Document:

Diversey, Inc. Severance Pay Plan

 Exhibit 10.5 

 

 

 JOHNSONDIVERSEY, INC. 
 SEVERANCE PAY PLAN 
 and 

SUMMARY PLAN DESCRIPTION 
 Effective as of January 1, 2008 

 JOHNSONDIVERSEY, INC. 

SEVERANCE PAY PLAN 
 and 
 SUMMARY PLAN DESCRIPTION 

TABLE OF CONTENTS 
  

							
	 ARTICLE 1
	    	Purpose	  	 	1	  
			
	 ARTICLE 2
	    	Definitions	  	 	3	  
			
	 ARTICLE 3
	    	Eligibility for Benefits Guidelines	  	 	8	  
			
	 ARTICLE 4
	    	Severance Benefits Guidelines	  	 	9	  
			
	 ARTICLE 5
	    	Plan Administration	  	 	13	  
			
	 ARTICLE 6
	    	Plan Amendment and Termination	  	 	16	  
			
	 ARTICLE 7
	    	Miscellaneous Provisions	  	 	17	  
			
	 ARTICLE 8
	    	Statement of ERISA Rights and Plan Information	  	 	18	  

 FINAL 12/15/2010 

JOHNSONDIVERSEY, INC. 
 SEVERANCE PAY PLAN 
 and 

SUMMARY PLAN DESCRIPTION 
 ARTICLE 1 
 Purpose 

JohnsonDiversey, Inc. (the “Company”) hereby adopts the JohnsonDiversey, Inc. Severance Pay Plan (the “Plan”),
effective as of January 1, 2008 (the “Effective Date”). The Plan is a welfare benefit plan and is intended to meet all applicable requirements of the Employee Retirement Income Security Act of 1974 as amended (“ERISA”) and
regulations thereunder as in effect from time to time. The Plan is established to provide financial assistance to Eligible Employees whose Employment is terminated due to Involuntary Terminations of Employment occurring on or after the Effective
Date. 
 The Company intends that the Plan is a separation pay plan, as that term is defined by Internal Revenue Code
(“Code”) section 409A, and thereby is exempt from complying with the requirements of Code section 409A. Because the Plan is a separation pay plan, the Severance Benefits provided under the Plan shall not exceed two times the lesser of
(a) the sum of the Participant’s annualized compensation based upon the annual rate of pay for services provided to the Company for the Plan Year preceding the Plan Year in which a Participant’s Separation Date occurs or (b) the
maximum amount that may be taken into account under a qualified plan pursuant to Code section 401(a)(17) for the Plan Year in which the Participant’s Separation Date occurs. Severance Benefits that exceed the limit described above shall be
forfeited. 
 The Plan shall not affect or modify any severance pay programs adopted by the Company prior to the Effective Date
as applied to employees of the Company who are not Eligible Employees of this Plan. This Plan, however, shall supersede any severance pay programs or arrangements to the extent the programs or arrangements cover Eligible Employees and were adopted
by the Company on or before the Effective Date. 
 The Plan Administrator has sole and complete discretion to determine
eligibility for, and benefits to be received pursuant to, the Plan. In exercising its discretion, the Plan Administrator shall not be obligated to apply the provisions of the Plan in a consistent manner or to treat similarly-situated individuals in
the same manner. Instead, the Plan Administrator shall have discretion to award benefits from the Plan on a case-by-case basis. 

Set forth in Articles 3 and 4 of the Plan are guidelines which the Plan Administrator will generally follow in determining whether
to award 

 
Severance Benefits and, if so, the duration and amount of Severance Benefits. These Plan provisions are merely guidelines and do not create contractual commitments. An obligation of the Plan to
provide Severance Benefits to an Eligible Employee arises only when a written offer of Severance Benefits has been communicated by the Plan Administrator to an Eligible Employee. In order to receive benefits from the Plan, Eligible Employees shall
be required to first execute and return to the Plan Administrator a general written release substantially in the form attached to the Plan as Exhibit A. 
 This document describes the Plan’s Severance Benefits and constitutes both the Plan document and Summary Plan Description, within the meaning of ERISA. 

  
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 ARTICLE 2 
 Definitions 
 2.1 Affiliate. All members of any controlled group, within
the meaning of Internal Revenue Code sections 414(b) and (c), which includes the Company. 
 2.2 Company.
JohnsonDiversey, Inc. and any successor that adopts the Plan and any Affiliate which, with the consent of the Board of Directors of the Company, adopts the Plan for the benefit of its employees. The board of directors of JohnsonDiversey, Inc., or
such board members or other employees authorized by the board of directors from time to time, may act on behalf of the Company for purposes of this Plan. 
 2.3 Compensation. Base salary from the Company, including employee deferrals to 401(k) and 125 plans sponsored by the Company, plus any employee deferrals from base salary only to a
nonqualified deferred compensation plan sponsored by the Company, converted to a weekly equivalent as of each Employees’ Separation Date. 
 2.4 Eligible Employee. Any individual designated by the Company as a common law employee who is paid on a U.S. payroll. Eligible Employees do not include employees designated by the Company as
leased employees, fully commissioned employees, employees covered under a collective bargaining agreement, independent contractors, student co-op or intern employees and casual employees. 

2.5 Employment. An Eligible Employee’s employment with the Company beginning on the Eligible Employee’s original date of
hire and ending on the date the Eligible Employee severs from service for any reason. 
 2.6 Involuntary Termination of
Employment. The termination of Employment at the discretion of the Company of an Eligible Employee if: 
 (a) The Eligible
Employee’s position is eliminated as result of the discontinuance, termination, or phase-out of business operations involving the Eligible Employee’s position, as determined solely by the Company, or if the Eligible Employee’s
Employment is terminated by the Company, for any reason other than Cause; 
 (b) The Eligible Employee is not extended a
Qualifying Offer of Employment; and 

  
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 (c) The Eligible Employee does not accept Employment in any other position with the Company
or its Affiliates prior to the Eligible Employee’s Separation Date. 
 2.7 Participant. An Eligible Employee
participating in the Plan pursuant to Article 3. 
 2.8 Plan. The JohnsonDiversey, Inc. Severance Pay Plan, as
stated herein and as may be amended from time to time, which is incorporated and made a part of the Welfare Benefit Plan for Employees of JohnsonDiversey, Inc. 
 2.9 Plan Administrator. The Company, which shall control and manage the operation and administrative of the Plan as the named fiduciary. 

2.10 Plan Year. The period beginning on the Effective Date and ending on December 31, 2008 and each successive 12-month
period ending on December 31. 
 2.11 Qualifying Offer of Employment. An offer of Employment prior to the Eligible
Employee’s Separation Date, or an offer of reemployment after the Separation Date but during the Eligible Employee’s Severance Pay Period, with the Company or its Affiliates, that, when compared to the Eligible Employee’s job position
as of his or her Separation Date: 
 (a) is within one Tier (as determined by the Company) of the Eligible Employee’s
Tier, or is not more than a 20% reduction in base pay; and 
 (b) is within 50 miles of the Eligible Employee’s principal
workplace immediately prior to the offer. 
 In the event an Eligible Employee becomes entitled to Severance Benefits due to a
sale or other disposition of stock or assets of the business of the Company related to the employee’s job as of the employee’s Separation Date, eligibility for Severance Benefits shall be determined pursuant to the terms of the stock or
asset purchase agreement. If the Eligible Employee is offered a position with the buyer of the stock or assets that would generally constitute a Qualifying Offer of Employment except that employment is with the buyer, the employee shall not be
eligible for Severance Benefits, unless required by the stock or asset purchase agreement. 
 2.12 Separation Date. An
Eligible Employee’s last day of active Employment (i.e., the last day the Eligible Employee works for the Company) due to an Involuntary Termination of Employment which entitles the Participant to benefits from the Plan. 

  
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 2.13 Severance Benefits. Benefits paid to a Participant pursuant to Article 4.

 2.14 Severance Pay Period. The period of time during which a Participant is entitled to receive the Severance Benefits
described in Section 4.1. 
 2.15 Tier. Each Eligible Employee’s position of Employment as classified by tier,
according to the Company’s guidelines in effect as of the Eligible Employee’s Separation Date. 
 2.16 Termination
of Employment for Cause. Termination of Employment, as determined solely in the discretion of the Company. The following list is representative of the types of actions or conduct that the Company may consider as constituting “cause”
and is not intended to be exhaustive or comprehensive. 
 (a) Fraud, embezzlement, alteration or falsification of records or
other acts of dishonesty, breach of trust or insubordination against the Company or any of its Affiliates; 
 (b) Gross
negligence of, or gross or deliberate failure to perform, substantial job duties or chronic substandard performance; 
 (c)
Commission of a felony crime; 
 (d) Demonstrated substance abuse; 

(e) Conduct, actions or performance that violates or conflicts with the Company’s or any Affiliate’s Employee Conduct Policy,
Conflict of Interest and Outside Employment Policy, Confidential Nature of Work Policy, Anti-Harassment or Equal Employment Opportunities Policies, or any other Company policy or rule prescribing conduct or ethics; 

(f) Bodily injury or threat of bodily injury to another person; 

(g) Time card or sign-in book violations; 
 (h) Undue and unauthorized absence from duty during regularly scheduled work hours; 
 (i) Larceny or unauthorized possession of, or the use of, property belonging to any co-worker, visitor, or customer of the Company or any Affiliate; 

  
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 (j) Possession of dangerous weapons on Company or Affiliate premises (including Company or
Affiliate provided vehicles) or while conducting Company or Affiliate business, including, but not limited to, firearms, explosives, or unauthorized knives; 
 (k) Unauthorized possession, use or copying of any records that are the property of the Company or an Affiliate; 
 (l) Unauthorized posting or removal of notices from Company or Affiliate bulletin boards; 
 (m) Excessive absenteeism or lateness; 
 (n) Marring, defacing or other willful
destruction of any supplies, equipment or property of the Company or an Affiliate; 
 (o) Failure to call or directly contact
the appropriate supervisor when late or absent from work; 
 (p) Fighting or serious breach of acceptable behavior; 

(q) Possession of an illegal drug, alcohol, or a prescription drug without a prescription, or their introduction for use by others on
Company or Affiliate premises or while conducting business. This includes any such substances in employee cars during working hours or while on Company or Affiliate premises. The only exception is during Company or Affiliate sponsored events on site
for any alcohol consumption; 
 (r) Theft of Company or Affiliate property or the property of others doing business with the
Company or an Affiliate; 
 (s) Gambling, conducting games of chance or possession of such devices on the premises or during
work hours; 
 (t) Leaving the work premises without authorization during work hours; 

(u) Serious violation of Company or Affiliate safety rules that has the potential to endanger the employee or other co-workers on the
site; and 
 (v) Sleeping on duty. 
 2.17 Year of Service. A Participant’s aggregate period of Employment divided into whole years, except that: 
 (a) Any remaining partial period of Employment of at least six months shall be rounded up to be considered as a full Year of Service; 

  
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 (b) Any absence of Employment for a period of 12 or more successive months shall be
excluded; and 
 (c) The Years of Service of any Participant who has become eligible for Severance Benefits pursuant to
Article 3 and is subsequently rehired by the Company, shall be canceled in an amount determined by the Company as appropriate to avoid the duplication of the payment of Severance Benefits related to the period of Employment prior to rehire for
which Severance Benefits were earlier paid. 

  
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 ARTICLE 3 
 Eligibility for Benefits Guidelines 
 3.1 Participation Requirements. An
Eligible Employee shall become a Participant as of the date the Company, in its discretion, determines that the Eligible Employee is entitled to Severance Benefits. 
 3.2 Eligibility for Severance Benefits. Under these guidelines, a Participant shall be eligible for Severance Benefits, as determined pursuant to Article 4, if the Participant incurs an
Involuntary Termination of Employment. 
 3.3 Ineligibility for Benefits. Under these guidelines, an Eligible Employee
shall not be eligible to receive Severance Benefits pursuant to Article 4 in the event of any of the following: 
 (a) The
Eligible Employee’s termination of Employment prior to the Employee’s Separation Date for any reason, including, but not limited to, resignations and retirements; 
 (b) The Eligible Employee’s Termination of Employment for Cause; 
 (c) The
Eligible Employee’s acceptance of any offer to continue to be employed in any position with the Company or its Affiliates; 
 (d) The Eligible Employee’s loss of status as an employee eligible for Severance Benefits under the Plan prior to his or her Separation Date; 

(e) The Eligible Employee’s death prior to his or her Separation Date; 

(f) The amendment or termination of the Plan with respect to the Eligible Employee; or 

(g) The Eligible Employee’s rejection of a Qualifying Offer of Employment. 

  
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 ARTICLE 4 
 Severance Benefits Guidelines 
 4.1 Severance Benefits. The Plan
Administrator has complete discretion in determining eligibility for Severance Benefits and the amount of any Severance Benefits. The following are guidelines which the Plan Administrator may follow when awarding Severance Benefits to Participants
who satisfy the requirements for Severance Benefits pursuant to Article 3. 
 (a) Basic Severance Pay Calculation.
The Plan Administrator may award Severance Benefits to a Participant based on the Participant’s Years of Service and Compensation as of the Participant’s Separation Date pursuant to the following schedule, and as adjusted by
sections 4.1(b) and (c) below for the Participant’s Tier and age, if applicable, and as further subject to the minimum and maximum limits on the Severance Pay Period, as set forth in sections 4.1(d) and (e) below:

  

			
	 Years of Service
	  	 Severance Pay Period

		
	 0 - 13
	  	2 weeks of Compensation for each Year of Service
		
	 14 or more
	  	2.25 weeks of Compensation for each Year of Service

 (b) Adjustment to Severance Pay Period for Participants in Tiers 6 and 7. A Participant’s Severance Pay Period determined in (a) above shall be multiplied by an enhancement factor of
1.15 for Participants the Company designates as employed in Tiers 6 and 7 as of the Participant’s Separation Date. 

(c) Adjustment of Severance Pay Period for Age. A Participant’s Severance Pay Period determined in (a) above, and as
adjusted in (b) above, if applicable, shall be multiplied by the enhancement factor specified below if the Participant is at least age 40 as of the Participant’s Separation Date; 

(i) The enhancement factor is 1.10 for a Participant who is least age 40 but who has not yet attained age 50 as of the
Participant’s Separation Date; and 

  
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 (ii) The enhancement factor is 1.25 for a Participant who has attained at least age 50
as of the Participant’s Separation Date. 
 Notwithstanding the above, the adjustment of a Participant’s Severance
Pay Period for age shall not apply to a Participant whose principal place of residence, as of the Participant’s Separation Date, is in New Jersey. 
 (d) Minimum Severance Pay Period. 
 (i) A Participant designated as
employed on the Participant’s Separation Date in Tiers 6 or greater shall be entitled to a minimum Severance Pay Period of 8 weeks. 
 (ii) A Participant designated as employed on the Participant’s Separation Date in Tiers 1 through 5 shall be entitled to a minimum Severance Pay Period of 52 weeks. 

(e) Maximum Severance Pay Period. Notwithstanding anything herein to the contrary, the maximum Severance Pay Period for any
Participant shall be 52 weeks. 
 (f) Notice Payments. Whenever possible, a Participant shall be given two
weeks’ advance notice of the Participant’s Separation Date. If instead, notice of the Separation Date is provided less than two weeks prior to the Separation Date, the Participant shall remain on the Company’s payroll as an active
employee at the Participant’s then current salary and shall be deemed to incur a Separation Date for purposes of Severance Benefits on the 14th day following the date notice is provided. Except as set forth in this Plan, Participants shall not
be entitled to any other payments in lieu of notice and notice pay. 
 4.2 Commencement of Severance Benefits. Severance
Benefits shall commence as of the payroll period pay date next following the Participant’s Separation Date or, if later, the date the Participant executes a waiver of claims pursuant to section 4.8 and the seven day revocation period
relating to the waiver has lapsed. If a Participant is not actively working because he is on a Company authorized leave of absence (other than disability), or a temporary layoff, the Participant’s Separation Date shall be the date the
Participant would have experienced an Involuntary Termination of Employment if the Participant had been actively at work. If a Participant is not actively at work due to a Company-approved disability leave, the Participant’s Separation Date
shall be the date the Participant is released from disability to return to work, as determined by the Company. 

  
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 Notwithstanding anything herein to the contrary, the Company, in its sole discretion, may
commence payment of Severance Benefits prior to a Participant’s Separation Date, provided that the Company has provided the Participant with a written notice of an Involuntary Termination of Employment, the Participant executes a waiver of
claims pursuant to section 4.8 and the seven day revocation period relating to the waiver has lapsed. 
 4.3 Payment of
Severance Benefits. Severance Benefits shall be paid on the same payroll basis as Compensation was paid to the Participant and shall be subject to all applicable deductions and withholdings required by law. Notwithstanding anything herein to the
contrary, however, the Company may, in its sole discretion, pay Severance Benefits in a single lump sum to any Participant, or any group of Participants, at any time. Payment of Severance Benefits does not constitute compensation for purposes of any
other retirement or welfare benefit plan maintained by the Company. 
 4.4 Payment of Severance Benefits Upon Death of
Participant. If a Participant dies after Severance Benefits become payable under the Plan but prior to the date payment of Severance Benefits is completed, the actuarial equivalent present value of the Severance Benefits remaining to be paid, as
determined solely by the Plan Administrator, shall be paid in a single lump sum to the Participant’s legal surviving spouse, or if none, to the Participant’s estate. 
 4.5 Cessation of Benefits. Payment of Severance Benefits under the Plan shall cease immediately: 
 (a) Upon discovery by the Company that the Participant, while working as an employee of the Company, engaged in a criminal act or any other activity which would have resulted in a Termination of
Employment for Cause and ineligibility under section 3.3 of the Plan; 
 (b) Upon discovery by the Company that the
Participant has violated confidentiality, non-competition, non-solicitation or other covenants to which the Participant may be subject; 
 (c) If the Company makes a Qualifying Offer of Employment to a Participant who is receiving Severance Benefits and the Participant refuses to accept such offer; 

(d) If the Participant accepts any offer of Employment with the Company or an Affiliate, whether or not the offer constitutes a
Qualifying Offer of Employment; or 

  
 11 

 (e) The amendment or termination of the Plan with respect to the Participant. 

4.6 Reduction in Benefits Upon Rehire. Severance Benefits payable under the Plan shall cease or not be made available for
Participants who are rehired by the Company. The Plan Administrator shall have the absolute discretion to terminate Severance Benefit payments to Participants rehired by the Company. 

4.7 Repayment of Benefits. The Company reserves the right to recover Severance Benefits in the event of a violation of a covenant
described in section 4.5(b) or upon discovery of acts or omissions of cause pursuant to section 4.5(a). 
 4.8
Waiver of Claims and Non-Competition Clauses. The Company shall require a Participant to execute a waiver of claims substantially in the form attached hereto as Exhibit A as a condition to receiving benefits. The Company may require a
Participant to execute other agreements, such as a non-competition clause. 

  
 12 

 ARTICLE 5 
 Plan Administration 
 5.1 Appointment of Separate Administrator. The
Company may appoint a separate Plan Administrator which shall be a committee consisting of at least two persons. Members of the committee may resign by written notice to the Company and the Company may appoint or remove members of the committee. A
Plan Administrator consisting of more than one person shall act by a majority of its members at the time in office and may authorize any one or more of its members to execute any document or documents on behalf of the Plan Administrator. 

5.2 Application for Benefits. Generally, an obligation of the Plan to provide Severance Benefits to an Eligible Employee arises
only when a written offer of Severance Benefits has been communicated by the Plan Administrator to the Eligible Employee. An Eligible Employee not receiving Severance Benefits who believes that he is eligible for such benefits may request in writing
that his eligibility be reviewed by the Plan Administrator. The review of such a claim shall be governed by the following rules: 
 (a) Time Limits on Decision. Unless special circumstances exist, an Eligible Employee who has filed a claim shall be informed of the decision on his claim within 90 days of the date all
materials necessary to process the claim are received. Within that 90-day period, the Eligible Employee will receive a notice of the decision or a notice that: 
 (i) Explains the special circumstances requiring a delay in the decision; and 

(ii) Sets a date, no later than 180 days after all the materials necessary to process his claim have been received, by which the
Eligible Employee can expect to receive a decision. 
 (b) Denial. An Eligible Employee can assume that his claim has
been denied and can, if he wishes, proceed to appeal the denial if the an Eligible Employee does not receive: 
 (i) Any notice
regarding the claim within the initial 90-day period; or 
 (ii) A notice of a delayed decision within an additional
90 days. 

  
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 (c) Content of Denial Notice. If a claim for benefits is partially or wholly denied,
the Eligible Employee will receive a notice that: 
 (i) States the specific reason or reasons for denial; 

(ii) Refers to provisions of the Plan documents on which the denial is based; 

(iii) Describes and explains the need for any additional material or information that the Eligible Employee must supply in order to make
his claim valid; and 
 (iv) Explains what steps the Eligible Employee must take to ask for a review of his claim denial.

 5.3 Review of Denied Claim. The following rules apply when an Eligible Employee’s claim has been denied:

 (a) Review of Denied Claim. If an Eligible Employee wants his denied claim to be reconsidered, the Eligible Employee
must send a written request for a review of the claim denial to the Plan Administrator no later than 60 days after the date on which he receives written notification of the denial. The Eligible Employee may include a written explanation of the
issues and comments regarding those issues with the request for review. The Eligible Employee may review all pertinent Plan documents when preparing his request. 
 (b) Decision on Review. The Plan Administrator shall review the denied claim according to the terms and conditions of the Plan. The Eligible Employee will receive a written decision on the review
of a denied claim within 60 days of the date the Plan Administrator receives the Eligible Employee’s request for review or, if special circumstances require a delay in the decision, the Eligible Employee will receive a notice of the
reasons for the delay within the same period. A delayed decision will be issued no later than 90 days after the date the Plan Administrator receives a request for review. The written decision will explain the reasons for the decision and will
refer to the provisions of the Plan on which it is based. If, for any reason, the Eligible Employee does not receive a written decision within the time limits described, the Eligible Employee may assume that his claim has been denied on review.

 (c) Appeals. In the event a claim for benefits has been denied, no lawsuit or other action against the Plan or Plan
Administrator may be filed until the matter has been submitted for review under the review procedure described in this Article 5. Any such lawsuit or other action must be filed within 180 days of a final determination on appeal or the
expiration of the time limit for issuing a determination on appeal. 

  
 14 

 5.4 Determination by Plan Administrator Binding. The Plan Administrator shall have
full and complete authority to enforce the Plan in accordance with its terms and shall have all powers necessary to accomplish that purpose, including, but not limited to, the following: 

(a) To apply and interpret the Plan in its absolute discretion, including the authority to construe disputed provisions. 

(b) To determine all questions arising in its administration, including those related to the eligibility of persons to become
Participants and eligibility for Severance Benefits, and the rights of Participants; and its decision shall be final and binding upon all persons except to the extent that such decision may be determined to be arbitrary or capricious by a court
having jurisdiction over such matter. 
 (c) To compute and certify the amount of Severance Benefits payable to Participants.

 (d) To authorize all disbursements in accordance with the provisions of the Plan. 

(e) To employ and suitably compensate accountants, attorneys and other persons to render advice, and clerical employees, as it deems
necessary to the performance of its duties. 
 (f) To make available to Participants upon request, for examination during
business hours, such records as pertain exclusively to the examining Participant. 
 (g) To appoint an agent for service of
legal process. 

  
 15 

 ARTICLE 6 
 Plan Amendment and Termination 
 6.1 Power to Amend. The Company may at any
time, and from time to time, amend this Plan in any manner it deems necessary, including altering, reducing or eliminating benefits to be paid to Eligible Employees who have not yet experienced a Separation Date and benefits to Eligible Employees
who have already experienced a Separation Date, in an individual case or more generally, without notice. The provisions of the Plan as in effect at the time of an Eligible Employee’s layoff or termination of Employment shall control as to that
Eligible Employee, unless modified by the Company or otherwise specified in the Plan. 
 6.2 Termination of Plan. The
Company shall have the right to terminate, suspend or discontinue this Plan at any time with respect to any or all Participants and Eligible Employees. 
 6.3 Successor Employer. Any successor to all or any portion of the business of the Company may, with the consent of the Company, continue the Plan. Such successor shall succeed to all the rights,
powers and duties of the Company. The Employment of any Eligible Employee of the Company who continues in the employ of the successor shall not be deemed to have been terminated or severed for purposes of this Plan. 

  
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 ARTICLE 7 
 Miscellaneous Provisions 
 7.1 Limitation on Liability. In no event shall
the Company, the Plan Administrator or any Participant, Eligible Employee, officer or director of the Company incur any liability for any act or failure to act unless such act or failure to act constitutes a lack of good faith, willful misconduct or
gross negligence with respect to the Plan. 
 7.2 Construction. Except to the extent preempted by ERISA, the laws of the
State of Wisconsin shall govern the construction and application of the Plan. Words used in the masculine gender shall include the feminine and words used in the singular shall include the plural, as appropriate. If any provisions of the ERISA or
other applicable law render any provision of this Plan unenforceable, such provision shall be of no force and effect only to the minimum extent required by such law. 
 7.3 Contract of Employment. Nothing contained in this Plan shall be construed to constitute a contract of Employment between the Company and any employee. 

7.4 Source of Benefits. The Plan is intended to be an unfunded severance pay plan under ERISA. All benefits payable pursuant to
the Plan shall be paid or provided by the Company from its general assets. 

  
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 ARTICLE 8 
 Statement of ERISA Rights and Plan Information 
 8.1 ERISA Rights. Plan
Participants are entitled to certain rights and protections pursuant to ERISA. The Company intends to operate the Plan fairly and to comply fully with ERISA. ERISA provides that all Plan participants shall be entitled to: 

(a) Receive Information about the Plan and Benefits. Examine, without charge, at the Plan Administrator’s office and at
other specified locations, such as worksites, all documents governing the Plan, and a copy of the latest annual report (Form 5500 Series) filed by the Plan with the U.S. Department of Labor, and available at the Public Disclosure Room of the
Employee Benefits Security Administration. 
 Obtain, upon written request to the Plan Administrator, copies of all documents
governing the operation of the Plan, a copy of the latest annual report (Form 5500 Series) and updated summary plan description. The Plan Administrator may make a reasonable charge for the copies. 

Receive a summary of the Plan’s annual financial report. The Plan Administrator is required by law to furnish each Participant with
a copy of this summary annual report. 
 (b) Prudent Actions By Plan Fiduciaries. In addition to creating rights for
Plan Participants, ERISA imposes duties upon the people who are responsible for the operation of the Plan. The people who operate the Plan, called “fiduciaries” of the Plan, have a duty to operate the Plan prudently and in the interest of
Participants and beneficiaries. No one, including the Company or any other person, may terminate a Participant’s Employment or otherwise discriminate against a Participant in any way to prevent the Participant from obtaining a payment or
exercising the Participant’s rights under ERISA. 
 (c) Enforcement of Rights. If a Participant’s claim
for benefits is denied in whole or in part, the Participant has a right to know why this was done, to obtain copies of documents relating to the decision without charge, and to appeal any denial, all within certain time schedules. 

Under ERISA, there are steps a Participant may take to enforce the above rights. For instance, if a Participant requests a copy of Plan
documents or the latest annual report from the Plan and does not receive them within 30 days, the Participant may file suit in a Federal court. In such a case, the court may require the Plan Administrator to provide the materials and pay the

  
 18 

 
Participant up to $110 a day until the materials are received, unless the materials were not sent because of reasons beyond the control of the Plan Administrator. If a Participant has a claim for
benefits which is denied or ignored, in whole or in part, the Participant may file suit in a state or Federal court. 
 (d)
Assistance With Questions. If a Participant has any questions about the Plan, the Participant should contact the Plan Administrator. If a Participant has any questions about this statement or about the Participant’s rights under
ERISA, or if a Participant needs assistance in obtaining documents from the Plan Administrator, the Participant should contact the nearest office of the Employee Benefits Security Administration (EBSA) , U.S. Department of Labor listed in the
telephone directory or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue, N.W., Washington, D.C. 20210. A Participant may also obtain certain
publications about rights and responsibilities under ERISA by calling the publications hotline of the Employee Benefits Security Administration (866-444-EBSA(3272)). A Participant may also contact EBSA by email at “askebsa.dol.gov” or
through the Web at “www.dol.gov/ebsa.” 
 8.2 Plan Administration. 

 

			
	Plan Sponsor:	  	 JohnsonDiversey, Inc.
 8310
Sixteenth Street
 Sturtevant, WI 53177

(262) 631-4001

		
	Plan Year:	  	January 1 through December 31
		
	Company Identification Number:	  	For reporting Plan information to the IRS, the Company Identification Number is 39-1877511.
		
	Plan Number:	  	The Plan is a part of the Welfare Benefit Plan for Employees of JohnsonDiversey, Inc. The Plan Number is 514.
		
	Plan Administrator:	  	 JohnsonDiversey, Inc.
 8310
Sixteenth Street
 Sturtevant, WI 53177

(262) 631-4001

		
	Type of Plan:	  	Welfare plan providing severance pay benefits.

  
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	Sources of Contributions and Funding:	  	The Company provides Severance Benefits from its general assets. Eligible Employees do not contribute to the Plan.
		
	Type of Administration:	  	The Plan is administered by JohnsonDiversey, Inc.
		
	Agent for Service of Legal Process:	  	Legal process may be served under the Plan Administrator at the address specified above.

 IN WITNESS WHEREOF, the Company has caused this Plan to be executed by a duly elected officer this 15th day of December, 2008. 

 

			
	JOHNSONDIVERSEY, INC.
		
	By	 	 /S/ James W. Larson

		 	James W. Larson
	Its	 	 Senior Vice President – Human Resources

  
 20 

 FINAL 12/15/2010 

Resolutions 

Authorizing and Approving Specific Actions Involving 
 the JohnsonDiversey, Inc. Severance Pay Plan 
 WHEREAS, Diversey,
Inc., f/k/a JohnsonDiversey, Inc., (the “Company”) maintains the JohnsonDiversey, Inc. Severance Pay Plan (the “Plan”), a welfare benefit plan providing severance benefits to eligible employees; 

WHEREAS, the Plan permits the Company to amend the Plan at any time and from time to time; and 

WHEREAS, the Company wishes to amend the Plan to reflect current practices, to reflect the change in the Company’s name from
JohnsonDiversey, Inc. to Diversey, Inc. and to change the name of the Plan to the Diversey, Inc. Severance Pay Plan. 
 NOW,
THEREFORE, BE IT RESOLVED, that Amendment No. 1 to the Plan in the form of Exhibit A attached to these Resolutions is hereby adopted effective as of the date specified in the Amendment; and 

FURTHER RESOLVED, that the name of the Plan shall be the Diversey, Inc. Severance Pay Plan; 

FURTHER RESOLVED, that all references within the Plan to “JohnsonDiversey, Inc.” shall be changed to “Diversey,
Inc.”; 
 FURTHER RESOLVED, the proper officers of the Company are authorized and directed to execute and deliver,
on behalf of the Company, the Amendment of the Plan in the form of the attached Exhibit A with such changes as, in the opinion of the officer executing the Amendment, may be necessary or appropriate, such opinion to be conclusively evidenced by
such officer’s execution of the Amendment as so changed, and take such further action as may be necessary or appropriate to implement the Amendment to the Plan. 

 FINAL 12/15/2010 

Exhibit A 

JOHNSONDIVERSEY, INC. SEVERANCE PAY PLAN 
 AMENDMENT NO. 1 
 The JohnsonDiversey, Inc. Severance Pay Plan (the
“Plan”) is amended effective as of December 31, 2010 as follows: 
 1. All references to “JohnsonDiversey, Inc.” within
the Plan, including the Plan’s definition of “Company” in section 2.2 shall be changed to “Diversey, Inc.” 
 2.
The name of the Plan, as specified in the introduction and as defined in section 2.8 shall be changed to the Diversey, Inc. Severance Pay Plan. 

3. Section 3.3 is amended in its entirety to read as follows: 

Section 3.3 Ineligibility for Benefits. Under these guidelines, an Eligible Employee shall not be eligible to
receive Severance Benefits pursuant to Article 4 in the event of any of the following: 
 (a) The Eligible
Employee’s termination of Employment prior to the Employee’s Separation Date for any reason, including, but not limited to, resignations and retirements; 

(b) The Eligible Employee’s Termination of Employment for Cause; 

(c) The Eligible Employee’s acceptance of any offer to continue to be employed in any position with the Company or
its Affiliates; 
 (d) The Eligible Employee’s loss of status as an employee eligible for Severance Benefits
under the Plan prior to his or her Separation Date; 
 (e) The Eligible Employee’s death prior to his or her
Separation Date; 
 (f) The amendment or termination of the Plan with respect to the Eligible Employee;

  
 A-1

 (g) The Eligible Employee’s rejection of a Qualifying Offer of
Employment; or 
 (h) The Eligible Employee does not have a signed Restrictive Covenant Agreement in the form
provided by the Company in his or her personnel file prior to the date the Eligible Employee might otherwise become a Participant unless the Restrictive Covenant Agreement is timely executed upon the request of the Company under Section 4.9
hereof. 
 4. The Plan is amended to add a new Section 4.9 as follows: 

Section 4.9 Restrictive Covenant Agreement. The Company may require an Eligible Employee to execute or
re-execute, as applicable, the Restrictive Covenant Agreement in the form provided by the Company as a condition to receiving benefits. 
 The Company has caused this Amendment to be executed by a duly elected officer this 15th day of December, 2010. 

 

			
	DIVERSEY, INC.
		
	By:	 	 /s/ Scott D. Russell

		 	Scott D. Russell
	Its:	 	 Senior Vice President, General Counsel

  
 A-2Diversey, Inc. Annual Incentive Plan, as amended and restated

 Exhibit 10.2 
 Resolutions 
 Authorizing and Approving Specific Actions Involving

 the JohnsonDiversey, Inc. Amended and Restated Performance Bonus Opportunity 

Plan For Key Executives and Officers 
 WHEREAS, Diversey, Inc. f/k/a JohnsonDiversey, Inc. (the “Company”) maintains the JohnsonDiversey, Inc. Amended and Restated Performance Bonus Opportunity Plan for Key Executives and
Officers (n/k/a the Annual Incentive Plan) (the “Plan”), a bonus plan for eligible employees; 
 WHEREAS, the
Plan permits the Company to amend the Plan at any time and from time to time; 
 WHEREAS, the Company wishes to amend and
restate the Plan to reflect current practices, to reflect the change in the Company’s name from JohnsonDiversey, Inc. to Diversey, Inc. and to change the name of the Plan to the Diversey, Inc. Annual Incentive Plan; 

NOW, THEREFORE, BE IT RESOLVED, that the Company adopts, authorizes and approves the Diversey, Inc. Annual Incentive Plan in the
form of Exhibit A attached to these Resolutions and incorporated herein by reference, effective as of the dates specified therein; 
 FURTHER RESOLVED, that the name of the Plan shall be the Diversey, Inc. Annual Incentive Plan; 
 FURTHER RESOLVED, that the proper officers of the Company are authorized and directed, in the name and on behalf of the Company, to take any and all actions as may be deemed necessary or
appropriate to effect the intent of the foregoing Resolutions including, but not limited to, the execution of the amended and restated Plan in the form of the attached Exhibit A, with such changes as, in the opinion of the officer executing the
amendment, may be necessary or appropriate. The officer’s opinion shall be conclusively evidenced by such officer’s execution of the amendment. 

  
 i 

 Exhibit A 

 

 

 

 DIVERSEY, INC. 
 ANNUAL INCENTIVE PLAN 
 Amended and Restated Effective as of
December 31, 2010 

 Exhibit A 
 DIVERSEY, INC. 
 ANNUAL INCENTIVE PLAN 

TABLE OF CONTENTS 
  

					
	 	  	 	  	 Page

			
		  	ARTICLE 1	  	
			
		  	ESTABLISHMENT AND PURPOSE	  	
			
	1.01	  	Adoption of Plan	  	1
	1.02	  	Purpose of Plan	  	1
			
		  	ARTICLE 2	  	
			
		  	DEFINITIONS	  	
			
	2.01	  	Award Payout	  	2
	2.02	  	Board	  	2
	2.03	  	Committee	  	2
	2.04	  	Company	  	2
	2.05	  	Disability	  	2
	2.06	  	Employer	  	2
	2.07	  	Fiscal Year	  	2
	2.08	  	Participant	  	2
	2.09	  	Participating Employer	  	2
	2.10	  	Performance Goals	  	3
	2.11	  	Performance Metrics	  	3
	2.12	  	Plan	  	3
	2.13	  	Retirement	  	3
	2.14	  	Tiers 1-10	  	3
			
		  	ARTICLE 3	  	
			
		  	PARTICIPATION	  	
			
	3.01	  	Eligibility	  	3
	3.02	  	Commencement of Participation	  	4
	3.03	  	Termination of Participation	  	4

					
			
		  	ARTICLE 4	  	
			
		  	PERFORMANCE AWARDS	  	
			
	4.01	  	Basis for Awards Payouts	  	4
	4.02	  	Annual Incentive Pool	  	4
	4.03	  	Determination of Individual Award Payouts	  	4
	4.04	  	Changes to Lower Tiers	  	5
	4.05	  	Timing of Award Payouts	  	5
	4.06	  	Eligibility for Award Payout	  	5
			
		  	ARTICLE 5	  	
			
		  	ADMINISTRATION	  	
			
	5.01	  	Administration	  	5
			
		  	ARTICLE 6	  	
			
		  	MISCELLANEOUS	  	
			
	6.01	  	Amendment	  	6
	6.02	  	Termination	  	6
	6.03	  	Tax Withholding	  	6
	6.04	  	Relationship to Other Plans	  	6
	6.05	  	Payment and Handling of Awards	  	6
	6.06	  	No Effect on Employment	  	7
	6.07	  	No Guarantee of a Payout	  	7
	6.08	  	Severability	  	7
	6.09	  	Successors	  	7
	6.10	  	Construction of Plan	  	7
	6.11	  	Gender and Headings	  	7
	6.12	  	Compliance with Code Section 409A	  	8

  
 ii 

 Exhibit A 
 DIVERSEY, INC. 
 ANNUAL INCENTIVE PLAN 

ARTICLE 1 

Establishment and Purpose 
 1.01 Adoption of Plan. The Board of Directors (the “Board”) of Diversey, Inc., a Delaware corporation (the “Company”), previously adopted and maintained the
Amended and Restated Performance Bonus Opportunity Plan for Certain Key Executives and Officers of the Company which was subsequently revised to provide for performance bonus opportunities for eligible employees in Tiers 1 – 10 (defined below)
and was renamed the Annual Incentive Plan (the “Plan”). This document is a further amendment and restatement of the Plan to incorporate changes made to the Plan by the Committee and to conform the Plan to current practices. This
amendment and restatement is effective December 31, 2010. This Plan incorporates and supersedes all previous performance bonus opportunity and annual incentive plans and policies adopted by the Company. 

1.02 Purpose of Plan. The purpose of the Diversey, Inc. Annual Incentive Plan is to provide performance-based incentives to
Participants separate from other elements of the Company’s incentive and compensation programs to advance the interests of the shareholders of the Company. The Plan is aimed at stimulating and rewarding outstanding individual performance.
Specifically, the purposes of the Plan are to: 
 (a) Contribute to the on-going development of the
Company’s management resources by recognizing and rewarding outstanding performance, achievements and contributions to Fiscal Year results by Participants. 
 (b) Focus attention of Participants to specific challenges and opportunities as defined by and aligned with the Company’s strategy. 

(c) Motivate Participants to develop maximum creativity and resilience in planning and directing their organizations in
the face of changing competitive, economic, political and other conditions. 
 (d) Provide an incentive for
Participants to constructively assist other areas of the Company to meet current and future challenges. 
 (e)
Ensure Participants develop realistic yet challenging short-range key objectives that will stretch the Company’s capabilities. 

 (f) Ensure that goals, specific plans for attaining them, accomplishments
and the basis for measuring them are fully discussed and agreed upon by managers and their employees on a regular basis. 
 (g) Motivate and reward Participants to build and achieve long-range strategic objectives for business units and the Company. 
 ARTICLE 2 
 Definitions 

2.01 “Award Payout” means the amount a Participant is paid under the Plan for a Fiscal Year as determined by the
Committee. 
 2.02 “Board” means the Board of Directors of the Company. 

2.03 “Committee” means the Compensation Committee of the Board. 

2.04 “Company” means Diversey, Inc., a Delaware corporation and any successor thereto that adopts the Plan. 

2.05 “Disability” means a Participant’s inability to perform the responsibilities of employment due to physical or
mental incapacity in circumstances in which the Participant qualifies for benefits under the Employer’s applicable long-term disability plan (if any) and has qualified for such benefits for a continuous period of at least twenty-six
(26) weeks, or if no such long-term disability plan applies to the Participant, as determined by the Committee. 
 2.06
“Employer” means the Company and any Participating Employer. 
 2.07 “Fiscal Year” means the
12-month period beginning on each January 1 and ending the following December 31. 
 2.08
“Participant” means all employees ranked in Tiers 1-10 by the Committee who are not in any other sales/incentive program of the Employer participating in the Plan for a Fiscal Year as provided in Article 3. 

2.09 “Participating Employer” means any affiliate of the Company authorized by the Company to participate in the Plan or
as otherwise determined by the Committee. 

  
 2 

 2.10 “Performance Goals” means the objective performance goals established
by the Committee for each Fiscal Year. Performance Goals may be stated as threshold, target and maximum Performance Goals or as otherwise determined by the Committee. 
 2.11 “Performance Metrics” means the applicable Performance Metrics for each Fiscal Year which, unless otherwise determined by the Committee, shall be working capital improvement,
earnings before interest, taxes, depreciation and amortization (“EBITDA”), net sales growth and personal objectives, all of which may be weighted differently each Fiscal Year in the discretion of the Committee. 

2.12 “Plan” means the Diversey, Inc. Annual Incentive Plan as set forth herein, and as it may be amended from time to
time. 
 2.13 “Retirement” means termination of employment with the Employer after attaining age fifty-five
(55) and completing at least ten (10) years of service with the Employer, as determined by the Committee. 
 2.14
“Tiers 1-10” means jobs with the Employer in following internal job titling structure: 
  

	 	•	 	 Tier 1: President and CEO 

  

	 	•	 	 Tier 2: Executive Vice President 

  

	 	•	 	 Tier 3: Senior Vice President 

  

	 	•	 	 Tiers 4-5: Vice President 

  

	 	•	 	 Tiers 6-7: Director 

  

	 	•	 	 Tiers 8-10: Manager 

 ARTICLE 3 
 Participation 

3.01 Eligibility. All employees of the Employer hired or promoted before October 1 of any Fiscal Year into Tiers 1-10 are
Participants in the Plan and may become eligible to receive an Award Payout based on the level of achievement of specified Performance Goals as determined by the Committee; provided, however, that no Participant will receive an Award Payout for a
Fiscal Year unless such Participant has a signed Restrictive Covenant Agreement in the form provided by the Company in his or her personnel file on or before the last day of that respective Fiscal Year. In addition, any Participant with a “Did
Not Meet” or “Partially Met” performance rating will not be eligible to receive an Award Payout based on any measure under the Plan for the Fiscal Year in which such rating is assessed. 

  
 3 

 3.02 Commencement of Participation. Subject to Section 3.01, any employee who
first becomes a Participant either due to initial hire or promotion between January 1 and September 30 of a Fiscal Year will receive a pro rata Award Payout for that Fiscal Year based on the applicable Performance Goals. The pro rata Award
Payout is determined based upon the individual’s eligibility date. 
 3.03 Termination of Participation. A
Participant that becomes ineligible under the Plan during a Fiscal Year will receive a pro rata Award Payout for that Fiscal Year based on the applicable Performance Goals. The pro rata Award Payout is determined based on the individual’s
ineligibility date. 
 ARTICLE 4 
 Performance Awards 
 4.01 Basis for Award Payouts. In connection
with each Fiscal Year, the Committee shall (a) establish the Performance Goals based on the Performance Metrics applicable for the respective Fiscal Year, (b) establish the formula for determining the level of Award Payout based on
achievement of the applicable Performance Goals, and (c) establish such other terms and conditions for Award Payouts for the respective Fiscal Year as the Committee deems desirable or appropriate in its discretion. 

4.02 Annual Incentive Pool. The global annual incentive pool is determined by the Committee based on the level of achievement of
Performance Goals for each Fiscal Year. The Board may adjust the annual incentive pool to increase or decrease the pool for extraordinary, unusual, non-recurring or infrequent events. The global annual incentive pool is allocated by the Chief
Executive Officer (in amounts not to exceed 100% of the total global annual incentive pool) to regional and function pools determined by the Committee. 
 4.03 Determination of Individual Award Payouts. Individual Award Payouts to each Participant will be based on the regional and function pool covering each Participant and the individual Award
Payout from such pool will be determined using base salary of each Participant as of the last day of the respective Fiscal Year and the level of achievement of applicable Performance Metrics and individual performance objectives. For this purpose,
the term “base salary” shall not include profit sharing, allowances or any other payments or benefits. For employees transferring between businesses where the effect will be a change in organizational Performance Metrics used to determine
the Award Payout, year end Performance Metrics will be prorated based on month of transfer for both businesses and year end base salary will be used to determine the amount of the Award Payout. 

  
 4 

 4.04 Changes to Lower Tiers. In the event a Participant moves to a lower tier during
a Fiscal Year, the Participant will remain in their pre-move tier under the Plan for up to two years, unless the move to a lower tier is due to poor performance or skill deficiencies as determined by the Committee, in which case, the Participant
will be immediately reduced to the level of the new (lower) tier, and any Award Payout will be prorated in the year of transfer to the lower tier based on the number of full months the Participant is in the lower tier. 

4.05 Timing of Award Payouts. Award Payouts are paid as soon as administratively practical following the January 1 after the
Fiscal Year to which the Award Payout pertains but in no event later than two and one-half months following the end of the year in which the Award Payout is no longer subject to a substantial risk of forfeiture. 

4.06 Eligibility for Award Payout. To be eligible for an Award Payout, the Participant must be continuously employed by the
Employer through and including the January 1 immediately following the last day of the respective Fiscal Year to which the Award Payout pertains. If a Participant incurs a termination of employment on or prior to January 1 immediately
following the last day of the Fiscal Year, the Participant shall forfeit any applicable Award Payout for that Fiscal Year, unless the Committee determines in its sole discretion that the Participant’s termination of employment after
March 31 and prior to the January 1 immediately following the last day of the respective Fiscal Year was due to Retirement, death or Disability and the Committee determines, in its sole discretion, that the Award Payout for such Fiscal
Year will be made to such Participant. 
 ARTICLE 5 
 Administration 
 5.01 The Plan shall be administered by the Committee and
Award Payouts for all Participants under this Plan shall be made only if authorized by the Committee. Subject to the provisions of the Plan, the Committee shall have full discretionary authority to administer and interpret the Plan, to exercise all
powers either specifically granted to it under the Plan or as are necessary or advisable in the administration of the Plan, to decide the facts in any case arising under the Plan, to reduce, eliminate, or increase any Award Payout for any individual
or group, to make adjustments to any Award Payout in circumstances where, during the Fiscal Year a Participant leaves the Employer and is rehired as a Participant or is hired, promoted, transferred or demoted during a Fiscal Year, to prescribe,
amend and rescind rules and regulations relating to the 

  
 5 

 
Plan, to correct errors or omissions, to require performance reports on which it can base its determinations under Article 4 and to make all other determinations necessary or advisable for the
administration of the Plan, all of which shall be binding on all persons, including the Company, Participating Employers, employees, and Participants (or any person claiming any rights under the Plan from or through any Participant). The
Committee’s administration of the Plan, including all rules and regulations, interpretations, selections, determinations, approvals, decisions, delegations, amendments, terminations and other actions, shall be final and binding on the Company,
Participating Employers and all persons providing services to any Employer, including Participants and any of their beneficiaries. Nothing in this entire Plan shall affect the traditional authority of management to establish the compensation of
employees other than elected officers. The chairman of the Committee is authorized to act for the Committee between regular meetings of the Committee. 
 ARTICLE 6 
 Miscellaneous 

6.01 Amendment. The Board and the Committee shall each have the right at any time, and from time to time, to amend in whole or in
part any or all of the provisions of the Plan. Any amendment that results in an acceleration of the time or form of payment shall be invalid if such amendment violates Internal Revenue Code (“Code”) Section 409A. 

6.02 Termination. The Plan shall continue in effect until terminated by resolution of the Board or the Committee. All rights and
obligations under this Plan with respect to Awards granted on or prior to termination of the Plan shall continue beyond such termination. 
 6.03 Tax Withholding. A Participating Employer shall have the power to withhold, or require a Participant to remit to the Participating Employer, an amount sufficient to satisfy any withholding or
other tax due under the tax withholding provisions of the Code, any state or local tax act or other applicable law, including the laws of foreign jurisdictions, with respect to any payout made under the Plan. 

6.04 Relationship to Other Plans. The Plan is fully discretionary in its application and is not related to other compensation
plans of the Employer, including, for example, merit increase programs, cash and deferred profit sharing, special awards, incentive certificate plan, restricted stock plan, stock purchase plan and benefit programs and other similar plans.

 6.05 Payment and Handling of Awards. All Participants who are U.S. employees of the Employer will have their Award
Payout paid in U.S. dollars. All other 

  
 6 

 
Participants will normally have their Award Payout paid to them in the currency of the country in which the Participant worked during the Fiscal Year and charged to that Participating Employer.
If a Participant worked in more than one country during the Fiscal Year, the Award Payout will be equitably apportioned between or among various Employers and the Award Payout will be charged to various Employers as an expense on the same basis. In
making such apportionment, consideration may be given to various relevant factors such as length of service, job levels, and performance at each Employer. Exceptions require the approval of the Committee. All of the foregoing is subject to the
requirements of local laws. 
 6.06 No Effect on Employment. Neither the adoption of the Plan nor its operation shall in
any way affect the right and power of a Participating Employer to dismiss or otherwise terminate the employment or change the terms of employment or amount of compensation of any employee or Participant at any time for any reason with or without
cause. 
 6.07 No Guarantee of a Payout. Eligibility to receive an Award Payout in a given Fiscal Year is not a guarantee
that a payout will be made in any subsequent Fiscal Year. 
 6.08 Severability. If any provision of this Plan shall be
held illegal or invalid for any reason, such invalidity or illegality shall not affect the remaining provisions of the Plan, and the Plan shall be construed or enforced as if the invalid provisions had never been set forth therein. 

6.09 Successors. This Plan shall be binding upon and inure to the benefit of and be enforceable by the respective successors and
assigns of the Employer. The rights of a Participant under this Plan are personal to such Participant and the Participant may not assign such rights or sell, transfer, pledge or otherwise dispose of any rights of such Participant except in
accordance with the provisions of this Plan. All obligations of this Plan shall be binding upon the heirs, representatives and estate of the Participant. 
 6.10 Construction of Plan. This Plan shall be construed according to the laws of the State of Wisconsin and all provisions hereof shall be administered according to, and its validity shall be
determined under, the laws of such state without regard to its conflicts of laws. 
 6.11 Gender and Headings. Wherever
any words are used herein in the masculine gender they shall be construed as though they were also used in the feminine gender in all cases where they would so apply, and wherever any words are used herein in the singular form they shall be
construed as though they were also used in the plural form in all cases where they would so apply. Headings of numbered sections and numbered paragraphs of this Plan are inserted for convenience of reference and are not part of this Plan and are not
to be considered in the construction hereof. 

  
 7 

 6.12 Compliance with Code Section 409A. This Plan is intended to be exempt
from, or otherwise comply with, the provisions of Code Section 409A and applicable guidance and its provisions shall be interpreted in accordance with that intent. No provision of this Plan shall be interpreted to permit the acceleration of the
time of any payment scheduled to be paid under the Plan in any manner which is impermissible pursuant to Code Section 409A. A Participating Employer shall not be liable nor responsible for any tax consequences which result from any
Participant’s participation in the Plan, except for any applicable obligations under the law as to income tax withholding or payroll taxes. 

  
 8

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