Document:

exv10w5

 

Exhibit 10.5

DEFERRED STOCK UNIT AGREEMENT

UNDER THE PROGRESS SOFTWARE CORPORATION

2008 STOCK OPTION AND INCENTIVE PLAN

Name of Grantee:                                         

No. of Deferred Stock Units Granted:                     

Grant Date:                     

          Pursuant to the Progress Software Corporation 2008 Stock Option and Incentive Plan (the
“Plan”) as amended through the date hereof, Progress Software Corporation (the “Company”) hereby
grants a deferred stock award consisting of the number of Deferred Stock Units listed above (an
“Award”) to the Grantee named above. Each “Deferred Stock Unit” shall relate to one share of
common stock, par value $.01 per share, of the Company (the “Stock”), subject to the conditions set
forth herein and in the Plan.

          1. Vesting of Deferred Stock Units. The Deferred Stock Units shall be fully vested
and non-forfeitable on the Grant Date.

          2. Dividend Equivalents.

               (a) If on any date the Company shall pay any cash dividend on shares of Stock, the number of
Deferred Stock Units credited to the Grantee shall, as of such date, be increased by an amount
determined by the following formula:

               W = (X multiplied by Y) divided by Z, where:

               W = the number of additional Deferred Stock Units to be credited to the Grantee on
such dividend payment date;

               X = the aggregate number of Deferred Stock Units credited to the Grantee as of the
record date of the dividend;

               Y = the cash dividend per share amount; and

               Z = the Fair Market Value per share of Stock (as determined under the Plan) on the
dividend payment date.

               (b) In the case of a dividend paid on Stock in the form of shares of Stock, including without
limitation a distribution of shares of Stock by reason of a stock dividend, stock split or
otherwise, the number of Deferred Stock Units credited to the Grantee shall be increased by a
number equal to the product of (i) the aggregate number of Deferred Stock Units that have been
awarded to the Grantee through the related dividend record date, and (ii) the number of shares of
Stock (including any fraction thereof) payable as dividend on one share of Stock. In the case of a
dividend payable in property other than shares of Stock or cash, the per share of Stock value of
such dividend shall be determined in good faith by the Board of Directors of the Company and shall
be converted to additional Deferred Stock Units based on the formula in (a) above.

          3. Issuance of Shares of Stock.

               (a) As soon as practicable after the date the Grantee ceases to provide services to the
Company as a director, the Company shall issue to the Grantee the number of full shares of Stock
equal to the aggregate number of Deferred Stock Units credited to the Grantee in full satisfaction
of such Deferred Stock Units. Any fractional Deferred Stock Unit shall be paid out in cash.

               (b) Upon a Sale Event that constitutes a “Change in Control Event” as defined in guidance
issued by the Internal Revenue Service pursuant to Section 409A of the Internal Revenue Code of
1986, as

 

 

amended, the Company shall issue to the Grantee the number of shares of Stock equal to the
aggregate number of Deferred Stock Units credited to the Grantee on such date (determined after
giving effect to Section 3 above) in full satisfaction of such Deferred Stock Units; provided,
however, that in the event the Company is involved in a transaction in which shares of Stock will
be exchanged for cash or other consideration, the Grantee shall receive cash or other consideration
equal in value to the aggregate number of Deferred Stock Units credited to the Grantee on the date
of a Sale Event (determined after giving effect to Section 2 above).

               (c) Immediately after the issuance of shares of Stock or cash pursuant to this Section 3, this
Agreement shall terminate and be of no further force or effect.

          4. Incorporation of Plan. Notwithstanding anything herein to the contrary, this
Agreement shall be subject to and governed by all the terms and conditions of the Plan, including
the powers of the Administrator set forth in Section 2(b) of the Plan. Capitalized terms in this
Agreement shall have the meaning specified in the Plan, unless a different meaning is specified
herein.

          5. Transferability of this Agreement. This Agreement is personal to the Grantee, is
non-assignable and is not transferable in any manner, by operation of law or otherwise, other than
by will or the laws of descent and distribution.

	 	 	 	 	 	 	 
	 	 	PROGRESS SOFTWARE CORPORATION	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

	 	 
	 

	 	Title:	 	 	 	 
	 

	 	 	 	 

	 	 

          The foregoing Agreement is hereby accepted and the terms and conditions thereof hereby agreed
to by the undersigned.

	 	 	 	 	 	 	 	 	 
	Dated:
	 	 	 	 	 	 	 	 
	 

	 	 

	 	 
	 	 

Grantee’s SignatureExhibit 10.2(a)(ii)

AMENDMENT NO. 2

TO

EMPLOYMENT AGREEMENT

AMENDMENT (“Amendment”) made as of this 16th day of April, 2008 to the employment agreement dated as of January 30, 2005, as amended (the “Employment Agreement”), among Finlay Enterprises, Inc., a Delaware corporation (the “Parent”), Finlay Fine Jewelry Corporation, a Delaware corporation (the “Operating Company”), and Arthur E. Reiner (the “Executive”). The Parent and the Operating Company are hereinafter referred to at times collectively as the “Company”.

WHEREAS, the Company and the Executive have previously entered into the Employment Agreement; 

WHEREAS, the Company and the Executive desire to amend the Employment Agreement.

NOW, THEREFORE, effective as of April 16, 2008, the Employment Agreement is hereby amended as follows:

1. A new Subsection (h) shall be added to the end of Section 4 of the Employment Agreement to read as follows:

“(h)(i) Notwithstanding anything herein to the contrary, effective solely with respect to the 2008 Fiscal Year, in lieu of the Cash Incentive Compensation otherwise described in this Section 4, the Executive shall be eligible to receive Cash Incentive Compensation pursuant to the terms of the Company’s 2008 bonus pool established under the Parent’s 2007 Cash Bonus Plan (the “Bonus Plan”), which Cash Incentive Compensation shall be subject to the terms and conditions of the Bonus Plan, including the limitation set forth in Section 5.2 thereof.

(ii) Without limiting the generality of the foregoing, the overall amount of the 2008 bonus pool shall be based on the achievement by the Operating Company of the target level of EBITA (as defined in paragraph (f) above) (on a FIFO basis) for the 2008 Fiscal Year as follows:

(A) If EBITA (on a FIFO basis) is less than or equal to 100% of the target level, then the bonus pool is zero;

(B) If EBITA (on a FIFO basis) exceeds 100% of the target level, the bonus pool consists of the following:

(1) 100% of the amount by which EBITA exceeds 100% of the target level up to $2 million;

(2) 50% of the amount by which EBITA exceeds 100% of the target level from $2 million to $3 million; and

(3) 25% of the amount by which EBITA exceeds 100% of the target level above $3 million.

(iii) The Executive consents to the changes contained herein and agrees that he will not assert Good Reason (as defined in Section 10(c)(iii) hereof) in connection with the changes to Section 4, as contemplated herein”

 

 

2. Subsection 10(c)(iii)(B) shall be amended in its entirety to read as follows:

“(B) A reduction by the Company in Executive’s Base Salary or Incentive Compensation opportunity described in Section 4 (except as permitted under Section 4(h) solely with respect to the 2008 Fiscal Year) or in the Restricted Time-Based Bonus opportunity described in Section 6;”

IN WITNESS WHEREOF, the undersigned has caused this Amendment to be executed this 25th day of April, 2008.

 

	
                         
 	
                         
 	
                        EXECUTIVE
 
	
                          
 	
                         
 	
 /s/  Arthur E. Reiner

	
                         
 	
                         
 	Arthur E. Reiner

 

	
                         
 	
                         
 	
                        FINLAY ENTERPRISES, INC.
 
	
                          
 	
                         
 	
                        By: 
 	
                        
 /s/ Joseph M. Melvin
 
	
                         
 	
                         
 	
                        Title: 
 	
                        Executive Vice President
 

 

	
                         
 	
                         
 	
                        FINLAY FINE JEWELRY CORPORATION
 
	
                          
 	
                         
 	
                        By: 
 	
                        
 /s/ Joseph M. Melvin
 
	
                         
 	
                         
 	
                        Title: 
 	
                        PresidentExhibit 10.2(a)(ii)

AMENDMENT NO. 2

TO

EMPLOYMENT AGREEMENT

AMENDMENT (“Amendment”) made as of this 16th day of April, 2008 to the employment agreement dated as of January 30, 2005, as amended (the “Employment Agreement”), among Finlay Enterprises, Inc., a Delaware corporation (the “Parent”), Finlay Fine Jewelry Corporation, a Delaware corporation (the “Operating Company”), and Arthur E. Reiner (the “Executive”). The Parent and the Operating Company are hereinafter referred to at times collectively as the “Company”.

WHEREAS, the Company and the Executive have previously entered into the Employment Agreement; 

WHEREAS, the Company and the Executive desire to amend the Employment Agreement.

NOW, THEREFORE, effective as of April 16, 2008, the Employment Agreement is hereby amended as follows:

1. A new Subsection (h) shall be added to the end of Section 4 of the Employment Agreement to read as follows:

“(h)(i) Notwithstanding anything herein to the contrary, effective solely with respect to the 2008 Fiscal Year, in lieu of the Cash Incentive Compensation otherwise described in this Section 4, the Executive shall be eligible to receive Cash Incentive Compensation pursuant to the terms of the Company’s 2008 bonus pool established under the Parent’s 2007 Cash Bonus Plan (the “Bonus Plan”), which Cash Incentive Compensation shall be subject to the terms and conditions of the Bonus Plan, including the limitation set forth in Section 5.2 thereof.

(ii) Without limiting the generality of the foregoing, the overall amount of the 2008 bonus pool shall be based on the achievement by the Operating Company of the target level of EBITA (as defined in paragraph (f) above) (on a FIFO basis) for the 2008 Fiscal Year as follows:

(A) If EBITA (on a FIFO basis) is less than or equal to 100% of the target level, then the bonus pool is zero;

(B) If EBITA (on a FIFO basis) exceeds 100% of the target level, the bonus pool consists of the following:

(1) 100% of the amount by which EBITA exceeds 100% of the target level up to $2 million;

(2) 50% of the amount by which EBITA exceeds 100% of the target level from $2 million to $3 million; and

(3) 25% of the amount by which EBITA exceeds 100% of the target level above $3 million.

(iii) The Executive consents to the changes contained herein and agrees that he will not assert Good Reason (as defined in Section 10(c)(iii) hereof) in connection with the changes to Section 4, as contemplated herein”

 

 

2. Subsection 10(c)(iii)(B) shall be amended in its entirety to read as follows:

“(B) A reduction by the Company in Executive’s Base Salary or Incentive Compensation opportunity described in Section 4 (except as permitted under Section 4(h) solely with respect to the 2008 Fiscal Year) or in the Restricted Time-Based Bonus opportunity described in Section 6;”

IN WITNESS WHEREOF, the undersigned has caused this Amendment to be executed this 25th day of April, 2008.

 

	
                         
 	
                         
 	
                         
 	
                        EXECUTIVE
 
	
                          
 	
                         
 	
                         
 	
                        
 /s/  Arthur E. Reiner
 
	
                         
 	
                         
 	
                         
 	
                        Arthur E. Reiner
 

 

	
                         
 	
                         
 	
                        FINLAY ENTERPRISES, INC.
 
	
                          
 	
                         
 	
                        By: 
 	
                        
 /s/ Joseph M. Melvin
 
	
                         
 	
                         
 	
                        Title:
 	
                        Executive Vice President
 

 

	
                         
 	
                         
 	
                        FINLAY FINE JEWELRY CORPORATION
 
	
                          
 	
                         
 	
                        By: 
 	
                        
 /s/ Joseph M. Melvin
 
	
                         
 	
                         
 	
                        Title:
 	
                        President

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}]]