Document:

QuickLinks
 -- Click here to rapidly navigate through this document

 
 

Exhibit No. 10.2.    
  

 
 

QUESTAR CORPORATION    
    
    ANNUAL MANAGEMENT INCENTIVE PLAN    
    
    (As amended and restated effective February 11, 2003)    
  

        Paragraph 1.    Name.    The name of this Plan is the Questar Corporation Annual Management Incentive Plan (the
Plan). 

        Paragraph 2.    Purpose.    The purpose of the Plan is to provide an incentive to officers and key employees of
Questar Corporation (the Company) for the accomplishment of major organizational and individual objectives designed to further the efficiency, profitability, and growth of the Company. 

        Paragraph 3.    Administration.    The Management Performance Committee (Committee) of the Board of Directors
shall have full power and authority to interpret and administer the Plan. Such Committee shall consist of no less than three disinterested members of the Board of Directors. 

        Paragraph 4.    Participation.    Within 60 days after the beginning of each year, the Committee shall
nominate Participants from the officers and key employees for such year. The Committee shall also establish a target bonus for the year for each Participant expressed as a percentage of base salary or
specified portion of base salary. Participants shall be notified of their selection and their target bonus as soon as practicable. 

        Paragraph 5.    Determination of Performance Objectives.    Within 60 days after the beginning of each
year, the Committee shall establish target, minimum, and maximum performance objectives for the Company and for its major operating subsidiaries and shall determine the manner in which the target
bonus is
allocated among the performance objectives. The Committee shall also recommend a dollar maximum for payments to Participants for any Plan year. The Board of Directors shall take action concerning the
recommended dollar maximum within 60 days after the beginning of the Plan year. Participants shall be notified of the performance objectives as soon as practicable once such objectives have
been established. 

        Paragraph 6.    Determination and Distribution of Awards.    As soon as practicable, but in no event more than
90 days after the close of each year during which the Plan is in effect, the Committee shall compute incentive awards for eligible participants in such amounts as the members deem fair and
equitable, giving consideration to the degree to which the Participant's performance has contributed to the performance of the Company and its affiliated companies and using the target bonuses and
performance objectives previously specified. Aggregate awards calculated under the Plan shall not exceed the maximum limits approved by the Board of Directors for the year involved. To be eligible to
receive a payment, the Participant must be actively employed by the Company or an affiliate as of the date of distribution except as provided in Paragraph 8 and must not have been placed on
probation during such year. 

        Amounts
shall be paid (less appropriate withholding taxes and FICA deductions) according to the following schedule for Plan years beginning with 2001: 

Award Distribution Schedule  

	Percent of

Award
	 	Date

	67	%	As soon as possible after initial award is determined
	33	 	One year after initial award is determined
	
	 	 
	100	%	 

        Paragraph 7.    Restricted Stock in Lieu of Cash.    For 1992 and subsequent years, participants who have a
target bonus of $10,000 or higher shall be paid all deferred portions of such bonus with 

restricted shares of the Company's common stock under the Company's Long-term Stock Incentive Plan. Such stock shall be granted to the participant when the initial award is determined,
but shall vest free of restrictions according to the schedule specified above in Paragraph 6. 

        Paragraph 8.    Termination of Employment.    

        (a)  In
the event a Participant ceases to be an employee during a year by reason of death, disability, approved retirement, an award, or a reduction in force, if any,
determined in accordance with Paragraph 6 for the year of such event, shall be reduced to reflect partial participation by multiplying the award by a fraction equal to the months of
participation during the applicable year through the date of termination rounded up to whole months divided by 12. 

        For
the purpose of this Plan, approved retirement shall mean any termination of service on or after age 55 with 10 years of service. For the purpose of this Plan, disability shall
mean any termination of service that results in payments under the Company's long-term disability plan. A reduction in force, for the purpose of this Plan, shall mean any involuntary
termination of employment due to the Company's economic condition, sale of assets, shift in focus, or other reasons independent of the Participant's performance. 

        The
entire amount of any award that is determined after the death of a Participant shall be paid in accordance with the terms of Paragraph 11. 

        In
the event of termination of employment due to disability, approved retirement, or a reduction in force, a Participant shall be paid the undistributed portion of any prior awards in
his final paycheck or in accordance with the terms of elections to voluntarily defer receipt of awards earned prior to February 12, 1991, or deferred under the terms of the Company's Deferred
Compensation Plan. In the event of termination due to disability, approved retirement, or a reduction in force, any shares of common stock previously credited to a Participant shall be distributed
free of restrictions during the last month of employment. The current market value (defined as the closing price for the stock on the New York Stock Exchange on the date in question) of such shares
shall be included in the Participant's final paycheck. Such Participant shall be paid the full amount of any award (adjusted for partial participation) declared subsequent to the date of such
termination within 30 days of the date of declaration. Any partial payments shall be made in cash. 

        (b)  In
the event a Participant ceases to be an employee during a year by reason of a change in control, he shall be entitled to receive all amounts deferred by him prior to
February 12, 1991, and all undistributed portions for prior Plan years. He shall also be entitled to an award for the year of such event as if he had been an employee throughout such year. The
entire amount of any award for such
year shall be paid in a lump sum within 60 days after the end of the year in question. Such amounts shall be paid in cash. 

        A
Change in Control of the Company shall be deemed to have occurred if (i) any "Acquiring Person" (as such term is defined in the Rights Agreement dated as of February 13,
1996, between the Company and U. S. Bank, National Association ("Rights Agreement")) is or becomes the beneficial owner (as such term is used in Rule 13d-3 under the Securities
Exchange Act of 1934) of securities of the Company representing 25 percent or more of the combined voting power of the Company; or (ii) the following individuals cease for any reason to
constitute a majority of the number of directors then serving: individuals who, as of May 19, 1998, constitute the Company's Board of Directors ("Board") and any new director (other than a
director whose initial assumption of office is in connection with an actual or threatened election contest, including but not limited to a consent solicitation, relating to the election of directors
of the Company) whose appointment or election by the Board or nomination for election by the Company's stockholders was approved or recommended by a vote of at least two-thirds of the
directors then still in office who either were directors on May 19, 1998, or whose appointment, election or nomination for election was previously so approved or recommended; or
(iii) the Company's stockholders approve a merger or consolidation of the Company or any direct or indirect subsidiary of the Company with any other corporation, other than a merger or
consolidation that would result in the voting securities of the Company outstanding immediately prior 

to such merger or consolidation continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity or any parent thereof) at least
60 percent of the combined voting power of the securities of the Company or such surviving entity or its parent outstanding immediately after such merger or consolidation, or a merger or
consolidation effected to implement a recapitalization of the Company (or similar transaction) in which no person is or becomes the beneficial owner, directly or indirectly, of securities of the
Company representing 25 percent or more of the combined voting power of the Company's then outstanding securities; or (iv) the Company's stockholders approve a plan of complete
liquidation or dissolution of the Company or there is consummated an agreement for the sale or disposition by the Company of all or substantially all of the Company's assets, other than a sale or
disposition by the Company of all or substantially all of the Company's assets to an entity, at least 60 percent of the combined voting power of the voting securities of which are owned by
stockholders of the Company in substantially the same proportions as their ownership of the Company immediately prior to such sale. A Change in Control, however, shall not be considered to have
occurred until all conditions precedent to the transaction, including but not limited to, all required regulatory approvals have been obtained. 

        Paragraph 9.    Interest on Previously Deferred Amounts.    Amounts voluntarily deferred prior to
February 12, 1991, shall be credited with interest from the date the payment was first available in cash to the date of actual payment. Such interest shall be calculated at a monthly rate using
the typical rates paid by major banks on new issues of negotiable Certificates of Deposit in the amounts of $1,000,000 or more for one year as quoted in The Wall Street
Journal on the Thursday closest to the end of the month or other published source of rates as identified by Questar Corporation's Treasury department. 

        Paragraph 10.    Coordination with Deferred Compensation Plan.    Some Participants are entitled to defer the
receipt of their cash bonuses under the terms of the Company's Deferred Compensation Plan, which became effective November 1, 1993. Any cash bonuses deferred pursuant to the Deferred
Compensation
Plan shall be accounted for and distributed according to the terms of such plan and the choices made by the Participant. 

        Paragraph 11.    Death and Beneficiary Designation.    In the event of the death of a Participant, any
undistributed portions of prior awards shall become payable. Amounts previously deferred by the Participant, together with credited interest to the date of death, shall also become payable. Each
Participant shall designate a beneficiary to receive any amounts that become payable after death under this Paragraph or Paragraph 8. In the event that no valid beneficiary designation exists
at death, all amounts due shall be paid as a lump sum to the estate of the Participant. Any shares of restricted stock previously credited to the Participant shall be distributed to the Participant's
beneficiary or, in the absence of a valid beneficiary designation, to the Participant's estate, at the same time any cash is paid. 

        Paragraph 12.    Amendment of Plan.    The Company's Board of Directors, at any time, may amend, modify,
suspend, or terminate the Plan, but such action shall not affect the awards and the payment of such awards for any prior years. The Company's Board of Directors cannot terminate the Plan in any year
in which a change of control has occurred without the written consent of the Participants. The Plan shall be deemed suspended for any year for which the Board of Directors has not fixed a maximum
dollar amount available for awards. 

        Paragraph 13.    Nonassignability.    No right or interest of any Participant under this Plan shall be
assignable or transferable in whole or in part, either directly or by operation of law or otherwise, including, but not by way of limitation, execution, levy, garnishment, attachment, pledge,
bankruptcy, or in any other manner, and no right or interest of any Participant under the Plan shall be liable for, or subject to, any obligation or liability of such Participant. Any assignment,
transfer, or other act in violation of this provision shall be void. 

        Paragraph 14.    Special Limitation.    The Company's shareholders have not been asked to approve the Plan.
Consequently, awards payable under the Plan do not constitute performance based compensation under Section 162(m) of the Internal Revenue Code of 1986 as amended. Any portion of an award
otherwise payable under this Plan to a Participant who is listed in the compensation table of the Company's proxy statement will be deferred to the extent that the Company cannot take a tax 

deduction for it. The deferred payment will be made as soon as the Company can take a deduction for it. 

        Paragraph 15.    Effective Date of the Plan.    The Plan shall be effective with respect to the fiscal year
beginning January 1, 1984, and shall remain in effect until it is suspended or terminated as provided by Paragraph 12. 

QuickLinks

Exhibit No. 10.2.

QUESTAR CORPORATION ANNUAL MANAGEMENT INCENTIVE PLAN (As amended and restated effective February 11, 2003)QuickLinks
 -- Click here to rapidly navigate through this document

 
 

Exhibit 10.18.    
  

 
 

CONSULTING AGREEMENT
  BETWEEN
  GARY L. NORDLOH
  AND
  QUESTAR MARKET RESOURCES, INC.    
  

        This CONSULTING AGREEMENT is entered into effective as of November 1, 2002, between Questar Market Resources, Inc., a corporation organized and existing under the
laws of the state of Utah, with its principal place of business at 180 East 100 South, Salt Lake City, Utah 84111, herein referred to as the "Company," and Gary L. Nordloh of 4058 County Road 57, Box
194, Granby, Colorado 80446, herein referred to as "Mr. Nordloh." (As defined, the term "Company" refers to the Company and its subsidiaries on a consolidated basis.) 

Recitals  

        1.    Mr.
Nordloh has retired as an employee of Questar Exploration and Production Company, an affiliate of the Company, and no longer serves as an officer of the Company. He
has substantial knowledge of certain areas of the Company's business and operations. 

        2.    Due
to Mr. Nordloh's knowledge regarding Company business and operations, the Company has requested that he perform consulting and advisory services on an irregular,
part-time basis for a one-year period following his retirement. Mr. Nordloh desires to perform such services subject to the terms and conditions set forth below. 

        THEREFORE,
THE PARTIES AGREE AS FOLLOWS: 

Section I—Services  

        Mr. Nordloh will perform consulting and advisory services to the Company as requested from time to time by Mr. Keith O. Rattie or Mr. Charles B. Stanley as
representatives of the Company. Specifically, Mr. Nordloh may be requested to review the Company's strategies and plans and new business and merger/acquisition opportunities, to assist in the
identification and analysis of potential asset and corporate acquisitions, and to advise the Company concerning industry trends and their impact on the Company. He may also be asked to serve as a
witness in litigation or administrative proceedings involving the Company. Mr. Nordloh understands that the Company respects his intelligence, forthrightness and insightful integration of information
and that the Company expects him to exhibit the same characteristics when performing services under this Agreement. 

Section II—Place of Work  

        The Company will not provide Mr. Nordloh with a permanent office or other place of work. However, the Company will permit Mr. Nordloh to use an office at the
Company's facilities in Denver, Colorado and access to secretarial services for his work on Company affairs. 

Section III—Time Devoted to Work  

        In performing services under this Agreement, Mr. Nordloh is generally able to establish his own work schedule. He, however, is expected to attend and participate
in meetings of the Company's management team that will be held in Denver, Colorado on a quarterly or bi-monthly basis and that last from four to eight hours. In addition, Mr. Nordloh agrees to make
himself available by telephone for periodic discussions on various business issues, with the frequency of such calls decreasing over time as the Company adjusts to the transition caused by Mr.
Nordloh's retirement. The Company agrees to give Mr. Nordloh reasonable advance notice of meetings in or other travel requirements to Salt Lake City, Utah, or other locations within the Company's area
of operations. Mr. Nordloh agrees to be 

generally available by telephone, electronic mail, or fax and shall give reasonable notice to the Company in the event of vacations or other events that might interfere with normal availability and
communications. Mr. Nordloh also agrees to devote the necessary time to serve the Company as a director and to attend quarterly Board meetings as long as he remains a director of the Company. 

Section IV—Payment  

        The Company agrees to pay Mr. Nordloh a retainer of $10,000.00 per month, which is payable on or before the 15th day of each month with the first payment made on
or before November 15, 2002 and
with the last payment made on or before October 15, 2003. The Company will mail or electronically deposit these monthly retainer checks in accordance with Mr. Nordloh's instructions. The Company will
also reimburse Mr. Nordloh for any out-of-pocket expenses he incurs while performing services under this Agreement. Examples of such expenses are the cost of transportation, meals, and lodging if Mr.
Nordloh is required to perform services outside the area of his domicile or if sudden transportation is needed to return to Denver, Colorado. The Company will reimburse reasonable mileage expenses if
Mr. Nordloh is requested to travel out of town to perform responsibilities pursuant to the terms of this Agreement. 

Section V—Status  

        This Agreement provides for the performance of services by Mr. Nordloh as an independent contractor. Mr. Nordloh will not be considered an employee or officer of
the Company for any purpose and shall not represent himself as an employee or officer of the Company to third parties. He will not be eligible to participate in any pension or welfare benefit programs
or incentive compensation programs that are provided for employees of the Company other than benefits available to him as a retired employee. Mr. Nordloh understands that he is a retired employee for
purposes of exercising stock options granted by Questar Corporation ("Questar"). The sole benefits for which Mr. Nordloh shall be eligible are benefits available to retirees of Questar or available to
non-employee directors of the Company. 

        As
long as Mr. Nordloh provides services pursuant to the terms of this Agreement, he is considered to be an "insider" under federal securities laws and shall comply with the requirements
of such laws. 

Section VI—Termination  

        Either party may terminate this Agreement prior to the expiration of October 31, 2003, by sending written notice to the other party at least 30 days prior to the
proposed termination date. Termination of this Agreement prior to October 31, 2003 shall not relieve the Company of its obligations to reimburse Mr. Nordloh for any expenses incurred by him to perform
services pursuant to the terms of it nor relieve Mr. Nordloh of his obligations pursuant to Sections VII through XI of this Agreement. 

Section VII—Acknowledgments  

        (a)  Mr.
Nordloh shall render consulting services on behalf of the Company that are special, unique, and extraordinary; and 

        (b)  Mr.
Nordloh shall treat all Proprietary Information of the Company (as defined below) on a confidential basis. 

        (c)  During
this Agreement's term, Mr. Nordloh may have access to and become familiar with various items of the Company's Proprietary Information. Mr. Nordloh acknowledges
that such Proprietary Information shall be owned solely by the Company. 

Section VIII—Proprietary Information  

        Proprietary Information shall include, but not be limited to, information, knowledge, documents and data, subject to the exclusions of Section IX, that pertain to
existing operations and future developments of any aspect of the Company's current or prospective businesses known to Mr. Nordloh as result of his past employment or through services rendered pursuant
to this Agreement that are regarded and protected as confidential by the Company, the disclosure of which to unauthorized persons could have a detrimental consequence to the Company. 

Section IX—Limitations on Use of Proprietary Information  

        During the term of this Agreement and for one year after it terminates, Mr. Nordloh shall not use the Proprietary Information for any purpose except to further
the Company's business or divulge this information to any person other than the Company or persons to whom the Company has given its consent, except to the extent such information: 

        (a)  was
independently obtained by Mr. Nordloh in a manner unrelated to his employment with the Company; 

        (b)  was
in the public domain or enters into the public domain through no fault of Mr. Nordloh; or 

        (c)  is
compelled to be disclosed by government or legal process. 

Section X—Intellectual and Other Property  

        (a)  All
inventions and other developments or improvements conceived by Mr. Nordloh alone or in conjunction with other persons (including notes, drawings, memoranda or other
documents), during the term of his engagement that are within the scope of the Company's business operations or that relate to any of the Company's work or projects are the exclusive property of the
Company, and Mr. Nordloh agrees to execute such conveyances or documents required to transfer patents or copyrights as may be reasonably requested by the Company. 

        (b)  Upon
termination of this Agreement for any reason, Mr. Nordloh shall immediately return to the Company all of Company's property, if any, including cellular telephone,
computer hardware, computer software, software documentation, maps, reports, and any replications used by him in rendering services to the Company or otherwise that are in his possession of control. 

Section XI—Non-compete  

        (a)  The
Company is entering into this Agreement with Mr. Nordloh to obtain financial and competitive advantage. During the term of this Agreement and for a specified period
of time following termination of it, Mr. Nordloh shall not directly or indirectly: 

          (i)  engage
in, become employed by, or render services, advice or assistance to any person or business entity engaged in projects that do or may directly compete with any
projects he has rendered advice concerning or has become aware of the Company's interest in by virtue of the services rendered pursuant to this Agreement; 

        (ii)  retain
or use in any way any Proprietary Information or transmit or reveal any of such information to persons in competition with the Company; 

        (iii)  seek
or solicit business or investment opportunities for or on behalf of any persons in competition with the Company; 

        (iv)  disparage
the Company's management or strategic direction when dealing with third parties or employees; or 

        (v)  influence
or attempt to influence any Company employee to terminate his employment to work for Mr. Nordloh directly or any competitor of the Company. 

        (b)  The
Company is not interested in having Mr. Nordloh perform full-time consulting services for it during the term of this Agreement, but the Company's consent is
necessary for Mr. Nordloh to engage in provide consulting services to any customer or competitor of the Company during the term of this Agreement or the non-compete period following its termination.
The Company will not unreasonably withhold such consent. 

        (c)  The
period of time that this non-competition provision shall remain in effect shall be dependent on the termination of the Agreement. If the Agreement remains in effect
for the full year, the non-competition provision shall remain in effect until November 1, 2004. If the Company terminates the Agreement prior to November 1, 2003, the non-competition provision shall
expire on a date that is determined by adding the number of months the Agreement was in effect to the termination date. If Mr. Nordloh terminates the Agreement prior to November 1, 2003, the
non-competition provision shall expire on November 1, 2004. 

        (d)  The
parties have attempted to limit Mr. Nordloh's right to compete only to the extent necessary to protect the Company from unfair competition. Mr. Nordloh may request
and the Company may grant, at its sole discretion, waivers to the foregoing restrictions on a case-by-case basis where the applicability of this Section XI may be in question. Recognizing that
reasonable people may differ in making this determination, the parties agree that, if the scope of enforceability of this provision is disputed at any time, a court or other trier of fact may modify
and enforce this provision to the extent that it believes to be reasonable under the circumstances existing at that time. 

Section XII—Miscellaneous  

        This Agreement is personal in nature and is non-assignable. 

        This
Agreement shall be governed by and construed in accordance with the laws of the state of Utah applicable to agreements made in such state. 

        IN
WITNESS WHEREOF, the parties have executed this Agreement effective November 1, 2002. 

	 	 	QUESTAR MARKET RESOURCES, INC.
	

 	
 	

By:	
 	

/s/ Keith O. Rattie
 Keith O. Rattie

Vice Chairman of the Board
	

 	
 	

By:	
 	

/s/ Gary L. Nordloh
 Gary L. Nordloh

Consultant

QuickLinks

Exhibit 10.18.

CONSULTING AGREEMENT BETWEEN GARY L. NORDLOH AND QUESTAR MARKET RESOURCES, INC.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00049-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00049-of-00352.parquet"}]]