Document:

exhibit104.htm

    Exhibit
(10.4)

    

    

    1982
EASTMAN KODAK COMPANY

    

    EXECUTIVE
DEFERRED COMPENSATION PLAN

    

    

    Preamble.

    

    The 1982
Eastman Kodak Company Executive Deferred Compensation Plan is an unfunded
non-qualified deferred compensation arrangement for eligible executives of
Eastman Kodak Company and certain of its subsidiaries effective for compensation
earned in 1982 and later years.  Under the Plan, each Eligible
Employee is annually given an opportunity to elect to defer payment of part of
his or her compensation earned during the year following his or her
election.

    

    This Plan
is intended to satisfy Code section 409A with respect to benefits subject
thereto, and the terms and conditions of this Plan shall be interpreted and
construed accordingly.  This Plan also provides for benefits not
subject to Code section 409A by reason of having been earned and vested before
January 1, 2005, and no amendment to this Plan that might constitute a “material
modification” within the meaning of Code section 409A and the Treasury
regulations thereunder shall apply to such benefits unless such amendment
expressly provides for the loss of such benefits’ grandfathered
status.

    

    From
January 1, 2005 through December 31, 2008, this Plan was operated in good faith
compliance with the requirements of Code section 409A, and the Treasury
regulations and applicable guidance thereunder.  Any administrative
practices and interpretations established in order to enable the Plan to operate
in good-faith compliance but contrary to the terms of such Plan as then in
effect are hereby expressly ratified.  Effective January 1, 2009, the
terms and conditions of this amended and restated Plan have been adopted to
reflect the final Treasury regulations under Code section 409A.

    

    This Plan
will be interpreted and administered in accordance with Eastman Kodak Company’s
Policy Regarding Section 409A Compliance with respect to benefits subject to
Code section 409A.

    

    

    Article
1.     Definitions.

    

    1.1     Accelerated
Distribution

    

    The form
of distribution permitted under Section 8.8.

    
      
         

      

      
        1

        
        

      

      
         

      

    

    1.2           Account

    

    "Account"
means the Deferred Compensation Account or the Stock Account.

    

    1.3           Board

    

    "Board"
means Board of Directors of Kodak.

    

    1.4           Change
In Control

    

    “Change
in Control,” with respect to Grandfathered Dollars, means the occurrence of any
one of the following events:

    

    
      	
               
      

            	
              A.

            	
              individuals
      who, on December 9, 1999, constitute the Board (the “Incumbent Directors”)
      cease for any reason to constitute at least a majority of the Board,
      provided that any person becoming a director subsequent to December 9,
      1999, whose election or nomination for election was approved by a vote of
      at least two-thirds of the Incumbent Directors then on the Board (either
      by a specific vote or by approval of the proxy statement of Kodak in which
      such person is named as a nominee for director, without written objection
      to such nomination) shall be an Incumbent Director; provided, however, that
      no individual initially elected or nominated as a director of Kodak as a
      result of an actual or threatened election contest (as described in Rule
      14a-11 under the Act) (“Election Contest”) or any other actual or
      threatened solicitation of proxies or consents by or on behalf of any
      “person” (as such term is defined in Section 3(a)(9) of the Act) other
      than the Board (“Proxy Contest”), including by reason of any agreement
      intended to avoid or settle any Election Contest or Proxy Contest, shall
      be deemed to be an Incumbent
Director;

            

    

    

    
      	
               
      

            	
              B.

            	
              any
      person is or becomes a “beneficial owner” (as defined in Rule 13d-3 under
      the Act), directly or indirectly, of securities of Kodak representing 25%
      or more of the combined voting power of Kodak’s then outstanding
      securities eligible to vote for the election of the Board (the “Kodak
      Voting Securities”); provided, however, that
      the event described in this paragraph (B) shall not be deemed to be a
      Change in Control by virtue of any of the following acquisitions: (i) by
      Kodak or any subsidiary, (ii) by any employee benefit plan (or related
      trust) sponsored or maintained by Kodak or any subsidiary, or (iii) by any
      underwriter temporarily holding securities pursuant to an offering of such
      securities;

            

    

    

    
      	
               
      

            	
              C.

            	
              the
      consummation of a merger, consolidation, statutory share exchange or
      similar form of corporate transaction involving Kodak or any of its
      subsidiaries that requires the approval of Kodak's shareholders, whether
      for such transaction or the 

            

    

    
      
         

      

      
        2

        
        

      

      
         

      

    

    
      	
               
      

            	
              issuance
      of securities in the transaction (a “Reorganization”), or sale or other
      disposition of all or substantially all of Kodak’s assets to an entity
      that is not an affiliate of Kodak (a “Sale”), unless immediately following
      such Reorganization or Sale:  (i) more than 60% of the total
      voting power of (x) the corporation resulting from such Reorganization or
      Sale (the “Surviving Company”), or (y) if applicable, the ultimate parent
      corporation that directly or indirectly has beneficial ownership of 100%
      of the voting securities eligible to elect directors of the Surviving
      Company (the “Parent Company”), is represented by Kodak Voting Securities
      that were outstanding immediately prior to such Reorganization or Sale
      (or, if applicable, is represented by shares into which such Kodak Voting
      Securities were converted pursuant to such Reorganization or Sale), and
      such voting power among the holders thereof is in substantially the same
      proportion as the voting power of such Kodak Voting Securities among the
      holders thereof immediately prior to the Reorganization or Sale, (ii) no
      person (other than any employee benefit plan (or related trust) sponsored
      or maintained by the Surviving Company or the Parent Company), is or
      becomes the beneficial owner, directly or indirectly, of 25% or more of
      the total voting power of the outstanding voting securities eligible to
      elect directors of the Parent Company (or, if there is no Parent Company,
      the Surviving Company) and (iii) at least a majority of the members of the
      board of directors of the Parent Company (or, if there is no Parent
      Company, the Surviving Company) following the consummation of the
      Reorganization or Sale were Incumbent Directors at the time of the Board’s
      approval of the execution of the initial agreement providing for such
      Reorganization or Sale (any Reorganization or Sale which satisfies all of
      the criteria specified in (i), (ii) and (iii) above shall be deemed to be
      a “Non-Qualifying Transaction”); or

            

    

    

    
      	
               
      

            	
              D.

            	
              the
      shareholders of Kodak approve a plan of complete liquidation or
      dissolution of Kodak.

            

    

    

    Notwithstanding
the foregoing, a Change in Control shall not be deemed to occur solely because
any person acquires beneficial ownership of more than 25% of Kodak Voting
Securities as a result of the acquisition of Kodak Voting Securities by Kodak
which reduces the number of Kodak Voting Securities outstanding; provided that if after such
acquisition by Kodak such person becomes the beneficial owner of additional
Kodak Voting Securities that increases the percentage of outstanding Kodak
Voting Securities beneficially owned by such person, a Change in Control shall
then occur.

    
      
         

      

      
        3

        
        

      

      
         

      

    

    With
respect to benefits other than Grandfathered Dollars, “Change in Control” means
an event that both satisfies the above definition and qualifies as a “change in
the ownership or effective control of the corporation, or in the ownership of a
substantial portion of the assets of the corporation” within the meaning of
Sections 1.409A-3(a)(5) and 1.409A-3(i)(5) of the Treasury
regulations.  Solely for the purpose of determining whether a “Change
in Control” has occurred in connection with the payment of benefits other than
Grandfathered Dollars, it is noted that the above definition of “Change in
Control” shall be interpreted to require that in the case of director elections
under A, the approval of the Incumbent Directors must be given prior to their
election, and references to a “subsidiary” or “affiliate” of Kodak shall mean an
entity in which Kodak possesses a direct or indirect ownership interest of 50%
or more of the total combined voting power of the then outstanding securities or
interests of the second entity entitled to vote generally in the election of
directors or in which Kodak has the right to receive 50% or more of the
distribution of profits or 50% of the assets on liquidation or
dissolution.

    

    1.5           Code

    

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

    

    1.6           Common
Stock

    

    "Common
Stock" means the common stock of Kodak.

    

    1.7           Company

    

    "Company"
means Kodak and its United States subsidiaries listed on Schedule
A.  A subsidiary must be a member of the same “controlled group” as
Kodak within the meaning of Section 414(b) or (c) of the Code in order for its
employees to be active participants in the Plan.

    

    1.8           Consolidated
Group

    

    “Consolidated
Group” means Kodak and all Subsidiaries.

    

    1.9           Compensation
Committee

    

    "Compensation
Committee" shall mean the Executive Compensation and Development Committee of
the Board.

    

    1.10          Deferrable
Amount

    

    "Deferrable
Amount" means an amount equal to the excess of the Eligible Employee's
individual annual salary rate as of October 1 of any year over the Minimum
Compensation Level.

    
      
         

      

      
        4

        
        

      

      
         

      

    

    

    1.11          
Deferred Compensation Account

    

    "Deferred
Compensation Account" means the account established by the Company for each
Participant for compensation deferred pursuant to this Plan.  The
maintenance of individual Deferred Compensation Accounts is for bookkeeping
purposes only.

    

    1.12           Eligibility
Compensation Level

    

    “Eligibility
Compensation Level” means the dollar amount used to determine whether a person
is an Eligible Employee.  The Eligibility Compensation Level for a
given Plan year will be determined by the Chief Human Resources Officer and
Senior Vice President, Eastman Kodak Company, who will select a threshold that
will maintain this Plan’s status as a “top-hat” plan.

    

    1.13           Eligible
Employee

    

    "Eligible
Employee" means for a particular Plan year: (1) the corporate officers of Kodak;
and (2) any other employee of the Company whose individual annual salary rate as
of October 1 of the prior year is equal to or greater than the Eligibility
Compensation Level.  In addition, any Participant with an Account
balance who does not qualify as an Eligible Employee for a particular Plan year
solely because his or her individual annual salary rate as of October 1 of the
prior year is less than the Eligibility Compensation Level for such Plan year,
will nevertheless be an Eligible Employee for such Plan year; provided, however,
he or she is a full-time employee and provided further that such Participant’s
continued eligibility will not endanger this Plan’s status as a “top-hat”
plan.  Also, solely for the 2001 Plan year, any Employee of the
Company who was eligible to participate in the Plan for the 2000 Plan year, but
elected not to participate, will be an Eligible Employee for the 2001 Plan
Year.  Notwithstanding the foregoing, a non-resident alien will not be
an Eligible Employee unless he or she is paid on United States
payroll.

    

    1.14           Enrollment
Period

    

    "Enrollment
Period" means the period of consecutive days designated by the Director,
Executive Compensation each year, provided however, that such period shall begin
no earlier than October 15 and shall end no later than December 15 of each
year.

    

    1.15           Grandfathered
Dollars

    

    “Grandfathered
Dollars” shall mean benefits payable under this Plan that are not subject to
Code section 409A by reason of having been earned and vested as of December 31,
2004, provided that benefits shall cease to be Grandfathered Dollars if the Plan
is "materially modified"

    
      
         

      

      
        5

        
        

      

      
         

      

    

    with
respect to such Grandfathered Dollars after October 3,
2004.  Grandfathered Dollars shall be accounted for
separately.

    

    1.16           Interest
Rate

    

    "Interest
Rate" means the base rate, as reported in the “Money Rates” section of the Wall Street Journal,
on corporate loans posted by at least 75% of the nation’s 30 largest banks
(known as the “Prime Rate”).

    

    1.17           Kodak

    

    "Kodak"
means Eastman Kodak Company.

    

    1.18           Market
Value

    

    "Market
Value" means the mean between the high and low at which the Common Stock trades
as quoted in the New York Stock Exchange Composite Transactions as published in
the Wall Street Journal on the day for which the determination is to be made, or
if such day is not a trading day, the immediately preceding day.

    

    1.19           Minimum
Compensation Level

    

    “Minimum
Compensation Level” means the dollar amount used to determine the amount of an
Eligible Employee’s Deferrable Amount.  The Minimum Compensation Level
is $50,000.

    

    1.20           Plan

    

    "Plan"
means the 1982 Eastman Kodak Company Executive Deferred Compensation Plan as
adopted by the Board and subsequently amended.

    

    1.21           Participant

    

    "Participant"
means an Eligible Employee who elects for one or more years to defer
compensation pursuant to this Plan.  All SOG Participants are
Participants.

    

    1.22           Separation
from Service

    

    With
respect to Grandfathered Dollars, “Separation from Service” means separation
from service with the Consolidated Group.

    

    With
respect to benefits other than Grandfathered Dollars, “Separation from Service”
means separation from service within the meaning of Code section 409A (taking
into account section 1.409A-1(h) of the Treasury regulations and other guidance
of general applicability issued

    
      
         

      

      
        6

        
        

      

      
         

      

    

    thereunder),
administered in accordance with Eastman Kodak Company’s Policy Regarding Section
409A Compliance, provided that this Plan shall utilize the 50% common control
standard described in the Treasury regulations rather than the 80% rule normally
applied under the Policy.

    

    1.23           SOG
Participant

    

    "SOG
Participant" means a Participant who either: (1) is subject to the Guidelines
for Senior Management Ownership of Eastman Kodak Company Stock as approved by
the Compensation Committee; or (2) was subject to the Guidelines for Senior
Management Ownership of Eastman Kodak Company Stock as approved by the
Compensation Committee and still has a balance in his or her Stock Account in
accordance with the terms of the Plan.

    

    1.24           Stock
Account

    

    "Stock
Account" means the account established by the Company for each SOG Participant,
the performance of which is measured by reference to the Market Value of Common
Stock.  The maintenance of individual Stock Accounts is for
bookkeeping purposes only.

    

    1.25           Subsidiary

    

    “Subsidiary”
means any corporation or other entity in which Kodak has a direct or indirect
ownership interest of 50% or more of the total combined voting power of the then
outstanding securities or interests of such corporation or other entity entitled
to vote generally in the election of directors or in which Kodak has the right
to receive 50% or more of the distribution of profits or 50% of the assets on
liquidation or dissolution.

    

    1.26           Valuation
Date

    

    "Valuation
Date" means, with regards to a Participant’s Deferred Compensation Account, the
last business day of each calendar month and, with regards to a SOG
Participant’s Stock Account, the last business day of each calendar month.

    

    Article
2          Participation

    

    Only
Eligible Employees are eligible to participate in the Plan.

    
      
         

      

      
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    Article
3          Deferral of
Compensation

    

    3.1           
In General

    

    All
Eligible Employees, other than those Eligible Employees who are SOG
Participants, may elect, in accordance with the time requirements established
under Article 4 below, to defer receipt of one or more of the following to his
or her Deferred Compensation Account:

    

    
      	
               
      

            	
              1)

            	
              all
      or any portion of his or her Deferrable Amount to be earned during the
      immediately succeeding calendar
year;

            

    

    

    
      	
               
      

            	
              2)

            	
              up
      to a maximum of 75% of his or her cash award, if any, under the Executive
      Compensation for Excellence and Leadership plan (EXCEL) payable in the
      second immediately succeeding calendar year;
and

            

    

    

    
      	
               
      

            	
              3)

            	
              all
      or any portion of any other compensation identified by the Compensation
      Committee prior to the end of the Enrollment Period preceding the year in
      which such compensation is earned.

            

    

    

    3.2           SOG
Participants

    

    All SOG
Participants may elect, in accordance with the requirements established under
Article 4 below, to defer receipt of one or more of the following to his or her
Deferred Compensation Account:

    

    
      	
               
      

            	
              1)

            	
              all
      or any portion of his or her Deferrable Amount to be earned during the
      immediately succeeding calendar
year;

            

    

    

    
      	
               
      

            	
              2)

            	
              up
      to a maximum of 75% of his or her cash award, if any, under the Executive
      Compensation for Excellence and Leadership plan (EXCEL) payable in the
      second immediately succeeding calendar year;
and

            

    

    

    
      	
               
      

            	
              3)

            	
              all
      or any portion of any other compensation identified by the Compensation
      Committee prior to the end of the Enrollment Period preceding the year in
      which such compensation is earned.

            

    

    

    3.3           Eastman
Kodak Employees’ Savings and Investment Plan (SIP)

    

    A
Participant in this Plan need not participate in the Eastman Kodak Employees’
Savings and Investment Plan.

    
      
         

      

      
        8

        
        

      

      
         

      

    

    3.4           Post
Termination Deferrals

    

    No
deferral shall be made of any compensation payable after Separation from
Service.

    

    Article
4          Deferral
Elections

    

    4.1           Elections

    

    An
Eligible Employee may make a deferral election to defer compensation by
executing and returning to the Compensation Committee in accordance with this
Article 4 a deferred compensation form provided by Kodak.  An Eligible
Employee may only make a deferral election into his or her Deferred Compensation
Account; deferral elections into the Stock Account are not permitted under the
Plan.

    

    An
otherwise-Eligible Employee who received an Accelerated Distribution under
Section 8.8 may not make a deferral election for the calendar year following the
calendar year of the Accelerated Distribution, in accordance with Section
8.8.  Deferrals by an otherwise-Eligible Employee who received a
hardship distribution under the Eastman Kodak Employees’ Savings and Investment
Plan or another 401(k) plan, or who received a distribution due to an
unforeseeable emergency under Section 8.7, shall be restricted as required by
the relevant 401(k) plan or Section 8.7, as applicable. The Compensation
Committee or its designee may impose such restrictions or prohibitions on
deferral elections for subsequent calendar years as it deems
appropriate.

    

    4.2.          Timing

    

    An
Eligible Employee who wishes to defer compensation under the Plan must
irrevocably elect to do so during the Enrollment Period immediately preceding
the calendar year for which such compensation is earned.  Elections
made during the Enrollment Period shall be effective the first day of the
calendar year immediately following the Enrollment Period.  Elections
shall be made annually.  An Employee who would qualify as an Eligible
Employee but who is hired after the close of the Enrollment Period must wait
until the next Enrollment Period to file an election.

    

    4.3           Irrevocability

    

    Deferral
elections made under this Plan with respect to any calendar year will be final
and, after the close of the Enrollment Period for such calendar year, may not be
revoked or amended in any manner.

    

    Notwithstanding
the foregoing, deferrals under this Plan will be cancelled in the event that a
hardship distribution is made under the Eastman Kodak Employees’ Savings and
Investment Plan or another 401(k) plan to the extent required by such plan, or
in the event of a distribution 

    
      
         

      

      
        9

        
        

      

      
         

      

    

    due to an
unforeseeable emergency under Section 8.7.

    

    4.4           Deferral
Elections by Eligible Employees Other Than SOG Participants

    

    In the
case of all Eligible Employees, other than SOG Participants, the deferred
compensation form shall indicate: (1) the dollar amount of the Deferrable Amount
to be deferred; (2) whether the deferral is to be at the same rate throughout
the year, or at one rate for part of the year and at a second rate for the
remainder of the year; (3) the amount, in terms of such percentages as Kodak
shall determine, of the cash EXCEL award, if any, to be deferred; and (4) the
portion to be deferred of any other compensation that the Compensation Committee
determines is eligible for deferral under the Plan.

    

    4.5           Deferral
Elections by SOG Participants

    

    The
deferred compensation form of all SOG Participants shall indicate: (1) the
dollar amount of the Deferrable Amount to be deferred; (2) whether the deferral
is to be at the same rate throughout the year, or at one rate for part of the
year and at a second rate for the remainder of the year; (3) the amount, in
terms of such percentages as Kodak shall determine, of the cash EXCEL award, if
any, to be deferred; and (4) the portion to be deferred of any other
compensation that the Compensation Committee determines is eligible for deferral
under the Plan.

    

    Article
5          Hypothetical
Investments

    

    5.1           Deferred
Compensation Account

    

    Amounts
in a Participant's Deferred Compensation Account are hypothetically invested in
an interest bearing account which bears interest computed at the Interest Rate,
compounded monthly.

    

    5.2           Stock
Account

    

    Amounts
in a SOG Participant's Stock Account are hypothetically invested in units of
Common Stock.  Amounts transferred to a Stock Account are recorded as
units of Common Stock, and fractions thereof, with one unit equating to a single
share of Common Stock.  Thus, the value of one unit shall be the
Market Value of a single share of Common Stock.  The use of units is
merely a bookkeeping convenience; the units are not actual shares of Common
Stock.  The Company will not reserve or otherwise set aside any Common
Stock for or to any Stock Account.

    

    
      
         

      

      
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    5.3           Time
Accounts Are Credited

    

    Amounts
to be deferred by a Participant shall be credited to the Participant's Account
as follows:

    

    
      	
               
      

            	
              1)

            	
              Deferrable
      Amount shall be credited each pay period on the date such amount is
      otherwise payable;

            

    

    

    
      	
               
      

            	
              2)

            	
              EXCEL
      award shall be credited on the date such amount is otherwise payable;
      and

            

    

    

    
      	
               
      

            	
              3)

            	
              any
      other compensation shall be credited on the date such amount is otherwise
      payable.

            

    

    

    Article
6          Elections to Defer
For a Fixed Period During Employment

    

    6.1           In
General

    

    A
Participant may elect to defer receipt of his or her compensation for a fixed
number of years, no less than 5, provided that he or she neither incurs a
Separation from Service nor dies during the period of deferral.  Any
such election shall be made during the Enrollment Period on the deferred
compensation form referenced in Article 4 above.  If such Participant
incurs a Separation From Service or dies prior to the end of the fixed period,
Article 8 shall govern the payment of his or her Accounts.

    

    6.2           Form
of Payment

    

    If a
Participant has elected to defer receipt of his or her compensation for a fixed
number of years, payment of such amount shall be made in cash in a single
lump-sum.

    

    6.3           Valuation

    

    The
amount of the lump-sum due the Participant shall be valued as of the Valuation
Date in August in the year following the termination of the deferral
period.

    

    6.4           Time
of Payment

    

    Payment
shall be made in the year following the termination of the deferral period on a
date selected by the Chief Human Resources Officer and Senior Vice President,
Eastman Kodak Company.

    

    

    
      
         

      

      
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    Article
7          Investment
Elections

    

    The
provisions of this Article 7 shall only apply to SOG Participants.

    

    7.1           Elections

    

    
      	
               
      

            	
              A.

            	
              In
      General.  Subject to Section 7.1(B), a SOG Participant
      may make an investment election to direct that all or any portion,
      designated as a whole percentage, of the existing balance of one of his or
      her Accounts be transferred to his or her other Account, effective as of
      the close of business on the last day of any calendar month (hereinafter
      the election's "Effective Date"), by filing a written election with the
      Compensation Committee on or prior to such
date.

            

    

    

    
      	
               
      

            	
              B.

            	
              Elections to Defer For A Fixed
      Period During Employment.  A SOG Participant may not
      transfer to his or her Stock Account any amount subject to an election to
      defer for a fixed number of years pursuant to Article 6, nor may he or she
      transfer to his or her Stock Account any interest that has accrued on such
      amount.

            

    

    

    7.2           Election
into the Stock Account

    

    If a SOG
Participant makes an investment election pursuant to Section 7.1 to transfer an
amount from his or her Deferred Compensation Account to his or her Stock
Account, effective as of the election's Effective Date, (i) his or her Stock
Account shall be credited with that number of units of Common Stock, and
fractions thereof, obtained by dividing the dollar amount elected to be
transferred by the Market Value of the Common Stock on the Valuation Date
coincident with or immediately preceding the election's Effective Date; and (ii)
his or her Deferred Compensation Account shall be reduced by the amount elected
to be transferred.

    

    7.3           Election
out of the Stock Account

    

    If a SOG
Participant makes an investment election pursuant to Section 7.1 to transfer an
amount from his or her Stock Account to his or her Deferred Compensation
Account, effective as of the election's Effective Date, (i) his or her Deferred
Compensation Account shall be credited with a dollar amount equal to the amount
obtained by multiplying the number of units to be transferred by the Market
Value of the Common Stock on the Valuation Date coincident with or immediately
preceding the election's Effective Date; and (ii) his or her Stock account shall
be reduced by the number of units elected to be transferred.

    

    
      
         

      

      
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    7.4           Dividend
Equivalents in the Stock Account

    

    Effective
as of the payment date for each cash dividend on the Common Stock, additional
units of Common Stock shall be credited to the Stock Account of each SOG
Participant who had a balance in his or her Stock Account on the record date for
such dividend.  The number of units that shall be credited to the
Stock Account of such a SOG Participant shall be computed by multiplying the
dollar value of the dividend paid upon a single share of Common Stock by the
number

    of units
of Common Stock held in the SOG Participant's Stock Account on the record date
for such dividend and dividing the product thereof by the Market Value of the
Common Stock on the payment date for such dividend.

    

    7.5           Stock
Dividends in the Stock Account

    

    Effective
as of the payment date for each stock dividend (as defined in Code section 305)
on the Common Stock, additional units of Common Stock shall be credited to the
Stock Account of each SOG Participant who had a balance in his or her Stock
Account on the record date for such dividend.  The number of units
that shall be credited to the Stock Account of such a SOG Participant shall
equal the number of shares of Common Stock which the SOG Participant would have
received as stock dividends had he or she been the owner on the record date for
such stock dividend of the number of shares of Common Stock equal to the number
of units credited to his or her Stock Account on such record date.  To
the extent the SOG Participant would have also received cash, in lieu of
fractional shares of Common Stock, had he or she been the record owner of such
shares for such stock dividend, then his or her Stock Account shall also be
credited with that number of units, or fractions thereof, equal to such cash
amount divided by the Market Value of the Common Stock on the payment date for
such dividend.

    

    7.6           Recapitalization
in the Stock Account

    

    If Kodak
undergoes a reorganization as defined in Code section 368(a), the Compensation
Committee shall, in its sole and absolute discretion, take whatever action it
deems necessary, advisable or appropriate with respect to the Stock Accounts in
order to reflect such transaction, including, but not limited to, adjusting the
number of units credited to a SOG Participant's Stock Account.  Any
action taken shall comply with Code section 409A.

    

    7.7           Distributions
from the Stock Account

    

    Amounts
in respect of units of Common Stock shall be distributed in cash in accordance
with Articles 6, 8 and 11.  For purposes of a distribution pursuant to
Article 6, 8, or 11, the number of units to be distributed from a SOG
Participant's Stock Account shall be valued by multiplying the number of such
units by the Market Value of the Common Stock as of the Valuation Date
coincident with or immediately preceding the date such distribution is to
occur.  Pending the

    
      
         

      

      
        13

        
        

      

      
         

      

    

    complete
distribution under Section 8.2 or liquidation under Section 7.8 of the Stock
Account of a SOG Participant who has terminated his or her employment with the
Company, the SOG Participant shall continue to be able to make elections
pursuant to Sections 7.2 and 7.3 and his or her Stock Account shall continue to
be credited with additional units of Common Stock pursuant to Sections 7.4, 7.5,
and 7.6.

    

    7.8           Liquidation
of Stock Account

    

    The
provisions of this Section 7.8 shall be applicable if on the second anniversary
of the SOG Participant's retirement or, if earlier, Separation From Service with
the Company, the SOG Participant has a balance remaining in his or her Stock
Account.  In such case, effective as of the first day of the first
calendar month immediately following the date of such second anniversary, the
entire balance of the SOG Participant's Stock Account shall automatically be
transferred to his or her Deferred Compensation Account and, he or she shall
thereafter be ineligible to transfer any amounts to his or her Stock
Account.  For purposes of valuing the units of Common Stock subject to
such a transfer, the method described in Section 7.3 shall be used.

    

    Article
8          Payment of Deferred
Compensation

    

    8.1           Background

    

    No
withdrawal may be made from a Participant's Accounts except as provided in this
Article 8 and Articles 6 and 11.

    

    8.2           Manner
of Payment

    

    
      	
               
      

            	
              A.

            	
              With
      respect to Grandfathered Dollars, payment of a Participant's Accounts
      shall be made at the sole discretion of the Compensation Committee in a
      single sum or in annual installments; provided, however, that payment in
      the event of death shall be made in accordance with Section
      8.6.  The maximum number of installments is ten.  All
      payments from the Plan shall be made in cash.  Nothing herein
      prohibits or requires payment of Grandfathered Dollars in the same manner
      as the remaining portion of the Participant’s Accounts is paid under (B)
      below.

            

    

    

    
      	
               
      

            	
              B.

            	
              With
      respect to benefits other than Grandfathered Dollars, a Participant shall
      be permitted to file a distribution election, and distributions of such
      deferred compensation amounts shall be made in accordance with the
      Participant’s election (provided that death benefits shall be distributed
      as provided in Section 8.6).  A Participant may elect to have
      such deferred compensation amounts paid in the form of a lump sum, or in
      the form of annual installment payments to be paid over
  a

            

    

    
      
         

      

      
        14

        
        

      

      
         

      

    

    
      	
               
      

            	
              period
      not to exceed ten years.  Participants must file such elections
      upon commencement of participation in the Plan.  For those
      Participants who were already Participants on January 1, 2005,
      distribution of benefits other than Grandfathered Dollars shall be
      determined as follows:

            

    

     

     

    
      
      

    

    
      	
               
      

            	
              1)

            	
              In
      accordance with such Participant's election, if the Participant filed an
      election by December 31, 2008, and such election complied with transition
      guidance issued by the Internal Revenue Service and the Plan's
      administrative procedures and deadlines.

            

    
      	
               
      

            	
              2)

            	
              If
      no such election was filed, in the form of a lump-sum payment in
      accordance with Section 8.3.

            

    

    

    For those
Participants who were not already Participants on January 1, 2005, but who fail
to file a timely election, payment will be made in the form of a lump-sum
payment in accordance with Section 8.3.

    

    Distribution
elections under this Section do not apply to amounts which are payable under
Article 6 rather than under this Article.

    

    8.3           Timing

    

    Payments
shall commence in accordance with the following on a date selected by the Chief
Human Resources Officer and Senior Vice President, Eastman Kodak Company, within
the specified payment year:

    

    
      	
               
      

            	
              A.

            	
              With
      respect to Grandfathered Dollars, payments shall commence in any year
      designated by the Compensation Committee up through the tenth year
      following the year of the Participant’s Separation from Service, provided
      that if a Participant has incurred a Separation from Service prior to the
      beginning of the year in which he reaches age 71, payments must commence
      no later than the year the Participant reaches age 71, and if a
      Participant has not incurred a Separation from Service as of the beginning
      of the year he reaches age 71, payments must commence in the year after
      the year in which the Participant incurs a Separation from
      Service.  Nothing herein prohibits or requires payment of
      Grandfathered Dollars in the same manner as the remaining portion of the
      Participant’s Accounts is paid under (B) below.  Notwithstanding
      the preceding sentence of this Section 8.3, payment in the event of death
      shall be made in accordance with Section
8.6.

            

    

    
      
         

      

      
        15

        
        

      

      
         

      

    

    
      	
               
      

            	
              If
      a Participant is reemployed while receiving benefits, the Committee shall
      determine whether benefits will continue during reemployment or be
      suspended.

            

    

    

    
      	
               
      

            	
              B.

            	
              With
      respect to benefits other than Grandfathered Dollars, payments shall
      commence in the year selected by the Participant pursuant to the election
      filed under Section 8.2(B).  The Participant may select any year
      following the year of his or her Separation from Service
      up through the tenth year following the year of the Participant’s
      Separation from Service, provided that if a Participant has incurred a
      Separation from Service prior to the beginning of the year in which he
      reaches age 71, payments must commence as of the earlier of the selected
      year or the year the Participant reaches age 71, and if a Participant has
      not incurred a Separation from Service as of the beginning of the year in
      which he reaches age 71, payments must commence in the year after the year
      in which the Participant incurs a Separation from
      Service.  Notwithstanding the foregoing, distribution elections
      under this Section do not apply to amounts which are payable under Article
      6 rather than under this Article, and payment in the event of death shall
      be made in accordance with Section
8.6.

            

    

    
      
      

    

    

    By way of
clarification, a Participant’s election of payment in the form of installments
pursuant to Section 8.2 may provide that payment of the benefits governed by
such election will commence in any of years one through ten after Separation
from Service, provided that payments must commence no later than the year in
which the Participant reaches age 71 (or the year after the year the Participant
incurs a Separation from Service, if later).

    

    A
Participant’s reemployment shall not affect the timing of payment of the portion
of his Account payable on account of his original Separation From
Service.   The Participant may file a new election for future
contributions upon his commencement of participation following his
re-employment.

    

    For those
Participants who were already Participants on January 1, 2005, distribution of
benefits other than Grandfathered Dollars shall be determined as
follows:

    

    
      	
               
      

            	
              1)

            	
              In
      accordance with such Participant’s election, if the Participant filed an
      election by December 31, 2008, and such election complied with transition
      guidance issued by the Internal Revenue Service and the Plan’s
      administrative procedures and
deadlines.

            

    

    
      
         

      

      
        16

        
        

      

      
         

      

    

    
      	
               
      

            	
              2)

            	
              If
      no such election was filed, in the first full calendar year following
      Separation from Service.

            

    

    

    For those
Participants who were not already Participants on January 1, 2005, but who fail
to file a timely election, payment will be made in the first full calendar year
following Separation from Service.

    

    The Chief
Human Resources Officer and Senior Vice President, Eastman Kodak Company, shall
designate the actual date by which payment is to be made within a year, provided
that payment must in all cases be made no earlier than January 1st and no
later than December 31st of the
year in which payment becomes due.  However, if the Participant at the
time of Separation from Service is subject to the six-month waiting period
following separation from service that Kodak requires for certain executive
employees as a result of Code section 409A and the selected payment date for the
year in which payment is due is within the six-month waiting period, payment
instead will be made as soon as practicable after the expiration of such period
(and in any case within 90 days after such expiration).

    

    8.4           Valuation

    

    The
amount of each payment shall be equal to the value, as of the immediately
preceding Valuation Date, of the Participant's Accounts, divided by the number
of installments remaining to be paid.  If payment of a Participant’s
Accounts is determined by the Compensation Committee (with respect to
Grandfathered Dollars) and/or required under a distribution election (with
respect to benefits other than Grandfathered Dollars) to be paid in installments
and the Participant has a balance in his or her Stock Account at the time of the
payment of an installment, the amount that shall be distributed from his or her
Stock Account shall be the amount obtained by multiplying the total amount of
the installment determined in accordance with the immediately preceding sentence
by the percentage obtained by dividing the balance in the Stock Account as of
the immediately preceding Valuation Date by the total value of the Participant’s
Accounts as of such date.  Similarly, in such case, the amount that
shall be distributed from the Participant’s Deferred Compensation Account shall
be the amount obtained by multiplying the total amount of the installment
determined in accordance with the first sentence of this Section 8.4 by the
percentage obtained by dividing the balance in the Deferred Compensation Account
as of the immediately preceding Valuation Date by the total value of the
Participant’s Accounts as of such date.  The calculations described in
this Section shall be performed separately for the portion of Accounts
attributable to Grandfathered Dollars and for the other portion of the
Accounts.

    

    
      
         

      

      
        17

        
        

      

      
         

      

    

    8.5           Termination
of Employment with Respect to Eastman Chemical Company Spin-Off

    

    Anything
herein to the contrary notwithstanding, Participants who ceased to be employed
by Kodak or any Subsidiary of Kodak and were employed by Eastman Chemical
Company or one of its subsidiaries in connection with the distribution of the
common stock of Eastman Chemical Company to the shareholders of Kodak in 1994,
were not considered to have terminated employment for purposes of this
Plan.

    

    8.6           Payment
of Deferred Compensation After Death

    

    If a
Participant dies prior to complete payment of his or her Accounts, the
provisions of this Section 8.6 shall become operative.

    

    
      	
               
      

            	
              A.

            	
              Stock
      Account.  Effective as of the date of a SOG Participant's
      death, the entire balance of his or her Stock Account shall be transferred
      to his or her Deferred Compensation Account.  For purposes of
      valuing the units of Common Stock subject to such a transfer, the deceased
      SOG Participant's Deferred Compensation Account shall be credited with a
      dollar amount equal to the amount obtained by multiplying the number of
      units in the deceased SOG Participant's Stock Account at the time of his
      or her death by the Market Value of the Common Stock on the date of his or
      her death.  Thereafter, no amounts in the deceased SOG
      Participant's Deferred Compensation Account shall be eligible for transfer
      to the deceased SOG Participant's Stock Account by any person, including,
      but not by way of limitation, the deceased SOG Participant's beneficiary
      or legal representative.

            

    

    

    
      	
               
      

            	
              B.

            	
              Distribution.  The
      balance of the Participant's Accounts, valued as of the Valuation Date
      immediately preceding the date payment is made, shall be paid in a single,
      lump-sum payment to: (1) the beneficiary or contingent beneficiary
      designated by the Participant on forms supplied by the Compensation
      Committee; or, in the absence of a valid designation of a beneficiary or
      contingent beneficiary, (2) the Participant's estate within 30 days after
      appointment of a legal representative of the deceased
      Participant.  In any event, payment will be made no later than
      the end of the taxable year of death (or, if later, the fifteenth day of
      the third month following the date of
death).

            

    

    

    
      
         

      

      
        18

        
        

      

      
         

      

    

    8.7           Acceleration
of Payment for Hardship

    

    Upon
written approval from Kodak's Chairman of the Board (the Compensation Committee,
in the case of a request from the Chairman of the Board) a Participant,
whether or not he or she is still employed by Kodak or any Subsidiary, may be
permitted to receive all or part of his or her Accounts if the Chairman of the
Board (or the Compensation Committee, when applicable) determines that an
emergency event beyond the Participant's control exists which would cause such
Participant severe financial hardship if the payment of his or her Accounts were
not approved.  By way of clarification, regardless of whether a
Participant’s Accounts consist of Grandfathered Dollars, benefits other than
Grandfathered Dollars, or both, distribution shall be permitted only to the
extent that the emergency event constitutes an “unforeseeable emergency”
within
the meaning of Code section 409A.  An “unforeseeable emergency” is a
severe financial hardship to the Participant resulting from an illness or
accident of the Participant, the Participant’s spouse, the Participant’s
beneficiary or the Participant’s dependent(s) (as defined in Code section 152
without regard to Sections 152(b)(1), (b)(2) and (d)(1)(B)) or loss of the
Participant’s property due to casualty or other similar extraordinary and
unforeseeable circumstances arising as a result of events beyond the control of
the Participant (as contemplated by Code section 409A and the Treasury
regulations).

    

    Any such
distribution for hardship shall be limited to the amount needed to meet such
emergency.  If such a distribution occurs while the Participant is
employed by Kodak or any Subsidiary, any election to defer compensation for the
year in which the Participant receives a hardship withdrawal shall be
ineffective as to compensation earned for the pay period following the pay
period during which the withdrawal is made and thereafter for the remainder of
such year and shall be ineffective as to any wage dividend or any other
compensation elected to be deferred for such year.

    

    8.8           Accelerated
Distribution

    

    
      	
              A.  

            	
              In
      General.  Notwithstanding any other provision of the
      Plan, a Participant may elect an Accelerated Distribution from the portion
      of his or her Deferred Compensation Account attributable to Grandfathered
      Dollars, subject to the restrictions set forth in this Section
      8.8.

            

    

    

    
      	
              B.  

            	
              Accounts.  An
      Accelerated Distribution may only be made from a Participant’s Deferred
      Compensation Account, not from the Participant’s Stock
      Account.  Amounts in a Participant’s Accounts which are not
      attributable to Grandfathered Dollars cannot be distributed under this
      Section 8.8 under any
circumstances.

            

    

    

    
      	
              C.  

            	
              Election
      Form.  The election to take an Accelerated Distribution
      will be made by filing a form provided by and filed with
      Kodak.

            

    

    

    
      	
              D.  

            	
              Time of
      Election.  To be processed in the same year in which an
      election is made, an Accelerated Distribution election must be 
      received by Kodak on or prior to November 30.  Elections made after
      this date will not be processed until the immediately following year.
      

            

    

    
      
         

      

      
        19

        
        

      

      
         

      

    

    
    

    

    
      	
              E.  

            	
              Amount.  The
      amount of the Accelerated Distribution election will be not less than 25%
      of the portion of a Participant’s Deferred Compensation Account
      attributable to Grandfathered Dollars as of the date Kodak processes the
      Participant’s election.

            

    

     

    
      	
              F.  

            	
              Date
      of Distribution.  Subject to Section 8.8(D), the amount
      of theAccelerated Distribution will be paid in a single
      payment  within 30days of Kodak’s receipt of the election or as
      soon thereafter as is administratively
possible.

            

    

     

    
      	
              G.  

            	
              Early Distribution Penalty.  All
      Accelerated Distributions will be subject to a 10% penalty. 
      Consequently, if a Participant requests an Accelerated Distribution of the
      entire amount of Grandfathered Dollars in his or her Deferred Compensation
      Account, 10% of the amount will be permanently forfeited and Kodak will
      have no obligation to either the Participant or his or her beneficiary
      with respect to such forfeited amount.  If a Participant receives an
      Accelerated Distribution of 25% or more of the Grandfathered Dollars in
      his or her Deferred Compensation Account, the Participant will forfeit 10%
      of the gross amount to be distributed from the Participant's Deferred
      Compensation Account and Kodak will have no obligatin to either the
      Participant or his or her beneficiary with respect to such forfeited
      amount. 

            

    
      	
              H.  

            	
              Limit on Accelerated Distributions. 
      A Participant may not receive more than one Accelerated Distribution in
      any calendar year.  

            

    

     

    
    

    
      	
              I.  

            	
              Further
      Deferrals.  A Participant who receives an
      AcceleratedDistribution will not be eligible to make deferrals under the
      Plan forthe calendar year commencing after his or her receipt of
      theAccelerated Distribution.  The Participant may file a new
      election during the Enrollment Period for any subsequent calendar year, if
      the Participant is otherwise eligible to participate in the
      Plan.

            

     

    
      	
              J.  

            	
              Rules Adopted by the Compensation
      Committee.  The Compensation Committee will have the authority
      to adopt additional rules relating to Accelerated Distributions.  
      

            

    

     

    
      	
              K.  

            	
              Tax Withholding.  Accelerated
      Distribution payments will be paid subject to all withholding taxes
      required under applicable law.    
  

            

    

    

    
    

    

    
    

    
      
         

      

      
        20

        
        

      

      
         

      

    

    Article
9          Administration

    

    9.1           Responsibility

    

    The
Compensation Committee shall have total and exclusive responsibility to control,
operate, manage and administer the plan in accordance with its
terms.

    

    9.2           Authority
of the Compensation Committee

    

    The
Compensation Committee shall have all the authority that may be necessary or
helpful to enable it to discharge its responsibilities with respect to the
Plan.  Without limiting the generality of the preceding sentence, the
Compensation Committee shall have the exclusive right: to interpret the Plan, to
determine eligibility for participation in the Plan, to decide all questions
concerning eligibility for and the amount of benefits payable under the Plan, to
construe any ambiguous provision of the Plan, to correct any default, to supply
any omission, to reconcile any inconsistency, and to decide any and all
questions arising in the administration, interpretation, and application of the
Plan.

    

    9.3           Discretionary
Authority

    

    The
Compensation Committee shall have full discretionary authority in all matters
related to the discharge of its responsibilities and the exercise of its
authority under the Plan including, without limitation, its construction of the
terms of the Plan and its determination of eligibility for participation and
benefits under the Plan.  It is the intent of the Plan that the
decisions of the Compensation Committee and its actions with respect to the Plan
shall be final and binding upon all persons having or claiming to have any right
or interest in or under the Plan and that no such decision or action shall be
modified upon judicial review unless such decision or action is proven to be
arbitrary or capricious.

    

    9.4           Delegation
of Authority

    

    The
Compensation Committee may delegate some or all of its authority under the Plan
to any person or persons provided that any such delegation be in
writing.

    

    Article
10        Miscellaneous

    

    10.1         Non-Competition
Provision

    

    If a
Participant, without the written consent of Kodak, engages either directly or
indirectly, in any manner or capacity, as principal, agent, partner, officer,
director, employee, or otherwise, in any business or activity competitive with
the business conducted by Kodak or any Subsidiary, while a balance remains
credited to his or her Account, the Company may, in its sole discretion, pay to
the Participant the balance

    
      
         

      

      
        21

        
        

      

      
         

      

    

    of
Grandfathered Dollars credited to his or her Deferred Compensation Account
and/or Stock Account.  This provision shall not apply to benefits
other than Grandfathered Dollars.

    

    10.2         Participant's
Rights Unsecured

    

    The
amounts payable under the Plan shall be unfunded, and the right of any
Participant or his or her estate to receive any payment under the Plan shall be
an unsecured
claim against the general assets of the Company.  No Participant shall
have the right to exercise any of the rights or privileges of a shareholder with
respect to the units credited to his or her Stock Account.

    

    10.3         No
Right to Continued Employment

    

    Participation
in the Plan shall not give any employee any right to remain in the employ of the
Company.  The Company reserves the right to terminate any Participant
at any time.

    

    10.4         Statement
of Account

    

    Statements
will be sent no less frequently than annually to each Participant or his or her
estate showing the value of the Participant's Accounts.

    

    10.5         Assignability

    

    Neither
the Participant nor the Company shall have the right to assign any rights or
obligations under the Plan.  However, the Plan shall inure to the
benefit of and be binding upon the successors of the Company.

    

    10.6         Deductions

    

    The
Company will withhold to the extent required by law all applicable income and
employment taxes from amounts paid under the Plan.

    

    10.7         Amendment

    

    The Plan
may at any time or from time to time be amended, modified, or terminated by the
Compensation Committee.  However, no amendment, modification, or
termination shall, without the consent of a Participant, adversely affect the
amount of such Participant's accruals in his or her Accounts.  No
amendment, modification, suspension or termination will accelerate distributions
unless such acceleration is approved by Kodak and permitted under Code section
409A and the Treasury regulations and interpretive guidance issued
thereunder.

    

    
      
         

      

      
        22

        
        

      

      
         

      

    

    10.8         Governing
Law

    

    The Plan
shall be construed, governed and enforced in accordance with the law of New York
State, except as such laws are preempted by applicable federal law.

    

    10.9         Compliance
with Securities Laws

    

    Subject
to the limitations imposed by Code section 409A, the Compensation Committee may,
from time to time, impose additional, or modify or eliminate existing,
Plan restrictions and requirements, including, but not by way of limitation, the
restrictions regarding a SOG Participant's ability to elect into and out of his
or her Stock Account under Sections 7.2 and 7.3 or the requirement of an
automatic transfer pursuant to Section 8.6(A), as it deems necessary, advisable
or appropriate in order to comply with applicable federal and state securities
laws.  All such restrictions shall be accomplished by way of written
administrative guidelines adopted by the Compensation Committee, and shall be in
compliance with Code section 409A and the Treasury regulations
thereunder.

    

    10.10       Diconix
Deferred Compensation

    

    The
deferred compensation accounts maintained by Research Boulevard Realty Co., Inc.
(formerly Diconix, Inc.) pursuant to the Diconix, Inc. Deferred Compensation
Plan shall be treated as Deferred Compensation Accounts under this Plan and
shall be subject to all the terms and conditions of this Plan.

    

    10.11       NexPress
Solutions, Inc. Deferred Compensation Accounts

    

    Deferred
Compensation Accounts shall be established under the Plan for each person whose
benefit obligation under the NexPress Solutions, LLC Nonqualified Deferred
Compensation Plan (sponsored by NexPress Solutions, Inc.) (the “NexPress Plan”)
is assumed by Kodak as of the date the NexPress Plan terminated in 2005 and who
does not receive payment in full at the time of termination of the NexPress
Plan.

    

    
      	
               
      

            	
              A.

            	
              Any
      such person’s Deferred Compensation Account shall be credited with the
      amount of the benefit obligation not paid to the person upon termination
      of the NexPress Plan.  Notwithstanding any provision in the Plan
      to the contrary, such a person shall be considered a Participant or
      beneficiary, as applicable, under the Plan for purposes of the Deferred
      Compensation Account established pursuant to this Section, regardless of
      whether such person is otherwise eligible to be a Participant in the
      Plan.  However, no person may make additional deferrals under
      the Plan unless he or she is eligible to do so in accordance with the
      terms of the Plan.

            

    

    
      
         

      

      
        23

        
        

      

      
         

      

    

    
      	
               
      

            	
              B.

            	
              Deferred
      Compensation Accounts established pursuant to this Section shall be
      subject to all the terms and conditions of this Plan and valid Participant
      elections under this Plan as well as the requirements of Code section
      409A.  Participants are authorized to make distribution
      elections with respect to such Deferred Compensation Accounts on or before
      December 31, 2005 and otherwise in accordance with the terms of the Plan
      and Code section 409A.

            

    

    

    
      	
               
      

            	
              C.

            	
              Benefit
      obligations assumed by Kodak as described in this Section and the Deferred
      Compensation Accounts reflecting such obligations shall be subject to Code
      section 409A.

            

    

    

    
      	
               
      

            	
              D.

            	
              It
      is acknowledged that the NexPress Plan permitted its participants to elect
      to receive all or part of their benefits in 2005, pursuant to the
      transition rule of Q & A – 20 of IRS Notice 2005-1, as reflected by
      timely amendments to such plan.  For the avoidance of doubt, no
      such election rights shall apply to Deferred Compensation Accounts under
      the Plan.

            

    

    

    Article
11        Change in Control

    

    11.1          Background

    

    The terms
of this Article 11 shall immediately become operative, without further action or
consent by any person or entity, upon a Change in Control, and once operative
shall supersede and control over any other provisions of this Plan.

    

    11.2          Payment
of Deferred Compensation

    

    Upon a
Change in Control, each Participant, whether or not he or she is still employed
by Kodak or any Subsidiary, shall be paid in a single, lump-sum cash payment the
balance of his or her Accounts as of the Valuation Date immediately preceding
the date payment is made, (except that the value of the Stock Account shall be
determined as of the date of the Change in Control).  Such payment
shall be made as soon as practicable, but in any event no later than 90 days
after the Change in Control.

    

    11.3          Amendment
On or After Change In Control

    

    On or
after a Change in Control, no action, including, but not by way of limitation,
the amendment, suspension or termination of the Plan, shall be taken which would
affect the rights of any Participant or the operation of this Plan with respect
to the balance in the Participant's Accounts, except to the extent Kodak’s
counsel, accountants or auditors identify such amendment or termination as
necessary to bring the Plan into compliance with applicable law and/or avoid the
imposition
of penalties on Participants (provided that an amendment or termination shall
not be permitted for the purpose of avoiding penalties imposed on Participants
unless the adverse effect of such penalties would be worse than the adverse
effect of any such amendment or termination).

    

    

    
      
         

      

      
        24

        
        

      

      
         

      

    

    

    

    

    Schedule
A

    

    

    

    Eastman
Gelatine Corporation

    Eastman
Kodak International Capital Company, Inc.

    

    

    

    

    

    

    

    

    

    

    

    

    
       

      
        25exhibit105.htm

    

     

    Exhibit
(10.5)

     

     

    2005
Omnibus Long-Term

     

     

    Compensation
Plan

     

     

    of

     

     

    Eastman
Kodak Company

     

     

    As
Amended Effective January 1, 2009

     

     

    

     

    
      
         

      

      
         

        
        

      

      
         

      

    

    Table of
Contents

     

                                                                                                                                                              
Page 

     

    ARTICLE 1
PURPOSE AND TERM OF
PLAN                                                                            
1

    

    ARTICLE 2
DEFINITIONS                                                                                                              
1

     

    ARTICLE 3
ELIGIBILITY                                                                                                                 
6

    

    ARTICLE 4
PLAN
ADMINISTRATION                                                                                        7

     

    ARTICLE 5
FORM OF
AWARDS                                                                                                   9

    

    ARTICLE 6
SHARES SUBJECT TO
PLAN                                                                                   11

    

    ARTICLE 7
PERFORMANCE
AWARDS                                                                                     
11

    

    ARTICLE 8
STOCK
OPTIONS                                                                                                        
12

    

    ARTICLE 9
STOCK APPRECIATION
RIGHTS                                                                             13

     

    ARTICLE
10 RESTRICTED STOCK
AWARDS                                                                           
14

    

    ARTICLE
11 OTHER STOCK-BASED
AWARDS                                                                       
14

    

    ARTICLE
12 PAYMENT OF
AWARDS                                                                                         15

    

    ARTICLE
13 DIVIDEND AND DIVIDEND
EQUIVALENT                                                         
17

    

    ARTICLE
14 DEFERRAL OF
AWARDS                                                                                        17

    

    ARTICLE
15 CHANGE IN
CONTROL                                                                                           
 18

    
ARTICLE
16
MISCELLANEOUS                                                                                                    
20

    APPENDIX
A EASTMAN KODAK COMPANY

    2005
OMNIBUS LONG TERM COMPENSATION
PLAN                                                            25

    

    

    
      
         

      

      
         

        
        

      

      
         

      

    

    

     

    ARTICLE
1

     

     

     

     

    PURPOSE
AND TERM OF PLAN

     

    
      	
              1.1  

            	
              Purpose

            

    

     

    The
purpose of the Plan is to provide motivation to selected Employees and Directors
to put forth maximum efforts toward the continued growth, profitability, and
success of the Company by providing equity- and cash-based incentives to such
Employees and Directors.

    
      	
              1.2  

            	
              Term

            

    

     

    The Plan
will become effective on January 1, 2005, subject to its approval by Kodak’s
shareholders, at the 2005 Annual Meeting of the shareholders, and unless sooner
terminated by the Board pursuant to Section 16.6, the Plan shall have a term of
10 years.  Awards may not be granted after December 31, 2014; except
that the Committee may grant Awards after this date in recognition of
performance for Performance Cycles commencing prior to such date.

     

    ARTICLE
2

     

     

    DEFINITIONS

     

    In any
necessary construction of a provision of this Plan, the masculine gender may
include the feminine, and the singular may include the plural, and vice
versa.

    
      	
              2.1  

            	
              Award

            

    

     

    “Award”
means grants of both equity-, and cash-based awards, including Performance
Awards, Stock Options, SARs, Restricted Stock Awards, Restricted Stock Unit
Awards, Other Stock-Based Awards, or any form of award established by
the

    Committee
pursuant to Subsection 4.2(o), whether singly, in combination, or in tandem, to
a Participant by the Committee pursuant to such terms, conditions, restrictions
and/or limitations, if any, as the Committee may establish by the Award Notice
or otherwise.

    
      	
              2.2  

            	
              Award
      Notice

            

    

     

    “Award
Notice” means the written document establishing the terms, conditions,
restrictions, and/or limitations of an Award in addition to those established by
this Plan and by the Committee’s exercise of its administrative
powers.  The Committee shall establish the form of the written
document in the exercise of its sole and absolute discretion.  The
Committee may, but need not, require a Participant to sign a copy of the Award
Notice as a precondition to receiving an Award.

    
      	
              2.3  

            	
              Board

            

    

     

    “Board”
means the board of directors of Kodak.

    
      	
              2.4  

            	
              CEO

            

    

     

    “CEO”
means the Chief Executive Officer of Kodak.

    
      	
              2.5  

            	
              Change
      in Control

            

    

     

    “Change
in Control” means the occurrence of any one of the following
events:

     

    (a) within
any twenty-four (24) month period, the Incumbent Directors shall cease to
constitute at least a majority of the Board or the board of directors of any
successor to the Company;

     

    (b) any
person is or becomes a “beneficial owner” (as defined in Rule 13d-3 under the
Exchange Act), directly or indirectly, of securities of Kodak representing 25%
or more of the combined voting power of Kodak's then outstanding securities
eligible to vote for 

    
      
         

      

      
        1

        
        

      

      
         

      

    

    the
election of the Board (the “Kodak Voting Securities”); provided, however, that the
event described in this paragraph (b) shall not be deemed to be a Change in
Control by virtue of any of the following acquisitions: (1) by Kodak or any
Subsidiary, (2) by any employee benefit plan (or related trust) sponsored or
maintained by Kodak or any Subsidiary, (3) by any underwriter temporarily
holding securities pursuant to an offering of such securities, (4) pursuant to a
Non-Qualifying Transaction (as defined in paragraph (c) below), or (5) a
transaction (other than one described in paragraph (c) below) in which Kodak
Voting Securities are acquired from Kodak, if a majority of the Incumbent
Directors approve a resolution providing expressly that the acquisition pursuant
to this clause (5) does not constitute a Change in Control under this paragraph
(b);

    (c) the
consummation of a merger, consolidation, statutory share exchange or similar
form of corporate transaction involving Kodak or any of its Subsidiaries that
requires the approval of Kodak’s shareholders, whether for such transaction or
the issuance of securities in the transaction (a “Reorganization”), unless
immediately following such Reorganization:  (1) more than 60% of the
total voting power of (x) the corporation resulting from such Reorganization
(the “Surviving Company”), or (y) if applicable, the ultimate parent corporation
that directly or indirectly has beneficial ownership of 100% of the voting
securities eligible to elect directors of the Surviving Company (the “Parent
Company”), is represented by Kodak Voting Securities that were outstanding
immediately prior to such Reorganization (or, if applicable, is represented by
shares into which such Kodak Voting Securities were converted
pursuantto such
Reorganization), and such voting power among the holders thereof is in
substantially the same proportion as the voting power of such Kodak Voting
Securities among the holders thereof immediately prior to the Reorganization,
(2) no person (other than any employee benefit plan (or related trust) sponsored
or maintained by the Surviving Company or the Parent Company), is or becomes the
beneficial owner, directly or indirectly, of 25% or more of the total voting
power of the outstanding voting securities eligible to elect directors of the
Parent Company (or, if there is no Parent Company, the Surviving Company), and
(3) at least a majority of the members of the board of directors of the Parent
Company (or, if there is no Parent Company, the Surviving Company) following the
consummation of the Reorganization were Incumbent Directors at the time of the
Board’s approval of the execution of the initial agreement providing for such
Reorganization (any Reorganization which satisfies all of the criteria specified
in (1), (2) and (3) above shall be deemed to be a “Non-Qualifying
Transaction”);

     

    (d) the
shareholders of Kodak approve a plan of complete liquidation or dissolution of
Kodak; or

     

    (e) the
consummation of a sale of all or substantially all of Kodak’s assets to an
entity that is not an affiliate of Kodak.

    Notwithstanding
the foregoing, a Change in Control shall not be deemed to occur solely because
any person acquires beneficial ownership of 25% or more of Kodak Voting
Securities as a result of the acquisition of Kodak Voting Securities by Kodak
which reduces the number of Kodak Voting Securities outstanding; provided that if
after such acquisition by Kodak such person becomes the beneficial owner of
additional
Kodak Voting Securities that increases the percentage of outstanding Kodak
Voting Securities beneficially owned by such person, a Change in Control shall
then occur.

     

    
      	
              2.6  

            	
              Change
      in Control Price

            

    

     

    “Change
in Control Price” means, for events described in clause (c) of the definition of
Change in Control, the consideration received by shareholders of the Company in
respect of a share of Common Stock in connection with the transaction, or, for
events described in clauses (a), (b), (d) or (e) of the definition of Change in
Control, the average of the closing prices for the five (5) days preceding the
date of the Change in Control.

     

    
      	
              2.7  

            	
              Code

            

    

     

    “Code”
means the Internal Revenue Code of 1986, as amended from time to time, including
regulations thereunder and any successor provisions and regulations
thereto.

     

    
      	
              2.8  

            	
              Committee

            

    

     

    “Committee”
means the Executive Compensation and Development Committee of the Board, or such
other Board committee as may be designated by the Board to administer the Plan;
provided that
the Committee shall consist of three or more directors, each of whom is (1) an
“independent” director under the New York Stock Exchange’s listing requirements,
(2) a “Non-Employee Director” within the meaning of Rule 16b-3 under the
Exchange Act, and (3) an “outside director” within the meaning of Section 162(m)
of the Code and the applicable regulation thereunder.  However, if a
member of the Committee does not meet each of the foregoing requirements, the
Committee may 

    
      
         

      

      
        2

        
        

      

      
         

      

    

    delegate
some or all of its functions under the Plan to a committee or subcommittee
composed of members that meet the relevant requirements.  The term
“Committee” includes any such committee or subcommittee, to the extent of the
Executive Compensation and Development Committee’s delegation.

     

    
      	
              2.9  

            	
              Common
      Stock

            

    

     

    “Common
Stock” means the common stock, $2.50 par value per share, of Kodak that may be
newly issued or treasury stock.

     

    
      	
              2.10  

            	
              Company

            

    

     

    “Company”
means Kodak and its Subsidiaries.

     

    
      	
              2.11 

            	
              Covered
      Employee

            

    

     

    “Covered
Employee” means an Employee who is a “Covered Employee” within the meaning of
Section 162(m) of the Code.

     

    
      	
              2.12 

            	
              Director

            

    

     

    “Director”
means a non-employee member of the Board.

     

    
      	
              2.13  

            	
              Disability

            

    

     

    “Disability”
means a disability as defined under the terms of the long-term disability plan
maintained by the Participant’s employer, or in the absence of such a plan, the
Kodak Long-Term Disability Plan.

     

    
      	
              2.14  

            	
              Effective
      Date

            

    

     

    “Effective
Date” means the date an Award is determined to be effective by the Committee
upon its grant of such Award.

    
      
         

      

      
        3

        
        

      

      
         

      

    

    
      	
              2.15  

            	
              Employee

            

    

     

     “Employee”
means any person employed by Kodak or any Subsidiary on a full or part time
basis.

     

    
      	
              2.16  

            	
              Exchange
      Act

            

    

     

    “Exchange
Act” means the Securities and Exchange Act of 1934, as amended from time to
time, including rules thereunder and any successor provisions and rules
thereto.

     

    
      	
              2.17
       

            	
              Fair
      Market Value

            

    

     

    “Fair
Market Value” means the mean of the high and low sales prices of a share of
Common Stock on a particular date on the New York Stock Exchange.  In
the event that the Common Stock is not traded on the New York Stock Exchange on
the relevant date, the Fair Market Value will be determined on the next
preceding day on which the Common Stock was traded.

     

    
      	
              2.18  

            	
              Freestanding
      SAR

            

    

     

    “Freestanding
SAR” shall have the meaning as set forth in Section 9.1.

     

    
      	
              2.19  

            	
              Incentive
      Stock Options

            

    

     

    “Incentive
Stock Option” means incentive stock options within the meaning of Section 422 of
the Code.

     

    
      	
              2.20  

            	
              Incumbent
      Director

            

    

     

    “Incumbent
Directors” means  the persons who were members of the Board as of
January 1, 2005 plus, any person becoming a director subsequent to January 1,
2005 whose election or nomination for election was approved by a vote of at
least two thirds of the Incumbent Directors then on the Board (either by a
specific vote or by approval
for the proxy statement of Kodak in which such person is named as a nominee for
director, without written objection to such nomination); provided, however, that no
individual initially elected or nominated as a director of Kodak as a result of
an actual or threatened election contest with respect to directors (“Election
Contest”) or any other actual or threatened solicitation of proxies or consents
by or on behalf of any “person” (as such term is defined in Section 3(a)(9) of
the Exchange Act) other than the Board (“Proxy Contest”), including by reason of
any agreement intended to avoid or settle any Election Contest or Proxy Contest,
shall be deemed to be an Incumbent Director until twenty-four (24) months after
such election.

     

    
      	
              2.21  

            	
              Indemnified
      Person

            

    

     

    “Indemnified
Person” shall have the meaning as set forth in Section 4.7.

     

    
      	
              2.22  

            	
              Kodak

            

    

     

    “Kodak”
means Eastman Kodak Company.

     

    
      	
              2.23  

            	
              Non-Qualified
      Option

            

    

     

    “Non-Qualified
Option” shall have the meaning as set forth in Section 8.1.

     

    
      	
              2.24  

            	
              Option
      Proceeds

            

    

     

    “Option
Proceeds” means the cash (or equivalents) received by the Company for the option
price in connection with the exercise of Stock Options plus the maximum tax
benefit that could be realized by the Company as a result of the exercise of
such Stock Options, which tax benefit shall be determined by multiplying (a) the
amount that is deductible for federal income tax purposes as a result of any
such Stock Option exercise, times (b) the maximum federal corporate income tax
rate for the year of exercise.  To the extent that a Participant pays
the option price and/or withholding taxes with
shares of Common Stock, Option Proceeds shall not be calculated with respect to
the amounts so paid in shares of Common Stock.

     

    
      	
              2.25  

            	
              Other
      Stock-Based Award

            

    

     

    “Other
Stock-Based Award” means the unrestricted shares, deferred share units, or such
other form as the Committee may determine, granted pursuant to Article 11 of the
Plan.

     

    
      	
              2.26  

            	
              Parent
      Company

            

    

     

    “Parent
Company” shall have the meaning set forth in Section 2.5.

     

    
      	
              2.27  

            	
              Participant

            

    

     

    “Participant”
means either an Employee or Director to whom an Award has been granted by the
Committee under the Plan.

     

    
      	
              2.28  

            	
              Performance
      Awards

            

    

     

    “Performance
Awards” means the equity- and cash-based Awards that vest on satisfying the
Performance Criteria granted pursuant to Article 7.

     

    
      	
              2.29  

            	
              Performance
      Criteria

            

    

     

    “Performance
Criteria” means the one or more criteria that the Committee shall select for a
Performance Cycle.

     

    
      	
              2.30  

            	
              Performance
      Cycle

            

    

     

    “Performance
Cycle” means the one or more periods of time, which may be of varying and
overlapping durations, as the Committee may select, over which the attainment of
the Performance Criteria will be measured for the purpose of determining a
Participant’s right to and the payment of a Performance Award.

    
      
         

      

      
        4

        
        

      

      
         

      

    

    
      	
              2.31  

            	
              Performance
      Formula

            

    

     

     “Performance
Formula” means, for a Performance Cycle, the one or more objective formulas
applied against the relevant Performance Criteria to determine, with regard to
the Award of a particular Participant, whether all, some portion but less than
all, or none of the Award has been earned for the Performance
Cycle.  The formula may exclude the impact of charges for
restructurings, discontinued operations, extraordinary items, and other unusual
or non-recurring items, and the cumulative effects of accounting changes each as
defined by generally accepted accounting principles and as identified in the
financial statements, notes to the financial statements, management’s discussion
and analysis or other SEC filings.

     

    
      	
              2.32  

            	
              Plan

            

    

     

    “Plan”
means the 2005 Omnibus Long-Term Compensation Plan, including all attachments
thereto.

     

    
      	
              2.33  

            	
              Restricted
      Stock Award

            

    

     

    “Restricted
Stock Award” means the equity-based awards in actual shares granted pursuant to
Article 10 of the Plan.

     

    
      	
              2.34  

            	
              Restricted
      Stock Unit Award

            

    

     

    “Restricted
Stock Unit Award” means the equity-based awards in share units granted pursuant
to Article 10 of the Plan.

     

    
      	
              2.35  

            	
              Retirement

            

    

     

    “Retirement”
means, in the case of a Participant employed by Kodak, voluntary termination of
employment on or after age 55 with 10 or more years of service or on or after
age 65.  In the case of a Participant employed by a Subsidiary,
“Retirement”
means early or normal retirement under the terms of the Subsidiary’s retirement
plan, or if the Subsidiary does not have a retirement plan, termination of
employment on or after age 60.  A Participant must voluntarily
terminate his or her employment in order for his or her termination of
employment to be for “Retirement.”

     

    
      	
              2.36  

            	
              SARs

            

    

     

    “SARs”
means the stock appreciation rights granted pursuant to Article 9 of the
Plan.

     

    
      	
              2.37  

            	
              Section
      409A

            

    

     

    “Section
409A” means Section 409A of the Code, and the Treasury Regulations promulgated
and other official guidance issued thereunder.

     

    
      	
              2.38  

            	
              Section
      409A Change in Control

            

    

     

    “Section
409A Change in Control” means an event that qualifies as a “change in the
ownership or effective control of the corporation, or in the ownership of a
substantial portion of the assets of the corporation” within the meaning of
Sections 1.409A-3(a)(5) and 1.409A-3(i)(5) of the Treasury
regulations.

     

    
      	
              2.39  

            	
              Stock
      Option

            

    

     

    “Stock
Option” means any right granted to a Participant to purchase Common Stock at
such price or prices and during such periods established pursuant to Article 8
of the Plan.

     

    
      	
              2.40  

            	
              Subsidiary

            

    

     

    “Subsidiary”
means a corporation or other business entity in which Kodak directly or
indirectly has an ownership interest of 50 percent or more, except that
with respect to Incentive Stock Options, "Subsidiary" shall mean
"subsidiary corporation" as defined in Section 424(f) of the Code.
 

    
      
         

      

      
        5

        
        

      

      
         

      

    

     

    
      	
              2.41  

            	
              Substitute
      Awards

            

    

     

    “Substitute
Awards” means Awards granted or shares issued by the Company in assumption of,
or in substitution or exchange for, Awards previously granted, or the right or
obligation to make future awards, by a company acquired by the Company or any
Subsidiary or with which the Company or any Subsidiary combines.

     

    
      	
              2.42  

            	
              Surviving
      Company

            

    

     

    “Surviving
Company” shall have the meaning set forth in Section 2.5.

     

    
      	
              2.43  

            	
              Tandem
      SAR

            

    

     

    “Tandem
SAR” shall have the meaning set forth in Section 9.1.

     

    
      	
              2.44  

            	
              Year

            

    

     

    “Year”
means Kodak’s fiscal year.

     

    ARTICLE
3

     

     

    ELIGIBILITY

     

    

    All
Employees and Directors are eligible to participate in the Plan.  The
Committee may select, from time to time, Participants from those Employees who,
in the opinion of the Committee, can further the Plan’s purposes.  In
addition, the Committee may select, from time to time, Participants from those
Directors (who may or may not be Committee members) who, in the opinion of the
Committee, can further the Plan’s purposes.  Once a Participant is so
selected, the Committee shall determine the type(s) of Awards to be made to the
Participant and 

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    shall
establish in the related Award Notice(s) the terms, conditions, restrictions
and/or limitations, if any, applicable to the Award(s) in addition to those set
forth in this Plan and the administrative rules and regulations issued by the
Committee.

     

    ARTICLE
4

     

     

    PLAN
ADMINISTRATION

     

    
      	
              4.1  

            	
              Responsibility

            

    

     

    The
Committee shall have total and exclusive responsibility to control, operate,
manage and administer the Plan in accordance with its terms.

     

    
      	
              4.2  

            	
              Authority
      of the Committee

            

    

     

    The
Committee shall have all the authority that may be necessary or helpful to
enable it to discharge its responsibilities with respect to the
Plan.  Without limiting the generality of the preceding sentence, the
Committee shall have the exclusive right to: (a) select the Participants and
determine the type of Awards to be made to Participants, the number of shares or
amount of cash (or equivalents) subject to Awards and the terms, conditions,
restrictions and limitations of the Awards; (b) interpret the Plan; (c)
determine eligibility for participation in the Plan; (d) decide all questions
concerning eligibility for and the amount of Awards payable under the Plan; (e)
construe any ambiguous provision of the Plan; (f) correct any defect; (g) supply
any omission; (h) reconcile any inconsistency; (i) issue administrative
guidelines or sub-plans as an aid to administer the Plan and make changes in
such guidelines or sub-plans as it from time to time deems proper;
(j) prescribe, amend and rescind rules and regulations relating to the
Plan, including rules governing its own operation; (k) amend the Plan in
accordance

    
      
         

      

      
        7

        
        

      

      
         

      

    

    with
Section 16.6; (l) determine whether Awards should be granted singly, in
combination or in tandem; (m) to the extent permitted under the Plan and,
if applicable, by Section 409A, grant waivers of Plan terms, conditions,
restrictions, and limitations; (n) accelerate the vesting, exercise or
payment of an Award or the Performance Cycle of an Award when such action or
actions would be in the best interests of the Company and in compliance with
Section 409A and other applicable tax law; (o) establish such other types of
Awards, besides those specifically enumerated in Article 5 hereof, which the
Committee determines are consistent with the Plan’s purpose; (p) establish and
administer Performance Formula and certify whether, and to what extent, the
goals have been attained; (q) determine the terms and provisions of any Award
Notice or other agreements entered into hereunder; (r) take any and all other
action it deems necessary or advisable for the proper operation or
administration of the Plan; (s) make all other determinations it deems
necessary or advisable for the administration of the Plan, including factual
determinations; and (t) determine whether, to what extent and under what
circumstances Awards may be settled or exercised in cash or shares of Common
Stock or cancelled, forfeited or suspended and the method or methods by which
Awards may be settled, cancelled, forfeited or suspended.

     

    
      	
              4.3  

            	
              Discretionary
      Authority

            

    

     

    The
Committee shall have full discretionary authority in all matters related to the
discharge of its responsibilities and the exercise of its authority under the
Plan including, without limitation, its construction of the terms of the Plan
and its determination of eligibility for participation and Awards under the
Plan.  It is the intent of the Plan
that the decisions of the Committee and its actions with respect to the Plan
shall be final, binding and conclusive upon all persons having or claiming to
have any right or interest in or under the Plan.

     

    
      	
              4.4  

            	
              Section
      162 (m) of the Code and Covered
Employees

            

    

     

    The terms
set forth in Appendix A shall apply to all Awards granted to any Covered
Employee, other than Awards of Stock Options or SARs.

     

    
      	
              4.5  

            	
              Action
      by the Committee

            

    

     

    The
Committee may act only by a majority of its members.  Any
determination of the Committee may be made, without a meeting, by a writing or
writings signed by all of the members of the Committee and action so taken shall
be fully effective as if it had been taken by a vote at a meeting.  In
addition, the Committee may authorize any one or more of its number to execute
and deliver documents on behalf of the Committee.

     

    
      	
              4.6  

            	
              Allocation
      and Delegation of Authority

            

    

     

    The
Committee may allocate all or any portion of its responsibilities and powers
under the Plan to any one or more of its members and may delegate all or any
part of its responsibilities and powers to any person or persons selected by it,
provided that
any such allocation or delegation be in writing; provided, however, that only
the Committee may select and grant Awards to Participants who are subject to
Section 16 of the Exchange Act.  The Committee may revoke any such
allocation or delegation at any time for any reason with or without prior
notice.

    
      
         

      

      
        8

        
        

      

      
         

      

    

    
      	
              4.7  

            	
              Liability

            

    

     

    No member
of the Board or the Committee or any employee of the Company (each such person
an “Indemnified Person”) shall have any liability to any person (including,
without limitation, any Participant) for any action taken or omitted to be taken
or any determination made in good faith with respect to the Plan or any
Award.  Each Indemnified Person shall be indemnified and held harmless
by Kodak against and from any loss, cost, liability or expense (including
attorneys’ fees) that may be imposed upon or incurred by such Indemnified Person
in connection with or resulting from any action, suit or proceeding to which
such Indemnified Person may be a party or in which such Indemnified Person may
be involved by reason of any action taken or omitted to be taken under the Plan
and against and from any and all amounts paid by such Indemnified Person, with
Kodak’s prior approval, in settlement thereof, or paid by such Indemnified
Person in satisfaction of any judgment in any such action, suit or proceeding
against such Indemnified Person, provided that Kodak
shall have the right, at its own expense, to assume and defend any such action,
suit or proceeding and, once Kodak gives notice of its intent to assume the
defense, Kodak shall have sole control over such defense with counsel of Kodak’s
choice.  The foregoing right of indemnification shall not be available
to an Indemnified Person to the extent that a court of competent jurisdiction in
a final judgment or other final adjudication, in either case, not subject to
further appeal, determines that the acts or omissions of such Indemnified Person
giving rise to the indemnification claim resulted from such Indemnified Person’s
bad faith, fraud or willful criminal act or omission.  The foregoing
right of indemnification shall not be exclusive of any other rights of
indemnification to which Indemnified Persons may be entitled under

    the
Company’s Certificate of Incorporation or Bylaws, as a matter of law, or
otherwise, or any other power that the Company may have to indemnify such
persons or hold them harmless.

     

    
      	
              4.8  

            	
              Interim
      Decision Making

            

    

     

    Notwithstanding
anything to the contrary contained herein:  (i) until the Board
shall appoint the members of the Committee, the Plan shall be administered by
the Board and (ii) the Board may, in its sole discretion, at any time and
from time to time, grant Awards or resolve to administer the Plan.  In
either of the foregoing events, the Board shall have all of the authority and
responsibility granted to the Committee herein.

     

    ARTICLE
5

     

     

     

    FORM
OF AWARDS

     

    
      	
              5.1  

            	
              In
      General

            

    

     

    Awards
may, at the Committee’s sole discretion, be paid in the form of Performance
Awards pursuant to Article 7, Stock Options pursuant to Article 8, SARs pursuant
to Article 9, Restricted Stock Awards and Restricted Stock Unit Awards pursuant
to Article 10, Other Stock-Based Awards pursuant to Article 11 and any form
established by the Committee pursuant to Subsection 4.2(o), or a combination
thereof.  All Awards shall be subject to the terms, conditions,
restrictions and limitations of the Plan.  The Committee may, in its
sole judgment, subject an Award to such other terms, conditions, restrictions
and/or limitations (including, but not limited to, the time and conditions of
exercise and restrictions on transferability, termination and vesting), provided that they
are not inconsistent with the terms of the Plan.  Awards under a
particular Article of the Plan need not be uniform and Awards under two or more
Articles may be combined into a 

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    single
Award Notice.  Any combination of Awards may be granted at one time
and on more than one occasion to the same Participant.  For purposes
of the Plan, the value of any Award granted in the form of Common Stock shall be
the Fair Market Value as of the grant’s Effective Date.

     

    
      	
              5.2  

            	
              Foreign
      Jurisdictions

            

    

     

    (a) Special Terms.  In
order to facilitate the making of any Award to Participants who are employed by
the Company outside the United States (or who are foreign nationals temporarily
within the United States), the Committee may provide for such modifications and
additional terms and conditions (“special terms”) in Awards as the Committee may
consider necessary or appropriate to accommodate differences in local law,
policy or custom or to facilitate administration of the Plan.  The
special terms may provide that the grant of an Award is subject to (1)
applicable governmental or regulatory approval or other compliance with local
legal requirements and/or (2) the execution by the Participant of a written
instrument in the form specified by the Committee, and that in the event such
conditions are not satisfied, the grant shall be void.  The Committee
may adopt or approve sub-plans, appendices or supplements to, or amendments,
restatements, or alternative versions of, the Plan as it may consider necessary
or appropriate for purposes of implementing any special terms, without thereby
affecting the terms of the Plan as in effect for any other purpose; provided, however, no such
sub-plans, appendices or supplements to, or amendments, restatements, or
alternative versions of, the Plan shall: (a) increase the
limitations contained in Sections 7.5, 8.6 and 9.5; (b) increase the number of
available shares under Section 6.1; or (c)cause the
Plan to cease to satisfy any conditions of Rule 16b-3 under the Exchange Act or,
with respect to Covered Employees, Section 162(m) of the Code.

     

    (b) Currency
Effects.  Unless otherwise specifically determined by the
Committee, all Awards and payments pursuant to such Awards shall be determined
in U.S. currency.  The Committee shall determine, in its discretion,
whether and to the extent any payments made pursuant to an Award shall be made
in local currency, as opposed to U.S. dollars.  In the event payments
are made in local currency, the Committee may determine, in its discretion and
without liability to any Participant, the method and rate of converting the
payment into local currency.

    (c) Modifications to
Awards.  The Committee shall have the right at any time and
from time to time and without prior notice to modify outstanding Awards to
comply with or satisfy local laws and regulations, to avoid costly governmental
filings or to implement administrative changes to the Plan that are deemed
necessary or advisable by the Committee for compliance with laws.  By
means of illustration but not limitation, the Committee may restrict the method
of exercise of an Award to avoid securities laws or exchange control filings,
laws or regulations.  Notwithstanding the foregoing, the Committee may
not modify an outstanding Award without the consent of the affected Participant
if such modification would cause the Award to violate Section 409A.

     

    (d) Acquired Rights.  No
Employee in any country shall have any right to receive an Award, except as
expressly provided for under the Plan.  All Awards made at any time
are subject to the prior approval of the Committee.

    
      
         

      

      
        10

        
        

      

      
         

      

    

    

    ARTICLE
6

     

    SHARES
SUBJECT TO PLAN

    
      	
              6.1  

            	
              Available
      Shares

            

    

     

    (a) Aggregate
Limits.  The aggregate number of shares of the Company’s Common
Stock that shall be available for grant under this Plan shall be eleven million
(11,000,000), plus any shares subject to awards made under the 1990 Omnibus
Long-Term Compensation Plan, the 1995 Omnibus Long-Term Compensation Plan and
the 2000 Omnibus Long-Term Compensation Plan, in each case that are outstanding
upon the expiration of such plan and become available pursuant to Section
6.1(b).  The aggregate number of shares available for grant under this
Plan and the number of shares subject to outstanding Awards shall be subject to
adjustment as provided by Section 6.2.  The shares issued pursuant to
Awards granted under this Plan may be shares that either were reacquired by the
Company, including shares purchased in the open market, or authorized but
unissued shares.

     

    (b) For
purpose of this Section 6.1, the aggregate number of shares available for Awards
under this Plan shall be increased by, (i) shares subject to Awards that have
been canceled, expired, forfeited or settled in cash, without the issuance of
substitute shares, (ii) shares subject to Awards that have been retained by the
Company in payment or satisfaction of the purchase price or tax withholding
obligation of an Award, (iii) shares issued in connection with reinvestment of
dividends or dividend equivalents (iv) shares that have been delivered (either
actually or constructively by attestation) to the Company in payment or
satisfaction of the purchase price or tax withholding obligationof an
Award, (v) shares reacquired by the Company on the open market using Option
Proceeds; provided, however, that the
aggregate number of shares that may be added back to the aggregate limit shall
not be greater than the amount of such Option Proceeds divided by the Fair
Market Value on the date of exercise of the Stock Option giving rise to such
Option Proceeds, and (vi) shares subject to Awards that otherwise do not result
in the issuance of shares in connection with payment or settlement of an
Award.  In addition, the aggregate number of shares available for
grant under this Plan shall not be reduced by shares granted as Substitute
Awards.

     

    
      	
              6.2  

            	
              Adjustment
      to Shares

            

    

     

    If there
is any change in the number of outstanding shares of Common Stock through the
declaration of stock dividends, stock splits or the like, the number of shares
available for Awards, the shares subject to any Award and the option prices or
exercise prices of Awards shall be automatically adjusted.  If there
is any change in the number of outstanding shares of Common Stock through any
change in the capital account of Kodak, or through a merger, consolidation,
separation (including a spin-off or other distribution of stock or property),
reorganization (whether or not such reorganization comes within the meaning of
such term in Section 368(a) of the Code) or partial or complete liquidation, the
Committee shall make appropriate adjustments in the maximum number of shares of
Common Stock which may be granted under the Plan and any adjustments and/or
modifications to outstanding Awards as it, in its sole discretion, deems
appropriate.  In the event of any other change in the capital
structure or in the Common Stock of Kodak, the Committee shall also be
authorized to make such appropriate adjustments in the maximum number of shares
of Common Stock available for grant
under the Plan and any adjustments and/or modifications to outstanding Awards as
it, in its sole discretion, deems appropriate.  The maximum number of
shares available for grant under the Plan shall be automatically adjusted to the
extent necessary to reflect any dividend equivalents paid in the form of Common
Stock.

     

    ARTICLE
7

     

     

    PERFORMANCE
AWARDS

     

    
      	
              7.1  

            	
              In
      General

            

    

     

    Awards
may be granted to Participants in the form of Performance Awards under the
Plan.

     

    
      	
              7.2  

            	
              Performance
      Criteria

            

    

     

    The
Performance Criteria to be measured during any Performance Cycle selected by the
Committee may be on a corporate-wide basis based on aggregate Company
performance or performance at the Subsidiary or business unit
level.  The performance goals under the Performance Criteria may be
measured against absolute targets or relative to the performance of one or more
comparable companies or an index covering multiple companies.

     

    
      	
              7.3  

            	
              Discretion
      of Committee with Respect to Performance
Awards

            

    

     

    With
regard to a particular Performance Cycle, the Committee shall have full
discretion to select the length of such Performance Cycle, the type(s) of
Performance Awards to be issued, the Performance Criteria that will be used to
establish the Performance Formula, the kind(s) and/or level(s) of the goals
under the Performance Formula, whether the Performance Criteria shall apply to
the Company,

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

    Kodak, a
Subsidiary, or any one or more subunits of the foregoing, and the Performance
Formula.

     

    
      	
              7.4  

            	
              Payment
      of Performance Awards

            

    

     

    (a) Condition to Receipt of Performance
Award.  Unless otherwise provided in the relevant Award Notice
or administrative guide, a Participant must be employed by the Company on the
last day of a Performance Cycle to be eligible for a Performance Award for such
Performance Cycle.

     

    (b) Limitation.  Unless
otherwise determined by the Committee, a Participant shall be eligible to
receive a Performance Award for a Performance Cycle only to the extent that
achievement of the goals under the Performance Formula for such period is
measured and as a result, all or some portion of such Participant’s Performance
Award has been earned for the Performance Cycle.

     

    (c) Timing of Award
Payments.  The Awards granted for a Performance Cycle shall be
paid to Participants as soon as administratively possible following
determination of achievement of the goals under the Performance Formula and
satisfaction of any applicable vesting periods or other terms and
conditions.  Unless otherwise provided in the relevant Award Notice or
administrative guide, such payment shall be made no earlier than January 1 of
the calendar year following the end of the applicable Performance Cycle and no
later than December 31 of such calendar year.

     

    
      	
              7.5  

            	
              Maximum
      Award Payable

            

    

     

    The
maximum Performance Award payable to any one Participant under the Plan for a
Performance Cycle is five hundred thousand (500,000) shares of Common
Stock.  In
the event that the Performance Award is denominated in cash rather than shares
of Common Stock, the maximum individual cash award paid in respect of any
Performance Cycle shall be five million dollars ($5,000,000).

     

    ARTICLE
8

     

     

    STOCK
OPTIONS

     

    
      	
              8.1  

            	
              In
      General

            

    

     

    Awards
may be granted in the form of Stock Options.  These Stock Options may
be Incentive Stock Options or non-qualified stock options (i.e., Stock Options
which are not Incentive Stock Options) (“Non-Qualified Stock Options”), or a
combination of both.

     

    
      	
              8.2  

            	
              Terms
      and Conditions of Stock Options

            

    

     

    (a) In General.  A Stock
Option shall be exercisable in accordance with such terms and conditions and at
such times and during such periods as may be determined by the Committee in its
sole discretion and as set forth in an individual Award Notice; provided, however, no Stock
Option shall be exercisable after the expiration of 7 years from the Effective
Date of the Stock Option.  The price at which Common Stock may be
purchased upon exercise of a Stock Option shall be not less than 100% of the
Fair Market Value of the Common Stock on the Effective Date of the Stock
Option’s grant except for grants of Substitute Awards.  Moreover, all
Stock Options shall have a vesting schedule not less than one year from the date
of grant, except under certain circumstances contemplated by Section 12.2 or
Article 15.

    
      
         

      

      
        12

        
        

      

      
         

      

    

    (b) Other
than pursuant to Section 6.2 or as a result of a grant of a Substitute Award,
the Committee shall not be permitted to (i) lower the option price per share of
a Stock Option after it is granted, (ii) cancel a Stock Option when the
option price per share exceeds the Fair Market Value of the underlying shares in
exchange for another Award, or (iii) take any other action with respect to a
Stock Option that may be treated as a repricing under the rules and regulations
of the New York Stock Exchange, without shareholder approval.

     

    
      	
              8.3  

            	
              Restrictions
      Relating to Incentive Stock Options

            

    

     

    Stock
Options issued in the form of Incentive Stock Options shall, in addition to
being subject to the terms and conditions of Section 8.2, comply with Section
422 of the Code.  Accordingly, the aggregate Fair Market Value
(determined at the time the Incentive Stock Option was granted) of the Common
Stock with respect to which Incentive Stock Options are exercisable for the
first time by a Participant during any calendar year (under this Plan or any
other plan of the Company) shall not exceed one hundred thousand dollars
($100,000) (or such other limit as may be required by the Code).

     

    
      	
              8.4  

            	
              Additional
      Terms and Conditions

            

    

     

    The
Committee may, by way of the Award Notice or otherwise, establish such other
terms, conditions, restrictions and/or limitations, if any, of any Stock Option
Award, provided
that they are not inconsistent with the Plan.

     

    
      	
              8.5  

            	
              Exercise

            

    

     

    Upon
exercise, the option price of a Stock Option may, at the Committee’s discretion,
be paid in cash (or equivalents), or by tendering, by either actual delivery of
shares or
by attestation, shares of Common Stock, a combination of the foregoing, or such
other consideration as the Committee may deem appropriate.  Any shares
of Common Stock tendered by a Participant upon exercise of a Stock Option must,
if acquired by the Participant pursuant to a previous Stock Option exercise, be
owned by the Participant for at least six months prior to the date of exercise
of the Stock Option.  The Committee shall establish appropriate
methods for accepting Common Stock, whether restricted or unrestricted, and may
impose such conditions as it deems appropriate on the use of such Common Stock
to exercise a Stock Option.

     

    
      	
              8.6  

            	
              Maximum
      Award Payable

            

    

     

    Notwithstanding
any provision contained in the Plan to the contrary, the maximum number of
shares for which Stock Options may be granted under the Plan to any one
Participant in any thirty-six (36) month period is two million (2,000,000)
shares of Common Stock.

     

    ARTICLE
9

     

     

    STOCK
APPRECIATION RIGHTS

     

    
      	
              9.1  

            	
              In
      General

            

    

     

    Awards
may be granted in the form of SARs.  SARs entitle the Participant to
receive a payment equal to the appreciation in a stated number of shares of
Common Stock from the exercise price to the Fair Market Value of the Common
Stock on the date of exercise.  An SAR may be granted in tandem with
all or a portion of a related Stock Option under the Plan (“Tandem SARs”), or
may be granted separately (“Freestanding SARs").  A Tandem SAR may be
granted either at the time of the grant of the related Stock Option or at any
time thereafter 

    
      
         

      

      
        13

        
        

      

      
         

      

    

    during
the term of the Stock Option.

     

    
      	
              9.2  

            	
              Terms
      and Conditions of SARs

            

    

     

    (a) Tandem SARs.  A
Tandem SAR shall be exercisable to the extent, and only to the extent, that the
related Stock Option is exercisable, and the “exercise price” of such an SAR
(the base from which the value of the SAR is measured at its exercise) shall be
the option price under the related Stock Option.  If a Tandem SAR is
added to an outstanding option, the exercise price shall be the same as the
earlier granted option which may be less than 100% of the Fair Market Value on
the date the SAR is granted. If a related Stock Option is exercised as to some
or all of the shares covered by the Award, the related Tandem SAR, if any, shall
be canceled automatically to the extent of the number of shares covered by the
Stock Option exercise.  Upon exercise of a Tandem SAR as to some or
all of the shares covered by the Award, the related Stock Option shall be
canceled automatically to the extent of the number of shares covered by such
exercise.  Moreover, all Tandem SARs shall expire not later than the
earlier of (1) seven years from the Effective Date of the SAR’s grant or (2) the
expiration of the related Stock Option.

    (b) Freestanding
SARs.  Freestanding SARs shall be exercisable in accordance
with such terms and conditions and at such times and during such periods as may
be determined by the Committee.  The exercise price of a Freestanding
SAR shall be not less than 100% of the Fair Market Value of the Common Stock, as
determined by the Committee, on the Effective Date of the Freestanding SAR’s
grant.  Moreover, all Freestanding SARs shall expire not later than
seven years from the Effective Date of theFreestanding
SAR’s grant and generally have the same terms and conditions as Stock
Options.

     

    (c) Other
than pursuant to Section 6.2 or as a result of a grant of a Substitute Award,
the Committee shall not be permitted to (i) lower the exercise price of an SAR
after it is granted, (ii) cancel an SAR when the exercise price exceeds the Fair
Market Value of the underlying shares of Common Stock in exchange for another
Award or (iii) take any other action with respect to an SAR that may be treated
as a repricing under the rules and regulations of the New York Stock Exchange,
in each case without shareholder approval.

     

    
      	
              9.3  

            	
              Intentionally
      Omitted

            

    

     

    

    
      	
              9.4  

            	
              Additional
      Terms and Conditions

            

    

     

    The
Committee may, by way of the Award Notice or otherwise, determine such other
terms, conditions, restrictions and/or limitations, if any, of any SAR Award,
provided that
they are not inconsistent with the Plan.

     

    
      	
              9.5  

            	
              Maximum
      Award Payable

            

    

     

    Notwithstanding
any provision contained in the Plan to the contrary, the maximum number of
shares for which SARs may be granted under the Plan to any one Participant for a
thirty-six (36) month period is two million (2,000,000) shares of Common
Stock.

     

    
      	
              9.6  

            	
              Payments
      of SARS

            

    

     

    In the
event that the SAR is paid in cash, the corresponding cash (or equivalents)
thereof shall be paid as of the date that the SAR is exercised.

     

     

    
      ARTICLE
10

       

       

      RESTRICTED
STOCK AWARDS 

    
      	
              10.1  

            	
              Grants

            

    

     

    Awards
under this Article 10 may be granted to Participants, either alone or in
addition to other Awards granted under the Plan as Restricted Stock Awards or
Restricted Stock Unit Awards.  Awards may be granted in the form of
(i) freestanding grants that vest based on the passage of time, or (ii) grants
in payment of earned Performance Awards or other incentive compensation under
another plan maintained by the Company.

     

    
      	
              10.2  

            	
              Award
      Restrictions

            

    

     

    Restricted
Stock Awards or Restricted Stock Unit Awards shall be subject to such terms,
conditions, restrictions, and/or limitations, if any, as the Committee deems
appropriate including, but not by way of limitation, restrictions on
transferability and continued employment; provided, however, they are
not inconsistent with the Plan.  The Committee may modify or
accelerate the delivery of a Restricted Stock Award or Restricted Stock Unit
Award under such circumstances as it deems would be in the best interest of the
Company; provided, however, such action
would not cause a violation of Section 409A.

     

    
      	
              10.3  

            	
              Vesting
      Period for Awards to Employees

            

    

     

    Except as
provided in Section 12.2 or Article 15, the period to achieve full vesting for
Restricted Stock Awards and Restricted Stock Unit Awards granted to Employees in
the form of freestanding grants shall not be shorter than three
years.

    Vesting
under the Plan can be on a pro rata or graded basis over the period or cliff at
the end of the period; provided, however, that grants
made to new hires to replace forfeited awards from a prior employer and grants
in payment of earned Performance Awards (or other incentive compensation) are
not subject to the minimum vesting period.

     

    
      	
              10.4  

            	
              Evidence
      of Award

            

    

     

    Any
Restricted Stock Award or Restricted Stock Unit Award granted under the Plan may
be evidenced in such manner as the Committee deems appropriate, including,
without limitation, book-entry registration or issuance of a stock certificate
or certificates.

     

    ARTICLE
11 

     

     

    OTHER
STOCK-BASED AWARDS

     

    
      	
              11.1  

            	
              Grants

            

    

     

    Awards
under this Article 11 may be granted to Participants, either alone or in
addition to the Awards granted under the Plan, in the form of Other Stock-Based
Awards.  Awards may be granted either as freestanding grants or
payments of earned Performance Awards or other incentive compensation under
another plan maintained by the Company.

     

    
      	
              11.2  

            	
              Conditions
      and Terms of Other Stock-Based
Grants

            

    

     

    The
Committee may by way of the Award Notice or otherwise, determine such other
terms, conditions, restrictions and/or limitations, if any, of any Other
Stock-Based Award, provided that they
are not inconsistent with the Plan.  Other Stock-Based Awards in
the

    
      
         

      

      
        14

        
        

      

      
         

      

    

    form of
deferred stock units shall not be subject to a minimum vesting
period.

     

    ARTICLE
12 

     

     

    PAYMENT
OF AWARDS

     

    
      	
              12.1  

            	
              In
      General

            

    

     

    Absent a
Plan provision to the contrary, payment of Awards may, at the discretion of the
Committee, be made in cash (or equivalents), Common Stock, or a combination of
cash and Common Stock.  In addition, payment of Awards may include
such terms, conditions, restrictions and/or limitations, if any, as the
Committee deems appropriate, including, in the case of Awards paid in the form
of Common Stock, restrictions on transfer and forfeiture provisions; provided, however, such terms,
conditions, restrictions and/or limitations are not inconsistent with the
Plan.  Further, payment of Awards may be made in the form of a lump
sum or installments, as determined by the Committee, in accordance with the
requirements of Section 409A, to the extent applicable.

     

    
      	
              12.2  

            	
              Termination
      of Employment

            

    

     

    Subject
to the requirements of Section 409A, the Committee shall determine the treatment
of a Participant’s Award under the Plan in the event of the Participant’s
termination of employment, either in an individual Award Notice or at the time
of termination.

    
      
         

      

      
        15

        
        

      

      
         

      

    

     

     

    	
            12.3  

          	
            Inimical
      Conduct

          

    If a
Participant performs any act or engages in any activity which the CEO, in the
case of an Employee or former Employee, or the Committee, in the case of the
CEO, a Director, or a former Director, determines is inimical to the best
interests of the Company, the Participant shall, effective as of the date the
Participant engages in such conduct, forfeit all unexercised, unearned and/or
unpaid Awards, including, but not by way of limitation, Awards earned but not
yet paid, all unpaid dividends and dividend equivalents, and all interest, if
any, accrued on the foregoing.

     

    
      	
              12.4  

            	
              Breach
      of Employee’s Agreement

            

    

     

    (a) In General.  A
Participant who engages in conduct described in Section 12.4(c) below shall
immediately: (1) forfeit, effective as of the date the Participant engages in
such conduct, all unexercised, unearned, and/or unpaid Awards, including, but
not by way of limitation, Awards earned but not yet paid, all unpaid dividends
and dividend equivalents, and all interest, if any, accrued on the foregoing;
and (2) pay to the Company the amount of any gain realized or payment received
as a result of any Stock Option or SAR exercised by the Participant under the
Plan within the two year period immediately preceding the date the Participant
engages in such conduct.

     

    (b) Set-Off.  By
accepting an Award under this Plan, a Participant consents to a deduction from
any amounts the Company owes the Participant from time to time (including, but
not limited to, amounts owed to the Participant as wages or other compensation,
fringe benefits, or vacation pay), to the extent of the amounts the Participant
owes the Company under Section 12.4(a).  If the Company elects to make
an off-set in whole or in part, the Company will not off-set amounts owed by a
Participant tothe
Company against amounts subject to Section 409A that are payable by the Company
until the time that payment would have been made, except as permitted by Section
409A.  Whether or not the Company elects to make any set-off in whole
or in part, if the Company does not recover by means of set-off the full amount
the Participant owes the Company, the Participant shall immediately pay the
unpaid balance to the Company.

     

    (c) Conduct.  The
following conduct shall result in the consequences described in Section
12.4(a):

    (i) Kodak.  In
the case of a Participant who has signed a Kodak company employee’s agreement
that has restrictive covenants similar to those in Section (iii) below (an
“Eastman Kodak Company Employee’s Agreement”), the Participant’s breach of the
Eastman Kodak Company Employee’s Agreement.

     

    (ii) Subsidiary.  In
the case of a Participant who is employed by a Subsidiary and has signed a
written agreement with the Subsidiary that contains restrictive covenants
similar to those in the Eastman Kodak Company Employee’s Agreement, the
Participant’s breach of such written agreement.

     

    (iii) Other
Participants.  In the case of a Participant other than a
Participant described in Subsection 12(c)(i) or (ii) above, the Participant
without the prior written consent of Kodak, in the case of an Employee or former
Employee, or the Committee, in the case of a Director or former Director: (A)
engages directly or indirectly in any manner or capacity as principal, agent,
partner, officer, director, stockholder, employee, or otherwise, in any business
or activity competitive with the business conducted by Kodak or any Subsidiary;
or  (B) at
any time divulges to any person or any entity other than the Company any trade
secrets, methods, processes or the proprietary or confidential information of
the Company.  For purposes of this Section 12.4(c)(iii), a Participant
shall not be deemed a stockholder if the Participant’s record and beneficial
ownership amount to not more than 1% of the outstanding capital stock of any
company subject to the periodic and other reporting requirements of the Exchange
Act.

     

    
      
         

      

      
        16

        
        

      

      
         

      

    

     

    ARTICLE
13

     

     

    DIVIDEND
AND DIVIDEND EQUIVALENT

     

    The
Committee may choose, at the time of the grant of an Award or any time
thereafter up to the time of the Award’s payment, to include as part of such
Award an entitlement to receive cash dividends or dividend equivalents, subject
to such terms, conditions, restrictions and/or limitations, if any, as the
Committee may establish.  Dividends and dividend equivalents shall be
paid in such form and manner (i.e., lump sum or installments), and at such
time(s) as the Committee shall determine in accordance with Section 409A, to the
extent applicable.  All dividends or dividend equivalents, which are
not paid currently, may, at the Committee’s discretion, accrue interest or be
reinvested into additional shares of Common Stock subject to the same vesting or
performance conditions as the underlying Award.

    

                                                                                    
ARTICLE 14

     

     

                                                                       
DEFERRAL OF AWARDS

     

    At the
discretion of the Committee, payment of any Award, dividend, or dividend
equivalent, or any portion thereof, may be deferred by a Participant until such
time as the Committee may establish in accordance with Section 409A and other
applicable federal income tax requirements.  All such deferrals shall
be accomplished by the delivery of a written, irrevocable election by the
Participant prior to the time established by the Committee for such purpose, on
a form provided by the Company.  Further, all deferrals shall be made
in accordance with administrative guidelines established by the Committee to
ensure that such deferrals comply with Section 409A and all other applicable
requirements of the Code.  Deferred payments shall be paid in a lump
sum or installments, as determined by the Committee in accordance with the
requirements of Section 409A.  Deferred Awards may also be credited
with interest, at such rates to be determined by the Committee, and, with
respect to those deferred Awards denominated in the form of Common Stock, with
dividends or dividend equivalents.

     

    
      
         

      

      
        17

        
        

      

      
         

      

    

     

    ARTICLE
15 

     

     

    CHANGE
IN CONTROL

     

    
      	
              15.1  

            	
              Treatment
      of Non-Continued Awards

            

    

     

    Notwithstanding
any provision contained in the Plan, including, but not limited to, Section 4.4,
the provisions of this Article 15 shall control over any contrary
provision.  Except as otherwise set forth in Section 15.6, upon a
Change in Control: (i) the terms of this Article 15 shall immediately become
opertive, without further action or consent by any person or entity unless
otherwise expressly set forth in an Award Notice, (ii) all terms, conditions,
restrictions, and limitations in effect on any unexercised, unearned, unpaid,
and/or deferred Award in each case, other than Performance Awards, or any other
outstanding Award, shall immediately lapse as of the date of such event;
(iii) no other terms, conditions, restrictions and/or limitations shall be
imposed upon any Awards on or after such date, and in no circumstance shall an
Award be forfeited on or after such date; and (iv) except in those instances
where a prorated Award is required to be paid under this Article 15, all
unexercised, unvested, unearned, and/or unpaid Awards or any other outstanding
Awards shall automatically become one hundred percent (100%) vested
immediately.  Notwithstanding the
foregoing, the treatment described in this Section 15.1 shall not apply
to any Award to the extent that such treatment would violate Section 409A unless
the Change in Control event also qualifies as a Section 409A Change in Control,
in which event the treatment described in this Section 15.1 shall further apply
to such Award to the extent such treatment would not violate Section
409A.

    
      
         

      

      
        18

        
        

      

      
         

      

    

     

    
      	
              15.2  

            	
              Dividends
      and Dividend Equivalents

            

    

     

    Except as
otherwise set forth in Section 15.6, upon a Change in Control, all unpaid
dividends and dividend equivalents and all interest accrued thereon, if any,
shall be treated and paid under this Article 15 in the identical manner and time
as the Award under which such dividends or dividend equivalents have been
credited.  For example, if upon a Change in Control, an Award under
this Article 15 is to be paid in a prorated fashion, all unpaid dividends and
dividend equivalents with respect to such Award
shall be paid according to the same formula used to determine the amount of such
prorated Award.  Notwithstanding the foregoing, if such dividends or
dividend equivalents are subject to Section 409A and the treatment described by
this Section 15.2 would violate Section 409A, then the treatment described in
this Section 15.2 shall not apply to the extent such treatment would
violate Section 409A unless the Change in Control event also qualifies as a
Section 409A Change in Control, in which event the treatment described in this
Section 15.2 shall further apply to such dividends and dividend equivalents to
the extent such treatment would not violate Section 409A.  Any payment
of unpaid dividends and dividend equivalents pursuant to this Section 15.2 shall
be made as soon as practicable following the Change in Control event, but in no
event later than ninety (90) days thereafter.

     

    
      	
              15.3  

            	
              Valuation
      and Payment of Awards; Treatment of Performance
  Awards

            

    

     

    Except as
otherwise set forth in Section 15.6, upon a Change in Control, any Participant,
whether or not he or she is still employed by the Company, shall be paid, in a
single lump-sum cash payment, as soon as practicable but in no event later than
ninety (90) days after the Change in Control, in exchange for all of his or her
Freestanding SARs, Stock Options (including Incentive Stock Options), Other
Stock-Based Awards, Restricted Stock Awards and Restricted Stock Unit Awards,
and all other outstanding Awards (including those granted by the Committee
pursuant to its authority under Subsection 4.2(o) hereof), other than
Performance Awards, a cash payment (or the delivery of shares of stock, other
securities or a combination of cash, stock and securities equivalent to such
cash payment) equal to the difference, if any, between the Change in Control
Price and the purchase price per share, if any, under the Award multiplied by
the

    number of
shares of Common Stock subject to such Award; provided that if such
product is zero or less, the Awards will be cancelled and terminated without
payment therefor.  For Performance Awards, regardless of Section 15.6,
(A) if at the time of the Change in Control more than fifty percent (50%) of the
applicable Performance Cycle has elapsed, the Performance Award granted to the
Participant shall vest and Awards shall be paid out as soon as practicable, but
in no event later than ninety (90) days after the Change in Control event, in an
amount equal to the greater of (i) the target performance set out in the
Performance Formula or (ii) actual performance to date, and (B) if at the time
of the Change in Control fifty percent (50%) or less of the applicable
Performance Cycle has elapsed, the Performance Award granted to the Participant
shall vest and Awards shall be paid out as soon as practicable, but in no event
later than ninety (90) days after the Change in Control event, in an amount
equal to fifty percent (50%) of target performance set out in the Performance
Formula without consideration of actual performance to
date.  Notwithstanding the foregoing, if the Award is subject to
Section 409A and the treatment described by this Section 15.3 would violate
Section 409A, then the treatment described in this Section 15.3 shall not
apply to the extent such treatment would violate Section 409A unless the
Change in Control event also qualifies as a Section 409A Change in Control, in
which event the treatment described in this Section 15.3 shall further apply to
such Award to the extent such treatment would not violate Section
409A.

     

    
      	
              15.4  

            	
              Deferred
      Awards

            

    

     

    Upon a
Change in Control, all Awards deferred by a Participant under Article 14 hereof,
but for which he or she has not received payment as of such date, shall be paid
in a single lump-sum cash payment as soon as practicable, but in no event later
than ninety (90) days after the Change in Control.  For purposes of
making such payment, the value of all Awards that are equity-based shall be
determined by the Change in Control Price.  Notwithstanding the
foregoing, if the Award is subject to Section 409A and the treatment described
by this Section 15.4 would violate Section 409A, then the treatment described in
this Section 15.4 shall not apply to the extent such treatment would
violate Section 409A unless the Change in Control event also qualifies as a
Section 409A Change in Control, in which event the treatment described in this
Section 15.4 shall further apply to such Award to the extent such treatment
would not violate Section 409A.

    
      
         

      

      
        19

        
        

      

      
         

      

    

     

    
      	
              15.5  

            	
              Miscellaneous

            

    

     

    Upon a
Change in Control, the provisions of Sections 12.2, 12.3, 12.4 and 16.3 hereof
shall become null and void and of no further force and effect and no action,
including, but not by way of limitation, the amendment, suspension or
termination of the Plan, shall be taken which would affect the rights of any
Participant or the operation of the Plan with respect to any Award to which the
Participant may have become entitled hereunder on or prior to the date of such
action or as a result of such Change in Control.

     

    
      	
              15.6  

            	
              Continuation
      of Awards

            

    

     

    Unless
otherwise determined by the Committee, upon a Change in Control pursuant to
which the Surviving Company or Parent Company, as applicable, assumes (or
substitutes) all outstanding Awards (other than Performance Awards) pursuant to
the terms hereof, then the provisions of Sections 15.1 through 15.3 shall not
apply to any Award; provided, however, that if the Award is subject to Section
409A and the treatment described
by this Section 15.6 would violate Section 409A, then the treatment described in
this Section 15.6 shall not apply to the extent such treatment would
violate Section 409A.  The Committee shall determine in its sole
discretion whether an Award shall be considered “assumed” or
“substituted.”  Without limiting the foregoing, for the purposes of
this Article, a Stock Option or SAR shall be considered “assumed” or
“substituted” if in the reasonable determination of the Committee, (i) the
aggregate intrinsic value (the difference between the then Fair Market Value and
the exercise price per share of Common Stock multiplied by the number of shares
of Common Stock subject to such award) of the assumed (or substituted) Award
immediately after the Change in Control is substantially the same as the
aggregate intrinsic value of such Award immediately before such transaction,
(ii) the ratio of the exercise price per assumed (or substituted) Award to
the fair market value per share of successor corporation stock immediately after
the Change in Control is substantially the same as such ratio for such Award
immediately before such transaction, (iii) the Award is exercisable for the
consideration approved by the Committee (including shares of stock, other
securities or property or a combination of cash, stock, securities and other
property), and (iv) the other terms and conditions of the Stock Options or SARs
remain substantially the same.  For the purposes of this Article,
Restricted Stock Awards and Restricted Stock Unit Awards shall be considered an
assumed (or substituted) Award if in the reasonable determination of the
Committee, the value and terms and conditions of the assumed (or substituted)
Award immediately after the Change in Control are substantially the same as the
value and terms and conditions of such Award immediately before such
transaction.

     

    
      	
              15.7  

            	
              Termination
      of Employment Following A Change in
Control

            

    

     

    (a) Eligibility.  Notwithstanding
any provision contained in the Plan, including, but not limited to, Sections
4.4, and 12.2, the provisions of this Section 15.7 shall control over any
contrary provision.  All Participants shall be eligible for the
treatment afforded by this Section 15.7 if their employment by the Company
terminates within  two years following a Change in Control, unless the
termination is due to (i) death, (ii) Disability, (iii) one of the following
reasons (A) the willful and continued failure by the Participant to
substantially perform his or her duties with his or her employer after a written
warning identifying the lack of substantial performance is delivered to the
Participant by his or her employer to specifically identify the manner in which
the employer believes that Participant has not substantially performed his or
her duties, or (B) the willful engaging by the Participant in illegal conduct
which is materially and demonstrably injurious to Kodak or a Subsidiary, (iv)
resignation other than (A) a resignation from a declined reassignment to a job
that is not reasonably equivalent in responsibility or compensation (as would be
determined under Kodak’s Termination Allowance Plan), or that is not in the same
geographic area (as would be determined under Kodak’s Termination Allowance
Plan), or (B) a resignation within 30 days following a reduction in base pay, or
(v) Retirement.

    (b) If a
Participant is eligible for treatment under this Section 15.7, (i) all of
the terms, conditions, restrictions, and limitations in effect on any of his or
her unexercised, unearned, unpaid and/or deferred Awards shall immediately lapse
as of the date of his or her termination of employment; (ii) no other terms,
conditions, restrictions and/or limitations shall be imposed upon any of his or
her Awards on or after such date, and in no
event shall any of his or her Awards be forfeited on or after such date; and
(iii) except in those instances where a prorated Award is required to be
paid under this Article 15, all of his or her unexercised, unvested,
unearned and/or unpaid Awards shall automatically become one hundred percent
(100%) vested immediately upon his or her termination of employment; provided, however, the
treatment described in this Section 15.7 shall not apply to any Award
subject to Section 409A to the extent such treatment would violate Section 409A
unless (A) the Change in Control event also qualifies as a Section 409A
Change in Control, and (B) the termination of employment qualifies as a
“separation from service” for purposes of Section 409A, in which event the
treatment described in this Section 15.7 shall further apply to such Award to
the extent such treatment would not violate Section 409A.  Payment of
Awards shall be made as soon as practicable following the Participant’s
termination of employment, but in no event later than ninety (90) days
thereafter, unless the Participant at the time of his or her termination of
employment is subject to the six-month waiting period following separation from
service that Kodak requires for certain executive employees as a result of
Section 409A, in which event payment instead will be made as soon as practicable
after the expiration of such period, but in no event later than ninety (90) days
thereafter.

     

    (c) If a
Participant is eligible for treatment under this Section 15.7, all of his or her
unpaid dividends and dividend equivalents and all interest accrued thereon, if
any, shall be treated and paid under this Article 15 in the identical manner and
time as the Award under which such dividends or dividend equivalents have been
credited.  Notwithstanding the foregoing, if such dividends or
dividend equivalents are subject toSection
409A and the treatment described by this Section 15.7(c) would violate
Section 409A, then the treatment described in this Section 15.7(c)
shall not apply to the extent such treatment would violate Section 409A unless
(A) the Change in Control event also qualifies as a Section 409A Change in
Control, and (B) the termination of employment qualifies as a “separation
from service” for purposes of Section 409A, in which event the treatment
described in this Section 15.7(c) shall further apply to such dividends and
dividend equivalents to the extent such treatment would not violate Section
409A.  Any payment of unpaid dividends and dividend equivalents
pursuant to this Section 15.7(c) shall be made as soon as practicable
following the Participant’s termination of employment, but in no event later
than ninety (90) days thereafter, unless the Participant at the time of his or
her termination of employment is subject to the six-month waiting period
following separation from service that Kodak requires for certain executive
employees as a result of Section 409A, in which event payment instead will be
made as soon as practicable after the expiration of such period, but in no event
later than ninety (90) days thereafter.

     

    
      	
              15.8  

            	
              Legal
      Fees

            

    

     

    Kodak
shall pay all reasonable legal fees and related expenses incurred by a
Participant in seeking to obtain or enforce any payment, benefit or right he or
she reasonably may be entitled to under the Plan in connection with a Change in
Control; provided, however, the
Participant shall be required to repay any such amounts to Kodak to the extent a
court of competent jurisdiction issues a final and non-appealable order setting
forth the determination that the position taken by the Participant was frivolous
or advanced in bad faith.  Any reimbursement by Kodak under this
section shall be made in accordance
with Eastman Kodak Company’s Policy Regarding Section 409A
Compliance.

     

    ARTICLE
16 

     

     

    MISCELLANEOUS

     

    
      	
              16.1  

            	
              Nonassignability

            

    

     

    (a) In General.  Except
as otherwise determined by the Committee or as otherwise provided in Subsection
(b) below, no Awards or any other payment under the Plan shall be subject to any
manner to alienation, anticipation, sale, transfer (except by will, the laws of
descent and distribution, or domestic relations order), assignment, pledge, or
encumbrance, nor shall any Award be payable to or exercisable by anyone other
than the Participant to whom it was granted.

     

    (b) Non-Qualified Stock
Options.  The Committee shall have the discretionary authority
to grant Awards of Non-Qualified Stock Options or amend outstanding Awards of
Non-Qualified Stock Options to provide that they be transferable, subject to
such terms and conditions as the Committee shall establish.  In
addition to any such terms and conditions, the following terms and conditions
shall apply to all transfers of Non-Qualified Stock Options:

     

    (i) Permissible
Transferors.  The only Participants permitted to transfer their
Non-Qualified Stock Options are those Participants who are, on the date of the
transfer of their Non-Qualified Stock Option, either in wage grade 56 or above,
or the equivalent thereof, a corporate officer of Kodak, or a
Director.

    
      
         

      

      
        20

        
        

      

      
         

      

    

    (ii) Permissible
Transferees.  Transfers shall only be permitted to:
(i) the Participant’s “Immediate Family Members,” as that term is defined
in Subsection (b)(9) below; (ii) a trust or trusts for the exclusive benefit of
such Immediate Family Members; or (iii) a family partnership or family limited
partnership in which each partner is, at the time of transfer and all times
subsequent thereto, either an Immediate Family Member or a trust for the
exclusive benefit of one or more Immediate Family Members.

    (iii) No
Consideration.  All transfers shall be made for no
consideration.

     

    (iv) Subsequent
Transfers.  Once a Participant transfers a Non-Qualified Stock
Option, any subsequent transfer of such transferred option shall,
notwithstanding Section 16.1(b)(i) to the contrary, be permitted provided, however, such
subsequent transfer complies with all of the terms and conditions of this
Section 16.1(b), with the exception of Section 16.1(b)(i).

     

    (v) Transfer Agent.  In
order for a transfer to be effective, the Committee’s designated transfer agent
must be used to effectuate the transfer.  The costs of such transfer
agent shall be borne solely by the transferor.

     

    (vi) Withholding.  In
order for a transfer to be effective, a Participant must agree in writing prior
to the transfer on a form provided by Kodak to pay any and all payroll and
withholding taxes due upon exercise of the transferred option.  In
addition, prior to the exercise of a transferred option by a transferee,
arrangements must be made by the Participant with Kodak for the payment of all
payroll and withholding taxes.

     

    (vii) Terms and Conditions of Transferred
Option.  Upon transfer, a Non-Qualified Stock Option continues
to be governed by and subject to the terms and conditions of the Plan and the
Stock Option’s applicable administrative guide and Award Notice.  A
transferee of a Non-Qualified Stock Option is entitled to the same rights as the
Participant to whom such Non-Qualified Stock Options were awarded, as if no
transfer had taken place.  Accordingly, the rights of the transferee
are subject to the terms and conditions of the original grant to the
Participant, including provisions relating to expiration date, exercisability,
option price and forfeiture.

     

    (viii) Notice to
Transferees.  Kodak shall be under no obligation to provide a
transferee with any notice regarding the transferred options held by the
transferee upon forfeiture or any other circumstance.

     

    (ix) Immediate Family
Member.  For purposes of this Section 16.1, the term “Immediate
Family Member” shall mean the Participant and his or her spouse, children or
grandchildren, whether natural, step or adopted children or
grandchildren.

     

     

    
      	
              16.2  

            	
              Withholding
      Taxes

            

    

     

    In
connection with any payments to a Participant or other event under the Plan that
gives rise to a federal, state, local or other tax withholding obligation
relating to the Plan (including, without limitation, FICA tax), the Company
shall be entitled to deduct from any payment under the Plan, regardless of the
form of such payment, the amount of all applicable income and employment taxes
required by law to be withheld (or cause to be withheld) with respect to such
payment or may require the Participant to

    pay to
the Company such tax prior to and as a condition of the making of such
payment.  In accordance with any applicable administrative guidelines
it establishes, the Committee may allow a Participant to pay the amount of taxes
required to be withheld from an Award by withholding from any payment of Common
Stock due as a result of such Award at minimum statutory tax rates, or by
permitting the Participant to tender (actually or through attestation) to the
Company, shares of Common Stock having a Fair Market Value, as determined by the
Committee, equal to the amount of such required withholding taxes up to the
maximum marginal tax rate.

     

    
      	
              16.3  

            	
              Amendments
      to Awards

            

    

     

    The
Committee may at any time unilaterally amend any unexercised, unearned or unpaid
Award, including, but not by way of limitation, Awards earned but not yet paid,
to the extent it deems appropriate; provided, however, that (a)
any such amendment which, in the opinion of the Committee, materially impairs
the rights or materially increases the obligation of a Participant under an
outstanding Award shall be made only with the consent of the Participant (or,
upon the Participant’s death, the person having the right to exercise the
Award), except that amendments to implement administrative changes to the Plan
that are deemed necessary or advisable by the Committee for compliance with laws
shall not require Participant consent, and (b) no such amendment shall cause a
violation of Section 409A.  By means of illustration but not
limitation, the Committee may restrict the method of exercise of an Award to
avoid securities laws or exchange control filings, laws or
regulations.

    
      
         

      

      
        21

        
        

      

      
         

      

    

     

    
      	
              16.4  

            	
              Regulatory
      Approvals and Listings

            

    

    
          Notwithstanding anything
contained in this Plan to the contrary, the Company shall have no obligation to
issue or deliver certificates of Common Stock evidencing any Award resulting in
the payment of Common Stock prior to (a) the obtaining of any approval from any
governmental agency which the Company shall, in its sole discretion, determine
to be necessary or advisable, (b) the admission of such shares to listing on the
stock exchange on which the Common Stock may be listed, and (c) the completion
of any registration or other qualification of said shares under any state or
federal law or ruling of any governmental body which the Company shall, in its
sole discretion, determine to be necessary or advisable.

     

    
      	
              16.5  

            	
              No
      Right to Continued Employment or
Grants

            

    

     

    Participation
in the Plan shall not give any Employee any right to remain in the employ of
Kodak or any Subsidiary.  Kodak or, in the case of employment with a
Subsidiary, the Subsidiary, reserves the right to terminate any Employee at any
time for any or no reason.  Further, the adoption of this Plan shall
not be deemed to give any Employee or any other individual any right to be
selected as a Participant or to be granted an Award.  In addition, no
Employee having been selected for an Award, shall have at any time the right to
receive any additional Awards.

     

    
      	
              16.6  

            	
              Amendment/Termination

            

    

     

    The
Committee may suspend or terminate the Plan at any time for any reason with or
without prior notice.  In addition, the Committee may, from time to
time for any reason and with or without prior notice, amend the Plan in any
manner, but may not (a) without shareholder approval adopt any amendment which
would require the vote of the
shareholders of Kodak required under the New York Stock Exchange’s shareholder
approval rules, or (b) adopt any amendment to the Plan which would cause any
Award outstanding under the Plan at the time of the amendment to violate Section
409A.

     

    
      	
              16.7  

            	
              Governing
      Law

            

    

     

    The Plan
shall be governed by and construed in accordance with the laws of the State of
New York, except as superseded by applicable federal law, without giving effect
to its conflicts of law provisions.

     

    
      	
              16.8  

            	
              No
      Right, Title or Interest in Company Assets; No Rights as a
      Shareholder

            

    

     

    No
Participant shall have any rights as a shareholder, including the right to vote,
as a result of participation in the Plan until the date of issuance of a stock
certificate in his or her name or such other evidence of ownership as may be
determined by the Committee and, in the case of Restricted Stock Awards such
rights as are granted to the Participant under the Plan.  To the
extent any person acquires a right to receive payments from the Company under
the Plan, such rights shall be no greater than the rights of an unsecured
creditor of the Company and the Participant shall not have any rights in or
against any specific assets of the Company.  All of the Awards granted
under the Plan shall be unfunded.

     

    
      	
              16.9  

            	
              Section
      16 of the Exchange Act

            

    

     

    In order
to avoid any Exchange Act violations, the Committee may, from time to time,
impose additional restrictions upon an Award, including but not limited to,
restrictions regarding tax withholdings.

    
      
         

      

      
        22

        
        

      

      
         

      

    

     

     

    
      	
              16.10  

            	
              No
      Guarantee of Tax Consequences 

            

    

    
          No person connected with the Plan
in any capacity, including, but not limited to, Kodak and its Subsidiaries and
their directors, officers, agents and employees makes any representation,
commitment, or guarantee that any tax treatment, including, but not limited to,
federal, state and local income, estate and gift tax treatment, will be
applicable with respect to amounts deferred under the Plan, or paid to or for
the benefit of a Participant under the Plan, or that such tax treatment will
apply to or be available to a Participant on account of participation in the
Plan.

     

    
      	
              16.11  

            	
              Other
      Benefits

            

    

     

    No Award
granted under the Plan shall be considered compensation for purposes of
computing benefits under any retirement plan of the Company nor affect any
benefits or compensation under any other benefit or compensation plan of the
Company now or subsequently in effect.

     

    
      	
              16.12  

            	
              Section
      Headings

            

    

     

    The
section headings contained herein are for the purpose of convenience only and
are not intended to define or limit the contents of the sections.

     

    
      	
              16.13  

            	
              Severability;
      Entire Agreement

            

    

     

    If any of
the provisions of this Plan or any Award Notice is finally held to be invalid,
illegal or unenforceable (whether in whole or in part), such provision shall be
deemed modified to the extent, but only to the extent, of such invalidity,
illegality or unenforceability and the remaining provisions shall not be
affected thereby; provided, that if any
of such provisions is finally held to be invalid, illegal, or unenforceable
because it exceeds the maximum scope determined to be acceptable to permit such
provision
to be enforceable, such provision shall be deemed to be modified to the minimum
extent necessary to modify such scope in order to make such provision
enforceable hereunder.  The Plan, any administrative guidelines or
sub-plans issued pursuant to Section 4.2(i), and any Award Notices contain the
entire agreement of the parties with respect to the subject matter thereof and
supersede all prior agreements, promises, covenants, arrangements,
communications, representations and warranties between them, whether written or
oral with respect to the subject matter thereof.

     

    
      	
              16.14  

            	
              No
      Third Party Beneficiaries

            

    

     

    Except as
expressly provided therein, neither the Plan nor any Award Notice shall confer
on any person other than the Company and the grantee of any Award any rights or
remedies thereunder.

     

    
      	
              16.15  

            	
              Successors
      and Assigns

            

    

     

    The terms
of this Plan shall be binding upon and inure to the benefit of the Company and
its successors and assigns.

     

    
      	
              16.16  

            	
              Waiver
      of Claims

            

    

     

    Each
Participant recognizes and agrees that prior to being selected by the Committee
to receive an Award he or she has no right to any benefits
hereunder.  Accordingly, in consideration of the Participant’s receipt
of any Award hereunder, he or she expressly waives any right to contest the
amount of any Award, the terms of any Award Notice, any determination, action or
omission hereunder or under any Award Notice by the Committee, the Company or
the Board, or any amendment to the Plan or any Award Notice (other than an
amendment to this Plan or an Award Agreement to which his or her consent is
expressly required by the express terms of the Plan or an Award
Notice).

    
      
         

      

      
        23

        
        

      

      
         

      

    

     

    
      	
              16.17  

            	
              Section
      409A

            

    

     

    The Plan
and the Awards granted thereunder are intended to be exempt from or comply with
the requirements of Section 409A, and the Plan, and Award Notices and
administrative guides issued thereunder, shall be administered and interpreted
consistent with such intention.  In addition, the Plan, Award Notices
and administrative guidelines will be interpreted and administered in accordance
with Eastman Kodak Company’s Policy Regarding Section 409A Compliance with
respect to benefits subject to Section 409A.

    
      
         

      

      
        24

        
        

      

      
         

      

    

    

     

    APPENDIX
A

     

     

    EASTMAN
KODAK COMPANY 2005 OMNIBUS LONG TERM COMPENSATION PLAN

     

    (a) Introduction.  The
terms of this Appendix A apply to all Awards, other than Stock Options or SARs,
that are intended by the Committee to satisfy the requirements for deductibility
as “performance-based compensation” under Section 162(m)(4)(C) of the
Code.

     

    (b) Definitions

    The
capitalized terms used in this Appendix shall have the same meaning as set forth
in the Plan, unless otherwise defined below.

    (i) Committee

    “Committee”
means the Executive Compensation and Development Committee of the Board, or such
other Board committee as may be designated by the Board to administer the Plan;
provided that
the Committee shall consist of at least two directors, each of whom is an
“outside director” within the meaning of Section 162(m) of the Code and the
applicable regulations thereunder.

     

    (ii) Performance
Criteria

    “Performance
Criteria,” shall mean any of the following for the Company on a consolidated
basis and/or for any subsidiary, division, business unit or one or more business
segments: return on net assets (“RONA”), return on shareholders’ equity, return
on assets, return on capital, shareholder returns, total shareholder return,
return on invested capital, profit margin, earnings per share, net earnings,
operating earnings, Common Stock price per share, sales or market share, unit
manufacturing cost, working capital, productivity, days sales in inventory, days
sales outstanding, revenue, revenue growth, cash flow and investable cash
flow.

    
      
         

      

      
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    (c) Awards

    (i) Eligible
Employees.  All Employees are eligible to be selected for a
Performance Award during a Performance Cycle.

    (ii) Performance
Cycle.  For purposes of this Appendix A, a Performance Cycle
shall be at least twelve (12) calendar months.

    (iii) Committee
Discretion.  To the extent required by Section 162(m) of the
Code, the Committee shall have full discretion, within the first ninety (90)
days of a Performance Cycle (or, if longer, within the maximum period allowed
under Section 162(m) of the Code), to designate the Employees who will be
Participants for the Performance Cycle, the length of such Performance Cycle,
the type(s) of Awards to be issued, the Performance Criteria that will be used
to calculate, in an objective manner, the Performance Formula, the kind(s)
and/or level(s) of the goals under the Performance Formula, whether the
Performance Criteria shall apply to the Company, Kodak, a Subsidiary, or any one
or more subunits of the foregoing, and the Performance Formula.

     

    (iv) Adjustment of
Awards.  The Committee is authorized at any time during the
first ninety (90) days of a Performance Cycle, or at any time thereafter (but
only to the extent the exercise of such authority after the first ninety (90)
days of a Performance Cycle would not cause the Awards granted to the
Participant for the Performance Cycle to fail to qualify as “performance-based
compensation” under Section 162(m) of the Code), in its sole and absolute
discretion, to adjust or modify the Performance Formula for such Performance
Cycle in order to prevent the dilution or enlargement of the rights of
Participants, (A) in the event of, or in anticipation of, any unusual or
extraordinary corporate item, transaction, event or development; (B) in
recognition of, or in anticipation of, any other unusual or nonrecurring events
affecting the Company, or the financial statements of the Company, or in
response to, or in anticipation of, changes in applicable laws, regulations,
accounting principles, or business conditions; and (C) in view of the
Committee’s assessment of the business strategy of the Company, performance of
comparable organizations, economic and business conditions, and any other
circumstances deemed relevant.  In no event shall the Award of any
Participant who is a Covered Employee be adjusted pursuant to Section 6.2 of the
Plan to the extent it would cause such Award to fail to qualify as
“performance-based compensation” under Section 162(m) of the Code.

     

    (v) Determination of
Awards.  Following the completion of a Performance Cycle, the
Committee shall review and certify in writing whether, and to what extent, the
goals under the Performance Formula for the Performance Cycle have been achieved
and, if so, to calculate and certify in writing the amount of the Awards earned
for the period.  The Committee shall then determine the actual size of
each Participant’s Award for the Performance Cycle.  In determining
the actual size of an individual Award for a Performance Cycle, the Committee
may reduce (but not increase) or eliminate the amount of the Award earned under
the Performance Formula for the Performance Cycle, if in the Committee’s sole
judgment, such reduction or elimination is appropriate.

    
      
         

      

      
        26

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