Document:

EXHIBIT
  10.13G
	
   

	
   
	
   
	
   

	
   
	
  COMPENSATION
  OF DIRECTORS
	
   

	
   
	
   
	
   

	
   
	
  Directors who are also
  employees of State Street Corporation or State Street Bank and Trust Company
  do not receive any compensation for serving as directors or as members of
  committees. The compensation for the non-management directors of State Street
  is reviewed and determined annually by the Executive Compensation Committee
  of the Board of Directors. For the period April 2004 through March 2005,
  directors who are not employees of State Street or the Bank received the
  following compensation:
	
   

	
   
	
   
	
   

	
   
	
   
	
  •
	
   annual retainer—$50,000, payable at their option in shares of
  common stock of State Street or in cash, 
	
   

	
   
	
   
	
   
	
   
	
   

	
   
	
   
	
  •
	
   meeting fees—$1,500 for each Board and committee meeting
	
   

	
   
	
   
	
   
	
   
	
   

	
   
	
   
	
  • 
	
  an award of 2,067 shares of
  deferred stock, payable (together with additional stock amounts to reflect
  dividend and distribution amounts paid during deferral) after the director
  leaves the Board.
	
   

	
   
	
   
	
   

	
   
	
  For this period, one
  outside director elected to receive his annual retainer in cash, and all
  other outside directors elected to receive their annual retainer in shares of
  common stock. The directors may elect to defer either 50% or 100% of fees and
  compensation payable during any calendar year pursuant to State Street’s
  Deferred Compensation Plan for Directors, until after the director leaves the
  board or attains a specified age. Under the plan, deferred cash amounts
  accrue interest during deferral at a rate equal to the effective yield on
  360-day Treasury bills, and deferred stock amounts are adjusted to reflect
  dividend and distribution amounts paid during deferral. Three directors have
  elected to defer compensation under the plan.
	
   

	
   
	
   
	
   

	
   
	
  Directors receive travel
  accident insurance and are entitled to receive reimbursement for travel
  expenses or to be provided transportation in attending Board meetings and
  functions, and complimentary parking at State Street’s headquarters building
  in Boston.
	
   

136Exhibit 10.20

ITRON

     KNOWLEDGE TO SHAPE YOUR FUTURE

================================================================================
LONG-TERM PERFORMANCE PLAN
SPECIFICATIONS & GUIDELINES
================================================================================

ITRON, INC.

AMENDED BY THE
COMPENSATION COMMITTEE OF
THE BOARD OF DIRECTORS ON
FEBRUARY 16, 2005

This document constitutes part of a prospectus for securities that have been
registered under the Securities Exchange Act of 1933, as amended, and
supplements a Plan Summary dated May 28, 2004 for the Itron, Inc. Amended and
Restated 2000 Stock Incentive Plan.

Purpose

<PAGE>

Long-term incentives serve to align, motivate and reward executives for their
contributions to the long-term financial success and growth of the Company. The
objectives for the Long-Term Performance Plan (or LTPP) are to:

o    Provide a greater long-term orientation and competitiveness to total
     compensation for Itron executives, by establishing a performance-based
     component, paid out in Itron restricted stock, in addition to or as a
     replacement for the existing stock option plan;

o    Align individual executive rewards with shareholder value over a long-term
     period, based on the achievement of predetermined annual objectives whose
     achievement will be rewarded with Itron restricted stock to be vested after
     a three-year waiting period; and

o    Enable Itron to meet competitive total compensation needs in attracting and
     retaining critical executive talent.

Overview

The Long-Term Performance Plan is a performance unit plan, with awards that are
contingent on the attainment of annual performance goals. The length of each
performance period will be one year, unless the Compensation Committee of the
Board of Directors provides otherwise. At the beginning of the performance
period, goals are established which are designed to measure the degree of
business success over the timeframe. The Compensation Committee reviews and
approves goals that are recommended by management. At the end of the period,
performance against the goals is assessed and payouts are determined.

Business results for Itron will be measured over the performance period. Payout
will be in restricted Itron shares with a vesting period of three years, which
will both serve as an executive retention tool and tie executive performance to
shareholder value.

Eligibility

Eligibility for the plan will include senior management and key executives who
impact organization-wide results. Actual participation will be based on
recommendation by the Chief Executive Officer and approval by the Compensation
Committee. Current plan participants are recapped in the attached appendix.
Other executives may be eligible for future awards, upon recommendation of the
Chief Executive Officer and approval by the Compensation Committee.

Participation in the Long-Term Performance Plan for a given period will not be
construed to confer a right to participate in the plan in any subsequent period,
or the right to continue in the Company's employment.

Award Opportunities

Award opportunities will be established for each executive at the beginning of
the performance period. Awards will be calculated as a percentage of base salary
that is in existence on the last day of the performance period and expressed as
a dollar amount. Award opportunities will increase or decrease as performances
goes beyond or falls short of the performance objectives for that performance
period.

In addition, threshold and maximum award levels will be established as a percent
of the LTPP Target.

<PAGE>

Annually, Itron establishes a Target Annual Plan (TAP) for the coming year.
Goals, financial and otherwise, as established in the TAP do not necessarily
reflect the same goals that will be used for the LTPP.

Performance Measurement

At the beginning of each performance period, the Chief Executive Officer will
recommend and communicate the specific range of performance objectives for the
Company to the Compensation Committee. The goals and the key performance factors
will be reviewed and approved by the Compensation Committee.

     Performance Measures

     Performance objectives will be set on the basis of corporate plans for the
     following performance period, condition of the utility industry and
     competitive performance in the market place. In the process of determining
     appropriate LTPP goals, consideration will be given to proposed
     acquisitions, financing and other major issues that could have material
     impact on the financial performance of the Company. Typical performance
     measures may include but are not limited to: Revenue Growth, Earnings
     Growth, Cash Flow, Return on Capital Employed, Net Operating Profit after
     Tax, Normalized Earnings per Share or a combination of measures.

     Performance Weighting

     Corporate performance will determine 100% of the award for all plan
     participants. Performance for other organization levels, i.e. business
     unit, product group, etc., may be included in future performance periods.

     Performance/Payout Relationship

     A range of performance levels -- including threshold, LTPP Target, and
     maximum -- and associated payouts will be established at the beginning of
     the performance period. As well, in any performance period performance
     hurdles could be established. At the end of each performance period,
     Itron's actual performance against the goals established for that
     performance period will be assessed and the resulting payouts determined.

     Performance and payout opportunity will be expressed as a percentage of the
     LTPP Target Award. For example, achieving 100% of the performance goals
     would result in participants receiving 100% of the LTPP Target Award.

     Payouts will be linearly interpolated for performance achievement between
     the indicated levels. The Compensation Committee may use discretion to set
     threshold levels and determine final award payouts.

     Pro forma Results

     In calculating performance attainment, pro forma results will generally be
     used. Pro forma results, as defined, will be GAAP numbers adjusted for
     IPR&D, amortization of intangibles, restructuring charges and other
     extraordinary events subject to approval by the Compensation Committee of
     the Board. Adjustments to GAAP for the purpose of pro forma results will be
     discussed with the Compensation Committee at the time of the event and
     confirmed by the Compensation Committee at its next scheduled meeting.
<PAGE>

Payouts

Payouts will be announced as soon after the end of the performance period as
practical, and be in the form of restricted stock with a three-year cliff
vesting period. The number of shares of restricted stock to be paid out to
participants will be determined by dividing the dollar amount of the award
payout by the fair market value of Itron common stock on the date the
Compensation Committee approves the payout.

The dollar amount of the award payout will be a percentage of the eligible
employee's base pay as shown below in one of three tiers. Base pay will be the
employee's annual salary as of the last day of the performance period. The tier
structure can be changed at the recommendation of the Chief Executive Officer
and the approval of the Compensation Committee of the Board of Directors.

-----------------------------------------------------------------------
                                                             % OF BASE
  TIER     POSITION                                           SALARY
-----------------------------------------------------------------------
  Tier I   Chairman & Chief Executive Officer                  75%
           President & Chief Operating Officer                 75%
-----------------------------------------------------------------------
-----------------------------------------------------------------------
  Tier II  Sr. Vice President and Chief Financial Officer      50%
           Sr. Vice President and General Counsel              50%
           Sr. Vice President Hardware                         50%
           Sr. Vice President Software                         50%
           Vice President Competitive Resources                50%
           Vice President Investor Relations                   50%
           Vice President International                        50%
           Vice President Marketing                            50%
           Vice President Business Operations                  50%
           Vice President  Itron Electric Metering             50%

-----------------------------------------------------------------------
-----------------------------------------------------------------------
 Tier III  For future consideration                            25%

-----------------------------------------------------------------------

<PAGE>

Deferral Option

In order to provide executives flexibility to meet individual financial needs
and Itron's executive stock ownership guidelines, participants will have the
option to defer all or a portion of the award on a nonqualified basis in
accordance with the applicable plan and procedures.

New Participants

An employee hired into an eligible position during a performance period may
begin participation in the subsequent performance period or, at the
recommendation of the Chief Executive Officer and approval by the Compensation
Committee, in the ongoing performance period. New participants permitted to join
an ongoing performance period will be eligible to receive a prorate payout based
on the number of full months worked during the performance period. New
participants in the plan will be nominated by the Chief Executive Officer and
approved by the Compensation Committee.

Changes in Employment

Participants who terminate employment during a performance period for any reason
other than termination for Cause (as defined in the Company's Amended and
Restated 2000 Stock Incentive Plan), including voluntary termination, discharge
by the Company, death, disability, or retirement will receive a modified payout
determined by multiplying 1/3 of the total payout amount the participant would
have received had the participant remained employed through the end of the
performance period by the quotient obtained by dividing (a) the number of full
months worked during the performance period by (b) the 12 months in the
performance period. For participants who terminate employment for any reason
other than termination for Cause, including voluntary termination, discharge by
the Company, death, disability, or retirement during the vesting period for
restricted stock issued in connection with a prior performance period, the
restricted stock will vest on a prorate basis depending on the number of
completed years in the vesting period (1/3, 2/3, or 100%). Employees who are
dismissed for Cause will forfeit their award payment(s).

Change-of-Control

All outstanding awards will be accelerated and paid out at maximum levels
immediately prior to a change-of-control of the Company and payout will be in
the form of fully vested shares of Itron common stock. In addition, any
outstanding unvested restricted stock issued in connection with a prior
performance period will accelerate in full immediately prior to a
change-of-control of the Company. "Change-of-control" will be consistent with
the language in the Company's standard change of control agreements in effect at
the time.

Tax Consequences

Participants will not be deemed to receive income at the time an award is
granted. Likewise, participants will not be deemed to receive income at the time
an award is paid in shares of restricted stock. However, participants will
generally recognize taxable ordinary income when the restricted stock ceases to
be subject to restrictions in an amount equal to the excess of the fair market
value of the shares at such time over the amount, if any, paid for the shares.
Within 30 days after a participant receives the restricted stock, the
participant may elect (83(b) Election) under Section 83(b) of the Internal
Revenue Code of 1986 (Code) to recognize taxable ordinary income in an amount
equal to the excess of the fair market value of the restricted stock at the time
of receipt over the amount, if any, paid for the shares. If a participant makes
an 83(b) Election, when the restrictions on the restricted stock lapse, the
participant will not have to recognize any additional income at that time.
However, if a participant has to forfeit the restricted stock to Itron (e.g.,
upon termination prior to expiration of the restriction period), the participant
may not deduct the income recognized at the time of receipt of the restricted
stock, and the participant will have a capital loss equal to the amount, if any,
paid for the shares.
<PAGE>

The Company will be entitled to a deduction at the same time and in the same
amount as a participant recognizes ordinary income, subject to certain
limitations on deductions for compensation under Section 162(m) of the Code.

This is only a brief summary of the U.S. federal income tax laws and regulations
that apply to an award under the plan. Participants should not rely on this
summary for a complete statement of such laws and regulations. The tax laws and
regulations are complex and are subject to legislative changes. In addition,
circumstances peculiar to certain individuals may change the usual income tax
results. FOR THESE REASONS, PARTICIPANTS SHOULD CONSULT A TAX ADVISOR TO
DETERMINE THE INCOME TAX CONSEQUENCES OF AN AWARD UNDER THE PLAN.

Governance

Senior management and the Compensation Committee will be responsible for the
administration and governance of the plan. The decisions of the Committee shall
be conclusive and binding on all participants.

Amendment, Modification, or Termination of the Plan

Itron, by action of its Board of Directors and/or Compensation Committee,
reserves the right to amend, modify, or terminate the plan at any time.

Rest of page intentionally left blank

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00078-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00078-of-00352.parquet"}]]