Document:

exv10w45

 

Exhibit 10.45

RESTRICTED STOCK AWARD AGREEMENT

     THIS AGREEMENT (the “Agreement”) is made effective as of «Grant Date» (the “Grant Date”),
between ITC Holdings Corp., a Michigan corporation (hereinafter called the “Company”), and
«Firstname» «MI» «Lastname», an employee of the Company or a Subsidiary of the Company, hereinafter
referred to as the “Employee”. Capitalized terms not otherwise defined herein shall have the same
meanings as in the 2006 Long Term Incentive Plan (the “Plan”).

     WHEREAS, Employee is employed by the Company or one of its Subsidiaries and the Company
desires to grant the Employee shares of Common Stock, pursuant to the terms and conditions of this
Agreement (the “Restricted Stock Award”) and the Plan (the terms of which are hereby incorporated
by reference and made a part of this Agreement); and

     WHEREAS, this Agreement and the grants made pursuant to this Agreement are not otherwise
subject to and shall not be governed by the Management Stockholder’s Agreement between Company and
Employee; and

     WHEREAS, the Committee has determined that it would be in the best interest of the Company and
its shareholders to grant the shares of Common Stock provided for herein to the Employee as an
incentive for increased efforts during his or her employment, has approved the grant of the
Restricted Stock Award on the Grant Date and has advised the Company thereof and instructed the
undersigned officer to grant said Restricted Stock Award.

     NOW, THEREFORE, in consideration of the mutual covenants herein contained and other good and
valuable consideration, receipt of which is hereby acknowledged, the parties hereto do hereby agree
as follows:

     1. Grant of the Restricted Stock. Subject to the terms and conditions of the Plan and
the additional terms and conditions set forth in this Agreement, the Company hereby grants to the
Employee «Shares» shares of Common Stock (hereinafter called the “Restricted Stock”). The
Restricted Stock shall vest and become nonforfeitable in accordance with Section 2 hereof. In the
event of any conflict between the Plan and this Agreement, the terms of the Plan shall control.

     2. Vesting and Forfeiture.

     (a) So long as the Employee continues to be employed by the Company or its Subsidiaries, the
Restricted Stock shall become 100% vested and non-forfeitable upon the earliest to occur of (i) the
fifth anniversary of the Grant Date (the “Vesting Date”), (ii) the Employee ceasing to be employed
due to Employee’s death or Disability, or (iii) subject to the Committee’s right to declare,
pursuant to Section 9.2(c) of the Plan, that the Restricted Stock shall not become immediately
vested upon a Change in Control in which the successor company assumes the Restricted Stock Award,
the occurrence of a Change in Control.

     (b) If Employee terminates employment for any reason other than Employee’s death or
Disability, Employee’s right to shares of Common Stock subject to the Restricted Stock Award that
are

1

 

not yet vested automatically shall terminate and be forfeited by Employee unless the
Committee, in the exercise of its authority under the Plan, modifies the Vesting Date in connection
with such termination.

     3. Certificates.

     (a) Certificates evidencing the Restricted Stock shall be issued by the Company and shall be
registered in the Employee’s name on the stock transfer books of the Company promptly after the
date hereof, but shall remain in the physical custody of the Company or its designee at all times
prior to the vesting of such Restricted Stock pursuant to Section 2. The Employee hereby
acknowledges and agrees that the Company shall retain custody of such certificate or certificates
until the restrictions imposed by Section 2 on the Common Stock granted hereunder lapse. As a
condition to the receipt of this Restricted Stock Award, the Employee shall deliver to the Company
a stock power, duly endorsed in blank, relating to the Restricted Stock. No certificates shall be
issued for fractional shares.

     (b) As soon as practicable following the vesting of the Restricted Stock pursuant to Section
2, certificates for the Restricted Stock which shall have vested shall be delivered to the Employee
or to the Employee’s legal guardian or representative along with the stock powers relating thereto.

     4. Rights as a Stockholder. The Employee shall have no rights as a stockholder of the
Company until certificates are issued. Once issued, the Employee shall be the record owner of the
Restricted Stock unless or until such Restricted Stock is forfeited pursuant to Section 2 hereof or
is otherwise sold, and as record owner shall be entitled to all rights of a common stockholder of
the Company (including, without limitation, the right to vote and to receive dividends and other
distributions on the shares of Restricted Stock).

     5. Legend on Certificates. The certificates representing the vested Restricted Stock
delivered to the Employee as contemplated by Section 3(b) above shall bear the legend set forth in
Section 10.3(b) of the Plan and shall be subject to such stop transfer orders and other
restrictions as the Committee may deem advisable under the Plan or the rules, regulations, and
other requirements of the Securities and Exchange Commission or any stock exchange upon which such
Common Stock is listed, any applicable Federal or state laws and the Company’s Articles of
Incorporation and Bylaws, and the Committee may cause a legend or legends to be put on any such
certificates to make appropriate reference to such restrictions.

     6. Transferability. The Restricted Stock may not, at any time prior to becoming
vested pursuant to Section 2 or thereafter, be transferred, sold, assigned, pledged, hypothecated
or otherwise alienated.

     7. Employee’s Employment by the Company. Nothing contained in this Agreement or in
any other agreement entered into by the Company or any of its Subsidiaries and the Employee, other
than the applicable provisions of any offer letter from the Company or any of its Subsidiaries to
the Employee or any employment agreement entered into by and between the Employee and the Company
or any of its Subsidiaries, as applicable, (i) obligates the Company or any Subsidiary to employ
the Employee in any capacity whatsoever or (ii) prohibits or restricts the Company or any
Subsidiary from terminating the employment, if any, of the Employee at any time or for any reason
whatsoever, with or without cause, and the Employee hereby acknowledges and agrees that neither the
Company nor any

2

 

other person or entity has made any representations or promises whatsoever to the Employee
concerning the Employee’s employment or continued employment by the Company or any Subsidiary
thereof.

     8. Change in Capitalization. In the event of a merger, reorganization, consolidation,
recapitalization, dividend or distribution (whether in cash, shares or other property), stock
split, reverse stock split, spin-off or similar transaction or other change in corporate structure
affecting the Common Stock or the value thereof, prior to the time the restrictions imposed by
Section 2 on the Restricted Stock granted hereunder lapse, such adjustments and other substitutions
shall be made to the Restricted Stock Awards as the Committee, in its sole discretion, deems
equitable or appropriate. Any stock, securities or other property exchangeable for Restricted
Stock pursuant to such transaction shall be deposited with the Company and shall become subject to
the restrictions and conditions of this Agreement to the same extent as if it had been the original
property granted hereby, all pursuant to the Plan.

     9. Withholding. The Company shall have the right to withhold from Employee’s
compensation or to require Employee to remit sufficient funds to satisfy applicable withholding for
income and employment taxes upon the vesting of Restricted Stock pursuant to Section 2. Subject to
limitations in the Plan, Employee may, in order to fulfill the withholding obligation, tender
previously-acquired shares of Common Stock that have been held at least six months, provided that
the shares have an aggregate Fair Market Value sufficient to satisfy in whole or in part the
applicable withholding taxes. The Company shall be authorized to take such action as may be
necessary, in the opinion of the Company’s counsel (including, without limitation, withholding
vested Common Stock otherwise deliverable to the Employee and/or withholding amounts from any
compensation or other amount owing from the Company to the Employee), to satisfy the obligations
for payment of the minimum amount of any such taxes.

     10. Limitation on Obligations. The Company’s obligation with respect to the
Restricted Stock granted hereunder is limited solely to the delivery to the Employee of shares of
Common Stock on the date when such shares are due to be delivered hereunder, and in no way shall
the Company become obligated to pay cash in respect of such obligation. This Restricted Stock
Award shall not be secured by any specific assets of the Company or any of its Subsidiaries, nor
shall any assets of the Company or any of its subsidiaries be designated as attributable or
allocated to the satisfaction of the Company’s obligations under this Agreement. In addition, the
Company shall not be liable to the Employee for damages relating to any delay in issuing the share
certificates, any loss of the certificates, or any mistakes or errors in the issuance of the
certificates or in the certificates themselves.

     11. Securities Laws. Upon the vesting of any Restricted Stock, the Company may
require the Employee to make or enter into such written representations, warranties and agreements
as the Committee may reasonably request in order to comply with applicable securities laws or with
this Agreement. The granting of the Restricted Stock hereunder shall be subject to all applicable
laws, rules and regulations and to such approvals of any governmental agencies as may be required.

     12. Notices. Any notice to be given under the terms of this Agreement to the Company
shall be addressed to the Company in care of its Secretary, and any notice to be given to the
Employee shall be addressed to him or her at the address stated in the Company’s employee records.
By a notice given pursuant to this Section 12, either party may hereafter designate a different
address for notices to be given to the party. Any notice that is required to be given to the
Employee shall, if the Employee is then deceased, be given to the Employee’s personal
representative if such representative has previously

3

 

informed the Company of his status and address by written notice under this Section 12. Any
notice shall have been deemed duly given when enclosed in a properly sealed envelope or wrapper
addressed as aforesaid, deposited (with postage prepaid) in a post office or branch post office
regularly maintained by the United States Postal Service.

     13. Governing Law. The laws of the State of Michigan shall govern the interpretation,
validity and performance of the terms of this Agreement regardless of the law that might be applied
under principles of conflicts of laws.

     14. Amendment. Subject to Section 2(b) of this Agreement and Section 10.6 of the
Plan, this Agreement may be amended only by a writing executed by the parties hereto if such
amendment would adversely affect Employee. Any such amendment shall specifically state that it is
amending this Agreement.

     15. Signature in Counterparts. This Agreement may be signed in counterparts, each of
which shall be an original, with the same effect as if the signatures thereto and hereto were upon
the same instrument.

[Signatures on next page]

4

 

     IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the Grant Date.

	 	 	 	 	 	 	 
	 	 	EMPLOYEE	 	 
	 
	 	 	 	 	 	 
	 	 	 
	 	 
	 
	 	 	 	 	 	 
	 	 	«Firstname» «MI» «Lastname»	 	 
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	ITC HOLDINGS CORP.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 
	 	 
	 
	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 
	 	 	 	 	 	 
	 

	 	 	 	Title:	 	 

5exv10w46

 

Exhibit 10.46

STOCK OPTION AGREEMENT

[NAME]

     THIS AGREEMENT, dated as of                                          (the “Grant Date”), is made by and between ITC
Holdings Corp., a Michigan corporation (the “Company”), and the individual whose name is set forth
on the signature page hereof, who is an employee of the Company or a Subsidiary of the Company (the
“Optionee”). Any capitalized terms herein but not otherwise defined shall have the meaning set
forth in the Company’s 2006 Long Term Incentive Plan (the “Plan”).

     WHEREAS, the Company wishes to afford the Optionee the opportunity to purchase shares of its
common stock (the “Common Stock”) pursuant to the terms and conditions of this Agreement and the
Plan, the terms of which are hereby incorporated by reference and made a part of this Agreement;
and

     WHEREAS, this Agreement and the grant made pursuant to this Agreement are not subject to and
shall not be governed by the Management Stockholder’s Agreement between the Company and Optionee;
and

     WHEREAS, the Committee has determined that it would be in the best interest of the Company and
its shareholders to grant the Option provided for herein to the Optionee as an incentive for
increased efforts during his term of office with the Company or its Subsidiaries, has approved the
grant of the Option on the Grant Date and has advised the Company thereof and instructed the
undersigned officer to issue said Option.

     NOW, THEREFORE, in consideration of the mutual covenants herein contained and other good and
valuable consideration, receipt of which is hereby acknowledged, the parties hereto do hereby agree
as follows:

ARTICLE I

OPTION GRANT

     1.1. Grant of Options. For good and valuable consideration, on and as of the date
hereof, the Company irrevocably grants to the Optionee a Nonqualified Stock Option to purchase
<<shares>>            shares of Common Stock upon the terms and conditions set forth in this
Agreement (the “Option”).

     1.2. Exercise Price. Subject to Section 2.1, the exercise price of the shares of
Common Stock covered by the Option shall be $                     per share without commission or other charge
(which is the Fair Market Value per share of the Common Stock on the Grant Date).

ARTICLE II

ADJUSTMENTS

     2.1. Adjustments to Option. In the event of a merger, reorganization, consolidation,
recapitalization, dividend or distribution (whether in cash, shares or other property), stock
split, reverse stock split, spin-off or similar transaction or other change in corporate structure
affecting the Common Stock or the value thereof, such adjustments and other substitutions shall be
made to the Option as the

1

 

Committee, in its sole discretion, deems equitable or appropriate, including adjustments in
the number, class, kind and exercise price of securities subject to the Option (including, if the
Committee deems appropriate, the substitution of similar options to purchase the shares of another
company, as the Committee may determine to be appropriate in its sole discretion).

ARTICLE III

PERIOD OF EXERCISABILITY

     3.1. Exercisability of Option.

     (a) So long as the Optionee continues to be employed by the Company or any of its
Subsidiaries, the Option shall become exercisable pursuant to the following schedule:

	 	 	 	 	 
	 	 	Percentage of Shares As to Which Option Is
	Date Option Becomes Exercisable	 	Exercisable On and After Such Date
	 
	 	 	 	 
	On and after the first anniversary of the
Grant Date
	 	 	20	%
	 
	 	 	 	 
	On and after the second anniversary of the
Grant Date
	 	 	40	%
	 
	 	 	 	 
	On and after the third anniversary of the
Grant Date
	 	 	60	%
	 
	 	 	 	 
	On and after the fourth anniversary of the
Grant Date
	 	 	80	%
	 
	 	 	 	 
	On and after the fifth anniversary of the
Grant Date
	 	 	100	%

     (b) Notwithstanding the foregoing, the Option shall become immediately exercisable as to 100%
of the shares of Common Stock subject to such Option (but only to the extent such Option has not
otherwise terminated or become exercisable) (i) if the Optionee ceases to be employed due to
Optionee’s death or Disability, or (ii) immediately prior to a Change in Control; provided,
however, that this Section 3.1(b)(ii) is subject to the Committee’s rights, in the event of a
Change in Control, to cash out the Option pursuant to Section 9.2(b) of the Plan or to declare,
pursuant to Section 9.2(c) of the Plan, that the Option shall not become immediately exercisable
upon a Change in Control in which the successor company assumes the Option.

     3.2 Expiration of Option. The Option may not be exercised after the first to occur of
the following events and shall in no event be exercisable after the tenth anniversary of the Grant
Date:

     (a) If, prior to the date when the Option first becomes exercisable, Optionee’s employment
terminates for any reason other than death or Disability, Optionee’s right to exercise the Option
shall terminate and all rights thereunder shall cease;

2

 

     (b) If, on or after the date when the Option first becomes exercisable, Optionee’s employment
terminates for any reason other than death or Disability, Optionee shall have the right, within
three months after termination of employment to exercise the Option to the extent that it was
exercisable and unexercised on the date of Optionee’s termination of employment, subject to any
other limitation on the exercise of the Option in effect on the date of exercise; or

     (c) If Optionee’s employment terminates due to death or Disability before the tenth
anniversary of the Grant Date, Optionee or the person or persons to whom the Option shall have been
transferred by will or the laws of descent and distribution shall have the right within the
exercise period specified in this Agreement to exercise the Option to the extent that it was
unexercised on the Optionee’s date of death or Disability, subject to any other limitation on
exercise in effect on the date of exercise.

     3.3. Committee Discretion. The Committee, at the time of Optionee’s termination of
employment, subject to the limitations set forth in the Plan, may accelerate Optionee’s right to
exercise the Option or, subject to Code Section 409A, may extend the Option term.

ARTICLE IV

EXERCISE OF OPTION

     4.1. Person Eligible to Exercise. During the lifetime of the Optionee, only the
Optionee may exercise the Option or any portion thereof. After the death of the Optionee, any
exercisable portion of an Option may, prior to the time when an Option becomes unexercisable under
Section 3.2, be exercised by his personal representative or by any person empowered to do so under
the Optionee’s will or under the then applicable laws of descent and distribution.

     4.2. Partial Exercise. Any exercisable portion of an Option or the entire Option, if
then wholly exercisable, may be exercised in whole or in part at any time prior to the time when
the Option or portion thereof becomes unexercisable under Section 3.2 of this Agreement; provided,
however, that any partial exercise shall be for whole shares of Common Stock only.

     4.3. Manner of Exercise. The exercise price for shares of Common Stock to be acquired
upon exercise of the Option shall be paid in full in cash or by personal check, bank draft or money
order at the time of exercise; provided, however, that in lieu of such form of payment, subject to
the limitations set forth in Section 2.4 of the Plan, payment may be made by (a) delivery and
transfer, in a manner acceptable to the Company’s General Counsel in his sole discretion, to the
Company of outstanding shares of Common Stock that have been held at least six months; (b) by
delivery to the Company’s General Counsel or his designee of a properly executed exercise notice,
acceptable to the Company, together with irrevocable instructions to the Optionee’s broker to
deliver to the Company sufficient cash to pay the exercise price and any applicable income and
employment withholding taxes, in accordance with a written agreement between the Company and the
brokerage firm; or (c) any combination of the foregoing. Shares of Common Stock surrendered upon
exercise shall be valued at the Stock Exchange closing price for the Common Stock on the day prior
to exercise.

     4.4. Conditions to Issuance of Stock Certificates. The Company shall not be required
to issue or deliver any certificate or certificates for shares of stock purchased upon the exercise
of an Option or portion thereof prior to fulfillment of all of the following conditions:

3

 

     (a) The obtaining of approval or other clearance from any state or federal governmental agency
or stock exchange which the Committee shall, in its reasonable and good faith discretion, determine
to be necessary or advisable; and

     (b) The receipt by the Company of such assurance of compliance with federal and state
securities laws as it may deem necessary or advisable.

     4.5. Rights as Stockholder. The holder of the Option shall not be, nor have any of
the rights or privileges of, a stockholder of the Company in respect of any shares purchasable upon
the exercise of the Option or any portion thereof unless and until a certificate or certificates
representing such shares shall have been issued by the Company to such holder or a book entry
representing such shares has been made and such shares have been deposited with the appropriate
registered book-entry custodian. The Company shall not be liable to the Employee for damages
relating to any delay in issuing a stock certificate to Optionee, any loss of a certificate, or any
mistakes or errors in the issuance of a certificate to Optionee.

     4.6. Withholding. The Company shall have the right to withhold from Optionee’s
compensation or to require Optionee to remit sufficient funds to satisfy applicable withholding for
income and employment taxes upon the exercise of an Option. Subject to the limitations in Section
10.5 of the Plan, Optionee may, in order to fulfill the withholding obligation, make payment to the
Company in any manner permitted for payment of the exercise price under Section 4.3 of this
Agreement. The Company shall not withhold from the exercise of an Option more shares than are
necessary to meet the established tax withholding requirements of federal, state and local
obligations. The Company shall be authorized to take such action as may be necessary, in the
opinion of the Company’s counsel (including, without limitation, withholding vested Common Stock
otherwise deliverable to the Optionee and/or withholding amounts from any compensation or other
amount owing from the Company to the Optionee), to satisfy the obligations for payment of the
minimum amount of any such taxes.

ARTICLE V

MISCELLANEOUS

     5.1. Option Not Transferable. Neither the Option nor any interest or right therein or
part thereof shall be liable for the debts, contracts or engagements of the Optionee or his
successors in interest or shall be subject to disposition by transfer, alienation, anticipation,
pledge, encumbrance, assignment or any other means whether such disposition be voluntary or
involuntary or by operation of law by judgment, levy, attachment, garnishment or any other legal or
equitable proceedings (including bankruptcy), and any attempted disposition thereof shall be null
and void and of no effect; provided, however, that this Section 5.1 shall not prevent transfers by
will or by the applicable laws of descent and distribution, or transfers to which the Committee has
given prior written consent subject to the conditions set forth in Section 10.3(a) of the Plan.

     5.2. Notices. Any notice to be given under the terms of this Agreement to the Company
shall be addressed to the Company in care of its Secretary, and any notice to be given to the
Optionee shall be addressed to him or her at the address stated in the Company’s employee records.
By a notice given pursuant to this Section 5.2, either party may hereafter designate a different
address for notices to be given to the party. Any notice, which is required to be given to the
Optionee, shall, if the Optionee is then deceased, be given to the Optionee’s personal
representative if such representative has previously

4

 

informed the Company of his status and address by written notice under this Section 5.2. Any
notice shall have been deemed duly given when enclosed in a properly sealed envelope or wrapper
addressed as aforesaid, deposited (with postage prepaid) in a post office or branch post office
regularly maintained by the United States Postal Service.

     5.3. Amendment. Subject to Section 3.3 of this Agreement and Section 10.6 of the
Plan, this Agreement may be amended only by a writing executed by the parties hereto if such
amendment would adversely affect Optionee. Any such amendment shall specifically state that it is
amending this Agreement.

     5.4. Governing Law. The laws of the State of Michigan shall govern the
interpretation, validity and performance of the terms of this Agreement regardless of the law that
might be applied under principles of conflicts of laws.

     5.5. No Guarantee of Employment. Nothing in this Agreement or in the Plan shall
confer upon the Optionee any right to continue in the employ of the Company or any Subsidiary or
shall interfere with or restrict in any way the rights of the Company and its Subsidiaries, which
are hereby expressly reserved, to terminate the employment of the Optionee at any time for any
reason whatsoever, with or without cause, subject to the applicable provisions of, if any, the
Optionee’s employment agreement with the Company.

     5.6 Plan Terms Control. In the event of any conflict between the Plan and this
Agreement, the terms of the Plan shall control, it being understood that variations in this
Agreement from terms set forth in the Plan shall not be considered to be in conflict if the Plan
permits such variations.

[Signatures on next page.]

5

 

     IN WITNESS WHEREOF, the parties have executed this Agreement as of the Grant Date.

	 	 	 	 	 	 	 
	 	 	ITC HOLDINGS CORP.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	 	 	 
	 

	 	 	 	 
	 	 
	 
	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	OPTIONEE:	 	 
	 
	 	 	 	 	 	 
	 	 	 
	 	 
	 	 	[Name]	 	 

6

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00109-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00109-of-00352.parquet"}]]