Document:

Unassociated Document

    

      Exhibit
        10.1

      

      Confidential
        materials omitted and filed

      separately
        with the Securities and Exchange

      Commission.
        Asterisks denote such omission

       

       

       

      
        [Logo]

        CONSTELLATION

         

        

          THE
            CONSTELLATION BRANDS, INC.

           

          ANNUAL
            MANAGEMENT INCENTIVE PLAN

           

          2006
            FISCAL YEAR AWARD PROGRAM

           

           

           

          
 

          
            
              
              

            

            
              
              

              
                

              

            

            
              
              

            

          

        

      

    

     

    

      CONSTELLATION
        BRANDS, INC.

       

      ANNUAL
        MANAGEMENT INCENTIVE PLAN

      2006
        FISCAL YEAR AWARD PROGRAM

      

      TABLE
        OF CONTENTS

       

       

      

        
          	
                  Paragraph

                	 	
                  Page

                
	 	 	 
	
                  1.

                	
                  PROGRAM
                    OBJECTIVES........................................................................................................................................................

                	
                  1

                
	 	 	 
	
                  2.

                	
                  PROGRAM
                    ADMINISTRATION.............................................................................................................................................

                	
                  1

                
	 	 	 
	
                  3.

                	
                  PROGRAM
                    PARTICIPATION.................................................................................................................................................

                	
                  1

                
	 	 	 
	
                  4.

                	
                  TERMINATION
                    OF
                    EMPLOYMENT......................................................................................................................................

                	
                  2

                
	 	 	 
	
                  5.

                	
                  AWARD
                    LEVELS.....................................................................................................................................................................

                	
                  2

                
	 	 	 
	
                  6.

                	
                  PERFORMANCE
                    TARGETS....................................................................................................................................................

                	
                  4

                
	 	 	 
	
                  7.

                	
                  AWARD
                    ADJUSTMENTS........................................................................................................................................................

                	
                  4

                
	 	 	 
	
                  8.

                	
                  EFFECT
                    OF MERGER, ACQUISITION, REORGANIZATION,
                    ETC.....................................................................................

                	
                  4

                
	 	 	 
	
                  9.

                	
                  PAYMENT
                    OF
                    AWARDS........................................................................................................................................................

                	
                  5

                
	 	 	 
	
                  10.

                	
                  ASSIGNMENT..........................................................................................................................................................................

                	
                  5

                
	 	 	 
	
                  11.

                	
                  EMPLOYMENT
                    RIGHT...........................................................................................................................................................

                	
                  5

                
	 	 	 
	
                  12.

                	
                  WITHHOLDING
                    FOR
                    TAXES.................................................................................................................................................

                	
                  5

                
	 	 	 
	
                  13.

                	
                  SPECIAL
                    RULES FOR CERTAIN
                    EXECUTIVES...................................................................................................................

                	
                  5

                
	 	 	 
	
                  14.

                	
                  DEFINITIONS..........................................................................................................................................................................

                	
                  6

                

        

      

    

     

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    

      CONSTELLATION
        BRANDS, INC.

      ANNUAL
        MANAGEMENT INCENTIVE PLAN

      2006
        FISCAL YEAR AWARD PROGRAM

    

     

    

      
        	
                 Purpose:

              	
                This
                  document is intended to describe parameters for making incentive
                  awards
                  for the period commencing March 1, 2005 and ending February 28,
                  2006
                  during the Company’s 2006 fiscal year (the “Program”). The Company has
                  adopted the Annual Management Incentive Plan (the “Plan”) which authorizes
                  the Company to grant incentive compensation to certain employees.
                  All
                  awards granted under Section 13 of the Program will be granted
                  pursuant
                  and subject to the terms of the
                  Plan.

              

      

    

     

    

      
        	1.  	
                PROGRAM
                  OBJECTIVES

              

      

    

    
       

      The
        objectives of the Program are to:

       

      
        	A.  	
                Support
                  the Company’s annual planning, budget and strategic planning
                  process;

              

      

       

      
        	B.  	
                Provide
                  compensation opportunities which are competitive with those of
                  other
                  beverage alcohol or industry related companies in order to attract
                  and
                  retain key executives and management
                  employees;

              

      

       

      
        	C.  	
                Motivate
                  executives to achieve profit and other key goals of the
                  Company;

              

      

       

      
        	D.  	
                Control
                  overhead by designating a portion of annual compensation as a variable
                  rather than fixed expense.

              

      

       

      
        	2.  	
                PROGRAM
                  ADMINISTRATION

              

      

       

      
        	A.  	
                The
                  Human Resources Committee (the “Committee”) of the Company’s Board of
                  Directors is responsible for determining which employees shall
                  receive
                  awards and the amounts, terms and conditions of all awards under
                  the
                  Program. The Committee will delegate certain administrative duties
                  to the
                  Executive Vice President, Chief Human Resources
                  Officer.

              

      

       

      
        	B.  	
                Decisions
                  and determinations by the Committee will be final and binding upon
                  all
                  persons, including, but not limited to, participants and their
                  personal
                  representatives, heirs and assigns.

              

      

       

      
        	C.  	
                This
                  Program creates no vested or contractual right to the compensation
                  provided herein. The Committee shall have the authority to interpret,
                  amend or cancel the Program at any time, or to make any other
                  determinations that it believes necessary or advisable for the
                  administration of the Program. The Committee’s authority includes the
                  power, in its sole discretion, to reduce the amount of or eliminate
                  an
                  Award payable to a participant.

              

      

       

      
        	3.  	
                PROGRAM
                  PARTICIPATION

              

      

       

      
        	A.  	
                The
                  Committee is responsible for determining who may participate in
                  the
                  Program. The Company will provide a written recommendation to the
                  Committee of the employees who he believes should be included in
                  the
                  Program for a Plan Year. Generally, Awards will be made to employees
                  who
                  the Committee believes are in a position to make significant contributions
                  to the financial success of the
                  Company.

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          -
            2
            -

        

      

       

      
        	B.  	
                The
                  participants for the Plan Year are identified in Schedules A
                  and
                  A2.
                  These schedules may be revised at any time during the year, as
                  appropriate.

              

      

       

      
        	C.  	
                Participants
                  may be added to the Program at any time during a Plan Year provided
                  that
                  such addition occurs before December of the Plan Year. In this
                  case, a
                  participant’s Salary for purposes of determining an Award shall be
                  prorated for the period remaining in the Plan Year. For purposes
                  of
                  proration, a participant shall be given credit for the entire month
                  of any
                  month in which the participant participates in the
                  Program.

              

      

       

      
        	4.  	
                TERMINATION
                  OF EMPLOYMENT

              

      

       

      
        	A.  	
                In
                  the event that a participant terminates employment for reasons
                  other than
                  death, Disability, Retirement or involuntary termination without
                  Cause
                  during a Plan Year, the participant will forfeit all rights to
                  an Award
                  with respect to that Plan Year.

              

      

       

      
        	B.  	
                In
                  the event that a participant terminates employment for reasons
                  of death,
                  Disability, Retirement, or involuntary termination without Cause,
                  a
                  ratable portion of any applicable Award may be paid, subject to
                  the
                  attainment of the applicable performance target. The ratable portion
                  of
                  the Award shall be determined by multiplying the Award by a fraction
                  the
                  numerator of which is the number of full or partial months during
                  the Plan
                  Year during which the participant was employed and the denominator
                  of
                  which is twelve. Such amount will be paid at the same time as when
                  Awards
                  are paid to other participants.

              

      

       

      
        	5.  	
                AWARD
                  LEVELS

              

      

       

      
        	A.  	
                The
                  amount of a participant’s Award will be calculated based on three
                  variables: the participant’s management position, Salary and achieved
                  performance for the Plan Year.

              

      

       

      
        	B.  	
                Each
                  participant will be assigned to a certain category (“Participation
                  Category”) based on the participant’s management position in the Company
                  (see Schedules A and A2).

              

      

       

      
        	C.  	
                The
                  Committee has established performance targets for each participant
                  that
                  are based on one or more of the following: a Corporate financial
                  performance target (“Corporate Target”), a Division/Company financial
                  performance target (“Divisional Target”), an individual performance target
                  (“Individual Target”) and a team performance target (“Team Target”).
                  Corporate and Divisional/Company Targets are calculated based on
                  the total
                  CBI and divisional/company operating income, respectively, using
                  the
                  first-in, first-out method of accounting for inventory valuation
                  before
                  any adjustments are made for reserves. Schedule C sets forth the
                  applicable Corporate and Divisional Targets. Participants who are
                  treated
                  as “Covered Employees” under Section 13 will have their incentive
                  compensation calculated based solely on Corporate and Divisional
                  Targets.
                  Individual and Team Targets are calculated based on the performance
                  of a
                  group of employees acting as a team or teams, or individual performance.
                  Individual and Team Targets for a participant shall be determined
                  by the
                  senior officer of the department in which the participant works
                  during the
                  Plan Year.

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          -
            3 -

        

      

       

      
        	D.  	
                A
                  participant who has a Corporate Target and one or more other types
                  of
                  targets (i.e., a Divisional Target, Individual Target and/or Team
                  Target)
                  will be assigned a weighting to determine the percentage that each
                  of the
                  targets will contribute towards the participant’s total Award. These
                  weightings are set forth at Schedule D (e.g., the Award for a Vice
                  President of Constellation Brands will be calculated [****] based
                  on the
                  Corporate Target and [****] based on the participant’s Individual Target).
                  The weightings assigned to the Corporate, Divisional, Individual
                  and Team
                  Targets will be referred to as the “Corporate Percentage”, “Divisional
                  Percentage”, “Individual Percentage” and “Team Percentage”,
                  respectively.

              

      

       

      
        	E.  	
                A
                  participant’s Award will be calculated by multiplying the participant’s
                  Salary by the appropriate percentage set forth in the Award Schedule
                  (Schedule B) taking into account the participant’s Participation Category
                  and performance level (e.g., threshold, target, maximum, etc.)
                  with
                  respect to the participant’s Corporate Target and multiplying such amount
                  by the participant’s Corporate Percentage. If the actual performance level
                  falls between the designated levels of performance set forth in
                  Schedule
                  B, the percentage by which the participant’s salary is multiplied will be
                  interpolated. For example, if the actual performance level falls
                  half way
                  between the “threshold” and “midpoint” levels, the percentage will be
                  calculated as the average of the percentages for the “threshold” and
                  “midpoint” levels. A similar calculation is performed for the
                  participant’s Divisional, Individual and Team Targets, if any, and the
                  participant’s total Award will be the sum of these
                  calculations.

              

      

       

      
        
          	
                   Example:

                   

                	
                  Assume
                    an employee of Constellation Brands was listed in Participation
                    Category
                    C, had a Salary of [****],  
                    and achieved the participant’s “threshold” Corporate Target and “maximum”
                    Individual Target. Based on these facts and Schedules B, C and
                    D, the
                    participant’s Award would be [****] (i.e., [****] x [****] x [****] +
                    [****] x [****] x [****]).

                

        

        
          
             

          

        

      

      
        	F.  	
                In
                  the event a participant changes Participation Categories during
                  a Plan
                  Year, the participant’s Award for that Plan Year, if any, shall be
                  determined separately for each Participation Category that the
                  Participant
                  served in, prorated for the portion of the Plan Year in which the
                  Participant served in the particular Participation Category. The
                  Participant’s Award shall be the sum thereof. For purposes of proration, a
                  participant shall be deemed to have served in the participant’s initial
                  Participation Category for the entire month in which the change
                  occurs if
                  such change occurs on a date other than the first of a month. In
                  the event
                  a participant changes to or from a Participation Category in which
                  Awards
                  are based in part on Divisional, Individual or Team Targets, such
                  targets
                  shall be determined separately for each Participation Category
                  and
                  prorated as above. With respect to the Participation Category from
                  which
                  the participant moved, the participant’s manager shall determine the
                  participant’s progress in meeting the Participant’s Individual and/or Team
                  Targets, if any, and base the determination of individual/team
                  performance
                  thereon.

              

      

       

      

        

        
              Confidential
            materials omitted and filed separately with the Securities and Exchange
            Commission. Asterisks denote such omission.

           

        

      

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        -
          4 -

      

    

     

     

    
      
        	
                Example:

                 

              	
                Assume
                  a participant from Constellation Brands, Inc. was in Level C
                  for 3 1⁄2
                  months of the Plan Year, was promoted to Level B for the
                  remainder of
                  the Plan Year, and achieved “target” performance in all categories
                  applicable to each level. The participant’s Award would be calculated in
                  the following manner:

                 

              
	
                 

                 

                 

                + 

              	
                [****]
                  x Salary x [****] (target performance) x [****] (Corp.
                  Target)

                [****]
                  x Salary x [****] (target performance) x [****] (Individual
                  Target)

                [****]
                  x Salary x [****] (target performance) x [****] (Corp.
                  Target)

                [****]
                  x Salary x [****] (target performance) x [****] (Individual
                  Target)

                TOTAL
                  AWARD

              

      

    

    
 

    
      
        	6.  	
                PERFORMANCE
                  TARGETS

              

      

       

      
        	A.  	
                Performance
                  measurement criteria will be established for the Plan Year and
                  such
                  criteria will relate to corporate, divisional and/or individual
                  objectives. Performance targets will be established based on the
                  selected
                  criteria. Schedule C sets forth the applicable corporate and divisional
                  performance criteria and targets for the Plan
                  Year.

              

      

       

      
        	B.  	
                Schedule
                  B sets forth the Award levels based on the attainment of the Corporate,
                  Divisional, Individual and Team Targets determined in accordance
                  with the
                  criteria and targets set forth in
                  Schedule C.

              

      

       

      
        	7.  	
                AWARD
                  ADJUSTMENTS

              

      

       

      
        	A.  	
                The
                  Committee may make adjustments in the performance criteria, performance
                  targets, or in the manner in which such items are determined which
                  could
                  affect the Awards, either positively or negatively, provided that
                  such
                  adjustments will only be made for events which by their nature
                  are outside
                  the significant influence of Program participants or which would
                  cause
                  significant unintended effects. In addition, extraordinary occurrences
                  may
                  be excluded or adjustments made when calculating Individual and
                  Team
                  Targets to ensure that the best interests of the Company and its
                  participants are protected and that performance results are consistent
                  with long-term financial and developmental
                  objectives.

              

      

       

      
        	B.  	
                There
                  may be additional adjustments to the Awards of a particular participant
                  in
                  order to recognize differing levels of personal performance as
                  assessed
                  after the close of the Plan Year by the
                  Committee.

              

      

       

      
        	8.  	
                EFFECT
                  OF MERGER, ACQUISITION, REORGANIZATION,
                  ETC.

              

      

       

      
        	A.  	
                If
                  the Company participates during the Plan Year in any material transaction
                  such as a corporate merger, consolidation, acquisition of property
                  or
                  stock, or reorganization that does not result in the termination
                  of this
                  Program, the Committee shall make adjustments to the performance
                  criteria
                  as shall be equitable and appropriate in order to make the criteria,
                  as
                  nearly as practicable, equivalent to the criteria immediately prior
                  to
                  such transaction.

              

      

       

      
        

        
              Confidential
            materials omitted and filed separately with the Securities and Exchange
            Commission. Asterisks denote such omission.

           

        

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          -
            5 -

        

      

       

      
        	B.  	
                In
                  the event of a Change of Control, as defined under the Plan, the
                  Plan Year
                  shall end on the date of the Change in Control and the Corporate,
                  Divisional, Individual and Team Targets shall be adjusted to reflect
                  the
                  early termination of the Plan Year. If the Corporate, Divisional,
                  Individual and Team Targets, as adjusted, are deemed satisfied
                  by the
                  Committee, a participant may receive a ratable portion of the Award
                  that
                  would have been paid if the Plan Year had not been terminated early
                  and
                  the Corporate, Divisional, Individual and Team Targets had been
                  satisfied.
                  The ratable portion of the Award shall be determined by multiplying
                  the
                  original Award by a fraction with a numerator equal to the number
                  of
                  months from the first day of the Plan Year to the date of the Change
                  of
                  Control (including any fractional month) and a denominator equal
                  to
                  twelve.

              

      

       

      
        	9.  	
                PAYMENT
                  OF AWARDS

              

      

       

      The
        entire Award calculated in accordance herewith shall be payable within thirty
        (30) days after a final unqualified audit opinion is provided by the Company’s
        independent public accountants after the end of each Plan Year. Before any
        Award
        is paid to a participant, the Committee will certify, in writing, that the
        applicable performance targets were achieved and the amount of the Award
        is
        accurately calculated.

       

      
        	10.  	
                ASSIGNMENT

              

      

       

      No
        right
        or interest of any Participant in the Program shall be assignable or
        transferable, or subject to any lien, directly, by operation of law, or
        otherwise, including levy, garnishment, attachment, pledge or
        bankruptcy.

       

      
        	11.  	
                EMPLOYMENT
                  RIGHT

              

      

       

      The
        Program shall not confer upon any participant any right to continued employment.
        The right to dismiss any employee with or without cause or notice is
        specifically reserved to the Company.

       

      
        	12.  	
                WITHHOLDING
                  FOR TAXES

              

      

       

      The
        Company shall have the right to deduct from all payments under this Program
        any
        federal or state taxes or other employment related withholdings required
        by law
        to be withheld with respect to such payments.

       

      
        	13.  	
                SPECIAL
                  RULES FOR CERTAIN
                  EXECUTIVES

              

      

       

      
        	A.  	
                The
                  Company’s Chief Executive Officer and certain other individuals designated
                  by the Committee (“Covered Employees”) will be subject to special rules to
                  ensure that the Awards granted to such individuals will be treated
                  as
                  qualified “performance-based compensation” under Internal Revenue Code
                  Section 162(m). All provisions of the Program and the Plan shall
                  be
                  interpreted and administered consistently with that intent. The
                  Committee
                  will designate those individuals who are to be treated as “Covered
                  Employees” on Schedules A and A2.

              

      

       

      
        	B.  	
                Notwithstanding
                  any provision to the contrary, the following rules will apply to
                  Covered
                  Employees:

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          -
            6 -

        

      

       

      
        	(1)  	
                The
                  Committee shall establish Corporate and Divisional Targets for
                  Covered
                  Employees that are tied to one or more of the Performance Criteria
                  set
                  forth in the Plan, and Covered Employees will not receive Awards
                  based on
                  Individual or Team Targets.

              

      

       

      
        	(2)  	
                The
                  Committee shall establish a Corporate Target and, if applicable,
                  a
                  Divisional Target for Covered Employees within 90 days of the commencement
                  of the Plan Year. The satisfaction of such targets shall be substantially
                  uncertain at the time they are
                  established.

              

      

       

      
        	(3)  	
                The
                  amount of the Award shall be computed under an objective formula
                  and the
                  Committee shall have no discretionary authority to increase the
                  amount of
                  the Award or alter the methodology for calculating the Award, except
                  as
                  permitted by Section 162(m) of the Internal Revenue Code and the
                  regulations promulgated thereunder (e.g., the Committee’s discretionary
                  authority to adjust performance criteria or targets set forth in
                  Section 7
                  would not apply to Covered
                  Employees).

              

      

       

      
        	(4)  	
                The
                  maximum amount a Covered Employee can receive under the Plan for
                  the Plan
                  Year cannot exceed $2 million.

              

      

       

      
        	(5)  	
                Before
                  any Award is paid to a Covered Employee, the Committee will certify,
                  in
                  writing, that the Corporate Target and, if applicable, the Divisional
                  Target was achieved and the amount of the Award is accurately
                  calculated.

              

      

       

      
        	14.  	
                DEFINITIONS

              

      

       

      
        	A.  	
                AWARD

              

      

       

      “Award”
        shall mean the award to a Participant as determined under the
        Program.

       

      
        	B.  	
                CAUSE

              

      

       

      “Cause”
        means gross negligence or willful misconduct or commission of a felony or
        an act
        of moral turpitude determined by the Committee to be detrimental to the best
        interests of the Company or, such other definition set forth in a written
        employment agreement with the Company.

       

      
        	C.  	
                THE
                  COMPANY

              

      

       

      “The
        Company” shall mean Constellation Brands, Inc. and its direct and indirect
        subsidiaries.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          -
            7 -

        

      

       

      
        	D.  	
                DISABILITY

              

      

       

      "Disability"
        means the condition or state that entitles the Participant to compensation
        continuation payment under the Employer's commercially insured long-term
        disability plan. The existence of a Disability will be determined by reference
        to the long-term disability plan in effect at the time that the determination
        is
        made and Employees will not have any continued right or expectation that
        the
        definition of disability under the long-term disability plan will not change
        from time to time. Notwithstanding the foregoing, once an Employee is determined
        to have a Disability, a subsequent change in the long-term disability plan
        will
        not serve, in and of itself, to reclassify the Employee as not being Disabled.
        If the Employer, at any time does not sponsor a commercially insured long-term
        disability plan, Disability will mean a medically determinable physical or
        mental impairment that is expected to result in death or to be of long and
        indefinite duration, and that prevents an individual from engaging in any
        substantial remunerative activity. The existence of a Disability under this
        alternative definition will be determined by a medical specialist designated
        by
        the Committee. For a physical or mental impairment to be considered a
        Disability, it must commence directly after a period of active employment
        with
        an Employer or Related Business or during a leave of absence approved by
        an
        Employer.

       

      
        	E.  	
                PLAN

              

      

       

      “Plan”
        shall mean the Constellation Brands, Inc. Annual Management Incentive
        Plan.

       

      
        	F.  	
                PLAN
                  YEAR

              

      

       

      “Plan
        Year” shall be the period commencing on March 1, 2005 and ending on February 28,
        2006.

       

      
        	G.  	
                RETIREMENT

              

      

       

      “Retirement”
        shall mean a participant’s termination of employment after attaining the age of
        60, provided that the participant has 10 years of service prior to termination
        (a participant’s service with a business the Company acquired through a stock or
        asset acquisition counts for purposes of the 10 year test).

       

      
        	H.  	
                SALARY

              

      

       

      “Salary”
        shall mean the participant’s actual base compensation earned for the 2006 Fiscal
        Year. Actual base compensation earned shall be determined exclusive of any
        other
        compensation such as stock option income, grants of any kind, bonus awards,
        etc.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          - 8
            -

        

      

      SCHEDULE
        A

       

      CONSTELLATION
        BRANDS, INC. ANNUAL MANAGEMENT INCENTIVE PLAN

       

      CORPORATE
        PARTICIPATION LIST

       

    

    

      
        	
                 

                Participation
                  Category

                 

              	
                 

                Title

                 

              	
                 

                Participant

                 

              
	
                [****]  

              	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	 	 
	
                [****]

              	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	 	 
	
                [****]

              	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	 	 
	
                [****]

              	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              

      

      

        

        
            Confidential
            materials omitted and filed separately with the Securities and Exchange
            Commission. Asterisks denote such omission.

           

        

      

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        -
          9 -

      

    

     

    SCHEDULE
      A2

    
      

      CONSTELLATION
        BRANDS, INC.

      ANNUAL
        MANAGEMENT INCENTIVE PLAN

      

      PARTICIPATION
        LIST

       

      
        [****],
          [****], [****], [****], [****], [****], [****]

    

    
      
        	
                 

                Participation
                  Category

                 

              	
                 

                Title

                 

              	
                 

                Participant

                 

              
	
                [****]  

              	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	
              	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	 	 
	
                [****]

              	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	 
	 	
                [****]

              	
                [****]

              
	 	 	 
	
                [****]

              	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	 	 
	
              	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              
	 	
                [****]

              	
                [****]

              

      

       

      
        

        
            Confidential
            materials omitted and filed separately with the Securities and Exchange
            Commission. Asterisks denote such omission.

           

        

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          -
            10 -

        

         

      

      
        
          	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	 	 
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	 	 
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	 	 
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                
	 	
                  [****]

                	
                  [****]

                

        

      

       

      Additional
        Participants include the [**

       

          **]
          

      
        
          
             

          

        

        

        
            Confidential
            materials omitted and filed separately with the Securities and Exchange
            Commission. Asterisks denote such omission.

           

          
            
              
              

            

            
              
              

              
                

              

            

            
              -11
                -

            

          

        

      

    

     

    

      SCHEDULE
        B

      

      AWARD
        SCHEDULE

       

      

        [****]

      

    

     

    

      
        	
                Participation

                Category

              	
                Threshold

              	
                Midpoint

              	
                Target

              	
                Midpoint

              	
                Maximum

              
	
                A2

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              
	
                A1

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              
	
                A

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              
	
                B

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              
	
                C1

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              

      

    

     

     

     

    

      
        

          [****],
            [****], [****], [****], [****], [****], [****]

      

      
        
          	
                  Participation

                  Category

                	
                  Threshold

                	
                  Midpoint

                	
                  Target

                	
                  Midpoint

                	
                  Maximum

                
	
                  A

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                
	
                  B1

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                
	
                  B

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                
	
                  C

                	
                  [****]  

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                

        

        

          

          
              Confidential
              materials omitted and filed separately with the Securities and Exchange
              Commission. Asterisks denote such omission.

             

             

            
              
                
                

              

              
                
                

                
                  

                

              

              
                -
                  12 -

              

            

          

        

      

    

     

    

      SCHEDULE
        C

      

      PERFORMANCE
        SCHEDULE*

      (000’s)

      Performance
        based on Operating Income*

      

      
        [****]

      

    

     

    
      
        	
                0.25X

              	
                0.50X

              	
                1.00X

              	
                1.50X

              	
                2.00X

              
	
                [****]  

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              

      

       

      
        
          [****]

        

      

      

        
          	
                  0.25X

                	
                  0.50X

                	
                  1.00X

                	
                  1.50X

                	
                  2.00X

                
	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                

        

      

       

      
        [****]

      

      
        
          	
                  0.25X

                	
                  0.50X

                	
                  1.00X

                	
                  1.50X

                	
                  2.00X

                
	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                

        

      

       

      
        [****]

      

       

      
        
          	
                  0.25X

                	
                  0.50X

                	
                  1.00X

                	
                  1.50X

                	
                  2.00X

                
	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                

        

      

       

      
        [****]

         

      

      
        
          	
                  0.25X

                	
                  0.50X

                	
                  1.00X

                	
                  1.50X

                	
                  2.00X

                
	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                

        

      

       

      
        [****]

      

       

      
        
          	
                  0.25X

                	
                  0.50X

                	
                  1.00X

                	
                  1.50X

                	
                  2.00X

                
	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                

        

      

       

      
        [****]

      

       

      
        
          	
                  0.25X

                	
                  0.50X

                	
                  1.00X

                	
                  1.50X

                	
                  2.00X

                
	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                

        

      

       

      [****]

       

      
        
          	
                  0.25X

                	
                  0.50X

                	
                  1.00X

                	
                  1.50X

                	
                  2.00X

                
	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                	
                  [****]

                

        

      

       

      

        

        
              Confidential
            materials omitted and filed separately with the Securities and Exchange
            Commission. Asterisks denote such omission.

           

           

          
            
              
              

            

            
              
              

              
                

              

            

            
              -
                13 -

            

          

        

      

    

     

    

      [****]

       

    

    
      
        	
                0.25X

              	
                0.50X

              	
                1.00X

              	
                1.50X

              	
                2.00X

              
	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]

              	
                [****]  

              

      

       

      

        
          	
                  *

                	
                  The
                    measure of “operating income” for purposes hereof shall be operating
                    income determined using the first-in, first-out method of accounting
                    for
                    inventory valuation before any adjustments are made for reserves.
                    “Operating Income” is measured based on the Company’s performance for the
                    period from March 1, 2005 through February 28,
                    2006.

                

        

      

       

       

       

       

       

      

        

        
                Confidential
            materials omitted and filed separately with the Securities and Exchange
            Commission. Asterisks denote such omission.

           

          
            
              
              

            

            
              
              

              
                

              

            

            
              -
                14 -

            

          

        

      

    

     

    

      SCHEDULE
        D

      

      WEIGHTINGS
        FOR CORPORATE, DIVISIONAL/COMPANY, INDIVIDUAL AND 

      TEAM
        TARGETS

       

      

        
          	
                  Corporate/CBI

                	
                  Corporate
                    FIFO

                  Operating
                    Income

                	
                  Individual

                
	
                  Chairman/CEO

                	
                   [****]  

                	
                  [****]

                
	
                  President/COO

                	
                  [****]

                	
                  [****]

                
	
                  EVP

                	
                  [****]

                	
                  [****]

                
	
                  SVP

                	
                  [****]

                	
                  [****]

                
	
                  VP

                	
                  [****]

                	
                  [****]

                

        

         

         

         

        

          
            	
                    Division/Company

                  	
                    Corporate
                      FIFO

                    Operating
                      Income

                  	
                    Divisional
                      FIFO

                    Operating
                      Income/Other

                  
	
                    CEO/President

                  	
                    [****]

                  	
                    [****]

                  
	
                    EVP

                  	
                    [****]

                  	
                    [****]

                  
	
                    SVP

                  	
                    [****]

                  	
                    [****]

                  
	
                    VP

                  	
                    [****]

                  	
                    [****]

                  

          

        

         

         

         

        

          

          
                  Confidential
              materials omitted and filed separately with the Securities and Exchange
              Commission. Asterisks denote such omission.EXHIBIT 10.1

 SECOND
AMENDMENT TO REVOLVING CREDIT AGREEMENT

THIS
SECOND AMENDMENT TO REVOLVING CREDIT AGREEMENT (this
“Second Amendment”), effective as of the 1st day of July, 2005, by and
between CHAMPION
INDUSTRIES, INC., a West
Virginia corporation, with offices at 2450 First Avenue, Huntington, West
Virginia 25703 (“Borrower”) and UNITED
BANK, INC., a West
Virginia state banking corporation, with offices at 2889 Third Avenue,
Huntington, West Virginia 25702 (“UBI”).

WHEREAS,
Borrower and UBI executed and delivered on August 1, 2003, a Revolving Credit
Agreement (the “Credit Agreement”); and 

WHEREAS,
Borrower and UBI executed and delivered effective October 31, 2004, a First
Amendment to Revolving Credit Agreement (“First Amendment”); and 

WHEREAS,
Borrower and UBI desire to modify and amend Section 1.1 of the Credit
Agreement.

NOW,
THEREFORE, in
consideration of the mutual and separate agreement, conditions, covenants and
warranties of the parties hereto, and further good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged.

Borrower
and UBI agree as follows:

1. As of the
effective date of this Second Amendment to the Credit Agreement, Section 1.1 of
the Credit Agreement is hereby amended and modified as to the meaning of
“Maturity or Maturity Date” to and shall read as follows:

“Maturity
or Maturity Date shall mean July 31, 2008.”

2. The
execution and delivery of this Second Amendment has been duly authorized by any
and all necessary action on the part of the Borrower and the Subsidiary
Guarantors, and no authorization, approval or consent by, or filing with any
governmental or public regulatory authority is necessary therefore.

3. All terms
and conditions of the (i) Credit Agreement, (ii) First Amendment, (iii)
Revolving Credit Note and (iv) the Subsidiaries Guaranty and (v) all other
documents relating to the transactions contemplated by the Credit Agreement are
and shall remain in full force and effect and shall be binding upon the parties
hereto, it being expressly understood that all such documents are herewith
modified and amended to recognize the new Maturity Date of the Credit
Agreement.

4. Borrower
and the Subsidiary Guarantors hereby reaffirm all of the terms and provisions of
(i) Credit Agreement, (ii) First Amendment, (iii) Revolving Credit Note and (iv)
the Subsidiaries Guaranty and (v) all other documents relating to the
transactions contemplated by the Credit Agreement.

IN
WITNESS WHEREOF, the
parties hereto, by their officers thereunto duly authorized, have executed this
First Amendment as of the day and year first above written.

CHAMPION
INDUSTRIES, INC.,

a West
Virginia corporation

By: 
/s/ Todd R.
Fry                                                        
     

Print
Name: Todd R. Fry

Title:
Senior Vice President and Chief Financial Officer

UNITED
BANK, INC., a West Virginia

state
banking corporation

By: 
/s/ Linda J.
Pleasants                                                   

Print
Name: Linda J. Pleasants

Title:
Vice President

 

     WITNESS
undersigned signatories to the Subsidiaries Guaranty, herewith acknowledge and
consent to the First Amendment to Revolving Credit Agreement, effective as of
the 1st day of July, 2005, with the intent to be legally bound
hereby.

	
       

       
	
       

	
       

      ATTEST:

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      Title:
      Vice President
	
       

      INTERFORM
      CORPORATION 

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
       

      ATTEST:

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      U.S.
      TAG & TICKET COMPANY, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
       

      ATTEST:

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      THE
      CHAPMAN PRINTING COMPANY, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

 

 

     

    WITNESS
undersigned signatories to the Subsidiaries Guaranty, herewith acknowledge and
consent to the First Amendment to Revolving Credit Agreement, effective as of
the 1st day of July, 2005, with the intent to be legally bound
hereby.

	
       
	
       

	
       

      ATTEST:

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      STATIONERS,
      INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
       

      ATTEST:

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      DONIHE
      GRAPHICS, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                             

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
       

      ATTEST:

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      THE
      MERTEN COMPANY

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

 

 

 

 

     WITNESS
undersigned signatories to the Subsidiaries Guaranty, herewith acknowledge and
consent to the First Amendment to Revolving Credit Agreement, effective as of
the 1st day of July, 2005, with the intent to be legally bound
hereby.

	
       
	
       

	
      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      BOURQUE
      PRINTING, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      SMITH
      & BUTTERFIELD CO., INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      DALLAS
      PRINTING COMPANY, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                             

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

 

 

      

    WITNESS
undersigned signatories to the Subsidiaries Guaranty, herewith acknowledge and
consent to the First Amendment to Revolving Credit Agreement, effective as of
the 1st day of July, 2005, with the intent to be legally bound
hereby.

	
       
	
       

	
      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      CAROLINA
      CUT SHEETS, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
       

      ATTEST:
      

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      CHMP
      LEASING, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer

	
       
	
       

	
      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      BLUE
      RIDGE PRINTING COMPANY, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

 

 

 

      WITNESS
undersigned signatories to the Subsidiaries Guaranty, herewith acknowledge and
consent to the First Amendment to Revolving Credit Agreement, effective as of
the 1st day of July, 2005, with the intent to be legally bound
hereby.

	
       
	
       

	
      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      ROSE
      CITY PRESS

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
       

      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      CAPITAL
      BUSINESS EQUIPMENT, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
       

      ATTEST:

       

       

      /s/ Janet
      S.
      Carter                                                          

       

       

      Print
      Name: Janet S. Carter

      
      Title:
      Assistant Secretary

	
       

      DIEZ
      BUSINESS MACHINES, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

      Print
      Name: Todd R. Fry

      Title:
      Vice President and  

      Chief
      Financial Officer 

 

 

     WITNESS
undersigned signatories to the Subsidiaries Guaranty, herewith acknowledge and
consent to the First Amendment to Revolving Credit Agreement, effective as of
the 1st day of July, 2005, with the intent to be legally bound
hereby.

	
       
	
       

	
      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      TRANSDATA
      SYSTEMS, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      INDEPENDENT
      PRINTING SERVICE, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
       
	
       

	
      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      THOMPSON'S
      OF MORGANTOWN, INC.

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Vice President and 

      Chief
      Financial Officer 

	
      ATTEST:

       

       

      /s/ Toney
      K.
      Adkins                                                          

       

       

      Print
      Name: Toney K. Adkins 

      
      Title:
      Vice President

	
       

      SYSCAN
      CORPORATION

       

       

      By: 
      /s/ Todd R.
      Fry                                                              

       

       

      Print
      Name: Todd R. Fry

      Title:
      Secretary

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00087-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00087-of-00352.parquet"}]]