Document:

EX-10.2

 Exhibit 10.2 

LEAR CORPORATION 
 2009
LONG-TERM STOCK INCENTIVE PLAN 
 (Amended and Restated as of January 1, 2014) 

 LEAR CORPORATION 

2009 LONG-TERM STOCK INCENTIVE PLAN 

TABLE OF CONTENTS 
  

							
	 	 	 	  	Page	 
	 Article 1.
	 	Establishment, Objectives and Duration	  	 	1	  
	 Article 2.
	 	Definitions	  	 	1	  
	 Article 3.
	 	Administration	  	 	7	  
	 Article 4.
	 	Shares Subject to the Plan and Maximum Awards	  	 	7	  
	 Article 5.
	 	Eligibility and Participation	  	 	8	  
	 Article 6.
	 	Stock Options	  	 	9	  
	 Article 7.
	 	Stock Appreciation Rights	  	 	10	  
	 Article 8.
	 	Restricted Stock, Restricted Stock Units and Restricted Units	  	 	11	  
	 Article 9.
	 	Performance Units, Performance Shares and Other Awards	  	 	13	  
	 Article 10.
	 	Performance Measures	  	 	14	  
	 Article 11.
	 	Beneficiary Designation	  	 	15	  
	 Article 12.
	 	Deferrals	  	 	16	  
	 Article 13.
	 	Rights of Employees	  	 	16	  
	 Article 14.
	 	Change in Control	  	 	16	  
	 Article 15.
	 	Amendment, Modification and Termination	  	 	20	  
	 Article 16.
	 	Withholding	  	 	21	  
	 Article 17.
	 	Indemnification	  	 	21	  
	 Article 18.
	 	Successors	  	 	22	  
	 Article 19.
	 	Legal Construction	  	 	22	  

  
 i 

 LEAR CORPORATION 

2009 LONG-TERM STOCK INCENTIVE PLAN 

Article 1. Establishment, Objectives and Duration 

1.1 Establishment of the Plan. Lear Corporation, a Delaware corporation, hereby establishes its long-term stock incentive compensation
plan, to be known as the “2009 Lear Corporation Long-Term Stock Incentive Plan” as set forth in this document. Capitalized terms used but not otherwise defined herein will have the meanings given to them in Article 2. The Plan permits the
grant of Nonqualified Stock Options, Incentive Stock Options, Stock Appreciation Rights, Restricted Stock, Restricted Units, Restricted Stock Units, Performance Shares, Performance Units and other cash and equity incentive awards. 

The Plan is effective as of November 9, 2009, and will remain in effect as provided in Section 1.3 hereof. The Plan was most
recently amended and restated as of January 1, 2014. 
 1.2 Objectives of the Plan. The objectives of the Plan are to optimize
the profitability and growth of the Company through long-term incentives that are consistent with the Company’s objectives and that link the interests of Participants to those of the Company’s shareholders; to provide Participants with an
incentive for excellence in individual performance; to promote teamwork among Participants; and to give the Company a significant advantage in attracting and retaining officers, key employees and directors. 

The Plan is further intended to provide flexibility to the Company in its ability to motivate, attract and retain the services of Participants
who make significant contributions to the Company’s success, and to allow Participants to share in the success of the Company. 

1.3 Duration of the Plan. The Plan will commence on the Effective Date, as defined in Article 2, and will remain in effect, subject to
the right of the Committee to amend or terminate the Plan at any time pursuant to Article 15, until all Shares subject to it pursuant to Article 4 have been issued or transferred according to the Plan’s provisions. In no event may an Award be
granted under the Plan on or after the ten year anniversary of the Effective Date. 
 Article 2. Definitions 

Whenever used in the Plan, the following terms have the meanings set forth below, and when the meaning is intended, the initial letter of the
word is capitalized: 
 “Affiliates” means any corporation (or partnership, limited liability company, joint venture, or
other enterprise) of which the Company owns or controls, directly or indirectly, at least fifty percent of the outstanding shares of stock normally entitled to vote for the election of directors (or comparable equity participation and voting power).
Notwithstanding the foregoing, for purposes of determining whether an employee has terminated employment with the Company and all Affiliates, “Affiliates” means any corporation (or partnership, limited liability company, joint venture, or
other enterprise) of which the Company owns or controls, directly or indirectly,  

  
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at least ten percent of the outstanding shares of stock normally entitled to vote for the election of directors (or comparable equity participation and voting power). The minimum percentage of
ownership or control in the previous sentence shall be raised from ten percent to twenty percent for purposes of determining timing of payment of an Award, or amount payable with respect to an Award, that is “deferred compensation” for
purposes of Code Section 409A, if payment of such Award or amount would be accelerated or otherwise triggered by the employee’s termination of employment. 

“Award” means, individually or collectively, a grant under this Plan to a Participant of Nonqualified Stock Options,
Incentive Stock Options, Stock Appreciation Rights, Restricted Stock, Restricted Units, Restricted Stock Units, Performance Shares, Performance Units or other types of equity-based or cash-based incentives hereafter approved by the Committee.

 “Award Agreement” means an agreement entered into by the Company and a Participant setting forth the terms and
provisions applicable to an Award or Awards granted to the Participant. 
 “Beneficial Owner” or “Beneficial
Ownership” has the meaning ascribed to that term in Rule 13d-3 of the General Rules and Regulations under the Exchange Act. 

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

“Cause” has the meaning set forth in any unexpired employment or severance agreement between the Participant and the Company
or an Affiliate. If there is no such agreement, “Cause” means: 
  

	 	(a)	the willful and continued failure of the Participant substantially to perform his or her duties with or for the Company or an Affiliate; 

 

	 	(b)	the Participant’s engaging in conduct that is significantly injurious to the Company or an Affiliate, monetarily or otherwise; 

  

	 	(c)	the Participant’s commission of a crime that is significantly injurious to the Company or an Affiliate, monetarily, reputationally or otherwise; 

 

	 	(d)	the Participant’s abuse of illegal drugs or other controlled substances; or 

  

	 	(e)	the Participant’s habitual intoxication. 

 Unless otherwise defined in the
Participant’s employment or severance agreement, an act or omission is “willful” for the purpose of determining whether a termination of employment was made for “cause” if it was knowingly done, or knowingly omitted to be
done, by the Participant not in good faith and without reasonable belief that the act or omission was in the best interest of the Company or an Affiliate. For purposes of this Plan, if a Participant is convicted of a crime or pleads nolo
contendere to a criminal charge, he or she will conclusively be deemed to have committed the crime. The Committee has the discretion, in other circumstances, to determine in good faith, from all the facts and circumstances reasonably available
to it, whether a Participant who is under investigation for, or has been charged with, a crime will be deemed to have committed it for purposes of this Plan. 

  
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 “Change in Control” of the Company will be deemed to have occurred (as of a
particular day, as specified by the Board) as of the first day any one or more of the following paragraphs is satisfied. 
  

	 	(a)	Any Person (other than the Company or a trustee or other fiduciary holding securities under an employee benefit plan of the Company, or a corporation owned directly or indirectly by the shareholders of the Company in
substantially the same proportions as their ownership of stock of the Company) becomes the Beneficial Owner, directly or indirectly, of securities of the Company, representing more than twenty percent of the combined voting power of the
Company’s then outstanding securities. 

  

	 	(b)	During any period of twenty-six consecutive months beginning on or after the Effective Date, individuals who at the beginning of the period constituted the Board cease for any reason (other than death, Disability or
voluntary Retirement) to constitute a majority of the Board. For this purpose, any new Director whose election by the Board, or nomination for election by the Company’s shareholders, was approved by a vote of at least two-thirds of the
Directors then still in office, and who either were Directors at the beginning of the period or whose election or nomination for election was so approved, will be deemed to have been a Director at the beginning of any twenty-six month period under
consideration. 

  

	 	(c)	Consummation of: (i) an agreement for the sale or disposition of all or substantially all the Company’s assets; or (ii) a merger, consolidation or reorganization of the Company with or involving any other
corporation, other than a merger, consolidation or reorganization that results in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting
securities of the surviving entity) at least fifty percent of the combined voting power of the voting securities of the Company (or such surviving entity) outstanding immediately after such merger, consolidation, or reorganization.

  

	 	(d)	The shareholders of the Company approve a plan of complete liquidation or dissolution of the Company. 

Notwithstanding the foregoing, if an Award, or amount payable with respect to an Award, is “deferred compensation” for
purposes of Code Section 409A, and if a payment of such Award or amount would be accelerated or otherwise triggered upon a “Change in Control,” then the foregoing definition is modified, to the extent necessary to avoid the imposition
of an excise tax under Code Section 409A, to mean a “change in control event” as such term is defined for purposes of Code Section 409A. For purposes of clarity, if an Award would, for example, vest and be paid on a “Change
in Control” as defined herein but payment of such Award would violate the provisions of Code Section 409A, then the Award shall vest but will be paid only in compliance with its terms and Code Section 409A (i.e., upon a
permissible payment event). 

  
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 “Code” means the Internal Revenue Code of 1986, as amended from time to time.

 “Committee” means, as specified in Article 3, the Compensation Committee of the Board or such other committee as may be
appointed by the Board to administer the Plan. 
 “Company” means Lear Corporation, a Delaware corporation, and any
successor thereto as provided in Article 18. 
 “Director” means any individual who is a member of the Board of Directors.

 “Disability” means (a) long-term disability as defined under the long-term disability plan of the Company or an
Affiliate that covers that individual, or (b) if the individual is not covered by such a long-term disability plan, disability as defined for purposes of eligibility for a disability award under the Social Security Act. Notwithstanding the
foregoing, for purposes of determining the period of time after termination of employment during which a Participant may exercise an ISO, “Disability” will have the meaning set forth in Section 22(e)(3) of the Code, which is,
generally, that the Participant is unable to engage in any substantial gainful activity by reason of a medically determinable physical or mental impairment that can be expected to result in death or that has lasted or can be expected to last for a
continuous period of at least twelve months. 
 Notwithstanding the foregoing, if an Award, or amount payable with respect to
an Award, is “deferred compensation” for purposes of Code Section 409A, and if a payment of such Award or amount would be accelerated or otherwise triggered upon a “Disability,” then the foregoing definition is modified, to
the extent necessary to avoid the imposition of an excise tax under Code Section 409A, to refer to a Participant who is “disabled,” as such term is defined for purposes of Code Section 409A. For purposes of clarity, if an Award
would, for example, vest and be paid on a “Disability” as defined herein but payment of such Award would violate the provisions of Code Section 409A, then the Award shall vest but will be paid only in compliance with its terms
and Code Section 409A (i.e., upon a permissible payment event). 
 “Effective Date” means
November 9, 2009. 
 “Eligible Employee” or “Employee” means any employee of the Company or any of
its Affiliates. Directors who are not employed by the Company or its Affiliates will also be considered Eligible Employees and Employees under this Plan. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time, or any successor act thereto. 

“Exercise Price” means the price at which a Share may be purchased by a Participant pursuant to an Option. 

“Fair Market Value” means: 
  

	 	(a)	the closing trading price of the Shares on the New York Stock Exchange or, if the Shares are not traded on the New York Stock Exchange, on the NASDAQ Stock Market or any other exchange on which they are traded; or

  
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	 	(b)	if the Shares are not traded on any exchange, the mean between the closing bid and asked prices of the Shares in the over-the-counter market; or 

 

	 	(c)	if those bid and asked prices are not available, then the fair market value as reported by any nationally recognized quotation service selected by the Committee or as determined in good faith by the Committee.

 Notwithstanding the foregoing, for purposes of Awards intended to be exempt from Code Section 409A, the Fair Market
Value shall be no less than the “fair market value,” as such term is defined for purposes of Code Section 409A. 

“Freestanding SAR” means an SAR that is granted independently of any Options, as described in Article 7. 

“Grandfathered Award” means an Award granted prior to September 11, 2013, other than an Award which by its terms
expressly provides that the Award is not to be treated as a Grandfathered Award. 
 “Incentive Stock Option” or
“ISO” means an option to purchase Shares granted under Article 6 that is designated as an Incentive Stock Option and that is intended to meet the requirements of Code Section 422. 

“Nonqualified Stock Option” or “NQSO” means an option to purchase Shares granted under Article 6 that is not
intended to meet the requirements of Code Section 422. 
 “Option” means an Incentive Stock Option or a Nonqualified
Stock Option, as described in Article 6. 
 “Participant” means an Eligible Employee who has been selected by the Committee
to participate in the Plan pursuant to Section 5.2 and who has outstanding an Award granted under the Plan. The term “Participant” will also include Directors who are not employees of the Company or an Affiliate for purposes of Awards
under the Plan. 
 “Performance-Based Exception” means the performance-based exception from the tax deductibility
limitations of Code Section 162(m) and any regulations promulgated thereunder. 
 “Performance Period” means
the time period during which performance objectives must be met in order for a Participant to earn Performance Units or Performance Shares granted under Article 9. 

“Performance Share” means an award with an initial value equal to the Fair Market Value on the date of grant which is based
on the Participant’s attainment of performance objectives, as described in Article 9. 
 “Performance Unit”
means an award with an initial value established by the Committee at the time of grant which is based on the Participant’s attainment of performance objectives, as described in Article 9. 

  
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 “Person” has the meaning ascribed to that term in Section 3(a)(9) of the
Exchange Act and used in Sections 13(d) and 14(d) thereof, including a “group” as defined in Section 13(d) thereof. 

“Plan” means the Lear Corporation 2009 Long-Term Stock Incentive Plan, as set forth in this document. 

“Replacement Award” means an Award resulting from the exchange or substitution specified in Section 14.2 upon a Change
in Control and meeting the applicable conditions specified in Section 14.2, provided that such Award is issued by a company (foreign or domestic) the majority of the equity of which is listed under and in compliance with the domestic company
listing rules of the New York Stock Exchange or with a similarly liquid exchange which has comparable standards to the domestic listing standards of the New York Stock Exchange. 

“Restriction Period” means the period during which the transfer of Shares of Restricted Stock is limited in some way (based
on the passage of time, the achievement of performance objectives, or the occurrence of other events as determined by the Committee, at its discretion) or the Restricted Stock is not vested. 

“Restricted Stock” means a contingent grant of stock awarded to a Participant pursuant to Article 8. 

“Restricted Stock Unit” means a Restricted Unit granted to a Participant, as described in Article 8, that is payable in
Shares. 
 “Restricted Unit” means a notional account established pursuant to an Award granted to a Participant, as
described in Article 8, that is (a) credited with amounts equal to Shares or some other unit of measurement specified in the Award Agreement, (b) subject to restrictions and (c) payable in cash or Shares. 

“Retirement” means termination of employment on or after (a) reaching the age established by the Company as the normal
retirement age in any unexpired employment or severance agreement between the Participant and the Company or an Affiliate, or, in the absence of such an agreement, the normal retirement age under the tax-qualified defined benefit retirement plan or,
if none, the tax-qualified defined contribution retirement plan, sponsored by the Company or an Affiliate in which the Participant participates, or (b) reaching age fifty-five with ten years of service with the Company or an Affiliate.

 “Shares” means the shares of common stock, $0.01 par value, of the Company, including their associated preferred
share purchase rights, if applicable. 
 “Stock Appreciation Right” or “SAR” means an Award,
granted alone or in connection with a related Option, designated as an SAR pursuant to the terms of Article 7. 
 “Tandem
SAR” means an SAR that is granted in connection with a related Option pursuant to Article 7, the exercise of which requires forfeiture of the right to purchase a Share under the related Option (and when a Share is purchased under the
Option, the Tandem SAR will similarly be canceled). 

  
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 Article 3. Administration 

3.1 The Committee. The Plan will be administered by the Compensation Committee of the Board, or by any other Committee appointed by the
Board, which Committee (unless otherwise determined by the Board) will satisfy the “nonemployee director” requirements of Rule 16b-3 under the Exchange Act and the regulations of Rule 16b-3 under the Exchange Act and the “outside
director” provisions of Code Section 162(m), or any successor regulations or provisions, so long as the Company is subject to the registration requirements of the Exchange Act. The members of the Committee will be appointed from time to
time by, and serve at the discretion of, the Board of Directors. The Committee will act by a majority of its members at the time in office and eligible to vote on any particular matter, and Committee action may be taken either by a vote at a meeting
or in writing without a meeting. 
 3.2 Authority of the Committee. Except as limited by law and subject to the provisions of
this Plan, the Committee will have full power to: select Eligible Employees to participate in the Plan; determine the sizes and types of Awards; determine the terms and conditions of Awards in a manner consistent with the Plan; construe and
interpret the Plan and any agreement or instrument entered into under the Plan; establish, amend or waive rules and regulations for the Plan’s administration; and (subject to the provisions of Article 15) amend the terms and conditions of any
outstanding Award to the extent they are within the discretion of the Committee as provided in the Plan. Further, the Committee will make all other determinations that may be necessary or advisable to administer the Plan. As permitted by law and
consistent with Section 3.1, the Committee may delegate some or all of its authority under the Plan. 
 3.3 Decisions
Binding. All determinations and decisions made by the Committee pursuant to the provisions of the Plan will be final, conclusive and binding on all persons, including, without limitation, the Company, its Board of Directors, its shareholders,
all Affiliates, employees, Participants and their estates and beneficiaries. 
 Article 4. Shares Subject to the Plan and Maximum Awards 

4.1 Number of Shares Available for Grants. Subject to adjustment as provided in Sections 4.2 and 4.3, the number of Shares that may be
issued or transferred to Participants under the Plan is 11,815,748. Subject to adjustment as provided in Section 4.3, the maximum number of Shares and Share equivalent units that may be granted during any calendar year to any one Participant
under Options, Freestanding SARs, Restricted Stock, Restricted Units, Restricted Stock Units, Performance Shares or any other Award is 1,000,000, which limit will apply regardless of whether the compensation is paid in Shares or in cash. The maximum
number of Shares that may be issued by Options intended to be ISOs is 5,000,000. The maximum aggregate dollar amount that may be paid to any one Participant during any calendar year under Performance Units or any cash incentive Award granted under
Section 9.9 is $7,500,000. 

  
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 The Shares with respect to which Awards may be made will include authorized but unissued Shares,
and Shares that are currently held or subsequently acquired by the Company as treasury Shares, including Shares purchased in the open market or in private transactions. 

4.2 Lapsed Awards. Any Shares subject to an Award under the Plan that, after the Effective Date, are forfeited, canceled, settled or
otherwise terminated without a distribution of Shares to a Participant will thereafter be deemed to be available for Awards. In applying the immediately preceding sentence, if (i) Shares otherwise issuable or issued in respect of, or as part
of, any Award other than Options and SARs are withheld to cover taxes, such Shares shall not be treated as having been issued under the Plan and shall again be available for issuance under the Plan, (ii) Shares otherwise issuable or issued in
respect of, or as part of, any Award of Options or SARs are withheld to cover taxes or the Exercise Price, such Shares shall be treated as having been issued under the Plan and shall not be available for issuance under the Plan, and (iii) any
Share-settled SARs are exercised, the aggregate number of Shares subject to such SARs shall be deemed issued under the Plan and shall not be available for issuance under the Plan. In addition, Shares tendered to exercise outstanding Options or other
Awards or to cover applicable taxes on Awards of Options and SARs shall not be available for issuance under the Plan, but Shares tendered to cover applicable taxes on Awards other than Options and SARs shall be available for issuance under the
Plan. 
 4.3 Adjustments in Authorized Shares. 
  

	 	(a)	If the Shares, as currently constituted, are changed into or exchanged for a different number or kind of shares of stock or other securities of the Company or of another corporation (whether because of merger,
consolidation, recapitalization, reclassification, split, reverse split, combination of shares, or other similar change in the corporate structure of the Company affecting the Shares) or if the number of Shares is increased through the payment of a
stock dividend, then the Committee will substitute for or add to each Share previously appropriated, later subject to, or which may become subject to, an Award, the number and kind of shares of stock or other securities into which each outstanding
Share was changed for which each such Share was exchanged, or to which each such Share is entitled, as the case may be. Outstanding Awards will also be appropriately adjusted as to price and other terms, to the extent necessary to reflect the events
described above. 

  

	 	(b)	Fractional Shares resulting from any adjustment in Awards pursuant to this section may be settled in cash or otherwise as the Committee determines. The Company will give notice of any adjustment to each Participant who
holds an Award that has been adjusted and the adjustment (whether or not that notice is given) will be effective and binding for all Plan purposes. 

Article 5. Eligibility and Participation 

5.1 Eligibility. All Eligible Employees, including Eligible Employees who are members of the Board, are eligible to participate in this
Plan. 

  
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 5.2 Actual Participation. Subject to the provisions of the Plan, the Committee will, from
time to time, select those Eligible Employees to whom Awards will be granted, and will determine the nature and amount of each Award. 
 Article 6.
Stock Options 
 6.1 Grant of Options. Subject to the terms and provisions of the Plan, Options may be granted to Eligible Employees
in the number, and upon the terms, and at any time and from time to time, as determined by the Committee. 
 6.2 Award
Agreement. Each Option grant will be evidenced by an Award Agreement that specifies the Exercise Price, the duration of the Option, the number of Shares to which the Option pertains, the manner, time and rate of exercise or vesting of the
Option, and such other provisions as the Committee determines. The Award Agreement will also specify whether the Option is intended to be an ISO or an NQSO. 

6.3 Exercise Price. The Exercise Price for each share subject to an Option will be at least one hundred percent of the Fair Market
Value on the date the Option is granted. 
 6.4 Duration of Options. Each Option will expire at the time determined by the
Committee at the time of grant, but no later than the tenth anniversary of the date of its grant. 
 6.5 No Dividend
Equivalents. Subject to Section 4.3, the Committee may not grant payments in connection with Options that are equivalent to dividends declared and paid on the Shares underlying the Options. 

6.6 Exercise of Options. Options will be exercisable at such times and be subject to such restrictions and conditions as the Committee
in each instance approves, which need not be the same for each Award or for each Participant. 
 6.7 Payment. The holder of an
Option may exercise the Option only by delivering a written notice of exercise to the Company setting forth the number of Shares as to which the Option is to be exercised, together with full payment at the Exercise Price for the Shares and any
withholding tax relating to the exercise of the Option. 
 The Exercise Price and any related withholding taxes will be payable to
the Company in full either: (a) in cash, or its equivalent, in United States dollars; (b) by tendering Shares owned by the Participant and duly endorsed for transfer to the Company, Shares issuable to the Participant upon exercise of the
Option, or any combination of cash, certified or cashier’s check and Shares described in this clause (b); or (c) by any other means the Committee determines to be consistent with the Plan’s purposes and applicable law. Cashless
exercise must meet the requirements of the Federal Reserve Board’s Regulation T and any applicable securities law restrictions. For this purpose, “cashless” exercise will mean that the Participant notifies the Company it will
exercise, and the Company is instructed to deliver the Share issuable on exercise to a broker, who sells the Shares and holds back the exercise price (and, often, the federal and state withholdings). No more than the minimum required withholding may
be satisfied by the tender of Shares. 

  
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 6.8 Restrictions on Share Transferability. The Committee may impose such restrictions on
any Shares acquired through exercise of an Option as it deems necessary or advisable, including, without limitation, restrictions under applicable federal securities laws, under the requirements of any stock exchange or market upon which the Shares
are then listed or traded, and under any blue sky or state securities laws applicable to the Shares. 
 6.9 Termination of
Employment. Each Option Award Agreement will set forth the extent to which the Participant has the right to exercise the Option after his or her termination of employment with the Company and all Affiliates. These terms will be determined by the
Committee in its sole discretion, need not be uniform among all Options, and may reflect, among other things, distinctions based on the reasons for termination of employment. 

6.10 Nontransferability of Options. Except as otherwise provided in a Participant’s Award Agreement, no Option granted under the
Plan may be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution, or pursuant to a domestic relations order (as defined in Code Section 414(p)). Further,
except as otherwise provided in a Participant’s Award Agreement, all Options will be exercisable during the Participant’s lifetime only by the Participant or his or her guardian or legal representative. The Committee may, in its
discretion, require a Participant’s guardian or legal representative to supply it with the evidence the Committee deems necessary to establish the authority of the guardian or legal representative to act on behalf of the Participant.

 Article 7. Stock Appreciation Rights 

7.1 Grant of SARs. Subject to the terms and conditions of the Plan, SARs may be granted to Participants at any time and from time to
time, as determined by the Committee. The Committee may grant Freestanding SARs, Tandem SARs or any combination of the two. 
 Within
the limits of Article 4, the Committee will have sole discretion to determine the number of SARs granted to each Participant and, consistent with the provisions of the Plan, to determine the terms and conditions pertaining to SARs. 

The grant price of a SAR will equal the Fair Market Value on the date of grant of the SAR. 

7.2 Exercise of Tandem SARs. Tandem SARs may be exercised for all or part of the Shares subject to the related Option, upon the
surrender of the right to exercise the equivalent portion of the related Option. A Tandem SAR may be exercised only with respect to the Shares for which its related Option is then exercisable. 

7.3 Exercise of Freestanding SARs. Freestanding SARs may be exercised upon whatever terms and conditions the Committee, in its sole
discretion, imposes. 
 7.4 Award Agreement. Each SAR grant will be evidenced by an Award Agreement that specifies the grant
price, the term of the SAR and such other provisions as the Committee determines. 

  
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 7.5 Term of SARs. The term of an SAR will be determined by the Committee, in its sole
discretion, but may not exceed ten years. 
 7.6 Payment of SAR Amount. Upon exercise of an SAR, a Participant will be
entitled to receive payment from the Company in an amount determined by multiplying: 
  

	 	(a)	the excess (or some portion of the excess as determined at the time of the grant by the Committee) if any, of the Fair Market Value on the date of exercise of the SAR over the grant price specified in the Award
Agreement; by 

  

	 	(b)	the number of Shares as to which the SAR is exercised. 

 The payment upon SAR exercise may be
made in cash, in Shares of equivalent Fair Market Value or in some combination of the two, as specified in the Award Agreement. 
 7.7
Termination of Employment. Each SAR Award Agreement will set forth the extent to which the Participant has the right to exercise the SAR after his or her termination of employment with the Company and all Affiliates. These terms will be
determined by the Committee in its sole discretion, need not be uniform among all SARs issued under the Plan, and may reflect, among other things, distinctions based on the reasons for termination of employment. 

7.8 Nontransferability of SARs. Except as otherwise provided in a Participant’s Award Agreement, no SAR may be sold, transferred,
pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution, or pursuant to a domestic relations order (as defined in Code Section 414(p)). Further, except as otherwise provided in a
Participant’s Award Agreement, all SARs will be exercisable during the Participant’s lifetime only by the Participant or the Participant’s guardian or legal representative. The Committee may, in its discretion, require a
Participant’s guardian or legal representative to supply it with evidence the Committee deems necessary to establish the authority of the guardian or legal representative to act on behalf of the Participant. 

7.9 No Dividend Equivalents. Subject to Section 4.3, the Committee may not grant payments in connection with SARs that are
equivalent to dividends declared and paid on the Shares underlying the SARs. 
 Article 8. Restricted Stock, Restricted Stock Units and Restricted
Units 
 8.1 Grant of Restricted Stock, Restricted Stock Units or Restricted Units. Subject to the terms and provisions of the Plan,
the Committee may, at any time and from time to time, grant Restricted Stock, Restricted Stock Units or Restricted Units to Participants in such amounts as it determines. 

8.2 Award Agreement. Each grant of Restricted Stock, Restricted Units or Restricted Stock Units will be evidenced by an Award Agreement
that specifies the Restriction Periods, the number of Shares or Share equivalent units granted, and such other provisions as the Committee determines. 

  
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 8.3 Nontransferability. Restricted Stock, Restricted Units and Restricted Stock Units
granted herein may not be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution, or pursuant to a domestic relations order (as defined in Code
Section 414(p)), until the end of the applicable Restriction Period as specified in the Award Agreement, or upon earlier satisfaction of any other conditions specified by the Committee in its sole discretion and set forth in the Award
Agreement. All rights with respect to Restricted Stock, Restricted Units and Restricted Stock Units will be available during the Participant’s lifetime only to the Participant or the Participant’s guardian or legal representative. The
Committee may, in its discretion, require a Participant’s guardian or legal representative to supply it with evidence the Committee deems necessary to establish the authority of the guardian or legal representative to act on behalf of the
Participant. 
 8.4 Other Restrictions. Subject to Article 11, the Committee may impose such other conditions or restrictions on any
Restricted Stock, Restricted Units or Restricted Stock Units as it deems advisable including, without limitation, restrictions based upon the achievement of specific performance objectives (Company-wide, business unit, individual, or any combination
of them), time-based restrictions on vesting following the attainment of the performance objectives, and restrictions under applicable federal or state securities laws. The Committee may provide that restrictions established under this
Section 8.4 as to any given Award will lapse all at once or in installments. 
 The Company will retain the certificates representing
Shares of Restricted Stock in its possession until all conditions and restrictions applicable to the Shares have been satisfied. 
 8.5
Payment of Awards. Except as otherwise provided in this Article 8, Shares covered by each Restricted Stock grant will become freely transferable by the Participant after the last day of the applicable Restriction Period, and Share equivalent
units covered by a Restricted Unit or Restricted Stock Unit will be paid out in cash or Shares to the Participant following the last day of the applicable Restriction Period, or on a later date provided in the Award Agreement. 

8.6 Voting Rights. During the Restriction Period, Participants holding Shares of Restricted Stock may exercise full voting rights with
respect to those Shares. 
 8.7 Dividends and Other Distributions. During the Restriction Period, Participants awarded Shares of
Restricted Stock, Restricted Units or Restricted Stock Units hereunder will be credited with regular cash dividends or dividend equivalents paid on those Shares or with respect to those Share equivalent units. Dividends may be paid currently,
accrued as contingent cash obligations, or converted into additional Shares of Restricted Stock, upon such terms as the Committee establishes. 

The Committee may apply any restrictions it deems advisable to the crediting and payment of dividends and other distributions. Without
limiting the generality of the preceding sentence, if the grant or vesting of Restricted Stock is designed to qualify for the Performance-Based Exception, the Committee may apply any restrictions it deems appropriate to the payment of dividends
declared with respect to the Restricted Stock, so that the dividends and the Restricted Stock continue to be eligible for the Performance-Based Exception. 

  
 12 

 8.8 Termination of Employment. Each Award Agreement will set forth the extent to which the
Participant has the right to retain unvested Restricted Stock, Restricted Stock Units or Restricted Units after his or her termination of employment with the Company or an Affiliate. These terms will be determined by the Committee in its sole
discretion, need not be uniform among all Awards of Restricted Stock, and may reflect, among other things, distinctions based on the reasons for termination of employment. 

Article 9. Performance Units, Performance Shares and Other Awards 

9.1 Grant of Performance Units or Performance Shares. Subject to the terms of the Plan, Performance Units or Performance Shares may be
granted to Participants in such amounts and upon such terms, and at any time and from time to time, as the Committee determines. 
 9.2
Value of Performance Units and Performance Shares. Each Performance Unit will have an initial value established by the Committee at the time of grant. Each Performance Share will have an initial value equal to the Fair Market Value on the date
of grant. The Committee will set performance objectives in its discretion which, depending on the extent to which they are met, will determine the number or value (or both) of Performance Units or Performance Shares that will be paid out to the
Participant. For purposes of this Article 9, the time period during which the performance objectives must be met will be called a “Performance Period” and will be set by the Committee in its discretion. 

9.3 Earning of Performance Units and Performance Shares. Subject to the terms of this Plan, after the applicable Performance Period has
ended, the holder of Performance Units or Performance Shares will be entitled to receive payout on the number and value of Performance Units or Performance Shares earned by the Participant over the Performance Period, to be determined as a function
of the extent to which the corresponding performance objectives have been achieved. 
 9.4 Award Agreement. Each grant of Performance
Units or Performance Shares will be evidenced by an Award Agreement specifying the material terms and conditions of the Award (including the form of payment of earned Performance Units or Performance Shares), and such other provisions as the
Committee determines. 
 9.5 Form and Timing of Payment of Performance Units and Performance Shares. Except as provided in Article
12, payment of earned Performance Units and Performance Shares will be made as soon as practicable after the close of the applicable Performance Period, in a manner determined by the Committee in its sole discretion. The Committee will pay earned
Performance Units and Performance Shares in the form of cash, in Shares, or in a combination of cash and Shares, as specified in the Award Agreement. Performance Shares may be paid subject to any restrictions deemed appropriate by the Committee.

 9.6 Termination of Employment Due to Death or Disability. Unless determined otherwise by the Committee and set forth in the
Participant’s Award Agreement, if a Participant’s employment is terminated by reason of death or Disability during a Performance 

  
 13 

 
Period, the Participant will receive a prorated payout of the Performance Units or Performance Shares, as specified by the Committee in its discretion in the Award Agreement. Payment of earned
Performance Units and Performance Shares will be made at a time specified by the Committee in its sole discretion and set forth in the Participant’s Award Agreement. 

9.7 Termination of Employment for Other Reasons. If a Participant’s employment terminates during a Performance Period for any
reason other than death or Disability, the Participant will forfeit all Performance Units and Performance Shares to the Company, unless the Participant’s Award Agreement provides otherwise. 

9.8 Nontransferability. Except as otherwise provided in a Participant’s Award Agreement, Performance Units and Performance Shares
may not be sold, transferred, pledged, assigned or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution, or pursuant to a domestic relations order (as defined in Code Section 414(p)). Further,
except as otherwise provided in a Participant’s Award Agreement, a Participant’s rights under the Plan will be exercisable during the Participant’s lifetime only by the Participant or Participant’s guardian or legal
representative. The Committee may, in its discretion, require a Participant’s guardian or legal representative to supply it with evidence the Committee deems necessary to establish the authority of the guardian or legal representative to act on
behalf of the Participant. 
 9.9 Other Awards. In addition to the Awards described in Articles 6 through 8 and Sections 9.1
through 9.8 above, and subject to the terms of the Plan, the Committee may grant other incentives payable in cash or Shares under the Plan as it determines to be in the best interests of the Company and subject to such other terms and conditions as
it deems appropriate. 
 Article 10. Performance Measures 

Unless and until the Committee proposes and the Company’s shareholders approve a change in the general performance measures set forth in
this Article 10, the performance measure(s) to be used for purposes of Awards designed to qualify for the Performance-Based Exception will be chosen from among the following alternatives: 

 

	 	(a)	net earnings; 

  

	 	(b)	operating earnings or income; 

  

	 	(c)	earnings growth; 

  

	 	(d)	net sales growth; 

  

	 	(e)	net income (absolute or competitive growth rates comparative); 

  

	 	(f)	net income applicable to common stock; 

  

	 	(g)	cash flow, including operating cash flow, free cash flow, discounted cash flow return on investment, and cash flow in excess of cost of capital; 

  
 14 

	 	(h)	earnings per share of common stock; 

  

	 	(i)	return on shareholders equity (absolute or peer-group comparative); 

  

	 	(j)	stock price (absolute or peer-group comparative); 

  

	 	(k)	absolute and/or relative return on common shareholders equity; 

  

	 	(l)	absolute and/or relative return on capital; 

  

	 	(m)	absolute and/or relative return on assets; 

  

	 	(n)	economic value added (income in excess of cost of capital); 

  

	 	(o)	customer satisfaction; 

  

	 	(p)	quality metrics; 

  

	 	(q)	expense reduction; and 

  

	 	(r)	ratio of operating expenses to operating revenues. 

 The Committee may specify any reasonable
definition of the performance measures it uses. Such definitions may provide for reasonable adjustments and may include or exclude items, including but not limited to: investment gains and losses; extraordinary, unusual or non-recurring items; gains
or losses on the sale of assets; effects of changes in accounting principles or the application thereof; asset impairment charges; effects of currency fluctuations; acquisitions, divestitures, or financing activities; recapitalizations, including
stock splits and dividends; expenses for restructuring or productivity initiatives; discontinued operations; and other non-operating items. 

The Committee will have the discretion to adjust targets set for preestablished performance objectives; however, Awards designed to qualify
for the Performance-Based Exception may not be adjusted upward, except to the extent permitted under Code Section 162(m), to reflect accounting changes or other events. 

If Code Section 162(m) or other applicable tax or securities laws change to allow the Committee discretion to change the types of
performance measures without obtaining shareholder approval, the Committee will have sole discretion to make such changes without obtaining shareholder approval. In addition, if the Committee determines it is advisable to grant Awards that will not
qualify for the Performance-Based Exception, the Committee may grant Awards that do not so qualify. 
 Article 11. Beneficiary Designation 

Each Participant may, from time to time, name any beneficiary or beneficiaries (who may be named contingently or successively) to whom any
benefit under the Plan is to be paid in case the Participant should die before receiving any or all of his or her Plan benefits. Each 

  
 15 

 
beneficiary designation will revoke all prior designations by the same Participant, must be in a form prescribed by the Committee, and must be made during the Participant’s lifetime. If the
Participant’s designated beneficiary predeceases the Participant or no beneficiary has been designated, benefits remaining unpaid at the Participant’s death will be paid to the Participant’s estate or other entity described in the
Participant’s Award Agreement. 
 Article 12. Deferrals 

The Committee may, consistent with the requirements of Code Section 409A, permit a Participant to defer receipt of cash or Shares that
would otherwise be due to him or her by virtue of an Option or SAR exercise, the lapse or waiver of restrictions on Restricted Stock, Restricted Stock Units, Restricted Units or other Awards, or the satisfaction of any requirements or objectives
with respect to Performance Units, Performance Shares or other Awards. If any such deferral election is permitted, the Committee will, in its sole discretion, establish rules and procedures for such deferrals consistent with the requirements of Code
Section 409A. 
 Article 13. Rights of Employees 

13.1 Employment. Nothing in the Plan will interfere with or limit in any way the right of the Company or any affiliate of the Company
(as defined in federal securities laws) to terminate any Participant’s employment at any time, or confer upon any Participant any right to continue in the employ of the Company or any Affiliate. 

13.2 Participation. No Eligible Employee will have the right to receive an Award under this Plan, or, having received any Award, to
receive a future Award. 
 Article 14. Change in Control 

14.1 Grandfathered Awards. With respect to Grandfathered Awards, upon the occurrence of a Change in Control, unless otherwise
specifically prohibited under applicable laws, or by the rules and regulations of any governing governmental agencies or national securities exchanges: 
  

	 	(a)	any and all outstanding Options and SARs will become immediately exercisable (and will deemed to be exercisable immediately prior to the Change in Control), and will remain exercisable throughout their entire term (the
“Vested Options and SARs”); provided, however, that, with respect to Vested Options and SARs that are not exercised in connection with the Change in Control, such Vested Options and SARs will be subject to the provisions of
Section 14.1(e) below, as applicable; 

  

	 	(b)	any Restriction Periods or other restrictions imposed on Restricted Stock, Restricted Stock Units and Restricted Units will lapse, except that the degree of vesting associated with those awards that is conditioned on
the achievement of performance conditions will be determined as set forth in Section 14.1(c) or Section 14.1(d), as applicable; 

  
 16 

	 	(c)	except as otherwise provided in the Award Agreement, the vesting of all Performance Units and Performance Shares will be accelerated as of the effective date of the Change in Control, and Participants will be paid in
cash, within thirty days after the effective date of the Change in Control, a pro rata amount based on an assumed achievement of all relevant performance objectives at target levels, and upon the length of time within the Performance Period that
elapsed prior to the effective date of the Change in Control; 

  

	 	(d)	notwithstanding the foregoing, if the Committee determines that actual performance to the effective date of the Change in Control exceeds target levels, the prorated payouts made pursuant to Sections 14.1(b) and
(c) will be made at levels commensurate with the actual performance (determined by extrapolating the actual performance to the end of the Performance Period) based on the length of time within the Performance Period that elapsed prior to the
Change in Control; and 

  

	 	(e)	(i) if the Company is a party to an agreement that is reasonably likely to result in a Change in Control, such agreement may provide for: (A) the continuation of the Vested Options and SARs by the Company, if the
Company is the surviving corporation; (B) the assumption of the Vested Options and SARs by the surviving 

 corporation or
its parent or subsidiary; (C) the substitution by the surviving corporation or its parent or subsidiary of equivalent awards for the Vested Options and SARs; or (D) settlement of the Vested Options and SARs for the Change in Control Price
(less, to the extent applicable, the per share exercise or grant price), or, if the per share exercise or grant price equals or exceeds the Change in Control Price, such Vested Options and SARs shall terminate and be canceled. 

(ii) to the extent that Restricted Stock, Restricted Units and Restricted Stock Units settle in Shares in accordance with their terms upon a
Change in Control, such Shares shall be entitled to receive as a result of the Change in Control transaction the same consideration as the Shares held by shareholders of the Company as a result of the Change in Control transaction. 

For purposes of this Section 14.1(e), Change in Control Price shall mean the Fair Market Value of a Share upon a Change in Control. To the
extent that the consideration paid in any such Change in Control transaction consists all or in part of securities or other non-cash consideration, the value of such securities or other non-cash consideration shall be determined in good faith by the
Committee. 
 14.2 Awards Other than Grandfathered Awards. Upon the occurrence of a Change in Control, the following provisions of
this Section 14.2 shall apply to Awards that are not Grandfathered Awards, unless the Committee shall determine otherwise at the time of grant with respect to a particular Award and unless otherwise specifically prohibited under applicable
laws, or by the rules and regulations of any governing governmental agencies or national securities exchanges: 
  

	 	(a)	Options and SARs. 

  
 17 

 (i) Any outstanding Options and SARs, unless exchanged by the Company for a Replacement Award,
will become immediately exercisable (and will deemed to be exercisable immediately prior to the Change in Control), and will remain exercisable throughout the remainder of their term (the “Vested Options and SARs”); provided, however,
that, with respect to Vested Options and SARs that are not exercised upon the Change in Control, such Vested Options and SARs will be subject to the provisions of Section 14.2(d) below, as applicable. 

(ii) Any Option or SAR may be exchanged by the Company upon the Change in Control for a Replacement Award that satisfies the conditions of this
Section 14.2(a)(ii). The Replacement Award shall have equivalent value and vest and become exercisable in accordance with the vesting schedule and term for exercisability, in each case that applied to the corresponding Option or SAR for which
it is being exchanged, provided, however, that if within twenty-four (24) months of such Change in Control, the Participant’s employment with the Company is terminated by the Company without Cause or by the Participant for
Good Reason (as defined in the Participant’s employment agreement for Participants who are party to an employment agreement with the Company), such Award, to the extent then outstanding, shall become fully vested and exercisable upon such
termination of employment. 
  

	 	(b)	Restricted Stock, Restricted Stock Units and Restricted Units. 

 (i) Any Restriction Periods or
other restrictions imposed on Restricted Stock, Restricted Stock Units and Restricted Units that are not exchanged by the Company for a Replacement Award will lapse, except that the degree of vesting associated with those Awards that is conditioned
on the achievement of performance conditions will be determined as set forth in Section 14.2(c). 
 (ii) Any Restricted Stock,
Restricted Stock Unit, or Restricted Unit may be exchanged by the Company upon the Change in Control for a Replacement Award that satisfies the conditions of this Section 14.2(b)(ii). The Replacement Award shall have equivalent value to the
Award for which it is being exchanged and shall vest in accordance with the vesting schedule that applied to the corresponding Award for which it is being exchanged, provided, however, that if within twenty four (24) months of
such Change in Control, the Participant’s employment with the Company is terminated by the Company without Cause or by the Participant for Good Reason (as defined in the Participant’s employment agreement for Participants who are party to
an employment agreement with the Company), such Award, to the extent then outstanding, shall become free of all contingencies, restrictions and limitations and become vested and transferable (or paid) upon such termination of employment. 

 

	 	(c)	Performance Shares and Performance Units. 

 (i) Except as otherwise provided in the Award
Agreement, the vesting of all Performance Units and Performance Shares that are not exchanged by the 

  
 18 

 
Company for a Replacement Award will be accelerated as of the effective date of the Change in Control, and Participants will be paid, within thirty days after the effective date of the Change in
Control, an amount in cash based on an assumed achievement of all relevant performance objectives at target levels. 
 (ii) Any Performance
Share or Performance Unit may be exchanged by the Company upon a Change in Control for a Replacement Award that satisfies the conditions of this Section 14.2(c)(ii). The Replacement Award shall not be subject to any performance condition
referred to in Article 10 above or otherwise, but instead shall be subject solely to the restrictions, if any, of the Award for which it is being exchanged that are based on the passage of time through the expiration date of the performance period
utilized in the Award for which it is being exchanged. The number or value of such Replacement Award shall be determined based on the assumed achievement of all of the relevant performance objectives of the Award for which it is being exchanged at
their target levels. Notwithstanding the foregoing in this Section 14.2(c)(ii), if within twenty four (24) months of such Change in Control, the Participant’s employment with the Company is terminated by the Company without Cause or
by the Participant for Good Reason (as defined in the Participant’s employment agreement for Participants who are party to an employment agreement with the Company), such Replacement Award, to the extent then outstanding, shall become free of
all contingencies, restrictions and limitations and become vested and transferable (or paid) upon such termination of employment. 
  

	 	(d)	(i) If the Company is a party to an agreement that is reasonably likely to result in a Change in Control, such agreement may provide for settlement of the Vested Options and SARs for the Change in Control Price (less,
to the extent applicable, the per share exercise or grant price), or, if the per share exercise or grant price equals or exceeds the Change in Control Price, such Vested Options and SARs shall terminate and be canceled. 

(ii) To the extent that Restricted Stock, Restricted Units and Restricted Stock Units settle in Shares in accordance with their terms upon a
Change in Control, such Shares shall be entitled to receive as a result of the Change in Control transaction the same consideration as the Shares held by shareholders of the Company as a result of the Change in Control transaction. 

For purposes of this Section 14.2(d), Change in Control Price shall mean the Fair Market Value of a Share upon a Change in Control. To the
extent that the consideration paid in any such Change in Control transaction consists all or in part of securities or other non-cash consideration, the value of such securities or other non-cash consideration shall be determined in good faith by the
Committee. 
 14.3 Termination, Amendment and Modifications of Change in Control Provisions. Notwithstanding any other provision of
this Plan or any provision in an Award Agreement, this Article 14 may not be terminated, amended or modified on or after the effective date of a Change in Control in a way that would adversely affect any Award in any material way theretofore granted
to a Participant, unless the Participant gives his or her prior written consent to the termination, amendment or modification. 

  
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 Article 15. Amendment, Modification and Termination 

15.1 Amendment, Modification and Termination. Subject to Section 14.3, the Committee or Board may at any time and from time to
time, alter, amend, modify or terminate the Plan in whole or in part. The Committee or Board will not, however, increase the number of Shares that may be issued or transferred to Participants under the Plan, as described in the first sentence of
Section 4.1 (and subject to adjustment as provided in Sections 4.2 and 4.3). 
 Subject to the terms and conditions of the Plan,
the Committee may modify, extend or renew outstanding Awards under the Plan, or accept the surrender of outstanding Awards (to the extent not already exercised) and grant new Awards in substitution of them (to the extent not already exercised).
Except as provided in Sections 4.3 and 15.2, the Committee will not, however, modify any outstanding Option or SAR so as to specify a lower Exercise Price or grant price (and will not cancel an Option or SAR and substitute for it an Option or SAR
with a lower Exercise price or grant price), without the approval of the Company’s shareholders. In addition, except as provided in Sections 4.3 and 15.2, the Committee may not cancel an outstanding Option or SAR whose Exercise Price or grant
price is equal to or greater than the current Fair Market Value of a Share and substitute for it another Award or cash payment without the prior approval of the Company’s shareholders. Notwithstanding the foregoing, no alteration, modification
or termination of an Award will, without the prior written consent of the Participant, adversely alter or impair any rights or obligations under any Award already granted under the Plan. 

15.2 Adjustment of Awards Upon the Occurrence of Certain Unusual or Nonrecurring Events. The Committee may, using reasonable care, make
adjustments in the terms and conditions of, and the criteria included in, Awards in order to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan (i) in recognition of unusual or
nonrecurring events (including, without limitation, the events described in Section 4.3) affecting the Company or its financial statements, (ii) in recognition of changes in applicable laws, regulations, or accounting principles, or
(iii) whenever the Committee determines that such adjustments are necessary, equitable and/or appropriate. In the case of an Award designed to qualify for the Performance-Based Exception, the Committee will take care not to make an adjustment
that would disqualify the Award. 
 15.3 Awards Previously Granted. No termination, amendment or modification of the Plan will
adversely affect in any material way any Award already granted, without the written consent of the Participant who holds the Award. 

15.4 Compliance with Code Section 162(m) and Code Section 409A. Awards will comply with the requirements of Code
Section 162(m), unless the Committee determines that such compliance is not desired with respect to an Award available for grant under the Plan. In addition, if changes are made to Code Section 162(m) to permit greater flexibility as to
any Award available under the Plan, the Committee may, subject to this Article 15, make any adjustments it deems appropriate. The Plan and Awards, and all amounts payable with respect to  

  
 20 

 
Awards, are intended to comply with, or be exempt from, Code Section 409A and the interpretative guidance thereunder and shall be construed, interpreted and administered accordingly. If an
unintentional operational failure occurs with respect to Code Section 409A, any affected Participant or beneficiary shall fully cooperate with the Company to correct the failure to the extent possible in accordance with any correction procedure
established by the U.S. Department of the Treasury. If a Participant is a “specified employee” (as such term is defined for purposes of Code Section 409A) at the time of his or her termination of employment, no amount that is subject
to Code Section 409A and that becomes payable by reason of such termination of employment shall be paid to the Participant before the earlier of (i) the expiration of the six-month period measured from the date of the Participant’s
termination of employment, and (ii) the date of the Participant’s death. A termination of employment shall be deemed to occur only if it is a “separation from service” within the meaning of Code Section 409A, and references
in the Plan and any Award Agreement to “termination,” “termination of employment,” or like terms shall mean a “separation from service.” A separation from service shall be deemed to occur if it is anticipated that the
level of services the Participant will perform after a certain date (whether as an employee or as an independent contractor) will permanently decrease to no more than twenty percent (20%) of the average level of services provided by the
Participant in the immediately preceding thirty-six (36) months. 
 Article 16. Withholding 

16.1 Tax Withholding. The Company will have the power and the right to deduct or withhold, or require a Participant to remit to the
Company, an amount sufficient to satisfy federal, state, and local taxes, domestic or foreign, required by law or regulation to be withheld with respect to any taxable event arising under this Plan. No Award Agreement will permit reload options to
be granted in connection with any Shares used to pay a tax withholding obligation. 
 16.2 Share Withholding. With respect to
withholding required upon the exercise of Options or SARs, upon the lapse of restrictions on Restricted Stock, or upon any other taxable event arising as a result of Awards granted hereunder, the Company may satisfy the minimum withholding
requirement for supplemental wages, in whole or in part, by withholding Shares having a Fair Market Value (determined on the date the Participant recognizes taxable income on the Award) equal to the minimum withholding tax required to be collected
on the transaction. The Participant may elect, subject to the approval of the Committee, to deliver the necessary funds to satisfy the withholding obligation to the Company, in which case there will be no reduction in the Shares otherwise
distributable to the Participant. 
 Article 17. Indemnification 

Each person who is or has been a member of the Committee or the Board will be indemnified and held harmless by the Company from and against
any loss, cost, liability, or expense that may be imposed upon or reasonably incurred by him or her in connection with or as a result of any claim, action, suit or proceeding to which he or she may be a party or in which he or she may be involved by
reason of any action taken, or failure to act, under the Plan. Each such person will also be indemnified and held harmless by the Company from and against any and all amounts paid by him or her in a settlement approved by the Company, or paid by him
or 

  
 21 

 
her in satisfaction of any judgment, of or in a claim, action, suit or proceeding against him or her and described in the previous sentence, so long as he or she gives the Company an opportunity,
at its own expense, to handle and defend the claim, action, suit or proceeding before he or she undertakes to handle and defend it. The foregoing right of indemnification will not be exclusive of any other rights of indemnification to which a person
who is or has been a member of the Committee or the Board may be entitled under the Company’s Certificate of Incorporation or By-Laws, as a matter of law, or otherwise, or any power that the Company may have to indemnify him or her or hold him
or her harmless. 
 Article 18. Successors 

All obligations of the Company under the Plan or any Award Agreement will be binding on any successor to the Company, whether the existence of
the successor results from a direct or indirect purchase of all or substantially all of the business or assets of the Company or both, or a merger, consolidation, or otherwise. 

Article 19. Legal Construction 
 19.1
Number. Except where otherwise indicated by the context, any plural term used in this Plan includes the singular and a singular term includes the plural. 

19.2 Severability. If any provision of the Plan is held illegal or invalid for any reason, the illegality or invalidity will not affect
the remaining parts of the Plan, and the Plan will be construed and enforced as if the illegal or invalid provision had not been included. 

19.3 Requirements of Law. The granting of Awards and the issuance of Share or cash payouts under the Plan will be subject to all
applicable laws, rules, and regulations, and to any approvals by governmental agencies or national securities exchanges as may be required. 

19.4 Securities Law Compliance. As to any individual who is, on the relevant date, an officer, director or ten percent beneficial owner
of any class of the Company’s equity securities that is registered pursuant to Section 12 of the Exchange Act, all as defined under Section 16 of the Exchange Act, transactions under this Plan are intended to comply with all
applicable conditions of Rule 16b-3 under the Exchange Act, or any successor rule. To the extent any provision of the Plan or action by the Committee fails to so comply, it will be deemed null and void, to the extent permitted by law and deemed
advisable by the Committee. 
 19.5 Awards to Foreign Nationals and Employees Outside the United States. To the extent the
Committee deems it necessary, appropriate or desirable to comply with foreign law or practice and to further the purposes of this Plan, the Committee may, without amending the Plan, (i) establish a sub-plan hereunder and/or rules applicable to
Awards granted to Participants who are foreign nationals, are employed outside the United States, or both, including rules that differ from those set forth in this Plan, and (ii) grant Awards to such Participants in accordance with those
rules. 
 19.6 Unfunded Status of the Plan. The Plan is intended to constitute an “unfunded” plan for incentive and
deferred compensation. With respect to any payments or deliveries of Shares not yet made to a Participant by the Company, the Participant’s rights are no greater than 

  
 22 

 
those of a general creditor of the Company. The Committee may authorize the establishment of trusts or other arrangements to meet the obligations created under the Plan, so long as the
arrangement does not cause the Plan to lose its legal status as an unfunded plan. 
 19.7 Governing Law. To the extent not preempted
by federal law, the Plan and all agreements hereunder will be construed in accordance with and governed by the laws of the State of Michigan without giving effect to principles of conflicts of law. 

Article 20. Incentive Compensation Recoupment Policy 

Notwithstanding any provision in the Plan or in any Award Agreement to the contrary, all Awards are subject to the Incentive
Compensation Recoupment Policy established by the Company, as amended from time to time. 
 *    
*     *     *     * 

  
 23EX-10.10

 Exhibit 10.10 

LEAR CORPORATION 

OUTSIDE DIRECTORS COMPENSATION PLAN 

As Amended and Restated Effective January 1, 2014 

 LEAR CORPORATION 

OUTSIDE DIRECTORS COMPENSATION PLAN 
  

	Article 1.	Establishment, Objectives and Duration 

 1.1 Amendment and Restatement of Plan.
Lear Corporation, a Delaware corporation, hereby amends and restates the compensation plan for non-employee directors known as the “Lear Corporation Outside Directors Compensation Plan” (hereinafter referred to as the
“Plan”), as set forth in this document.  
 1.2 Plan Objectives. The objectives of the Plan are to give the
Company an advantage in attracting and retaining Outside Directors and to link the interests of Outside Directors to those of the Company’s stockholders. 

1.3 Duration of the Plan. The Plan commenced on January 1, 2004 and will remain in effect until the Board of Directors terminates
it pursuant to Section 9.1. 
  

	Article 2.	Definitions 

 The following defined terms have the meanings set forth below: 

“Account” means a notional account in the Outside Director’s name to which compensation not immediately payable to him
or her and, if applicable, interest earned thereon, is credited. 
 “Affiliate” means any person that, directly or
indirectly, is in control of, is controlled by, or is under common control with, the Company. 
 “Annual Retainer”
means the retainer fee established by the Board in accordance with Section 5.1 and paid to an Outside Director for services performed as a member of the Board of Directors for a Plan Year. 

“Beneficiary” means the person entitled under Section 6.5 to receive payment of the balances remaining in an Outside
Director’s Account in case the Outside Director dies before the entire balance in that Account has been paid. 

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

“Change in Control” of the Company will be deemed to have occurred (as of a particular day, as specified by the Board) as of
the first day any one or more of the following paragraphs is satisfied. 
 (a) Any Person (other than the Company or a trustee or
other fiduciary holding securities under an employee benefit plan of the Company, or a corporation owned directly or 

  
 1 

 
indirectly by the shareholders of the Company in substantially the same proportions as their ownership of stock of the Company) becomes the Beneficial Owner, directly or indirectly, of securities
of the Company, representing more than twenty percent of the combined voting power of the Company’s then outstanding securities. 
 (b)
During any period of twenty-six consecutive months beginning on or after the Effective Date, individuals who at the beginning of the period constituted the Board cease for any reason (other than death, Disability or voluntary Retirement) to
constitute a majority of the Board. For this purpose, any new Director whose election by the Board, or nomination for election by the Company’s shareholders, was approved by a vote of at least two-thirds of the Directors then still in office,
and who either were Directors at the beginning of the period or whose election or nomination for election was so approved, will be deemed to have been a Director at the beginning of any twenty-six month period under consideration. 

(c) Consummation of: (i) an agreement for the sale or disposition of all or substantially all the Company’s assets; or (ii) a
merger, consolidation or reorganization of the Company with or involving any other corporation, other than a merger, consolidation or reorganization that results in the voting securities of the Company outstanding immediately prior thereto
continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity) at least fifty percent of the combined voting power of the voting securities of the Company (or such surviving entity)
outstanding immediately after such merger, consolidation, or reorganization. 
 (d) The shareholders of the Company approve a plan of
complete liquidation or dissolution of the Company. 
 Notwithstanding the foregoing, if an amount is “deferred compensation” for
purposes of Code Section 409A, and if payment of such amount would be accelerated or otherwise triggered upon a “Change in Control,” then the foregoing definition is modified, to the extent necessary to avoid the imposition of an
excise tax under Code Section 409A, to mean a “change in control event” as such term is defined for purposes of Code Section 409A. For purposes of clarity, if an amount would, for example, vest and be paid on a “Change in
Control” as defined herein but payment of such amount would violate the provisions of Code Section 409A, then the amount shall vest but will be paid only in compliance with its terms and Code Section 409A (i.e., upon a
permissible payment event). 
 “Code” means the Internal Revenue Code of 1986, as amended from time to time, or any
successor to it. 
 “Committee Meeting Fee” means the fee established by the Board in accordance with Section 5.1 and
paid to an Outside Director for each attendance at a meeting of a Board committee (including telephonic meetings but excluding execution of unanimous written consents). 

  
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 “Common Stock Fair Market Value” means the average of the high and low prices of
publicly traded Shares on the national exchange on which the Shares are listed as of a particular date. 
 “Company” means
Lear Corporation, a Delaware corporation, and any successor thereto as provided in Section 9.3. 
 “Deferral Election” has
the meaning ascribed to it in Section 6.1. 
 “Director” means any individual who is a member of the Board of
Directors. 
 “Disability” means the individual is unable 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 12 months. 

“Effective Date” has the meaning ascribed to it in Section 8.1. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time, or any successor to it. 

“Grandfathered Account” means the portion of an Account attributable to compensation that was deferred and vested as of
December 31, 2004. 
 “Installment Payment” has the meaning ascribed to it in Section 5.1. 

“Meeting Fee” means the fee established by the Board in accordance with Section 5.1 and paid to an Outside Director for
each attendance at a meeting of the Board of Directors (including telephonic meetings but excluding execution of unanimous written consents). 

“Non-Executive Chairman” means the Outside Director selected by the Board as the non-executive Chairman of the Board. 

“Nongrandfathered Account” means the portion of an Account that is not a Grandfathered Account. 

“Outside Director” means a Director who, at the time in question, is not an employee of the Company or any of its Affiliates.

 “Plan” has the meaning ascribed to it in Section 1.1. 

“Plan Year” means the 12 month period beginning on January 1 and ending on the next following December 31. 

“Plan Year Account” for a given Plan Year means the portion of a Participant’s Account attributable to compensation
deferred for such Plan Year. 

  
 3 

 “Presiding Director” means the Outside Director selected by the other Outside
Directors as the presiding Director at meetings of the Outside Directors held in accordance with applicable rules of any securities exchange on which the Company’s securities are listed. 

“Restricted Grant” means a grant made pursuant to Section 5.2 that is subject to vesting and other restrictions as set
forth in Article 7. 
 “Retirement” means a Separation from Service (a) upon or after attaining 70 years of age, or
(b) upon or after serving six years as a Director, or (c) upon such other circumstances that the Board, in its sole discretion, affirmatively determines not to be adverse to the best interests of the Company.  

“Separation from Service” or “Separate from Service” means ceasing to be a Director of the Company for any reason.
Notwithstanding anything to the contrary, the determination of whether an individual has had a Separation from Service will be made in accordance with Code Section 409A and the regulations thereunder. 

“Shares” means the shares of common stock, $.01 par value, of the Company, including their associated preferred share
purchase rights. 
 “Termination Date” means the date on which an Outside Director has a Separation from Service.

  

	Article 3.	Administration 

 3.1 The Board of Directors. The Plan will be administered by the
Board of Directors. The Board of Directors will act by a majority of its members at the time in office and eligible to vote on any particular matter, and may act either by a vote at a meeting or in writing without a meeting. 

3.2 Authority of the Board of Directors. Except as limited by law and subject to the provisions herein, the Board of Directors has full
power to: construe and interpret the Plan and any agreement or instrument entered into under the Plan; establish, amend or waive rules and regulations for the Plan’s administration; and amend the terms and conditions of the Plan. Further, the
Board of Directors will make all other determinations which may be necessary or advisable for the administration of the Plan. As permitted by law and consistent with Section 3.1, the Board of Directors may delegate some or all of its authority
under this Plan. 
 3.3 Decisions Binding. All determinations and decisions made by the Board of Directors pursuant to the
provisions of the Plan will be final, conclusive and binding on all persons, including the Company, its stockholders, all Affiliates, Outside Directors and their estates and beneficiaries. 

  
 4 

	Article 4.	Eligibility 

 Each Outside Director of the Board during a Plan Year will participate in
the Plan for that year. 
  

	Article 5.	Annual Retainer and Stock Grant 

 5.1 Amount Payable in Cash. Each Outside
Director will be entitled to receive an Annual Retainer in the amount determined from time to time by the Board. Until changed by resolution of the Board of Directors, the Annual Retainer will be $110,000 for each Outside Director, provided that the
Annual Retainer for the Presiding Director will be increased by $10,000 and the Annual Retainer for the Non-Executive Chairman shall be increased by $75,000. In addition, the Annual Retainer for each of the chairs of the Audit Committee and the
Compensation Committee will be increased by $20,000 and the Annual Retainer for the chair of the Nominating and Corporate Governance Committee will be increased by $12,500.  

To the extent the Outside Director has not made a Deferral Election with respect to the Annual Retainer, it will be paid in monthly cash
installments (the “Installment Payments”) to the Outside Director, payable on the last business day of the month preceding the month to which the installment applies. Each Installment Payment to an Outside Director will equal the
quotient of the Outside Director’s Annual Retainer divided by twelve. Any Outside Director who first becomes an Outside Director during a calendar month will be entitled to an Installment Payment for that month unless, immediately before
becoming an Outside Director, he or she was a Director who was an employee of the Company or any of its Affiliates. Notwithstanding the foregoing, with respect to any Outside Director who was a participant in the Plan as of January 29, 2010, a
portion of the Annual Retainer equal to $24,000 for each of the Plan Years 2010, 2011 and 2012, will be treated as a Restricted Grant pursuant to Section 5.3 and paid according to Article 7. 

No Meeting Fees shall be paid with respect to the first twelve meetings of the Board attended by an Outside Director in any Plan Year.
Each Outside Director will be entitled to receive a Meeting Fee, in the amount determined from time to time by the Board, for each meeting of the Board he or she attends that is in excess of twelve meetings within a Plan Year (including telephonic
meetings but excluding execution of unanimous written consents). Until changed by resolution of the Board of Directors, the Meeting Fee will be $1,500. Unless the Outside Director has made a Deferral Election with respect to them, Meeting Fees, if
any, will be paid on the last business day of the month in which the meeting was attended (at the same time as the Installment Payment for the next month). No Meeting Fees shall be paid with respect to meetings of any standing committee of the Board
(e.g., Audit Committee, Compensation Committee and Nominating and Corporate Governance Committee) attended by an Outside Director. Committee Meeting Fees for meetings of any special committee of the Board will be established at the time the
Board establishes such committee.  
 5.2 Stock Grant. Each Outside Director will be entitled to receive an unrestricted grant
of Shares, which grant will be made under the 2009 Lear Corporation Long-Term Stock  

  
 5 

 
Incentive Plan, or a successor plan, as of the date of any annual meeting of the stockholders of the Company at which such Outside Director is elected or re-elected to serve in such position. The
amount of the unrestricted stock grant will be determined from time to time by the Board. Until changed by resolution of the Board of Directors, the number of Shares subject to each unrestricted stock grant for each Outside Director will be equal to
$140,000 divided by the Common Stock Fair Market Value on the date of the grant, provided that the grant date value of the unrestricted grant of Shares for the Non-Executive Chairman shall be increased by $100,000. The unrestricted grant of Shares
shall be deemed earned upon the date of grant and shall not be subject to forfeiture, in whole or in part, in the event an Outside Director ceases to be an Outside Director for any reason, including resignation or removal (with or without cause).

 5.3 Restricted Grant. Each Outside Director who was an Outside Director on January 29, 2010, shall be treated as receiving a
Restricted Grant in the amount of $72,000 on that date. This amount shall be paid according to Article 7, in lieu of a portion equal to $24,000 of the Annual Retainer such Outside Director would otherwise receive for services in each of the Plan
Years 2010, 2011, and 2012. No Restricted Grants shall be made after January 29, 2010. 
  

	Article 6.	Deferral 

 6.1 Deferral Election. Any Outside Director may elect to defer all or a
portion of the compensation payable to him or her under Section 5.1 for the Plan Year by filing with the Secretary of the Company a written notice to that effect (a “Deferral Election”), on a form provided by the Company. A
Deferral Election must be filed before the first day of the Plan Year to which it relates. Notwithstanding the foregoing, an election may be filed within 30 days after a Director first becomes an Outside Director; provided, however, the amount of
compensation deferred pursuant to such election will not exceed the portion of the Outside Director’s compensation earned after the date the election is made. A Deferral Election may not be revoked or modified with respect to compensation
payable for any Plan Year for which it is effective. Unless either the Deferral Election is terminated or modified as described below or the Director Separates from Service, the Deferral Election will apply to compensation payable under
Section 5.1 with respect to each subsequent Plan Year. An Outside Director may terminate or modify his or her current Deferral Election by filing a new Deferral Election before the first day of the Plan Year to which such termination or
modification applies.  
 6.2 Interest. All amounts deferred pursuant to Section 6.1 will be credited to the Outside
Director’s applicable Plan Year Account as of the date the compensation would otherwise have been payable, notwithstanding the Deferral Election. The amounts credited to the Plan Year Account will be credited with interest, compounded monthly,
from the date the compensation would otherwise have been payable under Section 5.1 until the amount credited to the Account is paid to the Outside Director. The rate of interest credited under the previous sentence will be the prime rate of
interest as reported by the Midwest edition of the Wall Street Journal for the second business day of each quarter on an annual basis. 

  
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 6.3 Distributions. The value of an Outside Director’s Plan Year Accounts will be
distributed, or will begin to be distributed, to him or her or, in the event of his or her death, to his or her Beneficiary, within 10 days following the earliest of: 
  

	 	(a)	the date specified by the Outside Director in his or her Deferral Election for each such Plan Year Account; 

  

	 	(b)	the Outside Director’s Termination Date; and 

  

	 	(c)	the date on which a Change in Control occurs. 

 Each Plan Year Account will be paid to the
Outside Director in a lump sum or in installments in accordance with his or her Deferral Election for such Plan Year Account. If an Outside Director fails to elect a payout form (and has not elected a payout form for any prior Plan Year that, in
accordance with Section 6.1, would be deemed to remain in effect until changed), his or her Plan Year Accounts will be paid in a single lump sum. 

If an Outside Director elects to receive payment of a Plan Year Account in installments, the payment period for the installments will not
exceed ten years. The amount of each installment payment will equal the product of (a) the balance in the Outside Director’s Plan Year Account on the date the payment is made multiplied by (b) a fraction, the numerator of which is one
and the denominator of which is the number of unpaid remaining installments. The balance of the Plan Year Account will be appropriately reduced to reflect any Installment Payments already made hereunder. Notwithstanding the foregoing, in the event
of a Change in Control, the balance remaining in an Outside Director’s Account will be paid in a single lump sum payment within 10 days following the Change in Control. 

If an Outside Director dies before he or she has received payment of all amounts due hereunder, the balances remaining in the Outside
Director’s Account will be distributed to his or her Beneficiary in a single lump sum payment within 90 days following the Outside Director’s death. 

Notwithstanding anything to the contrary in this Section 6.3, if the Compensation Committee determines that the Outside Director is a
“specified employee” (within the meaning of Code Section 409A(a)(2)(B)), then notwithstanding any provision in the Plan to the contrary, payments triggered by the Outside Director’s Termination Date will not be paid until six
months after the Outside Director’s Termination Date or until the Outside Director’s earlier death. The foregoing six-month delay provision will not affect the timing of payments that would otherwise be paid more than six months after the
Outside Director’s Termination Date. 
 6.4 Stock Grant Deferral. The Board may establish rules and procedures to permit Outside
Directors to defer unrestricted stock grants made pursuant to Section 5.2, as it deems appropriate and in compliance with Code Section 409A. 

  
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 6.5 Beneficiary. An Outside Director may designate any person to whom payments are to be
made if the Outside Director dies before receiving payment of all amounts due hereunder. A Beneficiary Designation form becomes effective only after the signed form is filed with the Secretary of the Company while the Outside Director is alive, and
will cancel any prior Beneficiary Designation form. If the Outside Director fails to designate a Beneficiary or if all designated Beneficiaries predecease the Outside Director, the Outside Director’s Beneficiary will be his or her estate.

  

	Article 7.	Restricted Grants 

 7.1 Award Agreement. Each Outside Director who was a
participant in the Plan as of January 29, 2010, will be deemed to have received a Restricted Grant with a total value equal to $72,000 on that date. The Restricted Grant will be evidenced by an award agreement approved by the Board of Directors
that specifies the vesting period and such other provisions as the Board determines. No Restricted Grants will be made after January 29, 2010. 

7.2 Payment of Awards. The cash value of the Restricted Grant will be paid to the Outside Director according to the schedule set forth
in the award agreement; provided, however, that an Outside Director may defer the receipt of such cash payment via a Deferral Election, pursuant to such procedures as may be set forth in an award agreement or as otherwise set forth by the Board of
Directors in compliance with the requirements of Code Section 409A. 
  

	Article 8.	Effective Date; Grandfathered Accounts. 

 8.1 Effective Date. This amended and
restated Plan is effective as of January 1, 2014 (the “Effective Date”) with respect to Nongrandfathered Accounts and will remain in effect as provided in Section 1.3 hereof. 

8.2 Grandfathered Accounts. An Outside Director’s Grandfathered Accounts will remain subject to the terms and conditions of the
Plan as in effect on December 31, 2004.  
  

	Article 9.	Miscellaneous 

 9.1 Modification and Termination. The Board may at any time and
from time to time, alter, amend, modify or terminate the Plan in whole or in part. 
 9.2 Indemnification. Each person who is
or has been a member of the Board will be indemnified and held harmless by the Company against and from any loss, cost, liability, or expense that may be imposed upon or reasonably incurred by that person in connection with or resulting from any
claim, action, suit, or proceeding to which that person may be a party or in which that person may be involved by reason of any action taken or failure to act under the Plan and against and from any and all amounts paid by that person in a
settlement approved by the Company, or paid by that person in satisfaction of any judgment in any such action, suit, or proceeding against that person, provided he or she gives the Company an opportunity, at its own expense, to handle and defend the
action, suit or proceeding before that person undertakes to  

  
 8 

 
handle and defend it. The foregoing right of indemnification will not be exclusive of any other rights of indemnification to which an individual may be entitled under the Company’s
Certificate of Incorporation or By-Laws, as a matter of law, or otherwise, or any power that the Company may have to indemnify him or her or hold him or her harmless. 

9.3 Successors. All obligations of the Company under the Plan with respect to a given Plan Year will be binding on any successor to the
Company, whether the existence of the successor is the result of a direct or indirect purchase of all or substantially all of the business and/or assets of the Company, or a merger, consolidation, or otherwise. 

9.4 Reservation of Rights. Nothing in this Plan or in any award agreement granted hereunder will be construed to limit in any way the
Board’s right to remove an Outside Director from the Board of Directors. 
  

	Article 10.	Legal Construction 

 10.1 Gender and Number. Except where otherwise indicated by
the context, any masculine term used herein will also include the feminine; the plural will include the singular and the singular will include the plural. 

10.2 Severability. If any provision of the Plan is held illegal or invalid for any reason, the illegality or invalidity will not affect
the remaining parts of the Plan, and the Plan will be construed and enforced as if the illegal or invalid provision had not been included. 

10.3 Requirements of Law. The issuance of payments under the Plan will be subject to all applicable laws, rules, and regulations, and
to any approvals required by any governmental agencies or national securities exchanges. 
 10.4 Securities Law and Tax Law
Compliance.  
  

	 	(a)	Insider Trading. To the extent any provision of the Plan or action by the Board would subject any Outside Director to liability under Section 16(b) of the Exchange Act, it will be deemed null and void, to
the extent permitted by law and deemed advisable by the Board. 

  

	 	(b)	Section 409A. This Plan is intended to comply with Code Section 409A and the regulations thereunder, and will be administered and interpreted in accordance with such intent. If the Company determines
that any provision of the Plan is or might be inconsistent with the requirements of Code Section 409A, it will attempt in good faith to make such changes to the Plan as may be necessary or appropriate to avoiding an Outside Director’s
becoming subject to adverse tax consequences under Code Section 409A. No provision of the Plan will be interpreted to transfer any liability for a failure to comply with Code Section 409A from an Outside Director or any other individual to
the Company. 

  
 9 

 10.5 Unfunded Status of the Plan. The Plan is intended to constitute an
“unfunded” plan. With respect to any payments not yet made to an Outside Director by the Company, nothing contained herein will give any rights to an Outside Director that are greater than those of a general creditor of the Company.

 10.6 Governing Law. The Plan will be construed in accordance with and governed by the laws of the State of Michigan,
determined without regard to its conflict of law rules. 
 10.7 Nontransferability. An Outside Director’s Account and any
Restricted Units granted hereunder may not be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution, or pursuant to a domestic relations order (as defined in Code
section 414(p)). All rights with respect to Accounts and Restricted Units will be available during the Outside Director’s lifetime only to the Outside Director or the Outside Director’s guardian or legal representative. The Board of
Directors may, in its discretion, require an Outside Director’s guardian or legal representative to supply it with evidence the Board of Directors deems necessary to establish the authority of the guardian or legal representative to act on
behalf of the Outside Director. 

*        *        *       
 *        * 

  
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