Document:

Exhibit

Exhibit 10.1

	
			
	2017 Executive Performance Agreement - Covered Executives

	Pursuant to the Cerner Corporation Performance-Based Compensation Plan, as amended and restated May 27, 2016 (as amended, the "162(m) Plan")

Plan Metrics
Your annual Target Bonus Level (TBL) is $«Total_TBL».
Your "Total Opportunity" will be based on attainment of the following Performance Metric:
	
					
	Weighting
	Performance Metric
	Timing Code
	PF Applies
	Scope

	100%
	Earnings per Share
	Y
	Yes
	Corporate

Depending on whether the achievement of the Performance Metric is at, below or above the target metric amount (i.e. 100% Attainment of Performance Metric), your calculated Total Opportunity earned will be increased or decreased in accordance with the table set forth below.  This calculated Total Opportunity incentive payment amount, whether or not adjusted based on the Attainment Percentage of the Performance Metric, may also be reduced as described herein.
MAXIMUM PAYOUT
Subject to reduction described below, if the established Performance Metric is achieved, you will be eligible to be paid up to a maximum of 165% of your TBL, which for the current year would result in a maximum payout opportunity of $«MXP».  This maximum level of award can be reduced by up to 25% of your TBL (which reduces the maximum level of award down to 140% of your TBL based on the metrics as set forth in the table below ("Performance Metric Payout")), if either your PF rating is less than a PF rating of "Outstanding" or "Distinguished" (but which is at least "Highly Valued") or management or the Compensation Committee, as applicable, does not elect to factor in individual PF ratings. The decision by management or the Compensation Committee to factor in individual PF ratings is purely discretionary.  So even if a certain percentage of the Performance Metric is attained, management or the Compensation Committee could still decide to reduce your amount earned solely to the Performance Metric Payout set forth in the table below.

	
			
	 	Attainment % of Performance Metric
	 TBL Payout % 

	 
	 	103%
	140%

	 	102%
	120%

	 	100% (target)
	100%

	 	98%
	75%

	 	97%
	50%

	 	<97%
	0%

PAYOUT REDUCTION - BASED ON PERFORMANCE FACTOR
You will receive a quarterly and an annual PF rating determined by your direct manager, which rating may affect the Total Opportunity incentive payment calculation as set forth below.

A PF rating of "Needs Development" or "Unacceptable" for any quarter or for the year may result in a 0-100% reduction of your Performance Metric Payout and an automatic reduction equal to 25% of the maximum level of your TBL.  If you receive a "Highly Valued" rating for any quarter or for the year, you will only receive a payment equal to the Performance Metric Payout as there will be an automatic reduction equal to 25% of the maximum level of your TBL.  Any reductions in calculated TBL incentive payments resulting from a "Needs Development" or "Unacceptable" PF rating may not be earned back.

	
		
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© Cerner Corporation.  All rights reserved.  

Payment Terms, Schedule and Criteria
Terms
Payment for Y Timing Code Metrics
Payment for cumulative YTD metrics (Y Timing Code) will be calculated quarterly based on approved quarterly targets that build cumulatively to a full-year target.  For each of the first three quarters of the year, you will be eligible to be paid 15% of your annual TBL opportunity based on these metrics.  At year-end, 55% of your annual TBL opportunity will be calculated based on the full-year targets.

Timing Code definitions of specific payment timing are located in the CPP Glossary (effective January 1, 2017) located on uCERN.

Changes to your TBL, based on any compensation adjustments, will be reflected in payment calculations on a pro-rata basis for the appropriate quarters. As a Covered Executive, your first quarter performance-based compensation opportunity is based on (i) your TBL approved last year and (ii) the approved 162(m) Plan quarterly metrics established during the first 25% of such first quarter. Your second and third quarter and year-end performance-based compensation opportunity is based on (i) your new TBL approved this year and (ii) the approved 162(m) Plan quarterly and year-end 162(m) metrics, both as established by the Compensation Committee at the end of the first quarter (usually in March).  In no event may your TBL or 162(m) Plan metrics change after being established by the Compensation Committee.
The year-end calculation of payments will not affect amounts earned for previous quarters; however, if management or the Compensation Committee, as applicable, elects to factor in PF ratings of "Outstanding" or "Distinguished", such PF ratings will apply to amounts earned for the full year.
Corrections to prior period payments may be made and applied to current period payments earned to ensure accurate incentive payments.
Timing
Payment of earned TBL will be made approximately sixty (60) days after the end of a quarter in which such payment is earned.
Criteria
		
	1.
	In order to be eligible for any payments under this Agreement, Cerner must have received your signed Cerner Associate Employment Agreement, which governs the terms and conditions of your employment with Cerner.

		
	2.
	Participation under this Agreement begins as of the beginning of the first full quarter of employment in, or assignment to, an eligible role under Cerner's 162(m) Plan.  If you are newly eligible to participate under this Agreement, you will satisfy the "full quarter" requirement as long as you are actively working within the first sixteen (16) working days of the quarter.

		
	3.
	Payments under Cerner's 162(m) Plan for any one quarter or the year will be forfeited if you fail to complete performance reviews/self-appraisals as required by Cerner's Human Resources group. Any balance of the payout that could have been attained is forfeited and will not be paid in subsequent quarters.

		
	4.
	Exceptions to the above items will be considered and determined by the Plan Administrator(s), in its sole discretion.

Other Considerations
		
	1.
	Termination of Eligibility: Your eligibility under the 162(m) Plan will be terminated immediately in the event of termination of employment with Cerner Corporation or any of its subsidiaries ("Cerner"), for any reason (voluntarily or involuntarily), or transfer to a non-Cerner Performance Plan (CPP) eligible role. Payments are earned only for completed periods (quarters, semi-annual, or annual metrics); i.e., if employment with Cerner is terminated or if participation in the 162(m) Plan is otherwise terminated at any time before the completion of a period, no incentive will be earned or paid for that period. You will be entitled to payment for the earned CPP incentive only if you are employed in your CPP-eligible role on the last day of the fiscal period. The 2017 fiscal year calendar can be found in Exhibit III of the CPP Glossary (effective January 1, 2017) available on uCERN.

		
	2.
	Leave of Absence:  If you are not actively at work for more than six weeks of any quarter, your Total Opportunity will be reduced as set forth in the CPP Leave Policy (located on uCERN).

		
	3.
	Repayments to Cerner: In the event your employment is terminated, for any reason (voluntarily or involuntarily), and you owe money to Cerner, for any reason, or you are required to return incentive payments, Cerner may deduct the amounts owed from all accounts due to you, such as salary, advances, vacation pay, expense reimbursements, incentive payments, and other Cerner monies owed to you. To the extent such amounts are not setoff, you will 

	
		
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© Cerner Corporation.  All rights reserved.  

remain liable for any remaining balance. Cerner reserves the right to collect any outstanding balance through legal means if necessary.
		
	4.
	Incentive Payment Recovery; Clawback:

		
	a.
	In the Event of a Restatement.  If Cerner implements a Mandatory Restatement (as defined in Section 11(viii) of the 162(m) Plan), which restatement relates in whole or in part to the 2017 fiscal year or prior years while you were eligible for CPP, some or all of any amounts paid as an incentive payment earned by you under this Agreement and related to such restated period(s) shall be recoverable and,  as determined appropriate by Cerner's Board of Directors, must be repaid within ninety (90) days of such restatement(s) or such other period as determined by the Board of Directors.  The amount which must be repaid, if any as determined by the Board of Directors, will be up to the amount by which the compensation paid or received exceeds the amount that would have been paid or received based on the financial results reported in the restated financial statement, in each case determined by the Plan Administrator.  Any amount required to be repaid may be repaid directly by you, setoff against future amounts owed to you by Cerner under this Agreement (if such amounts will be earned and paid within the ninety (90) day payment period) or any other amount owed to you by Cerner, as permitted by applicable law, or paid as otherwise agreed in writing between you and Cerner. Cerner will not be required to award additional CPP payments should the restated financial statements result in a higher CPP payout.

		
	b.
	In the Event of Fraud or Misconduct.  Additionally, if Cerner implements a Mandatory Restatement, which restatement relates in whole or in part to the 2017 fiscal year or prior years while you were eligible for CPP, all amounts paid as an incentive payment earned by you under this Agreement and related to such restated period(s) shall be fully recoverable if it is determined by Cerner’s Board of Directors that you engaged in fraud or misconduct that caused or partially caused the need for the restatement and must be repaid within ninety (90) days of such restatement(s) or such other period as determined by the Board of Directors.  Any amount required to be repaid may be repaid directly by you, setoff against future amounts owed to you by Cerner under this Agreement (if such amounts will be earned and paid within the ninety (90) day payment period) or any other amount owed to you by Cerner, as permitted by applicable law, or paid as otherwise agreed in writing between you and Cerner.

		
	c.
	Dodd-Frank Clawback. Additionally, any amounts paid under the 162(m) Plan and this Agreement may be subject to certain provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (“Dodd-Frank”) that will require Cerner to recover certain amounts of incentive compensation paid to certain executive officers if Cerner is required to prepare an accounting restatement due to the material noncompliance of Cerner with any financial reporting requirements under any applicable securities laws. By participating in the 162(m) Plan and whether or not any compensation is ultimately paid hereunder, you agree and consent to any forfeiture or required recovery or reimbursement obligations of Cerner with respect to any compensation paid to you that is forfeitable or recoverable by Cerner pursuant to Dodd-Frank and in accordance with any Cerner policies and procedures adopted by the Compensation Committee in order to comply with Dodd Frank, even if such policies or procedures are adopted in the future.

		
	5.
	Modifications to this Agreement: The Plan Administrator reserves the right, in its sole discretion, to interpret and modify this Agreement: (a) during the performance period to coincide with changing corporate objectives, and (b) during or after the performance period to: (i) avoid windfall payments unintentionally derived from the 162(m) Plan design that may result from the highly variable nature of many Client Agreement(s) or market conditions and/or (ii) adjust payments or terminate this Agreement when an Associate's performance has been documented by management to be unacceptable. Such modifications will occur only under the authority of the Plan Administrator(s), in its sole discretion.  Any component of this Agreement may be adjusted to ensure that you receive adequate, yet reasonable, compensation.  In no event may the Plan Administrator (i) increase the amount of compensation payable that would otherwise have been payable upon the attainment of the original performance metric, as such metric was established during the initial allowable period of time under Section 162(m) of the Internal Revenue Code for establishing "performance-based compensation" or (ii) make any modifications or interpretations to the 162(m) Plan which will jeopardize the deductibility of performance-based compensation payable hereunder, unless the Plan Administrator expressly acknowledges in connection with the modification or interpretation that the availability of Internal Revenue Code Section 162(m)'s performance-based compensation exemption is not desired.

Capitalized terms used but not otherwise defined in this Agreement have the meanings set forth in the CPP Glossary (effective January 1, 2017).

	
		
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© Cerner Corporation.  All rights reserved.Exhibit

CERNER CORPORATION 2011 OMNIBUS EQUITY INCENTIVE PLAN - TIME-BASED RSU AGREEMENT

(Continued from the Notice of Grant of Award and the RSU Award Agreement)
WHEREAS, the Compensation Committee of the Board of Directors or its duly appointed subcommittee or authorized delegatee (the "Committee") of Cerner Corporation ("the Company") has determined that Grantee (the "Participant") is eligible to receive a Time-Based Restricted Stock Unit ("RSU") Grant under the Company’s 2011 Omnibus Equity Incentive Plan, as Amended & Restated May 22, 2015 (the "Plan"), as so indicated in the Notice of Grant of Award, which together with the RSU Award Agreement and this Time-Based RSU Agreement, constitutes the "Agreement";

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

1. Incorporation of the Plan.  A copy of the Plan is incorporated herein by reference and all the terms, conditions and provisions contained therein shall be deemed to be contained in this Agreement.

2. RSU Grant.  Pursuant to the authorization of the Committee, and subject to the terms, conditions and provisions contained in this Agreement, the Company hereby grants to the Participant a Time-Based RSU Award (the "Award") upon the vesting of which the Participant will be paid an aggregate number of shares of Company Common Stock (the "Shares") as set forth in the Notice of Grant of Award.  The date of grant of the Award (the "Grant Date") shall for all purposes be as set forth in the Notice of Grant of Award.

3. Rights as a Shareholder.  The Participant shall have no right to receive actual dividends or other distributions (if any) with respect to the RSUs; provided, however, that if a dividend or other distribution (including, without limitation, a stock dividend) shall be made on Shares, dividend equivalents equal to the amount and type of property that otherwise would have been transferred to the Participant if each RSU was an actual Share shall be credited and accumulated in a non-interest bearing Company bookkeeping account and shall be subject to the same vesting schedule and other terms, conditions and restrictions as the RSUs on which such dividend equivalents relate. In connection with the payment of any dividend equivalents, the Company may deduct any taxes or other amounts required by any governmental authority to be withheld and paid over to such authority for the account of the Participant.   Participant shall have no shareholder voting rights with respect to any RSUs unless and until Shares are actually distributed in connection with the Vesting of the RSUs.  Notwithstanding anything to the contrary, prior to the date on which the RSUs and any dividend equivalents received under Section 3 hereof (the "Aggregate RSU Consideration") Vest pursuant to Section 5, such Aggregate RSU Consideration shall be subject to the restrictions on transferability contained in Section 6 hereof.

4. Custody and Delivery of Shares.  Unless otherwise requested by Participant, any Share issued pursuant to this Agreement in connection with the vesting and settlement of an RSU will be distributed in street name on or within 30 days following the Vest Date and held in the Participant’s account at Morgan Stanley or other broker that the Company may choose (the "Broker").  Prior to the Vest Date, the grant of the RSUs will be recorded in the Company’s books and records.  Company will reflect in its records the restrictions under which the Aggregate RSU Consideration is held and will not allow distribution or transfer of any Aggregate RSU Consideration prior to the date on which such Aggregate RSU Consideration Vests pursuant to Section 5 below.   Shares will be distributed only on or after the Vest Date, only if the requirements of vesting set forth in this Agreement are met and only if the Committee elects to settle the RSU by payment of a Share.  The Company will pay all original issue or transfer taxes and all fees and expenses incident to the delivery of any Aggregate RSU Consideration hereunder.

5. Vesting and Forfeiture.  Except as otherwise provided in the Plan or this Agreement, the Aggregate RSU Consideration subject to this Award shall be distributed, become transferable and shall cease to be subject to forfeiture ("Vest" or "Vesting") on the date(s) and in the amounts set forth in the Notice of Grant of Award (the "Vest Date") provided Participant remains an employee ("associate"), consultant or advisor of the Company from the Grant Date through the Vest Date as defined in the Notice of Grant of Award.  This Grant will expire, in part or in whole as applicable, if Participant's employment or other service relationship with Company ends before the Vest Date for any reason (other than on account of death or disability within period described below).  In the event of the death or disability of the Participant within the ninety (90) day period immediately preceding the Vest Date, and assuming the Participant continuously served as an associate, consultant or advisor through the date of such death or disability, then the Aggregate RSU Consideration with respect to the RSUs scheduled to vest on such Vest Date shall Vest on the date of such death or disability; otherwise the Award shall immediately terminate with respect to any then unvested RSUs and the remaining Aggregate RSU Consideration shall be forfeited to the Company upon such death or disability. In the event such Participant is terminated or resigns, then any unvested portion of the Award and unvested Aggregate RSU Consideration shall immediately terminate and shall be forfeited to the Company.

 

6. Non-Transferability of Award.  Prior to the date on which any Aggregate RSU Consideration Vests pursuant to Section 5 hereof, none of the RSUs nor any right to receive a Share upon the settlement thereof, nor any other rights to receive any Aggregate RSU Consideration, may be sold, transferred, assigned, pledged, hypothecated, encumbered or otherwise disposed of (whether by operation of law or otherwise) or be subject to execution, attachment or similar process.  Any such attempted sale, transfer, assignment, pledge, hypothecation or encumbrance, or other disposition of such Aggregate RSU Consideration or any rights relating thereto shall be null and void.

7. Securities Laws.  Participant hereby represents and covenants that if in the future the Participant decides to offer or dispose of any Shares obtained in connection with the Vesting of an RSU, the Participant will do so only in compliance with this Agreement, the Securities Act of 1933, as amended, and all applicable state securities laws.  As a condition precedent to the delivery to Participant of the Aggregate RSU Consideration, Participant shall comply with all regulations and requirements of any regulatory authority having control or supervision over the issuance of the Aggregate RSU Consideration and, in connection therewith, shall execute any documents and make any representation and warranty to the Company which the Committee shall in its sole discretion deem necessary or advisable.

8. Withholding with Shares.  Unless specifically denied by the Committee, Participant may elect to pay all amounts of tax withholding, or any part thereof, by electing to have the Company withhold from the Shares otherwise eligible to be issued in connection with the Vesting of an RSU from the same RSU tranche a number of Shares having a value equal to the applicable amount to be withheld under federal, state or local law and in accordance with the Plan.  The value of such Shares to be withheld by the Company shall be based on the Fair Market Value of the Shares on the date that the amount of tax to be withheld is to be determined (the "Tax Date"), as determined by the Committee.  Any election by the Participant to have such Shares withheld for this purpose will be subject to the following restrictions:
    (a) All elections must be made prior to the Tax Date;
    (b) All elections shall be irrevocable; and
(c) If Participant is an officer or director of the Company within the meaning of Section 16 of the 1934 Act ("Section 16"), the Participant must satisfy the requirements of Section 16 and any applicable rules thereunder with respect to the use of Shares to satisfy such tax withholding obligation.

9. Notices.  Any notices or other communications required or allowed to be made or given to the Company under the terms of this Agreement shall be addressed to the Company in care of its President at its offices at 2800 Rockcreek Parkway, North Kansas City, Missouri 64117, and any notice to be given to the Participant shall be addressed to the Participant at the address in the Company's records.  Either party hereto may from time-to-time change the address to which notices are to be sent to such party by giving written notice of such change to the other party.  Any notice hereunder shall be deemed to have been duly given five (5) business days after registered and deposited, postage and registry fee prepaid, in a post office regularly maintained by the United States government.

10. Clawback.   Participant acknowledges that the Award may be subject to certain provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 ("Dodd-Frank") that will require the Company to recover certain amounts of incentive compensation paid to certain executive officers if the Company is required to prepare an accounting restatement due to the material noncompliance of the Company with any financial reporting requirements under any applicable securities laws.  By accepting this Award, whether or not any compensation is ultimately paid hereunder, Participant agrees and consents to any forfeiture or required recovery or reimbursement obligations of the Company (including rendering Participant’s future wages subject to withholding by the Company) with respect to any compensation paid to Participant that is forfeitable or recoverable by the Company pursuant to Dodd-Frank and in accordance with any Company policies and procedures adopted by the Compensation Committee in order to comply with Dodd Frank, even if such policies or procedures are adopted after the grant date of this Award and as the same may be amended from time to time.

11. Binding Effect and Assignment.  This Agreement shall bind the parties hereto, but shall not be assignable by Participant.

12. Governing Law.  This Agreement shall be construed in accordance with the laws of the State of Missouri.  
This Agreement has been issued by the Company by its duly authorized representatives and shall be effective as of the day and year written in the Notice of Grant of Award.

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