Document:

executivegeneralseveranc

                                                                                  ======================================================================                                                                                                   Triumph Group, Inc.                                                                    Executive General Severance Plan                                                                       (Effective February 19, 2019)                                                                                              ======================================================================    

 

                                  Table of Contents            Article 1.  Establishment and Term of the Plan ....................................................................1        1.1   Establishment of the Plan.........................................................................................1        1.2   Initial Term ..............................................................................................................1        1.3   Successive Periods ...................................................................................................1   Article 2.  Definitions ...............................................................................................................1   Article 3.  Severance Benefits .................................................................................................4        3.1   Right to Severance Benefits .....................................................................................4        3.2   Description of Severance Benefits ...........................................................................5        3.3   Coordination with Release and Delay Required by Code Section 409A .................7        3.4   Retirement Plans ......................................................................................................7        3.5   Deductions from Severance Benefits ......................................................................8        3.6   Timing and Method of Payment ..............................................................................8   Article 4.  Sale of Business Unit ..............................................................................................9   Article 5.  Covenants and Agreements ...................................................................................9        5.1   Covenants .................................................................................................................9        5.2   Assistance with Claims ............................................................................................9   Article 6.  Legal Fees and Notice ............................................................................................9        6.1   Payment of Legal Fees .............................................................................................9        6.2   Notice .......................................................................................................................9   Article 7.  Successors and Assignment .................................................................................10        7.1   Successors to the Company ...................................................................................10        7.2   Assignment by the Executive.................................................................................10   Article 8.  Plan Administration.............................................................................................10        8.1   Plan Administrator .................................................................................................10        8.2   Records, Reporting and Disclosure .......................................................................10        8.3   Discretion ...............................................................................................................11   Article 9.  Claims....................................................................................................................11   Article 10. Miscellaneous........................................................................................................12        10.1  Indemnification ......................................................................................................12        10.2  Employment Status ................................................................................................12        10.3  Code Section 409A ................................................................................................12        10.4  Entire Plan ..............................................................................................................13   DMEAST #33323645 v13                  -i-                                         

 

                10.5  Severability ............................................................................................................13  10.6  Tax Withholding ....................................................................................................13  10.7  Beneficiaries ..........................................................................................................13  10.8  Payment Obligation Absolute ................................................................................13  10.9  Contractual Rights to Benefits ...............................................................................13  10.10 Modification ...........................................................................................................14  10.11 Gender and Number ...............................................................................................14  10.12 Controlling Law .....................................................................................................14                                                                 -ii-                                                      

 

                                TRIUMPH GROUP, INC.                     EXECUTIVE GENERAL SEVERANCE PLAN   Article 1.  Establishment and Term of the Plan         1.1   Establishment  of  the  Plan.   Triumph  Group,  Inc.  (the  “Company”)  hereby  adopts  this  plan  known  as  the  “Triumph  Group,  Inc.  Executive  General  Severance  Plan”  (the  “Plan”).   The  Plan  provides  Severance  Benefits  (as  defined  below)  to  designated  executive  employees of the Company or its Subsidiaries or Affiliates (each an “Executive” and collectively  the  “Executives”)  upon  certain  terminations  of  employment  from  the  Employer  (as  defined  below).         The  Plan  is  not  intended  to  be  an  “employee  pension  benefit  plan”  or  “pension  plan”  within  the  meaning  of  Section  3(2)  of  ERISA.    Rather,  the  Plan  is  intended  to  be  a  “welfare  benefit  plan”  within  the  meaning  of  Section  3(1)  of  ERISA  and  to  meet  the  descriptive  requirements  of  a  plan  constituting  a  “severance  pay  plan”  within  the  meaning  of  regulations  published by the Secretary of Labor at 29 CFR § 2510.3-2(b).  In the event that the Plan does not  meet the requirements of a “severance pay plan” as described above, then the Plan is intended to  be  “a  plan  which  is  unfunded  and  maintained  by  an  employer  primarily  for  the  purpose  of  providing  deferred  compensation  for  a  select  group  of  management  or  highly  compensated  employees”  within  the  meaning  of  Sections  201(2),  301(a)(3)  and  401(a)(1)  of  ERISA.  No  employee contributions are required or permitted.         1.2   Initial Term.  This Plan commenced on February 19, 2019 (the “Effective Date”)  and shall continue for a period of three (3) years (the “Initial Term”).         1.3   Successive Periods.   The  term  of  this  Plan  shall  automatically  be  extended  for  one (1) additional year at the end of the Initial Term, and then again after each successive one (1)  year period thereafter (each such one (1) year period following the Initial Term is referred to as a  “Successive Period”).  However, the Plan Administrator may terminate this Plan at the end of the  Initial Term, or at the end of any Successive Period thereafter, by giving the Executives written  notice of intent to terminate the Plan, delivered at least six (6) months prior to the end of such  Initial Term or Successive Period (such date, the “Notice Deadline”).  If such notice is properly  delivered by the Company, this Plan shall automatically expire at the end of the Initial Term or  Successive Period then in progress.     Article 2.  Definitions         Whenever used in this Plan, the following terms shall have the meanings set forth below  and, when the meaning is intended, the initial letter of the word is capitalized.         (a)   “Affiliate”  means  any  entity  that  is,  directly  or  indirectly,  controlled  by,  under              common  control  with  or  controlling  the  Company  or  any  entity  in  which  the              Company has a significant ownership interest as determined by the Committee.         (b)   “Band 5 Executives” means those employees of an Employer designated as Band              5 in the Employer’s human resources information system.                                         1    

 

                               (c)   “Band  6  Executives”  means  those  employees  of  an  Employer  designated  as  an        Executive Vice President and each such other employee designated as Band 6 in        the Employer’s human resources information system.    (d)   “Base  Salary”  means  the  Executive’s  annual  rate  of  salary,  whether  or  not        deferred, at the Effective Date of Termination.   (e)   “Beneficiary” means the persons or entities designated or deemed designated by        the Executive pursuant to Section 10.7.   (f)   “Board” means the Board of Directors of the Company.   (g)   “Cause” has the meaning set forth in the applicable Executive’s employment or        similar agreement with the Employer or, if no such agreement is in effect, means        (i) the failure by the Executive (other than any such failure resulting from (A) the        Executive’s incapacity due to physical or mental illness or (B) any such actual or        anticipated failure after the issuance of a Notice of Termination by the Executive        for Good Reason)  to perform  substantially  the duties and responsibilities of the        Executive’s position with the Employer; provided, however, that a termination of        employment shall not be deemed to be for Cause under this clause (i) unless (I)        the Employer has delivered to the Executive written notice specifically identifying        the manner in which the Executive has not substantially performed such duties or        responsibilities and states an intent to terminate the Executive’s employment for        Cause within ninety (90) days of the latest such underlying action (or failure to        act), (II) the Executive fails to cure such Cause event or events within thirty (30)        days after his or her receipt of such written notice and (III) the Employer delivers        to  the Executive a  notice  of termination  of employment  for  Cause within  thirty        (30) days after the expiration of the 30-day cure period; (ii) the conviction of the        Executive by  a court of  competent jurisdiction or a plea of nolo contendere  for        felony criminal conduct or a crime involving moral turpitude; or (iii) the engaging        by the Executive in fraud or dishonesty which is injurious to the Company or its        reputation,  monetarily  or  otherwise.   It  is  expressly  understood  that  the        Executive’s  attention  to  matters  not  directly  related  to  the  business  of  the        Employer shall not provide a basis for termination for Cause so long as the Board        has approved the Executive’s engagement in such activities.    (h)   “CEO” means the Chief Executive Officer of the Company.   (i)   “Change-in-Control Severance Plan” means the Company’s Executive Change in        Control Severance Plan, effective as of  February  19, 2019, as may be  amended        and restated from time to time.   (j)   “Code” means the United States Internal Revenue Code of 1986, as amended, and        any successors thereto, and the regulations thereunder.   (k)   “Company”  means  Triumph  Group,  Inc.,  a  Delaware  corporation,  or  any        successor thereto as provided in Section 7.1.  The term “Company” shall include a        subsidiary or affiliate of Triumph Group, Inc., including a Subsidiary or Affiliate of                                  2                 

 

                                     Triumph Group, Inc. by merger, consolidation or liquidation or purchase of assets        or stock or similar transaction.   (l)   “Delay Period” shall have the meaning set forth in Section 3.3(b).   (m)   “Disability”  means  that  the  Executive  is  unable  to  engage  in  any  substantial        gainful  activity  by  reason  of  any  medically  determinable  physical  or  mental        impairment that can be expected to result in death or can be expected to last for a        continuous period of not less than six (6) months.  Whether an Executive has a        Disability shall be determined by the Plan Administrator.  The Plan Administrator        may  rely  on  any  determination  that  an  Executive  is  disabled  for  purposes  of        benefits under any long-term disability plan maintained by the Employer in which        an Executive participates.    (n)   “Effective Date” has the meaning set forth in Section 1.2.   (o)   “Effective  Date  of  Termination”  means  the  date  on  which  a  Qualifying        Termination  occurs,  as  defined  hereunder,  which  triggers  the  payment  of        Severance Benefits hereunder.   (p)   “Employer” means the Company or any Subsidiary or Affiliate, as applicable.   (q)   “ERISA”  means  the  Employee  Retirement  Income  Security  Act  of  1974,  as        amended, and the regulations thereunder.     (r)   “Exchange Act” means the Securities Exchange Act of 1934, as amended.   (s)   “Executive” has the meaning set forth in Section 1.1.   (t)   “Good  Reason”  means  the  Executive’s  resignation  if,  without  the  Executive’s        consent there is a relocation of the Executive’s principal place of employment to        anywhere other than within 35 miles of the principal office where the Executive is        then-located; provided, however, that the Executive’s termination of employment        shall not be deemed to be for Good Reason unless (i) the Executive has delivered        to  the  Employer  written  notice  of  intent  to  terminate  for  Good  Reason  within        ninety  (90)  days  of  such  occurrence,  (ii)  the  Employer  fails  to  cure  such  Good        Reason event within thirty (30) days  after its receipt of such written notice and        (iii) the Executive delivers to the Employer a notice of termination of employment        for Good Reason within thirty  (30) days after the expiration of the 30-day  cure        period.    (u)   “Initial Term” has the meaning set forth in Section 1.2.   (v)   “Notice of Termination” means a written notice which shall indicate the specific        termination  provision  in  this  Plan  relied  upon,  and  shall  set  forth  in  reasonable        detail the facts and circumstances claimed to provide a basis for termination of the        Executive’s employment under the provision so indicated.                                   3                 

 

           (w)   “Plan” shall have the meaning set forth in Section 1.1.         (x)   “Plan Administrator” means the Triumph Group, Inc. Administrative Committee              as delegated by the Board to administer the terms of this Plan.  In the event any              member of the Administrative Committee is entitled to Severance Benefits under              this Plan, or makes a claim for benefits under this Plan, the remaining members of              the Administrative Committee shall act of the Plan Administrator for purposes of              administering  the  terms  of  the  Plan  with  respect  to  such  Executive.   The  Plan              Administrator may delegate all or any portions of its authority under the Plan to              any other Person(s).           (y)   “Proceeding” has the meaning set forth in Section 5.2(a).           (z)   “Qualifying Termination” means:               (i)   a termination of the Executive’s employment for Good Reason pursuant to                    a Notice of Termination delivered to the Employer by the Executive; or               (ii)  a termination of the Executive’s employment by the Employer for reasons                    other than Cause, death, or Disability pursuant to a Notice of Termination                    delivered to the Executive by the Employer.         (aa)  “Release Effective Date” shall have the meaning set forth in Section 3.1(c).         (bb)  “Severance Benefits” means the Severance Benefits as provided in Article 3.         (cc)  “Severance Period” has the meaning set forth in Section 3.4.           (dd)  “Specified  Employee”  means  any  Executive  described  in  Code  Section              409A(a)(2)(B)(i).         (ee)  “Subsidiary” means any company (other than the Company) in an unbroken chain              of  companies  beginning  with  the  Company,  provided  each  company  in  the              unbroken  chain  (other  than  the  Company)  owns,  at  the  time  of  determination,              stock possessing 50% or more of the total combined voting power of all classes of              stock in one of the other companies in such chain.         (ff)  “Successive Period” has the meaning set forth in Section 1.3.   Article 3.  Severance Benefits          3.1   Right to Severance Benefits.          (a)   Severance  Benefits.   The  Executive  shall  be  entitled  to  receive  from  the              Company  Severance  Benefits,  as  described  in  Section  3.2  and  summarized  on              Exhibit A attached hereto, if the Executive is the CEO, a Band 6 Executive or a              Band 5 Executive and a Qualifying Termination of the Executive’s employment              has occurred.                                         4    

 

           (b)   No Severance Benefits.  The Executive shall not be entitled to receive Severance              Benefits if the Executive’s employment with the Employer ends for reasons other              than a Qualifying Termination.         (c)   General Release.  As a condition to receiving Severance Benefits, the Executive              shall be obligated to execute a separation and release agreement in favor of the              Company, its current and former Subsidiaries, Affiliates and stockholders, and the              current and former directors, officers, employees, and agents of the Company and              such Subsidiaries and Affiliates in a form satisfactory to the Company, and any              revocation  period  for such  release  must  have  expired,  in  each  case  within  sixty              (60) days of the date of termination.  The date upon which the executed release is              no  longer  subject  to  revocation  shall  be  referred  to  herein  as  the  “Release              Effective Date”.  Any payments under Section 3.2 shall commence only after the              Release  Effective  Date,  and  in  the  manner  provided  in  Section  3.3  and  Section              3.6.         (d)   No  Duplication  of  Severance  Benefits.   Notwithstanding  anything  to  the              contrary  in  this  Plan,  an  Executive  who  receives  Severance  Benefits  under  this              Plan  shall  not  be  entitled  to  receive  severance  benefits  under  any  other  plan  or              agreement of the Company or any of its Subsidiaries or Affiliates (excluding the              Change-in-Control  Severance  Plan).   If  an  Executive  becomes  entitled  to              Severance Benefits under this Plan while receiving severance benefits under any              other plan or agreement of the Company or any of its Subsidiaries or Affiliates,              then the severance benefits under such other plan or agreement will cease and the              Severance Benefits due to the Executive under this Plan will be reduced by such              other severance benefits previously paid to the Executive.         3.2   Description of Severance Benefits.  In the event the Executive becomes entitled  to  receive  Severance  Benefits  as  provided  in  Section  3.1,  the  Company  shall  provide  the  Executive with the following:         (a)   an  amount  equal  to  the  Executive’s  unpaid  Base  Salary  and  unreimbursed              business expenses, which amounts shall be paid promptly after the Effective Date              of  Termination  whether  or  not  the  Executive  executes  a  release  required  by              Section  3.1(c),  and,  subject  to  Section  3.1(d),  vested  amounts  owed  to  the              Executive  under  any  other  plan  or  agreement  of  the  Company,  which  will  be              payable in accordance with the terms of such plan or agreement;         (b)   an amount equal to:               (i)   for the CEO, two (2) times the sum of the following: (A) the CEO’s Base                    Salary  and  (B)  the  CEO’s  target  bonus  opportunity  in  the  fiscal  year  in                    which a Qualifying Termination occurs;               (ii)  for  Band  6  Executives,  one  (1)  times  the  sum  of  the  following:  (A)  the                    Executive’s Base Salary and (B) the Executive’s target bonus opportunity                    in the fiscal year in which a Qualifying Termination occurs; and                                         5    

 

                                     (iii) for  Band  5  Executives,  seventy-five  one-hundredths  (0.75)  of  the              Executive’s Base Salary;   (c)   an amount equal to the Executive’s annual target bonus opportunity in the fiscal        year in which  a Qualifying  Termination occurs,  pro-rated for the portion of the        fiscal year elapsing prior to the Qualifying Termination, less any bonus paid to the        Executive  with  respect  to  the  same  fiscal  year  under  the  Company’s  Executive        Cash Incentive Compensation Plan, effective April 1, 2018, or any successor plan;    (d)   acceleration  and  vesting,  or  lapse  of  forfeiture  restrictions,  as  applicable,  of  all        unvested equity or equity-based awards or equity or equity-based awards subject        to forfeiture restrictions made to the Executive, whether annual awards, special,        one-time or inducement awards:         (i)   for  the  CEO  to  the  extent  such  awards  were  scheduled  to  vest  in  the              eighteen (18) months immediately following the CEO’s Effective Date of              Termination;         (ii)  for Band 6 Executives to the extent such awards were scheduled to vest in              the  twelve  (12)  months  immediately  following  the  Effective  Date  of              Termination; and         (iii) for Band 5 Executives, to the extent such awards were scheduled to vest in              the  six  (6)  months  immediately  following  the  Effective  Date  of              Termination;         provided, however, for all Executives, any performance-based awards shall vest        pro-rated  at  target  based  on  the  service  completed  during  the  applicable        performance period;   (e)   payment on the Executive’s behalf of all of the Executive’s cost to participate in        COBRA medical and dental continuation coverage for:         (i)   for the CEO, eighteen (18) months following the CEO’s Effective Date of              Termination;         (ii)  for  Band  6  Executives,  twelve  (12)  months  following  the  Executive’s              Effective Date of Termination; and         (iii) for Band 5 Executives, six (6) months following the Executive’s Effective              Date of Termination;          provided  that  notwithstanding  the  above,  if  such  payments  would  result  in        discrimination  under  any  tax  law,  then  the  Company  shall  pay  such  monthly        premiums as additional taxable compensation to the Executive, and these medical        benefits shall be discontinued prior to the end of the stated continuation period in        the  event  the  Executive  is  eligible  to  receive  substantially  similar  benefits        coverage (disregarding the cost of such coverage) from a subsequent employer, as                                   6                 

 

                 determined  solely  by  the  Plan  Administrator  in  good  faith.   For  purposes  of              enforcing  this  offset  provision,  the  Executive  shall  have  a  duty  to  keep  the              Company informed as to the terms and conditions of any subsequent employment              and the corresponding benefits earned from such employment, and shall provide,              or cause to be provided, to the Company in writing correct, complete, and timely              information concerning the same; and         (f)   outplacement services through an outplacement services provider contracted with              the Company or any Subsidiary from time to time, commencing on the Release              Effective Date and lasting through the period of time specified in Section 3.2(e),              as applicable to the Executive.         3.3   Coordination with Release and Delay Required by Code Section 409A.         (a)   To the maximum extent possible, all amounts payable hereunder are intended to              be  exempt  from  the  requirements  of  Code  Section  409A  and  this  Plan  shall  be              construed and administered in accordance with such intention.  To the extent any              continuing  benefit  (or  reimbursement  thereof)  to  be  provided  is  not  “deferred              compensation”  for  purposes  of  Code  Section  409A,  then  such  benefit  shall              commence  or  be  made  immediately  after  the  Release  Effective  Date  (if              applicable).  To the extent any continuing benefit (or reimbursement thereof) to              be provided is “deferred compensation” for purposes of Code Section 409A, then              to the extent necessary to prevent the imposition of taxes or penalties under Code              Section  409A  such  benefits  shall  be reimbursed  or commence  upon  the earliest              later date as may be required in order to comply with the requirements of Code              Section  409A.   The  delayed  benefits  shall  in  any  event  expire  at  the  time  such              benefits  would  have  expired  had  the  benefits  commenced  immediately  upon              Executive’s termination of employment.         (b)   Notwithstanding any other payment schedule provided herein to the contrary, if              the Executive is deemed on the date of termination to be a Specified Employee,              then, once the release required by Section 3.1(c) is executed and delivered and no              longer  subject  to  revocation,  any  payment  that  is  considered  deferred              compensation under Code Section 409A payable on account of a “separation from              service” shall be made on the date which is the earlier of (A) the expiration of the              six (6)-month period measured from the date of such “separation from service” of              the Executive, and (B) the date of the Executive’s death (the “Delay Period”) to              the extent required under Code Section 409A.  Upon the expiration of the Delay              Period, all payments delayed pursuant to this Section 3.3(b) (whether they would              have otherwise been payable in a single sum or in installments in the absence of              such  delay)  shall  be  paid  to  the  Executive  in  a  lump  sum,  and  any  remaining              payments  due  under  this  Plan  shall  be  paid  or  provided  in  accordance  with  the              normal payment dates specified for them herein.         3.4   Retirement  Plans.   The  provisions  of  any  applicable  qualified  and/or  non- qualified  defined  contribution  or  defined  benefit  plan  maintained  by  the  Company  or  the  Employer pursuant to which an Executive is eligible to participate, shall control with respect to                                         7    

 

     any  recognition  of  service  during  any  period  in  which  the  Executive  is  receiving  Severance  Benefits  (the  “Severance  Period”)  and  the  eligibility  for  benefits  before,  during  and  after  the  Severance Period.         3.5   Deductions  from  Severance  Benefits.   The  Plan  Administrator  reserves  the  right  to  make  deductions  in  accordance  with  applicable  law  for  any  monies  owed  to  the  Company  or  an  Employer  by  the  Executive  or  the  value  of  Company  property  that  the  Executive has retained in  Executive’s  possession, e.g.,  if  an  Executive  (a) retained a company  laptop  or  other  property,  or  (b)  used  Executive’s  corporate  card  for  unauthorized  personal  purchases.  To  the  extent  applicable,  any  such  deduction  from  Severance  Benefits  shall  be  made in compliance with Code Section 409A.   To the maximum extent  allowed  by  applicable  law,  through  execution  of  a  separation  and  release  agreement  required  by  Section  3.1(c)  (which  is  a  pre-condition  to  receipt   of  severance  benefits  hereunder),  an  Executive  shall  consent to, and otherwise authorize, such deductions in writing.         3.6   Timing and Method of Payment. Subject to Section 10.3:         (a)   Severance Benefits.  The Severance Benefits set forth in Section 3.2(b) shall be              paid periodically, in prorated installments on a bi-weekly basis in accordance with              the  Company’s  or  Employer’s  normal  payroll  cycle,  less  withholding  for  all              applicable  Federal,  state  and  local  taxes  and  other  applicable  withholdings  and              deductions,  over  the  Executive’s  Severance  Period;  provided,  however,  that  the              first installment (including any retroactive  installments) shall begin no later than              sixty (60) days after the Executive’s Termination Date.  The Severance Benefits              set  forth  in  Section  3.2(c) and  Section  3.2(d)  shall  be paid  in  a  lump  sum,  less              withholding for all applicable Federal, state and local taxes and other applicable              withholdings and deductions, no later than sixty  (60) days after the Executive’s              Termination  Date  (provided  that,  with  respect  to  Section  3.2(d),  to  the  extent              necessary  to  prevent  the  imposition  of  taxes  or  penalties  under  Code  Section              409A, such Severance Benefits shall be paid on the date(s) the awards would have              been  paid  absent  the  Qualifying  Termination).   Severance  Benefits  set  forth  in              Section 3.2(e) and Section 3.2(f) shall be paid in accordance with the Company’s              standard  policies  and  practices.   Except  with  respect  to  Section  3.2(a),  the              Severance Benefits are subject to the Executive’s execution of a Release and, if              applicable, the expiration of any revocation period for such Release within such              60-day period.          (b)   General Rules.   In  the  event  of  an  Executive’s  death  after  Executive  becomes              entitled  to  Severance  Benefits  under  the  Plan,  but  prior  to  full  payment  of  all              Severance Benefits due to such Executive, any remaining Severance Benefits due              to  the  Executive  under  Section  3.2  shall  be  paid  to  the  Executive’s  estate  in  a              lump  sum  payment  within  ninety  (90)  days  following  the  Executive’s  death              (provided  that  the  Company  or  applicable  Company  Subsidiary  has  received              notification  of  such  death  no  later  than  sixty  (60)  days  following  such  death).               Interest will not be credited on any unpaid Severance Benefit due to an Executive.               Payment(s)  shall  be  made  by  direct  deposit  or  by  mailing  to  the  last  address                                         8    

 

                 provided by the Executive to the Company or Employer or such other reasonable              method as determined by the Plan Administrator.   Article 4.  Sale of Business Unit         An  Executive  shall  not  be  deemed  to  have  terminated  employment  hereunder  merely  because the Company sells the division, subsidiary or other business unit by which the Executive  is employed if the purchaser assumes the Plan with respect to such Executive.   Article 5.  Covenants and Agreements         5.1   Covenants.  This Plan shall have no effect on the validity or enforceability by the  Company or its Subsidiaries or Affiliates of any and all confidentiality, assignment of inventions,  non-solicitation,  non-competition,  non-disparagement  and  cooperation  covenants  of  the  Executive made under any other plan, agreement or other instruments between the Executive and  the Company or one of its Subsidiaries or Affiliates.  Any such covenants shall remain in full  force and effect for the time period(s) set forth in such other plan, agreement or instrument, or if  no time period is so set forth, perpetually.         5.2   Assistance with Claims.           (a)   Each Executive agrees, that, during and after the Executive’s employment by the              Company or Employer, the Executive shall assist the Company, on a reasonable              basis,  in  the  defense  of  any  claims  or  potential  claims  that  may  be  made  or              threatened to be made against it in any action, suit, or proceeding, whether civil,              criminal,  administrative,  or  investigative  (“Proceeding”)  and  shall  assist  the              Company in the prosecution of any claims that may be made by the Company in              any  Proceeding,  to  the  extent  that  such  claims  may  relate  to  the  Executive’s              services.         (b)   Each Executive agrees, unless precluded by law, to promptly inform the Company              if  the  Executive  is  asked  to  participate  (or  otherwise  become  involved)  in  any              Proceeding involving such claims or potential claims.         (c)   Each  Executive  also  agrees,  unless  precluded  by  law,  to  promptly  inform  the              Company  if  the  Executive  is  asked  to  assist  in  any  investigation  (whether              governmental  or  private)  of  the  Company  or  its  Subsidiaries  (or  its  actions),              regardless  of  whether  a  lawsuit  has  then  been  filed  against  the  Company  or  its              Subsidiaries with respect to such investigation.   Article 6.  Legal Fees and Notice         6.1   Payment of Legal Fees.  In the event of a dispute arising under the Plan, each  party shall bear their own costs such as the costs of litigation and attorneys’ fees.         6.2   Notice.  Any notices, requests, demands, or other communications provided for  by  this  Plan  shall  be  sufficient  if  in  writing  and  if  sent  by  registered  or  certified  mail  to  the                                         9    

 

     Executive at the last address Executive has filed in writing with the Company or Employer or, in  the case of the Company, at the address set forth in Section 8.1.   Article 7.  Successors and Assignment         7.1   Successors to the Company.  The Company shall require any successor (whether  direct or indirect, by purchase, merger, reorganization, consolidation, acquisition of property or  stock, liquidation, or otherwise) of all or a significant portion of the assets of the Company by  agreement to expressly assume and agree to perform under this Plan in the same manner and to  the same extent that the Company would be required to perform if no such succession had taken  place.   The  terms  of  this  Plan  shall  be  binding  upon  any  successor  in  accordance  with  the  operation  of  law  and  such  successor  shall  be  deemed  the  “Company”  or  the  “Employer”  for  purposes of this Plan.         7.2   Assignment  by  the  Executive.   This  Plan  shall  inure  to  the  benefit  of  and  be  enforceable  by  each  Executive’s  personal  or  legal  representatives,  executors,  administrators,  successors,  heirs,  distributees,  devisees,  and  legatees.   If  an  Executive  dies  while  any  amount  would still be payable to Executive hereunder had Executive continued to live, all such amounts,  unless otherwise provided herein, shall be paid in accordance with the terms of this Plan to the  Executive’s Beneficiary.  If an Executive has not named a Beneficiary, then such amounts shall  be paid to the Executive in accordance with the Company’s regular payroll practices or to the  Executive’s estate, as applicable.     Article 8.  Plan Administration           8.1   Plan Administrator. The Plan Administrator shall be the “administrator” within  the  meaning  of  Section  3(16)  of  ERISA  and  shall  have  all  the  responsibilities  and  duties  contained therein.                The Plan Administrator can be contacted at the following address:               c/o Triumph Group, Inc.              899 Cassatt Road, Suite 210              Berwyn, PA 19312              Attn: Senior Vice President, Human Resources         8.2   Records, Reporting and Disclosure.  The Plan Administrator shall keep a copy  of  all  records  relating  to  the  payment  of  Severance  Benefits  to  Executives  and  former  Executives and all other records necessary for the proper operation of the Plan. All Plan records  shall be made available to the Company and to each Executive for examination during business  hours except  that  an  Executive  shall  examine  only  such  records  as  pertain  exclusively  to  the  examining  Executive  and  to  the  Plan.  The  Plan  Administrator  shall  prepare  and  shall  file  as  required by law or regulation all reports, forms, documents and other items required by ERISA,  the Code, and every other relevant statute, each as amended, and all regulations thereunder (except  that the Company, as payor of the Severance Benefits, shall prepare and distribute to the proper  recipients all forms relating to withholding of income or wage taxes, Social Security taxes, and  other amounts that may be similarly reportable).                                         10    

 

           8.3   Discretion.  Any decisions, actions or interpretations to be made under the Plan  by the Plan Administrator shall be made in its sole and absolute discretion, subject to the terms  of the Plan and applicable law, and need not be uniformly applied and such decisions, actions or  interpretations  shall  be  final,  binding  and  conclusive  upon  all  parties,  with  respect  to  denied  claims for Severance Benefits. Not in limitation, but in amplification of the foregoing and of the  authority conferred upon the Plan Administrator, the Company specifically intends that the Plan  Administrator  and  its  duly  authorized  delegates  have  the  greatest  permissible  discretion  to  construe the terms of the Plan and to determine all questions concerning eligibility, participation,  and benefits.  The decisions by the Plan Administrator or any delegates shall be conclusive and  binding, and any interpretation, determination, or other action by them is intended to be subject  to the most deferential standard of review.  Such standard of review is not to be affected by any  real  or  alleged  conflict  of  interest  on  the  part  of  the  Plan  Administrator  or  its  delegates.  In  addition  to  the  duties  and  powers  described  hereunder  and  elsewhere  in  this  Plan,  the  Plan  Administrator or its delegate is specifically given the discretionary authority and such powers as  are  necessary  for  the  proper  administration  of  the  Plan,  including,  but  not  limited  to,  the  following:  (i) to resolve ambiguities or inconsistencies; (ii) to supply omissions and the like; (iii)  to make determinations, grants, or denials of the amount, manner, and time of payment of any  Severance  Benefits  under  the  terms  of  the  Plan;  (iv)  to  authorize  its  agents  or  delegates  to  execute or deliver any instrument or make payments on the Plan Administrator’s behalf or with  respect  to  the  Plan;  (v)  to  select  and  retain  counsel,  service  providers  and  vendors,  employ  agents,  and  provide  for  such  clerical,  accounting,  actuarial,  legal,  consulting  and/or  claims  processing  services  as  it  deems  necessary  or  desirable  to  assist  the  Plan  Administrator  in  the  administration  of  the  Plan;  (vi)  to  prepare  and  distribute,  in  such  manner  as  the  Plan  Administrator  determines  to  be  appropriate,  summary  plan  descriptions  and  other  information  explaining the Plan; (vii) to furnish the Company, upon request, such annual reports with respect  to the administration of the Plan as the Plan Administrator deems reasonable and  appropriate;  (viii)  to  receive,  review  and  keep  on  file,  as  the   Plan  Administrator  deems  necessary   or  appropriate,  reports  of  Plan  payments  and  reports  of  disbursements  for  expenses;  and  (ix)  in  general to decide and/or settle questions and disputes, and all such authorizations, interpretations,  determinations, decisions and settlements shall be  final and binding for purposes of the Plan.   Article 9.  Claims         If  an Executive believes that Executive is entitled to severance benefits under the Plan  which  are  not  being  paid,  the  Executive  may  submit  a  written  claim  for  payment  to  the  Plan  Administrator.  The Executive must make an initial claim within sixty (60) days of termination  of employment in order to be eligible for benefits.  Any claim for benefits must be in writing,  addressed to the Plan Administrator and must be sufficient to notify the Plan Administrator of  the  benefit  being  claimed.   If  the  claim  is  denied,  the  Plan  Administrator  shall,  within  a  reasonable period of time, provide the Executive with a written notice of denial.  The notice will  include the specific reasons for denial, the provisions of the Plan on which the denial is based,  and the procedure for a  review of the denied claim.  Where appropriate, it will also include a  description of any additional material or information necessary to complete or perfect the claim  and an explanation of why that material or information is necessary.  The Executive may request  in  writing  a  review  of  a  claim  denied  by  the  Plan  Administrator  and  may  review  pertinent  documents  and  submit  issues  and  comments  in  writing  to  the  Plan  Administrator.   The  Plan  Administrator shall provide the Executive with a written decision upon such request for review                                         11    

 

     of  a  denied  claim.   The  decision  of  the  Plan  Administrator  upon  such  review  shall  be  final;  provided, however, the Executive shall have the right to pursue adjudication of a claim in a court  of competent jurisdiction once this appeal process is complete.    Article 10. Miscellaneous         10.1  Indemnification.   To  the  maximum  extent  permitted  by  law,  all  employees,  officers,  directors,  agents  and  representatives  of  the  Company  shall  be  indemnified  by  the  Company  and  held  harmless  against  any  claims  and  the  expenses  of  defending  against  such  claims, resulting from any action or conduct relating to the administration of the Plan, whether as  a member of the Committee or otherwise, except to the extent that such claims arise from gross  negligence, willful neglect, or willful misconduct.         10.2  Employment  Status.   Except  as  may  be  provided  under  any  other  agreement  between the Executive and the Company or Employer, the employment of any Executive by the  Company  or  Employer  is  “at  will”  and  may  be  terminated  by  either  the  Executive  or  the  Company or Employer at any time, subject to applicable law.         10.3  Code Section 409A.  Notwithstanding anything herein to the contrary, if and only  to the extent necessary to prevent the imposition of taxes or penalties under Code Section 409A:         (a)   All expenses or other reimbursements or in-kind benefits under this Plan shall be              paid  or  provided  on  or  prior  to  the  last  day  of  the  taxable  year  following  the              taxable  year  in  which  such  expenses  or  in-kind  benefits  were  incurred  by  the              Executive,  and  no  such  reimbursement  or  in-kind  benefits  in  any  taxable  year              shall in any way affect the reimbursement or in-kind benefits in any other taxable              year or subject to exchange for cash or other taxable amount.         (b)   The  Executive’s  right  to  receive  any  installment  payment  pursuant  to  this  Plan              shall be treated as a right to receive a series of separate and distinct payments.          (c)   Whenever a payment under this Plan specifies a payment period with reference to              a number of days (e.g., “payment shall be made within thirty (30) days following              the date of termination”), the actual date of payment within the specified period              shall be within the sole discretion of the Company.         (d)   A Qualifying Termination shall not be deemed to have occurred for purposes of              any provision of this Plan providing for the payment of any amounts or benefits              upon  or  following  a  Qualifying  Termination  unless  such  termination  is  also  a              “separation  from  service”  within  the  meaning  of  Code  Section  409A  and,  for              purposes  of  any  such  provision  of  this  Plan,  references  to  a  “Qualifying              Termination,” “termination of employment” or like terms shall mean “separation              from service.”         (e)   No payment will be subject to offset unless otherwise permitted by Code Section              409A.                                          12    

 

           (f)   Notwithstanding any provisions in this Plan to the contrary, whenever a payment              under this Plan may be made upon the Release Effective Date, and the period in              which  the  Executive  could  execute  the  release  (along  with  its  accompanying              revocation  period)  crosses  calendar  years,  no  payments  shall  be  made  until  the              latter calendar year.         10.4  Entire Plan.  This Plan supersedes any prior agreements or understandings, oral  or written, between the parties hereto, with respect to the subject matter hereof, and constitutes  the entire agreement of the parties with respect thereto.  Without limiting the generality of the  foregoing  sentence,  this  Plan  completely  supersedes  any  and  all  severance  benefits  under  any  prior employment agreements entered into by and between the Company or Employer and the  Executive, and all amendments thereto, in their entirety.  Notwithstanding the foregoing, if the  Executive has  entered  into  any  agreements  or  commitments  with  the  Company  with  regard  to  Confidential  Information,  noncompetition,  nonsolicitation,  or  nondisparagement,  such  agreements  or  commitments  will  remain  valid  and  will  be  read  in  harmony  with  this  Plan  to  provide maximum protection to the Company.         10.5  Severability.   In  the  event  that  any  provision  or  portion  of  this  Plan  shall  be  determined to be invalid or unenforceable for any reason, the remaining provisions of this Plan  shall be unaffected thereby and shall remain in full force and effect.          10.6  Tax Withholding.  The Company or Employer may withhold from any benefits  payable under this Plan all Federal, state, city, or other taxes as may be required pursuant to any  law or governmental regulation or ruling.         10.7  Beneficiaries.  The Executive may designate one (1) or more persons or entities  as  the  primary  and/or  contingent  beneficiaries  of  any  amounts  to  be  received  under this  Plan.   Such designation must be in the form of a signed writing acceptable to the Board or the Board’s  designee.  The Executive may make or change such designation at any time.         10.8  Payment  Obligation  Absolute.   Except  as  provided  in  Section  3.5,  the  Company’s  obligation  to  make  the  payments  provided  for  herein  shall  be  absolute  and  unconditional, and shall not be affected by any circumstances, including, without limitation, any  offset, counterclaim, recoupment, defense, or other right which the Company may have against  the Executive or anyone else.  The Executive shall not be obligated to seek other employment in  mitigation of the amounts payable or arrangements made under any provision of this Plan, and,  except as otherwise set forth in Section 3.2(e), the obtaining of any such other employment shall  in  no  event  effect  any  reduction  of  the  Company’s  obligations  to  make  the  payments  and  arrangements required to be made under this Plan.         10.9  Contractual  Rights  to  Benefits.   This  Plan  establishes  and  vests  in  the  Executives a contractual right to the benefits to which Executive is entitled hereunder.  However,  nothing  herein  contained  shall  require  or  be  deemed  to  require,  or  prohibit  or  be  deemed  to  prohibit, the Company to segregate, earmark, or otherwise set aside any funds or other assets, in  trust or otherwise, to provide for any payments to be made or required hereunder.                                          13    

 

           10.10 Modification.   The  Plan  may  be  amended  or  terminated  by  the  Board  in  any  manner  and  at  any  time,  provided  that  the  termination  of  the  Plan  shall  be  subject  to  the  provisions of Section 1.3.         10.11 Gender  and  Number.   Except  where  otherwise  indicated  by  the  context,  any  masculine term used herein also shall include the feminine; the plural shall include the singular  and the singular shall include the plural.         10.12 Controlling  Law.   This  Plan  shall  be  construed  and  enforced  according  to  the  laws  of  the  Commonwealth  of  Pennsylvania  (without  reference  to  principles  or  provisions  governing conflicts of laws) to the extent not preempted or superseded by Federal laws of the  United States.  Any provision of this Plan that is determined by a court to be in conflict with any  applicable Federal or State laws shall be deemed amended by this paragraph to conform to the  minimum requirements of such laws, except to the extent they are preempted by ERISA.         IN  WITNESS  WHEREOF,  the  Company  has  executed  this  Plan  effective  as  of  the  Effective Date.   TRIUMPH GROUP, INC.                                Name:  Daniel J. Crowley  Title:  President and Chief Executive Officer                                         14    

 

                                       Exhibit A                                 Benefits Summary    This summary describes the payments and benefits offered to participants in the Triumph Group,  Inc. Executive General Severance Plan (the “Plan”) upon a termination of employment without  “Cause” or a resignation of employment for “Good Reason” (each term as defined in the Plan)  and subject to each participant’s execution and non-revocation of a general release and waiver.     This description is intended only as a summary and is qualified in its entirety by reference to the  full text of the Plan.  In the event of any conflict between this summary and the Plan, the Plan  shall control.                                                 CEO          Band 6 Executives  Band 5 Executives  Salary/Bonus Severance                                                 Base Salary                  2.0x               1.0x               0.75x  Target Bonus                 2.0x               1.0x               N/A  Current Year Bonus      Prorated @ target  Prorated @ target  Prorated @ target  Equity                                                                 Time-Based and Cash       18 months’         12 months’          6 months’  LTI                    accelerated vesting accelerated vesting accelerated vesting  Performance-Based     Prorated acceleration Prorated acceleration Prorated acceleration                             @ target           @ target           @ target  Other                                                                  Subsidized Benefits        18 months          12 months          6 months  Outplacement               18 months          12 months          6 months                                                                                                                                                                            915605-NYCSR05A - MSWexecutivecicseverance

======================================================================                                                                                                   Triumph Group, Inc.                                                               Executive Change in Control Severance Plan                                                                        (Effective February 19, 2019)                                                                                              ======================================================================    

 

                                  Table of Contents            Article 1.  Establishment and Term of the Plan ....................................................................1        1.1   Establishment of the Plan.........................................................................................1        1.2   Initial Term ..............................................................................................................1        1.3   Successive Periods ...................................................................................................1        1.4   Change in Control Renewal .....................................................................................2   Article 2.  Definitions ...............................................................................................................2   Article 3.  Severance Benefits .................................................................................................8        3.1   Right to Severance Benefits .....................................................................................8        3.2   Description of Severance Benefits ...........................................................................9        3.3   Coordination with Release and Delay Required by Code Section 409A ...............10        3.4   Retirement Plans ....................................................................................................11        3.5   Deductions from Severance Benefits ....................................................................11        3.6   No Demotion ..........................................................................................................11        3.7   Timing and Method of Payment ............................................................................11   Article 4.  Sale of Business Unit ............................................................................................12   Article 5.  Covenants and Agreements .................................................................................12        5.1   Covenants ...............................................................................................................12        5.2   Assistance with Claims ..........................................................................................12   Article 6.  Certain Change in Control Payments ................................................................13   Article 7.  Legal Fees and Notice ..........................................................................................13        7.1   Payment of Legal Fees ...........................................................................................13        7.2   Notice .....................................................................................................................13   Article 8.  Successors and Assignment .................................................................................14        8.1   Successors to the Company ...................................................................................14        8.2   Assignment by the Executive.................................................................................14   Article 9.  Plan Administration.............................................................................................14        9.1   Plan Administrator .................................................................................................14        9.2   Records, Reporting and Disclosure .......................................................................14        9.3   Discretion ...............................................................................................................14   Article 10. Miscellaneous........................................................................................................15        10.1  Indemnification ......................................................................................................15        10.2  Employment Status ................................................................................................15                                         -i-                                         

 

         10.3  Code Section 409A ................................................................................................16        10.4  Entire Plan ..............................................................................................................17        10.5  Severability ............................................................................................................17        10.6  Tax Withholding ....................................................................................................17        10.7  Beneficiaries ..........................................................................................................17        10.8  Payment Obligation Absolute ................................................................................17        10.9  Contractual Rights to Benefits ...............................................................................17        10.10 Modification ...........................................................................................................17        10.11 Gender and Number ...............................................................................................18        10.12 Controlling Law .....................................................................................................18        DMEAST #33323645 v13                 -ii-                                         

 

                              TRIUMPH GROUP, INC.                EXECUTIVE CHANGE IN CONTROL SEVERANCE PLAN                                           Article 1.  Establishment and Term of the Plan         1.1   Establishment  of  the  Plan.   Triumph  Group,  Inc.  (the  “Company”)  hereby  adopts  this  plan  known  as  the  “Triumph  Group,  Inc.  Executive  Change  in  Control  Severance  Plan”  (the  “Plan”).   The  Plan  provides  Severance  Benefits  (as  defined  below)  to  designated  executive employees of the Company or its Subsidiaries or Affiliates (each an “Executive” and  collectively the “Executives”) upon certain terminations of employment from the Employer (as  defined below) in connection with a Change in Control of the Company.         The  Company  considers  the  establishment  and  maintenance  of  a  sound  and  vital  management to be essential to protecting and enhancing the best interests of the Company and its  stockholders.  In this connection, the Company recognizes that, as is the case with many publicly  held corporations, the possibility of a Change in Control may arise and that such possibility, and  the uncertainty and questions which it may raise among management, may result in the departure  or distraction of management personnel to the detriment of the Company and its stockholders.         Accordingly, the Board has determined that appropriate steps should be taken to reinforce  and  encourage  the  continued  attention  and  dedication  of  members  of  the  Company’s  management  to  their  assigned  duties  without  distraction  in  circumstances  arising  from  the  possibility of a Change in Control of the Company.         The  Plan  is  not  intended  to  be  an  “employee  pension  benefit  plan”  or  “pension  plan”  within  the  meaning  of  Section  3(2)  of  ERISA.    Rather,  the  Plan  is  intended  to  be  a  “welfare  benefit  plan”  within  the  meaning  of  Section  3(1)  of  ERISA  and  to  meet  the  descriptive  requirements  of  a  plan  constituting  a  “severance  pay  plan”  within  the  meaning  of  regulations  published by the Secretary of Labor at 29 CFR § 2510.3-2(b).  In the event that the Plan does not  meet the requirements of a “severance pay plan” as described above, then the Plan is intended to  be  “a  plan  which  is  unfunded  and  maintained  by  an  employer  primarily  for  the  purpose  of  providing  deferred  compensation  for  a  select  group  of  management  or  highly  compensated  employees”  within  the  meaning  of  Sections  201(2),  301(a)(3)  and  401(a)(1)  of  ERISA.  No  employee contributions are required or permitted.         1.2   Initial Term.  This Plan commenced on February 19, 2019 (the “Effective Date”)  and shall continue for a period of three (3) years (the “Initial Term”).         1.3   Successive Periods.   The  term  of  this  Plan  shall  automatically  be  extended  for  one (1) additional year at the end of the Initial Term, and then again after each successive one (1)  year period thereafter (each such one (1) year period following the Initial Term is referred to as a  “Successive Period”).  However, the Plan Administrator may terminate this Plan at the end of the  Initial Term, or at the end of any Successive Period thereafter, by giving the Executives written  notice of intent to terminate the Plan, delivered at least six (6) months prior to the end of such  Initial Term or Successive Period (such date, the “Notice Deadline”); provided however that the  Company may not give such notice at any time when the Company is a party to an agreement  which, if consummated, would result in a Change in Control.  If such notice is properly delivered                                         1    

 

   by the Company, this Plan shall automatically expire at the end of the Initial Term or Successive  Period then in progress.          1.4   Change in Control Renewal.  Notwithstanding the provisions of Section 1.3, in  the  event  that  a  Change  in  Control  of  the  Company  occurs  during  the  Initial  Term  or  any  Successive Period, upon the effective date of such Change in Control, the term of this Plan shall  automatically and irrevocably be renewed for a period of two (2) years from the effective date of  such Change in Control.  This Plan shall thereafter automatically terminate following such two  (2)  year  Change  in  Control  renewal  period;  provided  that  such  termination  shall  not  affect  or  diminish the rights of Executives who become entitled to benefits or payments under this Plan  prior to such termination.     Article 2.  Definitions         Whenever used in this Plan, the following terms shall have the meanings set forth below  and, when the meaning is intended, the initial letter of the word is capitalized.         (a)   “Accountants” has the meaning set forth in Article 6.         (b)   “Affiliate”  means  any  entity  that  is,  directly  or  indirectly,  controlled  by,  under              common  control  with  or  controlling  the  Company  or  any  entity  in  which  the              Company has a significant ownership interest as determined by the Committee.         (c)   “Band  5  Executives”  means  the  Band  5  Executives  who  may  be  set  forth  on              Exhibit  A to this Plan from time to time.  For purposes of this  definition, if an              Executive is included on Exhibit  A immediately  prior to the Change in Control              Period, such Executive shall be eligible for Severance Benefits.           (d)   “Band  6  Executives”  means  those  employees  of  an  Employer  designated  as  an              Executive Vice President and each such other employee designated as Band 6 in              the  Employer’s  human  resources  information  system,  in  each  case  immediately              prior to the Change in Control Period.         (e)   “Base Salary” means the greater of the Executive’s annual rate of salary, whether              or not deferred, at:  (i) the Effective Date of Termination or (ii) at the date of the              Change in Control.         (f)   “Beneficiary” means the persons or entities designated or deemed designated by              the Executive pursuant to Section 10.7.         (g)   “Board” means the Board of Directors of the Company.         (h)   “Cause” has the meaning set forth in the applicable Executive’s employment or              similar agreement with the Employer or, if no such agreement is in effect, means              (i) the willful and continued failure by the Executive (other than any such failure              resulting from (A) the Executive’s incapacity due to physical or mental illness or              (B)  any  such  actual  or  anticipated  failure  after  the  issuance  of  a  Notice  of              Termination  by  the  Executive  for  Good  Reason)  to  perform  substantially  the   DMEAST #33323645 v13                 -2-                                          

 

               duties  and  responsibilities  of  the  Executive’s  position  with  the  Employer;              provided, however, that a termination of employment shall not be deemed to be              for  Cause  under  this  clause  (i)  unless  (I)  the  Employer  has  delivered  to  the              Executive  written  notice  specifically  identifying  the  manner  in  which  the              Executive  has  not  substantially  performed  such  duties  or  responsibilities  and              states an intent to terminate the Executive’s employment for Cause within ninety              (90) days of the latest such underlying action (or failure to act), (II) the Executive              fails to cure such Cause event or events within  thirty (30) days after his  or her              receipt of such written notice and (III) the Employer delivers to the Executive a              notice of termination of employment for Cause within thirty (30) days after the              expiration  of  the  30-day  cure  period;  (ii)  the  conviction  of  the  Executive  by  a              court of competent jurisdiction or a plea of nolo contendere for felony  criminal              conduct or a crime involving moral turpitude; or (iii) the willful engaging by the              Executive  in  fraud  or  dishonesty  which  is  injurious  to  the  Company  or  its              reputation, monetarily or otherwise.  No act, or failure to act, on the Executive’s              part shall be deemed “willful” unless committed or omitted by the Executive in              bad faith and without reasonable belief that the Executive’s act or failure to act              was in, or not opposed to, the best interest of the Company.  It is also expressly              understood  that  the  Executive’s  attention  to  matters  not  directly  related  to  the              business of the Employer shall not provide a basis for termination for Cause so              long as the Board has approved the Executive’s engagement in such activities.          (i)   “CEO” means the Chief Executive Officer of the Company.         (j)   “Change in Control” means any of the following:                (i)   Any individual, entity or group (within the meaning of Section 13(d)(3) or                    14(d)(2) of the Exchange Act) (a “Person”) becomes the beneficial owner                    (within the meaning of Rule 13d-3 promulgated under the Exchange Act)                    of 50% or more of either (A) the then-outstanding shares of common stock                    of the Company (the “Outstanding Company Common Stock”) or (B) the                    combined  voting  power  of  the  then-outstanding  voting  securities  of  the                    Company  entitled  to  vote  generally  in  the  election  of  directors  (the                    “Outstanding Company  Voting Securities”); provided,  however, that, for                    purposes of this definition, the following acquisitions shall not constitute a                    Change  in  Control:   (1)  any  acquisition  directly  from  the  Company,                    (2) any acquisition by the Company, (3) any acquisition by any employee                    benefit plan (or related trust) sponsored or maintained by the Company or                    any affiliated entity or (iv) any  acquisition pursuant to a transaction that                    complies with (iii)(A), (iii)(B) and (iii)(C) of this definition;               (ii)  Individuals  who,  as  of  the  date  hereof,  constitute  the  Board  (the                    “Incumbent Board”) cease for any reason to constitute at least a majority                    of the Board; provided, however, that any individual becoming a director                    subsequent to the date hereof whose election, or nomination for election                    by  the  Company’s  stockholders,  was  approved  by  a  vote  of  at  least  a                    majority  of  the  directors  then  comprising  the  Incumbent  Board  shall  be    DMEAST #33323645 v13                 -3-                                          

 

                     considered  as  though  such  individual  was  a  member  of  the  Incumbent                    Board, but excluding, for this purpose, any such individual whose initial                    assumption of office occurs in connection with or as a result of an actual                    or  threatened  election  contest  with  respect  to  the  election  or  removal  of                    directors or other actual or threatened solicitation of proxies or  consents                    by or on behalf of a Person other than the Board;               (iii) Consummation  of  a  reorganization,  merger,  statutory  share  exchange  or                    consolidation or similar transaction involving the Company or any of its                    subsidiaries,  a  sale  or  other  disposition  of  all  or  substantially  all  of  the                    assets  of  the  Company,  or  the  acquisition  of  assets  or  stock  of  another                    entity  by  the  Company  or  any  of  its  subsidiaries  (each,  a  “Business                    Combination”),  in  each  case  unless,  following  such  Business                    Combination, (A) all or substantially all of the individuals and entities that                    were the beneficial owners of the Outstanding Company Common Stock                    and the Outstanding Company Voting Securities immediately prior to such                    Business Combination beneficially own, directly or indirectly, more than                    50%  of  the  then-outstanding  shares  of  common  stock  (or,  for  a  non-                   corporate entity, equivalent securities) and the combined voting power of                    the  then-outstanding  voting  securities  entitled  to  vote  generally  in  the                    election of directors (or, for a non-corporate entity, equivalent governing                    body,  as  the  case  may  be),  of  the  entity  resulting  from  such  Business                    Combination  (including,  without  limitation,  an  entity  that,  as  a  result  of                    such  transaction,  owns  the  Company  or  all  or  substantially  all  of  the                    Company’s assets either directly or through one or more subsidiaries) in                    substantially the same proportions as their ownership immediately prior to                    such Business Combination of the Outstanding Company Common Stock                    and the Outstanding Company Voting Securities, as the case may be, (B)                    no  Person  (excluding  any  corporation  resulting  from  such  Business                    Combination  or  any  employee  benefit  plan  (or  related  trust)  of  the                    Company or such corporation resulting from such Business Combination)                    beneficially owns, directly or indirectly, 50% or more of, respectively, the                    then-outstanding  shares  of  common  stock  of  the  corporation  resulting                    from  such  Business  Combination  or  the  combined  voting  power  of  the                    then-outstanding voting securities of such corporation, except to the extent                    that such ownership existed prior to the Business Combination, and (C) at                    least a majority of the members of the board of directors (or, for a non-                   corporate entity,  equivalent  governing body) of the entity  resulting  from                    such Business Combination were members of the Incumbent Board at the                    time of the execution of the initial agreement or of the action of the Board                    of Directors providing for such Business Combination; or               (iv)  Approval by the stockholders of the Company of a complete liquidation or                    dissolution of the Company.        DMEAST #33323645 v13                 -4-                                          

 

         (k)   “Change  in  Control  Period”  means  the  time  period  that  begins  six  (6)  months              immediately prior to, and continues until the elapse of twenty-four (24)  months              immediately following a Change in Control of the Company.         (l)   “Code” means the United States Internal Revenue Code of 1986, as amended, and              any successors thereto, and the regulations thereunder.         (m)   “Company”  means  Triumph  Group,  Inc.,  a  Delaware  corporation,  or  any              successor thereto as provided in Section 8.1.  The term “Company” shall include a              subsidiary or affiliate of Triumph Group, Inc., including a Subsidiary or Affiliate of              Triumph Group, Inc. by merger, consolidation or liquidation or purchase of assets              or stock or similar transaction.         (n)   “Delay Period” shall have the meaning set forth in Section 3.3(b).         (o)   “Disability”  means  that  the  Executive  is  unable  to  engage  in  any  substantial              gainful  activity  by  reason  of  any  medically  determinable  physical  or  mental              impairment that can be expected to result in death or can be expected to last for a              continuous period of not less than six (6) months.  Whether an Executive has a              Disability shall be determined by the Plan Administrator.  The Plan Administrator              may  rely  on  any  determination  that  an  Executive  is  disabled  for  purposes  of              benefits under any long-term disability plan maintained by the Employer in which              an Executive participates.          (p)   “Effective Date” has the meaning set forth in Section 1.2.         (q)   “Effective  Date  of  Termination”  means  the  date  on  which  a  Qualifying              Termination  occurs,  as  defined  hereunder,  which  triggers  the  payment  of              Severance Benefits hereunder.         (r)   “Employer” means the Company or any Subsidiary or Affiliate, as applicable.         (s)   “ERISA”  means  the  Employee  Retirement  Income  Security  Act  of  1974,  as              amended, and the regulations thereunder.           (t)   “Exchange Act” means the Securities Exchange Act of 1934, as amended.         (u)   “Executive” has the meaning set forth in Section 1.1.         (v)   “General  Severance  Plan”  means  the  Company’s  Executive  General  Severance              Plan,  effective  as  of  February  19,  2019,  as  may  be  amended  and  restated  from              time to time.         (w)   “Good Reason” for termination by the Executive of the Executive’s employment              means the occurrence (without the Executive’s express written consent) after any              Change  in  Control,  of  any  one  of  the  following  acts  by  the  Company  or  the              Employer, or failures by the Company or the Employer to act, unless such act or    DMEAST #33323645 v13                 -5-                                          

 

               failure to act is corrected prior to the Date of Termination specified in the Notice              of Termination given in respect thereof:               (i)   a  significant  adverse  change  or  diminution  in  the  Executive’s  authority,                    duties, responsibilities or reporting requirements as in effect immediately                    prior to the Change in Control Period or the assignment to the Executive                    of any duties or responsibilities which are inconsistent with such role or                    position(s)  (including  status,  offices,  titles,  public  company  status  and                    reporting  requirements),  or  any  removal  of  the  Executive  from,  or  any                    failure to reappoint or reelect the Executive to, such position(s);               (ii)  a reduction of more than ten percent (10%) in the Executive’s total annual                    target  compensation  (as  compared  to  the  Executive’s  total  annual  target                    compensation  immediately  prior  to  the  Change  in  Control),  other  than                    pursuant  to  an  across-the-board  reduction  in  total  annual  target                    compensation  which  applies  to  all  similarly  situated  executives  of  the                    Company and any acquirer (and defining total annual target compensation                    for  purposes  of  this  definition  as  base  salary  and  target  annual  cash                    incentive  compensation  (and  not  including  equity  or  equity-based                    compensation));                (iii) a material reduction in the aggregate level of employee benefits offered to                    the Executive under any pension, life insurance, medical, health, accident                    and  disability  plans,  or  any  retirement  plan  for  which  the  Executive  is                    eligible at the time of the Change in Control, compared with the aggregate                    level  of  employee  benefits  offered  to  the  Executive  under  such  plans                    immediately prior to the Change in Control; or               (iv)  the Company or the Employer requiring the Executive to be based at an                    office that  is  greater  than  35  miles  from  where  the Executive’s  office is                    located  immediately  prior  to  the  Change  in  Control  except  for  required                    travel  on  the  Employer’s  business  to  an  extent  substantially  consistent                    with  the  business  travel  obligations  which  the  Executive  undertook  on                    behalf of the Employer prior to the Change in Control;               provided, however, that the Executive’s termination of employment shall not be              deemed  to  be  for  Good  Reason  unless  (A)  the  Executive  has  delivered  to  the              Employer written notice describing the occurrence of one or more Good Reason              events within ninety (90) days of such occurrence, (B) the Employer fails to cure              such Good Reason event or events within thirty (30) days after its receipt of such              written  notice  and  (C)  the  Executive  delivers  to  the  Employer  a  notice  of              termination  of  employment  for  Good  Reason  within  thirty  (30)  days  after  the              expiration of the 30-day cure period.          (x)   “Highest Annual Bonus” means the higher of (i) an Executive’s average annual              bonus earned in each of the last three completed annual performance periods; and    DMEAST #33323645 v13                 -6-                                          

 

               (ii) the current target bonus opportunity in the fiscal year in which a Qualifying              Termination occurs.         (y)   “Initial Term” has the meaning set forth in Section 1.2.         (z)   “Notice of Termination” means a written notice which shall indicate the specific              termination  provision  in  this  Plan  relied  upon,  and  shall  set  forth  in  reasonable              detail the facts and circumstances claimed to provide a basis for termination of the              Executive’s employment under the provision so indicated.         (aa)  “Parachute Payment Ratio” shall have the meaning set forth in Article 6.         (bb)  “Plan” shall have the meaning set forth in Section 1.1.         (cc)  “Plan Administrator” means the Triumph Group, Inc. Administrative Committee              as delegated by the Board to administer the terms of this Plan.  In the event any              member of the Administrative Committee is entitled to Severance Benefits under              this Plan, or makes a claim for benefits under this Plan, the remaining members of              the Administrative Committee shall act of the Plan Administrator for purposes of              administering  the  terms  of  the  Plan  with  respect  to  such  Executive.   The  Plan              Administrator may delegate all or any portions of its authority under the Plan to              any other Person(s).           (dd)  “Proceeding” has the meaning set forth in Section 5.2(a).           (ee)  “Qualified Plan” means, with respect to each Executive, the defined contribution              plan  that  is  intended  to  qualify  under  Section  401(a)  of  the  Code  in  which  the              Executive is entitled to participate immediately prior to a Qualifying Termination.         (ff)  “Qualifying  Termination”  means,  once  a  Change  in  Control  actually  occurs,  if              such event occurs within the Change in Control Period:               (i)   a termination of the Executive’s employment by the Employer other than a                    termination for Cause, death, or Disability that is, in any case, effected by                    a Notice of Termination delivered to the Executive by the Employer; or               (ii)  a termination of the Executive’s employment for Good Reason pursuant to                    a Notice of Termination delivered to the Employer by the Executive.         (gg)  “Release Effective Date” shall have the meaning set forth in Section 3.1(c).         (hh)  “Severance Benefits” means the Severance Benefits as provided in Article 3.         (ii)  “Severance Period” has the meaning set forth in Section 3.4.           (jj)  “Specified  Employee”  means  any  Executive  described  in  Code  Section              409A(a)(2)(B)(i).    DMEAST #33323645 v13                 -7-                                          

 

         (kk)  “Subsidiary” means any company (other than the Company) in an unbroken chain              of  companies  beginning  with  the  Company,  provided  each  company  in  the              unbroken  chain  (other  than  the  Company)  owns,  at  the  time  of  determination,              stock possessing 50% or more of the total combined voting power of all classes of              stock in one of the other companies in such chain.         (ll)  “Successive Period” has the meaning set forth in Section 1.3.         (mm)  “Total Payments” has the meaning set forth in Article 6.   Article 3.  Severance Benefits          3.1   Right to Severance Benefits.          (a)   Severance  Benefits.   The  Executive  shall  be  entitled  to  receive  from  the              Company  Severance  Benefits,  as  described  in  Section  3.2  and  summarized  on              Exhibit B attached hereto, if the Executive is the CEO, a Band 6 Executive or a              Band 5 Executive and a Qualifying Termination of the Executive’s employment              has occurred within the Change in Control Period.         (b)   No Severance Benefits.  The Executive shall not be entitled to receive Severance              Benefits if the Executive’s employment with the Employer ends for reasons other              than a Qualifying Termination.         (c)   General  Release.   As  a  condition  to  receiving  Severance  Benefits  (other  than              under Section 3.2(a)), the Executive shall be obligated to execute a separation and              release agreement in favor of the Company, its current and former Subsidiaries,              Affiliates  and  stockholders,  and  the  current  and  former  directors,  officers,              employees,  and  agents  of  the  Company  and  such  Subsidiaries  and  Affiliates              substantially in the form attached to this Plan  as Exhibit C, and any revocation              period for such release must have expired, in each case within sixty (60) days of              the date of termination.  The date upon which the executed release is no longer              subject to revocation shall be referred to herein as the “Release Effective Date”.               Any payments under Section 3.2 shall commence only after the Release Effective              Date, and in the manner provided in Section 3.3 and Section 3.7.         (d)   No  Duplication  of  Severance  Benefits.   Notwithstanding  anything  to  the              contrary  in  this  Plan,  an  Executive  who  receives  Severance  Benefits  under  this              Plan  shall  not  be  entitled  to  receive  severance  benefits  under  the  General              Severance  Plan  or  any  other  plan  or  agreement  of  the  Company  or  any  of  its              Subsidiaries or Affiliates.  If an Executive becomes entitled to Severance Benefits              under this Plan while receiving severance benefits under the General Severance              Plan or any other plan or agreement of the Company or any of its Subsidiaries or              Affiliates,  then  the  severance  benefits  under  such  other  plan  or  agreement  will              cease  and  the  Severance  Benefits  due  to  the  Executive  under  this  Plan  will  be              reduced by such other severance benefits previously paid to the Executive.    DMEAST #33323645 v13                 -8-                                          

 

         3.2   Description of Severance Benefits.  In the event the Executive becomes entitled  to  receive  Severance  Benefits  as  provided  in  Section  3.1,  the  Company  shall  provide  the  Executive with the following:         (a)   an  amount  equal  to  the  Executive’s  unpaid  Base  Salary  and  unreimbursed              business expenses, which amounts shall be paid promptly after the Effective Date              of  Termination  whether  or  not  the  Executive  executes  a  release  required  by              Section  3.1(c),  and,  subject  to  Section  3.1(d),  vested  amounts  owed  to  the              Executive  under  any  other  plan  or  agreement  of  the  Company,  which  will  be              payable in accordance with the terms of such plan or agreement;         (b)   an amount equal to:               (i)   two (2) for the CEO;               (ii)  one and one-half (1.5) for Band 6 Executives; and               (iii) one (1) for Band 5 Executives;               times  the  sum  of  the  following:  (A)  the  Executive’s  Base  Salary  and  (B)  the              Executive’s Highest Annual Bonus;         (c)   an amount equal to the Executive’s annual target bonus opportunity in the fiscal              year in which  a Qualifying  Termination occurs,  pro-rated for the portion of the              fiscal year elapsing prior to the Qualifying Termination, less any bonus paid to the              Executive with respect to the same fiscal year in connection with the occurrence              of  a  Change  in  Control  under  the  Company’s  Executive  Cash  Incentive              Compensation Plan, effective April 1, 2018, or any successor plan;         (d)   an amount equal to:               (i)   $50,000 for the CEO;               (ii)  $20,000 for Band 6 Executives; and               (iii) $5,000 for Band 5 Executives               as a stipend with which the Executive may procure outplacement services;         (e)   acceleration  and  vesting,  or  lapse  of  forfeiture  restrictions,  as  applicable,  of  all              unvested equity or equity-based awards or equity or equity-based awards subject              to forfeiture restrictions, whether annual awards, special, one-time or inducement              awards, made to the Executive prior to the Effective Date of Termination, with              any performance-based awards vesting based upon an assumed achievement of all              relevant  performance  goals  at  target  performance  goal  achievement  as  of  the              Effective Date of Termination;    DMEAST #33323645 v13                 -9-                                          

 

         (f)   payment on the Executive’s behalf of all of the Executive’s cost to participate in              COBRA medical and dental continuation coverage for:               (i)   twenty-four  (24)  months  following  the  CEO’s  Effective  Date  of                    Termination for the CEO;               (ii)  eighteen  (18)  months  following  the  Executive’s  Effective  Date  of                    Termination for Band 6 Executives; and               (iii) twelve  (12)  months  following  the  Executive’s  Effective  Date  of                    Termination for Band 5 Executives;               provided  that  notwithstanding  the  above,  if  such  payments  would  result  in              discrimination  under  any  tax  law,  then  the  Company  shall  pay  such  monthly              premiums as additional taxable compensation to the Executive.  For purposes of              enforcing  this  offset  provision,  the  Executive  shall  have  a  duty  to  keep  the              Company informed as to the terms and conditions of any subsequent employment              and the corresponding benefits earned from such employment, and shall provide,              or cause to be provided, to the Company in writing correct, complete, and timely              information concerning the same; and         (g)   an  amount  equal  to  the  total  amount  through  the  Severance  Period  that  the              Executive would have received under the Qualified Plan as a company match if              the  Executive  had  participated  in  such  plan  (applying  the  maximum  statutory              contribution limits in effect on the Executive’s Effective Date of Termination).         3.3   Coordination with Release and Delay Required by Code Section 409A.         (a)   To the maximum extent possible, all amounts payable hereunder are intended to              be  exempt  from  the  requirements  of  Code  Section  409A  and  this  Plan  shall  be              construed and administered in accordance with such intention.  To the extent any              continuing  benefit  (or  reimbursement  thereof)  to  be  provided  is  not  “deferred              compensation”  for  purposes  of  Code  Section  409A,  then  such  benefit  shall              commence  or  be  made  immediately  after  the  Release  Effective  Date  (if              applicable).  To the extent any continuing benefit (or reimbursement thereof) to              be provided is “deferred compensation” for purposes of Code Section 409A, then              to the extent necessary to prevent the imposition of taxes or penalties under Code              Section  409A  such  benefits  shall  be reimbursed  or commence  upon  the earliest              later date as may be required in order to comply with the requirements of Code              Section  409A.   The  delayed  benefits  shall  in  any  event  expire  at  the  time  such              benefits  would  have  expired  had  the  benefits  commenced  immediately  upon              Executive’s termination of employment.         (b)   Notwithstanding any other payment schedule provided herein to the contrary, if              the Executive is deemed on the date of termination to be a Specified Employee,              then, once the release required by Section 3.1(c) is executed and delivered and no              longer  subject  to  revocation,  any  payment  that  is  considered  deferred              compensation under Code Section 409A payable on account of a “separation from   DMEAST #33323645 v13                 -10-                                         

 

               service” shall be made on the date which is the earlier of (A) the expiration of the              six (6)-month period measured from the date of such “separation from service” of              the Executive, and (B) the date of the Executive’s death (the “Delay Period”) to              the extent required under Code Section 409A.  Upon the expiration of the Delay              Period, all payments delayed pursuant to this Section 3.3(b) (whether they would              have otherwise been payable in a single sum or in installments in the absence of              such  delay)  shall  be  paid  to  the  Executive  in  a  lump  sum,  and  any  remaining              payments  due  under  this  Plan  shall  be  paid  or  provided  in  accordance  with  the              normal payment dates specified for them herein.         3.4   Retirement  Plans.   The  provisions  of  any  applicable  qualified  and/or  non- qualified  defined  contribution  or  defined  benefit  plan  maintained  by  the  Company  or  the  Employer pursuant to which an Executive is eligible to participate, shall control with respect to  any  recognition  of  service  during  any  period  in  which  the  Executive  is  receiving  Severance  Benefits  (the  “Severance  Period”)  and  the  eligibility  for  benefits  before,  during  and  after  the  Severance Period.         3.5   Deductions  from  Severance  Benefits.   The  Plan  Administrator  reserves  the  right  to  make  deductions  in  accordance  with  applicable  law  for  any  monies  owed  to  the  Company  or  an  Employer  by  the  Executive  or  the  value  of  Company  property  that  the  Executive has retained in  Executive’s  possession, e.g.,  if  an  Executive  (a) retained a company  laptop  or  other  property,  or  (b)  used  Executive’s  corporate  card  for  unauthorized  personal  purchases;  provided  that  no  such  deductions  shall  be  made  with  respect  to  terminations  occurring on, or during the two year period following, a Change in Control.  To  the  extent  applicable,  any  such  deduction  from Severance Benefits shall be made in compliance with Code  Section 409A.   To the maximum  extent  allowed  by  applicable  law,  through  execution  of  a  release required by Section 3.1(c)  (which  is  a  pre-condition  to  receipt  of  severance  benefits  hereunder), an Executive shall consent to, and otherwise authorize, such deductions in writing.         3.6   No  Demotion.   For  the  avoidance  of  doubt,  the  Band  of  each  Executive  immediately  prior  to  the  commencement  of  the  Change  in  Control  Period  shall  determine  the  Severance Benefits to be paid hereunder on a Qualifying Termination, and no demotion of the  Executive during the Change in Control Period shall impact such Severance Benefits; provided,  however, if the Executive is promoted to a higher Band during the Change in Control Period and  has a Qualifying Termination after such promotion, the Severance Benefits shall be paid at such  promoted Band.         3.7   Timing and Method of Payment. Subject to Section 10.3:         (a)   Severance  Benefits.   Subject  to  Article  6,  the  Severance  Benefits  set  forth  in              Section 3.2(b), 3.2(c), 3.2(d), 3.2(e) and 3.2(g) shall be paid in a lump sum, less              withholding for all applicable Federal, state and local taxes and other applicable              withholdings and deductions, no later than sixty  (60) days after the Executive’s              Termination  Date  (provided  that,  with  respect  to  Section  3.2(e),  to  the  extent              necessary  to  prevent  the  imposition  of  taxes  or  penalties  under  Code  Section              409A, such Severance Benefits shall be paid on the date(s) the awards would have              been  paid  absent  the  Qualifying  Termination),  subject  to  the  Executive’s    DMEAST #33323645 v13                 -11-                                         

 

               execution of a Release and, if applicable, the expiration of any revocation period              for  such  Release  within  such  60-day  period.   Severance  Benefits  set  forth  in              Section 3.2(f) shall be paid in accordance with the Company’s standard policies              and practices, subject to the Executive’s execution of a Release and, if applicable,              the  expiration  of  any  revocation  period  for  such  Release  within  such  60-day              period.           (b)   General Rules.  Interest will not be credited on any unpaid Severance Benefit due              to an Executive.  Payment(s) shall be made by direct deposit or by mailing to the              last address provided by the Executive to the Company or Employer or such other              reasonable method as determined by the Plan Administrator.   Article 4.  Sale of Business Unit         An  Executive  shall  not  be  deemed  to  have  terminated  employment  hereunder  merely  because the Company sells the division, subsidiary or other business unit by which the Executive  is employed if the purchaser assumes the Plan with respect to such Executive.   Article 5.  Covenants and Agreements         5.1   Covenants.  This Plan shall have no effect on the validity or enforceability by the  Company or its Subsidiaries or Affiliates of any and all confidentiality, assignment of inventions,  non-solicitation,  non-competition,  non-disparagement  and  cooperation  covenants  of  the  Executive made under any other plan, agreement or other instruments between the Executive and  the Company or one of its Subsidiaries or Affiliates.  Any such covenants shall remain in full  force and effect for the time period(s) set forth in such other plan, agreement or instrument, or if  no time period is so set forth, perpetually.         5.2   Assistance with Claims.           (a)   Each Executive agrees, that, during and after the Executive’s employment by the              Company or Employer, the Executive shall assist the Company, on a reasonable              basis,  in  the  defense  of  any  claims  or  potential  claims  that  may  be  made  or              threatened to be made against it in any action, suit, or proceeding, whether civil,              criminal,  administrative,  or  investigative  (“Proceeding”)  and  shall  assist  the              Company in the prosecution of any claims that may be made by the Company in              any  Proceeding,  to  the  extent  that  such  claims  may  relate  to  the  Executive’s              services.         (b)   Each Executive agrees, unless precluded by law, to promptly inform the Company              if  the  Executive  is  asked  to  participate  (or  otherwise  become  involved)  in  any              Proceeding involving such claims or potential claims.         (c)   Each  Executive  also  agrees,  unless  precluded  by  law,  to  promptly  inform  the              Company  if  the  Executive  is  asked  to  assist  in  any  investigation  (whether              governmental  or  private)  of  the  Company  or  its  Subsidiaries  (or  its  actions),              regardless  of  whether  a  lawsuit  has  then  been  filed  against  the  Company  or  its              Subsidiaries with respect to such investigation.   DMEAST #33323645 v13                 -12-                                         

 

   Article 6.  Certain Change in Control Payments         Notwithstanding any provision of the Plan to the contrary, if any payments or benefits an  Executive  would  receive  from  the  Company  or  Employer  under  the  Plan  or  otherwise  in  connection  with  the  Change  in  Control  (the “Total  Payments”)  (a) constitute  “parachute  payments” within the meaning of Code Section 280G, and (b) but for this Article 6, would be  subject to the excise tax imposed by Code Section 4999, then such Executive will be entitled to  receive either (i) the full amount of the Total Payments or (ii) a portion of the Total Payments  having a value equal to One Dollar ($1) less than three (3) times such individual’s “base amount”  (as such term is defined in Code Section 280G(b)(3)(A)), whichever of (i) and (ii), after taking  into  account  applicable  Federal,  state,  local  income  and  employment  taxes  and  the  excise  tax  imposed by Code Section 4999, results in the receipt by such employee on an after-tax basis, of  the greatest portion of the Total Payments.  Any determination required under this Article 6 shall  be made in writing by the Company’s independent certified public accountants appointed prior to  any change in ownership (as defined under Code Section 280G(b)(2)) or tax counsel selected by  such accountants (the “Accountants”), whose determination shall be conclusive and binding for  all  purposes  upon  the  applicable  Executive  and  the  Company.   For  purposes  of  making  the  calculations required by this Article 6, the Accountants may make reasonable assumptions and  approximations  concerning  applicable  taxes  and  may  rely  on  reasonable,  good-faith  interpretations  concerning  the  application  of  Code  Sections 280G  and  4999.   If  there  is  a  reduction  pursuant  to  this  Article  6  of  the  Total  Payments  to  be  delivered  to  the  applicable  Executive, the payment reduction contemplated by the preceding sentence shall be implemented  by determining the Parachute Payment Ratio (as defined below) for each “parachute payment”  and then reducing the “parachute payments” in order beginning with the “parachute payment”  with the highest Parachute Payment Ratio.  For “parachute payments” with the same Parachute  Payment  Ratio,  such  “parachute payments” shall  be  reduced  based  on  the  time  of  payment  of  such “parachute payments,” with amounts having later payment dates being reduced first.  For  “parachute payments” with the same Parachute Payment Ratio and the same time of payment,  such  “parachute  payments”  shall  be  reduced  on  a  pro  rata  basis  (but  not  below  zero)  prior  to  reducing “parachute payments” with a lower Parachute Payment Ratio.  For purposes hereof, the  term “Parachute Payment Ratio” shall mean a fraction the numerator of which is the value of the  applicable  “parachute  payment”  for  purposes  of  Code  Section  280G  and  the  denominator  of  which is the actual present value of such payment.   Article 7.  Legal Fees and Notice         7.1   Payment  of  Legal  Fees.   In  the  event  of  a  dispute  arising  under  the  Plan  following a Change in Control, the Company shall reimburse an Executive for costs of litigation  or  other  disputes  including,  without  limitation,  reasonable  attorneys’  fees  incurred  by  the  Executive in reasonably asserting any claims or defenses under this Plan.  With respect to other  disputes, each party shall bear their own costs.         7.2   Notice.  Any notices, requests, demands, or other communications provided for  by  this  Plan  shall  be  sufficient  if  in  writing  and  if  sent  by  registered  or  certified  mail  to  the  Executive at the last address Executive has filed in writing with the Company or Employer or, in  the case of the Company, at the address set forth in Section 9.1.    DMEAST #33323645 v13                 -13-                                         

 

   Article 8.  Successors and Assignment         8.1   Successors to the Company.  The Company shall require any successor (whether  direct or indirect, by purchase, merger, reorganization, consolidation, acquisition of property or  stock, liquidation, or otherwise) of all or a significant portion of the assets of the Company by  agreement to expressly assume and agree to perform under this Plan in the same manner and to  the same extent that the Company would be required to perform if no such succession had taken  place.   The  terms  of  this  Plan  shall  be  binding  upon  any  successor  in  accordance  with  the  operation  of  law  and  such  successor  shall  be  deemed  the  “Company”  or  the  “Employer”  for  purposes of this Plan.         8.2   Assignment  by  the  Executive.   This  Plan  shall  inure  to  the  benefit  of  and  be  enforceable  by  each  Executive’s  personal  or  legal  representatives,  executors,  administrators,  successors,  heirs,  distributees,  devisees,  and  legatees.   If  an  Executive  dies  while  any  amount  would still be payable to Executive hereunder had Executive continued to live, all such amounts,  unless otherwise provided herein, shall be paid in accordance with the terms of this Plan to the  Executive’s Beneficiary.  If an Executive has not named a Beneficiary, then such amounts shall  be paid to the Executive in accordance with the Company’s regular payroll practices or to the  Executive’s estate, as applicable.     Article 9.  Plan Administration           9.1   Plan Administrator. The Plan Administrator shall be the “administrator” within  the  meaning  of  Section  3(16)  of  ERISA  and  shall  have  all  the  responsibilities  and  duties  contained therein.                The Plan Administrator can be contacted at the following address:               c/o Triumph Group, Inc.              899 Cassatt Road, Suite 210              Berwyn, PA 19312              Attn: Senior Vice President, Human Resources         9.2   Records, Reporting and Disclosure.  The Plan Administrator shall keep a copy  of  all  records  relating  to  the  payment  of  Severance  Benefits  to  Executives  and  former  Executives and all other records necessary for the proper operation of the Plan. All Plan records  shall be made available to the Company and to each Executive for examination during business  hours except  that  an  Executive  shall  examine  only  such  records  as  pertain  exclusively  to  the  examining  Executive  and  to  the  Plan.  The  Plan  Administrator  shall  prepare  and  shall  file  as  required by law or regulation all reports, forms, documents and other items required by ERISA,  the Code, and every other relevant statute, each as amended, and all regulations thereunder (except  that the Company, as payor of the Severance Benefits, shall prepare and distribute to the proper  recipients all forms relating to withholding of income or wage taxes, Social Security taxes, and  other amounts that may be similarly reportable).         9.3   Discretion.  Any decisions, actions or interpretations to be made under the Plan  by the Plan Administrator shall be made in its sole and absolute discretion, subject to the terms  of the Plan and applicable law, and need not be uniformly applied and such decisions, actions or   DMEAST #33323645 v13                 -14-                                         

 

   interpretations  shall  be  final,  binding  and  conclusive  upon  all  parties,  with  respect  to  denied  claims for Severance Benefits. Not in limitation, but in amplification of the foregoing and of the  authority conferred upon the Plan Administrator, the Company specifically intends that the Plan  Administrator  and  its  duly  authorized  delegates  have  the  greatest  permissible  discretion  to  construe the terms of the Plan and to determine all questions concerning eligibility, participation,  and benefits.  The decisions by the Plan Administrator or any delegates shall be conclusive and  binding, and any interpretation, determination, or other action by them is intended to be subject  to the most deferential standard of review.  Such standard of review is not to be affected by any  real  or  alleged  conflict  of  interest  on  the  part  of  the  Plan  Administrator  or  its  delegates.  In  addition  to  the  duties  and  powers  described  hereunder  and  elsewhere  in  this  Plan,  the  Plan  Administrator or its delegate is specifically given the discretionary authority and such powers as  are  necessary  for  the  proper  administration  of  the  Plan,  including,  but  not  limited  to,  the  following:  (i) to resolve ambiguities or inconsistencies; (ii) to supply omissions and the like; (iii)  to make determinations, grants, or denials of the amount, manner, and time of payment of any  Severance  Benefits  under  the  terms  of  the  Plan;  (iv)  to  authorize  its  agents  or  delegates  to  execute or deliver any instrument or make payments on the Plan Administrator’s behalf or with  respect  to  the  Plan;  (v)  to  select  and  retain  counsel,  service  providers  and  vendors,  employ  agents,  and  provide  for  such  clerical,  accounting,  actuarial,  legal,  consulting  and/or  claims  processing  services  as  it  deems  necessary  or  desirable  to  assist  the  Plan  Administrator  in  the  administration  of  the  Plan;  (vi)  to  prepare  and  distribute,  in  such  manner  as  the  Plan  Administrator  determines  to  be  appropriate,  summary  plan  descriptions  and  other  information  explaining the Plan; (vii) to furnish the Company, upon request, such annual reports with respect  to the administration of the Plan as the Plan Administrator deems reasonable and  appropriate;  (viii)  to  receive,  review  and  keep  on  file,  as  the   Plan  Administrator  deems  necessary   or  appropriate,  reports  of  Plan  payments  and  reports  of  disbursements  for  expenses;  and  (ix)  in  general to decide and/or settle questions and disputes, and all such authorizations, interpretations,  determinations, decisions and settlements shall be  final and binding for purposes of the Plan.         Notwithstanding any of the foregoing, if a dispute arises with respect to the payment of  Severance  Benefits after a Change in Control, the standard of review shall be de novo in  any  court proceeding.   Article 10. Miscellaneous         10.1  Indemnification.   To  the  maximum  extent  permitted  by  law,  all  employees,  officers,  directors,  agents  and  representatives  of  the  Company  shall  be  indemnified  by  the  Company  and  held  harmless  against  any  claims  and  the  expenses  of  defending  against  such  claims, resulting from any action or conduct relating to the administration of the Plan, whether as  a member of the Committee or otherwise, except to the extent that such claims arise from gross  negligence, willful neglect, or willful misconduct.         10.2  Employment  Status.   Except  as  may  be  provided  under  any  other  agreement  between the Executive and the Company or Employer, the employment of any Executive by the  Company  or  Employer  is  “at  will”  and  may  be  terminated  by  either  the  Executive  or  the  Company or Employer at any time, subject to applicable law.    DMEAST #33323645 v13                 -15-                                         

 

         10.3  Code Section 409A.  Notwithstanding anything herein to the contrary, if and only  to the extent necessary to prevent the imposition of taxes or penalties under Code Section 409A:         (a)   All expenses or other reimbursements or in-kind benefits under this Plan shall be              paid  or  provided  on  or  prior  to  the  last  day  of  the  taxable  year  following  the              taxable  year  in  which  such  expenses  or  in-kind  benefits  were  incurred  by  the              Executive,  and  no  such  reimbursement  or  in-kind  benefits  in  any  taxable  year              shall in any way affect the reimbursement or in-kind benefits in any other taxable              year or subject to exchange for cash or other taxable amount.         (b)   The  Executive’s  right  to  receive  any  installment  payment  pursuant  to  this  Plan              shall be treated as a right to receive a series of separate and distinct payments.          (c)   Whenever a payment under this Plan specifies a payment period with reference to              a number of days (e.g., “payment shall be made within thirty (30) days following              the date of termination”), the actual date of payment within the specified period              shall be within the sole discretion of the Company.         (d)   A Qualifying Termination shall not be deemed to have occurred for purposes of              any provision of this Plan providing for the payment of any amounts or benefits              upon  or  following  a  Qualifying  Termination  unless  such  termination  is  also  a              “separation  from  service”  within  the  meaning  of  Code  Section  409A  and,  for              purposes  of  any  such  provision  of  this  Plan,  references  to  a  “Qualifying              Termination,” “termination of employment” or like terms shall mean “separation              from service.”         (e)   The  Severance Benefits  payable  pursuant  to  Section  3.2(b),  to  the  extent  not  in              excess of the amount that an Executive would have received as severance benefits              under any other plan or agreement of the Company or any of its Subsidiaries or              Affiliates had such plan or arrangement been applicable, shall be paid at the time              and in the manner provided by such plan or arrangement and the remainder shall              be paid to the Executive in accordance with this Plan.         (f)   A Change in Control shall not be deemed to have occurred for purposes of any              provision of this Plan unless such Change in Control also constitutes a change in              the ownership or effective control of the Company or a change in ownership of a              substantial portion of the assets of the Company under Code Section 409A.         (g)   No payment will be subject to offset unless otherwise permitted by Code Section              409A.         (h)   Notwithstanding any provisions in this Plan to the contrary, whenever a payment              under this Plan may be made upon the Release Effective Date, and the period in              which  the  Executive  could  execute  the  release  (along  with  its  accompanying              revocation  period)  crosses  calendar  years,  no  payments  shall  be  made  until  the              latter calendar year.    DMEAST #33323645 v13                 -16-                                         

 

         10.4  Entire Plan.  This Plan supersedes any prior agreements or understandings, oral  or written, between the parties hereto, with respect to the subject matter hereof, and constitutes  the entire agreement of the parties with respect thereto.  Without limiting the generality of the  foregoing  sentence,  this  Plan  completely  supersedes  any  and  all  severance  benefits  under  any  prior employment agreements entered into by and between the Company or Employer and the  Executive, and all amendments thereto, in their entirety.  Notwithstanding the foregoing, if the  Executive has  entered  into  any  agreements  or  commitments  with  the  Company  with  regard  to  Confidential  Information,  noncompetition,  nonsolicitation,  or  nondisparagement,  such  agreements  or  commitments  will  remain  valid  and  will  be  read  in  harmony  with  this  Plan  to  provide maximum protection to the Company.         10.5  Severability.   In  the  event  that  any  provision  or  portion  of  this  Plan  shall  be  determined to be invalid or unenforceable for any reason, the remaining provisions of this Plan  shall be unaffected thereby and shall remain in full force and effect.          10.6  Tax Withholding.  The Company or Employer may withhold from any benefits  payable under this Plan all Federal, state, city, or other taxes as may be required pursuant to any  law or governmental regulation or ruling.         10.7  Beneficiaries.  The Executive may designate one (1) or more persons or entities  as  the  primary  and/or  contingent  beneficiaries  of  any  amounts  to  be  received  under this  Plan.   Such designation must be in the form of a signed writing acceptable to the Board or the Board’s  designee.  The Executive may make or change such designation at any time.         10.8  Payment  Obligation  Absolute.   Except  as  provided  in  Section  3.5,  the  Company’s  obligation  to  make  the  payments  provided  for  herein  shall  be  absolute  and  unconditional, and shall not be affected by any circumstances, including, without limitation, any  offset, counterclaim, recoupment, defense, or other right which the Company may have against  the Executive or anyone else.  The Executive shall not be obligated to seek other employment in  mitigation of the amounts payable or arrangements made under any provision of this Plan, and  the  obtaining  of  any  such  other  employment  shall  in  no  event  effect  any  reduction  of  the  Company’s obligations to make the payments and arrangements required to be made under this  Plan.         10.9  Contractual  Rights  to  Benefits.   This  Plan  establishes  and  vests  in  the  Executives a contractual right to the benefits to which Executive is entitled hereunder.  However,  nothing  herein  contained  shall  require  or  be  deemed  to  require,  or  prohibit  or  be  deemed  to  prohibit, the Company to segregate, earmark, or otherwise set aside any funds or other assets, in  trust or otherwise, to provide for any payments to be made or required hereunder.         10.10 Modification.   The  Plan  may  be  amended  or  terminated  by  the  Board  in  any  manner  and  at  any  time,  provided  (a)  that  the  termination  of  the  Plan  shall  be  subject  to  the  provisions of Section 1.3 and Section 1.4 and (b) no termination or amendment of the Plan will  be  permitted  during  (i)  any  period  when  the  Company  is  party  to  an  Agreement  which,  if  consummated,  would  result  in  a  Change  in  Control  or  (ii)  during  the  two  year  period  immediately  following  a  Change  in  Control,  in  either  case  to  the  extent  such  amendment  adversely alters or impairs any rights or obligations of an Executive under the Plan.    DMEAST #33323645 v13                 -17-                                         

 

         10.11 Gender  and  Number.   Except  where  otherwise  indicated  by  the  context,  any  masculine term used herein also shall include the feminine; the plural shall include the singular  and the singular shall include the plural.         10.12 Controlling  Law.   This  Plan  shall  be  construed  and  enforced  according  to  the  laws  of  the  Commonwealth  of  Pennsylvania  (without  reference  to  principles  or  provisions  governing conflicts of laws) to the extent not preempted or superseded by Federal laws of the  United States.  Any provision of this Plan that is determined by a court to be in conflict with any  applicable Federal or State laws shall be deemed amended by this paragraph to conform to the  minimum requirements of such laws, except to the extent they are preempted by ERISA.         IN  WITNESS  WHEREOF,  the  Company  has  executed  this  Plan  effective  as  of  the  Effective Date.   TRIUMPH GROUP, INC.                                Name:  Daniel J. Crowley  Title:  President and Chief Executive Officer      DMEAST #33323645 v13                 -18-                                         

 

                      Exhibit A     Band 5 Executives   (on file with the Company)                  

 

                                     Exhibit B                                 Benefits Summary   This summary describes the payments and benefits offered to participants in the Triumph Group,  Inc. Executive Change in Control Severance Plan (the “Plan”) upon a termination of employment  without “Cause” or a resignation of employment for “Good Reason” (each term as defined in the  Plan) in each case within 6 months prior to or 24 months after a Change in Control (as defined in  the Plan) and subject to each participant’s execution and non-revocation of a general release and  waiver.     This description is intended only as a summary and is qualified in its entirety by reference to the  full text of the Plan.  In the event of any conflict between this summary and the Plan, the Plan  shall control.                                  CEO          Band 6 Executives  Band 5 Executives  Salary/Bonus Severance                                                 Base Salary                  2.0x               1.5x               1.0x  Highest Annual Bonus1        2.0x               1.5x               1.0x  Current Year Bonus      Prorated @ target  Prorated @ target  Prorated @ target  Equity                                                                 Time-Based and Cash                          Full acceleration  Full acceleration  Full acceleration  LTI  Performance-Based      Full acceleration @ Full acceleration @ Full acceleration @                              target              target             target  Other                                                                  Benefits Continuation      24 months          18 months          12 months  Outplacement            $50,000 stipend    $20,000 stipend     $5,000 stipend  401(k) Plan             Payment equal to   Payment equal to   Payment equal to                           2.0x maximum       1.5x maximum       1.0x maximum                          annual company     annual company     annual company                         401(k) contribution 401(k) contribution 401(k) contribution                              match              match              match                                                                                                           1 “Highest Annual Bonus” means the higher of (i) an Executive’s average annual bonus earned in each of the last   three completed annual performance periods; and (ii) the current target bonus opportunity in the fiscal year in   which a Qualifying Termination occurs.     

 

                  Exhibit C  Form of Release    (see attached)                             

 

      DATE, 2019         This Release of Claims (the “Release of Claims”) is entered into by [_______]  (“you”)  for and in consideration of the payments and benefits granted to you pursuant to the Executive  Change in Control Severance Plan (the “Plan”, and such benefits, the “Severance Benefits”) with  such payments and benefits to be made or conveyed to you as set forth therein.    1.    Release   You,  for  and  on  behalf  of  yourself  and  your  executors,  administrators,  successors  and  assigns  (collectively,  “Releasors”),  voluntarily,  knowingly  and  willingly  RELEASE,  DISCHARGE  AND  HOLD  HARMLESS  FOREVER,  Triumph  Group  Inc.  (the  “Company”), together with its past and present parents, subsidiaries and affiliates, together with  each  of  their  respective  owners,  investors,  members,  officers,  directors,  partners,  employees,  agents, representatives and attorneys, and each of their respective affiliates, estates, predecessors,  successors and assigns (each a “Released Party” collectively, the “Released Parties”) from any  and all rights, claims, charges, actions, causes of action, complaints, sums of money, suits, debts,  covenants, contracts, agreements, promises, obligations, damages, demands or liabilities of every  kind  whatsoever,  in  law  or  in  equity,  whether  known  or  unknown,  suspected  or  unsuspected  (collectively,  “Claims”)  which  you  or  any  other  Releasor ever had,  now  has  or  may  hereafter  claim to have by reason of any matter, cause of thing whatsoever:  (i) arising from the beginning  of time through the date upon which you sign this Release of Claims, including, but not limited  to, (A) any such Claims relating in any way to your employment relationship with the Company  or with any of the other Released Parties, and (B) any such Claims arising under any federal,  state or local statute or regulation, including, without limitation, Title VII of Civil Rights Act of  1964,  as  amended  (Title  VII),  the  Fair  Labor  Standards  Act  (FLSA),  the  Americans  With  Disabilities Act (ADA), the Employee Retirement Income Security Act (ERISA), the Equal Pay  Act  (EPA),  the  Rehabilitation  Act  of  1973,  the  Family  and  Medical  Leave  Act  (FMLA),  the  National  Labor  Relations  Act  (NLRA),  the  Labor  Management  Relations  Act  (LMRA),  the  Worker  Adjustment  and  Retraining  Notification  Act  (WARN),  the  Age  Discrimination  in  Employment  Act  (ADEA),  the  Older  Workers  Benefit  Protection  Act  of  1990  (OWBPA),  the  Occupational and Safety Health Act  (OSHA), the Genetic Information Nondiscrimination Act of  2008 (GINA), the Uniformed Services Employment and Re-employment Rights Act (USERRA);  Executive  Orders  11246  and  11141;  the  False  Claims  Act  (including  the  qui  tam  provision  thereof); the Consolidated Omnibus Budget Reconciliation Act of 1986 (COBRA); The Dodd- Frank  Wall  Street  Reform  and  Consumer  Protection  Act  (Dodd-Frank);  the  Electronic  Communications Privacy Act of 1986 (including the Stored Communications Act); and/or any  other federal, state or local statute, regulation or other common law that may be legally waived  and  released;  (ii)  relating  to  wrongful  termination  of  employment;  or  (iii)  arising  under  or  relating to any policy, agreement, understanding or promise, written or oral, formal or informal,  between the Company or any other Released Party and you.          2.    Notwithstanding the foregoing, nothing contained in Section 1 shall in any way diminish  or impair:  (i) any rights you may have to payments under the Plan; (ii) any rights you may have  to  vested  benefits  under  employee  benefit  plans;  (iii)  your  rights  as  expressly  set  forth  in  this  Release of Claims; or (iv) any Claims you may have that cannot be waived under applicable law.                                                      

 

   3.    Employee  Acknowledgement   You  acknowledge  and  agree  that  the  release  of  claims  under  the  ADEA  is  subject  to  special  waiver  protections  under  29  U.S.C.  §  626(f).   In  accordance  with  that  section,  you  specifically  agree  that  you  are  knowingly  and  voluntarily  releasing and waiving any rights or claims of discrimination under the ADEA.  By signing this  Release of Claims, you acknowledge and agree that:             (a). the Company has advised you, and hereby advises you, in writing, that you should  consult with an attorney of your own choosing prior to signing this Release of Claims, and you  have consulted with, or have had sufficient opportunity to consult with, an attorney of your own  choosing regarding the terms of this Release of Claims;            (b). you have knowingly and voluntarily entered into this Release of Claims, and you  are not relying upon any representation or statement made by the Company or any employee or  other person on behalf of the Company with regard to the subject matter, meaning or effect of  this Release of Claims and no statements made by the Company have in any way unduly coerced  or influenced you to execute this Release of Claims;             (c). you have read this Release of Claims, it has been written in a manner that is easy  to understand, and you fully understand its terms;            (d). except  as  provided  in  this  Release  of  Claims,  you  have  no  right  or  claim,  contractual or otherwise, to any or all of the payments or benefits described in Section 3.2 of the  Plan;             (e). this  Release  of  Claims  does  not  reflect  an  admission  by  the  Company  of  any  liability or wrongdoing;             (f). pursuant to Section 3.5 of the Plan, you hereby authorize the Company to make  deductions  in  accordance  with  applicable  law  for  any  monies  owed  to  the  Company  or  an  Employer  by  you  or  for  the  value  of  Company  property  that  you  have  retained  in  your  possession;            (g). you  have  had  at  least  [twenty-one  (21)]  OR  [forty-five  (45)]  calendar  days  to  consider the terms of this Release of Claims (including the release of claims set forth in Section  1) and whether or not you should sign it;            (h). you may execute this Release of Claims prior to the expiration of the twenty-one  [(21)  calendar  day]  OR  [forty-five  (45)]  period  (but  in  no  event  prior  to  the  date  your  employment  with  the  Company  terminates  for  any  reason  (the  “Separation  Date”)),  provided  that,  if you execute this Release of Claims prior to the expiration of the [twenty-one (21)] OR  [forty-five (45)] calendar day consideration period, you knowingly and voluntarily waive  your  right  to  consider  this  Release  of  Claims  for  the  full  [twenty-one  (21)]  OR  [forty-five  (45)]  calendar days;             (i). you  must  sign  and  return  this  Release  of  Claims  to  the  Human  Resources  Department within [twenty-one (21)] OR [forty-five (45)] calendar days after your receipt of this  Release of Claims (but in no event prior to the Separation Date);                                               

 

            (j). changes made to this Release of Claims, whether material or immaterial, will not  re-start the running of the [twenty-one (21)] OR [forty-five (45)] calendar day period; and            (k). once  signed,  you  have  the  right  to  revoke  your  execution  of  this  Release  of  Claims by delivering a notice of revocation in writing to the Human Resources Department by  mail, personal delivery, or facsimile within seven (7) calendar days of your signing this Release  of Claims, and this Release of Claims shall not become effective or enforceable until the eighth  (8th) calendar day after it is signed by you and has not been revoked.          4.    Restrictive  Covenants;  Remedies   You  acknowledge  and  agree that  you  have  read  and  understood the restrictive covenant obligations and remedy provisions set forth in Exhibit D of  the Plan (the “Restrictive Covenants”).  You understand and agree that the Restrictive Covenants  (a)  are  necessary  and  essential  to  protect  the  Company’s  confidential  information  and  other  legitimate  business  interests,  including  the  goodwill  and  relationships  the  Company  has  developed with its customers and employees; (b) are reasonable in duration and scope; (c) do not  unduly oppress or restrict your ability to earn a livelihood in your chosen profession; (d) are not  an undue restraint on trade or a violation of any  public interests that may be involved; and (e)  are entered into in exchange for good and valuable consideration (including, without limitation,  the  Severance  Benefits).   By  executing  this  Release  of  Claims,  you  agree  to  be  bound  by  the  Restrictive Covenants, which are hereby incorporated by reference as if fully set forth herein.           5.    Reformation and Severability  If any one or more of the provisions contained in this Release  of Claims shall be held to be excessively broad as to duration, activity or subject, it is the desire of  you and the Company that such provisions be construed by limiting and reducing them so as to be  enforceable  to  the  maximum  extent  allowed  by  applicable  law  and  then  fully  enforced  as  so  modified.  In the event that any one or more of the provisions shall be held to be invalid, illegal or  unenforceable, it is the desire of you and the Company that the validity, legality and enforceability  of the remaining provisions shall not in any way be affected or impaired thereby.  Each provision,  paragraph or subparagraph of this Release of Claims is severable from all others and constitutes  a separate and distinct covenant.          6.    No Waiver  A failure of any of the Released Parties to insist on strict compliance with  any provision of this Release of Claims shall not be deemed a waiver of such provision or any  other provision hereof.         7.    Entire Agreement  This Release of Claims, including the Restrictive Covenants, contains  the entire agreement between the Company and you relating to the matters contained herein and  amends,  supersedes  and  restates  all  prior  agreements  and  understandings,  oral  or  written,  between the Company and you with respect to the subject matter hereof.    8.    Governing  Law   This  Agreement  shall  be  construed,  administered,  and  enforced  according to the laws of the Commonwealth of Pennsylvania, without regard to choice of law  principles, and except as preempted by federal law.                                                 

 

   Agreed to and accepted by the undersigned the        day of ________________, ______.      ___________________________        _____________________________  Employee                           Witness                                              

 

                          Exhibit D  Restrictive Covenant Obligations            (see attached)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    

 

                            Restrictive Covenant Obligations    1.    Acknowledgment:  For purposes of this Exhibit D (this “Exhibit”), the term “Company”  shall  include  Triumph  Group,  Inc.  and  any  of  its  subsidiaries.   Executive  acknowledges  that  Executive  has  had  access  to  the  Company’s  confidential  information,  customer  information,  customer  and  prospective  customer  relationships,  employee  relationships,  vendor  information/relationships, and other key business information and relationships that are integral  to  the  Company’s  ability  to  achieve  its  business  goals  and  remain  competitive.   In  order  to  protect  these  legitimate  business  interests,  and  in  consideration  for  the  payments  and  benefits  provided in this Plan, Executive agrees to the following restrictions.    2.    Definitions:            (a). As  used  in  this  Exhibit,  the  term  “Business”  means  the  manufacturing,  overhauling,  repair,  or  sale  of  aerospace  structures,  systems,  components,  or  accessories  for  commercial and military aircrafts; provided, however, that the term “Business” as defined herein  is restricted to the manufacturing, overhauling, repair, or sale of aerospace structures, systems,  components  or  accessories  made  available,  or  under  development,  by  the  Company  to  its  customers at the time Executive executes this Exhibit.            (b). As  used  in  this  Exhibit,  “Confidential  Information”  means  any  and  all  information,  observations  and  data  of  any  sort  (whether  or  not  embodied  in  a  tangible  or  intangible  form)  relating  in  any  way  to  the  Company  or  any  of  its  parents,  subsidiaries  or  affiliates, that is not generally known to the public and that is disclosed or otherwise revealed to  Executive,  or  discovered  or  otherwise  obtained  by  Executive,  or  of  which  Executive  became  aware, directly or indirectly, at any time during the course of Executive’s employment with, or  service  to,  the  Company.   Confidential  Information  includes,  but  is  not  limited  to,  models,  drawings,  blueprints,  memoranda,  documents  or  records;  information  relating  to  research,  manufacturing processes, bills of material, finance, accounting, sales, personnel management and  operations; and information particularly relating  to customer lists, price lists, customer service  requirements, costs of providing service and equipment or pricing and equipment maintenance  costs.  Confidential Information does not include information that: (i) becomes available to the  public through no wrongful action of Executive’s or anyone acting on Executive’s behalf; or (ii)  is  received  from  a  third  party  without  restriction  and  without  breach  of  this  Exhibit  or  any  agreement which the third party may have with the Company.              (c). As  used  in  this  Exhibit,  the  term  “Restrictive  Period”  means  the  twelve  (12)  month period after the Separation Date.            (d). As used in this Exhibit, the term “Restricted Geographic Area” means any state in  which Executive performed services for the Company (including, without limitation, supervisory  services),  held  supervisory  or  oversight  responsibilities,  or  pertaining  to  which  Executive  received or otherwise hold Confidential Information.     3.    Confidentiality:  Executive  acknowledges  Executive’s  continuing  obligations  under  any  agreements Executive has signed regarding post-employment duties of confidentiality, protection  of  trade  secrets,  inventions  assignment,  and/or  non-solicitation/non-competition  as  if  such                                              

 

   obligations were fully set forth herein.  Additionally, Executive agrees that Executive shall not at  any  time  use,  publish,  disclose,  or  authorize  anyone  else  to  use,  publish,  or  disclose  any  Confidential Information belonging or relating to the Company.    4.    Non-Disparagement:  Subject to Section 5 and Section 6, below, Executive agrees not to  make, or induce anyone else to make, any false, disparaging or derogatory statements about the  Company or any of the Released Parties, including, but not limited to, Triumph, its employees,  its  business  practices,  projects,  clients,  or  services  to  any  third  party  (whether  orally  or  in  writing).       5.    Defend  Trade  Secrets  Act:   The  Federal  Defend  Trade  Secrets  Act  of  2016  provides  immunity in certain circumstances to Company employees (defined as employees, contractors,  and consultants) for limited disclosures of the Company’s trade secrets.  Specifically, a Company  employee, may disclose trade secrets: (a) in confidence, either directly or indirectly, to a federal,  state, or local government official, either directly or indirectly, or to such employee’s attorney, in  each case, solely for the purpose of reporting or investigating a suspected violation of law, or (b)  in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made  under seal.   Additionally,  a  Company  employee  who  files  a retaliation  lawsuit  for  reporting  a  suspected  violation  of  law  may  also  use  and  disclose  related  trade  secrets  in  the  following  manner: (x) the individual may disclose the trade secret to his/her attorney, and (y) the individual  may use the information in a related court proceeding, as long as the individual files documents  containing  the  trade  secret  under  seal  and  does  not  otherwise  disclose  the  trade  secret  except  pursuant to court order.    6.     Permitted  Disclosures:  Nothing  in  this  Exhibit  (including  with  respect  to  confidential  information,  and  trade  secrets)  is  intended  to  be  or  will  be  construed  to  prevent,  impede,  or  interfere  with  Executive’s  right  to  respond  accurately  and  fully  to  any  question,  inquiry,  or  request for information regarding Executive’s employment with the Company when required by  legal  process  by  a  federal,  state  or  other  legal  authority,  or  from  voluntarily  initiating  communications directly with, or responding to any inquiry from, or providing truthful testimony  and  information  to,  any  federal,  state,  or  other  regulatory  authority  in  the  course  of  an  investigation or proceeding authorized by law and carried out by such agency.  Executive does  not  need  the prior  authorization  of  the  Company  to  make any  such  reports  or disclosures  and  Executive  is  not  required  to  notify  the  Company  that  Executive  has  made  such  reports  or  disclosures.    7.    Non-Competition:   During  the  Restrictive  Period  Executive  will  not,  anywhere  in  the  Restricted  Geographic  Area,  directly  or  indirectly  participate  in  the  ownership,  management,  operation, financing or control of, or be employed by, or consult for, or otherwise render services  to (with or without compensation), any person, corporation, firm, or other entity that engages in,  or  is  preparing  to  engage  in,  the  Business;  provided,  however,  that  Executive  may  invest  Executive’s  funds  in  securities  of  an  entity  which  engages  in  the  Business  if  the  securities  of  such entity are listed for trading on a registered securities exchange or actively traded in an over- the-counter market  and  Executive’s  holdings  represent  less  than  one percent  (1%) of  the  total  number of outstanding shares or principal amount of the securities of such a person.                                                

 

   8.    Non-Solicitation  of  Customers:   During  the  Restrictive  Period,  Executive  will  not,  on  behalf of any other Business, directly or indirectly, solicit business from, or perform services for,  or  for  the  benefit  of,  any  customer  or  account  of  the  Company  (a)  with  which  Executive  had  direct or indirect  contact, or (b) about which  Executive has or had knowledge of Confidential  Information, in each case, during the twenty-four (24) months immediately preceding the date  Executive’s employment with the Company terminates for any reason (the “Separation Date”).      9.    Non-Inducement  and  Non-Hire:   During  the  Restrictive  Period,  Executive  will  not,  directly or indirectly, solicit, hire, engage, attempt to solicit or hire or engage, or participate in  any  attempt  to  solicit  or  hire  or  engage,  any  person  who,  during  the  twenty-four  (24)  months  immediately preceding the Separation Date, is or was an officer, employee, or consultant of the  Company.    10.   Injunctive Relief:  Executive acknowledges that the restrictions contained in this Exhibit  are necessary to protect  the legitimate business interests  of the Company and that Executive’s  violation of any of the restrictions contained in this Exhibit would result in irreparable harm and  injury  to  the  Company,  for  which  remedies  at  law  will  not  be  adequate.   Accordingly,  in  the  event  of  a  breach  or  threatened  breach  by  Executive  of  any  of  the  provisions  in  this  Exhibit,  Executive  agrees  that  the  Company  shall  be  entitled  to  seek,  in  addition  to  other  available  remedies, a temporary or permanent injunction or other equitable relief against such breach or  threatened breach from any court of competent jurisdiction, without the necessity of showing any  actual damages or that monetary damages would not afford an adequate remedy, and without the  necessity of posting any bond or other security.  Executive acknowledges and agrees that such  injunctive relief shall be in addition to, and not in lieu of,  any legal remedies, other equitable  remedies, monetary damages or other available forms of relief.        11.   Company Property:  Executive acknowledges and agrees that, as of the Separation Date,  Executive  will  return  to  the  Company  all  Company  property  and  equipment  in  Executive’s  possession  or  subject  to  Executive’s  control,  including,  without  limitation,  all  keys,  badges,  manuals, credit cards, engineering stamps, Company or customer data or documents (whether in  electronic or paper form and including all copies), notes, lists, correspondence, software, laptops,  phones,  pagers,  parking  passes  and  any  other property  belonging  to  the  Company.   Executive  further  agrees  that  Executive  will  permanently  delete  any  and  all  Company  property  which  cannot be returned to the Company in its entirety, including any Company property stored on a  personal cloud storage service.      12.   Notification:   Executive  agrees  that  in  the  event  Executive  is  offered  to  enter  into  an  employment relationship with a third party at any time during the Restrictive Period, Executive  shall immediately notify the Company in writing and otherwise advise said other third party of  the existence of this Exhibit and shall immediately provide said person or entity with a copy of  this Exhibit.                                                  915604-NYCSR05A - MSW

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