Document:

Exhibit
10(c)

The CORPORATEplan for
RetirementSM

EXECUTIVE PLAN

BASIC PLAN DOCUMENT

IMPORTANT
NOTE

This document has not been
approved by the Department of Labor, the Internal Revenue Service or any other
governmental entity. An Adopting Employer must determine whether the plan is
subject to the Federal securities laws and the securities laws of the various
states. An Adopting Employer may not rely on this document to ensure any
particular tax consequences or to ensure that the Plan is “unfunded and maintained
primarily for the purpose of providing deferred compensation to a select group
of management or highly compensated employees” under the Employee Retirement
Income Security Act with respect to the Employer’s particular situation.
Fidelity Management Trust Company, its affiliates and employees cannot and do
not provide legal or tax advice in connection with this document. This document
does not constitute legal or tax advice and is not intended or written to be
used, and it cannot be used by any taxpayer, for the purposes of avoiding
penalties that may be imposed on the taxpayer. This document should be reviewed
by the Employer’s attorney prior to adoption. 

CORPORATEplan for Retirement
EXECUTIVE

BASIC
PLAN DOCUMENT

	
  ARTICLE 1

  
	
  ADOPTION AGREEMENT

  
	
  ARTICLE 2

  
	
  DEFINITIONS

  
	
  2.01 - Definitions

  
	
  ARTICLE 3

  
	
  PARTICIPATION

  
	
  3.01 - Date of Participation

  
	
  3.02 - Resumption of Participation Following Re
  employment

  
	
  3.03 - Cessation or Resumption of Participation
  Following a Change in Status

  
	
  ARTICLE 4

  
	
  CONTRIBUTIONS

  
	
  4.01 - Deferral Contributions

  
	
  4.02 - Matching Contributions

  
	
  4.03 - Employer Contributions

  
	
  4.04 - Time of Making Contributions

  
	
  ARTICLE 5

  
	
  PARTICIPANTS’ ACCOUNTS

  
	
  5.01 - Individual Accounts

  
	
  ARTICLE 6

  
	
  INVESTMENT OF CONTRIBUTIONS

  
	
  6.01 - Manner of Investment

  
	
  6.02 - Investment Decisions

  
	
  ARTICLE 7

  
	
  RIGHT TO BENEFITS

  
	
  7.01 - Normal or Early Retirement

  
	
  7.02 - Death

  
	
  7.03 - Other Termination of Employment

  
	
  7.04 - Separate Account

  
	
  7.05 - Forfeitures

  
	
  7.06 - Adjustment for Investment Experience

  
	
  7.07 - Unforeseeable Emergency Withdrawals

  
	
  7.08 - Change in Control

  
	
  ARTICLE 8

  
	
  DISTRIBUTION OF BENEFITS PAYABLE AFTER TERMINATION
  OF SERVICE

  
	
  8.01 - Distribution of Benefits to Participants and
  Beneficiaries

  
	
  8.02 - Determination of Method of Distribution

  
	
  8.03 - Notice to Trustee

  
	
  8.04 - Time of Distribution

  
	
  ARTICLE 9

  

 

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  AMENDMENT AND TERMINATION

  
	
  9.01 - Amendment by Employer

  
	
  9.02 - Retroactive Amendments

  
	
  9.03 - Termination

  
	
  9.04 - Distribution Upon Termination of the Plan

  
	
  ARTICLE 10

  
	
  MISCELLANEOUS

  
	
  10.01 - Communication to Participants

  
	
  10.02 - Limitation of Rights

  
	
  10.03 - Nonalienability of Benefits

  
	
  10.04 - Facility of Payment

  
	
  10.05 - Information between Employer and Trustee

  
	
  10.06 - Notices

  
	
  10.07 - Governing Law

  
	
  ARTICLE 11

  
	
  PLAN ADMINISTRATION

  
	
  11.01 - Powers and responsibilities of the
  Administrator

  
	
  11.02 - Nondiscriminatory Exercise of Authority

  
	
  11.03 - Claims and Review Procedures

  

 

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PREAMBLE

It is the intention of the
Employer to establish herein an unfunded plan maintained solely for the purpose
of providing deferred compensation for a select group of management or highly
compensated employees as provided in ERISA. 

Article 1. Adoption Agreement.

Article 2. Definitions.

2.01. Definitions.

(a) Wherever used herein,
the following terms have the meanings set forth below, unless a different
meaning is clearly required by the context: 

(1) “Account” means an
account established on the books of the Employer for the purpose of recording
amounts credited on behalf of a Participant and any income, expenses, gains or
losses included thereon. 

(2) “Administrator” means
the Employer adopting this Plan, or other person designated by the Employer in
Section 1.01(b). 

(3) “Adoption Agreement”
means Article 1, under which the Employer establishes and adopts or amends the
Plan and designates the optional provisions selected by the Employer. The
provisions of the Adoption Agreement shall be an integral part of the Plan. 

(4) “Beneficiary” means
the person or persons entitled under Section 7.02 to receive benefits under the
Plan upon the death of a Participant. 

(5) “Bonus” means any
performance-based Compensation based on services performed for the Employer
over a period of at least 12 months. 

(6) “Change of Control”
means a change in the ownership or effective control of the Employer, or a
substantial portion of the Employer’s assets as defined in the regulations
under Code Section 409A. 

(7) “Code” means the
Internal Revenue Code of 1986, as amended from time to time. 

(8) “Compensation” means
for purposes of Article 4 (Contributions) wages as defined in Section 3401(a)
of the Code and all other payments of compensation to an employee by the
Employer (in the course of the Employer’s trade or business) for which the Employer
is required to furnish the employee a written statement under Section 6041(d)
and 6051(a)(3) of the Code, excluding any items elected by the Employer in
Section 1.04, reimbursements or other expense allowances, fringe benefits (cash
and non-cash), moving expenses, deferred compensation and welfare benefits, but
including amounts that are not includable in the gross income of the
Participant under a salary reduction agreement by reason of the application of
Sections 125, 132(f)(4), 402(e)(3), 402(h) or 403(b) of the Code. Compensation
shall be determined without regard to any rules under Section 3401(a) of the
Code that limit the remuneration included in wages based on the nature or
location of the employment or the services performed (such as the exception for
agricultural labor in Section 3401(a)(2) of the Code). Compensation shall also
include amounts deferred pursuant to an election under Section 4.01. In the
case of any Self-Employed Individual or an Owner-Employee, Compensation means
the Self-Employed Individual’s Earned Income. 

(9) “Earned Income” means
the net earnings of a Self-Employed Individual derived from the trade or
business with respect to which the Plan is established and for which the
personal services of such individual are a material income-providing factor,
excluding any items not included in gross income and the deductions allocated
to such items, except that for taxable years beginning after December 31, 1989
net earnings shall be determined with regard to the deduction allowed under
Section 164(f) of the Code, to the extent applicable to the Employer. Net
earnings shall be reduced by contributions of the Employer to any qualified
plan, to the extent a deduction is allowed to the Employer for such
contributions under Section 404 of the Code. 

(10) “Employee” means any
employee of the Employer, Self-Employed Individual or Owner-Employee. 

(11) “Employer” means the
employer named in Section 1.02(a) and any Related Employers designated in
Section 1.02(b). 

(12) “Employment
Commencement Date” means the date on which the Employee first performs an Hour
of Service. 

(13) “Entry Date” means
the date(s) designated in Section 1.03(b). 

(14) “ERISA” means the
Employee Retirement Income Security Act of 1974, as from time to time amended. 

(15) “Fund Share” means
the share, unit, or other evidence of ownership in a Permissible Investment. 

(16) “Hour of Service”
means, with respect to any Employee, 

 3
 

(A) Each hour for which
the Employee is directly or indirectly paid, or entitled to payment, for the
performance of duties for the Employer or a Related Employer, each such hour to
be credited to the Employee for the computation period in which the duties were
performed; 

(B) Each hour for which
the Employee is directly or indirectly paid, or entitled to payment, by the
Employer or Related Employer (including payments made or due from a trust fund
or insurer to which the Employer contributes or pays premiums) on account of a
period of time during which no duties are performed (irrespective of whether the
employ-ment relationship has terminated) due to vacation, holiday, illness,
incapacity, disability, layoff, jury duty, military duty, or leave of absence,
each such hour to be credited to the Employee for the Eligibility Computation
Period in which such period of time occurs, subject to the following rules: 

(i) No more than 501
Hours of Service shall be credited under this paragraph (B) on account of any
single continuous period during which the Employee performs no duties;  (ii) Hours of Service shall not be credited
under this paragraph (B) for a payment which solely reimburses the Employee for
medically-related expenses, or which is made or due under a plan maintained
solely for the purpose of complying with applicable workmen’s compensation,
unemployment compensation or disability insurance laws; and 

(iii) If the period
during which the Employee performs no duties falls within two or more
computation periods and if the payment made on account of such period is not
calculated on the basis of units of time, the Hours of Service credited with
respect to such period shall be allocated between not more than the first two
such computation periods on any reasonable basis consistently applied with
respect to similarly situated Employees; and 

(C) Each hour not counted
under paragraph (A) or (B) for which back pay, irrespective of mitigation of
damages, has been either awarded or agreed to be paid by the Employer or a
Related Employer, each such hour to be credited to the Employee for the
computation period to which the award or agreement pertains rather than the
computation period in which the award agreement or payment is made. 

For purposes of
determining Hours of Service, Employees of the Employer and of all Related
Employers will be treated as employed by a single employer. For purposes of
paragraphs (B) and (C) above, Hours of Service will be calculated in accordance
with the provisions of Section 2530.200b-2(b) of the Department of Labor
regulations, which are incorporated herein by reference. 

Solely for purposes of
determining whether a break in service for participation purposes has occurred
in a computation period, an individual who is absent from work for maternity or
paternity reasons shall receive credit for the hours of service which would
otherwise been credited to such individual but for such absence, or in any case
in which such hours cannot be determined, 8 hours of service per day of such
absence. For purposes of this paragraph, an absence from work for maternity
reasons means an absence (1) by reason of the pregnancy of the individual, (2)
by reason of a birth of a child of the individual, (3) by reason of the
placement of a child with the individual in connection with the adoption of
such child by such individual, or (4) for purposes of caring for such child for
a period beginning immediately following such birth or placement. The hours of
service credited under this paragraph shall be credited (1) in the computation
period in which the absence begins if the crediting is necessary to prevent a break
in service in that period, or (2) in all other cases, in the following
computation period. 

(17) “Key Employee” means
a Participant who is key employee pursuant to Code Section 416(i), without
regard to paragraph (5) thereof. A Participant will not be considered a Key
Employee unless the Employer is a corporation which has any of its stock
publicly traded according to Code Section 409A and regulations thereunder. 

(18) “Normal Retirement
Age” means the normal retirement age specified in Section 1.07(f) of the
Adoption Agreement. 

(19) “Owner-Employee”
means, if the Employer is a sole proprietorship, the individual who is the sole
proprietor, or, if the Employer is a partnership, a partner who owns more than
10 percent of either the capital interest or the profits interest of the
partnership. 

(20) “Participant” means
any Employee who participates in the Plan in accordance with Article 3 hereof. 

 (21) “Permissible Investment” means the
investments specified by the Employer as available for investment of assets of
the Trust and agreed to by the Trustee. The Permissible Investments under the
Plan shall be listed in the Service Agreement. 

(22) “Plan” means the
plan established by the Employer as set forth herein as a new plan or as an
amendment to an existing plan, by executing the Adoption Agreement, together
with any and all amendments hereto. 

(23) “Plan Year” means
the 12-consecutive-month period designated by the Employer in Section 1.01(c). 

(24) “Related Employer”
means any employer other than the Employer named in Section 1.02(a), if the
Employer and such other employer are members of a controlled group of
corporations (as defined in Section 414(b) of the Code) or an affiliated
service group (as defined in Section 414(m)), or are trades or businesses
(whether or not incorporated) which 

 4
 

are under common control
(as defined in Section 414(c)), or such other employer is required to be
aggregated with the Employer pursuant to regulations issued under Section
414(o). 

(25) “Self-Employed Individual” means an individual who has Earned
Income for the taxable year from the Employer or who would have had Earned
Income but for the fact that the trade or business had no net profits for the
taxable year. 

(26) “Service Agreement”
means the agreement between the Employer and Trustee regarding the arrangement
between the parties for recordkeeping services with respect to the Plan. 

(27) “Trust” means the
trust created by the Employer. 

(28) “Trust Agreement”
means the agreement between the Employer and the Trustee, as set forth in a
separate agreement, under which assets are held, administered, and managed
subject to the claims of the Employer’s creditors in the event of the Employer’s
insolvency, until paid to Plan Participants and their Beneficiaries as
specified in the Plan. 

(29) “Trust Fund” means
the property held in the Trust by the Trustee. 

(30) “Trustee” means the
corporation or individual(s) appointed by the Employer to administer the Trust
in accordance with the Trust Agreement. 

(31) “Years of Service for
Vesting” means, with respect to any Employee, the number of whole years of his
periods of service with the Employer or a Related Employer (the elapsed time
method to compute vesting service), subject to any exclusions elected by the
Employer in Section 1.07(c). An Employee will receive credit for the aggregate
of all time period(s) commencing with the Employee’s Employment Commencement
Date and ending on the date a break in service begins, unless any such years
are excluded by Section 1.07(c). An Employee will also receive credit for any
period of severance of less than 12 consecutive months. Fractional periods of a
year will be expressed in terms of days. 

In the case of a
Participant who has 5 consecutive 1-year breaks in service, all years of
service after such breaks in service will be disregarded for the purpose of
vesting the Employer-derived account balance that accrued before such breaks,
but both pre-break and post-break service will count for the purposes of
vesting the Employer-derived account balance that accrues after such breaks.
Both accounts will share in the earnings and losses of the fund. 

In the case of a
Participant who does not have 5 consecutive 1-year breaks in service, both the
pre-break and post-break service will count in vesting both the pre-break and
post-break employer-derived account balance. A break in service is a period of
severance of at least 12 consecutive months. Period of severance is a
continuous period of time during which the Employee is not employed by the
Employer. Such period begins on the date the Employee retires, quits or is
discharged, or if earlier, the 12-month anniversary of the date on which the
Employee was otherwise first absent from service. 

In the case of an
individual who is absent from work for maternity or paternity reasons, the
12-consecutive month period beginning on the first anniversary of the first
date of such absence shall not constitute a break in service. For purposes of
this paragraph, an absence from work for maternity or paternity reasons means
an absence (1) by reason of the pregnancy of the individual, (2) by reason of
the birth of a child of the individual, (3) by reason of the placement of a
child with the individual in connection with the adoption of such child by such
individual, or (4) for purposes of caring for such child for a period beginning
immediately following such birth or placement. 

If the Plan maintained by
the Employer is the plan of a predecessor employer, an Employee’s Years of
Service for Vesting shall include years of service with such predecessor
employer. In any case in which the Plan maintained by the Employer is not the
plan maintained by a predecessor employer, service for such predecessor shall
be treated as service for the Employer to the extent provided in Section 1.08. 

(b) Pronouns used in the Plan are in the masculine gender but include
the feminine gender unless the context clearly indicates otherwise. 

Article 3. Participation. 

3.01. Date of Participation.
An eligible Employee (as set forth in Section 1.03(a)) who has filed an
election pursuant to Section 4.01 will become a Participant in the Plan on the
first Entry Date coincident with or following the date on which such election
would otherwise become effective, as determined under Section4.01. 

3.02. Resumption of
Participation Following Reemployment. If a Participant
ceases to be an Employee and thereafter returns to the employ of the Employer
he will again become a Participant as of an Entry Date following the date on
which he completes an Hour of Service for the Employer following his re
employment, if he is an eligible Employee as defined in Section 1.03(a), and
has filed an election pursuant to Section 4.01. 

3.03. Cessation or Resumption
of Participation Following a Change in Status. If any
Participant continues in the employ of the Employer or Related Employer but
ceases to be an eligible Employee as defined in Section 1.03(a), the individual
shall continue to be a Participant until the entire amount of his benefit is
distributed; however, the individual 

 5
 

shall not be entitled to
make Deferral Contributions or receive an allocation of Matching or Employer
Contributions during the period that he is not an eligible Employee. Such
Participant shall continue to receive credit for service completed during the
period for purposes of determining his vested interest in his Accounts. In the
event that the individual subsequently again becomes an eligible Employee, the
individual shall resume full participation in accordance with Section 3.01. 

Article 4. Contributions.

4.01. Deferral Contributions.
Each Participant may elect to execute a salary reduction agreement with the
Employer to reduce his Compensation by a specified percentage, not exceeding
the percentage set forth in Section 1.05(a) and equal to a whole number
multiple of one (1) percent, per payroll period, subject to any election
regarding Bonuses, as set out in Subsection 1.05(a)(2). Such agreement shall
become effective on the first day of the period as set forth in the Participant’s
election. The election will be effective to defer compensation relating to all
services performed in a calendar year subsequent to the filing of such an
election, subject to any election regarding Bonuses, as set out in Subsection
1.05(a)(2). An election once made will remain in effect until a new election is
made; provided, however that such an election choosing a distribution date
pursuant to 1.06(b)(1)(B) will only be effective for the Plan Year indicated. A
new election will be effective as of the first day of the following calendar
year and will apply only to Compensation payable with respect to services
rendered after such date, except that a separate election made pursuant to
Section 1.05(a)(2) will be effective immediately if made no later than 6 months
before the end of the period during which the services on which the Bonus is
based are performed. If the Employer has selected 1.05(a)(2), no amount will be
deducted from Bonuses unless the Participant has made a separate election.
Amounts credited to a Participant’s account prior to the effective date of any
new election will not be affected and will be paid in accordance with that
prior election. The Employer shall credit an amount to the account maintained
on behalf of the Participant corresponding to the amount of said reduction.
Under no circumstances may a salary reduction agreement be adopted
retroactively. To the extent permitted in regulations under Code Section 409A,
a Participant may revoke a salary reduction agreement for a calendar year
during that year, provided, however, that such revocation shall apply only to
Compensation not yet earned. In that event, the Participant shall be precluded
from electing to defer future Compensation hereunder during the calendar year
to which the revocation applies. Notwithstanding the above, in the calendar
year in which the Plan first becomes effective or in the year in which the
Participant first becomes eligible to participate, an election to defer
compensation may be made within 30 days after the Participant is first eligible
or the Plan is first effective, which election shall be effective with respect
to Compensation payable with respect to services rendered after the date of the
election. 

4.02. Matching Contributions.
If so provided by the Employer in Section 1.05(b), the Employer shall make a “Matching
Contribution” to be credited to the account maintained on behalf of each
Participant who had “Deferral Contributions” pursuant to Section 4.01 made on
his behalf during the year and who meets the requirement, if any, of Section
1.05(b)(3). The amount of the “Matching Contribution” shall be determined in
accordance with Section 1.05(b). 

4.03. Employer Contributions.
If so provided by the Employer in Section 1.05(c)(1), the Employer shall make
an “Employer Contribution” to be credited to the account maintained on behalf
of each Participant who meets the requirement, if any, of Section 1.05(c)(3) in
the amount required by Section 1.05(c)(1). If so provided by the Employer in
Section 1.05(c)(2), the Employer may make an “Employer Contribution” to be
credited to the account maintained on behalf of any Participant in such an
amount as the Employer, in its sole discretion, shall determine. In making “Employer
Contributions” pursuant to Section 1.05(c)(2), the Employer shall not be
required to treat all Participants in the same manner in determining such
contributions and may determine the “Employer Contribution” of any Participant
to be zero. 

4.04. Time of Making
Contributions. The Employer shall remit contributions
deemed made hereunder to the Trust as soon as practicable after such
contributions are deemed made under the terms of the Plan. 

Article 5. Participants’
Accounts. 

5.01. Individual Accounts.
The Administrator will establish and maintain an Account for each Participant,
which will reflect Matching, Employer and Deferral Contributions credited to
the Account on behalf of the Participant and earnings, expenses, gains and
losses credited thereto, and deemed investments made with amounts in the
Participant’s Account. The Administrator will establish and maintain such other
accounts and records as it decides in its discretion to be reasonably required
or appropriate in order to discharge its duties under the Plan. Participants
will be furnished statements of their Account values at least once each Plan
Year. The Administrator shall provide the Trustee with information on the
amount credited to the separate account of each Participant maintained by the
Administrator in its records. 

 6
 

Article 6. Investment of
Contributions. 

6.01. Manner of Investment.
All amounts credited to the Accounts of Participants shall be treated as though
invested and reinvested only in eligible investments selected by the Employer
in the Service Agreement. 

6.02. Investment Decisions.
Investments in which the Accounts of Participants shall be treated as invested
and reinvested shall be directed by the Employer or by each Participant, or
both, in accordance with the Employer’s election in Section 1.11(a). 

(a) All dividends,
interest, gains and distributions of any nature that would be earned in respect
of Fund Shares in which the Account is treated as investing shall be credited
to the Account as though reinvested in additional shares of that Permissible
Investment. 

(b) Expenses that would
be attributable to the acquisition of investments shall be charged to the
Account of the Participant for which such investment is treated as having been
made. 

Article 7. Right to Benefits.

7.01. Normal or Early
Retirement. If provided by the Employer in Section 1.07(e),
each Participant who attains his Normal Retirement Age or Early Retirement Age
will have a nonforfeitable interest in his Account in accordance with the
vesting schedule(s) elected in Section 1.07. If a Participant retires on or
after attainment of Normal or Early Retirement Age, such retirement is referred
to as a normal retirement. On or after his normal retirement, the balance of
the Participant’s Account, plus any amounts thereafter credited to his Account,
subject to the provisions of Section 7.06, will be distributed to him in
accordance with Article 8. 

If provided by the
Employer in Section 1.07, a Participant who separates from service before
satisfying the age requirements for early retirement, but has satisfied the
service requirement will be entitled to the distribution of his Account,
subject to the provisions of Section 7.06, in accordance with Article 8, upon
satisfaction of such age requirement. 

7.02. Death.
If a Participant dies before the distribution of his Account has commenced, or
before such distribution has been completed, his Account shall become vested in
accordance with the vesting schedule(s) elected in Section 1.07 and his
designated Beneficiary or Beneficiaries will be entitled to receive the balance
or remaining balance of his Account, plus any amounts thereafter credited to
his Account, subject to the provisions of Section 7.06. Distribution to the
Beneficiary or Beneficiaries will be made in accordance with Article 8. A
distribution to a beneficiary of a Key Employee is not considered to be a
distribution to a Key Employee for purposes of Sections 1.06 and 7.08. 

A Participant may
designate a Beneficiary or Beneficiaries, or change any prior designation of
Beneficiary or Beneficiaries, by giving notice to the Administrator on a form
designated by the Administrator. If more than one person is designated as the
Beneficiary, their respective interests shall be as indicated on the
designation form. 

A copy of the
death certificate or other sufficient documentation must be filed with and
approved by the Administrator. If upon the death of the Participant there is,
in the opinion of the Administrator, no designated Beneficiary for part or all
of the Participant’s Account, such amount will be paid to his surviving spouse
or, if none, to his estate (such spouse or estate shall be deemed to be the
Beneficiary for purposes of the Plan). If a Beneficiary dies after benefits to
such Beneficiary have commenced, but before they have been completed, and, in
the opinion of the Administrator, no person has been designated to receive such
remaining benefits, then such benefits shall be paid to the deceased
Beneficiary’s estate. 

7.03. Other Termination of
Employment. If provided by the Employer in Section 1.07,
if a Participant terminates his employment for any reason other than death or
normal retirement, he will be entitled to a termination benefit equal to (i)
the vested percentage(s) of the value of the Matching and Employer
Contributions to his Account, as adjusted for income, expense, gain, or loss,
such percentage(s) determined in accordance with the vesting schedule(s)
selected by the Employer in Section 1.07, and (ii) the value of the Deferral
Contributions to his Account as adjusted for income, expense, gain or loss. The
amount payable under this Section 7.03 will be subject to the provisions of
Section 7.06 and will be distributed in accordance with Article 8. For purposes
of the Plan, a termination of employment is a separation from service as
defined pursuant to Code Section 409A and regulations thereunder. 

7.04. Separate Account.
If a distribution from a Participant’s Account has been made to him at a time
when he has a nonforfeitable right to less than 100 percent of his Account, the
vesting schedule in Section 1.07 will thereafter apply only to amounts in his
Account attributable to Matching and Employer Contributions allocated after
such distribution. The balance of his Account immediately after such
distribution will be transferred to a separate account that will be maintained
for the purpose of determining his interest therein according to the following
provisions. 

At any relevant
time prior to a forfeiture of any portion thereof under Section 7.05, a
Participant’s nonforfeitable interest in his Account held in a separate account
described in the preceding paragraph will be equal to P(AB + (RxD))-(RxD),
where P is the nonforfeitable percentage at the relevant time determined under
Section 7.05; AB 

 7
 

is the account balance of
the separate account at the relevant time; D is the amount of the distribution;
and R is the ratio of the account balance at the relevant time to the account
balance after distribution. Following a forfeiture of any portion of such
separate account under Section 7.05 below, any balance in the Participant’s
separate account will remain fully vested and nonforfeitable. 

7.05. Forfeitures.
If a Participant terminates his employment, any portion of his Account
(including any amounts credited after his termination of employment) not
payable to him under Section 7.03 will be forfeited by him. 

7.06. Adjustment for
Investment Experience. If any distribution under this
Article 7 is not made in a single payment, the amount remaining in the Account
after the distribution will be subject to adjustment until distributed to reflect
the income and gain or loss on the investments in which such amount is treated
as invested and any expenses properly charged under the Plan to such amounts. 

7.07. Unforeseeable Emergency
Withdrawals. Subject to the provisions of Article 8, a
Participant shall not be permitted to withdraw his Account (and earnings
thereon) prior to retirement or termination of employment, except that, to the
extent permitted under Section 1.09, a Participant may apply to the
Administrator to withdraw some or all of his Account if such withdrawal is made
on account of an unforeseeable emergency as determined by the Administrator in
accordance with the requirements of and subject to the limitations provided
within Code Section 409A and regulations thereunder. 

7.08. Change in Control
Distributions. If the Employer has elected to apply
Section 1.06(c), then, upon a Change in Control, notwithstanding any other
provision of the Plan to the contrary, all Participants shall have a
nonforfeitable right to receive the entire amount of their account balances
under the Plan. All distributions due to a Change in Control shall be paid out
to Participants as soon as administratively practicable, except that any such
distribution to a Key Employee who has terminated employment pursuant to
Section 7.03 shall not be earlier than the 1st day of the seventh month
following that Key Employee’s termination of employment. 

Article 8. Distribution of
Benefits.

8.01. Form of Distribution of
Benefits to Participants and Beneficiaries. The Plan provides
for distribution as a lump sum to be paid in cash on the date specified by the
Employer in Section 1.06 pursuant to the method provided in Section 8.02. If
elected by the Employer in Section 1.10 and specified in the Participant’s
deferral election, the distribution will be paid through a systematic
withdrawal plan (installments) for a time period not exceeding 10 years
beginning on the date specified by the Employer in Section 1.06. 

8.02. Events Requiring
Distribution of Benefits to Participants and Beneficiaries.

(a) If elected by the
Employer in Section 1.06(a), the Participant will receive a distribution upon
the earliest of the events specified by the Employer in Section 1.06(a),
subject to the provisions of Section 7.08, and at the time indicated in Section
1.06(a)(2). If the Participant dies before any event in Section 1.06(a) occurs,
the Participant shall be considered to have terminated employment and the
Participant’s benefit will be paid to the Participant’s Beneficiary in the same
form and at the same time as it would have been paid to the Participant
pursuant to this Article 8. 

(b) If elected by the Employer in Section 1.06(b), the Participant will
receive a distribution of all amounts not deferred pursuant to Section
1.06(b)(1)(B) (and earnings attributable to those amounts) upon termination of
employment, subject to the delay applicable to Key Employees described therein,
as applicable. If elected by the Employer in Section 1.06(b)(1)(B), the
Participant shall have the election to receive distributions of amounts
deferred pursuant to Section 4.01 (and earnings attributable to those amounts)
after a date specified by the Participant in his deferral election which is at
least 12 months after the first day of the calendar year in which such amounts
would be earned. Amounts distributed to the Participant pursuant to Section
1.06(b) shall be distributed at the time indicated in Section 1.06(b)(2).
Subject to the provisions of Section 7.08, the Participant shall receive a
distribution in the form provided in Section 8.01. If the Participant dies
before any event in Section 1.06(a) occurs, the Participant shall be considered
to have terminated employment and the Participant’s benefit will be paid to the
Participant’s Beneficiary in the same form and at the same time as it would
have been paid to the Participant pursuant to this Article 8. However, if the
Participant dies before the date specified by the Participant in an election
pursuant to Section 1.06(b)(1)(B), then the Participant’s benefit shall be paid
to the Participant’s Beneficiary in the form provided in Section 8.01 as if the
Participant had elected to be paid at termination of employment. 

8.03. Determination of Method
of Distribution. The Participant will determine the
method of distribution of benefits to himself and his Beneficiary, subject to
the provisions of Section 8.02. Such determination will be made at the time the
Participant makes a deferral election. A Participant’s election cannot be
altered, except, if elected by the Employer in Section 1.10(b), if the
Participant’s balance falls below the level described in regulations under Code
Section 409A, the Participant’s benefit payable due to termination of
employment will be distributed in a lump sum rather than installments. 

 8
 

(a) When Section
1.06(a) has been elected by the Employer. The distribution period specified
in a Participant’s first deferral election specifying distribution under a
systematic withdrawal plan shall apply to all subsequent elections of
distributions under a systematic withdrawal plan made by the Participant. Once
a Participant has made an election for the method of distribution, that
election shall be effective for all contributions made on behalf of the
Participant attributable to any Plan Year after that election was made and
before the Plan Year for which that election has been altered in the manner
prescribed by the Administrator. If the Participant does not designate in the
manner prescribed by the Administrator the method of distribution, such method
of distribution shall be a lump sum at termination of employment. 

(b) When Section
1.06(b) has been elected by the Employer. The distribution period for
distributions under a systematic withdrawal plan shall be specified in each
Participant’s contribution election selecting payments under a systematic
withdrawal plan. If the Participant does not designate in the manner prescribed
by the Administrator the method of distribution, such method of distribution
for all such contributions shall be a lump sum at termination of employment. 

8.04. Notice to Trustee.
The Administrator will notify the Trustee, pursuant to the method stated in the
Trust Agreement for providing direction, whenever any Participant or
Beneficiary is entitled to receive benefits under the Plan. The Administrator’s
notice shall indicate the form, amount and frequency of benefits that such
Participant or Beneficiary shall receive. 

8.05. Time of Distribution.
In no event will distribution to a Participant be made later than the date
specified by the Participant in his salary reduction agreement. All
distributions will be made as soon asadministratively feasible following the
distribution date specified in Section 1.06 or Section 7.08, if applicable. 

Article 9. Amendment and
Termination.

9.01 Amendment by Employer.
The Employer reserves the authority to amend the Plan by filing with the
Trustee an amended Adoption Agreement, executed by the Employer only, on which
said Employer has indicated a change or changes in provisions previously
elected by it. Such changes are to be effective on the effective date of such
amended Adoption Agreement. Any such change notwithstanding, no Participant’s
Account shall be reduced by such change below the amount to which the
Participant would have been entitled if he had voluntarily left the employ of
the Employer immediately prior to the date of the change. The Employer may from
time to time make any amendment to the Plan that may be necessary to satisfy
the Code or ERISA. The Employer’s board of directors or other individual
specified in the resolution adopting this Plan shall act on behalf of the
Employer for purposes of this Section 9.01. 

9.02 Retroactive Amendments.
An amendment made by the Employer in accordance with Section 9.01 may be made
effective on a date prior to the first day of the Plan Year in which it is
adopted if such amendment is necessary or appropriate to enable the Plan and
Trust to satisfy the applicable requirements of the Code or ERISA or to conform
the Plan to any change in federal law or to any regulations or ruling
thereunder. Any retroactive amendment by the Employer shall be subject to the
provisions of Section 9.01. 

9.03. Termination.
The Employer has adopted the Plan with the intention and expectation that
contributions will be continued indefinitely. However, said Employer has no
obligation or liability whatsoever to maintain the Plan for any length of time
and may discontinue contributions under the Plan or terminate the Plan at any
time by written notice delivered to the Trustee without any liability hereunder
for any such discontinuance or termination. 

9.04. Distribution upon
Termination of the Plan. Upon termination of the Plan, no
further Deferral, Employer or Matching Contributions shall be made under the
Plan, but Accounts of Participants maintained under the Plan at the time of
termination shall continue to be governed by the terms of the Plan until paid
out in accordance with the terms of the Plan. 

Article 10. Miscellaneous.

10.01. Communication to
Participants. The Plan will be communicated to all
Participants by the Employer promptly after the Plan is adopted. 

10 02. Limitation of Rights.
Neither the establishment of the Plan and the Trust, nor any amendment thereof,
nor the creation of any fund or account, nor the payment of any benefits, will
be construed as giving to any Participant or other person any legal or
equitable right against the Employer, Administrator or Trustee, except as
provided herein; and in no event will the terms of employment or service of any
Participant be modified or in any way affected hereby. 

10.03. Nonalienability of
Benefits. The benefits provided hereunder will not be
subject to alienation, assignment, garnishment, attachment, execution or levy
of any kind, either voluntarily or involuntarily, and any attempt to cause such
benefits to be so subjected will not be recognized, except to such extent as
may be required by law. 

10 04. Facility of Payment.
In the event the Administrator determines, on the basis of medical reports or
other evidence satisfactory to the Administrator, that the recipient of any
benefit payments under the Plan is incapable of handling his affairs by reason
of minority, illness, infirmity or other incapacity, the Administrator may
disburse such payments, or 

 9
 

direct the Trustee to
disburse such payments, as applicable, to a person or institution designated by
a court which has jurisdiction over such recipient or a person or institution
otherwise having the legal authority under State law for the care and control
of such recipient. The receipt by such person or institution of any such
payments shall be complete acquittance therefore, and any such payment to the
extent thereof, shall discharge the liability of the Trust for the payment of
benefits hereunder to such recipient. 

10.05. Information between
Employer and Trustee. The Employer agrees to furnish the
Trustee, and the Trustee agrees to furnish the Employer with such information
relating to the Plan and Trust as may be required by the other in order to
carry out their respective duties hereunder, including without limitation
information required under the Code or ERISA and any regulations issued or
forms adopted thereunder. 

10.06. Notices.
Any notice or other communication in connection with this Plan shall be deemed
delivered in writing if addressed as provided below and if either actually
delivered at said address or, in the case of a letter, three business days
shall have elapsed after the same shall have been deposited in the United
States mails, first-class postage prepaid and registered or certified: 

(a) If to the Employer or
Administrator, to it at the address set forth in the Adoption Agreement, to the
attention of the person specified to receive notice in the Adoption Agreement; 

(b) If to the Trustee, to
it at the address set forth in the Trust Agreement; or, in each case at such
other address as the addressee shall have specified by written notice delivered
in accordance with the foregoing to the addressor’s then effective notice
address. 

10.07. Governing Law.
The Plan and the accompanying Adoption Agreement will be construed,
administered and enforced according to ERISA, and to the extent not preempted
thereby, the laws of the Commonwealth of Massachusetts, without regard to its
conflicts of law principles. 

Article 11. Plan
Administration.

11.01. Powers and
responsibilities of the Administrator. The Administrator
has the full power and the full responsibility to administer the Plan in all of
its details, subject, however, to the applicable requirements of ERISA. The Administrator’s
powers and responsibilities include, but are not limited to, the following: 

(a) To make and enforce
such rules and regulations as it deems necessary or proper for the efficient
administration of the Plan; 

(b) To interpret the
Plan, its interpretation thereof in good faith to be final and conclusive on
all persons claiming benefits under the Plan; 

(c) To decide all
questions concerning the Plan and the eligibility of any person to participate
in the Plan; 

(d) To administer the
claims and review procedures specified in Section 11.03; 

(e) To compute the amount
of benefits which will be payable to any Participant, former Participant or
Beneficiary in accordance with the provisions of the Plan; 

(f) To determine the
person or persons to whom such benefits will be paid; 

(g) To authorize the
payment of benefits; 

(h) To comply with any
applicable reporting and disclosure requirements of Part 1 of Subtitle B of
Title I of ERISA; 

(i) To appoint such
agents, counsel, accountants, and consultants as may be required to assist in
administering the Plan; 

(j) By written
instrument, to allocate and delegate its responsibilities, including the
formation of an Administrative Committee to administer the Plan; 

11.02. Nondiscriminatory
Exercise of Authority. Whenever, in the administration of
the Plan, any discretionary action by the Administrator is required, the
Administrator shall exercise its authority in a nondiscriminatory manner so
that all persons similarly situated will receive substantially the same
treatment. 

11.03. Claims and Review
Procedures.

(a) Claims Procedure.
If any person believes he is being denied any rights or benefits under the
Plan, such person may file a claim in writing with the Administrator. If any
such claim is wholly or partially denied, the Administrator will notify such
person of its decision in writing. Such notification will contain (i) specific
reasons for the denial, (ii) specific reference to pertinent Plan provisions,
(iii) a description of any additional material or information necessary for
such person to perfect such claim and an explanation of why such material or
information is necessary, and (iv) information as to the steps to be taken if
the person wishes to submit a request for review, including a statement of the
such person’s right to bring a civil action under Section 502(a) of ERISA
following as adverse determination upon review. Such notification will be given
within 90 days after the claim is received by the Administrator (or within 180
days, if special circumstances require an extension of time for processing the
claim, and if written notice of such extension and circumstances is given to
such person within the initial 90-day period). 

 10
 

If the claim concerns
disability benefits under the Plan, the Plan Administrator must notify the
claimant in writing within 45 days after the claim has been filed in order to
deny it. If special circumstances require an extension of time to process the
claim, the Plan Administrator must notify the claimant before the end of the
45-day period that the claim may take up to 30 days longer to process. If
special circumstances still prevent the resolution of the claim, the Plan
Administrator may then only take up to another 30 days after giving the
claimant notice before the end of the original 30-day extension. If the Plan
Administrator gives the claimant notice that the claimant needs to provide
additional information regarding the claim, the claimant must do so within 45
days of that notice. 

(b) Review Procedure.
Within 60 days after the date on which a person receives a written notice of a
denied claim (or, if applicable, within 60 days after the date on which such
denial is considered to have occurred), such person (or his duly authorized
representative) may (i) file a written request with the Administrator for a
review of his denied claim and of pertinent documents and (ii) submit written
issues and comments to the Administrator. This written request may include
comments, documents, records, and other information relating to the claim for
benefits. The claimant shall be provided, upon the claimant’s request and free
of charge, reasonable access to, and copies of, all documents, records, and
other information relevant to the claim for benefits. The review will take into
account all comments, documents, records, and other information submitted by
the claimant relating to the claim, without regard to whether such information
was submitted or considered in the initial benefit determination. The
Administrator will notify such person of its decision in writing. Such
notification will be written in a manner calculated to be understood by such
person and will contain specific reasons for the decision as well as specific
references to pertinent Plan provisions. The decision on review will be made
within 60 days after the request for review is received by the Administrator
(or within 120 days, if special circumstances require an extension of time for
processing the request, such as an election by the Administrator to hold a
hearing, and if written notice of such extension and circumstances is given to
such person within the initial 60-day period). The extension notice shall
indicate the special circumstances requiring an extension of time and the date
by which the Plan expects to render the determination on review. If the initial
claim was for disability benefits under the Plan and has been denied by the
Plan Administrator, the claimant will have 180 days from the date the claimant
received notice of the claim’s denial in which to appeal that decision. The
review will be handled completely independently of the findings and decision
made regarding the initial claim and will be processed by an individual who is
not a subordinate of the individual who denied the initial claim. If the claim
requires medical judgment, the individual handling the appeal will consult with
a medical professional whom was not consulted regarding the initial claim and
who is not a subordinate of anyone consulted regarding the initial claim and
identify that medical professional to the claimant. 

The Plan Administrator
shall provide the claimant with written notification of a plan’s benefit
determination on review. In the case of an adverse benefit determination, the
notification shall set forth, in a manner calculated to be understood by the
claimant – the specific reason or reasons for the adverse determinations,
reference to the specific plan provisions on which the benefit determination is
based, a statement that the claimant is entitled to receive, upon the claimant’s
request and free of charge, reasonable access to, and copies of, all documents,
records, and other information relevant to the claim for benefits. 

 11

The
CORPORATEplan  for  RetirementSM 

EXECUTIVE PLAN

Adoption
Agreement

IMPORTANT
NOTE

This
document has not been approved by the Department of Labor, the Internal Revenue
Service or any other governmental entity. An Adopting Employer must determine
whether the plan is subject to the Federal securities laws and the securities
laws of the various states. An Adopting Employer may not rely on this document
to ensure any particular tax consequences or to ensure that the Plan is
“unfunded and maintained primarily for the purpose of providing deferred
compensation to a select group of management of highly compensated employees”
under the Employee Retirement Income Security Act with respect to the
Employer’s particular situation. Fidelity Management Trust Company, its
affiliates and employees cannot and do not provide legal or tax advice in
connection with this document. This document does not constitute legal or tax
advice and is not intended or written to be used, and it cannot be used by any
taxpayer, for the purposes of avoiding penalties that may be imposed on the
taxpayer. This document should be reviewed by the Employer’s Attorney prior to
adoption.

ADOPTION
AGREEMENT 

ARTICLE 1

1.01           PLAN INFORMATION

(a)                   Name
of Plan:

This is the Regis Corporation Executive Retirement
Savings Plan (the “Plan”).

(b)                   Name
of Plan Administrator, if not the Employer:

	
  

  
	
  Address:

  
	
   

  
	
   

  
	
  Phone Number:

  

 

The Plan Administrator is the agent for service of legal process
for the Plan.

(c)                    Plan
Year End is December 31.

(d)                   Plan
Status (check one):

(1)                     o                            Effective
Date of new Plan: 

(2)                     x                          Amendment
Effective Date: 03/01/2007

Amendment to merge the Regis Corporation Executive
Profit Sharing Plan into the Regis Corporation Nonqualified Deferred Salary
Plan

The original effective date of the Nonqualified
Deferred Salary Plan: 7/24/1988

The original effective date of the Executive Profit
Sharing Plan: 7/1/1992

1.02           EMPLOYER

	
  (a)

  	
   

  	
  The
  Employer is:

  	
   

  	
  Regis
  Corporation

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Address:

  	
   

  	
  7201 Metro
  Boulevard

  
	
   

  	
   

  	
   

  	
   

  	
  Edina, MN 55439

  
	
   

  	
   

  	
  Contact’s Name:

  	
   

  	
  Maura Shaffer

  
	
   

  	
   

  	
  Telephone
  Number:

  	
   

  	
  (952) 947-7675

  

 

(1)               Employer’s Tax
Identification Number: 41-0749934

(2)               Business form of
Employer (check one):

(A)    x      Corporation (Other than a
Subchapter S corporation)

(B)    o          Other (e.g., Subchapter
S corporation, partnership, sole proprietor)

 1
 

(3)                     Employer’s
fiscal year end: 6/30

(b)                   The
term “Employer” includes the following Related Employer(s) (as defined
in Section 2.01(a)(24)):

All Related Employers, as defined in Section 2.01(a)(24). 

1.03           COVERAGE

(a)                   The
following Employees are eligible to participate in the Plan:

(1)     o                         Only
those Employees listed in Attachment A will be eligible to participate in the Plan.

(2)     x                        Only those
Employees in the eligible class described below will be eligible to participate
in the Plan:

All Company officers and
all Highly Compensated Employees, as defined in Code Section 414(q), except
those who the Administrator determines would not be considered a member of a
select group of management or a highly compensated employee within the meaning
of Sections 201(2), 301(a)(3) and 401(a)(1) of ERISA.

(3)     o                          Only
those Employees described in the Board of Directors Resolutions attached hereto
and hereby made a part hereof will be eligible to participate in the Plan.

(b)                   The
Entry Date(s) shall be (check one):

(1)                     o                    each January
1.

(2)                     o                    each January 1
and each July 1.

(3)                     o                    each January 1
and each April 1, July 1 and October 1.

(4)                     o                    the first day
of each month.

(5)                     x                  immediate upon
meeting the eligibility requirements specified in Subsection 1.03(a).

1.04           COMPENSATION

For purposes of determining Contributions under the Plan,
Compensation shall be as defined (check (a) or (b) below, as appropriate):

(a)         x                        in Section 2.01(a)(8), (check (1) or
(2) below, if and as appropriate)):

(1)                     x                          but
excluding (check the appropriate box(es)):

(A)     x                                         Overtime
Pay.

(B)     o                                            Bonuses.

 2
 

(C)   x         Commissions.

(D)   x         The
value of a qualified or a non-qualified stock option granted to an Employee by
the Employer to the extent such value is includable in the Employee’s taxable
income.

(E)   x          The following:

Severance Pay, Third
Party Payments of Sick Pay

(2)                     o                            except
as otherwise provided below:

 

(b)     o                            in the                       Plan maintained by the Employer to
the extent it is in excess
of the limit imposed under Code Section 401(a)(17).

1.05           CONTRIBUTIONS

(a)                   Employee contributions (Complete all that apply)

(1)                    x                          Deferral
Contributions. The Employer shall make a Deferral Contribution in accordance
with, and subject to, Section 4.01 on behalf of each Participant who has an
executed salary reduction agreement in effect with the Employer for the
calendar year (or portion of the calendar year) in question, not to exceed 100%
of Compensation, exclusive of any Bonus.

(2)                    x                          Bonus
Contributions. The Employer requires Participants to enter into a special
salary reduction agreement to make Deferral Contributions of any percentage of
Employer paid cash Bonuses, up to 100% of such Bonuses. (The Compensation
definition elected by the Employer in Section 1.04 must include Bonuses if
Bonus contributions are permitted.)

(b)     x                 Matching Contributions (Choose (1) or (2) below, and (3)
below, as applicable.)

SEE AMENDMENT

(1)                  x                          The
Employer shall make a Matching Contribution on behalf of each Participant in an
amount equal to the following percentage of a Participant’s Deferral
Contributions during the Plan Year (check one):

(A)     o          50%

(B)     o          100%

(C)     o                  %

(D)     o                         (Tiered
Match)                
% of the first                
% of the Participant’s Compensation contributed to the Plan.

(E)     o                           The
percentage declared for the year, if any, by a Board of Directors’ resolution.

(F)     o                           Other:                

(2)                  o                            Matching
Contribution Offset. For each Participant who has made 401(k) Deferrals at
least equal to the maximum under Code Section 402(g) or, if less, the maximum
permitted under the Qualified Plan, the Employer shall make a Matching
Contribution for the calendar year equal to (A) minus (B) below:

(A)             The 401(m) Match that
the Participant would have received under the Qualified Plan for such calendar
year on the sum of the Participant’s

 3
 

Deferral Contributions and the Participant’s 401(k)
Deferrals if no limits otherwise imposed by tax law applied to 401(m) Match and
deeming the Participant’s Deferral Contributions to be 401(k) Deferrals.

(B)                 The 401(m) Match
actually allocated to such Participant under the Qualified Plan for the calendar
year.

For purposes of this Section 1.05(b): “Qualified Plan”
means the Plan; “401(k) Deferrals” means contributions under the Qualified
Plan’s cash or deferred arrangement as defined in Code Section 401(k); and
“401(m) Match” means a matching contribution as defined in Code Section 401(m).

(3)     x                                                      Matching
Contribution Limits (check the appropriate box(es)):

SEE
AMENDMENT

(A)     o                         Deferral
Contributions in excess of            %
of the Participant’s Compensation for the period in question shall not be
considered for Matching Contributions.

Note:   If the Employer elects a
percentage limit in (A) above and requests the Trustee to account separately
for matched and unmatched Deferral Contributions, the Matching Contributions
allocated to each Participant must be computed, and the percentage limit
applied, based upon each period.

(B)     o                         Matching
Contributions for each Participant for each Plan Year shall be limited to $.               

(4)                                                                                         Eligibility
Requirement(s) for Matching Contributions. A Participant who makes Deferral
Contributions during the Plan Year under Section 1.05(a) shall be entitled to
Matching Contributions for that Plan Year if the Participant satisfies the
following requirement(s) (Check the appropriate box(es). Options (B) and (C)
may not be elected together):

(A)                  o                    Is employed by
the Employer on the last day of the Plan Year.

(B)                  o                    Earns at least
500 Hours of Service during the Plan Year.

(C)                  o                    Earns at least
1,000 Hours of Service during the Plan Year.

(D)                  o                    Other:

(E)                    x                  No requirements.

Note: If option
(A), (B) or (C) above is selected, then Matching Contributions can only be made by the Employer after the Plan Year ends. Any Matching
Contribution made before Plan Year end shall not be subject to the eligibility
requirements of this Section 1.05(b)(3)).

 4
 

(c)                     Employer
Contributions

SEE AMENDMENT

(1)     o                          Fixed
Employer Contributions. The Employer shall make an Employer Contribution on
behalf of each Participant in an amount determined as described below (check at
least one):

(A)     o                   In an amount
equal to               %
of each Participant’s Compensation each Plan Year.

(B)     o                   In an amount
determined and allocated as described below:

(C)     o                   In an amount
equal to (check at least one):

(i.)    o                             Any
profit sharing contribution that the Employer would have made on behalf of the
Participant under the following qualified defined contribution plan but for the
limitations imposed by Code Section 401(a)(17):

(ii.)   o                             Any
contribution described in Code Section 401(m) that the Employer would have made
on behalf of the Participant under the following qualified defined contribution
plan but for the limitations imposed by Code Section 401(a)(17):

(2)     x                        Discretionary
Employer Contributions. The Employer may make Employer Contributions to the
accounts of Participants in any amount, as determined by the Employer in its
sole discretion from time to time, which amount may be zero.

(3)                                                      Eligibility
Requirement(s) for Employer Contributions. A Participant shall only be
entitled to Employer Contributions under Section 1.05(c)(1) for a Plan Year if
the Participant satisfies the following requirement(s) (Check the appropriate
box(es). Options (B) and (C) may not be elected together):

(A)  o                Is employed by the
Employer on the last day of the Plan Year.

(B)  o                Earns at least 500
Hours of Service during the Plan Year.

(C)  o                Earns at least
1,000 Hours of Service during the Plan Year.

(D)  o                Other:                                  

(E)  o                  No requirements.

1.06           DISTRIBUTION DATES

Distribution from a Participant’s Account pursuant to
Section 8.02 shall begin upon the following date(s) (check either (a) or (b);
check (c), if desired):

 5
 

(a)     o                          Non-Class Year Accounting (complete
(1) and (2)).

(1)                    The earliest of termination of
employment with the Employer (see Plan Section 7.03) and the following event(s)
(check appropriate box(es); if none selected, all distributions will be upon
termination of employment):

(A)  o                                  Attainment
of Normal Retirement Age (as defined in Section 1.07(f)).

(B)  o                                  Attainment
of Early Retirement Age (as defined in Section 1.07(g)).

(C)  o                                  The
date on which the Participant becomes disabled (as defined in Section 1.07(h)).

(2)                    Timing of distribution (check
either (A) or (B)).

(A)  o                                The
distribution of the Participant’s Account will be begin in the month following
the event described in (a)(1) above, however, if the event is termination of
employment, then such distribution will begin as soon as practicable on or
after the 1st day of the seventh calendar month following such separation if
the Participant was a Key Employee.

(B)  o                                The
distribution of the Participant’s Account will begin as soon as
administratively feasible in the calendar year following distribution event
described in (a)(1) above, provided however, that if the event is termination
of employment, in no event will such distribution begin earlier than the 1st
day of the seventh calendar month following such separation if the Participant
was a Key Employee.

(b)     x                               Class Year Accounting (complete (1) and (2)).

SEE AMENDMENT

(1)                    Upon (check at least one; (A) must
be selected if plan has contributions pursuant to section l.05(b) or (c)):

(A)    x                        Termination
of employment with the Employer (see Plan Section 7.03); provided however, that
if the event is termination of employment, in no event will such distribution
begin earlier than the 1st day of the seventh calendar month following such
separation if the Participant was a Key Employee.

(B)    x                        The
date elected by the Participant, pursuant to Plan Section 8.02, and subject to
the restrictions imposed in Plan Section 8.02 with respect to future Deferral
Contributions, in which event such date of distribution must be at least one
year after the date such Deferral Contribution would have been paid to the
Participant in cash in the absence of the election to make the Deferral
Contribution.

 6
 

(2)                    Timing of distribution subject to
Subsection (b)(1)(A) above (check either (A) or (B)).

SEE AMENDMENT

(A)  x                              The
Distribution of the Participant’s Account will begin        (specify
month and day) following the event described in (b)(1) above.

(B)  o                                 The
Distribution of the Participant’s Account will begin        (specify
month and day) of the calendar year following the event described in (b)(1)
above.

(c)  x                                         Upon a Change of Control in accordance
with Plan Section 7.08.

Note: Internal Revenue Code Section 280G could impose
certain, adverse tax consequences on both Participants and the Employer as a
result of the application of this Section 1.06(c). The Employer should consult
with its attorney prior to electing to apply Section 1.06(c).

1.07                                     VESTING
SCHEDULE

 (a)                 The Participant’s vested percentage in Matching
Contributions elected in Section 1.05(b) shall be based upon the schedule(s)
selected below.

                     (1)  o                         N/A - No
Matching Contributions 

                     (2)  x                       100%
Vesting immediately

                     (3)  o                         3 year
cliff (see C below)

                     (4)  o                         5 year
cliff (see D below)

                     (5)  o                         6 year
graduated (see E below)

                     (6)  o                         7 year
graduated (see F below)

                     (7)  o                         G below

                     (8)  o                         Other
(Attachment “B”)

	
  Years of

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Service for

  	
   

  	
  Vesting Schedule

  	
   

  
	
  Vesting

  	
   

  	
  C

  	
   

  	
  D

  	
   

  	
  E

  	
   

  	
  F

  	
   

  	
  G

  	
   

  
	
  0

  	
   

  	
  0

  	
  %

  	
  0

  	
  %

  	
  0

  	
  %

  	
  0

  	
  %

  	
   

  	
   

  
	
  1

  	
   

  	
  0

  	
  %

  	
  0

  	
  %

  	
  0

  	
  %

  	
  0

  	
  %

  	
   

  	
   

  
	
  2

  	
   

  	
  0

  	
  %

  	
  0

  	
  %

  	
  20

  	
  %

  	
  0

  	
  %

  	
   

  	
   

  
	
  3

  	
   

  	
  100

  	
  %

  	
  0

  	
  %

  	
  40

  	
  %

  	
  20

  	
  %

  	
   

  	
   

  
	
  4

  	
   

  	
  100

  	
  %

  	
  0

  	
  %

  	
  60

  	
  %

  	
  40

  	
  %

  	
   

  	
   

  
	
  5

  	
   

  	
  100

  	
  %

  	
  100

  	
  %

  	
  80

  	
  %

  	
  60

  	
  %

  	
   

  	
   

  
	
  6

  	
   

  	
  100

  	
  %

  	
  100

  	
  %

  	
  100

  	
  %

  	
  80

  	
  %

  	
   

  	
   

  
	
  7

  	
   

  	
  100

  	
  %

  	
  100

  	
  %

  	
  100

  	
  %

  	
  100

  	
  %

  	
  100

  	
  %

  

 

 7
 

(b)                                 The
Participant’s vested percentage in Employer Contributions elected in Section
1.05(c) shall be based upon the schedule(s) selected below.

(1) o
N/A - No Employer Contributions

(2) o
100% Vesting immediately

(3) o
3 year cliff (see C below)

(4) o
5 year cliff (see D below)

(5) x
6 year graduated (see E below)

(6) o
7 year graduated (see F below)

(7) o
G below

(8) o
Other (Attachment “B”)

	
  Years of

  Service for 

  	
   

  	
  Vesting Schedule

  	
   

  
	
  Vesting

  	
   

  	
  C

  	
   

  	
  D

  	
   

  	
  E

  	
   

  	
  F

  	
   

  	
  G

  	
   

  
	
  0

  	
   

  	
  0

  	
  %

  	
  0

  	
  %

  	
  0

  	
  %

  	
  0

  	
  %

  	
   

  	
   

  
	
  1

  	
   

  	
  0

  	
  %

  	
  0

  	
  %

  	
  0

  	
  %

  	
  0

  	
  %

  	
   

  	
   

  
	
  2

  	
   

  	
  0

  	
  %

  	
  0

  	
  %

  	
  20

  	
  %

  	
  0

  	
  %

  	
   

  	
   

  
	
  3

  	
   

  	
  100

  	
  %

  	
  0

  	
  %

  	
  40

  	
  %

  	
  20

  	
  %

  	
   

  	
   

  
	
  4

  	
   

  	
  100

  	
  %

  	
  0

  	
  %

  	
  60

  	
  %

  	
  40

  	
  %

  	
   

  	
   

  
	
  5

  	
   

  	
  100

  	
  %

  	
  100

  	
  %

  	
  80

  	
  %

  	
  60

  	
  %

  	
   

  	
   

  
	
  6

  	
   

  	
  100

  	
  %

  	
  100

  	
  %

  	
  100

  	
  %

  	
  80

  	
  %

  	
   

  	
   

  
	
  7

  	
   

  	
  100

  	
  %

  	
  100

  	
  %

  	
  100

  	
  %

  	
  100

  	
  %

  	
  100

  	
  %

  

 

(c)     o        Years of Service for Vesting shall
exclude (check one):

(1)  o                for new plans,
service prior to the Effective Date as defined in Section 1.01(d)(1).

(2)  o                for
existing plans converting from another plan document, service prior to the
original Effective Date as defined in Section 1.01(d)(2).

(d)     o                           A
Participant will forfeit his Matching Contributions and Employer Contributions
upon the occurrence of the following event (s):                              

(e)                                                       A
Participant will be 100% vested in his Matching Contributions and Employer
Contributions upon (check the appropriate box(es), if any; if 1.06(c) is
selected, Participants will automatically vest upon Change of Control as
defined in Section 1.12):

(1) x   Normal
Retirement Age (as defined in Section 1.07(f)).

(2) o   Early
Retirement Age (as defined in Section 1.07(g)).

(3) x   Death.

 8
 

(4) x   The
date on which the Participant becomes disabled, as determined under Section
1.07(h)of the Plan.

(f)                      Normal
Retirement Age under the Plan is  (check
one):

SEE AMENDMENT

(1) o             age 65.

(2) o             age
        (specify from 55 through 64).

(3) o             the later of age
          (cannot exceed 65) or
the fifth anniversary of the Participant’s Commencement Date.

If no box is checked in this Section 1.07(f), then
Normal Retirement Age is 65.

(g) o  Early Retirement Age is
the first day of the month after the Participant attains age      
(specify 55 or greater) and completes           Years of Service for Vesting.

(h) x  A Participant is considered disabled
when that Participant (check one):

(1)     o                             is
unable to engage in any substantial gainful activity by reason of any medically
determinable physical or mental impairment which can be expected to result in
death or can be expected to last for a continuous period of not less than 12
months.

(2)     x                           is,
by reason of any medically determinable physical or mental impairment which can
be expected to result in death or can be expected to last for a continuous
period of not less than 12 months, receiving income replacement benefits for a
period of not less than 3 months under an accident and health plan covering
employees of the Employer.

1.08                        PREDECESSOR
EMPLOYER SERVICE

o                       Service for purposes of vesting in
Section 1.07(a) and (b) shall include service with the following employer(s):

1.09                        UNFORESEEABLE
EMERGENCY WITHDRAWALS

Participant withdrawals for unforeseeable emergency prior to
termination of employment (check one):

(a)   x                                                 will
be allowed in accordance with Section 7.07, subject to a $10,000 minimum amount. (Must be at least $1,000)

(b)   o                                                will not be allowed.

 9
 

1.10           DISTRIBUTIONS

Subject to Articles 7 and 8
distributions under the Plan are always available as a lump sum. Check below to
allow distributions in installment payments:

SEE AMENDMENT

o                      under a systematic withdrawal plan
(installments) not to exceed 10 years which (check one if box for this Section
is selected):

(a)                   o               will not be accelerated, regardless
of the Participant’s Account balance.

(b)                   o               will be accelerated to a lump sum
distribution in accordance with Section
8.03.

1.11           INVESTMENT DECISIONS

(a)                    Investment
Directions

Investments in which the Accounts of Participants
shall be treated as invested and reinvested shall be directed (check one):

(1)  o                                           by
the Employer among the options listed in (b) below.

(2)  x                                         by
each Participant among the options listed in (b) below.

(3)  o                                           in
accordance with investment directions provided by each Participant for all
contribution sources in a Participant’s Account except the following sources
shall be invested as directed by the Employer (check (A) and/or (B)):

(A) o                                        Nonelective
Employer Contributions

(B) o                                        Matching
Employer Contributions

The Employer must direct the applicable sources among the same
investment options made available for Participant directed sources listed in
the Service Agreement.

(b)                   Plan
Investment Options

Participant Accounts will be treated as invested among the
Investment Funds listed in the Service Agreement from time to time pursuant to
Participant and/or Employer directions, as applicable.

Note: The method and frequency for change
of investments will be determined under the rules applicable to the selected
funds. Information will be provided regarding expenses, if any, for changes in
investment options.

1.12           RELIANCE ON PLAN

An adopting Employer may not rely solely on this Plan
to ensure that the Plan is “unfunded and maintained primarily for the purpose
of providing deferred compensation for a select group of management or highly
compensated employees” with respect to the Employer’s particular situation.
This Agreement must be reviewed by the Employer’s attorney before it is
executed.

This Adoption Agreement may be used only in
conjunction with the CORPORATEplan for Retirement Executive Plan Basic Plan
Document.

 10
 

EXECUTION
PAGE

(Fidelity’s Copy)

IN WITNESS WHEREOF, the Employer has caused this
Adoption Agreement to be executed this 20th day of February, 2007.

	
  

  	
   

  	
   

  	
  Employer

  	
  Regis Corporation

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By

  	
  /s/ Eric A. Bakken

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Eric A. Bakken

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Title

  	
  Senior Vice President and General Counsel

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Employer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Title

  	
   

  	
   

  
							

 

 11
 

EXECUTION
PAGE 

(Employer’s Copy)

IN WITNESS WHEREOF, the Employer has caused this
Adoption Agreement to be executed this 20th day of February, 2007.

	
  

  	
   

  	
   

  	
  Employer

  	
  Regis Corporation

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By

  	
  /s/ Eric A. Bakken

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Eric A. Bakken

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Title

  	
  Senior Vice President and General Counsel

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Employer

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Title

  	
   

  	
   

  

 

 12
 

Attachment A

Pursuant
to Section 1.03(a), the following are the Employees who are eligible to
participate in the Plan:

	
  

  	
  Employer

  	
  Regis Corporation

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/ Eric A. Bakken

  	
   

  
	
   

  	
   

  	
  Eric A. Bakken

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Title

  	
  Senior Vice President and General Counsel

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Date

  	
  February 20, 2007

  	
   

  

 

Note:      The Employer must revise
Attachment A to add Employees as they become eligible or delete Employees who
are no longer eligible. Attachment A should be signed and dated every time a
change is made.

 13
 

Attachment
B

(a)         o The
Participant’s vested percentage in Matching Contributions elected in Section
1.05(b) shall be based upon the following schedule:

(b)         o  The
Participant’s vested percentage in Employer Contributions elected in Section
1.05(c) shall be based upon the following schedule:

 14

AMENDMENT No. 4 

TO THE REGIS
CORPORATION

NON-QUALIFIED
DEFERRED SALARY PLAN

 

WHEREAS,
the Corporation maintains each of the Regis Corporation Non-Qualified Deferred
Salary Plan (the “Deferred Salary Plan”) and the Regis Corporation Executive
Profit Sharing Plan (the “Profit Sharing Plan”) (collectively, the
“Non-Qualified Plans”), each a nonqualified deferred compensation plan
maintained for the benefit of a select group of management or highly
compensated employees, as described in Sections 201(2), 301(a)(3) and 401(a)(1)
of Title I of ERISA; and

WHEREAS,
the Corporation has by corporate action, amended and restated the Deferred
Salary Plan through the adoption of the Fidelity CORPORATEplan for Retirement
Executive Plan in accordance with the terms of the Fidelity Basic Plan Document
and the related Adoption Agreement; and

WHEREAS,
the Corporation has by corporate action, effective as of March 1, 2007 approved
the merger of the Profit Sharing Plan into the Deferred Salary Plan (as
combined, the “Plan”); and 

WHEREAS,
the Corporation would like to (1) amend the Deferred Salary Plan to (A) reflect
the merger of the Profit Sharing Plan into such plan and to (B) change the name
of the merged plan to the “Regis Corporation Executive Retirement Savings
Plan”, and (2) pursuant to the guidance provided under Section XI.C. of the
Preamble to the Proposed Regulations under Code Section 409A, permit Plan
participants to make an election (or change a prior election) as soon as
administratively feasible following the merger to designate the form of
distribution for their Profit Sharing subaccount; provided, however, that any
such election: (i) is made no later than
December 31, 2007, (ii) may apply only to amounts that would not otherwise be
payable in 2007, and (iii) may not cause an amount to be paid in 2007 that
would not otherwise be payable in 2007; and 

WHEREAS,
Section 9.01 of the Deferred Salary Plan provides that the Corporation may
amend the Plan at any time.

NOW,
THEREFORE, by virtue and in exercise of the power reserved to the Corporation
by Section 9.01 of the Deferred Salary Plan and pursuant to the authority
delegated to the undersigned, effective as of March 1, 2007, the Deferred
Salary Plan be and hereby is amended as follows:

1.                                      Section
1.04(a) is amended by selecting option (2) and adding the following language:

                                                (A)                              To
the extent that a Participant does not elect to make a Bonus Contribution
pursuant to Section 1.05(a)(2), Compensation shall also exclude Bonuses.

                                                (B)                                For
purposes of calculating the amount of the Employer Contribution to be credited
to a Participant’s account, Compensation shall be as defined under Section
1.04(a)(1), but shall in all events exclude Bonuses and shall exclude the
Employer match on contributions made by the Participant to the Regis
Corporation Contributory Stock Purchase Plan.

2.                                       Section
1.05(b)(1) is deleted in its entirety and replaced with the following:

The Employer shall make a Matching Contribution on
each Bonus Contribution made by a Participant who is an officer of the
Corporation pursuant to Section 1.05(a)(2) in an amount equal to the following
percentage of the officer’s Section 1.05(a)(2) Bonus Contribution for the
applicable period:

	
  

  	
  Senior Vice Presidents – 25%

  
	
   

  	
  Chief Operating Officers – 20%

  
	
  

  	
  Vice Presidents – 10%

  

 

 15
 

3.                                       Section
1.05(b)(3)(A) is deleted in its entirety and replaced with the following:

Bonus Contributions in excess of $100,000 for the
applicable period shall not be considered for Matching Contributions.

4.                                       Section
1.05(c) shall be amended by electing option (2) and inserting the following two
new sentences to the end thereof: “All Employer Contributions shall be based
on, and calculated on, the Employer’s fiscal year, July 1 through June
30.”  

5.                                       Section
1.05(c)(3) shall be elected and thereafter amended by (i) replacing the
reference to 1.05(c)(1) with 1.05(c)(2); (ii) electing 1.05(c)(3)(A), deleting
the text in its entirety and replacing it with the following: “Is employed by
the Employer on the last day of the fiscal year to which the Employer
Contribution relates”; (iii) selecting 1.05(c)(3)(C) but deleting “Plan Year”
and replacing it with “the fiscal year to which the Employer Contribution
relates”; and (iv) electing item D and adding the following language:  “Has completed a Year of Service with the
Employer.”

6.                                       Section
1.06(b)(1)(B) shall be amended by (i) adding the following proviso to the
beginning of such subsection: “For Deferral Contributions and Employer Matching
Contributions only,”; and (ii) adding the following sentence to the end of such
subsection: “Participants shall not be entitled to elect a date for
distribution of Employer Contributions credited to their Profit Sharing
subaccount; such amounts shall be paid under Section (b)(1)(A) above, at
termination of employment.” 

7.                                       Section
2.01(a)(5) shall be amended by adding the following to the end of such
subsection: “, but excluding (i) any discretionary, unscheduled bonus award
made to a Participant who is not an officer of the Corporation, and (ii) any
other remuneration paid by the Employer or a Related Employer, including
without limitation, base salary, overtime, net commissions, the value of stock
options, stock appreciation rights or restricted stock, allowances for expenses
(e.g., moving, travel, auto) or fringe benefits, but including any amount which
would be included in the definition of Bonus but for the Participant’s election
to defer some or all of such Participant’s Bonus pursuant to Section 1.05(a)(2)
of this Plan.”

8.                                       Section
3.01 shall be amended by deleting it in its entirety and replacing it with the
following:  “An eligible Employee (as set
forth in Section 1.03(a)) will become a Participant in the Plan on the first
Entry Date coincident with the date on which such eligible Employee becomes
eligible to participate in the Plan, irrespective of whether such eligible
Employee has filed an election pursuant to Section 4.01.”  

9.                                       Section
4.01 shall be amended by moving the last sentence thereof to create a new
Section 4.05 titled “Special Elections” but replacing such sentence with the
following new language:  “Notwithstanding
anything herein to the contrary, Participants shall be permitted to make new
elections in accordance with the guidance provided under IRS Notice 2005-1,
Q&A-19(c) and Section XI.C. of the Preamble to the Section 409A Proposed
Regulations, provided that any such election is made no later than December 31,
2006 or December 31, 2007, as applicable and provided that any such election may
not apply to amounts that would otherwise be payable in 2006 or 2007
respectively and may not cause an amount to be paid in 2006 or 2007 that would
not otherwise be payable in 2006 or 2007 respectively.”  

10.                                 Section
8.03 shall be amended by deleting the third sentence thereof and replacing it
with the following: “A Participant’s election cannot be altered except as
provided under Section 1.10(b), Section 4.05 or Section 8.06.” 

 16
 

11.                                 Section
8.03(b) shall be amended by adding the following new second sentence to such
Section:  “A Participant shall be
permitted to elect a separate distribution period with respect to each of the
Deferral Contributions, Bonus Contributions, Matching Contributions or Employer
Contributions (as applicable) made on behalf of such Participant for each
applicable year.”

12.                                 Section
8.05 shall be deleted in its entirety and replaced with the following:

8.05                        Time of
Distribution.  Distribution of a
Participant’s Deferral Contributions, Bonus Contributions and Matching
Contributions will be made as soon as administratively feasible following the
date specified by the Participant in his deferral election.  Subject to Section 8.02, a Participant’s
Profit Sharing subaccount will be distributed upon the Participant’s
termination of employment with the Employer. 
All distributions will be made as soon as administratively feasible
following the distribution date specified in Section 1.06 or Section 7.08, if
applicable; provided, however, that a distribution date may be adjusted as
required by applicable law, including without limitation that, where required
by Code Section 409A and the regulations promulgated thereunder, distributions
to Key Employees that are due to termination of employment will begin as soon
as practicable on or after the first day of the seventh calendar month
following such Key Employee’s separation.

 17

TRUST
AGREEMENT

Between

Regis Corporation

And

FIDELITY MANAGEMENT TRUST COMPANY

Regis Corporation Executive Retirement Savings Plan

TRUST

Dated as of March 1, 2007

TABLE OF CONTENTS

	
  Section

  	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1

  	
   

  	
  Definitions

  	
  2

  
	
   

  	
   

  	
   

  	
   

  
	
  2

  	
   

  	
  Trust

  	
  3

  
	
   

  	
  (a)

  	
   

  	
  Establishment

  	
  3

  
	
   

  	
  (b)

  	
   

  	
  Grantor Trust

  	
  3

  
	
   

  	
  (c)

  	
   

  	
  Trust Assets

  	
  3

  
	
   

  	
  (d)

  	
   

  	
  Non-Assignment

  	
  3

  
	
   

  	
   

  	
   

  	
   

  
	
  3

  	
   

  	
  Payments to Sponsor

  	
  3

  
	
   

  	
   

  	
   

  	
   

  
	
  4

  	
   

  	
  Disbursements.

  	
  3

  
	
   

  	
  (a)

  	
   

  	
  Directions from Administrator

  	
  3

  
	
   

  	
  (b)

  	
   

  	
  Limitations

  	
  4

  
	
   

  	
   

  	
   

  	
   

  
	
  5

  	
   

  	
  Investment of Trust

  	
  4

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (a)

  	
   

  	
  Selection of Investment Options

  	
  4

  
	
   

  	
  (b)

  	
   

  	
  Available Investment Options

  	
  4

  
	
   

  	
  (c)

  	
   

  	
  Investment Directions

  	
  4

  
	
   

  	
  (d)

  	
   

  	
  Funding Mechanism

  	
  4

  
	
   

  	
  (e)

  	
   

  	
  Mutual Funds

  	
  5

  
	
   

  	
  (f)

  	
   

  	
  Trustee Powers

  	
  5

  
	
   

  	
   

  	
   

  	
   

  
	
  6

  	
   

  	
  Recordkeeping and Administrative Services to Be
  Performed

  	
  6

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (a)

  	
   

  	
  General

  	
  6

  
	
   

  	
  (b)

  	
   

  	
  Accounts

  	
  6

  
	
   

  	
  (c)

  	
   

  	
  Inspection and Audit

  	
  6

  
	
   

  	
  (d)

  	
   

  	
  Effect of Plan Amendment

  	
  6

  
	
   

  	
  (e)

  	
   

  	
  Returns, Reports and Information

  	
  7

  
	
   

  	
   

  	
   

  	
   

  
	
  7

  	
   

  	
  Compensation and Expenses

  	
  7

  
	
   

  	
   

  	
   

  	
   

  
	
  8

  	
   

  	
  Directions and Indemnification

  	
  7

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (a)

  	
   

  	
  Identity of Administrator

  	
  7

  
	
   

  	
  (b)

  	
   

  	
  Directions from Administrator

  	
  7

  
	
   

  	
  (c)

  	
   

  	
  Directions from Participants

  	
  7

  
	
   

  	
  (d)

  	
   

  	
  Indemnification

  	
  8

  
	
   

  	
  (e)

  	
   

  	
  Survival

  	
  8

  
	
   

  	
   

  	
   

  	
   

  
	
  9

  	
   

  	
  Resignation or Removal of Trustee

  	
  8

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (a)

  	
   

  	
  Resignation and Removal

  	
  8

  
	
   

  	
  (b)

  	
   

  	
  Termination

  	
  8

  
	
   

  	
  (c)

  	
   

  	
  Notice Period

  	
  8

  
	
   

  	
  (d)

  	
   

  	
  Transition Assistance

  	
  8

  
	
   

  	
  (e)

  	
   

  	
  Failure to Appoint Successor

  	
  8

  
	
   

  	
   

  	
   

  	
   

  
	
  10

  	
   

  	
  Successor Trustee

  	
  9

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (a)

  	
   

  	
  Appointment

  	
  9

  
	
   

  	
  (b)

  	
   

  	
  Acceptance

  	
  9

  
	
   

  	
  (c)

  	
   

  	
  Corporate Action

  	
  9

  
	
   

  	
   

  	
   

  	
   

  
	
  11

  	
   

  	
  Resignation, Removal, and Termination Notices

  	
  9

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  12

  	
   

  	
  Duration

  	
   

  	
  9

  
							

 

 i
 

 

	
  13

  	
   

  	
  Insolvency of Sponsor

  	
  9

  
	
   

  	
   

  	
   

  	
   

  
	
  14

  	
   

  	
  Amendment or Modification

  	
  10

  
	
   

  	
   

  	
   

  	
   

  
	
  15

  	
   

  	
  Electronic Services

  	
  10

  
	
   

  	
   

  	
   

  	
   

  
	
  16

  	
   

  	
  General

  	
  11

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (a)

  	
   

  	
  Performance by Trustee, its Agents or Affiliates

  	
  11

  
	
   

  	
  (b)

  	
   

  	
  Entire Agreement

  	
  11

  
	
   

  	
  (c)

  	
   

  	
  Waiver

  	
  11

  
	
   

  	
  (d)

  	
   

  	
  Successors and Assigns

  	
  11

  
	
   

  	
  (e)

  	
   

  	
  Partial Invalidity

  	
  11

  
	
   

  	
  (f)

  	
   

  	
  Section Headings

  	
  12

  
	
   

  	
   

  	
   

  	
   

  
	
  17

  	
   

  	
  Assignment

  	
  12

  
	
   

  	
   

  	
   

  	
   

  
	
  18

  	
   

  	
  Force Majeure

  	
  12

  
	
   

  	
   

  	
   

  	
   

  
	
  19

  	
   

  	
  Confidentiality

  	
  12

  
	
   

  	
   

  	
   

  	
   

  
	
  20

  	
   

  	
  Governing Law

  	
  13

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (a)

  	
   

  	
  Massachusetts Law Controls

  	
  13

  
	
   

  	
  (b)

  	
   

  	
  Trust Agreement Controls

  	
  13

  
						

 

 ii

TRUST
AGREEMENT, dated as of March 1, 2007, between Regis
Corporation, a Minnesota Corporation, having an office at 7201 Metro Boulevard,
Edina, MN 55439 (the “Sponsor”), and FIDELITY
MANAGEMENT TRUST COMPANY, a Massachusetts trust company, having an
office at 82 Devonshire Street, Boston, Massachusetts 02109 (the “Trustee”).

WITNESSETH:

WHEREAS,
the Sponsor is the sponsor of the Regis Corporation Executive
Retirement Savings Plan (the “Plan”); and

WHEREAS,
the Sponsor wishes to establish an irrevocable trust and to
contribute to the trust assets that shall be held therein, subject to the
claims of Sponsor’s creditors in the event of Sponsor’s Insolvency, as herein
defined, until paid to Participants and their beneficiaries in such manner and
at such times as specified in the Plan; and

WHEREAS,
it is the intention of the parties that this Trust shall
constitute an unfunded arrangement and shall not affect the status of the Plan
as an unfunded plan maintained for the purpose of providing deferred
compensation for a select group of management or highly compensated employees
for purposes of Title I of the Employee Retirement Income Security Act of 1974
(“ERISA”); and

WHEREAS,
it is the intention of the Sponsor to make contributions to
the trust to provide itself with a source of funds to assist it in the meeting
of its liabilities under the Plan; and

WHEREAS,
the Trustee is willing to hold and invest the aforesaid plan
assets in trust among several investment options selected by the Sponsor; and

WHEREAS,
the Sponsor wishes to have the Trustee perform certain
ministerial recordkeeping and administrative functions under the Plan; and

WHEREAS,
Regis Corporation (the “Administrator”) is the administrator
of the Plan; and

WHEREAS,
the Trustee is willing to perform recordkeeping and
administrative services for the Plan if the services are purely ministerial in
nature and are provided within a framework of plan provisions, guidelines and
interpretations conveyed in writing to the Trustee by the Administrator.

NOW,
THEREFORE, in consideration of the foregoing premises and the
mutual covenants and agreements set forth below, the Sponsor and the Trustee
agree as follows:

 1
 

1    Definitions

The following terms as
used in this Trust Agreement have the meaning indicated unless the context
clearly requires otherwise:

(a)                                  “Administrator”
shall mean, with respect to the Plan, the person or entity which is the
“administrator” of such Plan.

(b)                                 “Agreement”
shall mean this Trust Agreement, as the same may be amended and in effect from
time to time.

(c)                                  “Business
Day” shall mean any day on which the New York Stock Exchange (NYSE) is
open.

(d)                                 “Code”
shall mean the Internal Revenue Code of 1986, as it has been or may be amended
from time to time.

(e)                                  “ERISA”
shall mean the Employee Retirement Income Security Act of 1974, as it has been
or may be amended from time to time.

(f)                                    “Fidelity
Mutual Fund” shall mean any investment company advised by Fidelity
Management & Research Company or any of its affiliates.

(g)                                 “Mutual
Fund” shall refer both to Fidelity Mutual Funds and Non-Fidelity Mutual
Funds.

(h)                                 “Non-Fidelity
Mutual Fund” shall mean certain investment companies not advised by
Fidelity Management & Research Company or any of its affiliates.

(i)                                     “Participant”
shall mean, with respect to the Plan, any employee (or former employee) with an
account under the Plan, which has not yet been fully distributed and/or
forfeited, and shall include the designated beneficiary(ies) with respect to
the account of any deceased employee (or deceased former employee) until such
account has been fully distributed and/or forfeited.

(j)                                     “Permissible
Investment” shall mean the investments specified by the Employer as
available for investment of assets of the Trust and agreed to by the Trustee
and the Prototype Sponsor. The Permissible Investments under the Plan shall be
listed in the Service Agreement.

(k)                                  “Plan”
shall mean the Regis Corporation Executive Retirement Savings Plan.

(l)                                     “Reconciliation
Period” shall mean the period beginning on the date of the initial transfer
of assets to the Trust and ending on the date of the completion of the
reconciliation of Participant records.

(m)                               “Reporting
Date” shall mean the last day of each calendar quarter, the date as of
which the Trustee resigns or is removed pursuant to this Agreement and the date
as of which this Agreement terminates pursuant to Section 9 hereof.

(n)                                 “Service
Agreement” shall mean the agreement between the Trustee and the Sponsor for
the Trustee, through certain affiliates and related companies, to provide
administrative and recordkeeping services for the Plan.

(o)                                 “Sponsor”
shall mean Regis Corporation, a Minnesota corporation, or any successor to all
or substantially all of its businesses which, by agreement, operation of law or
otherwise, assumes the responsibility of the Sponsor under this Agreement.

(p)                                 “Trust”
shall mean the Regis Corporation Executive Retirement Savings Plan Trust, being
the trust established by the Sponsor and the Trustee pursuant to the provisions
of this Agreement.

(q)                                 “Trustee”
shall mean Fidelity Management Trust Company, a Massachusetts trust company and
any successor to all or substantially all of its trust business. The term
Trustee shall also include any successor trustee appointed pursuant to this
agreement to the extent such successor agrees to serve as Trustee under this
Agreement.

 2
 

2   Trust

(a)               Establishment

The Sponsor hereby
establishes the Trust, with the Trustee. The Trust shall consist of an initial
contribution of money or other property acceptable to the Trustee in its sole
discretion, made by the Sponsor or transferred from a previous trustee under
the Plan, such additional sums of money as shall from time to time be delivered
to the Trustee under the Plan, all investments made therewith and proceeds
thereof, and all earnings and profits thereon, less the payments that are made
by the Trustee as provided herein, without distinction between principal and
income. The Trustee hereby accepts the Trust on the terms and conditions set
forth in this Agreement. In accepting this Trust, the Trustee shall be
accountable for the assets received by it, subject to the terms and conditions
of this Agreement.

(b)               Grantor Trust

The Trust is intended to
be a grantor trust, of which the Sponsor is the grantor, within the meaning of
subpart E, part I, subchapter J, chapter 1, subtitle A of the Code, as amended,
and shall be construed accordingly.

(c)               Trust Assets

The principal of the
Trust, and any earnings thereon shall be held separate and apart from other
funds of the Sponsor and shall be used exclusively for the uses and purposes of
Participants and general creditors as herein set forth. Participants and their
beneficiaries shall have no preferred claim on, or any beneficial ownership
interest in, any assets of the Trust. Any rights created under the Plan and
this Trust Agreement shall be mere unsecured contractual rights of Participants
and their beneficiaries against the Sponsor. Any assets held by the Trust will
be subject to the claims of the Sponsor’s general creditors under federal and
state law in the event of Insolvency, as defined in this Agreement.

(d)               Non-Assignment

Benefit payments to
Participants and their beneficiaries funded under this Trust may not be
anticipated, assigned (either at law or in equity), alienated, pledged,
encumbered, or subjected to attachment, garnishment, levy, execution, or other
legal or equitable process.

3   Payments
to Sponsor

Except as provided under
this Agreement, the Sponsor shall have no right to retain or divert to others
any of the Trust assets before all payment of benefits have been made to the
Participants and their beneficiaries pursuant to the terms of the Plan.

4   Disbursements

(a)               Directions from
Administrator

(i)                                     If
it is indicated in the Service Agreement that the Trustee will make
distributions of Plan benefits directly to Participants and beneficiaries, the
Trustee shall disburse monies to Participants and their beneficiaries for
benefit payments in the amounts that the Administrator directs from time to
time in writing. The Trustee shall have no responsibility to ascertain whether
the Administrator’s direction complies with

 3
 

the terms of the Plan or
of any applicable law. The Trustee shall be responsible for Federal or State
income tax reporting or withholding with respect to such Plan benefits. The
Trustee shall not be responsible for FICA (Social Security and Medicare), any
Federal or State unemployment or local tax with respect to Plan distributions.

(ii)                                  If
it is indicated in the Service Agreement that the Sponsor shall be responsible
for making distributions of benefits to Participants and beneficiaries, then
the Trustee shall disburse monies to the Administrator for benefit payments in
the amounts that the Administrator directs from time to time in writing. The
Trustee shall have no responsibility to ascertain whether the Administrator’s
direction complies with the terms of the Plan or any applicable law. The
Trustee shall not be responsible for: (1) making benefit payments to
Participants under the Plan, (2) any Federal, State or local income tax
reporting or withholding with respect to such Plan benefits, and (3) FICA
(Social Security and Medicare) or any Federal or State unemployment tax with
respect to Plan distributions.

(b)               Limitations

The
Trustee shall not be required to make any disbursement in excess of the net
realizable value of the assets of the Trust at the time of the disbursement. The Trustee
shall not be required to make any disbursement in cash unless the Administrator has provided a written
direction as to the assets to be converted to cash for the purpose of making
the disbursement.

5   Investment
of Trust

(a)               Selection of Investment Options

The Trustee shall have no
responsibility for the selection of investment options under the Trust and
shall not render investment advice to any person in connection with the
selection of such options.

(b)               Available Investment Options

The Sponsor shall direct
the Trustee as to what investment options the Trust shall be invested in
(i) during the Reconciliation Period, and (ii) following the
Reconciliation Period, subject to the following limitations. The Sponsor may
determine to offer as investment options only Permissible Investments as
described in the Service Agreement; provided, however, that the Trustee shall
not be considered a fiduciary with investment discretion. The Sponsor may add
or remove investment options with the consent of the Trustee and upon mutual
amendment of the Service Agreement to reflect such additions.

(c)               Investment Directions

In
order to provide for an accumulation of assets comparable to the contractual
liabilities accruing under the Plan, the Sponsor may direct the Trustee in writing to invest
the assets held in the Trust to correspond to the hypothetical investments made
for Participants in accordance with their direction under the Plan.

(d)               Funding Mechanism

The
Sponsor’s designation of available investment options under paragraphs (a) and
(b) above, the maintenance of accounts for each Plan Participant and the
crediting of investments to such accounts, and the exercise by Participants of
any powers relating to investments under this Section 5 are solely for the
purpose of providing a mechanism for measuring the obligation of the Sponsor to
any particular Participant under the applicable Plan. As further provided in this
Agreement, no Participant or beneficiary will have any preferential claim to or
beneficial ownership interest in any asset or investment held in the Trust, and
the rights of any Participant and his or her beneficiaries under the applicable
Plan and this Agreement are solely those of an unsecured general creditor of
the Sponsor with respect to the benefits of the Participant under the Plan.

 4
 

(e)               Mutual Funds

The
Sponsor hereby acknowledges that it has received from the Trustee a copy of the
prospectus for each Mutual Fund selected by the Sponsor as a Plan investment
option. Trust investments in Mutual Funds shall be subject to the following
limitations:

(i)            Execution of Purchases and Sales

Purchases
and sales of Permissible Investments (other than for Exchanges) shall be made
on the date on which the Trustee receives from the Sponsor in good order all
information and documentation necessary to accurately effect such purchases and
sales (or in the case of a purchase, the subsequent date on which the Trustee
has received a wire transfer of funds necessary to make such purchase).
Exchanges of Permissible Investments shall be made on the same Business Day
that the Trustee receives a proper direction if received before market close
(generally 4:00 p.m. eastern time); if the direction is received after market
close (generally 4:00 p.m. eastern time), the exchange shall be made the
following Business Day.

(ii)        Voting

At
the time of mailing of notice of each annual or special stockholder’s meeting
of any Mutual Fund, the Trustee shall send a copy of the notice and all proxy
solicitation materials to the Sponsor, together with a voting direction form
for return to the Trustee or its designee. The Trustee shall vote the shares
held in the Trust in the manner as directed by the Sponsor. The Trustee shall
not vote shares for which it has received no corresponding directions from the
Sponsor. The Sponsor shall also have the right to direct the Trustee as to the
manner in which all shareholder rights, other than the right to vote, shall be
exercised. The Trustee shall have no duty to solicit directions from the
Sponsor.

(f)                 Trustee Powers

The
Trustee shall have
the following powers and authority:

(i)                                     Subject to paragraphs (b), (c) and (d) of
this Section 5, to sell, exchange, convey, transfer, or otherwise dispose of
any property held in the Trust, by private contract or at public auction. No
person dealing with the Trustee shall be bound to see to the application of the
purchase money or other property delivered to the Trustee or to inquire into
the validity, expediency, or propriety of any such sale or other disposition.

(ii)                                  To cause any securities or other property
held as part of the Trust to be registered in the Trustee’s own name, in the
name of one or more of its nominees, or in the Trustee’s account with the
Depository Trust Company of New York and to hold any investments in bearer form, but the books
and records of the Trustee shall at all times show that all such investments
are part of the Trust.

(iii)                               To keep that portion of the Trust in cash
or cash balances as the Sponsor or Administrator may, from time to time, deem
to be in the best interest of the Trust.

(iv)                              To make, execute, acknowledge, and
deliver any and all documents of transfer or conveyance and to carry out the
powers herein granted.

(v)                                 To borrow funds from a bank or other financial institution not
affiliated with the Trustee in order to provide sufficient liquidity to process Plan transactions in a
timely fashion, provided that the cost of borrowing shall be allocated in a
reasonable fashion to the investment fund(s) in need of liquidity.

(vi)                              To settle, compromise, or submit to
arbitration any claims, debts, or damages due to or arising from the Trust;
to commence or defend suits or legal or administrative proceedings; to
represent the Trust in all suits
and legal and administrative hearings; and to pay all reasonable expenses
arising from any such action, from the Trust if not paid by the Sponsor.

(vii)                           To employ legal, accounting, clerical,
and other assistance as may be required in carrying out the provisions of this
Agreement and to pay their reasonable expenses and compensation from the Trust
if not paid by the Sponsor.

 5
 

(viii)                        To do all other acts although not
specifically mentioned herein, as the Trustee may deem necessary to carry out any of the foregoing powers
and the purposes of the Trust.

Notwithstanding
any powers granted to Trustee pursuant to this Trust Agreement or to applicable
law, Trustee shall not have any power that could give this Trust the objective
of carrying on a business and dividing the gains therefrom, within the meaning
of Section 301.7701-2 of the Procedure and Administrative Regulations
promulgated pursuant to the Internal Revenue Code.

6   Recordkeeping
and Administrative Services to Be Performed

(a)               General

The Trustee shall perform
those recordkeeping and administrative functions described in the Service
Agreement attached hereto. These recordkeeping and administrative functions
shall be performed within the framework of the Administrator’s written
directions regarding the Plan’s provisions, guidelines and interpretations.

(b)               Accounts

The
Trustee shall keep accurate accounts of all investments, receipts,
disbursements, and other transactions hereunder, and shall report the value of
the assets held in the Trust as of the last day of each fiscal quarter of the
Plan and, if not on the last day of a fiscal quarter, the date on which the
Trustee resigns or is
removed as provided in this Agreement or is terminated as provided in this
Agreement. Within thirty (30) days following each Reporting Date or within
sixty (60) days in the case of a Reporting Date caused by the resignation or
removal of the Trustee, or the termination of this Agreement, the Trustee shall
file with the Administrator a written account setting forth all investments,
receipts, disbursements, and other transactions effected by the Trustee between
the Reporting Date and the prior Reporting Date, and setting forth the value of
the Trust as of the Reporting Date. Except as otherwise required under
applicable law, upon the expiration of six (6) months from the date of filing
such account with the Administrator, the Trustee shall have no liability or
further accountability to anyone with respect to the propriety of its acts or
transactions shown in such account, except with respect to such acts or
transactions as to which the Sponsor shall within such six (6) month period
file with the Trustee written objections.

(c)               Inspection and Audit

All
records generated by the Trustee in accordance with paragraphs (a) and (b)
shall be open to inspection and audit, during the Trustee’s regular business
hours prior to the termination of this Agreement, by the Administrator or any
person designated by the Administrator. Upon the resignation or removal of the
Trustee or the termination of this Agreement, the Trustee shall provide to the
Administrator, at no expense to the Sponsor, in the format regularly provided
to the Administrator, a statement of each Participant’s accounts as of the
resignation, removal, or termination, and the Trustee shall provide to the
Administrator or the Plan’s new recordkeeper such further records as are
reasonable, at the Sponsor’s expense.

(d)               Effect of Plan Amendment

The
Trustee’s provision of the recordkeeping and administrative services set forth
in this Section shall be conditioned on the Sponsor delivering to the Trustee a copy of any
amendment to the Plan as soon as administratively feasible following the
amendment’s adoption, and on the Administrator providing the Trustee on a
timely basis with all the information the Administrator deems necessary for the
Trustee to perform the recordkeeping and administrative services and such other
information as the Trustee may reasonably request.

 6
 

(e)               Returns, Reports
and Information

Except
as set forth in the Service Agreement, the Administrator shall be responsible
for the preparation and filing of all returns, reports, and information
required of the Trust or Plan by law. The Trustee shall provide the
Administrator with such information as the Administrator may reasonably request
to make these filings. The Administrator shall also be responsible for making
any disclosures to Participants required by law.

7   Compensation
and Expenses

Sponsor
shall pay to Trustee, within thirty (30) days of receipt of the Trustee’s bill,
the fees for services in accordance with the Service Agreement. All fees for
services are specifically outlined in the Service Agreement and are based on
any assumptions identified therein.

All reasonable expenses of plan administration as shown on the
Service Agreement, as amended from time to time, shall be a charge against and
paid from the appropriate plan Participants’ accounts, except to the extent
such amounts are paid by the Plan Sponsor in a timely manner.

All expenses of the Trustee relating directly to the acquisition
and disposition of investments constituting part of the Trust, and all taxes of
any kind whatsoever that may be levied or assessed under existing or future laws
upon or in respect of the Trust or the income thereof, shall be a charge
against and paid from the appropriate Participants’ accounts.

8   Directions
and Indemnification  

(a)               Identity of Administrator

The
Trustee shall be fully protected in relying on the fact that the Administrator
under the Plan is the individual or persons named as such above or such other
individuals or persons as the Sponsor may notify the Trustee in writing.

(b)               Directions from Administrator

Whenever
the Administrator provides a direction to the Trustee, the Trustee shall not be
liable for any loss, or by reason of any breach, arising from the direction if
the direction is contained in a writing (or is oral and immediately confirmed
in a writing) signed by any individual whose name and signature have been
submitted (and not withdrawn) in writing to the Trustee by the Administrator in
the manner described in the Service Agreement, provided the Trustee reasonably
believes the signature of the individual to be genuine. Such direction may be
made via electronic data transfer (“EDT”) in accordance with procedures agreed
to by the Administrator and the Trustee; provided, however, that the Trustee
shall be fully protected in relying on such direction as if it were a direction
made in writing by the Administrator. The Trustee shall have no responsibility
to ascertain any direction’s (i) accuracy, (ii) compliance with the terms of
the Plan or any applicable law, or (iii) effect for tax purposes or otherwise.

(c)               Directions from Participants

The
Trustee shall not be liable for any loss, which arises, from any Participant’s
exercise or non-exercise of rights under this Agreement over the hypothetical
assets in the Participant’s accounts.

 7
 

(d)               Indemnification

The Sponsor shall indemnify the Trustee against, and hold
the Trustee harmless from, any and all loss, damage, penalty, liability, cost,
and expense, including without limitation, reasonable attorneys’ fees and
disbursements, that may be incurred by, imposed upon, or asserted against the
Trustee by reason of any claim, regulatory proceeding, or litigation arising
from any act done or omitted to be done by any individual or person with
respect to the Plan or Trust, excepting only any and all loss, etc., arising
solely from the Trustee’s negligence or bad faith.

(e)               Survival

The provisions of this Section 8 shall survive the
termination of this Agreement.

9   Resignation
or Removal of Trustee

(a)               Resignation
and Removal.

(i)                                     The
Trustee may resign at any time in accordance with the notice provisions set
forth below.

(ii)                                  The
Sponsor may remove the Trustee at any time in accordance with the notice
provisions set forth below.

(b)               Termination

This Agreement may be terminated at any time by the Sponsor
upon prior written notice to the Trustee in accordance with the notice
provisions set forth below.

(c)               Notice
Period

In the event either party desires to terminate this
Agreement or any Services hereunder, the party shall provide at least
sixty-(60) days prior written notice of the termination date to the other
party; provided, however, that the receiving party may agree, in writing, to a
shorter notice period.

(d)               Transition
Assistance

In the event of termination of this Agreement, if requested
by Sponsor, Fidelity shall assist Sponsor in developing a plan for the orderly
transition of the Plan Data, cash and assets then constituting the Trustee and
Services provided by Fidelity hereunder to Sponsor or its designee. Fidelity
shall provide such assistance for a period not extending beyond sixty (60) days
from the termination date of this Agreement. Fidelity shall provide to Sponsor,
or to any person designated by Sponsor, at a mutually agreeable time, one file
of the Plan Data prepared and maintained by Fidelity in the ordinary course of
business, in Fidelity’s format. Fidelity may provide other or additional
transition assistance as mutually determined for additional fees, which shall
be due and payable by the Sponsor prior to any termination of this Agreement.

(e)               Failure
to Appoint Successor

If, by the termination date, the Sponsor has not notified
the Trustee in writing as to the individual or entity to which the assets and
cash are to be transferred and delivered, the Trustee may bring an appropriate
action or proceeding for leave to deposit the assets and cash in a court of
competent jurisdiction. The Trustee shall be reimbursed by the Sponsor for all
costs and expenses of the action or proceeding including, without limitation,
reasonable attorneys’ fees and disbursements.

 8
 

10   Successor
Trustee

(a)               Appointment

If
the office of Trustee becomes vacant for any reason, the Sponsor may in writing
appoint a successor trustee under this Agreement. The successor trustee shall
have all of the rights, powers, privileges, obligations, duties, liabilities,
and immunities granted to the Trustee under this Agreement. The successor
trustee and predecessor trustee shall not be liable for the acts or omissions
of the other with respect to the Trust.

(b)               Acceptance

When
the successor trustee accepts its appointment under this Agreement, title to
and possession of the Trust assets shall immediately vest in the successor
trustee without any further action on the part of the predecessor trustee. The
predecessor trustee shall execute all instruments and do all acts that reasonably
may be necessary or reasonably may be requested in writing by the Sponsor or
the successor trustee to vest title to all Trust assets in the successor
trustee or to deliver all Trust assets to the successor trustee.

(c)               Corporate Action

Any
successor of the Trustee or successor trustee, through sale or transfer of the
business or trust department of the Trustee or successor trustee, or through
reorganization, consolidation, or merger, or any similar transaction, shall,
upon consummation of the transaction, become the successor trustee under this
Agreement.

11   Resignation,
Removal, and Termination Notices

All
notices of resignation, removal, or termination under this Agreement must be in
writing and mailed to the party to which the notice is being given by certified
or registered mail, return receipt requested, to the Sponsor at the address
designated in the Service Agreement, and to the Trustee c/o John M. Kimpel,
Fidelity Investments, 82 Devonshire Street, F7A, Boston, Massachusetts 02109,
or to such other addresses as the parties have notified each other of in the
foregoing manner.

12   Duration

This
Trust shall continue in effect without limit as to time, subject, however, to
the provisions of this Agreement relating to amendment, modification, and termination
thereof.

13   Insolvency
of Sponsor

(a)                                  Trustee shall cease disbursement of funds
for payment of benefits to Participants and their beneficiaries if the Sponsor
is Insolvent. Sponsor shall be considered “Insolvent” for purposes of this
Trust Agreement if (i) Sponsor is unable to pay its debts as they become due,
or (ii) Sponsor is subject to a pending proceeding as a debtor under the United
States Bankruptcy Code.

(b)                                 All
times during the continuance of this Trust, the principal and income of the Trust
shall be subject to claims of general creditors of the Sponsor under federal
and state law as set forth below.  

 9
 

(i)                                     The
Board of Directors and the Chief Executive Officer of the Sponsor shall have
the duty to inform Trustee in writing of Sponsor’s Insolvency. If a person
claiming to be a creditor of the Sponsor alleges in writing to Trustee that
Sponsor has become Insolvent, Trustee shall determine whether Sponsor is
Insolvent and, pending such determination, Trustee shall discontinue
disbursements for payment of benefits to Participants or their beneficiaries.

(ii)                                  Unless
Trustee has actual knowledge of Sponsor’s Insolvency, or has received notice
from Sponsor or a person claiming to be a creditor alleging that Sponsor is
Insolvent, Trustee shall have no duty to inquire whether Sponsor is Insolvent.
Trustee may in all events rely on such evidence concerning Sponsor’s solvency
as may be furnished to Trustee and that provides Trustee with a reasonable
basis for making a determination concerning Sponsor’s solvency.

(iii)                               If
at any time Trustee has determined that Sponsor is Insolvent, Trustee shall
discontinue disbursements for payments to Participants or their beneficiaries
and shall hold the assets of the Trust for the benefit of Sponsor’s general
creditors. Nothing in this Trust Agreement shall in any way diminish any rights
of Participants or their beneficiaries to pursue their rights as general
creditors of Sponsor with respect to benefits due under the Plan or otherwise.

(iv)                              Trustee
shall resume disbursement for the payment of benefits to Plan Participants or
their beneficiaries in accordance with this Agreement only after Trustee has
determined that Sponsor is not Insolvent (or is no longer Insolvent).

(c)                                  Provided
that there are sufficient assets, if Trustee discontinues the payment of
benefits from the Trust pursuant to (a) hereof and subsequently resumes such
payments, the first payment following such discontinuance shall include the
aggregate amount of all payments due to Participants or their beneficiaries
under the terms of the Plan for the period of such discontinuance, less the
aggregate amount of any payments made to Participants or their beneficiaries by
Sponsor in lieu of the payments provided for hereunder during any such period
of discontinuance.

14   Amendment
or Modification

This Agreement may be amended or modified at any time
and from time to time only by an instrument executed by both the Sponsor and
the Trustee.

15   Electronic
Services

(a)                                  The
Trustee may provide communications and services (“Electronic Services”) and/or
software products (“Electronic Products”) via electronic media, including, but
not limited to Fidelity Plan Sponsor WebStation. The Sponsor and its agents
agree to use such Electronic Services and Electronic Products only in the
course of reasonable administration of or participation in the Plan and to keep
confidential and not publish, copy, broadcast, retransmit, reproduce,
commercially exploit or otherwise re disseminate the Electronic Products or
Electronic Services or any portion thereof without the Trustee’s written
consent, except, in cases where Trustee has specifically notified the Sponsor
that the Electronic Products or Services are suitable for delivery to Sponsor’s
Participants, for non-commercial personal use by Participants or beneficiaries
with respect to their participation in the Plan or for their other retirement
planning purposes.

(b)                                 The
Sponsor shall be responsible for installing and maintaining all Electronic
Products, (including any programming required to accomplish the installation)
and for displaying any and all content associated with Electronic Services on
its computer network and/or intranet so that such content will appear exactly
as it appears when delivered to Sponsor. All Electronic Products and Services
shall be clearly identified as originating from the Trustee or its affiliate.
The Sponsor shall promptly remove Electronic Products or

 10
 

Services from its
computer network and/or intranet, or replace the Electronic Products or
Services with updated products or services provided by the Trustee, upon
written notification (including written notification via facsimile) by the
Trustee.

(c)                                  All
Electronic Products shall be provided to the Sponsor without any express or
implied legal warranties or acceptance of legal liability by the Trustee, and
all Electronic Services shall be provided to the Sponsor without acceptance of
legal liability related to or arising out of the electronic nature of the
delivery or provision of such Services. Except as otherwise stated in this
Agreement, no rights are conveyed to any property, intellectual or tangible,
associated with the contents of the Electronic Products or Services and related
material. The Trustee hereby grants to the Sponsor a non-exclusive, non-transferable
revocable right and license to use the Electronic Products and Services in
accordance with the terms and conditions of this Agreement.

(d)                                 To
the extent that any Electronic Products or Services utilize Internet services
to transport data or communications, the Trustee will take, and Sponsor agrees
to follow, reasonable security precautions, however, the Trustee disclaims any
liability for interception of any such data or communications. The Trustee
reserves the right not to accept data or communications transmitted via
electronic media by the Sponsor or a third party if it determines that the
media does not provide adequate data security, or if it is not administratively
feasible for the Trustee to use the data security provided. The Trustee shall not
be responsible for, and makes no warranties regarding access, speed or
availability of Internet or network services, or any other service required for
electronic communication. The Trustee shall not be responsible for any loss or
damage related to or resulting from any changes or modifications to the
Electronic Products or Services after delivering it to the Sponsor.

16   General

(a)               Performance by
Trustee, its Agents or Affiliates

The Sponsor acknowledges
and authorizes that the services to be provided under this Agreement shall be
provided by the Trustee, its agents or affiliates, including but not limited to
Fidelity Investments Institutional Operations Company, Inc. or its successor,
and that certain of such services may be provided pursuant to one or more other
contractual agreements or relationships.

(b)               Entire Agreement

This Agreement contains
all of the terms agreed upon between the parties with respect to the subject
matter hereof.

(c)               Waiver

No waiver by either party
of any failure or refusal to comply with an obligation hereunder shall be
deemed a waiver of any other or subsequent failure or refusal to so comply.

(d)               Successors and
Assigns

The stipulations in this
Agreement shall inure to the benefit of, and shall bind, the successors and
assigns of the respective parties.

(e)               Partial Invalidity

If any term or provision
of this Agreement or the application thereof to any person or circumstances
shall, to any extent, be invalid or unenforceable, the remainder of this
Agreement, or the application of such term or provision to persons or
circumstances other than those as to which it is held invalid or unenforceable,

 11
 

shall
not be affected thereby, and each term and provision of this Agreement shall be
valid and enforceable to the fullest extent permitted by law.

(f)                 Section Headings

The
headings of the various sections and subsections of this Agreement have been
inserted only for the purposes of convenience and are not part of this
Agreement and shall not be deemed in any manner to modify, explain, expand or
restrict any of the provisions of this Agreement.

17   Assignment

This
Agreement, and any of its rights and obligations hereunder, may not be assigned
by any party without the prior written consent of the other party(ies), and
such consent may be withheld in any party’s sole discretion. Notwithstanding
the foregoing, Trustee may assign this Agreement in whole or in part, and any
of its rights and obligations hereunder, to a subsidiary or affiliate of
Trustee without consent of the Sponsor. All provisions in this Agreement shall
extend to and be binding upon the parties hereto and their respective
successors and permitted assigns.

18   Force
Majeure

No
party shall be deemed in default of this Agreement to the extent that any delay
or failure in performance of its obligation(s) results, without its fault or
negligence, from any cause beyond its reasonable control, such as acts of God,
acts of civil or military authority, embargoes, epidemics, war, riots,
insurrections, fires, explosions, earthquakes, floods, unusually severe weather
conditions, power outages or strikes. This clause shall not excuse any of the
parties to the Agreement from any liability which results from failure to have
in place reasonable disaster recovery and safeguarding plans adequate for
protection of all data each of the parties to the Agreement are responsible for
maintaining for the Plan.

19   Confidentiality

Both
parties to this Agreement recognize that in the course of implementing and
providing the services described herein, each party may disclose to the other
confidential information. All such confidential information, individually and
collectively, and other proprietary information disclosed by either party shall
remain the sole property of the party disclosing the same, and the receiving
party shall have no interest or rights with respect thereto if so designated by
the disclosing party to the receiving party. Each party agrees to maintain all
such confidential information in trust and confidence to the same extent that
it protects its own proprietary information, and not to disclose such
confidential information to any third party without the written consent of the
other party. Each party further agrees to take all reasonable precautions to
prevent any unauthorized disclosure of confidential information. In addition,
each party agrees not to disclose or make public to anyone, in any manner, the
terms of this Agreement, except as required by law, without the prior written
consent of the other party.

 12
 

20
Governing Law

(a)               Massachusetts Law Controls

This Agreement is being
made in the Commonwealth of Massachusetts, and the Trust shall be administered
as a Massachusetts trust. The validity, construction, effect, and
administration of this Agreement shall be governed by and interpreted in
accordance with the laws of the Commonwealth of Massachusetts, except to the
extent those laws are superseded under Section 514 of ERISA.

(b)               Trust Agreement
Controls

The
Trustee is not a party to the Plan, and in the event of any conflict between
the provisions of the Plan and the provisions of this Agreement, the provisions
of this Agreement shall control.

 13
 

IN WITNESS WHEREOF, the
parties hereto have caused this Agreement to be executed by their duly
authorized officers as of the day and year first above written.

	
  Plan Sponsor Name:    

  	
  Regis Corporation

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Eric A. Bakken

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Eric A. Bakken

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Senior Vice President & General Counsel

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Date:

  	
  February 20, 2007

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  FIDELITY MANAGEMENT TRUST COMPANY

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Date:

  	
   

  	
   

  

 

 14
 

IN WITNESS WHEREOF, the
parties hereto have caused this Agreement to be executed by their duly
authorized officers as of the day and year first above written.

	
  Plan Sponsor Name:    

  	
  Regis Corporation

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Eric A. Bakken

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Eric A. Bakken

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Senior Vice President & General Counsel

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Date:

  	
  February 20, 2007

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  FIDELITY MANAGEMENT TRUST COMPANY

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Date:

  	
   

  	
   

  

 

 15Exhibit
10(f)

SECOND
AMENDMENT

TO

COMPENSATION AND NON-COMPETITION AGREEMENT

This Second
Amendment to Compensation and Non-Competition Agreement is made and entered
into this 9th day of February, 2000, by and between Regis Corporation, a
Minnesota corporation (the “Corporation”), and Myron Kunin (“Kunin”).

WHEREAS,
on May 7, 1997, the Corporation and Kunin entered into a Compensation and
Non-Competition Agreement (“Agreement”) providing for Kunin’s continued
services to the Corporation and restricting Kunin from entering into any
business competitive with the business conducted by the Corporation, and

WHEREAS,
the Agreement was amended on November 21, 1997, to permit Kunin to enter into
certain businesses without violating his non-competition covenants, and

WHEREAS,
the parties desire to modify the Agreement to grant Kunin certain rights in the
event of a Change in Control of the Corporation (as hereinafter defined).

NOW,
THEREFORE, in consideration of the above premises and for
other good and valuable consideration, the parties hereby agree as follows:

1.             The Agreement is
hereby amended by adding the following definitions:

“Accelerated
Compensation” shall be an amount equal to Kunin’s annual
compensation multiplied by the Joint Life Expectancy of Kunin and his spouse,
without any discount to present value.

“Change
in Control” shall be deemed to have occurred at such time as
any of the following events occur: (i) any “person” within the meaning of
Section 2(a)(2) of the Securities Act of 1933 and Section 14(d) of the
Securities Exchange Act of 1934 (the “Exchange Act”), is or has become the
“beneficial owner”, as defined in Rule 13d-3 under the Exchange Act, of twenty
percent (20%) or more of the common stock of the Corporation, or (ii) approval
by the stockholders of the Corporation of (a) any consolidation or merger of
the Corporation in which the Corporation is not the continuing or surviving
corporation or pursuant to which shares of stock of the Corporation would be
converted into cash, securities or other property, or (b) any consolidation or
merger in which the Corporation is the continuing or surviving corporation but
in which the common stockholders of the Corporation immediately prior to the
consolidation or merger do not hold at least a majority of the outstanding
common stock of the continuing or surviving corporation, or (c) any sale,
lease, exchange or other transfer of all or substantially all the assets of the
Corporation, or (iii) individuals who constitute the Corporation’s Board of
Directors on January 1, 2000 (the “Incumbent Board”) have ceased for any reason
to constitute at least a majority thereof, provided that any person becoming a
director subsequent to January 1, 2000 whose election, or nomination for

election by the
Corporation’s stockholders, was approved by a vote of at least three-quarters
(3/4) of the directors comprising the Incumbent Board (either by specific vote
or by approval of the proxy statement of the Corporation in which such person
is named as nominee for director) shall be, for purposes of this Agreement,
considered as though such person were a member of the Incumbent Board.

“Joint
Life Expectancy” shall mean the number of years of life
expectancy of Kunin and his spouse at the time of termination of Kunin’s
employment with the Corporation after a Change in Control, as determined by
reference to the table of Joint Life and Last Survivorship Expectancy published
by the Internal Revenue Service in Publication 590 or any successor
publication. If publication of such table is discontinued, Joint Life
Expectancy shall be determined by reference to comparable tables published by a
recognized non-public authority.

2.               The Agreement is
hereby amended by adding the following paragraph 7 thereto:

7.        Change in Control.

(a)         Notwithstanding any other
provision of the Agreement, on the day on which a Change in Control occurs, the
Corporation shall pay to Kunin an amount equal to three times the sum of
Kunin’s compensation paid to or earned by Kunin during the twelve months
immediately preceding the Change in Control.

(b)        Notwithstanding any other
provision of the Agreement, if Kunin’s employment with the Corporation
terminates at any time following a Change in Control, whether such termination
is initiated by Kunin or by the Corporation (unless the termination is by the
Corporation for cause), Kunin may, as an alternative to receiving continued
annual compensation as provided in paragraph 2 of the Agreement, request
payment in full of his Accelerated Compensation, which shall be paid by the Corporation
to Kunin within five days after Kunin gives notice to the Corporation of his
election to receive such Accelerated Compensation in lieu of his continued
annual compensation. For the purpose of calculating Kunin’s Accelerated
Compensation pursuant to this subparagraph 7(b), Kunin’s annual compensation
shall be assumed to increase annually during the Joint Life Expectancy period
by four percent (4%) of the prior year’s annual compensation. Any such notice
shall be given by Kunin to the Corporation by certified mail or by facsimile
transmission sent either (i) to the Corporation’s principal place of business
and to the attention of the Corporation’s chief executive officer or chief
financial officer, or (ii) to any director of the Corporation at such
director’s place of business, and in either case shall be effective immediately
upon such transmission or two (2) days after such mailing.

 2
 

(c)    In addition to the payments provided in subparagraphs 7(a) and (b)
above, and at the time such payments are made to Kunin, the Corporation shall
pay to Kunin an amount equal to any federal and state income taxes, and any
excise tax imposed on Kunin by Sec. 4999 of the Internal Revenue Code and by
any comparable and applicable state tax law (collectively, “Excise Taxes”), as
a result of the payments provided in subparagraphs 7(a) and (b) above, and as a
result of any accelerated vesting of Kunin’s options to acquire shares of the
Corporation, and shall further pay to Kunin on a “grossed-up” basis all
additional federal and state income taxes and Excise Taxes payable by Kunin as
a result of the payments provided in this subparagraph 7(c), or as a result of
the accelerated vesting of Kunin’s options, so that the net after-tax amount
received by Kunin pursuant to paragraph 7 hereof is equal to the amount that
Kunin would have received if no income taxes or Excise Taxes had been imposed
on income received by or imputed to Kunin by reason of the payments pursuant to
paragraph 7 hereof, or by reason of accelerated vesting of Kunin’s options. The
highest marginal federal and applicable state tax rates shall be used in
calculating the federal and state income taxes payable by Kunin.

All
payments required by this paragraph 7 shall be in addition to, and not in lieu
of, any other payments to which Kunin is entitled under any other agreement
with the Corporation.

The
amounts paid to Kunin pursuant to this paragraph shall be in consideration of
Kunin’s past services to the Corporation and Kunin’s continued services from
the date of this amendment. The payments required hereunder shall not be
reduced or offset by any future earnings by Kunin.”

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

	
  

  	
  REGIS CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Paul D. Finkelstein

  	
   

  
	
   

  	
   

  	
  Paul D. Finkelstein,

  
	
   

  	
   

  	
  Chief Executive Officer

  
	
   

  	
   

  
	
   

  	
  /s/ Myron Kunin

  	
   

  
	
   

  	
  Myron Kunin

  	
   

  

 

 3

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