Document:

Exhibit 10.6

 

NON-EMPLOYEE DIRECTORS — ANNUAL GRANT

 

FTD COMPANIES, INC.

 

RESTRICTED STOCK UNIT ISSUANCE AGREEMENT

 

RECITALS

 

A.                                    The Board has adopted the Plan for the purpose of retaining the services of selected Employees and consultants, non-employee Board members and other independent advisors who provide services to the Corporation (or any Parent or Subsidiary).

 

B.                                    Participant is a member of the Board, and this Agreement is executed pursuant to, and is intended to carry out the purposes of, the Plan in providing a meaningful incentive for the Participant to continue to serve as a Board member.

 

C.                                    All capitalized terms in this Agreement shall have the meaning assigned to them in the attached Appendix A; provided, however, that any capitalized terms not defined in this Agreement shall have the meaning set forth in the Plan.

 

NOW, THEREFORE, it is hereby agreed as follows:

 

1.                                      Grant of Restricted Stock Units.  The Corporation hereby awards to the Participant, as of the Award Date, Restricted Stock Units under the Plan. Each Restricted Stock Unit represents the right to receive one share of Common Stock on the applicable issuance date following the vesting of that unit. The number of shares of Common Stock subject to the awarded Restricted Stock Units, the applicable vesting schedule for those shares, the dates on which those vested shares shall become issuable to Participant and the remaining terms and conditions governing the award (the “Award”) shall be as set forth in this Agreement.

 

AWARD SUMMARY

 

	
Award   Date:
    	
 
    	
<Award   Date>
    
	
 
    	
 
    	
 
    
	
Number   of Shares 
   Subject to Award:
    	
 
    	
<#   of Shares Awarded> shares of Common Stock (the “Shares”)
    
	
 
    	
 
    	
 
    
	
Vesting   Schedule:
    	
 
    	
The   Shares shall vest upon the Participant’s continued service as a Board member   through                                            (the “Vesting Date”). Should the scheduled Vesting Date otherwise occur on a   date on which the Common Stock is not traded on the Stock Exchange serving as   the primary market for the Common Stock, then the Vesting Date shall instead   be deemed to occur on the last day prior to such scheduled Vesting Date on   which the Common Stock is so traded. The Shares shall also be subject to   accelerated vesting in whole or in part in accordance with the provisions of   Paragraphs 4 and 6 of this Agreement.
    

 

 

	
Issuance   Schedule
    	
 
    	
Each   Share in which the Participant vests in accordance with the foregoing vesting   provisions shall be issued in compliance with the short-term deferral   exception to Section 409A of the Code. Accordingly, the Shares in which   the Participant vests on the Vesting Date shall be issued on that date or as   soon thereafter as administratively practicable, but in no event later than                   .   Any Shares in which the Participant vests pursuant to the vesting   acceleration provisions of Paragraph 6 of this Agreement shall be issued on   the effective date of the Change in Control or as soon as administratively   practicable thereafter, but in no event later than three (3) business   days following such effective date. Any Shares in which the Participant vests   or is deemed to vest pursuant to the provisions of Paragraph 4 of this   Agreement shall be issued on the earlier of   (i) the date of the Participant’s cessation of service as a Board member   or (ii) the Vesting Date specified above or as soon after such   applicable date as administratively practicable, but in no event later than                     .   The date on which the Shares are to be issued in accordance with the   foregoing is hereby designated the “Issuance Date.”
    

 

2.                                      Limited Transferability.  Prior to actual receipt of the Shares which vest hereunder, the Participant may not transfer any interest in the Award or the underlying Shares. Any Shares which vest hereunder but which otherwise remain unissued at the time of the Participant’s death may be transferred pursuant to the provisions of the Participant’s will or the laws of inheritance or to the Participant’s designated beneficiary or beneficiaries of this Award. The Participant may also direct the Corporation to re-issue the stock certificates for any Shares which in fact vest and become issuable under the Award during his or her lifetime to one or more designated family members or a trust established for the Participant and/or his or her family members. The Participant may make such a beneficiary designation or certificate directive at any time by filing the appropriate form with the Plan Administrator or its designee.

 

3.                                      Cessation of Service.  Except as otherwise provided in Paragraphs 4 and 6 below, should the Participant cease to serve as a Board member for any reason prior to vesting in the Shares subject to this Award, then the awarded Restricted Stock Units will be immediately cancelled with respect to those unvested Shares, and the Participant shall thereupon cease to have any right or entitlement to receive any Shares under those cancelled units.

 

4.                                      Accelerated Vesting.

 

(a)                                 Should the Participant cease to serve as a Board member by reason of death or Permanent Disability, then all the Shares at the time subject to this Award shall immediately vest in full.

 

(b)                                 Should the Participant voluntarily resign from the Board under circumstances which would not otherwise trigger the vesting acceleration provisions of Paragraph 4(a) or Paragraph 6, then the Participant shall immediately vest in the number of Shares in which the Participant would have been vested at the time of such resignation had the Shares subject to this Award vested in a series of successive equal monthly installments over the duration of the Vesting Schedule.

 

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5.                                      Stockholder Rights and Dividend Equivalents

 

(a)                                 The holder of this Award shall not have any stockholder rights, including voting or dividend rights, with respect to the Shares subject to this Award until the Participant becomes the record holder of those Shares following their actual issuance.

 

(b)                                 Notwithstanding the foregoing, should any dividend or other distribution, whether regular or extraordinary, payable in cash or other property (other than shares of Common Stock) be declared and paid on the outstanding Common Stock while one or more Shares remain subject to this Award (i.e., those Shares are not otherwise issued and outstanding for purposes of entitlement to the dividend or distribution), then the following provisions shall govern the Participant’s interest in that dividend or distribution:

 

(i)                                     If the dividend is a regularly-scheduled cash dividend on the Common Stock, then the Participant shall be entitled to a current cash distribution from the Corporation equal to the cash dividend the Participant would have received with respect to the Shares at the time subject to this Award had those Shares actually been issued and outstanding and entitled to that cash dividend. Each cash dividend equivalent payment under this subparagraph (i) shall be paid within five (5) business days following the payment of the actual cash dividend on the outstanding Common Stock.

 

(ii)                                  For any other dividend or distribution, a special book account shall be established for the Participant and credited with a phantom dividend equivalent to the actual dividend or distribution which would have been paid on the Shares at the time subject to this Award had they been issued and outstanding and entitled to that dividend or distribution.  As the Shares subsequently vest hereunder, the phantom dividend equivalents so credited to those Shares in the book account shall also vest, and those vested dividend equivalents shall be distributed to the Participant (in the same form the actual dividend or distribution was paid to the holders of the Common Stock entitled to that dividend or distribution) concurrently with the issuance of the vested Shares to which those phantom dividend equivalents relate.  In no event, however, shall any such phantom dividend equivalents vest or become distributable unless the Shares to which they relate vest in accordance with the terms of this Agreement.

 

6.                                      Change in Control.  Any Restricted Stock Units subject to this Award at the time of a Change in Control shall vest in full immediately prior to the consummation of that Change in Control.  The Shares subject to those vested units shall be converted into the right to receive for each such Share the same consideration per share of Common Stock payable to the other stockholders of the Corporation in consummation of that Change in Control, and such consideration shall be distributed to Participant on the effective date of such Change in Control or as soon as administratively practicable thereafter, but in no event later than three (3) business days following such effective date.

 

7.                                      Adjustment in Shares.  The total number and/or class of securities issuable pursuant to this Award shall be subject to adjustment upon certain corporate events as set forth in Article One, Section V(E) of the Plan.  The adjustments shall be made in such manner as the Plan Administrator deems appropriate, and those adjustments shall be final, binding and conclusive.

 

8.                                      Issuance of Shares of Common Stock.

 

(a)                                 On the applicable Issuance Date for the Shares which vest in accordance with the provisions of this Agreement, the Corporation shall issue to or on behalf of the Participant a certificate (which may be in electronic form) for the vested shares of Common Stock to be issued on such 

 

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date and shall concurrently distribute to the Participant any accrued phantom dividend equivalents with respect to those vested Shares.

 

(b)                                 Except as otherwise provided in Paragraph 6, the settlement of all Restricted Stock Units which vest under the Award shall be made solely in shares of Common Stock.  No fractional share of Common Stock shall be issued pursuant to this Award, and any fractional share resulting from any calculation made in accordance with the terms of this Agreement shall be rounded down to the next whole share of Common Stock.

 

9.                                      Compliance with Laws and Regulations. The issuance of shares of Common Stock pursuant to the Award shall be subject to compliance by the Corporation and Participant with all applicable requirements of law relating thereto and with all applicable regulations of the Stock Exchange on which the Common Stock is listed for trading at the time of such issuance.

 

10.                               Notices.  Any notice required to be given or delivered to the Corporation under the terms of this Agreement shall be in writing and addressed to the Corporation at its principal corporate offices, and directed to the attention of Stock Plan Administrator.  Any notice required to be given or delivered to Participant shall be in writing and addressed to Participant at the most current address then indicated for Participant on the Corporation’s records or delivered electronically to Participant through the Corporation’s email system.  All notices shall be deemed effective upon personal delivery or delivery through the Corporation’s electronic mail system or upon deposit in the U.S. mail, postage prepaid and properly addressed to the party to be notified.

 

11.                               Governing Law.  The interpretation, performance and enforcement of this Agreement shall be governed by the laws of the State of Illinois without resort to that State’s conflict-of-laws rules.

 

12.                               Successors and Assigns.  Except to the extent otherwise provided in this Agreement, the provisions of this Agreement shall inure to the benefit of, and be binding upon, the Corporation and its successors and assigns and Participant, Participant’s assigns, the legal representatives, heirs and legatees of Participant’s estate and any beneficiaries of the Award designated by Participant.

 

13.                               Construction.  This Agreement and the Award evidenced hereby are made and granted pursuant to the Plan and are in all respects limited by and subject to the terms of the Plan.  All decisions of the Plan Administrator with respect to any question or issue arising under the Plan or this Agreement shall be conclusive and binding on all persons having an interest in the Award.

 

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14.                               No Impairment of Rights.  Nothing in this Agreement shall in any way affect the right of the Corporation to adjust, reclassify, reorganize or otherwise make changes in its capital or business structure or to merge, consolidate, dissolve, liquidate or sell or transfer all or any part of its business or assets.  In addition, this Agreement shall not in any way be construed or interpreted so as to affect adversely or otherwise impair the right of the Corporation or the stockholders to remove Participant from the Board at any time in accordance with the provisions of applicable law.

 

15.                               Code Section 409A.  (a) It is the intention of the parties that the provisions of this Agreement comply with the requirements of the short-term deferral exception of Section 409A of the Code and Treasury Regulations Section 1.409A-1(b)(4).  Accordingly, to the extent there is any ambiguity as to whether one or more provisions of this Agreement would otherwise contravene the requirements or limitations of Code Section 409A applicable to such short-term deferral exception, then those provisions shall be interpreted and applied in a manner that does not result in a violation of the requirements or limitations of Code Section 409A and the Treasury Regulations thereunder that apply to such exception.

 

(b)  If and to the extent this Agreement may be deemed to create an arrangement subject to the requirements of Code Section 409A, then the following provisions shall apply:

 

·                                          No Shares or other amounts which become issuable or distributable under this Agreement by reason of Participant’s cessation of Service shall actually be issued or distributed to Participant until the date of the Participant’s Separation from Service due to such cessation of Service or as soon thereafter as administratively practicable, but in no event later than the later of (i) the close of the calendar year in which such Separation from Service occurs or (ii) the fifteenth day of the third calendar month following the date of such Separation from Service.

 

·                                          No amounts that vest and become payable under Paragraph 5 of this Agreement by reason of a Change in Control shall be distributed to the Participant at the time  of such Change in Control, unless that transaction also qualifies as a change in control event under Code Section 409A and the Treasury Regulations thereunder.  In the absence of such a qualifying change in control, the distribution shall not be made until the date or dates on which those amounts are otherwise to be distributed hereunder.

 

IN WITNESS WHEREOF, the parties have executed this Agreement on the day and year first indicated above.

 

	
 
    	
FTD   COMPANIES, INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    
	
 
    	
 
    
	
 
    	
Title:
    

 

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PARTICIPANT
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Name:   <Participant Name>
    
	
 
    	
 
    
	
 
    	
Signature:
    

 

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APPENDIX

 

The following definitions shall be in effect under the Agreement:

 

A.                                    Agreement shall mean this Restricted Stock Unit Issuance Agreement.

 

B.                                    Award shall mean the award of restricted stock units made to the Participant pursuant to the terms of this Agreement.

 

C.                                    Award Date shall mean the date the restricted stock units are awarded to Participant pursuant to the Agreement and shall be the date indicated in Paragraph 1 of the Agreement.

 

D.                                    Board shall mean the Corporation’s Board of Directors.

 

E.                                     Change in Control shall have the meaning set forth in the Plan.

 

F.                                      Code shall mean the Internal Revenue Code of 1986, as amended.

 

G.                                    Common Stock shall mean shares of the Corporation’s common stock.

 

H.                                   Corporation shall mean FTD Companies, Inc., a Delaware corporation, and any successor entity to all or substantially all of the assets or voting stock of FTD Companies, Inc. which shall by appropriate action adopt the Plan.

 

I.                                        1934 Act shall mean the Securities Exchange Act of 1934, as amended from time to time.

 

J.                                        Participant shall mean the person to whom the Award is made pursuant to the Agreement.

 

K.                                   Plan shall mean the Corporation’s 2013 Incentive Compensation Plan, as amended and restated from time to time.

 

L.                                     Plan Administrator shall mean either the Board or a committee of the Board acting in its capacity as administrator of the Plan.

 

M.                                 Permanent Disability shall mean the inability of Participant to perform his or her usual duties as a member of the Board by reason of any medically determinable physical or mental impairment which is expected to result in death or has lasted or can be expected to last for a continuous period of twelve (12) months or more.

 

N.                                    Separation from Service shall mean the Participant’s cessation of Service as determined in accordance with the applicable standards of the Treasury Regulations issued under Code Section 409A.

 

O.                                    Service shall have the meaning set forth in the Plan.

 

A-1

 

P.                                      Stock Exchange shall mean the American Stock Exchange, the Nasdaq Global or Global Select Market or the New York Stock Exchange.

 

A-2Exhibit 10.1

 

EMPLOYMENT AGREEMENT

JAE WHAN YOO

(February 18, 2014 - February 17, 2017)

 

THIS EMPLOYMENT AGREEMENT (“Agreement”) is made effective as of February 18, 2014, by and between WILSHIRE BANCORP, INC. and WILSHIRE BANK (hereinafter sometimes collectively referred to as “BANK”) and JAE WHAN YOO (hereinafter referred to as “YOO”), as follows:

 

1.              Employment. BANK hereby agrees to employ YOO as President and Chief Executive Officer, and YOO accepts said employment, upon the terms and conditions hereinafter set forth.

 

2.              Duties.  YOO shall perform his duties of President and Chief Executive Officer of the BANK, subject to the powers by law vested in the Board of Directors of the BANK and in the BANK’s shareholders. During the term of this Employment Agreement, YOO shall perform his duties faithfully, diligently and to the best of his ability, consistent with the highest and best standards of the banking industry and in compliance with all applicable laws and the BANK’s Articles of Incorporation and Bylaws. YOO shall devote his full time and efforts to this position.

 

3.              Term.  The term of the Agreement shall be three (3) years from its effective date, but the BANK shall have the absolute right to terminate the Agreement at any time in accordance with the terms and conditions of Paragraphs 9 and 12 herein.

 

4.              Compensation

 

a.              Salary.  During the term of this Agreement, YOO shall be compensated and receive an annual salary of Four Hundred Thousand Dollars ($400,000.00) payable in equal installments based on the BANK’s then applicable payroll period (which is currently bi-monthly).  This shall be the base compensation for performing his duties as President and Chief Executive Officer of the Bank. YOO shall not be entitled to receive a Director’s fee for his services on the Board of Directors during his employment with the BANK.

 

b.              Annual Incentive Stock and/or Cash Bonus.  In addition to the base compensation, the BANK agrees to pay YOO an incentive stock and/or cash bonus, based upon the sole discretion of the Board of Directors.  This provision shall also apply to the determination of incentive stock and/or cash bonus payment for the calendar year 2013 under and supersede the Incentive Bonus provision in the previous employment agreement dated February 18, 2011.

 

5.              Stock Options.  Pursuant and subject to the terms of the BANK’s standard Stock Option Agreement and the 2008 Stock Incentive Plan, BANK will grant on February 18, 2014 to YOO One Hundred Thousand (100,000) shares of BANK’s common stock options (“Options”) with the grant price based on the closing price of the BANK’s stock on the grant date.  The Options will vest equally over three years after an immediate vesting of 1⁄4 on the grant date, with each

 

 

remaining 1/4 to vest on each anniversary of the grant date, requiring at least a satisfactory rating on each year’s performance review.

 

6.              Expenses. YOO shall be entitled to reimbursement by BANK for any business expenses which are reasonably and necessarily incurred in the performance of his duties on behalf of BANK, including an automobile allowance in the amount of $1,500 per month and all monthly dues for a membership at a private golf club that is mutually agreed to by YOO and BANK, during the term of this Agreement, and which the Board of Directors of the BANK deems satisfactorily documented in its sole and absolute opinion.

 

7.              Vacation.  YOO shall be entitled to three (3) weeks paid vacation during each year of the term of this Agreement.  YOO shall take at least two (2) consecutive weeks’ vacation during each year of his employment by BANK, unless this requirement waived in accordance with the Bank’s policy.

 

8.              Insurance Benefits.

 

a.              Group Health Insurance. BANK shall provide for YOO and YOO’s dependent family, if appropriate, at the BANK’s expense, participation in the BANK’s standard group health insurance programs.

 

9.              Termination.  The BANK may terminate the employment of YOO at any time during this Agreement by a simple majority vote of the Board of Directors, exclusive of the vote of YOO in the event he is a Director, and said termination may be for cause or without cause for any reason whatsoever; the effective date of termination in such event shall be determined by the Board.  If the employment of YOO is terminated without cause hereunder, basic compensation under Paragraph 4 of this Agreement (but not including any bonus) shall continue for the lesser of twelve (12) months or for the duration of the term remaining under the Agreement, at the rate in effect at the time of termination.  In the event that YOO is terminated for cause, YOO shall be entitled to no further compensation of any sort, excepting only for basic compensation and expenses earned prior to such termination.  Termination for cause shall include but not be limited to termination for malfeasance or gross misfeasance in the performance of duties or conviction of illegal activity in connection therewith, or any other conduct that could be detrimental to the interests of the BANK or associated corporations and in any event, the determination of the Board of Directors with respect thereto shall be final and conclusive.

 

10.       Limited Non-Competition.  For a period of one (1) year after termination of YOO’s employment with BANK, YOO shall not compete with the BANK, directly or indirectly, as employee in the same or similar activities as were performed for the BANK in any bank with branch offices located within a 30 mile radius of any branch office of the BANK which exists at the time of the termination of his employment.

 

11.       Non-Solicitation of Employees.  For a period of one (1) year after termination of YOO’s employment with BANK, YOO shall not, directly or indirectly, solicit, recruit, induce, or encourage any person who is an employee of BANK during such period to terminate his or her

 

 

employment with BANK or to become an employee of any organization with which YOO may become affiliated, or cause or influence any organization with which YOO may become affiliated to do the same.  However, nothing in this provision shall prohibit YOO or any organization with which YOO may become affiliated from (i) soliciting any person whose employment or engagement for services was terminated by BANK prior to the date of such solicitation, provided such termination was not encouraged or assisted by YOO or any organization with which YOO may become affiliated, or (ii) engaging in any general solicitation not targeted at any employee of BANK, including any non-directed executive or management searches or placing general advertisements for employees in newspapers or other media of general circulation.

 

12.       Action by Supervisory Authority.  If BANK is ordered to remove YOO or BANK is closed or taken over by the California Department of Financial Institutions, the Federal Reserve, the Federal Deposit Insurance Corporation, or other supervisory authority, such bank supervisory authority may immediately terminate this Agreement without further liability, compensation or obligation to YOO.

 

13.       Dispute Resolution.  The parties desire to have in place a non-judicial mechanism for resolving disputes that may arise from time to time under this Agreement.  Towards that end, the parties agree as follows:

 

a.              Mediation, Informal Arbitration. The parties shall first attempt in good faith to resolve any disputes or to agree on items that envision future agreements by the parties.  If the parties cannot reach an agreement, the parties shall engage a Certified Mediator to assist them in resolving their differences, and shall share the costs of such mediator equally.  Each party agrees to participate in good faith in the mediation.  If the parties are unable to resolve their differences with the assistance of a Certified Mediator, the parties may elect to have the Certified Mediator or a third-party satisfactory to both arbitrate the matter under such terms and conditions as they may agree.

 

b.              Arbitration. If the parties fail to resolve a dispute through mediation or informal arbitration as set forth above, then in that event any dispute or controversy arising out of or related to this Agreement or the breach thereof shall be settled by arbitration in accordance with the dispute resolution rules and procedures of the American Arbitration Association, except that the arbitrator shall make findings of fact and conclusions of law based on competent evidence and shall render a written decision based on the findings of fact and conclusions of law.  Arbitration shall take place in Los Angeles, California.  Judgment upon any award rendered by the arbitrator may be entered in any Court of competent jurisdiction.

 

14.       Attorneys’ Fees.  In the event that either party to this Agreement shall be required to institute any legal action or proceeding to enforce any of the terms of this Agreement, the prevailing party shall be entitled to be awarded reasonable attorney’s fees and costs necessarily incurred.

 

 

15.       Binding Effect.  The provisions of this Agreement shall be binding upon and inure to the benefit of the parties and their successors, heirs and permitted assigns.

 

16.       Notices.  Any notice required or permitted to be given hereunder shall be in writing and delivered by ordinary mail, FedEx or served personally, addressed to BANK or YOO, as the case may be, at the address set forth after their respective signatures below or as may be changed from time to time by notice given to the other party.

 

17.       Validity.  If any of the provisions herein become invalid, or are declared invalid, such determination of invalidity shall not affect the remaining portions of this Agreement.

 

18.       Miscellaneous.  YOO’s rights and obligation under this Agreement are personal and not assignable. The terms and provisions contained herein constitute the entire Agreement and understanding between and among the parties hereto and supersede all prior communications, representations or agreements, either oral or written with respect to the subject matter hereof. The Agreement shall be binding and inure to the benefit of the heirs, personal representatives, successors, beneficiaries and assigns of the parties, subject, however, to the restrictions on assignment contained herein.

 

19.       Modification:  No waiver or modification of any portion of this Agreement shall be valid unless in writing, duly executed by the parties hereto.

 

20.       Applicable Law.  This Agreement shall be construed, interpreted and governed for by any and all purposes by the laws of the State of California.

 

21.       Enforcement. Both YOO and BANK acknowledge they have had the opportunity to consult with legal consul regarding the terms and provisions of this Agreement.

 

IN WITNESS WHEREOF, the parties hereto have executed this Employment Agreement as of the day and year first above written.

 

 

	
JAE   WHAN YOO
    	
 
    	
WILSHIRE   BANCORP, INC 
    
	
 
    	
 
    	
WILSHIRE   BANK 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/   Jae Whan Yoo
    	
 
    	
By:
    	
/s/   Steven Koh
    
	
 
    	
 
    	
 
    	
Steven   Koh, Chairman of the Board

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