mean the amount of unvested restricted stock, compensatory options and/or cash compensation
deferred pursuant to a Deferral Election; provided, however, that the Deferral Amount of each
Participant on any given Deferral Election shall be reasonably expected to result in a deferral of at least $10,000 or such other amount as the Committee shall specify from time to time. 

        (k)   "Deferral Election" shall mean an election form executed by the Participant, in the form attached hereto as
Exhibit A (as may be revised from time to time with respect to any one or more Participants, consistent with the Plan, by or at the direction of the Company's chief executive officer, chief
financial officer or chief legal officer), whereby the Participant (i) makes an advance election to defer compensation such Participant would otherwise be entitled to receive with respect to
unvested restricted stock, compensatory options and/or in cash from the Company during the following calendar year, including an amount or percentage of compensation to be deferred,
(ii) specifies a schedule according to which the Participant will receive payout of his deferred compensation and (iii) makes such other elections as are permitted and provides such
other information as is required under the Plan. 

        (l)    "Disability" shall mean a mental or physical condition (i) that qualifies the Participant (or would qualify the
Participant, were he or she an employee of the Company) as being disabled for purposes of any of the plans or programs of the Company under which benefits, compensation, or awards are contingent upon
a finding of disability, or (ii) as a result of which, in the opinion of the Committee, the Participant would be unable to perform the usual duties performed by the Participant for the Company
or its Affiliates. 

        (m)  "Election Date" shall mean January 21, 2003, and for each subsequent calendar year during which the Plan is in
effect, December 31 of the immediately preceding calendar year, or such other date designated as the Election Date in the applicable Deferral Election. 

        (n)   "Fair Market Value" shall mean, on a given date of valuation, (i) with respect to any mutual fund, the closing net
asset value as reported in The Wall Street Journal with respect to the date of valuation and (ii) with respect to a security traded on a national securities exchange or the NASDAQ National
Market, the closing price on the date of valuation as reported in The Wall Street Journal. 

        (o)   "Hypothetical Investments" shall have the meaning set forth in Section 4(c). 

        (p)   "Manager" shall have the meaning set forth in Section 4(c). 

        (q)   "Observer" shall have the meaning set forth in Section 3(a). 

        (r)   "Officers" shall have the meaning set forth in Section 8(b)(ii). 

        (s)   "Participant" shall mean a present or former employee or director of the Company designated on Exhibit B who is
participating in this Plan and any other present or former employee or director designated from time to time by the Committee. 

        (t)    "Pay Day" shall mean, for each Participant, the day on which the Company is required, by the terms of the applicable
Deferral Election form or any other agreement between the Participant and the Company, to make a payment of cash or other compensation, which such Participant defers under this Plan. 

        (u)   "Plan" shall mean this Forest Oil Corporation Amended and Restated Salary Deferral Compensation Plan. 

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        (v)   "Plan Effective Date" shall mean January 1, 2003. 

        (w)  "Released Party" shall have the meaning set forth in Section 8(b)(iii). 

        (x)   "Trust" shall mean any trust or trusts established or designated by the Company pursuant to Section 5(a) to
hold assets in connection with the Plan. 

        (y)   "Trustee" shall have the meaning set forth in Section 5(a). 

        3.    Authority and Administration of the Committee.    

        (a)   Authorization of Committee and Appointment of Observer. 

        (i)    The
Committee shall be authorized by the Board to administer the Plan. 

        (ii)   The
Participants may, by a vote of the majority of the Participants, appoint a representative from among them (the "Observer") to observe all Committee meetings at
which the Committee will consider any material action or material change to the Plan or the Trust. 

        (b)   Committee Meetings. The Committee shall give thirty (30) days' written notice to the Observer prior to each
Committee meeting (the "Notice") if such meeting considers any material action or material change to the Plan or Trust, which Notice may be waived in writing at any time by the Observer. The Committee
shall take all reasonable steps to schedule such a Committee meeting at a time when the Observer can attend. If the Observer is unable to attend the meeting, he or she may appoint a substitute to
attend. The Committee need not give Notice of a Committee meeting which does not consider material actions or material changes to the Plan or Trust. 

        (c)   Resignation and Removal. 

        (i)    The
Board shall provide the terms upon which members of the Committee serve on the Committee. 

        (ii)   An
Observer shall be deemed to have resigned if he or she is no longer a Participant in the Plan, which deemed resignation shall be effective as of the date of
termination of participation in the Plan. 

        (iii)  A
majority of the Participants may remove an Observer, by giving thirty (30) days' written notice to the Observer. 

        (d)   Committee Voting. Except as otherwise provided by the Board, in all matters pertaining to the administration of the Plan,
the concurrence and joinder of a majority of the Committee members shall be required at any time at which more than two (2) are acting, but if only two (2) are acting the joinder of both
of them shall be required. The Observer shall have no vote. 

        (e)   Committee Administration. The Committee shall administer the Plan in accordance with its terms, and shall have all powers
necessary to accomplish such purpose, including the power and authority to reasonably construe and interpret the Plan, to define the terms used herein, to prescribe, amend and rescind rules and
regulations, agreements, forms, and notices relating to the administration of the Plan, and to make all other determinations necessary or advisable for the administration of the Plan. The senior human
resources employee of the Company is initially appointed, on behalf of the Committee, to carry out purely administrative duties related to the Plan and to receive notices relating to the Plan, and is
hereby authorized to delegate such duties as he or she sees fit. The Committee may appoint additional agents and delegate thereto powers and duties under the Plan. All references to the Committee in
Section 8(b) hereof shall be deemed to include any person acting on behalf of the Committee pursuant to this Section 3(e). 

3

 

        (f)    Participant Challenge of Committee Action. There is no presumption that the Committee's actions or interpretations with
regard to the Plan are correct. Participants may, if approved by a vote of the majority of the Participants, challenge the Committee's actions and interpretations through litigation or arbitration.
The Company shall pay the costs and fees of any litigation or arbitration concerning the Plan if the Participants are successful. Additionally, the court or arbitrator may award costs and fees to the
Participants if the court or arbitrator finds the Participants' claim or action reasonable. Notwithstanding the foregoing, no such costs or fees of any Participant shall be paid by the Company to the
extent that the litigation or arbitration is connected with matters or issues which the Participants specifically waive under this Plan. 

        4.    Deferral Elections and Deferral Accounts.    

        (a)   Deferral Elections. Each Participant may elect to defer all or a portion of his or her compensation, under the terms
provided in any Deferral Election form provided to the Participant in accordance with the Plan, by delivering to the Company a completed and executed Deferral Election on or before the relevant
Election Date. The Deferral Election form shall establish for each Participant the type and amount of compensation (including unvested restricted stock and/or compensatory options) that may be
deferred pursuant to the Plan and such determination will be reflected on the relevant Deferral Election form. The Company shall notify each Participant in writing of any upcoming Election Date
applicable to such Participant and shall solicit his or her Deferral Election to be delivered to the Company on or before that Election Date. 

        (b)   Establishment of Deferral Accounts. The Committee shall establish a Deferral Account for each Deferral Election timely
delivered by a Participant. Each Deferral Account shall be maintained for the Participant solely as a bookkeeping entry by the Company to evidence unfunded obligations of the Company. The Participant
shall be 100% vested in the Participant's Deferral Account at all times, except to the extent otherwise specified in the applicable Deferral Election form. The balance in a Deferral Account shall
initially equal the Deferral Amount specified in the Participant's initial Deferral Election and shall be increased by the Deferral Amount specified in any subsequent Deferral Election timely
delivered by that Participant, in each case, less the amount of federal, state or local tax required by law to be withheld from the Deferral Amount. 

        (c)   Hypothetical Investments and Managers. Subject to the provisions of Section 4(e), amounts credited to a Deferral
Account shall be deemed to be invested, at the Participant's direction from time to time, in a broad array of hypothetical investments selected from a list established by the Committee ("Hypothetical
Investments"). A Participant may select Hypothetical Investments or may select an investment manager (a "Manager") from a list established by the Committee, and the Manager will then select
Hypothetical Investments on behalf of the Participant. Any Deferral Amount attributable to the deferral of compensation in connection with unvested restricted stock or compensatory options shall be
deemed to be invested initially in such stock or options, as the case may be. The Committee shall be liberal and shall include Hypothetical Investments and Managers representing a wide variety of
investment alternatives, and may include private equity securities that, in the judgment of the Company, (i) can be reasonably valued at least quarterly and (ii) are transferable to
accredited investors. The Committee shall consider requests from any Participant to add to the initial list of Hypothetical Investments and Managers and shall satisfy such requests if they are
reasonably acceptable to the Committee. The Committee may change or discontinue any Hypothetical Investment or Manager available under the Plan in its sole discretion. The initial list of Hypothetical
Investments and Managers shall be established by the Board or the Committee and provided to potential Participants in connection with the solicitation of the Deferral Election. The initial list
provided to a Participant shall include as Hypothetical Investments any stock and compensatory options the Participant is permitted to defer under the Plan. 

4

 

        (d)   Investment of Deferral Accounts. As provided in Section 4(c), each Deferral Account shall be deemed to be invested
in one or more Hypothetical Investments as of the date of the deferral or credit, as the case may be. The amounts of hypothetical income, appreciation and depreciation in value of the Hypothetical
Investments shall be credited and debited to, or otherwise reflected in, such Deferral Account from time to time in accordance with procedures established by the Committee. Unless otherwise determined
by the Committee, amounts credited to a Deferral Account shall be deemed invested in Hypothetical Investments as of the date so credited. 

        (e)   Allocation and Reallocation of Hypothetical Investments. A Participant may allocate and reallocate amounts credited to
his or her Deferral Account to one or more of the Hypothetical Investments or Managers authorized under the Plan. Subject to the rules established by the Committee, a Participant may reallocate
amounts credited to his or her Deferral Account to other Hypothetical Investments or
other Managers by filing with the Committee a notice, in such form as may be specified by the Committee; provided that such reallocation shall not be
permitted more than once per calendar quarter without the written consent of the Committee. The Committee may direct the Managers accordingly; provided, however, that a Manager may reallocate amounts
credited to a Deferral Account for which it has responsibility at any time without limitation. No Participant shall have the right, at any time, to direct a Manager to enter into specific transactions
in connection with his or her Deferral Account; provided that this provision shall not prohibit the Participant from communicating with the Manager
regarding Hypothetical Investments, including communication regarding preferred Hypothetical Investment objectives. Each Manager shall have the power to acquire and dispose of such investments as the
Manager determines necessary in connection with its portfolio. The Committee may restrict or prohibit reallocation of amounts deemed invested in specified Hypothetical Investments or invested by
specified Managers to comply with applicable law or regulation. 

        (f)    No Actual Investment. Notwithstanding any other provision of this Plan that may be interpreted to the contrary, the
Hypothetical Investments are to be used for measurement purposes only. A Participant's election of any such Hypothetical Investments, the allocation of such Hypothetical Investments to his or her
Deferral Account, the calculation of additional amounts and the crediting or debiting of such amounts to a Participant's Deferral Account shall not be considered or construed in any manner as an
actual investment of his or her Deferral Account in any such Hypothetical Investments. In the event that the Company or the Trustee, in its own discretion, decides to invest funds in any or all of the
Hypothetical Investments, no Participant shall have any rights in or to such investments themselves. Without limiting the foregoing, a Participant's Deferral Account shall at all times be a
bookkeeping entry only and shall not represent any investment made on his or her behalf by the Company or the Trust. The Participant shall at all times remain an unsecured creditor of the Company. 

        (g)   Certain Investments of the Trust. The Company may, in its own discretion, take such actions as it deems necessary and
appropriate (including, where appropriate, establishing a separate trust pursuant to a separate trust agreement) in connection with any investment of the Trust in stock or options issued by the
Company. 

        5.    Establishment of Trust.    

        (a)   The Trust Agreement. The Company has entered into a Trust Agreement, in the form attached hereto as Exhibit C,
providing for the establishment of a trust to be held and administered by a trustee (the "Trustee") designated in the Trust Agreement (the "Trust"). The Trustee shall be the agent for the Committee
for purposes of (i) performing purely ministerial functions in connection with (A) maintaining the Deferral Accounts and (B) accepting and recording directions from a Participant
as to the allocation of amounts credited to the Participant's Deferral Account in accordance with Sections 4(c) and 4(e) and (ii) any other duties delegated to 

5

 

the
Trustee by the Committee as set forth in the Trust Agreement. The Trust Agreement will provide that the Trustee is responsible for (i) performing all ministerial functions as described in
the foregoing sentence and (ii) annually furnishing to the Company all information necessary to comply with any applicable financial, tax or other reporting requirements. 

        (b)   Funding the Trust. Within five (5) business days after the relevant Pay Day, the Company shall deposit into
the Trust cash or other assets, as specified in the applicable Deferral Election, equal to the aggregate Deferral Amount of the Participant for that Pay Day, less applicable taxes. The Company shall
determine the procedures for transferring assets in respect of restricted stock or options deferred under the Plan. The assets of the Trust shall remain subject to the claims of the general creditors
of the Company in the event of an insolvency of the Company. 

        (c)   Taxes and Expenses of the Trust. All taxes on any gains and losses from the investment of the assets of the Trust shall
be recognized by the Company and the taxes thereon shall be paid by the Company and shall not be recovered from the Deferral Accounts or the Trust. The third-party administrative and investment
expenses of the Plan and the Trust, including expenses charged by the Trustee to establish the Trust and the Trustee's annual fee per Deferral Account, shall be paid by the Trustee from the Trust and
shall reduce each Deferral Account balance equally. Any expenses incurred with respect to a particular Hypothetical Investment shall be charged to the Deferral Account that is deemed invested in such
Hypothetical Investment. No part of the Company's internal expenses to administer the Plan, including overhead expenses, shall be charged to the Trust or the Deferral Accounts. 

        6.    Settlement of Deferral Accounts.    

        (a)   Payout of Deferral Accounts. The Company shall pay or direct the Trustee to pay the net amount credited to a Deferral
Account as elected by the Participant in the Participant's Deferral Election. Except for payouts due to the death or Disability of the Participant, no payout shall occur prior to the first anniversary
of the Plan Effective Date. A Participant may modify the payout of his Deferral Account one or more times; provided, that such modification is made at
least twelve (12) months prior to the first scheduled payout date of the payouts to be deferred, according to the schedule in effect at the time of such modification. Notwithstanding anything
else in this Plan, all payouts shall occur on or prior to the eighth anniversary of the Plan Effective Date or such later date as may be determined by the Committee. 

        (b)   Payment in Cash. The Company shall settle a Participant's Deferral Account, and discharge all of its obligations to pay
deferred compensation under the Plan with respect to such Deferral Account, by payment of cash in an amount equal to or, at the option of the Company, in marketable securities with a Fair Market Value
equal to the net amount credited to the applicable Deferral Account. Any such distributions to a Participant shall reduce the Company's obligations under the Plan to such Participant. The Company's
obligation under the Plan may be satisfied by distributions from the Trust. 

        (c)   Timing of Payments. 

        (i)    Payments
in settlement of a Deferral Account shall be made as soon as practicable after the date or dates (including upon the occurrence of specified events), and in
such number of installments, as directed by the Participant in the Participant's Deferral Election, unless otherwise provided in this Section 6. The minimum annual amount for distribution of
deferrals shall be the lesser of the balance of the Deferral Account, $25,000 or such lesser amount as may be permitted by the Committee or under the applicable Deferral Election form. All amounts
needed for a payment shall be deemed withdrawn from the Hypothetical Investments as close in time as is practicable to the requested payment date. If a Participant has elected to receive partial
payments of the amount in his or her Deferral Account, unpaid 

6

 

balances
shall continue to be deemed to be invested in the Hypothetical Investments that such Participant has designated pursuant to Section 4(c) or 4(e). 

        (ii)   Except
as provided otherwise in the applicable Deferral Election form, in the event of a Participant's death prior to the payment of all net amounts credited to his or
her Deferral Account, such amounts shall be paid to the Participant's designated Beneficiary in a single lump sum as soon as practicable after the Participant's death. If a Participant fails to
designate a Beneficiary or if all designated Beneficiaries predecease the Participant or die prior to complete distribution of the Participant's benefits, the Participant's designated Beneficiary
shall be deemed to be his or her surviving spouse. If the Participant has no surviving spouse, the benefits remaining under the Plan to be paid to a Beneficiary shall be payable to the executor or
personal representative of the Participant's estate. If the Committee has any doubt as to the proper Beneficiary to receive payments pursuant to this Plan, the Committee shall have the right,
exercisable in its discretion, to withhold such payments until this matter is resolved to the Committee's satisfaction. The payment of benefits under the Plan to a Beneficiary shall fully and
completely discharge the Company from all further obligations under this Plan with respect to the Participant, and such Participant's interest in the Plan shall terminate upon such full payment of
benefits. 

        (iii)  Irrespective
of any elections made by a Participant, (i) subject to Section 7(b), the net amount credited to a Participant's Deferral Account will be
paid out in a single lump sum upon a Change of Control or a termination of the Plan and (ii) the Committee may provide, subject to the applicable Deferral Election form, that the net amount
credited to a Participant's Deferral Account may be paid
out in a single lump sum to the Participant in the event of the Participant's Disability or termination of employment with the Company or an Affiliate (but ignoring transfers of employment between or
among the Company or any of its Affiliates). 

        (d)   Financial Emergency. Other provisions of the Plan notwithstanding, if, upon thirty (30) days advance written
notice from a Participant, the Committee determines that the Participant has an unforeseen financial emergency of such a substantial nature and beyond the Participant's control that payment of amounts
previously deferred under the Plan is warranted, the Committee may direct the immediate lump sum payment to the Participant of the applicable portion of the Participant's Deferral Account. 

        (e)   Special Election for Early Distribution. Other provisions of the Plan notwithstanding, the Participant may withdraw
amounts from the Participant's Deferral Account on ten (10) days advance written notice to the Committee in accordance with approval procedures as the Committee, in its sole discretion, may
establish. Such withdrawn amounts shall be made in a single lump sum, provided, that ten percent (10%) of the amount withdrawn shall be forfeited to the
Company prior to the payment to the Participant. The minimum withdrawal a Participant may request shall equal the lesser of (i) $25,000 and (ii) the total amount in the Participant's
Deferral Account. 

        (f)    Distribution in the Event of Taxation. If, for any reason, all or any portion of a Participant's benefits under this Plan
becomes taxable to the Participant prior to receipt, a Participant may petition the Committee in writing for a distribution of that portion of his or her benefit that has become taxable. Upon the
grant of such a petition, which grant shall not be unreasonably withheld, the Company shall distribute to the Participant immediately available funds in an amount equal to the taxable portion of his
or her benefit which amount shall not exceed a Participant's Deferral Account under the Plan. If the petition is granted, the tax liability distribution shall be made within thirty (30) days of
the date when the Participant's petition is granted. 

7

 

        (g)   Effect on Deferral Account. A Participant's Deferral Account shall be debited to the extent of any distributions to the
Participant pursuant to this Section 6. 

        7.    Amendment/Termination.    

        (a)   The
Committee or the Board may, with prospective or retroactive effect, amend, alter, suspend, discontinue, or terminate the Plan (i) if there is a change in law
or regulatory authority that reasonably would be expected to result in an increase in the cost to the Company of at least $1,000,000 to maintain the Plan (other than an increase resulting from taxes
on any gains from investment of the assets of the Trust), (ii) if the Internal Revenue Service determines that any amounts deferred under the
Plan are includible in the Participant's gross income prior to being paid out to the Participant, or (iii) if each Participant who is materially adversely affected by such action (e.g., by the
income tax consequences to such Participant by such action) with respect to amounts previously deferred by such Participant under any previously submitted Deferral Election provides prior written
consent to such action. 

        (b)   Notwithstanding
any other provision to the contrary and except as otherwise provided in the applicable Deferral Election form, (i) upon a Change of Control,
(A) the Committee or the Board may, in its sole discretion, terminate the Plan and (B) if the Plan is not terminated, a Participant may elect to redefer his or her benefits payable under
the Plan on terms substantially similar to the terms provided in Section 6, and (ii) the Plan shall terminate as soon as possible following the payment of all amounts in respect of all
Deferral Accounts. 

        8.    General Provisions.    

        (a)   Limits on Transfer of Awards. Other than by will, the laws of descent and distribution, or by appointing a Beneficiary,
no right, title or interest of any kind in the Plan shall be transferable or assignable by a Participant (or the Participant's Beneficiary) or be subject to alienation, anticipation, encumbrance,
garnishment, attachment, levy, execution or other legal or equitable process, nor subject to the debts, contracts, liabilities or engagements, or torts of any Participant or the Participant's
Beneficiary. Any attempt to alienate, sell, transfer, assign, pledge, garnish, attach or take any other action subject to legal or equitable process or encumber or dispose of any interest in the Plan
shall be void. 

	(b)
	Waiver, Receipt and Release. 

        (i)    As
between the Participant and the Company, a Participant and the Participant's Beneficiary shall assume all risk (other than gross negligence of the Company or the
Committee, or breach by the Company of the terms of this Plan) in connection with the Plan, Trust design, implementation or administration, Hypothetical Investment decisions made by the Participant
and the resulting value of the Participant's Deferral Account, the selection and actions of the Trustee or any other third party providing services to the Company or the Trust in connection with the
Plan or Trust (including their administrative and investment expenses), including any income tax issues of the Participant or Participant's Beneficiary relating to or arising out of his or her
participation in the Plan, and neither the Company nor the Committee shall be liable or responsible therefor other than as provided in Section 5(c). 

        (ii)   As
a condition of being a Participant in the Plan, each Participant must sign a waiver releasing the Company and its Affiliates, the Committee, officers of the Company
or its Affiliates (the "Officers") and the Board from any claims and liabilities regarding the matters to which the Participant has assumed the risk as set forth in this Section. Payments (in any
form) to any Participant or Beneficiary in accordance with the provisions of the Plan shall, to the extent thereof, be in full satisfaction of all claims for compensation deferred and relating to the
Deferral Account to which the payments relate against the Company or any Affiliate or the Committee, and the Committee may require such Participant or Beneficiary, as a condition to such payments, to
execute a waiver, receipt and release to such effect. 

8

 

        (iii)  As
a condition of being a Participant in the Plan, each Participant must sign a waiver releasing the Trustee and each of its Affiliates (each, a "Released Party")
against any and all loss, claims, liability and expenses imposed on or incurred by any Released Party as a result of any acts taken or any failure to act by the Trustee, where such act or failure to
act is in accordance with the directions from the Committee or any designee of the Committee. 

        (iv)  Each
Participant agrees to pay any taxes, penalties and interest such Participant or Beneficiary may incur in connection with his or her participation in this Plan, and
further agrees to indemnify the Company and its Affiliates, the Committee, Officers and the Board for such taxes, penalties and interest the Participant or Participant's Beneficiary incurs and fails
to pay and for which the Company is made liable by the appropriate tax authority. 

        (c)   Unfunded Status of Awards, Creation of Trusts. The Plan is intended to constitute an unfunded plan for deferred
compensation and each Participant shall rely solely on the unsecured promise of the Company for payment hereunder. With respect to any payment not yet made to a Participant under the Plan, nothing
contained in the Plan shall give a Participant any rights that are greater than those of a general unsecured creditor of the Company. 

        (d)   Participant Rights. No provision of the Plan or transaction hereunder shall confer upon any Participant any right or
impose upon any Participant any obligation to be employed by the Company or an Affiliate, or to interfere in any way with the right of the Company or an Affiliate to increase or decrease the amount of
any compensation payable to such Participant. Subject to the limitations set forth in Section 8(c) hereof, the Plan shall inure to the benefit of, and be binding upon, the parties hereto
and their successors and assigns. 

        (e)   Tax Withholding. The Company shall have the right to deduct from amounts otherwise credited to or paid from a Deferral
Account any sums that federal, state, local or foreign tax law requires to be withheld. 

        (f)    Governing Law. The validity, construction, and effect of the Plan and any rules and regulations relating to the Plan
shall be determined in accordance with the laws of the State of New York, without giving effect to principles of conflicts of laws to the extent not pre-empted by federal law. 

        (g)   Limitation. A Participant and the Participant's Beneficiary shall assume all risk in connection with (i) the
performance of the Managers, (ii) the performance of the Hypothetical Investments and (iii) the tax treatment of amounts deferred under or paid pursuant to the Plan, and neither the
Company nor the Committee shall be liable or responsible therefor. 

        (h)   Construction. The captions and numbers preceding the sections of the Plan are included solely as a matter of convenience
of reference and are not to be taken as limiting or extending the meaning of any of the terms and provisions of the Plan. Whenever appropriate, words used in the singular shall include the plural or
the plural may be read as the singular. 

        (i)    Severability. In the event that any provision of the Plan shall be declared illegal or invalid for any reason, said
illegality or invalidity shall not affect the remaining provisions of the Plan but shall be fully severable, and the Plan shall be construed and enforced as if said illegal or invalid provision had
never been inserted herein. 

        (j)    Status. The establishment and maintenance of, or allocations and credits to, the Deferral Account of any Participant
shall not vest in any Participant any right, title or interest in or to any Plan or Company assets or benefits except at the time or times and upon the terms and conditions and to the extent expressly
set forth in the Plan and in accordance with the terms of any Trust. 

        (k)   Spouse's Interest. The interest in the benefits hereunder of a spouse of a Participant who has predeceased the
Participant shall automatically pass to the Participant and shall not be transferable by such spouse in any manner, including but not limited to such spouse's will, nor shall such interest pass under
the laws of intestate succession. 

9

 

        (l)    Successors. The provisions of the Plan shall bind the Company and its successors. 

        9.    Claims Procedures.    

        (a)   Presentation of Claim. Any Participant or Beneficiary of a deceased Participant (such Participant or Beneficiary being
referred to below as a "Claimant") may deliver to the Committee a written claim for a determination with respect to the amounts distributable to such Claimant from the Plan. If such a claim relates to
the contents of a notice received by the Claimant, the claim must be made within sixty (60) days after such notice was received by the Claimant. All other claims must be made within one hundred
eighty (180) days of the date on which the event that caused the claim to arise occurred. The claim must state with particularity the determination desired by the Claimant. 

        (b)   Notification of Decision. The Committee shall consider a Claimant's claim within ten (10) days of receipt of the
claim and shall notify the Claimant in writing: 

        (i)    that
the Claimant's requested determination has been made, and that the claim has been allowed in full; or 

        (ii)   that
the Committee has reached a conclusion contrary, in whole or in part, to the Claimant's requested determination, and such notice must set forth in a manner
reasonably believed to be understood by the Claimant: 

        (A)  a
description of any additional material or information necessary for the Claimant to perfect the claim, and an explanation of why such material or information is
necessary; and 

        (B)  an
explanation of the claim review procedure set forth below. 

        (c)   Review of a Denied Claim. Within sixty (60) days after receiving a notice from the Committee that a claim has been
denied in whole or in part, a Claimant (or the Claimant's duly authorized representative) may file with the Committee a written request for a review of the denial of the claim. Thereafter, but not
later than thirty (30) days after the review procedure begins, the Claimant (or the Claimant's duly authorized representative): 

        (i)    may
review pertinent documents; 

        (ii)   will
be provided specific reference(s) to the pertinent Plan provisions upon which the decision was based; and 

        (iii)  will
be informed of such other matters as the Committee deems relevant. 

        (d)   Legal Action. A Claimant's compliance with the foregoing provisions of this Article 9 is a mandatory prerequisite
to a Claimant's right to commence any legal action with respect to any claim for benefits under this Plan. 

        10.    Effective Date.    

        Upon
receipt of the written consent of each Participant for whom the Company has established a Deferral Account pursuant to Section 4(b) of the Plan prior to its amendment
and restatement as provided herein, the Plan shall be effective as herein amended and restated as of the Plan Effective Date. 

H.
Craig Clark 

	

/s/  H. CRAIG CLARK      
 President and Chief Executive Officer

Forest Oil Corporation	
 	

 	
 	

 

10

QuickLinks

Exhibit 10.3

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