Document:

exv10wa

 

Exhibit 10.A

VIAD CORP

DEFERRED COMPENSATION PLAN

AMENDED AND RESTATED AS OF AUGUST 20, 2003

	1.	 	PURPOSE OF THE PLAN.

          The purpose of the Deferred Compensation Plan (the Plan) is to provide a
select group of management or highly compensated employees of Viad Corp (the
Corporation) and its subsidiaries with an opportunity to defer the receipt of
incentive compensation awarded to them under the Management Incentive Plan, the
Performance Unit Incentive Plan and certain other incentive plans of Viad Corp
and its subsidiaries (the Incentive Plans) and thereby enhance the long-range
benefits and purposes of the incentive awards. Each plan year shall extend
from January 1 through December 31 of each calendar year.

	2.	 	ADMINISTRATION OF THE PLAN.

          The Plan shall be administered by the Compensation Advisory Committee (the
Committee). Subject to the express provisions of the Plan, and the Incentive
Plans, the Committee shall have the authority to adopt, amend and rescind such
rules and regulations, and to make such determinations and interpretations
relating to the Plan, which it deems necessary or advisable for the
administration of the Plan, but it shall not have the power to amend, suspend
or terminate the Plan. All such rules, regulations, determinations and
interpretations shall be conclusive and binding on all parties.

	3.	 	PARTICIPATION IN THE PLAN.

          (a) Participation in the Plan shall be restricted to a select group of
management or highly compensated employees of the Corporation or one of its
subsidiaries who are participants in certain Incentive Plans, including the
Management Incentive Plan, Viad Corp Performance Unit Incentive Plan, and any
other bonus or bonuses or similar or successor plans, who have been selected in
writing by the Chief Executive Officer of the Corporation to participate in the
Plan, and whose timely written requests to defer the receipt of all or a
portion of any incentive compensation which may be awarded to them, are honored
in whole or in part by the Committee. Any individual whose request for
deferral is not accepted or honored by the Committee, whether for failure of
timely submission or for any other reason, shall not become a participant in
the Plan, and the Committee’s determination in this regard shall be conclusive
and binding.

          (b) Participants may defer incentive compensation into a cash account and,
if designated by the Committee, into a stock unit account.

          (c) If a participant in the Plan shall 1) sever, voluntarily or
involuntarily, his employment with the Corporation or one of its subsidiaries
other than as a result of disability or retirement, 2) engage in any activity
in competition with the Corporation or

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any of its subsidiaries during or following such employment, or 3) remain
in the employ of a corporation which for any reason ceases to be a subsidiary
of the Corporation, the Committee may at any time thereafter direct, in its
sole and exclusive discretion, that his participation in the Plan shall
terminate, and that he be paid in a lump sum the aggregate amount credited to
his deferred incentive cash account as of the date such participation is
terminated and that he be paid shares of the Corporation’s Common Stock equal
to the aggregate number of stock units credited to his deferred stock unit
account as of the date such participation is terminated (with any fractional
unit being settled by cash payment). The Committee is authorized to establish
and implement a policy and procedures for administration of this paragraph,
including, but not limited to, a policy regarding small account balance
cash-outs.

          (d) The Corporation and each participating subsidiary shall be solely
liable for payment of any benefits and, except as may be otherwise determined
by the Committee, for maintenance of deferred incentive accounts pursuant to
paragraph 7, with respect to its own employees who participate in the Plan. In
the event a participant leaves the employ of the Corporation or a participating
subsidiary (“former employer”) and is subsequently employed by another
employer, the Corporation or another subsidiary of the Corporation (“new
employer”), the former employer may agree to transfer and the new employer may
agree to assume the benefit liability reflected in such participant’s deferred
incentive account, without the consent of such participant and subject to the
approval of the Committee, in its sole discretion. In the event of such a
transfer and assumption of liability, the former employer shall have no further
liability for any benefit under the Plan to its former employee or otherwise
with respect to such transferred account.

          (e) Notwithstanding any other provision of the Plan, if the Corporation
effects a spin-off or other distribution to its shareholders (a “Spin-off”) of
any of its subsidiaries (such subsidiary, “Spinco”), the Spin-off shall not be
considered to result in the termination of employment of any participants who
are employed with either the Corporation and its remaining subsidiaries or with
Spinco and its subsidiaries immediately following the spinoff. Furthermore,
with respect to participants who are employed with Spinco and its subsidiaries
immediately following the Spin-off, all references in the Plan to termination
of employment shall be deemed to include employment with Spinco and its
subsidiaries; provided, that such participants shall not be eligible to
continue to defer compensation under the Plan (although they may be permitted
to do so under a successor or similar plan of Spinco).

	4.	 	REQUESTS FOR DEFERRAL.

          All requests for deferral of incentive awards must be made in writing
prior to November 15 of the year in which the bonus is being earned and shall
be in such form and shall contain such terms and conditions as the Committee
may determine. Each such request shall specify the dollar amount or the
percentage to be deferred of incentive award which would otherwise be received
in the following calendar year, but the deferral amount must be in an amount
equal to or greater than the lesser of

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$10,000 or 25% of the incentive award. Each such request shall also
specify 1) the date (no later than the employee’s actual retirement date) when
payment of the aggregate amount credited to the deferred incentive account is
to commence, 2) whether such payment is then to be made in a lump sum or in
quarterly or annual installments, 3) if payment is to be made in installments,
the period of time (not in excess of ten years) over which the installments are
to be paid, and 4) if the participant is permitted to defer incentive
compensation into a stock unit account, the portion of the deferred incentive
compensation which shall be treated as a cash account under paragraph 7(b) and
the portion which shall be treated as a stock unit account under paragraph
7(c). If the participant has requested that a portion of the deferred
incentive compensation be placed in a stock unit account, such request shall
also include acknowledgment that such stock unit account will be settled in
Common Stock of the Corporation, and that such stock unit account cannot be
converted to a cash account in the future. The Committee shall, under no
circumstances, accept any request for deferral of less than $1,000 of an
incentive award or any request which is not in writing or which is not timely
submitted.

	5.	 	DEFERRAL AND PAYMENT OF INCENTIVE AWARDS.

          The Committee shall, prior to December 15 of the year in which the bonus
is being earned, notify each individual who has submitted a request for
deferral of an incentive award whether or not such request has been accepted
and honored. If the request has been honored in whole or in part, the
Committee shall advise the participant of the dollar amount or percentage of
his incentive compensation which the Committee has determined to be deferred.
The Committee shall further advise the participant of its determination as to
the date when payment of the aggregate amount credited to the participant’s
deferred incentive account is to commence, whether payment of the amount so
credited as of that date will then be made in a lump sum or in quarterly or
annual installments, if payment is to be made in installments, the period of
time over which the installments will be paid, and if the participant is
permitted to defer incentive compensation into a stock unit account, whether
the deferred incentive account shall be treated as a cash account or a stock
unit account or split between cash and stock units. Upon subsequently being
advised of the existence of special circumstances which are beyond the
participant’s control and which impose an unforeseen severe financial hardship
on the participant or his beneficiary, the Committee may, in its sole and
exclusive discretion, modify the deferral arrangement established for that
participant to the extent necessary to remedy such financial hardship.

          If the participant has elected to defer incentive compensation in the form
of cash, the Corporation shall distribute a sum in cash to such participant,
pursuant to his or her election provided for in paragraph 4. If the
participant has elected to defer incentive compensation in the form of stock
units, the Corporation shall distribute to such participant, pursuant to his or
her election provided for in paragraph 4, shares of Common Stock of the
Corporation equal to the number of stock units being settled in such
installment (with any fractional unit being settled by cash payment).

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	6.	 	CONVERSION OF CASH ACCOUNT BALANCE.

          Each participant who is permitted to defer incentive compensation into a
stock unit account may, not more than once a year or such other period as is
determined by the Committee, by written notice delivered to the Committee,
convert the aggregate balance or any portion thereof in his or her deferred
compensation cash account (either before or after installment payments from the
account may have commenced) from an account in the form of cash to an account
in the form of stock units in an amount equal to the cash balance or specified
portion thereof divided by the closing price of the Common Stock of the
Corporation (as reported for the New York Stock Exchange-Composite
Transactions) on the last trading day of the quarter in which such notice is
given, said account to then accrue dividend equivalents as set forth in
paragraph 7(c) below; provided however, that no such notice of conversion
(“Conversion Notice”) (a) may be given within six months following the date of
an election by such participant, if an Executive Officer of the Corporation,
with respect to any plan of the Corporation, that effected a Discretionary
Transaction (as defined in Rule 16b-3(f) under the Securities Exchange Act of
1934) that was a disposition or (b) may be given after an individual ceases to
be an employee of the Corporation. The stock unit account will be settled in
Common Stock of the Corporation and such stock unit account cannot be converted
to a cash account in the future.

	7.	 	DEFERRED INCENTIVE ACCOUNT.

          (a) A deferred incentive account shall be maintained by his employer for
each participant in the Plan, and there shall be credited to each participant’s
account, on the date incentive compensation is paid, the incentive award, or
portion thereof, which would have been paid to such participant on said date if
the receipt thereof had not been deferred. If the account is to be a stock
unit account, the incentive compensation award shall be converted into stock
units by dividing the closing price of the Corporation=s Common Stock (as
reported for the New York Stock Exchange Composite Transactions) on the day
such incentive award is payable into such incentive award.

          (b) If the participant has elected to defer incentive compensation in the
form of cash, there shall be credited on the last day of the quarter to each
participant’s account, an interest credit on his deferred incentive award at
the interest rates determined by the Committee to be payable during each
calendar year, or portion thereof, prior to the termination of such
participant’s deferral period or, if the amount then credited to his deferred
incentive account is to be paid in installments, prior to the termination of
such installment period. Interest will be paid on a prorated basis for amounts
withdrawn from the account during the quarter, with the remaining balance
accruing interest for the duration of the quarter. The interest credit for the
following quarter shall be a rate equal to the yield as of March 31, June 30,
September 30, and December 31 on Merrill Lynch Taxable Bond
Index - Long Term
Medium Quality (A3) Industrial Bonds, unless and until otherwise determined.

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          (c) If a participant has elected to defer incentive compensation in the
form of stock units, then, in the event of a dividend paid in cash, stock of
the Corporation (other than Common Stock) or property, additional credits
(dividend equivalents) shall be made to the participant’s stock unit account
consisting of a number of stock units equal to the amount of such dividend per
share (or the fair market value, on the date of payment, of dividends paid in
stock or property), multiplied by the aggregate number of stock units credited
to such participant’s deferred compensation account on the record date for the
payment of such dividend, divided by the last closing price of the
Corporation’s Common Stock (as reported for the New York State
Exchange-Composite transactions) prior to the date such dividend is payable to
stockholders. After payment of deferred compensation commences, dividend
equivalents shall accrue on the unpaid balance thereof in the same manner until
all such deferred compensation has been paid.

          (d) In the event of a dividend of Common Stock declared and paid by the
Corporation, an additional credit shall be made to the participant’s stock unit
account of a number of stock units equal to the number of shares of the
Corporation’s Common Stock which the participant would have received as a stock
dividend had he or she been the owner on the record date for the payment of
such stock dividend of the number of shares of Common Stock equal to the number
of units in such stock unit account on such date. After payment of deferred
compensation commences, additional credits for stock dividends shall accrue on
the unpaid balance thereof in the same manner until all such deferred
compensation has been paid.

          (e) The Plan shall at all times be unfunded. The Corporation shall not be
required to segregate physically any amounts of money or otherwise provide
funding or security for any amounts credited to the deferred incentive accounts
of participants in the Plan.

	8.	 	CHANGE OF CONTROL OR CHANGE IN CAPITALIZATION.

          (a) If a tender offer or exchange offer for shares of Common Stock of the
Corporation (other than such an offer by the Corporation) is commenced, or if
the stockholders of the Corporation shall approve an agreement providing either
for a transaction in which the Corporation will cease to be an independent
publicly owned corporation or for a sale or other disposition of all or
substantially all the assets of the Corporation (Change of Control), a lump
sum cash payment shall be made to each participant participating in the Plan of
the aggregate current balance of his or her deferred compensation cash account
accrued on the date of the Change of Control, notwithstanding any other
provision herein. If the participant has elected to defer compensation in the
form of stock units, the Corporation shall distribute to such participant
shares of Common Stock of the Corporation equal to the number of stock units in
such participant’s stock unit account on the day preceding the date of the
Change of Control (with any fractional unit being settled by cash payment).
Any notice by a participant to change or terminate his or her election to defer
Compensation on or

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before the date of the Change of Control shall be effective as of the date
of the Change of Control, notwithstanding any other provision herein.

          (b) Any recapitalization, reclassification, split-up, spin-off, sale of
assets, combination or merger not otherwise provided for herein which affects
the outstanding shares of Common Stock of the Corporation or any other relevant
change in the capitalization of the Corporation shall be appropriately adjusted
for by the Board of Directors of this Corporation, and any such adjustments
shall be final, conclusive and binding.

	9.	 	DESIGNATION OF BENEFICIARY.

          Each participant in the Plan shall deliver to the Committee a written
instrument, in the form provided by the Committee, designating one or more
beneficiaries to whom payment of the amount credited to his deferred incentive
account shall be made in the event of his death. Unless the Committee shall
otherwise determine, such payments shall be made in such amounts and at such
times as they would otherwise have been paid to the participant if he had
survived.

	10.	 	NONASSIGNABILITY OF PARTICIPATION RIGHTS.

          No right, interest or benefit under the Plan shall be assignable or
transferable under any circumstances other than to a participant’s designated
beneficiary in the event of his death, nor shall any such right, interest or
benefit be subject to or liable for any debt, obligation, liability or default
of any participant. The payments, benefits or rights arising by reason of this
Plan shall not in any way be subject to a participant’s debts, contracts or
engagements, and shall not be subject to attachment, garnishment, levy,
execution or other legal or equitable process.

	11.	 	RIGHTS OF PARTICIPANTS.

          A participant in the Plan shall have only those rights, interests or
benefits as are expressly provided in the Plan and in the Incentive Plans. The
Plan shall be deemed to be ancillary to the Incentive Plans and the rights of
participants in the Plan shall be limited as provided in the Incentive Plans.

	12.	 	CLAIMS FOR BENEFITS.

          Claims for benefits under the Plan shall be filed with the Committee.
Written notice of the disposition of a claim shall be furnished the claimant
within 60 days after the application therefor is filed. In the event the claim
is denied, the reasons for the denial shall be specifically set forth.
Pertinent provisions of this Plan shall be cited. In addition, the written
notice shall describe any additional material or information necessary for the
claimant to perfect the claim (along with an explanation of why such material
or information is needed), and the written notice will fully describe the claim
review procedures of paragraph 13 below.

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	13.	 	CLAIM REVIEW.

          Any claimant who has been denied a benefit shall be entitled, upon request
to the Committee, to receive a written notice of such action, together with a
full and clear statement of the reasons for the action. The claimant may also
review this Plan if he chooses. If the claimant wishes further consideration
of his position, he may request a hearing. The request, together with a
written statement of the claimant’s position, shall be filed with a Committee
member no later than 60 days after receipt of the written notification provided
for above. The Committee shall schedule an opportunity for a full and fair
hearing of the issue within the next 60 days. The decision following the
hearing shall be made within 60 days and shall be communicated in writing to
the claimant. If the claimant requests, the hearing may be waived, in which
case the Committee’s decision shall be made within 60 days from the date on
which the hearing is waived and shall be communicated in writing to the
claimant.

	14.	 	AMENDMENT, SUSPENSION OR TERMINATION OF THE PLAN.

          The Board of Directors of the Corporation (the Board) may from time to
time amend, suspend or terminate the Plan, in whole or in part, and if the Plan
is suspended or terminated, the Board may reinstate any or all provisions of
the Plan, except that no amendment, suspension or termination of the Plan
shall, without the consent of a participant, adversely affect such
participant’s right to receive payment of the entire amount credited to his
deferred incentive account on the date of such Board action. In the event the
Plan is suspended or terminated, the Board may, in its discretion, direct the
Committee to pay to each participant the amount credited to his account either
in a lump sum or in accordance with the Committee’s prior determination
regarding the method of payment.

	15.	 	EFFECTIVE DATE.

          The Plan shall become effective on the date of its approval by the Human
Resources Committee of the Viad Corp Board of Directors or on such other date
as the Human Resources Committee may direct, but the Plan shall become
operative with respect to a select group of management or highly compensated
employees of each subsidiary only upon the adoption of the Plan by that
subsidiary’s Board of Directors.

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Exhibit 10.B

DEFERRED COMPENSATION PLAN

FOR DIRECTORS OF

VIAD CORP

AS AMENDED AND RESTATED

AUGUST 20, 2003

	1.	 	ESTABLISHMENT AND CONTINUATION OF PLAN.
	 
	 	 	There was heretofore established, in recognition of the valuable services
provided to Greyhound Dial Corporation by the individuals who serve as
members of its Board of Directors, an unfunded plan of voluntary deferred
compensation known as the “Directors Deferred Compensation Plan” (Plan).
The Dial Corp, a Delaware corporation and successor by operation of law
to Greyhound Dial Corporation, intends to distribute to its stockholders
(the Spin-Off) one share of common stock, $0.01 par value, of The Dial
Corporation, its wholly-owned subsidiary (Consumer Products) which will
own and operate its consumer products business (Consumer Products Common
Stock). Following the Spin-Off, The Dial Corp will change its name to
“Viad Corp”. All references herein to the “Corporation” mean The Dial
Corp, prior to the Spin-Off, and Viad Corp, following the Spin-Off. All
Directors of the Corporation, except Directors receiving a regular salary
as an employee of the Corporation or one of its subsidiaries, are
eligible to participate in this Plan. All Directors who become directors
of Consumer Products and cease to be directors of the Corporation in
connection with the Spin-Off will no longer be eligible to participate in
this Plan, and all obligations accrued prior to the date of the Spin-Off
under this Plan with respect to such individuals will be assumed by
Consumer Products. A Director may elect to defer under this Plan any
retainer or meeting attendance fee otherwise payable to him or her
(Compensation) by the Corporation or by domestic subsidiaries of this
Corporation (subsidiaries).
	 
	2.	 	EFFECTIVE DATE.
	 
	 	 	This Plan became effective on January 1, 1981.
	 
	3.	 	ELECTION TO PARTICIPATE IN THE PLAN.
	 
	 	 	      A. (i) A Director of this Corporation may elect to defer the
receipt of all or a specified part of the Compensation otherwise payable
to him or her during a calendar year by the Corporation or its
subsidiaries. Any person who shall become a Director during any calendar
year, and who was not a Director of the Corporation or its subsidiaries
on the preceding December 31, may elect before the Director’s term begins
to defer such Compensation. Such election shall also specify whether the
account shall be treated as a cash account under

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	 	 	Section 4A or a stock unit account under Section 4B; provided that
an election to defer Compensation into a stock unit account must be
specifically approved by the Board of Directors of the Corporation. If
the account is to be a cash account, the Compensation, if it is a meeting
attendance fee, shall be payable on the date of each applicable meeting,
and, if it is a retainer, shall be payable on the last trading day of
each applicable quarter. If the account is to be a stock unit account,
the Compensation shall be converted into stock units by dividing the
closing price of the Corporation’s Common Stock (as reported for the New
York Stock Exchange-Composite Transactions) on the day such Compensation
is payable into such Compensation, which, in the case of a meeting
attendance fee or a retainer, is the last trading day of each applicable
quarter.
	 
	 	 	           (ii) In connection with the Spin-Off, the Dial Director’s
Retirement Plan (the “Retirement Plan”) will be terminated. As of the
Distribution Date, the Corporation will credit, to an existing or
newly-established, stock unit account for each Director eligible to
participate in this Plan who is a participant under the Retirement Plan
(and who does not elect to continue to receive cash payments under the
Retirement Plan) a number of stock units equal to (A) the present value
of such Director’s vested accrued benefits under the Retirement Plan
divided by (B) the closing price of the Corporation’s Common Stock (as
reported for the New York Stock Exchange-Composite Transactions) as of
the first trading day following the Distribution Date. Such stock unit
account shall thereafter be maintained in accordance with this Plan.
	 
	 	 	      B. Any election under this Plan, unless otherwise provided therein,
shall be made by delivering a signed request to the Secretary of the
Corporation on or before December 31 with respect to the following
calendar year, or, for a new Director, on or before his or her term
begins. An election shall continue from year to year, unless
specifically limited, until terminated by a signed request in the same
manner in which an election is made. However, any such termination shall
not become effective until the end of the calendar year in which notice
of termination is given.
	 
	 	 	      C. Each Director may, by notice delivered to the Secretary of the
Corporation, convert: (i) the aggregate balance in his or her deferred
compensation account (either before or after payments from the account
may have commenced) from an account in the form of stock units to an
account in the form of cash in an amount equal to such stock units
balance multiplied by the closing price of the Common Stock of the
Corporation (as reported for the New York Stock Exchange-Composite
Transactions) on the last trading day of the quarter in which such notice
is given, said account to accrue interest as set forth in Section 4
below, or (ii) convert the aggregate balance in his or her deferred
compensation account (either before or after installment payments from
the account may have commenced) from an account in the form of cash to an
account in the form of stock units in an amount equal to cash balance
divided by the closing price of the Common Stock of the Corporation (as
reported for the

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	 	 	New York Stock Exchange-Composite Transactions) on the last trading
day of the quarter in which such notice is given, said account to accrue
dividend equivalents as set forth in Section 4 below; provided however,
that no such notice of conversion (“Conversion Notice”) (a) may be given
within six months following the date of an election by such Director,
with respect to any plan of the Corporation, that effected a
Discretionary Transaction (as defined in Rule 16b-3(f) under the
Securities Exchange Act of 1934) that was an acquisition (if the
Conversion Notice is pursuant to clause (i)) or a disposition (if the
Conversion Notice is pursuant to clause (ii)) or (b) may be given after
an individual ceases to be a Director.
	 
	4.	 	ACCRUAL OF INTEREST OR DIVIDEND EQUIVALENTS.
	 
	 	 	      A. If a Director has elected to defer Compensation in the form of
cash, then interest on the unpaid balance of such Director’s deferred
compensation account, consisting of both accumulated Compensation and
interest, if any, will be credited on the last day of each quarter based
upon the yield on Merrill Lynch Taxable Bond Index-Long Term Medium
Quality (A3) Industrial Bonds in effect at the beginning of such quarter,
said interest to commence with the date such compensation was otherwise
payable. After payment of deferred Compensation commences, interest
shall accrue on the unpaid balance thereof in the same manner until all
such deferred Compensation has been paid.
	 
	 	 	      B. If a Director has elected to defer Compensation in the form of
stock units, then, in the event of a dividend paid in cash, stock of the
Corporation (other than Common Stock) or property, additional credits
(dividend equivalents) shall be made to the Director’s stock unit account
consisting of a number of stock units equal to the amount of such
dividend per share (or the fair market value, on the date of payment, of
dividends paid in stock or property), multiplied by the aggregate number
of stock units credited to such Director’s deferred compensation account
on the record date for the payment of such dividend, divided by the last
closing price of the Corporation’s Common Stock (as reported for the New
York State Exchange-Composite transactions) prior to the date such
dividend is payable to stockholders. Furthermore, additional credits
(dividend equivalents) shall be made to the Director’s stock unit account
consisting of a number of stock units equal to the amount of such
dividend per share (or the fair market value, on the date of payment, of
dividends paid in stock or property), multiplied by the incremental
number of stock units credited to such Director’s deferred compensation
account, on the last business day prior to the date such dividend is
payable to stockholders, attributable to meeting attendance fee(s),
divided by the last closing price of the Corporation’s Common Stock (as
reported for the New York State Exchange-Composite transactions) prior to
the date such dividend is payable to stockholders. After payment of
deferred Compensation commences, dividend equivalents shall accrue on the
unpaid balance thereof in the same manner until all such deferred
Compensation has been paid.

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	 	 	      C. In the event of a dividend of Common Stock declared and paid by
the Corporation, an additional credit shall be made to the Director’s
stock unit account of a number of stock units equal to the number of
shares of the Corporation’s Common Stock which the Director would have
received as a stock dividend had he or she been the owner on the record
date for the payment of such stock dividend of the number of shares of
Common Stock equal to the number of units in such stock unit account on
such date. After payment of deferred Compensation commences, additional
credits for stock dividends shall accrue on the unpaid balance thereof in
the same manner until all such deferred Compensation has been paid.
	 
	 	 	      D. Notwithstanding and in lieu of the foregoing, in the case of the
dividend distribution by the Corporation of the Consumer Products Common
Stock in the Spin-Off, a new stock unit and cash account (the Special
Account) will be established for each Director (in addition to any
existing stock unit account) which will be credited with a number of
units representing Consumer Products Common Stock equal to the number of
stock units in such Director’s account immediately prior to the Spin-Off.
From and after the Spin-Off, the Corporation will credit the Special
Account with amount(s) denominated in cash, representing all dividends
paid by Consumer Products on the Consumer Products Common Stock, whether
paid in cash, Consumer Products Common Stock, other stock or property, in
an amount equal to the amount of such dividend per share of Consumer
Products Common Stock (or the fair market value on the date of payment of
dividends paid in stock or property) multiplied by the aggregate number
of stock units credited to such Director’s Special Account on the record
date for payment of such dividend. The amount credited as cash shall
thereafter accrue interest in accordance with Section 4A. A Director may
convert the stock unit portion of the Special Account into an account in
the form of cash by using the notice procedures in Section 3C without
regard to the six months restriction set forth in the proviso thereto (it
being understood that the closing price of the Consumer Products Common
Stock, instead of Corporation Common Stock, will be used for such
conversion). Section 3C may not, however, be used to convert a cash
account into additional units of Consumer Products Common Stock in the
Special Account.
	 
	5.	 	ACCOUNTING.
	 
	 	 	No fund or escrow deposit shall be established by any deferred
Compensation payable pursuant to this Plan, and the obligation to pay
deferred Compensation hereunder shall be a general unsecured obligation
of the Corporation, payable out of its general account, and deferred
Compensation shall accrue to the general account of the Corporation.
However, the Controller of the Corporation shall maintain an account and
properly credit Compensation to each such account, and keep a record of
all sums which each participating Director has elected to have paid as
deferred Compensation and of interest or dividend equivalents accrued
thereon. Within sixty (60) days after the close of each

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	 	 	calendar year the Controller shall furnish each Director who has
participated in the Plan a statement of all sums and stock units,
including interest and dividend equivalents, which have accrued to the
account of such Director as of the end of such calendar year.
	 
	6.	 	PAYMENT FROM DIRECTORS’ ACCOUNTS.
	 
	 	 	      A. After a Director ceases to be a director of the Corporation, the
aggregate amount of deferred compensation credited to a Director’s
account, either in the form of cash or stock units, together with
interest or dividend equivalents accrued thereon, shall be paid in a lump
sum or, if the Director elects, in substantially equal quarterly,
semi-annual, or annual installments over a period of years, not greater
than ten (10), specified by the Director. Such election must be made by
written notice delivered to the Secretary of the Corporation prior to
December 31 of the year preceding the year in which, and at least six
months prior to the date on which, the Director ceases to be a director.
The first installment (or the lump sum payment) shall be made promptly
following the date on which the Director ceases to be a Director of the
Corporation, and any subsequent installments shall be paid promptly at
the beginning of each succeeding specified period until the entire amount
credited to the Director’s account shall have been paid. To the extent
installment payments are elected, and the Director’s account consists of
cash as well as stock units, a pro rata portion of the cash, and the cash
equivalent of a pro rata portion of the stock units, shall be paid with
each installment. If the participating Director dies before receiving
the balance of his or her deferred compensation account, then payment
shall be made in a lump sum to any beneficiary or beneficiaries which may
be designated, as provided in paragraph B of this Section 6, or in the
absence of such designation, or, in the event that the beneficiary
designated by such Director shall have predeceased such Director, to such
Director’s estate.
	 
	 	 	      B. Each Director who elects to participate in this Plan may file
with the Secretary of the Corporation a notice in writing designating one
or more beneficiaries to whom payment shall be made in the event of such
Director’s death prior to receiving payment of any or all of the deferred
Compensation hereunder.
	 
	 	 	      C. If the Director has elected to defer Compensation in the form of
cash, the Corporation shall distribute a sum in cash to such Director,
pursuant to his or her election provided for in paragraph A of this
Section 6. If the Director has elected to defer Compensation in the form
of stock units, the Corporation shall distribute to such Director,
pursuant to his or her election provided for in paragraph A of this
Section 6, the cash equivalent of the portion of the stock units being
distributed in such installment which will be calculated by multiplying
(i) the average of the month-end closing prices of the Corporation’s
Common Stock (or Consumer Products Common Stock, in the case of stock
units in the Special Account) for the last 12 months preceding the date
of each distribution,

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	 	 	as reported for the New York Stock Exchange-Composite Transactions,
by (ii) the number of stock units being distributed in such installment.
	 
	7.	 	CHANGE OF CONTROL OR CHANGE IN CAPITALIZATION.
	 
	 	 	      A. If a tender offer or exchange offer for shares of Common Stock of
the Corporation (other than such an offer by the Corporation) is
commenced, or if the stockholders of the Corporation shall approve an
agreement providing either for a transaction in which the Corporation
will cease to be an independent publicly owned corporation or for a sale
or other disposition of all or substantially all the assets of the
Corporation (Change of Control), a lump sum cash payment shall be made to
each Director participating in the Plan of the aggregate current balance
of his or her deferred compensation account accrued to the Director’s
deferred compensation account on the date of the Change of Control,
notwithstanding any other provision herein. If the Director has elected
to defer Compensation in the form of stock units, the Corporation shall
distribute to such Director the sum in cash equal to the closing price of
the Corporation’s Common Stock on the day preceding the date of the
Change of Control (as reported for the New York Stock Exchange-Composite
Transactions) multiplied by the number of stock units in such account.
Any notice by a Director to change or terminate his or her election to
defer Compensation or before the date of the Change of Control shall be
effective as of the date of the Change of Control, notwithstanding any
other provision herein.
	 
	 	 	      B. Any recapitalization, reclassification, split up, sale of assets,
combination or merger not otherwise provided for herein which affects the
outstanding shares of Common Stock of the Corporation (or the stock
subject to the Special Account) or any other relevant change in the
capitalization of the Corporation (or, in the case of the Special
Account, Consumer Products) shall be appropriately adjusted for by the
Board of Directors of this Corporation, and any such adjustments shall be
final, conclusive and binding.
	 
	8.	 	NONALIENATION OF BENEFITS.
	 
	 	 	No right or benefit under this Plan shall be subject to anticipation,
alienation, sale, assignment, pledge, encumbrance or charge, and any
attempt to alienate, sell, assign, pledge, encumber or charge the same
shall be void. To the extent permitted by law, no right or benefit
hereunder shall in any manner be attachable for or otherwise available to
satisfy the debts, contracts, liabilities or torts of the person entitled
to such right or benefit.
	 
	9.	 	APPLICABLE LAW.
	 
	 	 	The Plan will be construed and enforced according to the laws of the
State of Delaware; provided that the obligations of the Corporation shall
be subject to any applicable law relating to the property interests of
the survivors of a deceased

6

 

	 	 	person and to any limitations on the power of the person to dispose of
his or her interest in the deferred Compensation.
	 
	10.	 	AMENDMENT OR TERMINATION OF PLAN.
	 
	 	 	The Board of Directors of the Corporation may amend or terminate this
Plan at any time, provided, however, any amendment or termination of this
Plan shall not affect the rights of participating Directors or
beneficiaries to payments, in accordance with Section 6 or 7, of amounts
accrued to the credit of such Directors or beneficiaries at the time of
such amendment or termination.
	 
	11.	 	EFFECT OF SPIN-OFF.
	 
	 	 	Notwithstanding any other provision of the Plan, if at any time after
August 20, 2003, the Corporation effects a spin-off or other distribution
to its shareholders (a “Future Spin-off”) of any of its subsidiaries
(such subsidiary, “Spinco”), the Future Spin-off shall not be considered
to result in any Director’s ceasing to be a director of the Corporation
if that Director is a non-employee director of Spinco immediately
following the Future Spin-off. Furthermore, with respect to each such
Director who is a non-employee director of Spinco immediately following
the Future Spin-off, a participant shall not be considered, for purposes
of the Plan, to have ceased to be a Director unless he or she is neither
a Director of Spinco nor a Director of the Corporation; provided, that
any such Director who does not continue as a Director of the Corporation
shall not be eligible to continue to defer compensation under the Plan
(although he or she may be permitted to do so under a successor or
similar plan of Spinco).

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