Document:

Trust Agreement

 Exhibit 10.36 
 MOEN INCORPORATED 
 BRUCE A. CARBONARI 
 TRUST AGREEMENT 
 THIS AGREEMENT, made as of the first day of January 2003,
among BRUCE A. CARBONARI, MOEN INCORPORATED, a Delaware corporation (the “Company”), and THE NORTHERN TRUST COMPANY, an Illinois banking corporation (the “Trustee”). 
 WITNESSETH: 
 WHEREAS, the Company has offered full-time employment to BRUCE A.
CARBONARI (the “Executive”) with assurance of receiving benefits pursuant to the terms of the Company’s Supplemental Plan as well as pension benefits under the Compensation Agreement between the Company and the Executive dated as of
April 1, 2001 (the “Compensation Agreement”) and any other agreements or arrangements for the payment of additional pension or other deferred compensation benefits to or on behalf of the Executive (the Supplemental Plan, the
Compensation Agreement and such other agreements or arrangements are herein collectively referred to as the “Plan”); and 
 WHEREAS, the Company has induced the Executive to join its full-time employ by establishing a trust, and wishes to continue with the Trustee a trust, for the Executive in order to provide a source of payment of the benefits
payable to the Executive under the terms of the Plan; 
 NOW, THEREFORE, in consideration of the premises and mutual and independent promises
herein, the parties hereto covenant and agree as follows: 
 ARTICLE I 
 1.1 The Executive and the Company hereby establish with the Trustee a Trust consisting of such sums of money and such property acceptable to the Trustee
as shall from time to time be paid or delivered to the Trustee by the Company and the earnings and profits thereon. All such money and property, all investments made therewith and proceeds thereof, less the payments or other distributions which, at
the time of reference, shall have been made by the Trustee, as authorized herein, are referred to herein as the “Fund” and shall be held by the Trustee, IN TRUST, in accordance with the provisions of this Agreement. The Trust shall be
solely for the purpose of providing benefits under the Plan with respect to the Executive, and neither the Company nor any creditors of the Company shall have any interest in the Fund. 
 1.2 The Trustee shall hold, manage, invest and otherwise administer the Fund pursuant to the terms of this Agreement. The Trustee shall be responsible
only for contributions actually received by it hereunder and shall have no responsibility for the correctness of the amount thereof. Upon the establishment of this Trust, and from time to time thereafter, the Company may contribute to the Trust,
unless otherwise directed by the Executive to make such contributions to a segregated account established with the Trustee or other bank, trust company or other financial institution by or for the benefit of the Executive pursuant to the Plan
(“Segregated Account”), such amount in cash as the Company shall determine to be appropriate to provide a source of the payments required under the terms of the Plan. Prior to the making of any contribution to the Trust, the Company shall
have approved the establishment of a Segregated Account of the Executive, the terms and provisions thereof, and the bank, trust company or other financial institution with which such Segregated Account may be established. The initial contribution by
the Company shall be in an amount approximately equal to the present value of the after tax equivalent of the aggregate maximum benefits that would be due to the Executive as of such date under the retirement provisions of the Plan, or such lesser
amount as the Company shall determine. The Company will make additional annual contributions to the Trust or Segregated Account in amounts such that the amount of the Fund, together with the amount in the Executive’s Segregated Account, at such
time will be approximately equal to the present value of the after tax equivalent of the Executive’s accrued benefits under the Plan 

 
at that time, or in such lesser amounts as the Company shall determine. The Company also may make a final contribution to the Trust as promptly as
practicable after the Executive’s termination of employment in an amount such that the amount of the Fund, together with the amount, if any, in the Executive’s Segregated Account will be equal to (i) the sum of the present value of
the after tax equivalent of (y) the Executive’s benefit under the supplemental retirement provisions of the Plan or, if the termination of employment is by reason of the death of the Executive, the Executive’s benefit under the
supplemental retirement provisions of the Plan immediately prior to his death, and (z) any other benefits payable to the Executive, reduced by (ii) the amounts of any actual withdrawals from the Fund or from the Executive’s Segregated
Account by the Executive as provided in Section 2.4 plus the income which would have been earned on such withdrawn amounts from the time of withdrawal to the time of the Executive’s termination of employment, assuming earnings at an
interest-rate equal to the after tax equivalent of the average monthly yield on ten year coupon U.S. Treasury bonds (as published by the Federal Reserve) for the month of termination of Qualifying Employment and the prior five months. 
 1.3 The Company shall certify to the Trustee and the Executive at the time of each contribution to the Fund the amount of such contribution being made in
respect of the Executive’s supplemental retirement benefit under the Plan, and other benefits, under the Plan. The Fund shall be revalued by the Trustee quarterly as of the last business day of each March, June, September and December, or at
such other times as agreed to by the Company and the Trustee, at current market values, as determined by the Trustee, which shall deliver as soon as practicable a copy of such quarterly valuation to the Company and the Executive. 
 ARTICLE II 
 2.1 The Company shall act
as Administrator of the Trust. Except for the records dealing solely with the Fund and its investment, which shall be maintained by the Trustee, the Company as Administrator shall maintain all the Executive’s records contemplated by this
Agreement, including records of the Executive’s compensation and benefits from the Company, the amount of his benefits accrued under the Plan, the Company’s contributions to the Fund, withdrawals from the Fund as provided in
Section 2.4 or from the Executive’s Segregated Account, the Executive’s beneficiary designation and such other records as may be necessary for determining the amount payable to the Executive or his Surviving Spouse or other
beneficiary under the Plan. All such records shall be made available promptly upon the request of the Executive. The Company shall give written notice to the Trustee of the Executive’s termination of employment, and as to whether such
termination is by reason of the death of the Executive. The Company as Administrator shall also prepare and distribute the Executive’s annual estimated benefit statements specified in Section 2.2 and shall perform such other duties and
responsibilities in connection with the administration of the Trust as the Company or the Trustee determines is necessary or advisable to achieve the objectives of this Agreement. 
 2.2 The Company as Administrator shall prepare an annual estimated benefits statement in respect of the Executive and shall furnish a copy of same to the
Executive by no later than May 15 of each year. 
 2.3 The Company shall have full responsibility for the proper remittance of all
withholding taxes on contributions by the Company to the Trust to the appropriate taxing authority and shall furnish the Executive with the appropriate tax information form reporting the amounts of such contributions and any withholding taxes. The
Trustee shall have the responsibility for the preparation and filing with the appropriate taxing authorities of all tax returns required to be filed for the Trust. 
 2.4 Subject to the next to the last sentence of Section 5.2, the Executive may withdraw all or any portion of the Fund, in cash or, to the extent practicable, in kind at any time upon written notice of not less
than sixty (60) days to the Company and the Trustee. Prior to any such withdrawal, the Trustee shall notify the Company in writing of such withdrawal and the amount thereof. 

 2.5 The Executive may elect to transfer all or any portion of the Fund to his Segregated Account, in cash
or, to the extent practicable, in kind, at any time upon written notice of not less than sixty (60) days to the Company and the Trustee and the financial institution with which the Segregated Account is established. The Executive also may elect
to transfer funds, in cash, from his Segregated Account to the Trust upon written notice of not less than sixty (60) days to the Company and the Trustee, and funds so transferred shall be held by the Trustee as part of the Fund. 
 2.6 The Executive may designate a beneficiary to receive all or any portion of the Fund in the event of his death. Such designation shall be in writing
filed with the Company as Administrator on a form approved by it and signed by the Executive. The Company shall promptly notify the Trustee of any such beneficiary designation and any changes therein. 
 ARTICLE III 
 3.1 After the execution
of this Agreement, the Company shall promptly file with the Trustee a certified list of the names and specimen signatures of the officers of the Company and any delegate authorized to act for it. The Company shall promptly notify the Trustee of the
addition or deletion of any person’s name to or from such list, respectively. Until receipt by the Trustee of notice that any person is no longer authorized so to act, the Trustee may continue to rely on the authority of the person. All
certifications, notices and directions by any such person or persons to the Trustee shall be in writing signed by such person or persons. The Trustee may rely on any such certification, notice or direction purporting to have been signed by or on
behalf of such person or persons that the Trustee believes to have been signed thereby. The Trustee may rely on any certification, notice or direction of the Company that the Trustee believes to have been signed by a duly authorized officer or agent
of the Company. The Trustee shall have no responsibility for acting or not acting in reliance upon any notification believed by the Trustee to have been so signed by a duly authorized officer or agent of the Company. The Company shall be responsible
for keeping accurate books and records with respect to the Executive, his compensation and his rights and interests in the Fund under the Plan. 
 3.2 The Company (which has the authority to do so under the laws of its state of incorporation) shall indemnify The Northern Trust Company, and defend it and hold it harmless from and against any and all liabilities, losses, claims, suits
or expenses (including reasonable attorneys’ fees) of whatsoever kind and nature which may be imposed upon, asserted against or incurred by The Northern Trust Company at any time (1) by reason of its carrying out its responsibilities or
providing services under this Trust Agreement, or its status as Trustee, or by reason of any act or failure to act under this Trust Agreement, except to the extent that any such liability, loss, claim, suit or expense arises directly from
Trustee’s negligence or willful misconduct in the performance of responsibilities specifically allocated to it under the Trust Agreement, or (2) by reason of the Trust’s failure to qualify as a grantor trust under the IRS grantor
trust rules. 
 This paragraph shall survive the termination of this Trust Agreement. 
 ARTICLE IV 
 4.1 The Trustee shall not
be liable in discharging its duties hereunder if it acts in good faith and in accordance with the terms of this Agreement including, without limitation, the making of any investment directed by the Company. The Trustee shall have no liability for
following the directions of the Company, other than negligence in carrying out the directions as given by the Company, nor shall the Trustee have any responsibility or obligation to review such directions and determine whether or not such directions
comply with Section 4.2. 

 4.2 The Trustee shall not have any discretion for the investment of the Fund, but shall invest as
directed in writing by the Company, which direction shall be in accordance with this Section 4.2. The Company shall direct that the assets of the Fund shall be invested separately as to amounts representing the Executive’s supplemental
retirement benefit and any other benefits under the Plan. 
 The Company shall direct
the Trustee to invest supplemental retirement benefit amounts solely in the Northern Institutional Funds Intermediate Bond Portfolio, to the extent such fund exists or continues to exist, and otherwise in the Northern Trust Institutional Funds
Diversified Asset Portfolio. As soon as practicable after the Executive’s 60th birthday, the Company may direct the Trustee in writing to
invest one-half of the amounts held in the Northern Institutional Funds Intermediate Bond Portfolio attributable to supplemental retirement benefits, and as soon as practicable after the Executive’s 63rd birthday, the Company may direct the Trustee to invest the remainder of the amounts held in the Northern Institutional Funds Intermediate Bond Portfolio attributable to supplemental
retirement benefits, solely in the Northern Trust Institutional Funds Diversified Asset Portfolio. 
 If any of the above funds for which The
Northern Trust Company or any of its affiliates serves as investment advisor shall cease to exist, the Trustee shall notify the Executive in writing, with a copy to the Company. 
 Subject to such written directions, the Trustee shall have the power and right: 
 (a) To receive and hold all contributions made to it by the Company; 
 (b) To participate in and use a book-entry system for the deposit and transfer of securities; 
 (c) To sell
or exchange any property held by it at public or private sale, for cash or on credit, to grant and exercise options for the purchase or exchange thereof, to exercise all conversion or subscription rights pertaining to any such property and to enter
into any covenant or agreement to purchase any property in the future; 
 (d) To participate in any plan of reorganization, consolidation,
merger, combination, liquidation or other similar plan relating to property held by it and to consent to or oppose any such plan or any action thereunder or any contract, lease, mortgage, purchase, sale or other action by any person; 
 (e) To deposit any property held by it with any protective, reorganization or similar committee, to delegate discretionary power thereto, and to pay part
of the expenses and compensation thereof and any assessments levied with respect to any such property so deposited; 
 (f) To extend the time
of payment of any obligation held by it; 
 (g) To hold uninvested any moneys received by it, without liability for interest thereon, until
such moneys shall be invested, reinvested or disbursed; 
 (h) To exercise all voting or other rights with respect to any property held by it
and to grant proxies, discretionary or otherwise; and 
 (i) For the purposes of the Trust, to borrow money from others, including The
Northern Trust Company, to issue its promissory note or notes therefor, and to secure the repayment thereof by pledging any property held by it. 
 4.3 Solely in its discretion, and in no way as a limitation to the other rights and powers granted by the law, the Trustee has the following rights and powers: 
 (a) To employ suitable agents and counsel, who may be counsel to the Company or the Trustee, and to pay their reasonable expenses and compensation from the Fund to the extent not paid by the Company; 
 (b) To cause any property held by it to be registered and held in the name of one or more nominees, with or without the addition of words indicating that
such securities are held in a fiduciary capacity, and to hold securities in bearer form; 

 (c) To settle, compromise or submit to arbitration any claims, debts or damages due or owing to or from
the Trust, respectively, to commence or defend suits or legal proceedings to protect any interest of the Trust, and to represent the Trust in all suits or legal proceedings in any court or before any other body or tribunal; provided, however, that
the Trustee shall not be required to take any such action unless it shall have been indemnified by the Company to its reasonable satisfaction against liability or expenses it might incur therefrom; 
 (d) To organize under the laws of any state a corporation or trust for the purpose of acquiring and holding title to any property which it is authorized
to acquire hereunder and to exercise with respect thereto any or all of the powers set forth herein; and 
 (e) Generally, to do all acts,
whether or not expressly authorized, that the Trustee may deem necessary or desirable for the protection of the Fund. 
 4.4 The Trustee
shall furnish to the Company and the Executive such information, in the form maintained by the Trustee in its ordinary course of business, as may be needed for tax or other purposes. 
 4.5 No person dealing with the Trustee shall be under any obligation to see to the proper application of any money paid or property delivered to the
Trustee or to inquire into the Trustee’s authority as to any transaction. 
 4.6 The Trustee shall distribute cash or other assets from
the Fund in accordance with Articles II and VIII hereof. 
 The Trustee may make any distribution required hereunder by mailing its check for
the specified amount or, if distribution is to be made in kind, by making other appropriate distribution, to the person to whom such distribution or payment is to be made, at such address as may be specified pursuant to Section 10.5, or if no
such address shall have been so furnished, to such person in care of the Company, or (if so directed by the recipient) by crediting the account of such person or by transferring funds to such person’s account by bank or wire transfer.

 4.7 If at any time there is no person authorized to act under this Agreement on behalf of the Company, the Board of Directors of the
Company or its Executive Committee or Compensation and Stock Option Committee shall have the authority and responsibility to act hereunder. 
 ARTICLE V 
 5.1 The Executive, or in the event of the Executive’s death the Executive’s personal representative,
shall be responsible for the payment of any federal, state or local taxes on the Fund, or any part thereof, and on the income therefrom, subject to the Company’s obligation under the Plan to reimburse the Executive in respect of such taxes.

 5.2 For all periods prior to the Executive’s termination of employment, and for a period of sixty (60) days thereafter and for
any further period as may be authorized by the Company, the Company shall pay to the Trustee its reasonable expenses for the management and administration of the Fund, including without limitation advances for or prompt reimbursement of reasonable
expenses of counsel and other agents employed by the Trustee, and reasonable compensation for its services as Trustee hereunder, the amount of which shall be agreed upon from time to time by the Company and the Trustee in writing; provided, however,
that if the Trustee forwards an amended fee schedule to the Company requesting its agreement thereto and the Company fails to object thereto within thirty (30) days of its receipt, the amended fee schedule shall be deemed to be agreed upon by
the Company and the Trustee. Such expenses and compensation shall be paid from the Fund unless paid by the Company. The Company and the Executive acknowledge that the Trustee, or an affiliate thereof, will, in addition to 

 
the compensation provided by this Article 5.2, receive compensation with regard to the administration and investment of certain funds referred to in Article
4.2 hereof, and the Company and the Executive agree that the Trustee, or any affiliate thereof, shall receive such compensation in addition to the compensation provided by this Article 5.2. 
 ARTICLE VI 
 6.1 The Trustee shall maintain records with respect to the Fund
that show all its receipts and disbursements hereunder. The records of the Trustee with respect to the Fund shall be open to inspection by the Company or its representatives and by the Executive at all reasonable times during normal business hours
of the Trustee and may be audited not more frequently than once each fiscal year by an independent certified public accountant engaged by the Company; provided, however, the Trustee shall be entitled to additional compensation from the Company in
respect of audits or auditors’ requests which the Trustee determines to exceed the ordinary course of the usual scope of such examinations of its records. 
 6.2 Within a reasonable time after the close of each fiscal year of the Company (or, in the Trustee’s discretion, at more frequent intervals), or of any termination of the duties of the Trustee hereunder, the
Trustee shall prepare and deliver to the Company and the Executive a statement of transactions reflecting its acts and transactions as Trustee during such fiscal year, portion thereof or during such period from the close of the last fiscal year or
last statement period to the termination of the Trustee’s duties, respectively, including a statement of the then current value of the Fund. Any such statement shall be deemed an account stated and accepted and approved by the Company and the
Executive, and the Trustee shall be relieved and discharged, as if such account had been settled and allowed by a judgment or decree of a court of competent jurisdiction, unless protested by written notice to the Trustee within sixty (60) days
of receipt thereof by the Company or the Executive. 
 The Trustee shall have the right to apply at any time to a court of competent
jurisdiction for judicial settlement of any account of the Trustee not previously settled as herein provided or for the determination of any question of construction or for instructions. In any such action or proceeding it shall be necessary to join
as parties only the Trustee, the Company and the Executive (although the Trustee may also join such other parties as it may deem appropriate), and any judgment or decree entered therein shall be conclusive. 
 ARTICLE VII 
 7.1 The Trustee may
resign at any time by delivering written notice thereof to the Company and the Executive; provided, however, that no such resignation shall take effect until the earlier of (i) sixty (60) days from the date of delivery of such notice to
the Company and the Executive or (ii) the appointment of a successor trustee. 
 7.2 The Trustee may be removed at any time by the
Company, pursuant to a resolution of the Board of Directors of the Company or its Executive Committee or Compensation and Stock Option Committee, upon delivery to the Trustee of a certified copy of such resolution and sixty (60) days’
written notice to the Trustee and the Executive of (i) such removal and (ii) the appointment of a successor trustee, unless such notice period is waived in whole or in part by the Trustee and the Executive. 
 7.3 Upon the resignation or removal of the Trustee, a successor trustee shall be appointed by the Company. Such successor trustee shall be a bank or
trust company established under the laws of the United States or a state within the United States and having either total assets of at least $15 billion or trust assets of at least $25 billion. Such appointment shall take effect upon the delivery to
the Trustee and the Executive of (a) a written appointment of such successor trustee, duly executed, by the Company and (b) a written acceptance by such successor trustee, duly executed thereby. Any successor trustee shall have all the
rights, powers and duties granted the Trustee hereunder. 

 7.4 If, within sixty (60) days of the delivery of the Trustee’s written notice of resignation, a
successor trustee shall not have been appointed, the Trustee shall apply to any court of competent jurisdiction for the appointment of a successor trustee. 
 7.5 Upon the resignation or removal of the Trustee and the appointment of a successor trustee, and after the acceptance and approval of its account, the Trustee shall transfer and deliver the Fund to such successor
trustee. The Trustee shall not transfer or deliver the Fund to any successor trustee unless and until such successor trustee provides the Trustee with a written certification that it is a bank or trust company having either total assets of at least
$15 billion or trust assets of at least $25 billion. The Trustee may conclusively rely on such written certification from the successor trustee that it meets the criteria specified in the immediately preceding sentence. 
 ARTICLE VIII 
 8.1 The Trust shall
terminate upon the later of (1) receipt by the Trustee of written notice from the Company of the Executive’s termination and reason for such termination, and (2) upon the expiration of sixty (60) days following the
Executive’s date of termination of employment (by retirement or otherwise). Subject to Section 10.3, the Trust shall also terminate if the Company ceases to exist. Nevertheless, the Trustee and the Executive may agree to continue the Trust
thereafter upon such terms as they may agree in writing, but in the event of such continuation the Company shall have no further obligations under this Agreement with respect to matters relating to such continuation, including expenses and
compensation of the Trustee, as provided in Section 5.2, and indemnification of the Trustee as provided in Section 3.2. 
 8.2 Upon
the termination of the Trust, the Trustee shall distribute the Fund as directed by the Executive or, in the absence of such direction, shall distribute all of the Fund to the Executive’s Segregated Account established with the Trustee, if any,
or if there is no such Segregated Account to the Executive, or in the event of the Executive’s death his personal representative, after deducting therefrom any amounts owing to the Trustee under this Agreement which have not been paid by the
Company. Upon any termination of the Trust in accordance with Article VIII, the Trustee shall, after the acceptance and approval of its account, in accordance with Section 6.2, be relieved and discharged. The powers of the Trustee as provided
in Section 5.2, shall continue as long as any part of the Fund remains in its possession. 
 ARTICLE IX 
 9.1 This Agreement may be amended, in whole or in part, at any time and from time to time, by the Company with the written consent of the Executive and
the Trustee. Any such amendment by the Company shall be pursuant to a resolution of the Board of Directors of the Company or its Executive Committee or Compensation and Stock Option Committee by delivery to the Trustee of a certified copy of such
resolution and a written instrument duly executed and acknowledged by the Company and the Executive in the same form as this Agreement. 
 ARTICLE X 
 10.1 This Agreement shall be construed and interpreted under, and the Trust hereby created shall be governed by,
the laws of the State of Illinois insofar as such laws do not contravene any applicable federal laws, rules or regulations. 
 10.2 Neither
the gender nor the number (singular or plural) of any word shall be construed to exclude another gender or number when a different gender or number would be appropriate. 
 10.3 This Agreement shall be binding upon and inure to the benefit of the Executive, his estate, personal representative, beneficiary, heirs and assigns. This Agreement also shall be binding upon and inure to the
benefit of any successor to the Company or its business as the result of merger, consolidation, reorganization, transfer of assets or otherwise and any subsequent successor thereto. In the event of any such merger, consolidation, reorganization,
transfer of assets or other similar transaction, the successor to the Company or its business or any subsequent successor thereto shall promptly notify the Trustee in writing of its successorship and furnish the Trustee with the information
specified in Section 3.1 of this Agreement. In no event shall any such transaction described herein suspend or delay the rights of the Executive to receive benefits hereunder. 

 10.4 This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an
original, but all of which shall together constitute only one Agreement. 
 10.5 All notices and other communications provided for in this
Agreement shall be in writing and shall be deemed to have been duly given when actually delivered to the respective addresses set forth below: 
  

			
	Company:	  	 Moen Incorporated
 25300 Al Moen Drive
 North Olmsted, OH 44070

		
	Trustee:	  	 The Northern Trust Company
 Attn: Martin Mulcrone (or
current
   RM for Moen Incorporated
 50 South LaSalle
Street
 Chicago, Illinois 60675

		
	Executive:	  	 Bruce A. Carbonari
 30410 Lake Road
 Bay Village, OH 44140

 or at such other address as such person may specify in writing by notice as set forth above to the other persons listed
above. 
 IN WITNESS WHEREOF, the parties hereto have caused this Trust Agreement to be duly executed as of the first day of January, 2003.

  

					
	Attest:	 	MOEN INCORPORATED
			
		 	By	 	 /s/ D.L. BIRELEY

		 	Print Name	 	D.L. BIRELEY
		 	Title	 	SR V.P. HUMAN RESOURCES
		
	Attest:	 	The Northern Trust Company
			
		 	By	 	 /s/ MARTIN MULCRONE

		 	Print Name	 	MARTIN MULCRONE
		 	Title	 	VICE PRESIDENT
		
	Witness:	 	BRUCE A. CARBONARI
		
		 	 /s/ BRUCE A. CARBONARI

			
	STATE OF OHIO	 	)
		 	: ss.: North Olmsted, OH - Dec. 5, 2002
	COUNTY OF CUYAHOGA	 	)

 Personally appeared Don Bireley, Sr. Vice President of Human Resources of MOEN INCORPORATED,
signer and sealer of the foregoing instrument, and acknowledged the same to be his free act and deed as such Sr. Vice President—and the free act and deed of said Corporation, before me. 
  

	
	 /s/ Lori L. Zahoric

	Notary Public
	
	

  

			
	STATE OF Illinois	 	)
		 	: ss.: Chicago, IL 12/18, 2003
	COUNTY OF Cook	 	)

 Personally appeared Martin Mulcrone, Vice President of THE NORTHERN TRUST COMPANY, signer and
sealer of the foregoing instrument, and acknowledged the same to be his free act and deed as such Vice President and the free act and deed of said Company, before me. 
  

	
	 OFFICIAL SEAL
 ROBERT MICHAEL VERNILLE
 NOTARY PUBLIC. STATE OF ILLINOIS
 MY COMMISSION EXPIRES 3-1-2005

	
	 /s/ ROBERT MICHAEL VERNILLE

	Notary Public

  

			
	STATE OF OHIO	 	)
		 	: ss.: North Olmsted, OH - Dec. 5, 2002
	COUNTY OF CUYAHOGA	 	)

 Personally appeared BRUCE CARBONARI, signer of the foregoing instrument, and acknowledged the same
to be his free act and deed, before me. 
  

	
	
	 /s/ Lori L. Zahoric

	Notary PublicIndemnification Agreement

 Exhibit 10.64 
 [EXECUTION COPY] 
 INDEMNIFICATION AGREEMENT 
 AGREEMENT dated as of December 22, 1994 (this “Agreement”), among AMERICAN BRANDS, INC., a Delaware corporation
(“Seller”), THE AMERICAN TOBACCO COMPANY, a Delaware corporation (the “Company”), and BROWN & WILLIAMSON TOBACCO CORPORATION, a Delaware corporation (the “Subsidiary”) (the Company and the Subsidiary are herein
sometimes referred to individually as an “Indemnitor” and collectively as the “Indemnitors”). 
 WHEREAS, Seller and
B.A.T Industries P.L.C., a public limited company organized under the laws of England (“Buyer”), have entered into a Stock Purchase Agreement dated as of April 26, 1994 (the “Stock Purchase Agreement”), pursuant to which,
inter alia, Seller has agreed to sell to Buyer and Buyer has agreed to purchase from Seller all of the outstanding capital stock of the Company; 
 WHEREAS, pursuant to the terms of the Stock Purchase Agreement, each Indemnitor is to enter into this Agreement at the time of the closing of the sale under the Stock Purchase Agreement; 
 WHEREAS, each Indemnitor will benefit from, and therefore desires to facilitate the consummation of, the transactions contemplated by the Stock Purchase
Agreement; 
 NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, the parties hereto agree as follows: 
 1. Indemnification. The Indemnitors agree, jointly and severally, to
indemnify Seller and each of its officers, directors, employees, stockholders, agents, representatives, successors and assigns, against and hold them harmless from any loss, liability, claim, damage or expense (including reasonable legal fees and
expenses) suffered or incurred by any such indemnified party arising from (i) any claim, investigation or proceeding alleging personal injury, (ii) any claim, investigation or proceeding alleging fraud or (iii) any other claim,
investigation or proceeding, in the case of each of clauses (i), (ii) and (iii), arising from smoking and health or fire-safe cigarette matters relating to the tobacco business of the Company or any of its predecessors, including, without
limitation, any such matter arising from or related to the development, manufacture, packaging, labeling, production, delivery, sale, resale, distribution, advertising, marketing, promotion, use or consumption of, or exposure to (whether occurring
before, on or after the date hereof), any tobacco products of the Company or any of its predecessors or research in respect of smoking and health or fire-safe cigarette matters. 
 2. Procedures Relating to Indemnification Claims. (a) If any person (the “indemnified party”) entitled to indemnification under this
Agreement should have a claim against any Indemnitor under this Agreement, the indemnified party shall deliver notice of such claim with reasonable promptness to Subsidiary, as the representative of the Indemnitors. The failure by any indemnified
party so to notify Subsidiary shall not relieve the Indemnitors from any liability which they may have to such indemnified party under this Agreement, except to the extent that the Indemnitors shall have been actually prejudiced as a result of such
failure. 
  

 Page 1 

 (b) If a claim for indemnification hereunder relates to an action, suit, investigation or proceeding
against or involving the indemnified party, Subsidiary shall assume the defense thereof with counsel selected by Subsidiary. From and after the time that Subsidiary assumes the defense of such matter, the Indemnitors shall not be liable to the
indemnified party for legal expenses incurred by the indemnified party in connection with such defense. The indemnified party shall have the right to employ counsel, at its own expense, separate from the counsel employed by the indemnifying party,
but such counsel shall not have any right to participate in any such matter and Subsidiary shall control such defense in all respects but Seller and such counsel shall have the right to be kept fully informed of the progress of such defense. The
Indemnitors shall be liable for the fees and expenses of counsel employed by the indemnified party for any period during which Subsidiary has failed to assume the defense of such matter (other than during any period in which the indemnified party
shall have failed to give notice of the matter as provided herein). The indemnified party shall not unreasonably withhold its consent to any settlement, compromise or discharge of such matter which Subsidiary may recommend. The indemnified party
shall not settle any claim covered by this Agreement. 
 (c) The indemnified party shall cooperate with the Indemnitors in their defense of
any matter covered by this Agreement, at the expense (including reasonable legal fees and expenses) of the Indemnitors. The indemnified party shall further provide the Indemnitors at the expense (including reasonable legal fees and expenses) of the
Indemnitors, with such information and assistance as any Indemnitor may reasonably request to defend any matter covered hereby, including, in the case of Seller, the assistance of officers and employees of Seller when reasonably considered necessary
by any Indemnitor to defend any such matter. Except as required by law or legal process, Seller shall not take any action or make any admission which adversely affects or could reasonably be foreseen to adversely affect the defense of any matter
covered hereby or that could reasonably be foreseen to be covered hereby and shall not, and shall not permit any of its affiliates, officers, directors, employees, agents or others acting on its behalf to, make any adverse public statement regarding
any such matters. 
 (d) It is understood and agreed that effective as of the date of this Agreement and without any further notification by
Seller hereunder, the Indemnitors shall jointly and severally indemnify Seller in respect of the proceedings pending against Seller on the date hereof and set forth in Schedule A attached hereto and Subsidiary shall assume the defense of each such
proceeding as contemplated hereby. 
 3. Representations and Warranties of Subsidiary. Subsidiary represents and warrants to Seller as
follows: 
 (a) Subsidiary is a corporation duly organized, validly existing and in good standing under the laws of its jurisdiction of
incorporation. Subsidiary has all requisite corporate power and authority to enter into this Agreement and to perform its obligations hereunder. All corporate acts and other proceedings required to be taken by Subsidiary to authorize the execution,
delivery and performance of this Agreement have been duly and properly taken. This Agreement has been duly executed and delivered by Subsidiary and constitutes a legal, valid and binding obligation of Subsidiary enforceable against Subsidiary in
accordance with its terms, subject to the qualification, however, that enforcement of the rights and remedies created hereby is subject to bankruptcy and other similar laws of general application relating to or affecting the rights and remedies of
creditors and that the remedy of specific enforcement or of injunctive relief is subject to the discretion of the court before which any proceeding therefor may be brought. 
 (b) The execution and delivery of this Agreement by Subsidiary does not, and compliance with the terms hereof will not, conflict with, or result in any
violation of or default (with or without notice or lapse of time, or both) 

  

 Page 2 

 
under, or give rise to a right of termination, cancellation or acceleration of any obligation to any person under, or to increased, additional, accelerated
or guaranteed rights or entitlements of any person under, or result in the creation or any lien, claim, encumbrance, security interest, option, charge or restriction of any kind upon any of the properties or assets of Subsidiary under, any provision
of (i) the certificate of incorporation or by-laws of Subsidiary, (ii) any material note, bond, mortgage, indenture, deed of trust, license, lease, contract, commitment, agreement or arrangement to which Subsidiary is a party or by which
any of its properties or assets are bound or (iii) any judgment, order, decree, statute, law, ordinance, rule or regulation applicable to Subsidiary or its properties or assets, other than, in the case of clause (ii) above, any such items
that, individually or in the aggregate, would not have a material adverse effect on the ability of Subsidiary to perform its obligations hereunder. No consent, approval, license, permit, order or authorization of, or registration, declaration or
filing with, any Federal, state, local or foreign government or any court of competent jurisdiction, administrative agency or commission or other governmental authority or instrumentality, domestic or foreign, is required to be obtained or made by
or with respect to Subsidiary or any of its affiliates in connection with the execution, delivery and performance of this Agreement by Subsidiary. 
 (c) Subsidiary does not have any affiliate (other than the Company and any of its subsidiaries) which manufacturers cigarettes in the United States. 
 4. Covenants of the Indemnitors. The Indemnitors jointly and severally agree as follows: 
 (a) Subject to
Section 4(b), each Indemnitor will do or cause to be done all things necessary to preserve and keep in full force and effect its corporate existence in accordance with its respective organizational documents and all applicable laws. 

(b) The Indemnitors shall not consolidate with or merge into any other person or convey or transfer, or cause to be conveyed or transferred, in one or
a series of related or substantially contemporaneous transactions, all or substantially all of their business (consisting of 50% or more of their combined United States domestic unit sales in the immediately preceding calendar year), to any person
or persons (other than an Indemnitor), unless (i) the person formed by such consolidation or into which the Indemnitor is merged or the person or persons acquiring by conveyance or transfer the business of the Indemnitors shall be duly
organized and existing under the laws of the jurisdiction of its organization and shall expressly assume, by an instrument supplemental hereto, executed and delivered to Seller prior to or contemporaneously with the consummation of such transaction,
the performance of the obligations of the Indemnitor under this Agreement, and (ii) prior to and immediately after giving effect to such transaction, the Indemnitor shall not be in default in any material respect of its obligations under this
Agreement. 
 5. Notices. All notices or other communications required or permitted to be given hereunder shall be in writing and shall be
delivered by hand or sent by prepaid cable or telecopy or sent, postage prepaid, by registered, certified or express mail or reputable overnight courier service and shall be deemed given when so delivered by hand, cabled or telecopied, or if mailed,
ten days after mailing (two business days in the case of express mail or overnight courier service), as follows: 
  

							
		  	(i)	 	if to Seller,
			
		  		 	American Brands, Inc.
		  		 	1700 East Putnam Avenue
		  		 	Old Greenwich, Connecticut 06870-0811
				
		  		 	Attention:	 	Gilbert L. Klemann, II

  

 Page 3 

							
	with copies to:
			
		  		 	American Brands, Inc.
		  		 	1700 East Putnam Avenue
		  		 	Old Greenwich, Connecticut 06870-0811
				
		  		 	Attention:	 	Arnold Henson
	
	and to:
			
		  		 	Chadbourne & Parke
		  		 	30 Rockefeller Plaza
		  		 	New York, New York 10112
				
		  		 	Attention:	 	Edward P. Smith; and
			
		  	(ii)	 	if to any Indemnitor,
			
		  		 	Brown & Williamson Tobacco Corporation
		  		 	1500 Brown & Williamson Tower
		  		 	P.O. Box 35090
		  		 	Louisville, Kentucky 40232
				
		  		 	Attention:	 	F. Anthony Burke
	
	with a copy to:
			
		  		 	King & Spalding
		  		 	191 Peachtree Street, N.E.
		  		 	Atlanta, Georgia 30303
				
		  		 	Attention:	 	Frank Jones or
		  		 		 	Gordon Smith

 or to such other person or address as the addressee may have specified in a notice duly given to the sender as
provided herein. 
 6. Counterparts. This Agreement may be executed in one or more counterparts, all of which shall be considered one and the
same agreement, and shall become effective when one or more such counterparts have been signed by each of the parties and delivered to each of the other parties. 
 7. Entire Agreement. This Agreement contains the entire agreement and understanding between the parties hereto with respect to the subject matter hereof and supersedes all prior agreements and understandings relating
to such subject matter. None of the parties hereto shall be liable or bound to any other party hereto in any manner by any representations, warranties or convenants relating to such subject matter except as specifically set forth herein. 

8. Jurisdiction. Seller and the Indemnitors each irrevocably submits to the nonexclusive jurisdiction of (a) the Supreme Court of the State of
New York, New York County, and (b) the United States District Court for the Southern District of New York, for the purposes of any suit, action or other proceeding arising out of this Agreement. Each Indemnitor agrees that service of process,
summons, notice or document by hand delivery or U.S. registered mail in care of King & Spalding, 191 Peachtree Street, N.E., Atlanta, Georgia 30303, Attention Managing Partner, shall be effective service of process for any action, suit or
proceeding brought against such Indemnitor in any such court. Seller agrees that service of process, summons, notice or document by hand delivery or U.S. registered mail in care of Chadbourne & Parke, 30 Rockefeller Plaza, New York, New
York 10112, Attention of Managing Clerk, shall be effective service of process for any action, suit or proceeding brought against Seller in any such 

  

 Page 4 

 
court. Seller and the Indemnitors each irrevocably and unconditionally waives any objection to the laying of venue of any action, suit or proceeding arising
out of this Agreement in (i) the Supreme Court of the State of New York, New York County, or (ii) the United States District Court for the Southern District of New York, and hereby further irrevocably and unconditionally waives and agrees
not to plead or claim in any such court that any such action, suit or proceeding brought in any such court has been brought in an inconvenient forum. 
 9. Applicable Law. This Agreement shall be governed by and construed in accordance with the internal laws of the State of New York applicable to agreements made and to be performed entirely within such State, without
regard to the conflicts of law principles of such State. 
 10. Amendment; Waiver. No amendment, modification or waiver in respect of this
Agreement shall be effective unless in writing and signed by all parties hereto. No delay or failure on the part of any party in exercising any rights hereunder, and no particular or single exercise thereof, will constitute a waiver of such rights
or of any other rights hereunder. 
 IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed as of the date first
above written. 
  

			
	AMERICAN BRANDS, INC.
		
	by	 	 Gilbert L. Klemann, II

	Name:	 	Gilbert L. Klemann, II
	Title:	 	Senior Vice President and General Counsel
	
	THE AMERICAN TOBACCO COMPANY
		
	by	 	 T.P. Kriz

	Name:	 	T.P. Kriz
	Title:	 	Senior Vice President and Chief Accounting Officer
	
	BROWN & WILLIAMSON TOBACCO CORPORATION
		
	by	 	 F. Anthony Burke

	Name:	 	F. Anthony Burke
	Title:	 	Vice President Law and General Counsel

  

 Page 5 

 Schedule A 
 I. Smoking and health cases in which American Brands, Inc., a Delaware corporation, is not a defendant: 
  

			
	Butler v. Philip Morris, Inc., et al.
		    	(Cir. Ct., Jones County, Mississippi)
	Castano, et al. v. The American Tobacco Co., et al.
		    	(U.S.D.C., E.D. La.)
	Dunn, et al. v. The American Tobacco Company, et al.
		    	(Super. Ct., Delaware County, Indiana)
	Michener v. The American Tobacco Company, et al.
		    	(Dist. Ct., Oklahoma County, Oklahoma)
	Moore v. The American Tobacco Co., et al.
		    	(Chancery Court, Jackson Co., Mississippi)
	McGraw v. The American Tobacco Co., et al.
		    	(Cir. Ct., Kanawha Co., West Virginia)

 II. Pre-1986 smoking and health cases naming American Brands, Inc. a New Jersey corporation, as a
defendant: 
 Effective December 31, 1985, American Brands, Inc., a New Jersey corporation, merged with The American Tobacco Company, a
Delaware corporation. The resulting Delaware corporation retained the name “The American Tobacco Company.” As a result, the company now known as The American Tobacco Company is the defendant in any cases filed on or before
December 31, 1985 that named “American Brands” as a defendant. There are six pending cases in that category: 
  

			
	Bridges, et al. v. The American Tobacco Co.
		    	(Sup. Ct., Albany Co., New York)
	Grinnell, et al. v. The American Tobacco Co., et al.
		    	(Dist. Ct., Jefferson Co., Texas)
	Haight, et al. v. The American Tobacco Co., et al.
		    	(Cir. Ct., Kanawha Co., West Virginia)
		    	(procedurally dismissed subject to reopening)
	I.D. Rogers, et al. v. R.J. Reynolds Tobacco Co., et al.
		    	(Dist. Ct., Jefferson Co., Texas)
	Frank Smith v. American Tobacco Co.
		    	(Ct. Com. Pleas, Philadelphia Co., Pennsylvania)
	Doris Smith, et al. v. R.J. Reynolds Tobacco Co.
		    	(U.S.D.C., D.N.J.)

 III. Other smoking and health cases: 
 American Brands, Inc. a Delaware corporation, is the recipient of a third-party subpoena from American Broadcasting Companies in Philip Morris Companies,
Inc., et al. v. American Broadcasting Companies, et al. (Cir. Ct., City of Richmond, Va.). That subpoena is currently the subject of litigation. 
 IV. Pending smoking and health cases in which American Brands, Inc., a Delaware corporation, was named as a defendant but has been dismissed: 
  

			
	Allman, et al. v. Philip Morris, Inc., et al.
		    	(U.S.D.C., S.D. Cal.)
	Bluitt, et al. v. R.J. Reynolds Tobacco Co., et al.
		    	(U.S.D.C., N.D. Tex.)
	Broin, et al. v. Philip Morris Companies, Inc., et al.
		    	(Cir. Ct., Dade Co., Florida)
	Tompkin, et al. v. American Tobacco Co., et al.
		    	(U.S.D.C., N.D. Ohio)

  

 Page 6

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00137-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00137-of-00352.parquet"}]]