Document:

Incentive Compensation Plan

 Exhibit 10.1 
 Rewards Network Inc. 
 2009 Incentive Compensation Plan 
 Participation in the 2009 Incentive Plan 
 The Chief
Executive Officer will recommend to the Compensation Committee the members of the management of Rewards Network Inc. and its subsidiaries (collectively, the “Corporation”) that will be eligible to participate in the Rewards Network
Inc. 2009 Incentive Compensation Plan (the “2009 Incentive Plan”). 
 All members of the Corporation’s management who
participate in the 2009 Incentive Plan must be approved by the Compensation Committee of the Board of Directors. Members of the Corporation’s management who are approved to participate in the 2009 Incentive Plan are referred to as
“Participants.” 
 Incentive Compensation Determination 
 The 2009 Incentive Plan provides Participants with the possibility of receiving incentive compensation (“2009 Awards”) based on (a) the Participant’s individual performance during 2009 as
determined by the Participant’s supervisor, and (b) the overall performance of the Company as reflected by 2009 EBITDA, as defined below. 
 2009 EBITDA 
 “2009 EBITDA” means the Corporation’s 2009 earnings before interest, income taxes,
depreciation and amortization. For purposes of the 2009 Incentive Plan, the Corporation’s 2009 EBITDA shall be determined without regard to any expense for management incentive compensation (including management incentive compensation expense
(a) for incentive compensation payable under the 2009 Incentive Plan or (b) related to management restricted stock unit awards granted in 2009) and may be adjusted with the approval of the Compensation Committee to exclude any unusual and
non-recurring gains and losses. 2009 EBITDA will be determined by the Corporation in its sole discretion, with the Compensation Committee making the final determination, and such determination will be final and binding on all Participants and not
subject to review. 
 2009 EBITDA Threshold and Target 
 The Compensation Committee will determine an “EBITDA Threshold” and an “EBITDA Target” during the first quarter of 2009 (or later, if necessary) and will promptly communicate these
targets to all Participants. 
  

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 Incentive Compensation Pool 
 The total amount of 2009 Awards payable to Participants under the 2009 Incentive Plan, if any, will be determined by the Compensation Committee as soon as practical after December 31, 2009. If the
Corporation’s 2009 EBITDA is less than or equal to the EBITDA Threshold, then there shall be no 2009 Awards. If the Corporation’s 2009 EBITDA is greater than the EBITDA Threshold, then an incentive compensation pool shall be funded and
available for 2009 Awards as follows: 
 The “Base Incentive Compensation Pool” will equal the aggregate Target, as provided below, of all
Participants who are eligible to receive 2009 Awards at the time the 2009 Awards are payable, as provided below. The Compensation Committee will increase or decrease the Base Incentive Compensation Pool to arrive at the “Final Incentive
Compensation Pool” as follows: 
  

	 	•	 	 The Final Incentive Compensation Pool will equal the Base Incentive Compensation Pool multiplied by a fraction with the numerator equal to 2009 EBITDA minus the
EBITDA Threshold and a denominator equal to the EBITDA Target minus the EBITDA Threshold. 

  

	 	•	 	 Notwithstanding the above, the Final Incentive Compensation Pool shall not exceed 150% of the Base Incentive Compensation Pool. 

 Target and Performance Goals 
 Each Participant will
have an incentive compensation opportunity that is a dollar amount equal to a target percentage of the Participant’s salary (the “Target”). Each Participant’s Target will be communicated to the Participant during the first
quarter of 2009. 
 Each Participant’s supervisor will establish three to five performance goals for that Participant and will
communicate these performance goals to the Participant during the first quarter of 2009. 
 For purposes of the 2009 Incentive Plan, the
Chief Executive Officer’s supervisor will be the Compensation Committee. 
 The performance goals of each Participant that reports to
the Chief Executive Officer shall be subject to the approval of the Compensation Committee. The performance goals of each other Participant shall be subject to the approval of the Chief Executive Officer. 
 Determination of Awards 
 Prior to March 15,
2010, each Participant’s supervisor will assess each Participant’s individual performance during 2009 with respect to that Participant’s performance goals. Based on such assessment, each Participant’s supervisor will determine
the percentage of the Target that may be awarded to the Participant. This percentage is referred to as the “2009 Percentage”. The 2009 Percentage may be in the range of 0% to 150%. If 2009 EBITDA is less than or equal to the EBITDA
Threshold, the 2009 Percentage for each Participant shall be 0%. 
  

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 The 2009 Percentage of each Participant is subject to the approval of the Corporation’s Chief
Executive Officer and the Compensation Committee, who may make adjustments to any Participant’s 2009 Percentage in their sole discretion, with the Compensation Committee making the final determination of any adjustments. The 2009 Award for each
Participant is equal to that Participant’s Target multiplied by that Participant’s 2009 Percentage; provided, however, that the sum of all 2009 Awards shall not exceed the Final Incentive Compensation Pool. It shall be the obligation of
the Chief Executive Officer of the Corporation to assure that adjustments made to individual Participant Targets do not cause the 2009 Awards to exceed the Final Incentive Compensation Pool. 
 Payment of 2009 Awards 
 2009 Awards will be payable
to Participants on or before March 15, 2010. 
 2009 Awards will be payable to a Participant only if the Participant is employed by the
Corporation on the date that the 2009 Awards are paid by the Corporation. 2009 Awards are not earned upon determination by the Corporation and Compensation Committee. If the Participant is not employed by the Corporation for any reason on the date
the 2009 Awards are paid by the Corporation, the Participant will not be eligible to receive his or her 2009 Award, unless required by applicable law. The Corporation in its sole discretion will determine the date of payment of the 2009 Awards;
provided that such date will not be later than March 15, 2010. If the Compensation Committee is unable to calculate 2009 EBITDA prior to March 15, 2010, the Compensation Committee will calculate 2009 EBITDA and the 2009 Awards will be paid
to Participants as soon as practical after March 15, 2010. 
 General Terms and Conditions 
 The 2009 Incentive Plan is not a contract or guarantee and it can be amended, modified, or terminated at any time by the Corporation and for any reason or
no reason, with or without notice. The Corporation, as finally determined by the Compensation Committee, retains complete discretion to pay or not pay a 2009 Incentive Plan payment as to each of its employees. 
 The 2009 Incentive Plan is not an employment contract for a definite period. Every Participant is an at-will employee. The Corporation or a Participant
may terminate the Participant’s employment at any time without notice. 
 The interpretation by the Corporation, as finally determined
by the Compensation Committee, of the terms of the 2009 Incentive Plan is final and binding on all Participants. 
 No financial incentive
under the 2009 Incentive Plan is earned, accrued, or vested after the date on which the Participant ceases to be employed by the Corporation for any reason, regardless of which party ends the employment relationship or the reason why the employment
relationship ended, or if Participant is no longer eligible to participate in the 2009 Incentive Plan for any reason, as determined by the Corporation. 
  

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 All currently applicable policies of the Corporation (e.g., Rewards Network Guide to
Compliance & Ethics: Do the Right Thing, Proprietary Information Policy, The Employee Handbook, or any fiscal policies) remain in effect and nothing contained in the 2009 Incentive Plan is intended to or will modify those policies.

 The 2009 Incentive Plan is governed by the internal laws of the State of Illinois (without regard to conflicts of law principles).

  

 4Form of Restricted Stock Unit Award Agreement

 Exhibit 10.2 
 REWARDS NETWORK INC. 
 RESTRICTED STOCK UNIT AWARD AGREEMENT 
 Rewards Network Inc., a Delaware corporation (the “Company”), hereby grants to
                         (the “Holder”), as of March 31, 2009 (the “Grant Date”),
pursuant to the provisions of the Company’s 2006 Long-Term Incentive Plan (the “Plan”), a restricted stock unit award (the “Award”) with respect to the number of shares determined in Section 3 below of the
Company’s Common Stock, $0.02 par value (“Stock”), upon and subject to the restrictions, terms and conditions set forth below. Capitalized terms not defined herein shall have the meanings specified in the Plan. 
 1. Award Subject to Acceptance of Agreement. The Award shall be null and void unless the Holder shall accept this Agreement by executing it in the
space provided below and returning it to the Company. 
 2. Rights as a Stockholder. The Holder shall not be entitled to any
privileges of ownership with respect to the shares of Stock subject to the Award unless and until, and only to the extent, such shares become vested pursuant to Section 4 hereof and the Holder becomes a stockholder of record with respect to
such shares. 
 3. Number of Shares Subject to Award. The number of shares subject to the Award shall be determined by the Committee
on or before March 15, 2010 and shall be equal to [            ] multiplied by the Holder’s 2009 Percentage determined under the Company’s 2009 Incentive Compensation Plan.
If the EBITDA Threshold under the Company’s 2009 Incentive Compensation Plan is not achieved, the Holder shall forfeit all rights under the Award and the Award shall be cancelled by the Company. 
 4. Vesting of Shares Subject to Award. 
 4.1. Vesting Requirement. The Award shall vest as follows: 
 (a) Vesting of 50% of the Award based on Time 

One-half of the Award (“Time-based Award”) shall vest on account of the Holder’s continued employment by the
Company as follows: (i) on the first anniversary of the Grant Date with respect to one-sixth of the number of shares of Stock subject to the Award, rounded up to the nearest whole share, (ii) on the second anniversary of the Grant Date
with respect to an additional one-sixth of the number of shares of Stock subject to the Award, rounded down to the nearest whole share and (iii) on the third anniversary of the Grant Date with respect to an additional one-sixth of the number of
shares of Stock subject to the Award, rounded down to the nearest whole share. 
 (b) Vesting of 50% of the Award based on Stock
Performance 
 One-half of the Award (“Stock Price-based Award”) shall vest on account of the Fair Market
Value of the Stock as follows: 
 One-sixth of the Award shall vest on the date that (a) is on or after the first
anniversary of the Grant Date and (b) is the date on which the average Fair Market Value of the Stock for the sixty previous trading days is equal to or greater than a First Tranche Stock Price determined by the Committee. 

 One-sixth of the Award shall vest on the date that (a) is on or after the first
anniversary of the Grant Date and (b) is the date on which the average Fair Market Value of the Stock for the sixty previous trading days is equal to or greater than a Second Tranche Stock Price determined by the Committee. 
 One-sixth of the Award shall vest on the date that (a) is on or after the first anniversary of the Grant Date and (b) is the
date on which the average Fair Market Value of the Stock for the sixty previous trading days is equal to or greater than a Third Tranche Stock Price determined by the Committee. 
 If any of the above vesting requirements is not met on or before the third anniversary of the Grant Date, then the Holder shall forfeit
all rights with respect to the Stock Price-based Award shares of Stock which are not vested as of the third anniversary of the Grant Date and such unvested portion of the Award shall be cancelled by the Company. 
 (c) Acceleration upon Change in Control 
 (i) If there is a Change in Control, vesting of Time-based Award shall be accelerated as provided in Section 7(f) of the Plan. 
 (ii) If there is a Change in Control, the vesting of the Stock Price-based Award shall be accelerated as follows: 
 One-sixth of the Award shall vest on the date of the Change in Control if the Fair Market Value of the Stock on the date of the Change in
Control is equal to or greater than the First Tranche Stock Price. 
 One-third of the Award shall vest on the date of the
Change in Control if the Fair Market Value of the Stock on the date of the Change in Control is equal to or greater than the Second Tranche Stock Price. 
 One-half of the Award shall vest on the date of the Change in Control if the Fair Market Value of the Stock on the date of the Change in Control is equal to or greater than the Third Tranche Stock Price. 

If any of the above vesting requirements is not met on the date of the Change in Control, then the Holder shall forfeit all rights with
respect to the shares subject to the Stock Price-based Award which are not vested on the date of the Change in Control and such unvested portion of the Award shall be cancelled by the Company. 
  

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 (iii) If the Change in Control occurs in 2009, the number of shares subject to the Award
shall be determined at the discretion of the Compensation Committee pursuant to section 4(c) of the Plan. 
 5. Cancellation of unvested
Award upon termination. If the Holder’s service with the Company terminates for any reason (except as provided in Section 7(f) of the Plan), the Holder shall forfeit all rights with respect to the shares of Stock which are not vested
as of the effective date of the Holder’s termination of service and such unvested portion of the Award shall be cancelled by the Company. 
 6. Termination of Award. In the event that the Holder shall forfeit all or a portion of the shares of Stock subject to the Award, the Holder shall, upon the Company’s request, promptly return this Agreement to the Company for
cancellation. Such cancellation shall be effective regardless of whether the Holder returns this Agreement. 
 7. Additional Terms and
Conditions of Award. 
 7.1. Nontransferability of Award. The Award is not transferable by the Holder except by will or the laws of
descent and distribution (or to a designated Beneficiary in the event of the Holder’s death), provided, however, that with the written consent of the Committee the Award may be transferred to one or more Beneficiaries during the lifetime of the
Holder in connection with the Holder’s estate planning, consistent with the registration of the offer and sale of Stock on Form S-8 or Form S-3 or a successor registration form of the Securities and Exchange Commission. The Award may not be
pledged, mortgaged, hypothecated or otherwise encumbered and shall not be subject to the claims of creditors. 
 7.2. Investment
Representation. The Holder hereby represents and covenants that (a) any share of Stock acquired upon the vesting of the Award will be acquired for investment and not with a view to the distribution thereof within the meaning of the
Securities Act of 1933, as amended (the “Securities Act”), unless such acquisition has been registered under the Securities Act and any applicable state securities law; (b) any subsequent sale of any such shares shall be made either
pursuant to an effective registration statement under the Securities Act and any applicable state securities laws, or pursuant to an exemption from registration under the Securities Act and such state securities laws; and (c) if requested by
the Company, the Holder shall submit a written statement, in form satisfactory to the Company, to the effect that such representation (x) is true and correct as of the date of acquisition of any shares hereunder or (y) is true and correct
as of the date of any sale of any such shares, as applicable. As a further condition precedent to the delivery to the Holder of any shares subject to the Award, the Holder shall comply with all regulations and requirements of any regulatory
authority having control of or supervision over the issuance of the shares and, in connection therewith, shall execute any documents which the Board or any committee authorized by the Board shall in its sole discretion deem necessary or advisable.

 7.3. Adjustment. In the event that the Committee shall determine that any dividend or other distribution (whether in the form of
cash, Stock or other property), recapitalization, forward or reverse split, reorganization, merger, consolidation, spin-off, combination, repurchase or share exchange, or other similar corporate transaction or event, affects the Stock such that an
adjustment is appropriate to prevent dilution or enlargement of the 

  

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rights of the Holder under the Award, then the Committee shall, in such manner as it may deem equitable, adjust the number and class of securities subject to
the Award. In addition, the Committee is authorized to make adjustments in the stock price criteria set forth in Section 4.1(b) in recognition of unusual or nonrecurring events (including, without limitation, events described in the preceding
sentence) affecting the Company or any subsidiary or the financial statements of the Company or any subsidiary, or in response to changes in applicable laws, regulations or accounting principles. The decision of the Committee regarding any such
adjustment shall be final, binding and conclusive. 
 7.4. Compliance with Applicable Law. The Award is subject to the condition that
if the listing, registration or qualification of the shares subject to the Award upon any securities exchange or under any law, or the consent or approval of any governmental body, or the taking of any other action is necessary or desirable as a
condition of, or in connection with, the vesting or delivery of shares hereunder, the shares of Stock subject to the Award shall not vest or be delivered, in whole or in part, unless such listing, registration, qualification, consent or approval
shall have been effected or obtained, free of any conditions not acceptable to the Company. The Company agrees to use reasonable efforts to effect or obtain any such listing, registration, qualification, consent or approval. 
 7.5. Delivery of Certificates. Within 10 days after the vesting of the Award, in whole or in part, the Company shall deliver or cause to be
delivered one or more certificates issued in the Holder’s name (or such other name as is acceptable to the Company and designated in writing by the Holder) representing the number of vested shares. The Company shall pay all original issue or
transfer taxes and all fees and expenses incident to such delivery. 
 7.6. Award Confers No Rights to Continued Employment. In no
event shall the granting of the Award or its acceptance by the Holder give or be deemed to give the Holder any right to continued employment by the Company. 
 7.7. Decisions of Board or Committee. The Board or the Committee shall have the right to resolve all questions which may arise in connection with the Award. Any interpretation, determination or other action
made or taken by the Board or the Committee regarding the Plan or this Agreement shall be final, binding and conclusive, including, without limitation, determining the 2009 Percentage of the Holder. 
 7.8. Company to Reserve Shares. The Company shall at all times prior to the cancellation of the Award reserve and keep available, either in its
treasury or out of it authorized but unissued shares of Stock, the full number of unvested shares subject to the Award from time to time. 
 7.9. Agreement Subject to the Plan. This Agreement is subject to the provisions of the Plan and the 2009 Incentive Compensation Plan and shall be interpreted in accordance therewith. The Holder hereby acknowledges receipt of a copy
of the Plan and the 2009 Incentive Compensation Plan. 
  

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 8. Miscellaneous Provisions. 
 8.1. Meaning of Certain Terms. As used herein, the term “vest” shall mean no longer subject to forfeiture. 
 8.2. Successors. This Agreement shall be binding upon and inure to the benefit of any successor or successors of the Company and any person or
persons who shall, upon the death of the Holder, acquire any rights hereunder in accordance with this Agreement or the Plan. 
 8.3.
Notices. All notices, requests or other communications provided for in this Agreement shall be made, if to the Company, to Rewards Network Inc., Attention: General Counsel, Two North Riverside Plaza, Chicago, Illinois 60606, and if to the
Holder, to the last known address contained in the records of the Company. All notices, requests or other communications provided for in this Agreement shall be made in writing either (a) by personal delivery to the party entitled thereto,
(b) by electronic mail or facsimile with confirmation of receipt, (c) by mailing in the United States mails to the last known address of the party entitled thereto or (d) by express courier service. The notice, request or other
communication shall be deemed to be received upon personal delivery, upon confirmation of receipt of electronic mail or facsimile transmission, or upon receipt by the party entitled thereto if by United States mail or express courier service;
provided, however, that if a notice, request or other communication is not received during regular business hours, it shall be deemed to be received on the next succeeding business day of the Company. 
 8.4. Governing Law. This Agreement, the Award and all determinations made and actions taken pursuant hereto and thereto, to the extent not
otherwise governed by the laws of the United States, shall be governed by the laws of the State of Delaware and construed in accordance therewith without giving effect to conflicts of laws principles. 
 8.5. Counterparts. This Agreement may be executed in two counterparts each of which shall be deemed an original and both of which together shall
constitute one and the same instrument. 
  

			
	REWARDS NETWORK INC.
		
	By:	 	  

	Name:	 	 Ronald L. Blake

	Title:	 	 President and Chief Executive Officer

  

	
	Accepted this      day of                 , 2009.
	
	  

	Holder

  

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