Document:

WellChoice, Inc. Directors Deferred Cash Compensation Plan

 Exhibit 10.31 
  
 WELLCHOICE, INC. 
  
 DIRECTORS DEFERRED CASH COMPENSATION PLAN 
  
 Effective as of January 1, 2004 

 WELLCHOICE, INC. 
 DIRECTORS DEFERRED CASH COMPENSATION PLAN 
  
 TABLE OF CONTENTS 
  

					
	 1.
	  	 PURPOSE OF THE PLAN
	  	1
			
	 2.
	  	 DEFINITIONS
	  	1
			
	 3.
	  	 PARTICIPATION AND DEFERRAL ELECTIONS
	  	2
			
	 4.
	  	 INVESTMENT PERFORMANCE ELECTIONS
	  	2
			
	 5.
	  	 ACCOUNTS
	  	3
			
	 6.
	  	 DISTRIBUTION OF BENEFITS
	  	3
			
	 7.
	  	 DEATH OF A PARTICIPANT
	  	4
			
	 8.
	  	 UNFORESEEABLE EMERGENCY
	  	4
			
	 9.
	  	 ADMINISTRATION
	  	5
			
	 10.
	  	 GENERAL PROVISIONS
	  	6
			
	 11.
	  	 SOURCE OF BENEFITS
	  	6
			
	 12.
	  	 EFFECTIVE DATE
	  	7
			
	 13.
	  	 AMENDMENT OR TERMINATION
	  	7

 WELLCHOICE, INC. 
 DIRECTORS DEFERRED CASH COMPENSATION PLAN 
  

	1.	Purpose of the Plan 

  
 The purpose of this WellChoice, Inc. Directors Deferred Cash Compensation Plan (the “Plan”) is to enable WellChoice, Inc.
(“WellChoice”) to compete more effectively with other corporations in attracting individuals to serve as non-employee members of the Board of Directors (the “Board”). To that end, the Plan provides members of the Board with an
opportunity to defer certain fees received from WellChoice in connection with their service as members of the Board. 
  

	2.	Definitions 

  

	 	2.1	“Administrator” means the Compensation Committee of the Board of Directors or agent of the Administrator specified in, or appointed pursuant to, Section 9.2.

  

	 	2.2	“Board” means the Board of Directors of WellChoice, Inc. 

  

	 	2.3	“Deferral Account” means the bookkeeping account maintained for a Participant to record his or her Deferred Amounts, together with earnings thereon credited, or
debited, pursuant to Section 4.3. 

  

	 	2.4	“Deferral Election” means the Participant’s election to defer all or a portion of his or her retainer and/or meeting fees. 

  

	 	2.5	“Deferred Amounts” means the amounts credited to a Participant’s Deferral Account pursuant to Section 3.2. 

  

	 	2.6	“Director” means an individual who, at the relevant time, is serving as a non-employee member of the Board of Directors of WellChoice and is not an active
participant in the Empire Blue Cross and Blue Shield Executive Savings Plan. 

  

	 	2.7	“Investment Election” means a Participant’s election under Article 4 of the investment fund or funds used to measure the hypothetical investment performance of
the Participant’s Deferral Account. 

  

	 	2.8	“Participant” means a Director who elected to participate in the Plan and shall continue until his or her participation terminates in accordance with Section 3.1.

  

	 	2.9	“Plan” means this WellChoice, Inc. Directors Deferred Cash Compensation Plan, as amended from time to time. 

  

	 	2.10	“Plan Year” means the 12-consecutive month period beginning on January 1 and ending on December 31. 

  

 1 

	 	2.11	“Valuation Date” means the last day of each calendar quarter and such additional dates as the Administrator may establish. 

  

	3.	Participation and Deferral Elections 

  

	 	3.1	Participation. To commence participation in the Plan, a Director must file with the Administrator a Deferral Election with respect to a Plan Year in accordance with Sections
3.2 and 3.3. Participation in the Plan shall terminate when all amounts credited to a Participant’s account have been distributed. 

  

	 	3.2	Deferral Election. A Deferral Election for a Plan Year shall specify the respective deferral percentages applicable to the Participant’s Retainer Fees and/or Meeting
Fees otherwise payable during such Plan Year. Any amount deferred pursuant to a Deferral Election shall be credited to the Participant’s Deferral Account within 30 days after the date on which such amount would otherwise have been paid.

  

	 	3.3	Timely Filing of Election. A Deferral Election shall be filed with the Administrator, in such form as the Administrator shall designate, prior to the commencement of the
relevant Plan Year. In the case of a Director who becomes an Eligible Director after January 1 and before December 1 of a Plan Year, such Director may make an initial Deferral Election no later than 30 days after the date on which he or she becomes
a Director. Such Deferral Election shall be effective as soon as administratively practicable after it is filed with the Administrator. A Deferral Election shall be applicable only to fees payable during the Plan Year to which it relates, exclusive
of any fees payable before the Director commences participating in the Plan. 

  

	4.	Investment Performance Elections 

  

	 	4.1	Additions to Account. At the time a Participant makes a Deferral Election with respect to a Plan Year, he or she shall file an Investment Election. In the Investment
Election, the Participant shall designate one or more investment fund(s) from the investment funds available for selection under the Plan that shall be used to measure the investment performance of Deferred Amounts added to the Participant’s
Deferral Account. An Investment Election shall remain in effect until a subsequent Investment Election is made pursuant to Section 4.2. 

  

	 	4.2	Existing Account Balances. A Participant may, on or before July 1 of any Plan Year, change the proportions of his or her existing Deferral Account balance that are deemed
invested in the investment fund or funds referred to in Section 4. 1. Such change shall be implemented as of August 1 of such Plan Year or as soon as administratively practicable thereafter. 

  

	 	4.3	Crediting of Investment Return. As of any Valuation Date, each Participant’s Deferral Account shall, under such procedures as the Administrator shall establish, be
credited with any income, and debited with any loss, that would have been realized if the amounts credited to his or her Deferral Account had been invested since the preceding Valuation Date in accordance with his or her Investment Election.

  

 2 

	 	 
References in the Plan to Investment Elections are for the sole purpose of attributing hypothetical investment performance to each Participant’s
Deferral Account. Nothing herein shall require WellChoice to invest, earmark, or set aside its general assets in any specific manner. 

  

	5.	Accounts 

  

	 	5.1	Maintenance of Account. The Administrator shall maintain or cause to be maintained for each Participant a Deferral Account. Each Participant shall be furnished with quarterly
statements setting forth the balances in his or her Deferral Account. 

  

	 	5.2	Vesting. The amounts in a Participant’s Deferral Account shall be fully vested at all times. 

  

	6.	Distribution of Benefits 

  

	 	6.1	Benefit Payment Election. 

  

	 	(a)	Prior to the commencement of his or her participation in the Plan, each Participant shall file a benefit payment election with the Administrator on such form as the Administrator
shall prescribe specifying: (i) whether the Participant’s benefit is to be paid in a lump sum, substantially equal annual installments, or both; (ii) the year in which such lump-sum payment is to be made or such installments are to commence;
and (iii) if installments are elected, the number of such installments. Lump-sum payments may not be made later than, and installment payments may not extend beyond, the 10th year following the year in which the Participant ceases to serve as a
Director. 

  

	 	(b)	In the event a Participant fails to make an initial benefit payment election pursuant to subsection (a), he or she shall be deemed to have made an initial election to receive his or
her benefit in a lump sum within 60 days following the effective date of his or her cessation of service as a Director. 

  

	 	6.2	Change in Election. A Participant’s benefit payment election may be changed from time to time, provided, however, that no such change shall be effective if
the Participant’s cessation of service as a Director occurs less than 12 months after the date such change is made. In such event the Participant’s benefit shall be paid in accordance with his or her most recent election or change in
election (other than a change in election made less than 12 months before his or her separation from service). For purposes of this Section 6.2, a revocation of a prior change of election shall itself be treated as a new change of election.

  

 3 

	 	6.3	Distribution of Benefits. Except as otherwise in accordance with Articles 7 and 8, A Participant’s Account shall be distributed in accordance with his or her benefit
payment election made pursuant to Section 6.1 (after giving effect to any modifications to such election pursuant to Section 6.2). The payment of an initial installment or the entire lump sum amount shall, in accordance with the Participant’s
election, be made either: (i) within 60 days after the date the Participant ceases to Serve as a Director; or (ii) during the first 60 days of a calendar year commencing after the Participant ceases to serve as a Director. 

 

	7.	Death of a Participant 

  

	 	7.1	A Participant may designate in writing, on such form as the Administrator may prescribe, a beneficiary to receive any benefits with respect to such Participant in the event of his
or her death. Such beneficiary designation may be changed at any time. 

  

	 	7.2	Subject to Section 7.3, in the event of a Participant’s death prior to the distribution of his or her entire Deferral Account balance, the remaining balance in the
Participant’s Deferral Account shall be distributed in accordance with his or her benefit payment election made pursuant to Section 6.1 (after giving effect to any modifications to such election pursuant to Section 6.2). Such distribution shall
be made to the Participant’s designated beneficiary or, in the absence of any such designated beneficiary, to the Participant’s estate. 

  

	 	7.3	A Participant may elect to have any amount remaining in his or her Deferral Account upon his or her death paid to his or her designated beneficiary in a lump sum within 60 days
after the Administrator has received notification of his or her death, rather than in accordance with the Participant’s benefit payment election under Section 6.1 (after giving effect to any modifications to such election pursuant to Section
6.2). Such a lump-sum death benefit election may be made or revoked at any time; provided, however, that no such election or revocation shall be effective if made less than 12 months before the date of the Participant’s death.

  

	8.	Unforeseeable Emergency 

  

	 	8.1	Emergency Acceleration. In the event that a Participant experiences an Unforeseeable Emergency, such Participant may request an acceleration of the distribution of all or a
portion of his or her Deferral Account. Any such request shall be subject to the approval of the Administrator. Approval shall only be granted to the extent such distribution is reasonably needed to satisfy the need created by the Unforeseeable
Emergency and shall not be granted to the extent that such need may reasonably be relieved: (i) through reimbursement or compensation by insurance or otherwise; or (ii) by liquidation of the Participant’s assets (to the extent the liquidation
of such assets would not itself cause severe financial hardship). The amount paid in an accelerated distribution shall approximate the amount reasonably necessary to alleviate the need created by the Unforeseeable Emergency.

  

 4 

	 	8.2	Unforeseeable Emergency. An “Unforeseeable Emergency” means severe financial hardship to the Participant resulting from: (i) a sudden and unexpected illness or
accident of the Participant or his or her dependent; (ii) loss of the Participant’s property due to casualty; or (iii) other similar extraordinary and unforeseeable circumstances arising as a result of events beyond the Participant’s
control. Examples of circumstances not qualifying, as an Unforeseeable Emergency include the need to send a Participant’s child to college and the desire to purchase a home. 

  

	 	8.3	Suspension of Deferrals. Notwithstanding anything to the contrary in this Article 8, in the event the Administrator approves a Participant’s request for an acceleration
of the distribution of all or a portion of his or her Deferral Account pursuant to Section 8.1 on account of an Unforeseeable Emergency, the Participant’s Deferral Election shall be suspended (and the Participant shall be ineligible to make a
new Deferral Election) with respect to any fees otherwise payable during the period beginning on the date of such withdrawal or effective date of such approval and ending on the last day of the next succeeding Plan Year. 

  

	9.	Administration 

  

	 	9.1	Administrator. The Plan shall be administered by the Compensation Committee of the Board, except that no member of the Compensation Committee shall have the authority to take
any action with respect to his or her own benefits under the Plan. The Administrator shall have full power and discretionary authority to administer, interpret and construe this Plan, to determine and review claims for benefits under this Plan, to
establish rules and regulations, to delegate responsibilities to others to assist it in administering this Plan, to establish investment guidelines, and to perform all other acts it believes reasonable and proper in connection with the
administration of this Plan. Until such time as the Administrator establishes other policies and procedures and/or appoints another agent or agents pursuant to Section 9.2, and except for Article 8, the policies and procedures established with
respect to investment management, recordkeeping and day-to-day administration of the Plan will be handled in accordance with the policies and procedures established for the Empire Blue Cross and Blue Shield Executive Savings Plan; and, agents
appointed to provide services for the Empire Blue Cross and Blue Shield Executive Savings Plan are appointed to provide such services for this Plan. 

  

	 	9.2	Agents. The Administrator may appoint an individual to be the Administrator’s agent with respect to the day-to-day administration of the Plan. In addition, the
Administrator may, from time to time, employ other agents and delegate to them such administrative duties as it sees fit, and may from time to time consult with counsel who may be counsel to the Employer. 

  

 5 

	 	9.3	Binding Effect of Decisions. The decision or action of the Administrator with respect to any question arising out of or in connection with the administration, interpretation
and application of the Plan and the rules and regulations promulgated hereunder shall be final and binding upon all persons having any interest in the Plan. 

  

	10.	General Provisions 

  

	 	10.1	No Contract of Service. The establishment of the Plan shall not be construed as conferring any legal rights upon any Participant to continue to serve as a member of the
Board. 

  

	 	10.2	Withholding. As a condition to a Participant’s entitlement to benefits hereunder, WellChoice shall have the right to deduct from any amounts otherwise payable to a
Participant, whether pursuant to the Plan or otherwise, or otherwise to collect from the Participant, any required withholding taxes with respect to amounts deferred or benefits payable under the Plan. 

  

	 	10.3	Non-Assignablility of Benefits. Subject to any applicable law, no benefit under the Plan shall be subject in any manner to, nor shall WellChoice be obligated to recognize,
any purported anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, or charge, and any attempt to do so shall be void. No such benefit shall in any manner be liable for or subject to garnishment, attachment, execution, or a
levy, or liable for or subject to the debts, contracts, liabilities, engagements, or torts of the Participant. 

  

	 	10.4	Successor Company. The Plan shall be binding upon any successor to WellChoice by merger, consolidation, or sale or transfer of substantially all of its assets.

  

	 	10.5	Validity In case any provision of this Plan shall be held illegal or invalid for any reason, said illegality or invalidity shall not affect the remaining parts hereof, but
this Plan shall be construed and enforced as if such illegal and invalid provision had never been inserted herein. 

  

	 	10.6	Governing Law. The laws of the State of New York shall govern the construction of this Plan and the rights and the liabilities hereunder of the parties hereto.

  

	11.	Source of Benefits 

  
 The Plan is an unfunded plan maintained by WellChoice for the purpose of providing deferred compensation for members of the Board. Benefits under the Plan
shall be payable from the general assets of WellChoice. The Plan shall not be construed as conferring on a Participant any right, title interest, or claim in or to any specific asset, reserve, account, or property of any kind possessed by
WellChoice. To the extent that a Participant or any other person acquires a right to receive payments from WellChoice, such right shall be no greater than the right of an unsecured general creditor. 
  

 6 

	12.	Effective Date 

  
 This Plan shall be effective January 1, 2004. 
  

	13.	Amendment or Termination 

  
 The Board reserves the right to amend or terminate this Plan at any time. No amendment or termination of the Plan shall adversely affect the right of any
Participant to receive his or her accrued benefits as determined as of the date of amendment or termination. 
  

 7Form of Restricted Stock Unit Award Agreement and Notice of Restricted Stock

 Exhibit 10.32 
  
 WELLCHOICE, INC. 
 2003 OMNIBUS INCENTIVE PLAN 
 RESTRICTED STOCK UNIT AWARD AGREEMENT 
 (FOR NON-EMPLOYEE BOARD MEMBER) 
 REFERENCE NUMBER: 00000000 
  
 SECTION 1. GRANT OF RESTRICTED STOCK UNIT AWARD. 
  
 (a)
Restricted Stock Unit Award. On the terms and conditions set forth in this Agreement and each Notice of Restricted Stock Unit Award referencing this Agreement (the “Notice”), the Company hereby grants the Grantee the right to
receive on a date designated by the Grantee which is on or after the Settlement Date the number of shares of common stock, par value $.01, of the Company (“Common Stock”) equal to the number of units (the “Units”)
awarded to the Grantee, as set forth in the Notice. Each such Notice, together with this referenced Agreement, shall be a separate Restricted Stock Unit Award governed by the terms of this Agreement. 
  
 (b) Dividend Equivalents. If the Notice so provides, prior to the Settlement Date, on
the date (if any) that the Company pays any ordinary or special dividends with respect to the Common Stock, the Company shall credit the Grantee with a number of Units whose underlying shares have a Fair Market Value equal to the dividend paid on
each share of Common Stock, multiplied by the Total Number of Units Subject to Award described in the Notice. Units issued in respect of dividend equivalents shall be subject to the same rules and restrictions as Units originally subject to the
award. 
  
 (c) Plan and Defined Terms. This award is granted under and
subject to the terms of the Plan, which is incorporated herein by this reference. Unless otherwise defined in Section 6 of this Agreement, capitalized terms shall have the meanings ascribed to them in the Plan. 
  
 SECTION 2. ISSUANCE OF SHARES. 
  
 (a) Stock Certificates. Subject to the terms of the Notice and any deferral election
made by the Grantee, on or promptly following the Settlement Date, the Company shall cause to be issued a certificate or certificates for the shares of Common Stock representing this award, registered in the name of the Grantee (or in the names of
such person and his or her spouse as joint tenants with right of survivorship). 
  
 (b) Stockholder Rights. Until such time as the Grantee receives the stock certificate for the shares representing this award, the Grantee (or any successor in interest) shall have no rights as a stockholder (including, without
limitation, no voting, dividend and liquidation rights) with respect to the shares of Common Stock. 
  
 (c) Share Withhold Election. Upon or prior to receipt of shares of Common Stock, the Grantee may make a written election to have shares of Common Stock withheld by the Company from the shares otherwise to be
received to cover Taxes incurred by reason of the issuance of the shares under this Agreement and the Notice. The number of shares so withheld shall have an 

 aggregate Fair Market Value on the date of issuance sufficient to satisfy the applicable Taxes. The acceptance of any
such election by the Grantee shall be at the sole discretion of the Committee. Such Taxes shall be calculated at minimum statutory withholding rates. 
  
 SECTION 3. TRANSFER OR ASSIGNMENT OF RESTRICTED STOCK UNIT AWARD OR SHARES ISSUED IN SETTLEMENT OF THIS AWARD. 
  
 (a) Generally. Except as otherwise provided in subsection (c) below, this award and
the rights and privileges conferred hereby shall not be sold, pledged or otherwise transferred (whether by operation of law or otherwise) other than by will or the laws of descent and distribution and shall not be subject to sale under execution,
attachment, levy or similar process. 
  
 (b) Transfer of Shares. Except as
otherwise expressly permitted by the Committee, the Grantee shall not Transfer (other than a Permitted Transfer as described in subsection (c) below) any shares of Common Stock issued in settlement of this award while the Grantee remains in Service
with the Company, except for a sale of only that number of shares necessary to generate sufficient proceeds to pay taxes on income recognized by the Grantee upon the issuance of shares issued in settlement of this award. 
  
 (c) Permitted Transfers. Subject to the approval of the Committee in its sole
discretion, the Grantee may transfer this award (other than those Units issued under the Grantee’s initial Notice of Restricted Stock Unit Award and the shares issued in settlement of such Units) in connection with his or her estate plan, to
the Grantee’s spouse, siblings, parents, children and grandchildren or trusts for the benefit of such persons or partnerships, corporations, limited liability companies or other entities owned solely by such persons, including trusts for such
persons. In connection with any such Permitted Transfer, the Transferee shall execute and be bound by such terms and conditions as the Committee shall require. 
  

SECTION 4. ADJUSTMENT OF SHARES OF COMMON STOCK. 
  
 (a) Adjustment Generally. If there shall be any change in the Common Stock of the Company, through merger, consolidation, reorganization, recapitalization, stock
dividend, stock split, reverse stock split, split up, spin-off, combination of shares of Common Stock, exchange of shares of Common Stock, dividend in kind or other like change in capital structure or distribution (other than normal cash dividends)
to stockholders of the Company, an adjustment shall be made to this award so that upon the Settlement Date, the Grantee shall receive on the Settlement Date such securities, cash and/or other property as would have been received had the Grantee held
a number of shares of Common Stock equal to the number of Units held by the Grantee pursuant to this award immediately prior to such change or distribution, and such an adjustment shall be made successively each time any such change shall occur.

  
 (b) Modification of Award. In the event of any change or distribution
described in subsection (a) above, in order to prevent dilution or enlargement of the Grantee’s rights hereunder, the Committee may adjust, in an equitable manner, the number and kind of shares of Common Stock that may be issued under this
award and other value determinations applicable to this award. 
  

 2 

 SECTION 5. MISCELLANEOUS PROVISIONS. 
  
 (a) Tenure. Nothing in the Notice, Agreement or Plan shall confer upon the Grantee any right to continue in Service for any period of
specific duration or interfere with or otherwise restrict in any way the rights of the Company (or any Parent Corporation or Subsidiary Corporation retaining the Grantee) or of the Grantee, which rights are hereby expressly reserved by each, to
terminate his or her Service at any time and for any reason, with or without cause. 
  
 (b) Notification. Any notification required by the terms of this Agreement shall be given in writing and shall be deemed effective upon personal delivery or upon deposit with the United States Postal Service, by registered or
certified mail, with postage and fees prepaid. Communications to the Company shall be addressed to the Company at its principal executive office and to the Grantee at the address that he or she most recently provided to the Company. 
  
 (c) Entire Agreement. This Agreement, the Notice and the Plan constitute the entire
contract between the parties hereto with regard to the subject matter hereof. They supersede any other agreements, representations or understandings (whether oral or written and whether express or implied) which relate to the subject matter hereof.

  
 (d) Amendment. This Agreement may be amended by the Company at any time
upon written notice to the Grantee, provided, however, that no such amendment shall adversely affect the rights of the Grantee hereunder without the Grantee’s consent. 
  
 (e) Waiver. The failure of the Company in any instance to exercise any rights under this Agreement or any other agreement between the
Company and the Grantee shall not be deemed a waiver of such rights. No waiver of any breach or condition of this Agreement shall be deemed to be a waiver of any other or subsequent breach or condition whether of like or different nature.

  
 (f) Grantee Undertaking. The Grantee agrees to take whatever additional
action and execute whatever additional documents the Company may deem necessary or advisable in order to carry out or effect one or more of the obligations or restrictions imposed on either the Grantee or the shares of Common Stock to be issued in
settlement of this award. 
  
 (g) Successors and Assigns. The provisions of
this Agreement shall inure to the benefit of, and be binding upon, the Company and its successors and assigns and upon the Grantee, the Grantee’s assigns and the legal representatives, heirs and legatees of the Grantee’s estate, whether or
not any such person shall have become a party to this Agreement and have agreed in writing to be joined herein and be bound by the terms hereof. 
  
 (h) Choice of Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Delaware, as such laws are applied to contracts
entered into and performed in such State. 
  
 SECTION 6. DEFINITIONS.

  
 (a) “Agreement” shall mean this Restricted Stock
Unit Award Agreement. 
  

 3 

 (b) “Board of Directors” shall mean the Board of Directors of the Company, as constituted from
time to time. 
  
 (c) “Cause” shall mean with respect to
the Grantee: 
  
 (i) any conviction or plea of guilty or nolo
contendere to a felony, 
  
 (ii) any fraud, theft or other willful
misconduct, 
  
 (iii) any willful breach of any material written
policy of the Company which results or reasonably could be expected to result in any material liability, loss or damages to the Company, or 
  
 (iv) any willful breach of any confidential or proprietary information, non-compete or non-solicitation covenant for the benefit of the Company or any of
its affiliates. 
  
 Upon the occurrence of any event described in clauses (ii) or
(iii) above, the Company shall provide the Grantee with written notice that Cause exists within a reasonable period of time not to exceed one (1) calendar month after the event giving rise to Cause exists. Upon receipt of such notice, the Grantee
shall have an opportunity to meet and discuss with the Board whether Cause exists. 
  
 (d) “Common Stock” shall have the meaning described in Section 1(a) of this Agreement. 
  
 (e) “Company” shall mean WellChoice, Inc., a Delaware corporation, and any successor thereto. 
  
 (f) “Director” shall mean a member of the Board of Directors who is
not an Employee. 
  
 (g) “Disability” shall mean the
Grantee is unable to engage in any substantial gainful activity by reason of any medically determined physical or mental impairment as determined by the Committee in its sole discretion. 
  
 (h) “Employee” shall mean any individual who is an employee of the Company, a Parent Corporation or a Subsidiary
Corporation. 
  
 (i) “Grantee” shall mean the person named
in the Notice. 
  
 (j) “Notice” shall have the meaning
described in Section 1(a) of this Agreement. 
  
 (k) “Permitted
Transfers” shall have the meaning described in Section 3(c) of this Agreement. 
  
 (l) “Plan” shall mean WellChoice, Inc. 2003 Omnibus Incentive Plan, as amended from time to time. 
  
 (m) “Retirement” shall mean the date the Grantee ceases to be a director after not standing for election following the Grantee’s attainment
of age 72. 
  

 4 

 (n) “Service” shall mean service as a Director. 
  
 (o) “Settlement Date” shall have the meaning set forth in the Notice.

  
 (p) “Transferee” shall mean any person to whom the
Grantee has directly or indirectly transferred any shares of Common Stock. 
  
 (q)
“Unit” shall have the meaning described in Section 1(a) of this Agreement. 
  

 5 

 GRANT NO.
                     
  
 WELLCHOICE, INC. 
 2003 OMNIBUS INCENTIVE PLAN 
 NOTICE OF
RESTRICTED STOCK UNIT AWARD 
 (FOR INITIAL
GRANT TO NON-EMPLOYEE BOARD MEMBER) 
  

			
	 Name of Grantee:
	  	                                       
   (“Grantee”)

		
	 Date of Grant:
	  	 ______________

		
	 Type of Award:
	  	Units, to be settled in shares of common stock, par value $.01 per share (“Common Stock”), of WellChoice, Inc. (the “Company”), and Dividend Equivalents, to
be “re-invested” in Units which shall also be settled in shares of Common Stock.
		
	 Total Number of Units
 Subject to Award:
	  	X Units, where each Unit represents one hypothetical share of Common Stock.
		
	 Vesting Date:
	  	The Grantee will be 100% vested in the Units and Dividend Equivalents that are subject to this award on
                     (the “Vesting Date”), provided the Grantee’s Service as a Director has not terminated (other than
due to the Grantee’s Retirement) prior to that date; provided, however, that the Committee may elect, in its sole discretion, to permit the Units to continue to vest after Grantee’s Service terminates.
		
	 Settlement of Award:
	  	Unless the Grantee shall have delivered to the Company prior to the Date of Grant a duly executed deferral election notice substantially in the form attached hereto as Appendix A to defer
settlement of this award to a later date or dates (the “Deferral Date”), shares of Common Stock in settlement of this award shall be delivered on the Vesting Date (such date, the “Settlement Date”).
		
	 Acceleration of Award:
	  	 This award shall be settled prior to the Settlement Date (or if applicable the Deferral Date) and become fully vested as follows:
  
 •        Change in Control: If following a Change in Control, the Grantee ceases to be a director of the surviving company, this award shall be settled on the date board service ends,
unless the Grantee shall have made a separate Change in Control deferral election in the manner described for deferrals above, in which case this award shall be settled in accordance with such election;
  
 •        Death/Disability: If the Grantee ceases to be a Director of the Company due to death or Disability, but if such date should occur less than one year after the Date of Grant, this
award shall be settled on the anniversary of the Date of Grant;
  
 •        Committee Discretion: If the Committee, in its sole discretion, elects to accelerate settlement of this award.

		
	 Dividend Equivalents:
	  	Prior to the settlement of this award, the Grantee shall be eligible to receive for each Unit that is the subject to this award, additional Units the number of which shall equal the Fair
Market Value equal to the value of any regular or special dividends paid on the shares of Common Stock.
		
	 Transfer Restrictions:
	  	The Units and the shares of Common Stock issued in settlement of this award are subject to the transfer restrictions as described in the Restricted Stock Unit Award Agreement, referenced
below.

  

 6 

 By indicating your acceptance below, you accept this award and acknowledge that this award is granted under and governed
by the terms and conditions of WellChoice, Inc. 2003 Omnibus Incentive Plan (“Plan”) and the Restricted Stock Unit Award Agreement reference number DU000000 (“Agreement”), both of which are hereby made a part of
this document. Capitalized terms used but not defined in this Notice of Restricted Stock Unit Award shall have the meanings ascribed to them in the Plan and Agreement. 
  

					
	GRANTEE:	 	WELLCHOICE, INC.
			
	 	 	 Name:
	 	 Michael A. Stocker, M.D.

			
	 	 	 Title:
	 	 President and Chief Executive Officer

  

 7 

 Appendix A 
  

Deferral Election 
  

			
	 TO:
	 	 Robert W. Lawrence, Senior Vice President, Human Resources and Services,
 WellChoice, Inc.

  
 I hereby request that WellChoice, Inc.
(the “Company”) defer the delivery to me of shares of Common Stock, par value $.01 per share, of the Company, in settlement of an initial award of restricted stock units that may be made to me in November 2003 (the
“Award”) in accordance with my instructions described below. 
  
 Deferral Date (check one) 
  
 Please commence delivery of
shares of Common Stock in settlement of the Award on: 
  

					
	 _____
	 	 [DATE]
	 	(Note, this is the anticipated Settlement Date. Thus, there would be no deferral if you elect a lump sum payment; if you elect installments, the first installment would not be
deferred.)
			
	 _____
	 	 [DATE]
	 	(or, if earlier, the date I cease to serve as member of the board of directors of the Company).
		
	 _____
	 	The date I cease to serve as member of the board of directors of the Company.

  
 Form of Payment (check one;
if you elect annual installments, select the # of installments) 
  
 Please
settle my Award: 
  

					
	 _____
	 	 All at once, in one lump sum delivery of shares of Common Stock on the Deferral Date.

		
	 _____
	 	 In equal annual installments, commencing on the Deferral Date (or if no deferral on the Settlement Date).

			
	 	 	 _____
	  	Number of Annual Installments (enter 2, 3, 4 or 5)

  
 Form of Payment – Change in
Control (check only if you agree) 
  

					
	 	 	If settlement of my Award would otherwise be accelerated and paid in one lump sum because of a Change in Control, please settle my Award (or the remainder thereof):
		
	 _____
	 	In one lump sum.
		
	 _____
	 	In equal annual installments, commencing on the accelerated settlement date.
			
	 	 	 _____
	  	Number of Annual Installments (enter 2, 3, 4 or 5)

  

			
	Today’s Date:
                                    	  	

	 	  	 Signature

		
	 	  	

	 	  	 Print Name

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00060-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00060-of-00352.parquet"}]]