Document:

exv10w1

 

Exhibit 10.1

DOLLAR FINANCIAL CORP.

2005 STOCK INCENTIVE PLAN

     1. Purposes of the Plan. The purposes of this Plan are:

          (a) to attract and retain the best available personnel for positions of substantial
responsibility,

          (b) to provide additional incentive to selected key Employees, Consultants and Directors, and

          (c) to promote the success of the Company’s business.

     2. Definitions. For the purposes of this Plan, the following terms will have the
following meanings:

          (a) “Administrator” means the Board or any of its Committees that administer the Plan, in
accordance with Section 4.

          (b) “Applicable Laws” means the legal requirements relating to the administration of and
issuance of securities under stock incentive plans, including, without limitation, the requirements
of state corporations law, federal and state securities law, federal and state tax law, and the
requirements of any stock exchange or quotation system upon which the Shares may then be listed or
quoted. For all purposes of this Plan, references to statutes and regulations shall be deemed to
include any successor statutes and regulations, to the extent reasonably appropriate as determined
by the Administrator.

          (c) “Board” means the Board of Directors of the Company.

          (d) “Cause” shall have the meaning set forth in a Grantee’s employment or consulting agreement
with the Company (if any), or if not defined therein, shall mean (i) acts or omissions by the
Grantee which constitute intentional material misconduct or a knowing violation of a material
policy of the Company or any of its subsidiaries, (ii) the Grantee personally receiving a benefit
in money, property or services from the Company or any of its subsidiaries or from another person
dealing with the Company or any of its subsidiaries, in material violation of applicable law or
Company policy, (iii) an act of fraud, conversion, misappropriation, or embezzlement by the Grantee
or his conviction of, or entering a guilty plea or plea of no contest with respect to, a felony, or
the equivalent thereof (other than DUI), or (iv) any material misuse or improper disclosure of
confidential or proprietary information of the Company.

          (e) “Code” means the Internal Revenue Code of 1986, as amended. For all purposes of this
Plan, references to Code sections shall be deemed to include any successor Code sections, to the
extent reasonably appropriate as determined by the Administrator.

 

 

          (f) “Committee” means a Committee appointed by the Board in accordance with Section 4.

          (g) “Common Stock” means the common stock, $0.001 par value per share, of the Company.

          (h) “Company” means Dollar Financial Corp., a Delaware corporation.

          (i) “Consultant” means any natural person, including an advisor, engaged by the Company or a
Parent or Subsidiary to render bona fide services and who is compensated for such services,
provided that the term “Consultant” does not include (i) Employees or (ii) Directors who are paid
only a director’s fee by the Company or who are not compensated by the Company for their services
as Directors or (iii) any person who provides services in connection with the offer or sale of
securities in a capital-raising transaction, or who directly or indirectly promotes or maintains a
market for the securities of the Company.

          (j) “Continuous Status as an Employee, Director or Consultant” means that the employment,
director or consulting relationship is not interrupted or terminated by the Company, any Parent or
Subsidiary, or by the Employee, Director or Consultant. Continuous Status as an Employee, Director
or Consultant will not be considered interrupted in the case of: (i) any leave of absence approved
by the Board or required by Applicable Law, including sick leave, military leave, or any other
personal leave, provided, that for purposes of Incentive Stock Options, any such leave may
not exceed 90 days, unless reemployment upon the expiration of such leave is guaranteed by contract
(including certain Company policies) or statute; (ii) transfers between locations of the Company or
between the Company, its Parent, its Subsidiaries or its successor, or (iii) in the case of a
Nonqualified Stock Option or Stock Award, the ceasing of a person to be an Employee while such
person remains a Director or Consultant, the ceasing of a person to be a Director while such person
remains an Employee or Consultant, or the ceasing of a person to be a Consultant while such person
remains an Employee or Director.

          (k) “Director” means a member of the Board.

          (l) “Disability” means total and permanent disability as defined in Section 22(e)(3) of the
Code.

          (m) “Employee” means any person, including Officers and Directors employed as a common law
employee by the Company or any Parent or Subsidiary of the Company. Neither service as a Director
nor payment of a director’s fee by the Company will be sufficient, in and of itself, to constitute
“employment” by the Company.

          (n) “Exchange Act” means the Securities Exchange Act of 1934, as amended.

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          (o) “Fair Market Value” means, as of any date, the value of Common Stock determined as
follows:

          (i) If the Common Stock is listed on any established stock exchange or a national
market system, including, without limitation, NASDAQ, the Fair Market Value of a Share of
Common Stock will be (A) the closing sales price for such stock (or the closing bid, if no
sales are reported) as quoted on that system or exchange (or the system or exchange with
the greatest volume of trading in Common Stock) on the last market trading day prior to the
day of determination, or (B) any sales price for such stock (or the closing bid, if no
sales are reported) as quoted on that system or exchange (or the system or exchange with
the greatest volume of trading in Common Stock) on the day of determination, as the
Administrator may select, as reported in the Wall Street Journal or any other
source the Administrator considers reliable.

          (ii) If the Common Stock is regularly quoted by recognized securities dealers but
selling prices are not reported, the Fair Market Value of a Share of Common Stock will be
the mean between the high bid and low asked prices for the Common Stock on (A) the last
market trading day prior to the day of determination, or (B) the day of determination, as
the Administrator may select, as reported in the Wall Street Journal or any other
source the Administrator considers reliable.

          (iii) If the Common Stock is not traded as set forth above, the Fair Market Value will
be determined in good faith by the Administrator with reference to the earnings history,
book value and prospects of the Company in light of market conditions generally, and any
other factors the Administrator considers appropriate, such determination by the
Administrator to be final, conclusive and binding.

          (p) “Family Member” means any child, stepchild, grandchild, parent, stepparent, grandparent,
spouse, former spouse, sibling, niece, nephew, mother-in-law, father-in-law, son-in-law,
daughter-in-law, brother-in-law, or sister-in-law, including adoptive relationships, any person
sharing the Grantee’s household (other than a tenant or employee), a trust in which these persons
(or the Grantee) control the management of assets, and any other entity in which these persons (or
the Grantee) own more than 50% of the voting interests.

          (q) “Grant Notice” shall mean a written notice evidencing certain terms and conditions of an
individual Option grant. The Grant Notice is part of the Option Agreement.

          (r) “Grantee” shall mean (i) any Optionee or (ii) any Employee, Consultant or Director to whom
a Stock Award or Restricted Stock Unit Award has been granted pursuant to this Plan.

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          (s) “Incentive Stock Option” means an Option intended to qualify as an incentive stock option
within the meaning of Section 422 of the Code and the regulations promulgated thereunder.

          (t) “NASDAQ” means the Nasdaq Stock Market, Inc.

          (u) “Nonqualified Stock Option” means an Option not intended to qualify as an Incentive Stock
Option.

          (v) “Officer” means a person who is an officer of the Company within the meaning of Section 16
of the Exchange Act and the rules and regulations promulgated thereunder.

          (w) “Option” means a stock option granted under this Plan.

          (x) “Option Agreement” means a written agreement between the Company and an Optionee
evidencing the terms and conditions of an individual Option grant. Each Option Agreement is
subject to the terms and conditions of this Plan.

          (y) “Optioned Stock” means the Common Stock subject to an Option.

          (z) “Optionee” means an Employee, Consultant or Director who holds an outstanding Option.

          (aa) “Parent” means a “parent corporation” with respect to the Company, whether now or later
existing, as defined in Section 424(e) of the Code.

          (bb) “Plan” means this 2005 Stock Incentive Plan.

          (cc) “Restricted Stock Unit Award” means an award of restricted stock units granted under the
Plan representing the right to receive a payment based on a Share upon terms and conditions
determined by the Administrator.

          (dd) “Section” means, except as otherwise specified, a section of this Plan.

          (ee) “Share” means a share of the Common Stock, as adjusted in accordance with Section 16.

          (ff) “Stock Award” shall mean a grant or sale by the Company of a specified number of Shares
upon terms and conditions determined by the Administrator.

          (gg) “Subsidiary” means (i) a “subsidiary corporation” with respect to the Company, whether
now or later existing, as defined in Section 424(f) of the Code, or (ii) a limited liability
company, whether now or later existing, which would be a “subsidiary corporation” with respect to
the Company under Section 424(f) of the Code if it were a corporation.

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     3. Stock Subject to the Plan. Subject to the provisions of Section 16 of the Plan,
the maximum aggregate number of Shares which may be issued under the Plan will be 1,718,695 Shares
of Common Stock. The Shares may be authorized, but unissued, or reacquired Common Stock.

     If an Option expires or becomes unexercisable without having been exercised in full, or if a
Stock Award shall be cancelled or surrendered or expire for any reason without having been received
in full, or if a Restricted Stock Unit Award shall be cancelled or forfeited without the full
number of Shares thereunder having been issued, the Shares that were not purchased or issued or
that were cancelled will become available for future grant or sale under the Plan (unless the Plan
has terminated). If the Company purchases Shares which were issued pursuant to the exercise of an
Option or grant of a Stock Award or Restricted Stock Unit Award, however, those purchased Shares
will not be available for future grant under the Plan.

     4. Administration of the Plan.

          (a) Procedure.

          (i) Composition of the Administrator. The Plan will be administered by (A) the Board,
or (B) a Committee designated by the Board, which Committee will be constituted to satisfy
Applicable Laws. Once appointed, a Committee will serve in its designated capacity until
otherwise directed by the Board. The Board may increase the size of the Committee and
appoint additional members, remove members (with or without cause) and substitute new
members, fill vacancies (however caused), and remove all members of the Committee and
thereafter directly administer the Plan. Notwithstanding the foregoing, unless the Board
expressly resolves to the contrary, from and after such time as the Company is registered
pursuant to Section 12 of the Exchange Act, the Plan will be administered only by a
Committee, which will then consist solely of persons who are both “non-employee directors”
within the meaning of Rule 16b-3 promulgated under the Exchange Act and “outside directors”
within the meaning of Section 162(m) of the Code; provided, however, the failure of the
Committee to be composed solely of individuals who are both “non-employee directors” and
“outside directors” shall not render ineffective or void any awards or grants made by, or
other actions taken by, such Committee.

          (ii) Multiple Administrative Bodies. The Plan may be administered by different bodies
with respect to Directors, Officers who are not Directors, and Employees and Consultants
who are neither Directors nor Officers.

          (b) Powers of the Administrator. Subject to the provisions of the Plan, and in the
case of a Committee, subject to the specific duties delegated by the Board to that Committee, the
Administrator will have the authority, in its discretion:

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          (i) to determine the Fair Market Value of the Common Stock, in accordance with Section
2(o);

          (ii) to select the Consultants, Employees or Directors to whom Options, Stock Awards
or Restricted Stock Unit Awards may be granted;

          (iii) to determine whether and to what extent Options, Stock Awards or Restricted
Stock Unit Awards are granted, and whether Options are intended as Incentive Stock Options
or Nonqualified Stock Options;

          (iv) to determine the number of Shares to be covered by each Option, Stock Award or
Restricted Stock Unit Award granted;

          (v) to approve forms of Grant Notices, Option Agreements and agreements governing
Stock Awards or Restricted Stock Unit Awards;

          (vi) to determine the terms and conditions, not inconsistent with the terms of this
Plan, of any grant of Options, Stock Awards, or Restricted Stock Unit Awards including, but
not limited to, (A) the Options’ exercise price, (B) the time or times when Options may be
exercised or Stock Awards or Restricted Stock Unit Awards will be vested, which may be
based on performance criteria or other reasonable conditions such as Continuous Status as
an Employee, Director or Consultant, (C) any vesting acceleration or waiver of forfeiture
restrictions, and any restriction or limitation regarding any Option, Optioned Stock, Stock
Award or Restricted Stock Unit Award, based in each case on factors that the Administrator
determines in its sole discretion, including but not limited to a requirement subjecting
the Optioned Stock or Shares to (1) certain restrictions on transfer (including without
limitation a prohibition on transfer for a specified period of time and/or a right of first
refusal in favor of the Company), and (2) a right of repurchase in favor of the Company
upon termination of the Grantee’s Continuous Status as an Employee, Director or Consultant;

          (vii) to determine the terms and restrictions applicable to Options, Stock Awards or
Restricted Stock Unit Awards;

          (viii) to modify or amend each Option, Stock Award or Restricted Stock Unit Award,
subject to Section 18(c);

          (ix) to authorize any person to execute on behalf of the Company any instrument
required to effect the grant of an Option, Stock Award or Restricted Stock Unit Award
previously granted by the Administrator;

          (x) to accelerate the vesting or exercisability of an Option, Stock Award or
Restricted Stock Unit Award;

          (xi) to construe and interpret the terms of this Plan;

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          (xii) to prescribe, amend, and rescind rules and regulations relating to the
administration of this Plan; and

          (xiii) to make all other determinations it considers necessary or advisable for
administering this Plan.

          (c) Effect of Administrator’s Decision. The Administrator’s decisions, determinations
and interpretations will be final and binding on all holders of Options, Stock Awards or Restricted
Stock Unit Awards. The Administrator shall not be required to exercise its authority or discretion
on a uniform or nondiscriminatory basis.

     5. Eligibility. Options granted under this Plan may be Incentive Stock Options or
Nonqualified Stock Options, as determined by the Administrator at the time of grant. Nonqualified
Stock Options, Stock Awards and Restricted Stock Unit Awards may be granted to Employees,
Consultants and Directors. Incentive Stock Options may be granted only to Employees; provided,
however, that Incentive Stock Options shall not be granted to Employees of a Subsidiary that is a
limited liability company unless such limited liability company is wholly-owned by the Company or
by a Subsidiary that is a corporation. If otherwise eligible, an Employee, Consultant or Director
who has been granted an Option, a Stock Award or a Restricted Stock Unit Award may be granted
additional Options, Stock Awards or Restricted Stock Unit Awards.

     6. Limitations on Grants of Incentive Stock Options. Each Option will be designated
in the Grant Notice as either an Incentive Stock Option or a Nonqualified Stock Option. However,
notwithstanding such designations, if the Shares subject to an Optionee’s Incentive Stock Options
(granted under all plans of the Company or any Parent or Subsidiary), which become exercisable for
the first time during any calendar year, have a Fair Market Value in excess of $100,000, the
Options accounting for this excess will be treated as Nonqualified Stock Options. For purposes of
this Section 6, Incentive Stock Options will be taken into account in the order in which they were
granted, and the Fair Market Value of the Shares will be determined as of the time of grant.

     7. Limit on Annual Grants to Individuals. From and after such time as the Company is
required to be registered pursuant to Section 12 of the Exchange Act, no Optionee may receive
grants, during any fiscal year of the Company or portion thereof, of Options which, in the
aggregate, cover more than 500,000 Shares, subject to adjustment as provided in Section 16. If an
Option expires or terminates for any reason without having been exercised in full, the unpurchased
shares subject to that expired or terminated Option will continue to count against the maximum
numbers of shares for which Options may be granted to an Optionee during any fiscal year of the
Company or portion thereof.

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     8. Term of the Plan. Subject to Section 22, this Plan will become originally effective
upon the earlier to occur of its adoption by the Board or its approval by the shareholders of the
Company as described in Section 22. It will continue in effect for a term of ten years from its
original effective date unless terminated earlier under Section 18. Unless otherwise provided in
this Plan, its termination will not affect the validity of any Option, Stock Award or Restricted
Stock Unit Award outstanding at the date of termination, which shall continue to be governed by the
terms of this Plan as though it remained in effect.

     9. Term of Option. The term of each Option will be stated in the Option Agreement;
provided, however, that in no event may the term be more than ten years from the
date of grant. In addition, in the case of an Incentive Stock Option granted to an Optionee who,
at the time the Incentive Stock Option is granted, owns stock representing more than 10% of the
voting power of all classes of capital stock of the Company or any Parent or Subsidiary, the term
of the Incentive Stock Option will be five years from the date of grant or any shorter term
specified in the Option Agreement.

     10. Option Exercise Price and Consideration.

          (a) Exercise Price of Incentive Stock Options. The exercise price for Shares to be
issued pursuant to exercise of an Incentive Stock Option will be determined by the Administrator
provided that the per Share exercise price will be no less than 100% of the Fair Market Value per
Share on the date of grant; provided, further that in the case of an Incentive Stock Option granted
to an Employee who, at the time the Incentive Stock Option is granted, owns stock representing more
than 10% of the voting power of all classes of capital stock of the Company or any Parent or
Subsidiary, the per Share exercise price will be no less than 110% of the Fair Market Value per
Share on the date of grant.

          (b) Exercise Price of Nonqualified Stock Options. In the case of a Nonqualified Stock
Option, the exercise price for Shares to be issued pursuant to the exercise of any such Option will
be determined by the Administrator.

          (c) Waiting Period and Exercise Dates. At the time an Option is granted, the
Administrator will fix the period within which the Option may be exercised and will determine any
conditions which must be satisfied before the Option may be exercised. Exercise of an Option may be
conditioned upon performance criteria or other reasonable conditions such as Continuous Status as
an Employee, Director or Consultant.

          (d) Form of Consideration. The Administrator will determine the acceptable form of
consideration for exercising an Option, including the method of payment. Such consideration may
consist partially or entirely of:

               (i) cash;

               (ii) to the extent permitted by Applicable Law, a promissory note made by the Optionee
in favor of the Company;

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               (iii) other Shares which have a Fair Market Value on the date of surrender equal to
the aggregate exercise price of the Shares as to which an Option will be exercised;

               (iv) delivery of a properly executed exercise notice together with any other
documentation as the Administrator and the Optionee’s broker, if applicable, require to
effect an exercise of the Option and delivery to the Company of the proceeds required to
pay the exercise price; or

               (v) any other consideration and method of payment for the issuance of Shares to the
extent permitted by Applicable Laws.

     11. Exercise of Option.

          (a) Procedure for Exercise; Rights as a Shareholder. Any Option granted hereunder
will be exercisable according to the terms of the Plan and at times and under conditions determined
by the Administrator and set forth in the Option Agreement; provided, however, that
an Option may not be exercised for a fraction of a Share.

     An Option will be deemed exercised when the Company receives: (i) written notice of exercise
(in accordance with the Option Agreement) from the person entitled to exercise the Option, (ii)
full payment for the Shares with respect to which the Option is exercised, and (iii) all
representations, indemnifications and documents reasonably requested by the Administrator. Full
payment may consist of any consideration and method of payment authorized by the Administrator and
permitted by the Option Agreement and this Plan. Shares issued upon exercise of an Option will be
issued in the name of the Optionee or, if requested by the Optionee, in the name of the Optionee
and his or her spouse. Until the stock certificate evidencing such Shares is issued (as evidenced
by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the
Company), no right to vote or receive dividends or any other rights as a shareholder will exist
with respect to the Optioned Stock, notwithstanding the exercise of the Option. Subject to the
provisions of Sections 15, 19, and 20, the Company will issue (or cause to be issued) such stock
certificate promptly after the Option is exercised. No adjustment will be made for a dividend or
other right for which the record date is prior to the date the stock certificate is issued, except
as provided in Section 16 of the Plan. Notwithstanding the foregoing, the Administrator in its
discretion may require the Company to retain possession of any certificate evidencing Shares of
Common Stock acquired upon exercise of an Option, if those Shares remain subject to repurchase
under the provisions of the Option Agreement or any other agreement between the Company and the
Optionee, or if those Shares are collateral for a loan or obligation due to the Company.

     Exercising an Option in any manner will decrease the number of Shares thereafter available,
both for purposes of this Plan and for sale under the Option, by the number of Shares as to which
the Option is exercised.

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          (b) Termination of Employment or Consulting Relationship or Directorship. If an
Optionee holds exercisable Options on the date his or her Continuous Status as an Employee,
Director or Consultant terminates (other than because of termination due to Cause, death or
Disability), the Optionee may exercise the Options that were vested and exercisable as of the date
of termination for a period of 90 days following such termination (or such other period as is set
forth in the Option Agreement or determined by the Administrator). If the Optionee is not entitled
to exercise his or her entire Option at the date of such termination, the Shares covered by the
unexercisable portion of the Option will revert to the Plan, unless otherwise set forth in the
Option Agreement or determined by the Administrator. The Administrator may determine in its sole
discretion that such unexercisable portion of the Option will become exercisable at such times and
on such terms as the Administrator may determine in its sole discretion. If the Optionee does not
exercise an Option within the time specified above after termination, that Option will expire, and
the Shares covered by it will revert to the Plan, unless otherwise set forth in the Option
Agreement or determined by the Administrator.

          (c) Disability of Optionee. If an Optionee holds exercisable Options on the date his
or her Continuous Status as an Employee, Director or Consultant terminates because of Disability,
the Optionee may exercise the Options that were vested and exercisable as of the date of
termination for a period of twelve months following such termination (or such other period as is
set forth in the Option Agreement or determined by the Administrator). If the Optionee is not
entitled to exercise his or her entire Option at the date of death, the Shares covered by the
unexercisable portion of the Option will revert to the Plan, unless otherwise set forth in the
Option Agreement or determined by the Administrator. The Administrator may determine in its sole
discretion that such unexercisable portion of the Option will become exercisable at such times and
on such terms as the Administrator may determine in its sole discretion. If the Optionee’s estate
or a person who acquired the right to exercise the Option by bequest or inheritance does not
exercise an Option within the time specified above after termination, that Option will expire, and
the Shares covered by it will revert to the Plan, unless otherwise set forth in the Option
Agreement or determined by the Administrator.

          (d) Death of Optionee. If an Optionee holds exercisable Options on the date his or her
death, the Optionee’s estate or a person who acquired the right to exercise the Option by bequest
or inheritance may exercise the Options that were vested and exercisable as of the date of death
for a period of twelve months following the date of death (or such other period as is set forth in
the Option Agreement or determined by the Administrator). If the Optionee is not entitled to
exercise his or her entire Option at the date of death, the Shares covered by the unexercisable
portion of the Option will revert to the Plan.

          (e) Termination for Cause. If an Optionee’s Continuous Status as an Employee,
Director or Consultant is terminated for Cause, then all Options (including any vested Options)
held by Optionee shall immediately be terminated and cancelled.

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          (f) Disqualifying Dispositions of Incentive Stock Options. If Common Stock acquired
upon exercise of any Incentive Stock Option is disposed of in a disposition that, under Section 422 of the Code, disqualifies the holder from the application
of Section 421(a) of the Code, the holder of the Common Stock immediately before the disposition
will comply with any requirements imposed by the Company in order to enable the Company to secure
the related income tax deduction to which it is entitled in such event.

     12. Non-Transferability of Options.

          (a) No Transfer. An Option may not be sold, pledged, assigned, hypothecated,
transferred, or disposed of in any manner other than by will or by the laws of descent or
distribution and may be exercised, during the lifetime of the Optionee, only by the Optionee.
Notwithstanding the foregoing, to the extent that the Administrator so authorizes at the time a
Nonqualified Stock Option is granted or amended, (i) such Option may be assigned pursuant to a
qualified domestic relations order as defined by the Code, and exercised by the spouse or former
spouse of the Optionee who obtained such Option pursuant to such qualified domestic relations
order, or (ii) such Option may be assigned, in whole or in part, during the Optionee’s lifetime to
one or more Family Members of the Optionee. Rights under the assigned portion may be exercised by
the Family Member(s) who acquire a proprietary interest in such Option pursuant to the assignment.
The terms applicable to the assigned portion shall be the same as those in effect for the Option
immediately before such assignment and shall be set forth in such documents issued to the assignee
as the Administrator deems appropriate.  

          (b) Designation of Beneficiary. An Optionee may file a written designation of a
beneficiary who is to receive any Options that remain unexercised in the event of the Optionee’s
death. If a participant is married and the designated beneficiary is not the spouse, spousal
consent will be required for the designation to be effective. The Optionee may change such
designation of beneficiary at any time by written notice to the Administrator, subject to the above
spousal consent requirement.

          (c) Effect of No Designation. If an Optionee dies and there is no beneficiary validly
designated and living at the time of the Optionee’s death, the Company will deliver such Optionee’s
Options to the executor or administrator of his or her estate, or if no such executor or
administrator has been appointed (to the knowledge of the Company), the Company, in its discretion,
may deliver such Options to the spouse or to any one or more dependents or relatives of the
Optionee, or if no spouse, dependent or relative is known to the Company, then to such other person
as the Company may designate.

          (d) Death of Spouse or Dissolution of Marriage. If an Optionee designates his or her
spouse as beneficiary, that designation will be deemed automatically revoked if the Optionee’s
marriage is later dissolved. Similarly, any designation of a beneficiary will be deemed
automatically revoked upon the death of the beneficiary if the beneficiary predeceases the
Optionee. Without limiting the generality of the preceding

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sentence, the interest in Options of a
spouse of an Optionee who has predeceased the Optionee or (except as provided in Section 12(a)
regarding qualified domestic relations orders) whose marriage has been dissolved will automatically
pass to the Optionee, and will not be transferable by such spouse in any manner, including but not limited to such
spouse’s will, nor will any such interest pass under the laws of intestate succession.

     13. Stock Awards.

          (a) Grant. Subject to the express provisions and limitations of the Plan, the
Administrator, in its sole and absolute discretion, may grant Stock Awards to Employees,
Consultants or Directors for a number of shares of Common Stock on such terms and conditions and to
such Employees, Consultants or Directors as it deems advisable and specifies in the respective
grants. Subject to the limitations and restrictions set forth in the Plan, an Employee, Consultant
or Director who has been granted an Option or Stock Award may, if otherwise eligible, be granted
additional Options or Stock Awards if the Administrator shall so determine.

          (b) Restrictions. The Administrator, in its sole and absolute discretion, may impose
restrictions in connection with any Stock Award, including without limitation, (i) imposing a
restricted period during which all or a portion of the Common Stock subject to the Stock Award may
not be sold, assigned, transferred, pledged or otherwise encumbered (the “Restricted Period”), (ii)
providing for a vesting schedule with respect to such Common Stock such that if a Grantee ceases to
be an Employee, Consultant or Director during the Restricted Period, some or all of the shares of
Common Stock subject to the Stock Award shall be immediately forfeited and returned to the Company.
The Administrator may, at any time, reduce or terminate the Restricted Period. Each certificate
issued in respect of shares of Common Stock pursuant to a Stock Award which is subject to
restrictions shall be registered in the name of the Grantee, shall be deposited by the Grantee with
the Company together with a stock power endorsed in blank and shall bear an appropriate legend
summarizing the restrictions imposed with respect to such shares of Common Stock.

          (c) Rights As Shareholder. Subject to the terms of any agreement governing a Stock
Award, the Grantee of a Stock Award shall have all the rights of a shareholder with respect to the
Common Stock issued pursuant to a Stock Award, including the right to vote such Shares; provided,
however, that dividends or distributions paid with respect to any such Shares which have not vested
shall be deposited with the Company and shall be subject to forfeiture until the underlying Shares
have vested unless otherwise provided by the Administrator in its sole discretion. A Grantee shall
not be entitled to interest with respect to the dividends or distributions so deposited.

     14. Restricted stock Unit Awards.

     (a) Grant. Subject to the express provisions and limitations of the Plan, the
Administrator may grant Restricted Stock Unit Awards to Employees, Consultants or Directors upon
such terms and conditions as the Administrator deems advisable and

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specifies in the respective
grants. Each Restricted Stock Unit shall represent the right of the Grantee to receive a Share or
an amount based on the value of a Share. The Administrator shall determine the number of
Restricted Stock Units to be granted and the requirements applicable to such Restricted Stock Units. All Restricted Stock Units shall be
credited to bookkeeping accounts on the Company’s records for purposes of the Plan.

     (b) Terms of Restricted Stock Units. The Administrator may grant Restricted Stock
Units that are payable on terms and conditions determined by the Administrator, which may include
payment based on achievement of performance goals or satisfaction of specified service
requirements. Restricted Stock Units may be paid at the end of a specified vesting or performance
period, or payment may be deferred to a date authorized by the Administrator. The Administrator
may at any time accelerate the vesting of any Restricted Stock Unit Award.

     (c) Payment. Subject to the provisions of Section 15, payment with respect to
Restricted Stock Units shall be made in shares.

     (d) Requirement of Employment or Service. The Administrator shall determine in the
Grant Agreement under what circumstances a Grantee may retain Restricted Stock Units after
termination of the Grantee’s employment or service, and the circumstances under which Restricted
Stock Unit Awards may be forfeited.

     (e) Shareholder Rights. The Grantee shall not have any shareholder rights with
respect to the Shares subject to a Restricted Stock Unit Award until that award vests and the
Shares are actually issued thereunder.

     15. Withholding Taxes. The Company will have the right to take whatever steps the
Administrator deems necessary or appropriate to comply with all applicable federal, state, local,
and employment tax withholding requirements, and the Company’s obligations to deliver Shares upon
the exercise of an Option or in connection with a Stock Award or Restricted Stock Unit Award will
be conditioned upon compliance with all such withholding tax requirements. Without limiting the
generality of the foregoing, upon the exercise of an Option, the Company will have the right to
withhold taxes from any other compensation or other amounts which it may owe to the Optionee, or to
require the Optionee to pay to the Company the amount of any taxes which the Company may be
required to withhold with respect to the Shares issued on such exercise. Without limiting the
generality of the foregoing, the Administrator in its discretion may authorize the Grantee to
satisfy all or part of any withholding tax liability by (a) having the Company withhold from the
Shares which would otherwise be issued in connection with a Stock Award or Restricted Stock Unit or
on the exercise of an Option that number of Shares having a Fair Market Value, as of the date the
withholding tax liability arises, equal to or less than the amount of the Company’s withholding tax
liability, or (b) by delivering to the Company previously-owned and unencumbered Shares of the
Common Stock having a Fair Market Value, as of the date the withholding tax liability arises, equal
to or less than the amount of the Company’s withholding tax liability.

-13-

 

     16. Adjustments Upon Changes in Capitalization, Dissolution, Merger or Asset Sale.

          (a) Changes in Capitalization. Subject to any required action by the shareholders of
the Company, if the outstanding shares of Common Stock are increased, decreased, changed into or
exchanged for a different number or kind of shares or securities of the Company or a successor
entity, or for other property (including without limitation, cash), through reorganization,
recapitalization, reclassification, stock combination, stock dividend, stock split, reverse stock
split, spin off, extraordinary corporate distribution or other similar transaction, an appropriate
and proportionate adjustment will be made in the maximum number and kind of shares as to which
Options, Stock Awards and Restricted Stock Unit Awards may be granted under this Plan. The
Administrator shall also, in its discretion, adjust the number or kind of shares or other property
allocated in respect of Stock Awards or deliverable upon exercise of any unexercised Options or
with respect to outstanding Restricted Stock Unit Awards which have been granted prior to any such
change. Any such adjustment in the outstanding Options will be made without change in the
aggregate purchase price applicable to the unexercised portion of the Options but with a
corresponding adjustment in the price for each share or other unit of any security covered by the
Option. Such adjustment will be made by the Administrator, whose determination in that respect
will be final, binding, and conclusive.

     Where an adjustment under this Section 16(a) is made to an Incentive Stock Option, the
adjustment will be made in a manner which will not be considered a “modification” under the
provisions of subsection 424(h)(3) of the Code.

          (b) Dissolution or Liquidation. In the event of the proposed dissolution or
liquidation of the Company, to the extent that an Option had not been previously exercised or a
Stock Award or Restricted Stock Unit Award had not previously vested, it will terminate immediately
prior to the consummation of such proposed dissolution or liquidation. In such instance, the
Administrator may, in the exercise of its sole discretion, declare that any Stock Award or
Restricted Stock Unit Award shall become vested or any Option will terminate as of a date fixed by
the Administrator and give each Optionee the right to exercise his or her Option as to all or any
part of the Optioned Stock, including Shares as to which the Option would not otherwise be
exercisable.

          (c) Corporate Transaction. Upon the happening of a merger, reorganization,
extraordinary corporate distribution, sale of a subsidiary or business unit or sale of
substantially all of the assets of the Company, the Administrator, may, in its sole discretion, do
one or more of the following: (i) shorten the period during which Options are exercisable (provided
they remain exercisable for at least 30 days after the date notice of such shortening is given to
the Optionees); (ii) accelerate any vesting schedule to which an Option, Stock Award or Restricted
Stock Unit Award is subject; (iii) arrange to have the surviving or successor entity or purchaser
entity or any parent entity thereof assume the Stock Awards and the Options or grant replacement
options

-14-

 

with appropriate adjustments in the option prices and adjustments in the number and kind of securities issuable upon exercise or adjustments so that the Options or their replacements
represent the right to purchase or receive the shares of stock, securities or other property
(including cash) as may be issuable or payable as a result of such transaction with respect to or
in exchange for the number of Shares of Common Stock purchasable and receivable upon exercise of
the Options had such exercise occurred in full prior to such transaction; (iv) arrange to have the
surviving or successor entity or purchaser entity or any parent entity thereof assume the
Restricted Stock Unit Awards with appropriate adjustments so that the awards apply to the number
and kind of securities into which the Shares subject to the awards immediately prior to such
transaction would have converted in consummation of such transaction had those Shares been
outstanding at that time; (v) cancel Options, Stock Awards or Restricted Stock Unit Awards upon
payment to the Optionees or Grantees in cash, with respect to each Option, Stock Award or
Restricted Stock Unit Award to the extent then exercisable or vested (including, if applicable, any
Options, Stock Awards or Restricted Stock Unit Awards as to which the vesting schedule has been
accelerated as contemplated in clause (ii) above), of an amount that is the equivalent of the
excess of the Fair Market Value of the Common Stock (at the effective time of the merger,
reorganization, sale or other event) over (in the case of Options) the exercise price of the
Option; or (vi) make such other adjustments to the consideration issuable upon exercise of Options
or vesting of Restricted Stock Unit Awards and other terms of the Options or Restricted Stock Unit
Awards as the Administrator deems appropriate in its sole and absolute discretion. The
Administrator may also provide for one or more of the foregoing alternatives in any particular
Option Agreement or agreement governing a Stock Award or Restricted Stock Unit Award.

     17. Date of Grant. The date of grant of an Option, Stock Award or Restricted Stock
Unit Award will be, for all purposes, the date as of which the Administrator makes the
determination granting such Option, Stock Award or Restricted Stock Unit Award, or any other, later
date determined by the Administrator and specified in the Option Agreement or agreement governing
the Stock Award or Restricted Stock Unit Award. Notice of the determination will be provided to
each Grantee within a reasonable time after the date of grant.

     18. Amendment and Termination of the Plan.

          (a) Amendment and Termination. The Board may at any time amend, alter or suspend or
terminate the Plan.

          (b) Shareholder Approval. The Company will obtain shareholder approval of any Plan
amendment that increases the number of Shares for which Options or Stock Awards may be granted, or
to the extent necessary and desirable to comply with Section 422 of the Code (or any successor
statute) or other Applicable Laws, or the requirements of any exchange or quotation system on which
the Common Stock is listed or quoted. Such shareholder approval, if required, will be obtained in
such a manner and to such a degree as is required by the Applicable Law or requirement.

-15-

 

          (c) Effect of Amendment or Termination. No amendment, alteration, suspension or
termination of the Plan will impair the rights of a Grantee, unless mutually agreed otherwise between the Grantee and the Administrator. Any such agreement must be in
writing and signed by the Grantee and the Company.

     19. Conditions Upon Issuance of Shares.

          (a) Legal Compliance. Shares will not be issued in connection with a Stock Award or
Restricted Stock Unit Award or pursuant to the exercise of an Option unless the exercise of such
Option and the issuance and delivery of such Shares will comply with all Applicable Laws, and will
be further subject to the approval of counsel for the Company with respect to such compliance. Any
securities delivered under the Plan will be subject to such restrictions, and the person acquiring
such securities will, if requested by the Company, provide such assurances and representations to
the Company as the Company may deem necessary or desirable to assure compliance with all Applicable
Laws. To the extent permitted by Applicable Laws, the Plan and Options, Stock Awards and
Restricted Stock Unit Awards granted hereunder will be deemed amended to the extent necessary to
conform to such laws, rules and regulations.

          (b) Investment Representation. As a condition to the exercise of an Option or grant
of a Stock Award or issuance of Shares pursuant to a Restricted Stock Unit Award, the Company may
require the person exercising such Option or receiving such Stock Award or Shares to represent and
warrant at the time of any such exercise or receipt that the Shares are being acquired only for
investment and without any present intention to sell, transfer, or distribute such Shares.

     20. Liability of Company.

          (a) Inability to Obtain Authority. If the Company cannot, by the exercise of
commercially reasonable efforts, obtain authority from any regulatory body having jurisdiction for
the sale of any Shares under this Plan, and such authority is deemed by the Company’s counsel to be
necessary to the lawful issuance of those Shares, the Company will be relieved of any liability for
failing to issue or sell those Shares.

          (b) Grants Exceeding Allotted Shares. If the Optioned Stock covered by an Option or
Shares subject to a Stock Award or a Restricted Stock Unit Award exceed, as of the date of grant,
the number of Shares which may be issued under the Plan without additional shareholder approval,
that Option, Stock Award or Restricted Stock Unit Award will be contingent with respect to such
excess Shares, unless and until shareholder approval of an amendment sufficiently increasing the
number of Shares subject to this Plan is timely obtained in accordance with Section 18(b).

          (c) Rights of Participants and Beneficiaries. The Company will pay all amounts
payable under this Plan only to the Grantee, or beneficiaries entitled thereto pursuant to this
Plan. The Company will not be liable for the debts, contracts, or engagements of any Grantee or
his or her beneficiaries, and rights to cash payments

-16-

 

under this Plan may not be taken in execution
by attachment or garnishment, or by any other legal or equitable proceeding while in the hands of
the Company.

     21. Reservation of Shares. The Company will at all times reserve and keep available
for issuance a number of Shares sufficient to satisfy this Plan’s requirements during its term.

     22. Shareholder Approval. The original adoption of this Plan will be subject to
approval by the shareholders of the Company within 12 months before or after the date of such
adoption. Such shareholder approval will be obtained in the manner and to the degree required
under Applicable Laws. Options, Stock Awards and Restricted Stock Units may be granted but Options
may not be exercised prior to shareholder approval of the Plan. If any Options, Stock Awards or
Restricted Stock Units are so granted and shareholder approval is not obtained within 12 months of
the date of adoption of this Plan by the Board, those Options, Stock Awards and Restricted Stock
Units will terminate retroactively as of the date they were granted.

     23. Legending Stock Certificates. In order to enforce any restrictions imposed upon
Common Stock issued in connection with a Stock Award or Restricted Stock Unit Award or upon
exercise of an Option granted under this Plan or to which such Common Stock may be subject, the
Administrator may cause a legend or legends to be placed on any certificates representing such
Common Stock, which legend or legends will make appropriate reference to such restrictions,
including, but not limited to, a restriction against sale of such Common Stock for any period of
time as may be required by Applicable Laws. Additionally, and not by way of limitation, the
Administrator may impose such restrictions on any Common Stock issued pursuant to the Plan as it
may deem advisable.

     24. No Employment Rights. Neither this Plan nor any Option, Stock Award or Restricted
Stock Unit Award will confer upon a Grantee any right with respect to continuing the Grantee’s
employment or consulting relationship with the Company, or continuing service as a Director, nor
will they interfere in any way with the Grantee’s right or the Company’s right to terminate such
employment or consulting relationship or directorship at any time, with or without cause.

     25. Governing Law. The Plan will be governed by, and construed in accordance with the
laws of the State of Delaware (without giving effect to conflicts of law principles).

-17-exv10w2

 

Exhibit 10.2

DOLLAR FINANCIAL CORP.

DEFERRED COMPENSATION PLAN

AMENDED AND RESTATED EFFECTIVE AS OF JUNE 28, 2007

 

 

DOLLAR FINANCIAL CORP.

DEFERRED COMPENSATION PLAN

     In order to make certain design changes and to reflect final regulations under IRC Section
409A, Dollar Financial Corp., a Delaware corporation (the “Company”), hereby amends and restates
the Dollar Financial Corp, Deferred Compensation Plan (the “Plan”), effective as of June 28, 2007.

     The Plan was originally adopted by the Company effective December 31, 2004 and was
established, and continues to exist, for the purpose of attracting high quality executives and
promoting in its key executives increased efficiency and an interest in the successful operation of
the Company. The Company reserves the right to amend the Plan, either retroactively or
prospectively, in whatever manner is required to achieve and maintain compliance with the
requirements of applicable law.

     The Plan is an unfunded program and has been established by the Company for the purpose of
providing deferred compensation for a select group of management or highly compensated employees.

ARTICLE 1

Definitions

     1.1 Account(s) shall mean the Retirement Account, Company Contribution Account and Scheduled
Distribution Accounts, and any additional accounts established by the Administrator for
administrative convenience or otherwise for one or more Participants pursuant to ARTICLE 3 of the
Plan.

     1.2 Administrator shall mean the Company. From time to time the Chief Executive Officer of the
Company shall delegate to one or more individuals or to a committee the responsibilities of the
Administrator under the Plan.

     1.3 Affiliate shall mean any company that (i) is included as a member with the Company in a
controlled group of corporations, within the meaning of IRC Section 414(b); (ii) is a trade or
business (whether or not incorporated) included with the Company in a group of trades or business
under common control, within the meaning of IRC Section 414(c); or (iii) is required to be
aggregated with the Company pursuant to IRC Section 414(m) or 414(o) and regulations thereunder.

     1.4 Base Salary shall mean the Participant’s base annual salary excluding incentive and
discretionary bonuses and other non-regular forms of compensation, before reductions for
contributions to or deferrals under any pension, deferred compensation or benefit plans sponsored
by the Company.

     1.5 Beneficiary shall mean the person(s) or entity designated as such in accordance with
Article 11 of the Plan.

     1.6 Bonus shall mean amounts paid to the Participant by the Company annually in the form of a
discretionary or incentive compensation or any other bonus designated by the

 

 

Administrator before reductions for contributions to or deferrals under any pension, deferred
compensation or benefit plans sponsored by the Company.

     1.7 Change in Control shall mean a change in ownership or effective control of the Company, or
in the ownership of a substantial portion of the assets of the Company, as described in IRS Notice
2005-1, or such other guidance as may be issued by the Department of the Treasury under IRC Section
409A.

     1.8 Company shall have the meaning given to such term in the introductory paragraph of the
Plan.

     1.9 Company Contribution shall mean the contributions by the Company to Participant’s Company
Contribution Account pursuant to ARTICLE 2 of the Plan.

     1.10 Company Contribution Account shall mean the Account established for Company Contributions
pursuant to ARTICLE 3 of the Plan.

     1.11 Contribution Limitations shall mean any reductions in contributions made on behalf of a
participant to the Qualified Plan due to the application of IRC Section 401(k) or (m) or due to an
election to defer Base Salary or Bonus under the Plan, but excluding any reductions arising from
the dollar limit under IRS Section 402(g)(1); the limit on compensation taken into account under
IRC Section 401(a)(17) in calculating employer or employee contributions for the Qualified Plan; or
the maximum allocations permitted under the Qualified Plan under IRC Section 415(c). The impact of
such limits on the Participant for purposes of this Plan shall be determined by the Administrator
based upon reasonable estimates and shall be final and binding as of the date the Company
Contribution is credited to the Participant’s Account. No subsequent adjustments shall be made to
increase Company Contribution under this Plan as a result of any adjustments ultimately required
under the Qualified Plan due to actual employee contributions or other factors.

     1.12 Crediting Rate shall mean the notional gains and losses credited on the Participant’s
Account balance which are based on the Participant’s choice among the investment alternatives made
available by the Administrator pursuant to ARTICLE 3 of the Plan.

     1.13 Disability shall mean (i) the inability to engage in any substantial gainful activity by
reason of any medically determinable physical or mental impairment which can be expected to result
in death or can be expected to last for a continuous period of not less than twelve (12) months, or
(ii) by reason of any medically determinable physical or mental impairment which can be expected to
result in death or can be expected to last for a continuous period of not less than twelve (12)
months, the Participant is receiving income replacement benefits for a period of not less than
three (3) months under an accident and health plan covering employees of the Company. The
Administrator may require that the Participant submit to an examination by a competent physician or
medical clinic selected by the Administrator on an annual basis to confirm Disability. For purposes
of the first sentence of Section 6.1, “Disability” shall mean any medically determinable physical
or mental impairment resulting in the Participant’s inability to perform the duties of his or her
position or any substantially similar position, when such

3

 

impairment can be expected to result in death or can be expected to last for a continuous
period of not less than six (6) months.

     1.14 Eligible Employee shall mean an executive of the Company selected by the Administrator to
be eligible to participate in the Plan.

     1.15 ERISA shall mean the Employee Retirement Income Security Act of 1974, as amended,

     1.16 IRC shall mean the Internal Revenue Code of 1986, as amended.

     1.17 Financial Hardship shall mean a severe financial hardship to the Participant resulting
from an illness or accident of the Participant, the Participant’s spouse, the Participant’s
Beneficiary, or the Participant’s dependent (as defined in IRC Section 152(a)), 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, but shall in all
events correspond to the meaning of the term “unforeseeable emergency” under IRC Section
409A(a)(2)(v) and applicable Treasury Regulations.

     1.18 Participant shall mean an Eligible Employee who has elected to participate and has
completed a Participant Election Form pursuant to ARTICLE 2 of the Plan.

     1.19 Participant Election Form shall mean the written agreement to make a deferral submitted
by the Participant to the Administrator on a timely basis pursuant to ARTICLE 2 of the Plan. The
Participant Election Form may take the form of an electronic communication followed by appropriate
written confirmation according to specifications established by the Administrator.

     1.20 Performance-Based Compensation shall mean “performance-based compensation” within the
meaning of Q&A 22 of IRS Notice 2005-1, or such other guidance as may be issued by the Department
of the Treasury under IRC Section 409A.

     1.21 Plan Year shall mean the calendar year.

     1.22 Qualified Plan shall mean an IRC Section 401(k) or other retirement plan qualified under
the Internal Revenue Code which is sponsored by the Company in the relevant Plan Year and is
designated by the Administrator to be taken into account for purposes of the calculation of Company
Contributions made to this Plan.

     1.23 Retirement shall mean Separation from Service on or after the Retirement Eligibility
Date.

     1.24 Retirement Account shall mean the Account established for amounts payable on or after
Separation from Service pursuant to ARTICLE 3 of the Plan.

     1.25 Retirement Eligibility Date shall mean the date on which the Participant attains age
sixty-five (65).

4

 

     1.26 Scheduled Distribution shall mean the distribution elected by the Participant pursuant to
Article 7 of the Plan.

     1.27 Scheduled Distribution Account shall mean an Account established for amounts payable in
the form of a Scheduled Distribution pursuant to ARTICLES 3 and 7 of the Plan.

     1.28 Separation from Service shall mean the Participant’s termination of employee status for
any reason, including (without limitation) by reason of a voluntary termination or resignation, an
involuntary termination, or retirement, and shall be determined in accordance with the applicable
standards established pursuant to IRC Section 409A and the regulations thereunder.

     1.29 Settlement Date shall mean the date by which a lump sum payment shall be made or the date
by which installment payments shall commence. Unless otherwise specified, the Settlement Date shall
be the last day of January of the Plan Year following the year in which the event triggering the
payout occurs. In the case of death, the event triggering payout shall be deemed to occur upon the
date the Administrator is provided with the documentation reasonably necessary to establish the
fact of the Participant’s death. Notwithstanding the foregoing or any other provision of the Plan,
if a Participant is a Specified Employee, the Settlement Date shall be no earlier than the earlier
of (i) the last day of the sixth (6th) complete calendar month following the Participant’s
Separation from Service, or (ii) the Participant’s death.

     1.30 Specified Employee shall mean an employee of the Company or an Affiliate who, at any time
during the 12-month period ending on the identification date (defined below), is (i) an officer of
the Company or an Affiliate having annual compensation greater than $135,000 (adjusted for
inflation as described in IRC Section 416(i)), (ii) a five percent owner of the Company and its
Affiliates, or (iii) a one percent owner of the Company and its Affiliates who has annual
compensation from the Company and its Affiliates greater than $150,000. The number of officers who
are considered Specified Employees shall be limited to 50 employees, as described in IRC Section
416(i), and shall exclude employees who are nonresident aliens during the entire 12-month period
ending on the identification date. The identification date shall be each December 31, and the
determination of Specified Employees as of such identification date shall apply for the 12-month
period following April 1 after the identification date. The determination of who is a Specified
Employee shall be made by the Administrator in accordance with IRC Section 416(i), the “specified
employee” requirements of IRC Section 409A, and applicable regulations.

     1.31 Treasury Regulations shall mean rules and regulations issued by U.S Department of
Treasury, and to the extent applicable, shall also include IRS Notice 2005-1, IRS Notice 2006-33,
and IRS Notice 2006-79.

     1.32 Valuation Date shall mean the date through which earnings are credited and shall be as
close to the payout or other event triggering valuation as is administratively feasible but in no
event earlier than the last day of the month preceding the month in which the payout or other event
triggering valuation occurs.

5

 

ARTICLE 2

Participation

     2.1 Elective Deferral. Each year a Participant may elect to defer up to fifty percent
(50%) of Base Salary and/or one-hundred percent (100%) of Bonus earned by the Participant during
the Plan Year. The Participant’s election may take the form of (i) a whole percentage or specified
dollar amount of Base Salary, or (ii) a whole percentage of Bonus. The Administrator may further
limit the minimum or maximum amount deferred by any Participant or group of Participants, or waive
the foregoing limits for any Participant or group of Participants, for any reason. Each year a
Participant may elect to defer into this Plan any amounts elected by the Participant for deferral
under the Qualified Plans which the Administrator determines may not be contributed to the
Qualified Plan due to applicable Statutory Limitations, subject to IRC Section 409A and applicable
Treasury Regulations.

     2.2 Participant Election Form. In order to make a deferral, an Eligible Employee must
submit a Participant Election Form to the Administrator during the enrollment period established by
the Administrator prior to the beginning of the calendar year in which services are performed to
earn such Base Salary or Bonus. For Plan Years prior to 2008, the Administrator may permit Eligible
Employees hired during a Plan Year to defer Base Salary or Bonus earned through services performed
during the balance of such Plan Year by submitting a Participant Election Form to the Administrator
within 30 days of such newly Eligible Employee’s date of hire or the date he or she first becomes
eligible to participate in the Plan. The election to participate shall apply only to the Eligible
Employee’s Base Salary or Bonus earned after the date of the election, consistent with IRC Section
409A. Each Participant shall be required to submit a new Participant Election Form on a timely
basis in order to change the Participant’s deferral election for a subsequent Plan Year. If no
Participant Election Form is filed during the prescribed enrollment period, the Participant shall
be deemed to have elected not to make a deferral for such subsequent Plan Year.

     2.3 Participant Election Irrevocable. Except as otherwise provided in subsection (a)
below, the election to defer Base Salary or Bonus for a particular Plan Year shall be irrevocable
after the beginning of the Plan Year except in the event of Separation from Service or as provided
in ARTICLE 6 in the event of Disability or ARTICLE 8 in the case of a Financial Hardship.
Notwithstanding the foregoing, the Administrator, in its complete and sole discretion, may allow
Participants to revise deferral elections with respect to a Bonus at any time prior to the first
day of the sixth (6th) month preceding the end of the performance period over which such Bonus is
earned if the Administrator determines that the Bonus is Performance Based Compensation and such
revision is permissible under IRC Section 409A and applicable Treasury Regulations.

          (a) Revocation of Election for Calendar Year 2005. On or before December 31, 2005, a
Participant may cancel his or her deferral election with respect to all Base Salary and/or Bonus
that would have been deferred if the deferral of Salary and/or Bonus had not been cancelled. In
addition, a Participant may cancel his or her deferral election with respect to all Base Salary
and/or Bonus deferred under the Plan during 2005, whereby the Company will pay the Participant the
amount deferred through the cancellation date, without adjustment for

6

 

income, gains and losses credited under Section 3.3. Such cancellation must be communicated to the
Company in writing.

     2.4 Elections Regarding Timing and Form of Payout. Except as provided in ARTICLE 10,
at the time that a Participant makes a deferral election with respect to a Plan Year, the
Participant shall also designate the time and form in which such deferral shall be distributed
(together with any discretionary Company Contributions made for a Plan Year prior to 2008) and all
notional earnings thereon. For elections relating to deferrals for the 2008 Plan Year and
thereafter, a Participant may make one election for his or her elective deferrals under Section
2.1, and a separate election for Company Contributions under Sections 2.5 and 2.6. If a Participant
is eligible only for Company Contributions under Sections 2.5 or 2.6, the Participant shall make an
election within 30 days of such Eligible Employee’s date of hire, or the date he or she first
becomes eligible to participate in the Plan, as to whether to have retirement benefits paid in a
lump sum or installments, as provided in Section 4.1. All elections must provide for distribution
to be made at a time and in a form that is consistent with the distribution options made available
under the Plan and applicable law. An election with respect to the time and form of benefit
distributions may not be changed, except as expressly provided for herein. A change election may
not accelerate distributions but may delay distributions or change the form of payment only if
all of the following requirements are met:

          (a) the new election, which may only be made by a Participant while he is employed by the
Company or an Affiliate, does not take effect until at least twelve (12) months after the date on
which the new election is made;

          (b) in the case of payments made on account of Separation from Service or a Scheduled
Distribution, the new election delays payment for at least five (5) years from the date that
original payment would otherwise have been made, absent the change election; and

          (c) in the case of payments made according to a Scheduled Distribution, the new election is
not made less than twelve (12) months before the date on which payment would have been made (or, in
the case of installment payments, the first installment payment would have been made) absent the
new election. Election changes made pursuant to this Section shall be made on written forms
provided by the Administrator, and in accordance with rules established by the Administrator and
shall comply with all requirement of IRC Section 409A and applicable Treasury Regulations.

     2.5 Company Qualified Plan Makeup Contribution. The Company shall make a Company
Contribution on behalf of the Participant for each Plan Year in which the Participant makes a
deferral under this Plan which shall equal the maximum Company contributions that would have been
provided to the Participant under the Qualified Plan had the Participant’s elective deferral been
contributed to the Qualified Plan without regard to any Contribution Limitations. The Company
Contribution for each Plan Year shall be reduced by the amount of Company Contributions actually
credited to the participant under the Qualified Plan for such Plan Year or paid to the participant
in cash from the Plan. Notwithstanding the foregoing, any changes in election by the Participant
under the Qualified Plan shall not increase or decrease either the elective deferrals under Section
2.1 or the Company Contributions under this Section 2.5 by an amount greater than the limit under
IRC Section 402(g) in effect for the year for the

7

 

Participant, nor shall the Participant’s action or inaction cause Company Contributions that
are matching contributions to exceed 100 percent (100%) of the matching amounts that would be
provided under the Qualified Plan absent any restrictions that reflect IRC limits on qualified plan
contributions.

     2.6 Discretionary Company Contributions. The Company shall have the discretion to make
additional Company Contributions to the Plan on behalf of any Participant. Company Contributions
shall be made in the complete and sole discretion of the Company and no Participant shall have the
right to receive any Company Contribution regardless of whether Company Contributions are made on
behalf of other Participants.

ARTICLE 3

Accounts

     3.1 Participant Accounts. Solely for recordkeeping purposes up to five (5) Accounts
shall be maintained for each Participant. One Retirement Account and three (3) Scheduled
Distribution Accounts shall be maintained for the Participant and credited with the Participant’s
deferrals directed by the Participant to each Account at the time such amounts would otherwise have
been paid to the Participant. One Company Contribution Account shall be maintained for the
Participant and shall be credited with any Company Contributions made on behalf of such Participant
at the time specified by the Administrator. Accounts shall be deemed to be credited with notional
gains or losses as provided in Section 3.2 from the date the deferral is credited to the Account
through the Valuation Date.

     3.2 Vesting of Accounts. All amounts credited to the Participant’s Retirement and
Scheduled Distribution Accounts shall be fully vested at all times. Amounts credited to the Company
Contribution Account pursuant to Section 2.5 intended to makeup for limitations on contributions to
the Qualified Plan, including notional earnings thereon, shall vest over the same period that
Company contributions to the Qualified Plan vest. Discretionary Company Contributions to the
Company Contribution Account made pursuant to Section 2.6, including notional earnings thereon,
shall vest at such time and under such terms and conditions as may be specified by the
Administrator at the time such amounts are contributed to the Plan. Notwithstanding the forgoing,
in the event of Separation from Service as a result of Retirement, death, or in the event of
Disability, the Participant’s Company Contribution Account shall be fully vested. Upon Separation
from Service for any other reason, the Participant shall forfeit the unvested portion of his or her
Company Contribution Account.

     3.3 Crediting Rate. The Crediting Rate on amounts in a Participant’s Accounts shall be
based on the Participant’s choice among the investment alternatives made available from time to
time by the Administrator. The Administrator shall establish a procedure by which a Participant may
elect to have the Crediting Rate based on one or more investment alternatives and by which the
Participant may change investment elections at least quarterly. The Participant’s Account balances
shall reflect the investments selected by the Participant. If an investment selected by a
Participant sustains a loss, the Participant’s Account shall be reduced to reflect such loss. The
Participant’s choice among investments shall be solely for purposes of calculation of the Crediting
Rate. If the Participant fails to elect an investment alternative the Crediting Rate shall be based
on the investment alternative selected for this purpose by the

8

 

Administrator. The Company shall have no obligation to set aside or invest funds as directed
by the Participant and, if the Company elects to invest funds as directed by the Participant, the
Participant shall have no more right to such investments than any other unsecured general creditor.
During payout, the Participant’s Account shall continue to be credited at the Crediting Rate
selected by the Participant from among the investment alternatives or rates made available by the
Administrator for such purpose. Installment payments shall be recalculated annually by dividing the
account balance by the number of payments remaining without regard to anticipated earnings or in
any other reasonable manner as may be determined from time to time by the Administrator.

     3.4 Statement of Accounts. The Administrator shall provide each Participant with
statements at least quarterly setting forth the Participant’s Account balance as of the end of such
quarter.

ARTICLE 4

Retirement Benefits

     4.1 Retirement Benefits. In the event of the Participant’s Retirement, the Participant
shall be entitled to receive an amount equal to the total balance of the Participant’s Retirement
Account and Company Contribution Account credited with notional earnings as provided in ARTICLE 3
through the Valuation Date. The benefits shall be paid in a single lump sum unless the Participant
has made a timely election to have the benefit paid in annual installments. For deferrals for the
2005, 2006 and 2007 Plan Years, and except as provided in ARTICLE 10, the deferral period shall be
5, 10, 15 or 20 years, as elected by the Participant. For deferrals for the 2008 Plan Year and
thereafter, the deferral period for benefits not paid in a lump sum shall be over a period of 10
years, if affirmatively elected by the Participant. Payments shall be made or begin on the
Settlement Date following Retirement.

     4.2 Termination Benefit. Upon Separation from Service other than by reason of
Retirement, Disability or death, the Company shall pay to the Participant a termination benefit
equal to the vested balance of all of the Participant’s Accounts credited with notional
earnings as provided in ARTICLE 3 through the Valuation Date. The termination benefits shall be
paid in a single lump sum unless the Participant has made a timely election to have the benefit
paid in annual installments.

          (a) For deferrals for the 2005, 2006 and 2007 Plan Years, the deferral period shall be over a
period of up to 5 years.

          (b) For deferrals for the 2008 Plan Year and thereafter, if the Participant has a Separation
from Service for any reason prior to the Participant’s Retirement, the Participant’s vested balance
shall be paid in a lump sum.

          (c) The termination benefits that are payable shall be paid in a single lump sum on the
Settlement Date following Separation from Service.

     4.3 Small Benefit Exception. Notwithstanding the foregoing, in the event the sum of
all benefits payable to the Participant is less than or equal to five thousand dollars ($5,000),
the

9

 

Administrator may, in its sole discretion, elect to pay such benefits in a single lump sum
payable on the last day of the month in which such benefits first become payable.

ARTICLE 5

Death Benefits

     5.1 Survivor Benefit. If the Participant dies prior to complete distribution of all of
the Participant’s Accounts, the Company shall pay to the Participant’s Beneficiary a death benefit
equal to the total balance on death of all of the Participant’s Accounts credited with notional
earnings as provided in ARTICLE 3 through the Valuation Date. The death benefit shall be paid in a
single lump sum on the Settlement Date following the date the Participant’s death is established by
reasonable documentation.

ARTICLE 6

Disability

     6.1 Disability. In the event of Disability, deferral elections shall cease. In the
event of a Disability, the Participant shall receive an amount equal to the total balance of all of
the Participant’s Accounts in a lump sum. The Disability benefits shall be paid on the Settlement
Date following the determination of Disability.

ARTICLE 7

Scheduled Distributions

     7.1 Election. The Participant shall make an election on the Participant Election Form
at the time of making a deferral to take a Scheduled Distribution from the Account established by
the Participant for such purpose, including any earnings credited thereon.

          (a) For deferrals for the 2005, 2006 and 2007 Plan Years, and except as provided in ARTICLE
10, the Participant may elect to receive the Scheduled Distribution in January of any Plan Year on
or after the third (3rd) Plan Year beginning after the enrollment period in which such Scheduled
Distribution is elected and may elect to have the Scheduled Distribution distributed over a period
of up to four (4) years.

          (b) For deferrals for the 2008 Plan Year and thereafter, the Participant may elect to receive
the Scheduled Distribution in January of any Plan Year on or after the fifth (5th) Plan Year
beginning after the enrollment period in which such Scheduled Distribution is elected and may elect
to have the Scheduled Distribution paid in a lump sum, over a period of five (5) years, or over a
period of ten (10) years.

          (c) The Participant may elect to make additional deferrals into an existing Scheduled
Distribution Account in subsequent Participant Election Forms but may only change a Scheduled
Distribution date for an existing Account as provided in Section 2.4 of the Plan. The Participant
may establish up to three (3) separate Scheduled Distribution Accounts with different Scheduled
Distribution dates but shall not establish a fourth such Account until all of the funds in one of
the first Scheduled Distribution Accounts have been paid out.

10

 

     7.2 Timing of Scheduled Distribution. The Scheduled Distribution shall be paid by
the Company to the Participant in the form elected by the Participant beginning no later than the
last day of January of the Plan Year elected by the Participant in the Participant Election Form
which may be before or after Retirement, provided they are vested. If they are not vested, payment
shall be made on the Settlement Date following vesting. In the event of Separation from Service
prior to the Retirement Eligibility Date or by reason of the Disability or death of the
Participant, if such Separation from Service occurs prior to the date elected for the Scheduled
Distribution, the Scheduled Distribution, to the extent vested, shall be paid in a single lump sum
on the Settlement Date following Separation from Service as provided in ARTICLES 4, 5 and 6 of the
Plan.

ARTICLE 8

Financial Hardship Distribution and Other Acceleration Events

     8.1 Financial Hardship Distribution. Upon a finding that the Participant has suffered
a Financial Hardship, subject to Treasury Regulations promulgated under IRC Section 409A, the
Administrator may, at the request of the Participant, accelerate distribution of benefits or
approve reduction or cessation of current deferrals under the Plan in the amount reasonably
necessary to alleviate such Financial Hardship. The amount distributed pursuant to this Section
with respect to an emergency shall not exceed the amount necessary to satisfy such emergency plus
amounts necessary to pay taxes reasonably anticipated as a result of the distribution, after taking
into account the extent to which such hardship is or may be relieved through reimbursement or
compensation by insurance or otherwise or by liquidation of the Participant’s assets (to the extent
the liquidation of such assets would not itself cause severe financial hardship).

     8.2 Other Acceleration Events. To the extent permitted by IRC 409A and the Treasury
Regulations promulgated thereunder, notwithstanding the terms of a deferral election or change
election, distribution of all or part of a Participant’s Accounts may be made: to the extent
necessary to fulfill a domestic relations order (as defined in IRC Section 414(p)(l)(B); to the
extent necessary to comply with a certificate of divestiture (as defined in IRC Section
1043(b)(2)); or to pay the Federal Insurance Contribution Act (“FICA”) tax imposed under IRC
Sections 3101 and 3121(v)(2) on compensation deferred under the Plan (the “FICA Amount”) plus the
income tax at source on wages imposed under IRC Section 3401 with respect to the FICA Amount, and
to pay the additional income tax at source on wages attributable to the pyramiding IRC Section 3401
wages and taxes, provided that the total amount distributable under this Section 8.2 shall not
exceed the sum of the FICA Amount and the income tax withholding related to such FICA Amount.

ARTICLE 9

2007 Special Distribution Election

     9.1 2007 Special Distribution Election. Subject to the requirements of IRC Section
409A and applicable regulations, each Participant who is an active employee of the Company on the
election date (as designated by the Administrator) will have a special opportunity only in 2007 to
make the following elections with respect to any unpaid amounts held in his or her Retirement
Account, Company Contribution Account and Scheduled Distribution Account (a “2007 Special
Distribution Election”):

11

 

          (a) Retirement Account and Company Contributions Account. If a Participant makes a
2007 Special Distribution Election with respect to his or her Retirement Account, deferrals that
are credited for calendar years ending on or before December 31, 2007, to the Retirement Account or
the Company Contribution Account, including earnings on such amounts, will be distributed as the
Participant may elect subject to the rules for the 2008 Plan Year.

          (b) Scheduled Distributions Account. If a Participant makes a 2007 Special
Distribution Election with respect to his or her Scheduled Distributions Account, the Participant’s
deferrals that are credited for calendar years ending on or before December 31, 2007, to the
Scheduled Distribution Account, including earnings on such amounts, will be distributed as the
Participant may elect subject to the rules for the 2008 Plan Year.

          (c) Elections. A Participant may make a separate 2007 Special Distribution Election
with respect to the Participant’s Retirement Account and Scheduled Distribution Account. Except as
described in subsection (d) below, a 2007 Special Distribution Election shall apply to the entire
unpaid balance of the Participant’s Retirement Account or Scheduled Distribution Account as
described above, and no elections may be made with respect to partial Retirement Account or
Scheduled Distribution Account balances. All 2007 Special Distribution Elections shall be made in
the manner prescribed by the Committee.

          (d) Limitation on Changes. A Participant may not make a 2007 Special Election with
respect to amounts distributed on or before December 31, 2007.

          (e) 409A Restriction. Notwithstanding the foregoing, a Participant’s 2007 Special
Election may apply only to amounts that would not otherwise be payable in 2007 and may not cause an
amount to be paid in 2007 that would not otherwise be payable in 2007, consistent with IRC Section
409A.

ARTICLE 10

Change in Control

     10.1 Board Discretion to Provide for Distribution Upon a Change in Control. To the
extent permitted by IRC Section 409A and the Treasury Regulations promulgated thereunder, in
connection with, in anticipation of and contingent on a Change in Control, the Board may exercise
its discretion to terminate the Plan and, notwithstanding any other provision of the Plan or any
deferral election, distribute all the Accounts of each Participant in full and thereby effect the
revocation of any outstanding deferral elections, provided that following a Change in Control,
termination of the Plan shall be exclusively permitted pursuant to Section and provided further
that following a Change in Control, no amendment to the Plan shall change the applicability of this
Section 10.1.

ARTICLE 11

Amendment and Termination of Plan

     11.1 Amendment or Termination of Plan. Except as otherwise provided in Section 10.1,
the Company may, at any time, without Participants’ consent, direct the Administrator to amend or
terminate the Plan, subject to Treasury Regulations promulgated under IRC Section 409A, except that
no such amendment or termination may reduce a Participant’s Account

12

 

balances. If the Company terminates the Plan, no further amounts shall be deferred hereunder,
and amounts previously deferred or contributed to the Plan shall be fully vested and shall be paid
in accordance with the provisions of the Plan prior to the termination.

ARTICLE 12

Beneficiaries

     12.1 Beneficiary Designation. The Participant shall have the right, at any time, to
designate any person or persons as Beneficiary (both primary and contingent) to whom payment under
the Plan shall be made in the event of the Participant’s death. The Beneficiary designation shall
be effective when it is submitted in writing to and acknowledged by the Administrator during the
Participant’s lifetime on a form prescribed by the Administrator.

     12.2 Revision of Designation. The submission of a new Beneficiary designation shall
cancel all prior Beneficiary designations. Any finalized divorce or marriage (other than a common
law marriage) of a Participant subsequent to the date of a Beneficiary designation shall revoke
such designation, unless in the case of divorce the previous spouse was not designated as
Beneficiary and unless in the case of marriage the Participant’s new spouse has previously been
designated as Beneficiary.

     12.3 Absence of Valid Designation. If a Participant fails to designate a Beneficiary
as provided above, or if the Beneficiary designation is revoked by marriage, divorce, or otherwise
without execution of a new designation, or if every person designated as Beneficiary predeceases
the Participant or dies prior to complete distribution of the Participant’s benefits, then the
Administrator shall direct the distribution of such benefits to the Participant’s estate.

ARTICLE 13

Administration/Claims Procedures

     13.1 Administration. The Plan shall be administered by the Administrator, which shall
have the exclusive right and full discretion (i) to interpret the Plan, (ii) to decide any and all
matters arising hereunder (including the right to remedy possible ambiguities, inconsistencies, or
admissions), (iii) to make, amend and rescind such rules as it deems necessary for the proper
administration of the Plan and (iv) to make all other determinations and resolve all questions of
fact necessary or advisable for the administration of the Plan, including determinations regarding
eligibility for benefits payable under the Plan. All interpretations of the Administrator with
respect to any matter hereunder shall be final, conclusive and binding on all persons affected
thereby. No member of the Administrator shall be liable for any determination, decision, or action
made in good faith with respect to the Plan. The Company will indemnify and hold harmless the
Administrator and his or her delegee(s) from and against any and all liabilities, costs, and
expenses incurred by such persons as a result of any act, or omission, in connection with the
performance of such persons’ duties, responsibilities, and obligations under the Plan, other than
such liabilities, costs, and expenses as may result from the bad faith, willful misconduct, or
criminal acts of such persons.

     13.2 Claims Procedure. Any Participant, former Participant or Beneficiary may file a
written claim with the Administrator setting forth the nature of the benefit claimed, the amount

13

 

thereof. and the basis for claiming entitlement to such benefit. The Administrator shall
determine the validity of the claim and communicate a decision to the claimant promptly and; in any
event, not later than ninety (90) days after the date of the claim. The claim may be deemed by the
claimant to have been denied for purposes of further review described below in the event a decision
is no! furnished to the claimant within such ninety (90) day period. If additional information is
necessary to make a determination on a claim, the claimant shall be advised of the need for such
additional information within forty-five (45) days after the date of the claim. The claimant shall
have up to one hundred and eighty (180) days to supplement the claim information, and the claimant
shall be advised of the decision on the claim within forty-five (35) days after the earlier of the
date the supplemental information is supplied or the end of the one hundred and eighty (180) day
period. Every claim for benefits which is denied shall be denied by written notice setting forth in
a manner calculated to be understood by the claimant (i) the specific reason or reasons for the
denial, (ii) specific reference to any provisions of the Plan (including any internal rules,
guidelines, protocols, criteria, etc.) on which the denial is based, (iii) description of any
additional material or information that is necessary to process the claim. and (iv) an explanation
of the procedure for further reviewing the denial of the claim.

     13.3 Review Procedures. Within sixty (60) days after the receipt of a denial on a
claim, claimant or higher authorized representative may file a written request for review of such
denial. Such review shall be undertaken by the Administrator and shall be a full and fair review.
The claimant shall have the right to review all pertinent documents. The Administrator shall issue
a decision not later than sixty (60) days after receipt of a request for review from a claimant
unless special circumstances, such as the need to hold a hearing, require a longer period of time,
in which case a decision shall be rendered as soon as possible but not later than one hundred and
twenty (120) days after receipt of the claimant’s request for review. The decision on review shall
be in writing and shall include specific reasons for the decision written in a manner calculated to
be understood by the claimant with specific reference to any provisions of the Plan on which the
decision is based and shall include an explanation of the claimant’s right to submit the claim for
binding arbitration in the event of an adverse determination on review.

ARTICLE 14

Conditions Related to Benefits

     14.1 Nonassignability. No person entitled to benefits under the Plan shall have any
right to transfer, assign, alienate, pledge, hypothecate or otherwise encumber his or her interest
in such benefits prior to actual receipt of those benefits. The benefits payable under the Plan
shall not, prior to actual payment, be subject to seizure or sequestration for the payment of any
debts, judgments, alimony or separate maintenance owed by a Participant or any other person and
shall not, to the maximum extent permitted by law, be transferable by operation of law in the event
of the bankruptcy or insolvency of the Participant or any other person. Notwithstanding the
foregoing, any payments otherwise due the Participant hereunder may instead be assigned or
distributed to his or her spouse or former spouse pursuant to the terms of any domestic relations
order within the meaning of Code Section 414(p)(1)(B) which is issued with respect to those
Accounts, and the Participant shall cease to have any right, interest or entitlement to the portion
of any payment or Account assigned or distributed to his or her spouse or former spouse in
accordance with the terms of such order. To the extent permitted by such domestic relations order,
the portion of the payment or Account assigned or distributable to the spouse or former

14

 

spouse may be paid in an immediate lump sum distribution, provided the Participant is at the
time fully vested in that portion.

     14.2 No Right to Company Assets. The benefits paid under the Plan shall be paid from
the general funds of the Company, and the Participant and any Beneficiary shall be no more than
unsecured general creditors of the Company with no special or prior right to any assets of the
Company for payment of any obligations hereunder,

     14.3 Protective Provisions. The Participant shall cooperate with the Company by
furnishing any and all information requested by the Administrator, in order to facilitate the
payment of benefits hereunder, taking such physical examinations as the Administrator may deem
necessary and taking such other actions as may be requested by the Administrator. If the
Participant refuses to so cooperate, the Company shall have no further obligation to the
Participant under the Plan. In the event of the Participant’s suicide during the first two (2)
years in the Plan, or if the Participant makes any material misstatement of information or
nondisclosure of medical history, then no benefits shall be payable to the Participant under the
Plan, except that benefits may be payable in a reduced amount in the sole discretion of the
Administrator.

     14.4 Withholding. The Participant shall make appropriate arrangements with the Company
for satisfaction of any federal, state or local income tax withholding requirements and Social
Security or other employee tax requirements applicable to the payment of benefits under the Plan.
If no other arrangements are made, the Company may provide, at its discretion, for such withholding
and tax payments as may be required, including, without limitation, by the reduction of other
amounts payable to the Participant.

     14.5 Assumptions and Methodology. The Administrator shall establish the assumptions
and method of calculation used in determining the present or future value of benefits, earnings,
payments, fees, expenses or any other amounts required to be calculated under the terms of the
Plan. The Administrator shall also establish reasonable procedures regarding the form and timing of
installment payments.

     14.6 Trust. The Company shall be responsible for the payment of all benefits under the
Plan. At its discretion, the Company may establish one or more grantor trusts for the purpose of
providing for payment of benefits under the Plan. Such trust or trusts may be irrevocable, but the
assets thereof shall be subject to the claims of the Company’s creditors. Benefits paid to the
Participant from any such trust or trusts shall be considered paid by the Company for purposes of
meeting the obligations of the Company under the Plan.

ARTICLE 15

Miscellaneous

     15.1 Successors of the Company. The rights and obligations of the Company under the
Plan shall inure to the benefit of, and shall be binding upon, the successors and assigns of the
Company.

15

 

     15.2 Employment Not Guaranteed. Nothing contained in the Plan nor any action taken
hereunder shall be construed as a contract of employment or as giving any Participant any right to
continued employment with the Company.

     15.3 Gender, Singular and Plural. All pronouns and any variations thereof shall be
deemed to refer to the masculine, feminine, or neuter, as the identity of the person or persons may
require. As the context may require, the singular may be read as the plural and the plural as the
singular.

     15.4 Captions. The captions of the articles, paragraphs and sections of the Plan are
for convenience only and shall not control or affect the meaning or construction of any of its
provisions.

     15.5 Validity. In the event any provision of the Plan is held invalid, void or
unenforceable, the same shall not affect, in any respect whatsoever, the validity of any other
provisions of the Plan.

     15.6 Waiver of Breach. The waiver by the Company of any breach of any provision of the
Plan shall not operate or be construed as a waiver of any subsequent breach by that Participant or
any other Participant.

     15.7 Notice. Any notice or filing required or permitted to be given to the Company or
the Participant under this Agreement shall be sufficient if in writing and hand-delivered, or sent
by registered or certified mail, in the case of the Company, to the principal office of the
Company, directed to the attention of the Administrator, and in the case of the Participant, to the
last known address of the Participant indicated on the employment records of the Company. Such
notice shall be deemed given as of the date of delivery or, if delivery is made by mail, as of the
date shown on the postmark on the receipt for registration or certification. Notices to the Company
may be permitted by electronic communication according to specifications established by the
Administrator.

     15.8 Inability to Locate Participant or Beneficiary. It is the responsibility of a
Participant to apprise the Administrator of any change in address of the Participant or
Beneficiary. In the event that the Administrator is unable to locate a Participant or Beneficiary
for a period of three (3) years, the Participant’s Account shall be forfeited to the Company.

     15.9 Errors in Benefit Statement or Distributions. In the event an error is made in a
benefit statement, such error shall be corrected on the next benefit statement following the date
such error is discovered. In the event of an error in a distribution, the Participant’s Account
shall, immediately upon the discovery of such error, be adjusted to reflect such under or over
payment and, if possible, the next distribution shall be adjusted upward or downward to correct
such prior error. If the remaining balance of a Participant’s Account is insufficient to cover an
erroneous overpayment, the Company may, at its discretion, offset other amounts payable to the
Participant from the Company (including but not limited to salary, bonuses, expense reimbursements,
severance benefits or other employee compensation benefit arrangements, as allowed by law) to
recoup the amount of such overpayment(s).

16

 

     15.10 ERISA Plan. The Plan is intended to be 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 to be exempt from
Parts 2, 3 and 4 of Title I of ERISA.

     15.11 Applicable Law. In the event any provision of, or legal issue relating to, this
Plan is nor fully preempted by ERISA, such issue or provision shall be governed by the laws of the
Commonwealth of Pennsylvania.

     15.12 Arbitration. Any claim, dispute or other matter in question of any kind relating
to this Plan which is not resolved by the claims procedures under this Plan shall be settled by
arbitration in accordance with the applicable employment dispute resolution rules of the American
Arbitration Association. Notice of demand for arbitration shall be made in writing to the opposing
party and to the American Arbitration Association within a reasonable time after the claim, dispute
or other matter in question has arisen. In no event shall a demand for arbitration be made after
the date when the applicable statute of limitations would bar the institution of a legal or
equitable proceeding based on such claim, dispute or other matter in question. The decision of the
arbitrators shall be final and may be enforced in any court of competent jurisdiction. The
arbitrators may award reasonable fees and expenses to the prevailing party in any dispute hereunder
and shall award reasonable fees and expenses in the event that the arbitrators find that the losing
party acted in bad faith or with intent to harass, hinder or delay the prevailing party in the
exercise of its rights in connection with the matter under dispute.

     IN WITNESS WHEREOF, the Company has caused this Plan to be executed this 28th day of June,
2007.

	 	 	 	 	 
	 	DOLLAR FINANCIAL CORP.

 	 
	 	By:  	Peter Sokolowski
 	 
	 
	 	Its:  	Senior Vice President, Chief Credit Officer 	 
	 	 	 	 
	 

17

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