Document:

EXHIBIT 10.5 FORM OF INDEMNIFICATION
AGREEMENT BETWEEN THE COMPANY AND ITS DIRECTORS.

 

INDEMNIFICATION AGREEMENT

          AGREEMENT,
effective as of January 30, 1998 between GETTY REALTY CORP., a Maryland
corporation (the “Company”), and ______________________ (the “Director”), a
director of the Company;

          WHEREAS,
in recognition of Director’s need for substantial protection against personal
liability in order to enhance Director’s continued service to the Company in an
effective manner and Director’s reliance on the provisions of the By-Laws
requiring indemnification of the Director under certain circumstances, and in
part to provide Director with specific contractual assurance that the
protection promised by such By-Laws will be available to Director (regardless
of, among other things, any amendment to or revocation of such By-Laws or any
change in the composition of the Company’s Board of Directors or acquisition
transaction relating to the Company), the Company wishes to provide in this
Agreement for the indemnification of and the advancing of expenses to Director
to the full extent (whether partial or complete) permitted by law and as set
forth in this Agreement, and, to the extent insurance is maintained, for the
continued coverage of Director under the Company’s directors’ and officers’
liability insurance policies.

          NOW,
THEREFORE, in consideration of the premises and of Director agreeing to serve
or continuing to serve the Company directly or, at its request, with another
enterprise, and intending to be legally bound hereby, the parties hereto agree
as follows:

          1.
Basic Indemnification Agreement.

                    (a)
In the event Director was, is or becomes a party to or witness or other
participant in, or is threatened to be made a party to or witness or other
participant in, a Claim (as hereinafter defined) by reason of (or arising in
part out of) an Indemnifiable Event (as hereinafter defined), the Company shall
indemnify Director to the fullest extent permitted by law as soon as
practicable but in any event no later than 30 days after written demand is
presented to the Company, against any and all Expenses (as hereinafter defined),
judgment, fines, penalties and amounts paid in settlement of such Claim. If so
requested by Director, the Company shall advance (within ten business days of
such written request) any and all Expenses to Director (an “Expense Advance”).
Notwithstanding anything in this Agreement to the contrary, and except as
provided in Section 3, prior to a Change in Control (as hereinafter defined)
Director shall not be entitled to indemnification pursuant to this Agreement in
connection with any Claim initiated by Director against the Company or any
director or officer of the Company unless the Company has joined in or
consented to the initiation of such Claim.

                    (b)
Notwithstanding the foregoing, (i) the obligations of the Company under Section
1(a) shall be subject to the condition that the Reviewing Party (as hereinafter
defined) shall not have determined (in a written opinion, in any case in which
the special independent counsel referred to in Section 2 is involved) that
Director would not be permitted to be indemnified under applicable law, and
(ii) the obligation of the Company to make an Expense Advance pursuant to
Section 1(a) shall be subject to the condition that, if, when and to the extent
that the Reviewing Party determines that Director would not be permitted to be
so indemnified under applicable law, the Company shall be entitled to be
reimbursed by Director (who hereby agrees to reimburse the

1

Company)
for all such amounts theretofore paid; provided, however, that if Director has
commenced legal proceedings in a court of competent jurisdiction to secure a
determination that Director should be indemnified under applicable law, any
determination made by the Reviewing Party that Director would not be permitted
to be indemnified under applicable law shall not be binding and Director shall
not be required to reimburse the Company for any Expense Advance until a final
judicial determination that Director shall reimburse the Company for any
Expense Advance is made with respect thereto (as to which all rights of appeal
therefrom have been exhausted or lapsed). If there has not been a Change in
Control, the Reviewing Party shall be selected by the Board of Directors, and
if there has been such a Change in Control, the Reviewing Party shall be the
special independent counsel referred to in Section 2. The Board of Directors
will appoint the Reviewing Party no later than 10 days after receipt of a
demand for indemnification (including, without limitation, a demand for Expense
Advance). The Reviewing Party shall make his determination no later than 20
days after his appointment. If after 30 days there has been no determination by
the Reviewing Party or if the Reviewing Party determines that Director
substantively would not be permitted to be indemnified in whole or in part
under applicable law, Director shall have the right to commence litigation in
any court in the states of New York or Maryland having subject matter
jurisdiction thereof and in which venue is proper seeking an initial
determination by the court or challenging any such determination by the
Reviewing Party of any aspect thereof, and the Company hereby consents to
service of process and to appear in any such proceeding. Any determination by
the Reviewing Party otherwise shall be conclusive and binding on the Company
and Director.

          2.
Change in Control. The Company agrees that, if there is a Change in Control of
the Company (other than a Change in Control which has been approved by a
majority of the Company’s Board of Directors who were directors immediately
prior to such Change in Control) then with respect to all matters thereafter
arising concerning the rights of Director to indemnity payments and Expense
Advances under this Agreement or any other agreement or Company By-Law now or
hereafter in effect relating to Claims for Indemnifiable Events, the Company
shall seek legal advice only from special independent counsel selected by
Director and approved by the Company (which approval shall not be unreasonably
withheld), and who has not otherwise performed services for the Company within
the last five years (other than in connection with such matters) or for
Director. Such counsel, among other things, shall render a written opinion to
the Company and Director as to whether and to what extent Director would be
permitted to be indemnified under applicable law. The Company agrees to pay the
reasonable fees of the special, independent counsel referred to above and to
fully indemnify such counsel against any and all expenses (including attorneys’
fees), claims, liabilities and damages arising out of or relating to this
Agreement or its engagement pursuant hereto.

          3.
Indemnification for Additional Expenses. The Company shall indemnify Director
against any and all expenses (including attorneys’ fees) and, if requested by
Director, shall (within ten business days of such written request) advance such
expenses to Director, which are incurred by Director in connection with any
claim asserted against or action brought by Director for (i) indemnification or
advance payment of Expenses by the Company under this Agreement or any other
agreement or Company By-Law now or hereafter in effect relating to Claims for
Indemnifiable Events and/or (ii) recovery under any directors’ and officers
liability insurance policies maintained by the Company, regardless of whether
Director ultimately is determined to

2

be
entitled to such indemnification, advance expense payment or insurance
recovery, as the case may be.

          4.
Partial Indemnity, Etc. If Director is entitled under any provision of this
Agreement to indemnification by the Company of some or a portion of the
Expenses, judgments, fines, penalties and amounts paid in settlement of a Claim
but not, however, for all of the total amount thereof, the Company shall
nevertheless indemnify Director for the portion thereof to which Director is
entitled. Moreover, notwithstanding any other provision of this Agreement, to
the extent that Director has been successful on the merits or otherwise in
defense of any or all Claims relating in whole or in part to an Indemniflable
Event or in defense of any issue or matter therein, including dismissal without
prejudice, Director shall be indemnified against all Expenses incurred in
connection therewith. In connection with any determination by the Reviewing
Party or otherwise as to whether Director is entitled to be indemnified
hereunder the burden of proof shall be on the Company to establish that
Director is not so entitled.

          5.
No Presumption. For purposes of this Agreement, the termination of any action,
suit or proceeding by judgment, order, settlement (whether with or without
court approval) or conviction, shall not create a presumption that Director did
not meet any particular standard of conduct or have any particular belief or
that a court has determined that indemnification is not permitted by applicable
law.

          6.
Non-exclusivity, Etc. The rights of Director hereunder shall be in addition to
any other rights Director may have under the Company’s By-Laws or the Maryland
General Corporation Law or otherwise. To the extent that a change in the
Maryland General Corporation Law (whether by statute or judicial decision), or
the Company’s By-Laws, permits greater indemnification by agreement than would
be afforded currently under the Company’s By-Laws and this Agreement, it is the
intent of the parties hereto that Director shall enjoy by this Agreement the
greater benefits so afforded by such change.

          7.
Liability Insurance. To the extent the Company maintains an insurance policy or
policies providing directors’ and officers’ liability insurance, Director shall
be covered by such policy or policies, in accordance with its or their terms,
to the maximum extent of the coverage reasonably and economically available (as
solely determined by the Board of Directors) for any Company director.

          8.
Certain Definitions:

                    (a)
“Change in Control” shall be deemed to have occurred if (i) any “person (as
such term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of
1934, as amended), other than a trustee or other fiduciary holding securities
under an employee benefit plan of the Company or a corporation owned directly
or indirectly by the stockholders of the Company in substantially the same
proportions as their ownership of stock of the Company, is or becomes the
“beneficial owner” (as defined in Rule 13d-3 under said Act), directly or
indirectly, of securities of the Company representing 20% or more of the total
voting power represented by the Company’s then outstanding Voting Securities,
or (ii) during any period of two consecutive years, individuals who at the
beginning of such two-year period constitute the Board of Directors of the

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Company
and any new director whose election by the Board of Directors or nomination for
election by the Company’s stockholders was approved by a vote of at least
two-thirds (2/3) of the directors then still in office who either were
directors at the beginning of such two-year period or whose election or
nomination for election was previously so approved, cease for any reason to
constitute a majority of the Board of Directors, or (iii) the stockholders of
the Company approve a merger or consolidation of the Company with any other corporation,
other than a merger or consolidation which would result in the Voting
Securities of the Company outstanding immediately prior thereto continuing to
represent (either by remaining outstanding or by being converted into Voting
Securities of the surviving entity) at least 80% of the total voting power
represented by the Voting Securities of the Company or such surviving entity
outstanding immediately after such merger or consolidation, or (iv) the
stockholders of the Company approve a plan of complete liquidation of the
Company or an agreement for the sale or disposition by the Company of all or
substantially all the Company’s assets.

                    (b)
Claim” shall mean any threatened, pending or completed action, suit or
proceeding, or any inquiry or investigation whether conducted by the Company or
any other party, whether civil, criminal, administrative or investigative.

                    (c)
“Expenses” include attorneys’ fees and all other costs, expenses and
obligations paid or incurred in connection with investigating, defending, being
a witness in or participating in (including on appeal), or preparing to defend,
be a witness in or participate in any Claim relating to any Indemnifiable
Event.

                    (d)
“Indemnifiable Event” is any event or occurrence related to the fact that
Director is or was a director, officer, employee, agent or fiduciary of the
Company, or is or was serving at the request of the Company as a director,
officer, employee, trustee, agent or fiduciary of another corporation,
partnership, joint venture, employee benefit plan, trust or other enterprise,
or arising by reason of anything done or not done by Director in any such
capacity.

                    (e)
Reviewing Party” is any appropriate person or body consisting of a member or
members of the Company’s Board of Directors or any other person or body
appointed by the Board (including the special independent counsel referred to
in Section 2) who is not a party to the particular Claim for which Director is
seeking indemnification.

                    (f)
“Voting Securities” are any securities of the Company which vote generally in
the election of directors.

          9.
Amendments and Waiver. No supplement, modification or amendment of this
Agreement shall be binding unless executed in writing by both of the parties
hereto. No waiver of any of the provisions of this Agreement shall be deemed or
shall constitute a waiver of any other provisions hereof (whether or not
similar) nor shall such waiver constitute a continuing waiver.

          10.
Subrogation. In the event of payment under this Agreement, the Company shall be
subrogated to the extent of such payment to all of the rights of recovery of
Director, who shall execute all papers required and shall do everything that
may be necessary to secure such rights,

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including
the execution of such documents necessary to enable the Company effectively to
bring suit to enforce such rights.

          11.
No Duplication of Payments. The Company shall not be liable under this
Agreement to make any payment in connection with any claim made against
Director to the extent Director has otherwise actually received payment (under
any insurance policy, By-Law or otherwise) of the amounts otherwise
indemnifiable hereunder.

          12.
Binding Effect, Etc. This Agreement shall be binding upon and inure to the
benefit of and be enforceable by the parties hereto and their respective
successors and assigns, including any (i) direct or indirect successor by
purchase, merger, consolidation or otherwise to all or substantially all of the
business and/or assets of the Company, and (ii) spouses, heirs, and personal
and legal representatives. This Agreement shall continue in effect regardless
of whether Director continues to serve as a director (or in one of the
capacities enumerated in Section 8(d) hereof) of the Company or of any other
enterprise at the Company’s request.

          13.Severabi1ity.
The provisions of this Agreement shall be severable in the event that any of
the provisions hereof (including any provisions within a single section,
paragraph or sentence) are held by a court of competent jurisdiction to be
invalid, void or otherwise unenforceable, and the remaining provisions shall
remain enforceable to the fullest extent permitted by law.

          14.
Governing Law. This Agreement shall be governed by and construed and enforced
in accordance with the laws of the State of Maryland applicable to contracts
made and to be performed in such state without giving effect to the principles
of conflicts of laws.

          IN
WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and
year first above written.

	
 

	
 

	
 

	
 

	
ATTEST:

	
 

	
GETTY
 REALTY CORP.

	
 

	
 

	
 

	
 

	
 

	
 

	
By: 

	
(SEAL)

	

	
 

	
 

	

	
Secretary

	
 

	
 

	
Leo
 Liebowitz, President

	
 

	
 

	
 

	
 

	
WITNESS

	
 

	
DIRECTOR

	
 

	
 

	
 

	
 

	

	
 

	
 

	

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	

5EXHIBIT 10.6  AMENDED AND RESTATED SUPPLEMENTAL RETIREMENT PLAN FOR EXECUTIVES OF GETTY REALTY CORP. AND PARTICIPATING SUBSIDIARIES (ADOPTED BY THE COMPANY ON DECEMBER 16, 1997 AND AMENDED AND RESTATED EFFECTIVE JANUARY 1, 2009).

 

SUPPLEMENTAL RETIREMENT PLAN 

FOR EXECUTIVES OF 

GETTY REALTY CORP. 

AND PARTICIPATING SUBSIDIARIES
Amended and Restated effective January 1, 2009 

TABLE OF CONTENTS

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
Page

	
Article 1.

	
 

	
Definitions

	
 

	
1

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
Article 2.

	
 

	
Participation

	
 

	
2

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
Article 3.

	
 

	
Contributions
 and Funding

	
 

	
3

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
Article 4.

	
 

	
Payment of
 Benefits

	
 

	
4

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
Article 5.

	
 

	
General
 Provisions

	
 

	
5

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
Article 6.

	
 

	
Amendment
 and Termination

	
 

	
8

	
 

-i-

INTRODUCTION

This Supplemental Retirement Plan for Executives of Getty Realty Corp.
and Participating Subsidiaries was originally effective January 1, 1989, and is
hereby amended and restated effective January 1, 2009. This Plan is intended to
promote extraordinary contributions by eligible executives by providing such executives
with supplemental retirement benefits. The Plan is unfunded and is maintained
by Getty Realty Corp. and its participating subsidiaries primarily for the
purpose of providing deferred compensation for a select group of management and
highly compensated employees. The Plan reads as hereinafter set forth. 

Article 1. Definitions 

	
 

	
 

	
1.01

	
“Account” shall mean a Member’s account in the Trust which shall
 consist of all amounts credited to a Member under Section 3.01, adjusted for
 any earnings or losses on those amounts pursuant to Section 3.05 and after
 payment of any expenses as provided by the provisions of the Trust. 

	
 

	
 

	
1.02

	
“Affiliated Company” shall mean any company, corporation or business
 directly or indirectly controlled by the Company, whether or not such
 company, corporation or business participates in the Plan. 

	
 

	
 

	
1.03

	
“Beneficiary” shall mean the beneficiary designated by a Member
 pursuant to Section 4.03. 

	
 

	
 

	
1.04

	
“Code” shall mean the Internal Revenue Code of 1986 as it may be
 amended. 

	
 

	
 

	
1.05

	
“Committee” shall mean the individuals appointed by the Company under
 Section 5.06 to administer the Plan. 

	
 

	
 

	
1.06

	
“Company” shall mean Getty Realty Corp. or any successor by merger,
 purchase or otherwise, with respect to its employees. 

	
 

	
 

	
1.07

	
“Company Contributions” shall mean the amount of contributions
 credited to a Member under Section 3.01. 

	
 

	
 

	
1.08

	
“Compensation” shall mean “compensation” as defined in the Retirement
 Plan for purposes of profit sharing allocations thereunder. If the Company
 changes the definition of “compensation” in the Retirement Plan during the
 Plan Year, the change will be effective as of the next January 1 for purposes
 of this Plan. 

	
 

	
 

	
1.09

	
“Effective Date” shall mean January 1, 1989. 

	
 

	
 

	
1.10

	
“Member” shall mean an employee of a Participating Company for whom a
 Company Contribution has been made under the Plan. 

	
 

	
 

	
1.11

	
“Participating Company” shall mean the Company and any Affiliated
 Company which 

	
 

	
 

	
 

	
 

	
the Company designates for participation in the Plan in accordance
 with Section 5.06(b).

	
 

	
 

	
1.12

	
“Plan” shall mean this Supplemental Plan for Executives of Getty
 Realty Corp. and Participating Subsidiaries. 

	
 

	
 

	
1.13

	
“Plan Year” shall mean the calendar year starting on January 1, 1989
 and each succeeding calendar year. 

	
 

	
 

	
1.14

	
“Retirement Plan” shall mean the Getty Realty Corp. Retirement and
 Profit-Sharing Plan. 

	
 

	
 

	
1.15

	
“Trust” shall mean the grantor trust established under Section 3.07. 

	
 

	
 

	
1.16

	
“Valuation Date” shall mean the last business day of each calendar
 quarter following the Effective Date. 

	
 

	
 

	
1.17

	
“Separation from Service” shall have the same meaning as that term is
 used in Section 409A(a)(2)(A)(i) of the Code including by reason of becoming
 disabled as that term is used in Section 409A(a)(2)(A)(ii) of the Code and
 excluding death. 

	
 

	
 

	
 

	
Article 2. Participation

	
 

	
2.01

	
Participation

	
 

	
 

	
 

	
 

	
(a)

	
Only officers and other senior management employees of the
 Participating Companies shall be eligible to have a Company Contribution made
 to the Plan on their behalf. Each Plan Year the Committee, in its sole
 discretion, shall select those officers and other senior management employees
 of the Participating Companies for whom a Company Contribution shall be made
 for that Plan Year or for the immediately preceeding Plan Year. An employee
 who receives a Company Contribution shall be a Member and shall remain a
 Member until he receives the full balance of his Account in accordance with
 Article 4. Employees shall be notified of their Membership in the Plan as soon
 as practicable after the Committee has made its selection. 

	
 

	
 

	
 

	
 

	
(b)

	
The Committee is not under any obligation to select an officer or
 other person as an employee for whom a Company Contribution shall be made for
 a Plan Year solely because he had a Company Contribution made on his behalf
 in a prior Plan Year. 

	
 

	
 

	
 

	
2.02

	
Other Information

	
 

	
 

	
 

	
 

	
As a condition of participation in this Plan, a Member may be
 required by the Committee to provide such information as the Committee may
 deem necessary to properly administer the Plan. 

2

Article 3. Contributions and Funding

	
 

	
 

	
 

	
3.01

	
Amount of Contributions 

	
 

	
 

	
 

	
For any Plan Year beginning on or after January 1, 1989, each
 Participating Company shall make a contribution to the Trust for each of its
 employees selected by the Committee under Section 2.01 for that Plan Year.
 The amount of a Participating Company’s contribution on behalf of such an
 employee for a Plan Year shall be equal to ten percent of the Compensation
 the employee received in that Plan Year, reduced by the amount of any
 “Retirement Plan Contributions” allocated to the employee on account of that
 Plan Year. For purposes of this Section 3.01, “Retirement Plan Contributions”
 shall mean all contributions, other than elective deferrals as defined in Section
 402(g)(3) of the Code, made by the Company or an Affiliated Company under the
 Retirement Plan as it may be amended, or under any successor thereto, or made
 pursuant to the provisions of any other plan, qualified under Section 401(a)
 of the Code, maintained by the Company or an Affiliated Company. 

	
 

	
 

	
3.02

	
Crediting to Accounts 

	
 

	
 

	
 

	
The Company Contributions made by a Participating Company on behalf
 of a Member for any Plan Year shall be paid to the Trust as soon as
 practicable after the end of the Plan Year in which the employee is selected
 by the Committee and shall be credited to the Member’s Account as of the
 first Valuation Date coincident with or immediately following the date they
 are paid to the Trust. 

	
 

	
 

	
 

	
3.03

	
Vesting of Account 

	
 

	
 

	
 

	
The Member shall vest in his Account at the same rate at which such
 Account would have vested under the Retirement Plan had the Account been
 maintained under the Retirement Plan. In the event the Member ceases to be
 employed by the Company or an Affiliated Company prior to vesting in all or
 any part of the Company Contributions credited on his behalf, such Company
 Contributions shall be forfeited and shall not be restored in the event the
 Member is subsequently reemployed by the Company or an Affiliated Company.
 Any amounts forfeited under this Section 3.03 shall be returned to the
 Participating Company which had employed the forfeiting Member as soon as
 practicable after the end of the Plan Year in which the forfeiture occurs or,
 in the alternative, credited towards any contributions the Participating
 Company may be required to make under Section 3.01 for the next Plan Year. 

	
 

	
 

	
3.04

	
Investment of Accounts 

	
 

	
 

	
 

	
(a)

	
Hypothetical investment gains and losses will be credited to the
 Accounts based on the performance of one or more mutual funds or other
 investment vehicles selected by the Member from among those made available to
 the Member from time to time by the Committee, in its discretion. The Member
 must select investment options and make changes to those selections using
 forms and procedures acceptable to the Committee. Neither the Company nor any
 Participating Company will guarantee the Accounts against loss or
 depreciation, whether caused by poor investment performance of investment
 options or otherwise, nor will the Company, Participating Company, or any
 member of the 

3

	
 

	
 

	
 

	
 

	
 

	
 

	
Committee
 have any liability with respect to such performance. 

	
 

	
 

	
 

	
 

	
 

	
(b)

	
Notwithstanding
 anything to the contrary in this Plan, the Committee may use the assets of
 the Trust allocated to employees of a Participating Company to satisfy claims
 of the Participating Company’s general creditors in the event of the
 Participating Company’s bankruptcy or insolvency. 

	
 

	
 

	
 

	
3.05

	
Valuation of
 Trust 

	
 

	
 

	
 

	
(a)

	
The
 Committee shall cause the Trust to be valued on the last Valuation Date in
 each Plan Year and on such other Valuation Dates as it deems advisable. Each
 time the Trust is valued, there shall be allocated to the Accounts of each
 Member his proportionate share of the increase or decrease in the fair market
 value of the Trust’s assets. 

	
 

	
 

	
 

	
 

	
 

	
(b)

	
Whenever an
 event requires a determination of the value of a Member’s Account, the value
 shall be computed as of the Valuation Date coincident with or next following
 the date of determination. 

	
 

	
 

	
 

	
3.06

	
Individual
 Accounts 

	
 

	
 

	
 

	
The
 Committee shall maintain, or cause to be maintained, records showing the
 individual balances of each Member’s Account. At least once a year, each
 Member shall be furnished with a statement setting forth the value of his
 Account. 

	
 

	
 

	
3.07

	
Establishment
 of a Trust 

	
 

	
 

	
 

	
(a)

	
The Company
 shall establish a grantor trust for the benefit of Members participating in
 the Plan. The assets of the Trust will be held separate and apart from the
 funds of the Participating Companies, and shall be used exclusively for the
 purposes set forth in the Plan and the applicable trust agreement, subject to
 the following conditions: 

	
 

	
 

	
 

	
 

	
 

	
(i)

	
the creation
 of the Trust shall not cause the Plan to be other than “unfunded” for
 purposes of Title I of the Employee Retirement Income Security Act of 1974; 

	
 

	
 

	
 

	
 

	
 

	
 

	
(ii)

	
the
 Participating Companies shall be treated as “grantors” of the Trust for
 purposes of Section 677 of the Code; and 

	
 

	
 

	
 

	
 

	
 

	
 

	
(iii)

	
the trust
 agreement shall provide that its assets may be used to satisfy claims of the
 Participating Companies’ general creditors, and the rights of such general
 creditors are enforceable by them under federal and state law.

	
 

	
 

	
 

	
 

	
Article 4. Payment of Benefits

	
 

	
 

	
 

	
 

	
4.01

	
Commencement
 of Benefits 

	
 

	
 

	
 

	
(a)

	
A Member
 shall be entitled to receive payment of his vested Account upon his
 Separation from Service with the Company or an Affiliated Company for any
 reason. Payment shall be made in a single cash sum within 30 

4

	
 

	
 

	
 

	
 

	
 

	
days following the Member’s Separation from Service with the Company
 or the Affiliated Company. 

	
 

	
 

	
 

	
 

	
(b)

	
Except as otherwise provided in the Plan and as permitted under
 Section 409A of the Code, no portion of a Member’s Account may be withdrawn
 or otherwise distributed prior to the Member’s Separation from Service with
 the Company or an Affiliated Company.

	
 

	
 

	
 

	
 

	
(c)

	
If a Member is a “specified employee” as that term is used in Section
 409A(a)(2)(B)(i) of the Code at the time of his Separation from Service with
 the Company or an Affiliated Company (as determined in good faith by the
 Compensation Committee of the Board of Directors of the Company), payment of
 his vested Account shall be made on the first day following the six month
 anniversary of such Member’s Separation from Service with the Company or an
 Affiliated Company. 

	
 

	
 

	
 

	
4.02

	
Payment on Death 

	
 

	
 

	
 

	
A Member’s vested Account shall be payable to his Beneficiary in a
 single cash sum within 90 days after the Member’s death. 

	
 

	
 

	
4.03

	
Designation of Beneficiary 

	
 

	
 

	
 

	
Each Member shall file with the Committee a written designation of
 one or more persons or trusts as the Beneficiary who shall be entitled to
 receive the amount, if any, payable under the Plan upon his death pursuant to
 Section 4.02. A Member may, from time to time revoke or change his
 Beneficiary designation without the consent of any prior Beneficiary by
 filing a new designation with the Committee. The last such designation
 received by the Committee shall be controlling; provided, however, that no
 designation, or change or revocation thereof, shall be effective unless
 received by the Committee prior to the Member’s death, and in no event shall
 it be effective as of a date prior to such receipt. If no such Beneficiary
 designation is in effect at the time of a Member’s death, or if no designated
 Beneficiary survives the Member, the Member’s estate shall be deemed to have
 been designated his Beneficiary and shall receive the payment of the amount,
 if any, payable under the Plan upon his death. 

	
 

	
 

	
Article 5. General Provisions 

	
 

	
5.01

	
Benefits Are Unsecured 

	
 

	
 

	
 

	
All amounts payable in accordance with this Plan shall constitute a
 general unsecured obligation of the Participating Companies. Such amounts
 shall be paid out of the general assets of the Participating Companies, to
 the extent not paid by the Trust. 

	
 

	
 

	
 

	
5.02

	
No Contract of Employment 

	
 

	
 

	
 

	
The establishment of the Plan shall not be construed as conferring
 any legal rights upon any person for a continuation of employment, nor shall
 it interfere with the rights of the Company or an Affiliated Company to
 discharge any employee and to treat him without regard to the effect which
 such treatment might have upon him as a Member of the Plan. 

5

	
 

	
 

	
 

	
5.03

	
Facility of Payment 

	
 

	
 

	
 

	
In the event that the Committee shall find that a Member is unable to
 care for his affairs because of illness or accident, the Committee, may
 direct that any benefit payment due him, unless claim shall have been made
 therefore by a duly appointed legal representative, be paid to his spouse, a
 child, a parent or other blood relative, or to a person with whom he resides,
 and any such payment so made shall be a complete discharge of the liabilities
 of the Plan therefor. 

	
 

	
 

	
5.04

	
Withholding Taxes 

	
 

	
 

	
 

	
All payments under this Plan shall be net of an amount sufficient to
 satisfy any federal, state or local withholding tax requirements. 

	
 

	
 

	
 

	
All amounts sufficient to satisfy any state or local withholding tax
 requirements or the Federal Insurance Contributions Act (FICA) tax imposed
 under section 3121(v)(2) of the Code (such state, local and FICA taxes
 collectively referred to as the “Taxes”) that is due with respect to any
 Member’s Account prior to such Member’s Separation from Service with the
 Company or an Affiliated Company or his death including, but not limited to,
 as a result of Company Contributions having been made or become vested or any
 required re-Valuation of a Member’s Account, if not paid by the Member in
 cash or by check to the Company or the Affiliated Company, as applicable,
 shall be withheld from payment of such Member’s biweekly compensation or any
 other amounts then due the Member. In the event that the aggregate amount of
 the Member’s biweekly compensation or other amounts due the Member on or
 after the date of the event giving rise to the imposition of the Taxes and
 before the date that the Company or an Affiliated Company is required to
 deposit the Taxes with the appropriate depository is less than the amount of
 such Taxes, the Company or the Affiliated Company may direct the Committee or
 the Trustees to distribute from the Member’s Account an amount sufficient to
 pay the applicable Taxes, as well as the amount of any taxes imposed under
 Section 3401 of the Code on such distribution, but in no event shall any such
 distribution exceed the amount permitted to be distributed under Treasury
 Regulation section 1.409A-3(j)(4)(vi) or 1.409A-3(j)(4)(xi) or any successor
 provision. 

	
 

	
 

	
5.05

	
Nonalienation 

	
 

	
 

	
 

	
Subject to any applicable law, no benefit under the Plan shall be
 subject in any manner to anticipation, alienation, sale, transfer,
 assignment, pledge, encumbrance or charge, and any attempt so to do shall be
 void, nor shall any such benefit be in any manner liable for or subject to
 garnishment, attachment, execution or levy, or liable for or subject to the
 debts, contracts, liabilities, engagements or torts of the Member or his
 Beneficiary. 

	
 

	
 

	
5.06

	
Administration 

	
 

	
 

	
 

	
(a)

	
The Plan shall be administered by an administrative committee of at
 least two officers or employees appointed by the Company. The Committee shall
 interpret the Plan, establish regulations to further the purposes of the Plan
 and take any other action necessary to the proper operation of the Plan. 

	
 

	
 

	
 

	
 

	
(b)

	
The Company, in its sole discretion and upon such terms as it may
 prescribe, may 

6

	
 

	
 

	
 

	
 

	
 

	
permit any Affiliated Company to participate in the Plan. 

	
 

	
 

	
 

	
 

	
(c)

	
Prior to paying any benefit under this Plan, the Committee may
 require the Member or Beneficiary to provide such information or material as
 the Committee, in its sole discretion, shall deem necessary for it to make
 any determination it may be required to make under this Plan. The Committee
 may withhold payment of any benefit under this Plan until it receives all
 such information and material and is reasonably satisfied of its correctness
 and genuineness. 

	
 

	
 

	
 

	
 

	
(d)

	
The Committee shall provide adequate notice in writing to any Member,
 former Member or Beneficiary whose claim for benefits under this Plan has
 been denied, setting forth the specific reasons for such denial. A reasonable
 opportunity shall be afforded to any such Member, former Member or
 Beneficiary for a full and fair review by the Committee of its decision
 denying the claim. The Committee’s decision on any such review shall be final
 and binding on the Member, former Member or Beneficiary and all other
 interested persons. 

	
 

	
 

	
 

	
 

	
(e)

	
All acts and decisions of the Committee shall be final and binding
 upon all Members, former
 Members, Beneficiaries and employees of the Company or an Affiliated Company.
 

	
 

	
 

	
 

	
5.07

	
Administrative Expenses 

	
 

	
 

	
 

	
All expenses of administering the Plan and the Trust shall be paid by
 the Participating Companies. 

	
 

	
 

	
5.08

	
Construction 

	
 

	
 

	
 

	
(a)

	
The Plan is intended to constitute an unfunded deferred compensation
 arrangement for a select group of management or highly compensated personnel
 and all rights hereunder shall be governed by and construed in accordance
 with this intention and with the laws of the state of New York. 

	
 

	
 

	
 

	
 

	
(b)

	
The masculine pronoun shall mean the feminine wherever appropriate. 

	
 

	
 

	
 

	
 

	
(c)

	
The captions inserted in this Plan are inserted as a matter of
 convenience and shall not affect the construction of the Plan. 

	
 

	
 

	
 

	
5.09

	
Code Section 409A Compliance 

	
 

	
 

	
 

	
The Plan is intended to be designed and administered to comply with
 Section 409A of the Code. The Committee shall undertake to administer,
 interpret, and construe the Plan in a manner that does not result in the
 imposition on any Member of any additional tax, penalty, or interest under
 Section 409A of the Code. Any Plan provision that would cause the Plan to
 fail to meet the requirements of paragraphs (2), (3) or (4) of Section
 409A(a) of the Code either through conflict with such paragraphs of the Code
 or by omission shall be interpreted in a manner, or by substituting or
 including such provisions that would cause the Plan to comply with Section
 409A of the Code. 

7

	
 

	
 

	
 

	
If the Company by its operation of the Plan and by no fault of the
 Member causes the Plan to fail to meet the requirements of paragraphs (2),
 (3) or (4) of Section 409A(a) of the Code, the Company shall reimburse the
 Member for interest and additional tax payable with respect to previously
 deferred compensation as provided in Section 409A(a)(1)(B) of the Code
 incurred by the Member including a tax “gross-up” on such reimbursement. Any
 such reimbursement and tax gross-up payment shall be calculated in good faith
 by the Committee and shall be paid by the end of the Member’s taxable year
 next following the Member’s taxable year in which the related taxes are
 remitted to the taxing authority. 

	
 

	
 

	
 

	
In the event that any portion of a Member’s Account shall be
 includible in income pursuant to Section 409A(a)(1) of the Code before the
 Member incurs a Separation from Service, the Committee shall distribute to
 the Member that portion of the Member’s Account upon such inclusion in income
 to the extent permitted under Treasury Regulation section 1.409A-3(j)(4)(vii)
 or any successor provision. 

	
 

	
 

	
Article 6. Amendment and Termination 

	
 

	
6. 01

	
Right to Terminate 

	
 

	
 

	
 

	
The Company, by action of its Board of Directors, may, in its sole
 discretion, terminate this Plan at any time or suspend contributions to the
 Plan for a fixed or indeterminate period of time. In the event the Plan is
 terminated, each Member and Beneficiary shall be fully vested in his Account
 and the amounts accumulated in Member Accounts pursuant to the Plan prior to
 termination will continue to be subject to the provisions of the Plan, other
 than vesting provisions, as if the Plan had not been terminated.
 Notwithstanding the foregoing sentence, the Company reserves the right to
 distribute Member Accounts pursuant to the provisions of Treasury Regulation
 section 1.409A-3(j)(4)(ix)(B) with respect to a change in control event or
 Treasury Regulation section 1.409A-3(j)(4)(ix)(C) with respect to a
 termination and liquidation of any and all deferred compensation plans. 

	
 

	
 

	
6.02

	
Right to Amend 

	
 

	
 

	
 

	
The Company, by action of its Board of Directors, may, at any time
 and in its sole discretion, modify or amend this Plan or the Trust in any
 way, including, without limitation, increasing or decreasing the rate of
 Company Contributions made pursuant to Section 3.01. However, no modification
 or amendment of the Plan shall adversely affect the right of any Member to
 receive the benefits granted under the Plan in respect of such Member as of
 the date of modification or amendment. 

8

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