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  Exhibit 10.2    
    

 
    Amended and Restated Employment
  Agreement for Michael A. Mussallem    
    

Edwards
Lifesciences Corporation 

November 13, 2008

 
 

  Contents    
    

			
	 Article 1. Definitions
	 	

1
	 Article 2. Term of Employment Agreement
	 	

2
	 Article 3. Employment Duties and Compensation
	 	

2
	 Article 4. Employment Termination
	 	

5
	 Article 5. Restrictive Covenants
	 	

7
	 Article 6. Indemnification
	 	

8
	 Article 7. Assignment
	 	

8
	 Article 8. Dispute Resolution and Notice
	 	

9
	 Article 9. Miscellaneous
	 	

9

 

 

 
 

  Amended and Restated Employment Agreement
  for Michael A. Mussallem
  Edwards Lifesciences Corporation    
    

        This AMENDED AND RESTATED EMPLOYMENT AGREEMENT (the "Restated Agreement") is made, entered into, and is effective as of the
13th day of November, 2008 (the "Effective Date"), by and between Edwards Lifesciences Corporation, a Delaware corporation (the "Company"), and Michael A. Mussallem (the "Executive"). 

        WHEREAS,
the Executive possesses considerable experience and knowledge of the business and affairs of the Company concerning its policies, methods, personnel, and operations; and 

        WHEREAS,
the Executive has demonstrated unique qualifications to act in an executive capacity for the Company; and 

        WHEREAS,
the Company is desirous of assuring the continued employment of the Executive as Chief Executive Officer ("CEO"), and the Executive is desirous of having such assurances; and 

        WHEREAS,
the Company and the Executive are currently parties to that certain Employment Agreement dated December 2000 (the "Prior Employment Agreement") and desire to amend and restate
the terms and conditions of the Prior Employment Agreement so as to bring those terms and conditions into documentary compliance with the final Treasury Regulations under Section 409A of the
Internal Revenue Code of 1986, as amended and to continue the Executive's employment with the Company upon those amended and restated terms and conditions; and 

        WHEREAS,
by executing this Restated Agreement, the Executive and the Company hereby agree that this Restated Agreement shall supersede any prior employment arrangement or severance
benefits set forth in the Prior Employment Agreement. 

        NOW,
THEREFORE, in consideration of the foregoing and of the mutual covenants and agreements of the parties set forth in this Agreement, and of other good and valuable consideration the
receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, agree as follows: 

 Article 1. Definitions  

        As used in this Restated Agreement, unless the context expressly indicates otherwise, the following terms have the following meanings: 

        1.1   "Base Salary" means, at any time, the then-regular annual rate of pay which the Executive is receiving as
annual salary, excluding amounts: (i) designated by the Company as payment toward reimbursement of expenses or (ii) received under short-term or long-term
incentive or other bonus plans, regardless of whether or not the amounts are deferred. 

        1.2   "Board" means the Board of Directors of the Company. 

        1.3   "Cause" shall be determined solely by the Board in the exercise of good faith and reasonable judgment, and shall mean the
occurrence of either of the following:  

	(i)
	The
Executive's willfully engaging in conduct that is demonstrably and materially injurious to the Company, monetarily or otherwise; or

	(ii)
	The
Executive's conviction of a felony. 

        However,
no act or failure to act on the Executive's part shall be deemed "willful" unless done, or omitted to be done, by the Executive not in good faith and without reasonable belief
that the action or omission was in the best interest of the Company. 

1

 

        1.4   "Change in Control" has the same meaning as in the Severance Agreement. 

        1.5   "Code" means the Internal Revenue Code of 1986, as amended. 

        1.6   "Disability" shall have the meaning ascribed to such term in the Executive's governing long-term disability
plan, or if no such plan exists, it shall have the meaning ascribed to such term in the Executive's governing long-term disability plan in effect as of the Effective Date. 

        1.7   "Employment Term" means the original or extended term of employment of this Restated Agreement as provided in
Article 2 herein. 

        1.8   "Retirement" means any voluntary termination of the Executive's employment after age fifty-five (55),
provided that the Executive has at least a combined ten (10) years of service with the Company and Baxter International, Inc. The Executive's number of years of service with the Company
and Baxter International, Inc. shall be determined by calculating the number of complete twelve-month (12) periods of employment from the Executive's original date of hire with Baxter
International, Inc. to the Executive's date of voluntary employment termination. 

        1.9   "Separation from Service" means the Executive's separation from service as determined in accordance with Code
Section 409A and the applicable standards of the Treasury Regulations issued thereunder. 

        1.10 "Severance Agreement" means the Amended and Restated Chief Executive Officer Change in Control Severance Agreement as
amended and restated as of November 13, 2008 between the Company and the Executive, as amended, or any successor agreement thereto. 

        1.11 "Severance Payments" means the payments designated as such in Section 4.3 herein and that may be provided to the
Executive pursuant to such section. 

        1.12 "Subsidiary" means a corporation, company, or other entity: (i) more than fifty percent (50%) of whose
outstanding shares or securities (representing the right to vote for the election of directors or other managing authority) are; or (ii) which does not have outstanding shares or securities (as
may be the case in a partnership, joint venture, or unincorporated association), but more than fifty percent (50%) of whose ownership interest representing the right generally to make decisions for
such other entity is, now or hereafter, owned or controlled, directly or indirectly, by the Company. 

 Article 2. Term of Employment Agreement  

        This Restated Agreement will commence on the Effective Date first written above, and shall continue in effect until December 31,
2009. Thereafter, this Restated Agreement shall be extended automatically for successive one (1) year terms, unless the Company otherwise notifies the Executive in writing 180 days prior
to the occurrence of such automatic extension. In the case where the Company properly notifies the Executive that the Restated Agreement will no longer be extended, the Restated Agreement will
terminate at the end of the term, or extended term, then in progress. 

        However,
in the event a Change in Control occurs during the original or any extended term, this Restated Agreement will remain in effect for twenty-four (24) months
beyond the month in which such Change in Control occurred. 

 Article 3. Employment Duties and Compensation  

        3.1    Employment Duties.    During the Employment Term, the Executive
shall serve as CEO of the Company. In his capacity as CEO of the Company, the Executive shall report directly to the Board and shall maintain the level of duties and responsibilities as in effect on
the Effective Date, or such higher level of duties and responsibilities as he may be assigned during the Employment Term. In his capacity as CEO, the Executive shall have the same status, privileges,
and responsibilities normally inherent in such capacity in corporations of similar size and character to the Company. 

2

 

        In
addition, during the Employment Term, the Executive shall be entitled to the benefits listed in Sections 3.2 through 3.8 herein and be subject to the covenants contained in
Section 3.9. 

        3.2    Base Salary.    The Company shall pay the Executive an annual
Base Salary of at least eight hundred thousand dollars ($800,000) during the Employment Term. The Executive's Base Salary shall be paid in substantially equal installments throughout the year,
consistent with the normal payroll practices of the Company. Further, the Base Salary shall be reviewed at least annually following the Effective Date of this Restated Agreement to ascertain whether,
in the sole judgment of the Board or the Board's designee, such Base Salary should be changed. If so changed, the Base Salary as stated above shall, likewise, be increased for all purposes of this
Restated Agreement. 

        3.3    Annual Bonus.    Subject to Section 3.10, the Company
shall provide the Executive with the opportunity to earn an annual cash bonus at a level which is in line with the Company's then current compensation philosophies and the then current opportunities
provided to other top executives at the Company, and commensurate with the business opportunities and direction of the Company at the time, as determined by the Board or the Board's designee. 

        3.4    Long-Term Incentives Including Stock
Options.    Subject to section 3.10, the Company shall provide the Executive the opportunity to earn a long-term performance incentive award and/or
stock options pursuant to the Company's Long-Term Stock Incentive Compensation Program (as amended, or any successor plans thereto) at a level which is in line with the Company's current
compensation philosophies and the opportunities provided to other top executives at the Company, and commensurate with the business opportunities and direction of the Company at the time, as
determined by the Board or the Board's designee. 

        3.5    Retirement Benefits.    Subject to Section 3.10, the
Company shall provide the Executive with participation in all tax qualified retirement plans in effect from time to time, including, but not limited to, the Company's 401(k) Savings and Investment
Plan (as amended, or any successor plans thereto), subject to the eligibility and participation requirements of each plan. 

        In
addition, also subject to Section 3.10, the Company shall provide the Executive with participation in all existing nonqualified retirement plans, in effect from time to time
including, but not limited to, the Edwards Lifesciences Executive Deferred Compensation Plan (as amended, or any successor plans thereto). 

        3.6    Employee Benefits.    Subject to Section 3.10 and as
otherwise provided within the provisions of each of the respective plans, the Company shall provide to the Executive all benefits other employees of the Company are entitled to receive, in accordance
with the terms and conditions of any policies or plans applicable to such benefits. Such benefits shall include, but not be limited to, group term life insurance, health insurance, short- and
long-term disability insurance and vacation. 

        The
Executive shall be entitled to the number of weeks of paid vacation per year provided to other top Company executives and in line with competitive market practices for comparably
situated executives, but in no event less than five (5) weeks per year. 

        The
Executive shall likewise participate in any additional benefits as may be established during the Employment Term, by standard written policy of the Company 

        3.7    Perquisites.    Subject to Section 3.10, the Company
shall provide to the Executive all perquisites that other executives of the Company generally are entitled to receive, and such other perquisites, which are available generally to top executives with
the Company and that are suitable to the character of the Executive's position with the Company and adequate for the performance of his duties hereunder. In addition, the Company shall provide the
Executive with a monthly car allowance of one thousand one hundred dollars ($1,100), a home security system, and annual membership at two (2) country clubs of the Executive's choice. The car
allowance shall be paid on the last payroll date 

3

 

each
month in accordance with the Company's normal payroll practices. The Executive must submit to the Company receipts and other details of each expense for a home security system and club membership
in the form required by the Company within 60 days after the later of (i) the Executive's incurrence of such expense or (ii) the Executive's receipt of the invoice for such
expense. If such expense qualifies for reimbursement, then the Company shall reimburse the Executive the expense within 30 days thereafter. In no event will such expense be reimbursed after the
close of the calendar year following the calendar year in which that expense is incurred. The amount of reimbursements (or in-kind benefits) to which the Executive may become entitled in
any one calendar year shall not affect the amount of expenses eligible for reimbursement (or in-kind benefits to be provided to the Executive) hereunder in any other calendar year. The
Executive's right to reimbursement (or in-kind benefits) cannot be liquidated or exchanged for any other benefit or payment. 

        3.8    Expenses.    The Company shall reimburse the Executive, for all
ordinary and necessary expenses in a reasonable amount which the Executive incurs in performing his duties under this Restated Agreement including, but not limited to, travel (including, but not
limited to, the cost of chartering a private aircraft when reasonably necessary for Company business), entertainment, professional dues and subscriptions, and all dues, fees, and expenses associated
with membership in various professional, business, and civic associations and societies of which the Executive's participation is in the best interests of the Company as determined in good faith by
the Executive. The Executive must submit to
the Company receipts and other details of each such expense in the form required by the Company within 60 days after the later of (i) the Executive's incurrence of such expense or
(ii) the Executive's receipt of the invoice for such expense. If such expense qualifies for reimbursement, then the Company shall reimburse the Executive the expense within 30 days
thereafter. In no event will such expense be reimbursed after the close of the calendar year following the calendar year in which that expense is incurred. The amount of reimbursements (or
in-kind benefits) to which the Executive may become entitled in any one calendar year shall not affect the amount of expenses eligible for reimbursement (or in-kind benefits to
be provided to the Executive) hereunder in any other calendar year. The Executive's right to reimbursement (or in-kind benefits) cannot be liquidated or exchanged for any other benefit or
payment. 

        3.9    Standard of Care.    During the Employment Term, the Executive
agrees to devote substantially all of his time, attention, and energies to the Company's business and shall not be engaged in any other business activity, whether or not such business activity is
pursued for gain, profit, or other pecuniary advantage. However, subject to Article 5 herein, and subject to prior approval by the Board (except where the Executive was serving as a director of
another company as of the Effective Date), the Executive may serve as a director of other companies and participate in civic, religious, and charitable organizations, so long as such service is not
injurious to the Company. The Executive covenants, warrants, and represents that, during the Employment Term, he shall: 

	(a)
	Devote
his full time and best efforts to the fulfillment of his employment obligations;

	(b)
	Exercise
the highest degree of loyalty and the highest standards of conduct in the performance of his duties; and

	(c)
	Do
nothing that harms, in any way, the business or reputation of the Company. 

        This
Section 3.9 shall not be construed as preventing the Executive from investing assets in such form or manner as will not require his services in the daily operations of the
affairs of the companies in which such investments are made. 

        3.10    Right to Change Plans.    The Company shall not be obligated
by reason of any of the provisions of this Article 3, to institute, maintain, or refrain from changing, amending, or discontinuing any compensation or benefit plan, program, or perquisite
(including but not limited to, changes in the amount of target annual bonus or target long-term performance incentives), provided that if any 

4

 

changes
are made they will apply to the Executive on a basis that is no less favorable to the Executive than when applied to other top executives of the Company. 

 Article 4. Employment Termination  

        4.1    Termination Due to Retirement, Disability, or Death.    In the
event the Executive's employment during the Employment Term is terminated by reason of Retirement, Disability, or death, the Executive's benefits shall be determined in accordance with the Company's
retirement, survivor's benefits, annual bonus and long-term incentive plans, insurance, and other applicable programs then in effect and shall be paid at such time and in such manner as
set forth in the plans or programs governing those benefits subject to compliance with Code Section 409A (including any deferred payment under Section 4.5). 

        In
addition, upon the effective date of such termination, the Company shall pay to the Executive or his beneficiary or estate, as the case may be, his base salary as earned but unpaid
through the effective date of termination. Further, the Executive shall receive all other benefits to which the Executive has a vested right at that time. 

        The
Company shall also pay to the Executive (or the Executive's estate or beneficiaries as the reason may be), within thirty (30) calendar days of the Executive's Separation from
Service resulting from such termination, a lump-sum cash amount equal to the Executive's target annual bonus under the Company's annual bonus plan in effect for the bonus plan year in
which the Executive's date of termination occurs, multiplied by a fraction, the numerator of which is the number of full completed months in the bonus plan year through the effective date of
termination, and the denominator of which is twelve (12). This payment will be in lieu of any other payment to be made to the Executive under such annual bonus plan for such plan year. 

        The
Company's obligation to pay and provide to the Executive base salary, annual bonus, and long-term incentives (as provided in Sections 3.2, 3.3, and 3.4 herein,
respectively) shall
immediately thereafter expire and, with the exception of the covenants contained in Article 5 herein (which shall survive such termination), the Company and the Executive thereafter shall have
no further obligations under this Restated Agreement. 

        The
provisions of Section 4.3 shall supersede this Section 4.1 in the event that the Company involuntarily terminates the Executive's employment without Cause. 

        4.2    Voluntary Termination by the Executive Other Than Retirement or Involuntary Termination for
Cause.    The Executive may terminate this Restated Agreement at any time by giving the Board written notice of intent to terminate, delivered at least ninety
(90) calendar days prior to the effective date of such termination. The termination automatically shall become effective upon the expiration of the ninety (90) day notice period. 

        Nothing
in this Restated Agreement shall be construed to prevent the Board from terminating the Executive's employment under this Restated Agreement for "Cause" at any time. 

        In
the event that the Executive voluntarily terminates employment (other than by Retirement) or if he is involuntarily terminated by the Company for Cause, upon the effective date of
such a termination, the Company shall pay to the Executive or his beneficiary or estate, as the case may be, his base salary as earned but unpaid and any accrued vacation time through the effective
date of termination. The Executive also shall receive all other benefits to which he has a vested right at that time. 

        The
Company's obligation to pay and provide the Executive base salary, annual bonus, and long-term incentives (as provided in Sections 3.2, 3.3, and 3.4 herein,
respectively) shall immediately expire. With the exception of the covenants contained in Article 5 herein (which shall survive such termination), the Company and the Executive thereafter shall
have no further obligations under this Restated Agreement. 

5

 

  
        4.3    Involuntary Termination by the Company Without Cause.    The
Company may terminate the Executive's employment, as provided under this Restated Agreement, at any time, for any reason other than death, Disability, or for Cause, by notifying the Executive in
writing of the Company's intent to terminate, at least thirty (30) calendar days prior to the effective date of such termination. Subject to the payment of the Severance Payments provided
below, the termination automatically shall become effective upon the expiration of the thirty (30) calendar day notice period (or such longer period specified in the notice). Thereafter, this
Restated Agreement, along with all corresponding rights, duties, and covenants, shall automatically expire. A nonrenewal or nonextension of this Restated Agreement or any term of this Restated
Agreement, as described in Article 2 herein, shall not be deemed an involuntary termination under this Section 4.3 and, thereby, shall not trigger the payment of the Severance Payments
described below. 

        Subject
to Section 4.4, in connection with an involuntary termination without Cause under this Section 4.3, the Company shall pay to the Executive and provide the Executive
with the following "Severance Payments": 

	(a)
	A
lump-sum cash amount equal to the Executive's unpaid Base Salary, accrued vacation pay, unreimbursed business expenses, and all other items
earned by and owed to the Executive through and including the effective date of the termination (including, but not limited to, annual bonus or
performance-based long-term incentives that have been earned, but not paid). Such payment shall be paid on or as soon as practicable after the Executive's Separation from Service, but in
no event more than ten (10) calendar days after the Executive's Separation from Service, and shall constitute full satisfaction for these amounts owed to the Executive.

	(b)
	A
lump-sum cash amount equal to the Executive's pro-rata annual bonus under the Company's annual bonus plan in effect for the bonus
plan year in which the Executive's date of termination occurs, provided and to the extent that any performance goals upon which such bonus is conditioned are attained. In the event of such attainment,
the pro-rata bonus to which the Executive shall become entitled shall be determined by multiplying (i) the actual bonus the Executive would have received based on the attained
performance goals had the Executive continued in the Company's employ until the payment date of that bonus by (ii) a fraction, the numerator of which is the number of full completed months in
the bonus plan year through the effective date of termination, and the denominator of which is twelve (12). This payment will be in lieu of any other payment to be made to the Executive under such
annual bonus plan for such plan year.

	(c)
	A
cash amount equal to two (2) times the sum of the Executive's Base Salary and the greater of: (i) the Executive's target annual bonus under
the Company's annual bonus plan in effect for the bonus plan year in which his employment with the Company terminates; or (ii) the actual annual bonus earned by the Executive in the bonus plan
year prior to the year of employment termination under the annual bonus plan in effect for such prior plan year. For the purposes of this calculation, the Executive's highest Base Salary during the
twelve (12) months prior to his termination of employment shall be used.

	(d)
	All
long-term incentive awards shall be subject to the treatment provided under the Company's Long-Term Stock Incentive Compensation
Program (as amended, or any successor plans thereto) and/or the applicable award agreements thereunder.

	(e)
	A
lump sum amount (the "Healthcare Cost") equal to the cost of medical insurance and dental shall be provided to the Executive at the same coverage level
(with all premium costs borne by the Company) as in effect as of the date of the Executive's termination for a period of twenty-four (24) months following the Executive's date of
termination based on the monthly COBRA cost of such coverage under the Company's medical and dental plans pursuant to Section 4980B of the Code on the Executive's date of termination. In
addition, the Company shall pay to the Executive an additional amount sufficient to fully cover the 

6

 

federal,
state and local income and employment tax liability attributable to such Healthcare Cost and the additional tax gross-up payment made under this Section 4.3(e). Subject to
Section 4.5, such tax gross-up payment shall be paid to or on behalf of the Executive at the time the federal, state and local taxes to which it relates are remitted to the tax
authorities. 

        Subject
to Section 4.5, the payments under Section 4.3(c) and 4.3(e) (other than the tax gross-up payment) shall be made within sixty (60) days following
the Executive's Separation from Service provided that if any release is required under Section 9.7 (the "Release") then such Release must become effective during such sixty (60)-day
period following any applicable revocation period. Subject to Section 4.5, the payment under Section 4.3(b) shall be made in the year following the year of the Executive's termination
but no later than the fifteenth day of the third calendar month of such subsequent year, provided that any required Release has become effective following any applicable revocation period. 

        If
triggered, the Severance Payments provided under this Section 4.3 shall be in lieu of all other benefits provided to the Executive under the provisions of this Restated
Agreement. 

        4.4    Coordination with Severance Agreement.    In the event that the
Executive receives any severance benefits pursuant to the Severance Agreement, he shall not be entitled to receive the Severance Payments provided for in Section 4.3 herein. 

        4.5    Section 409A Delay.    Notwithstanding any provision to
the contrary in this Restated Agreement, no payments or benefits to which the Executive becomes entitled under this Restated Agreement in connection with the termination of his employment with the
Company shall be made or paid to the Executive prior to the earlier of (i) the first day of the seventh (7th) month following the date of his Separation from Service due to such termination of
employment or (ii) the date of his death, if the Executive is deemed, pursuant to the procedures established by the Board in accordance with the applicable standards of Code Section 409A
and the Treasury Regulations thereunder and applied on a consistent basis for all for all non-qualified deferred compensation plans subject to Code Section 409A, to be a "specified
employee" at the time of such Separation from Service and such delayed commencement is otherwise required in order to avoid a prohibited distribution under Code Section 409A(a)(2). Upon the
expiration of the applicable Code Section 409A(a)(2) deferral period, all payments deferred pursuant to this Section 4.5 shall be paid in a lump sum to the Executive, and any remaining
payments due under this Restated Agreement shall be paid in accordance with the normal payment dates specified for them herein. To the extent the payment of any cash amounts to which the Executive
becomes entitled under this Restated Agreement is deferred pursuant to the provisions of this Section 4.5, then the Executive shall be entitled to interest on those cash amounts, for the period
the payment of such amounts is so deferred, with such interest to accrue at the prime rate then in effect from time to time during that period and to be paid in a lump sum upon the expiration of the
deferral period. 

 Article 5. Restrictive Covenants  

        5.1    Disclosure of Information.    Without the prior written consent
of the Company, or except to the extent required in the good faith execution of his duties with the Company, the Executive shall not, at any time, directly or indirectly, use, attempt to use,
disclose, or otherwise make known to any person or entity (other than the Board): 

	(a)
	Any
confidential or proprietary knowledge or information, including without limitation, lists of customers or suppliers, trade secrets,
know-how, inventions, discoveries, processes, and systems, as well as any data and records pertaining thereto, which the Executive may acquire in the course of his employment.

	(b)
	Any
confidential or proprietary knowledge or information of a confidential nature (including, but not limited to, all unpublished matters) relating to,
without limitation, the business, 

7

 

properties,
accounting, books and records, computer systems and programs, trade secrets, or memoranda of the Company or a Subsidiary. 

        5.2    Employment.    Without the prior written consent of the
Company, during the Employment Term, and for a period of twenty-four (24) calendar months following the Executive's employment termination for any reason, the Executive shall not,
directly or indirectly employ or retain or solicit for employment or arrange to have any other person, firm, or other entity employ or retain or solicit for employment or otherwise participate in the
employment or retention of any person who is an employee or consultant of the Company or any Subsidiary. 

        5.3    Nondisparagement.    Without the prior written consent of the
Company, or except to the extent required in the good faith execution of his duties with the Company, the Executive shall not, at any time, directly or indirectly, make statements or representations,
or otherwise communicate, in writing, orally, or otherwise, or take any action that may disparage or be damaging to the Company or any Subsidiary or their respective officers, directors, employees,
advisors, businesses or reputations. Notwithstanding the foregoing, nothing in this Restated Agreement shall preclude Executive from making truthful statements or disclosures that are required by
applicable law, regulation or legal process. 

        5.4    Acknowledgement of Covenants.    The Company and the Executive
acknowledge that the Executive's services are of a special, extraordinary, and intellectual character which gives him unique value, and that the business of the Company and its Subsidiaries is highly
competitive, and that violation of any of the covenants provided in this Article 5 would cause immediate, immeasurable, and irreparable harm,
loss, and damage to the Company and/or a Subsidiary not adequately compensable by a monetary award. The Executive acknowledges that the time and scope of activity restrained by the provisions of this
Article 5 are reasonable and do not impose a greater restraint than is necessary to protect the goodwill of the Company's business and/or that of any Subsidiary. The Executive further
acknowledges that he and the Company have negotiated and bargained for the terms of this Restated Agreement, and that the Executive has received adequate consideration for entering into this Restated
Agreement. In the event of any such breach or threatened breach by the Executive of any one or more of such covenants, the Company shall be entitled to such equitable and injunctive relief as may be
available to restrain the Executive from violating the provisions hereof. Nothing herein shall be construed as prohibiting the Company from pursuing any other remedies available at law or in equity
for such breach or threatened breach, including the recovery of damages and the immediate termination of the employment of the Executive hereunder. 

        5.5    Enforceability.    If any court determines that the foregoing
covenant, or any part thereof, is unenforceable because of the duration or scope of such provision, or for any other reason, the duration or scope of such provision, as the case may be, shall be
reduced so that such provision becomes enforceable and, in its reduced form, such provision shall then be enforceable and shall be enforced. 

 Article 6. Indemnification  

        The Company hereby covenants and agrees to indemnify and hold harmless the Executive fully, completely, and absolutely against and in
respect to any and all actions, suits, proceedings, claims, demands, judgments, costs, expenses (including attorneys' fees), losses, and damages resulting from the Executive's good faith performance
of his duties and obligations under the terms of this Restated Agreement, to the maximum extent permitted under applicable law. 

 Article 7. Assignment  

        7.1    Assignment by the Company.    The Company shall require any
successor (whether direct or indirect, by purchase, merger, reorganization, consolidation, acquisition of property or stock, liquidation, or otherwise) of all or a significant portion of the assets of
the Company by agreement, in 

8

 

form
and substance satisfactory to the Executive, to expressly assume and agree to perform this Restated Agreement in the same manner and to the same extent that the Company would be required to
perform if no such succession had taken place. Regardless of whether such agreement is executed, this Restated Agreement shall be binding upon any successor in accordance with the operation of law and
such successor shall be deemed the "Company" for purposes of this Restated Agreement. 

        Failure
of the Company to obtain such agreement prior to the effectiveness of any such succession shall be a breach of this Restated Agreement and shall immediately entitle the Executive
to the Severance Payments as provided in Section 4.3. 

        Except
as herein provided, this Restated Agreement may not otherwise be assigned by the Company. 

        7.2    Assignment by Executive.    This Restated Agreement shall inure
to the benefit of and be enforceable by the Executive's personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees, and legatees. If the Executive should
die while any amounts payable to the Executive hereunder remain outstanding, all such amounts, unless otherwise provided herein, shall be paid in accordance with the terms of this Restated Agreement
to the Executive's beneficiary, devisee, legatee, or other designee or, in the absence of such designee, to the Executive's estate. 

        The
Executive shall not assign any obligations or responsibilities he has under this Restated Agreement. 

 Article 8. Dispute Resolution and Notice  

        8.1    Dispute Resolution.    The Executive shall have the right and
option to elect (in lieu of litigation) to have any dispute or controversy arising under or in connection with this Restated Agreement settled by arbitration, conducted before a panel of three
(3) arbitrators sitting in a location selected by the Executive within fifty (50) miles from the location of the Company's principal place of business, in accordance with the rules of
the American Arbitration Association then in effect. The Executive's
election to arbitrate, as herein provided, and the decision of the arbitrators in that proceeding, shall be binding on the Company and the Executive. 

        Judgment
may be entered on the award of the arbitrator in any court having jurisdiction. All expenses of such arbitration, including the fees and expenses of the counsel for the
Executive, shall be borne by the Company. 

        8.2    Payment of Legal Fees.    Unless a court shall find the
Executive's claim to be arbitrary and capricious, the Company shall pay all legal fees, costs of litigation, prejudgment interest, and other expenses which are incurred in good faith by the Executive
(or the Executive's estate or beneficiaries as the case may be) as a result of the Company's refusal to provide the benefits to which the Executive becomes entitled under this Restated Agreement, or
as a result of the Company's (or any third party's) contesting the validity, enforceability, or interpretation of the Restated Agreement, or as a result of any conflict between the parties pertaining
to this Restated Agreement. 

        8.3    Notice.    Any notices, requests, demands, or other
communications provided for by this Restated Agreement shall be sufficient if in writing and if sent by registered or certified mail to the Executive at the last address he has filed in writing with
the Company or, in the case of the Company, at its principal offices. 

 Article 9. Miscellaneous  

        9.1    Entire Agreement.    This Restated Agreement supersedes any
prior agreements or understandings, oral or written, between the parties hereto (including the Prior Employment Agreement) and contains the entire understanding of the Company and the Executive with
respect to the subject matter hereof. 

9

 

  
        9.2    Modification.    This Restated Agreement shall not be varied,
altered, modified, canceled, changed, or in any way amended except by mutual agreement of the parties in a written instrument executed by the parties hereto or their legal representatives. 

        9.3    Severability.    If any provision of this Restated Agreement or
the application thereof is held invalid, such invalidity shall not affect other provisions or applications of the Restated Agreement that can be given effect without the invalid provision or
application and, to such end, the provisions of this Restated Agreement are declared to be severable. 

        9.4    Counterparts.    This Restated Agreement may be executed in one
or more counterparts, each of which shall be deemed to be an original, but all of which together will constitute one and the same Restated Agreement. 

        9.5    Tax Withholding.    The Company may withhold from any benefits
payable under this Restated Agreement all federal, state, city, or other taxes as may be required pursuant to any law or governmental regulation or ruling. 

        9.6    Beneficiaries.    The Executive may designate one or more
persons or entities as the primary and/or contingent beneficiaries of any amounts to be received under this Restated Agreement. Such designation must be in the form of a signed writing acceptable to
the Board or the Board's designee. The Executive may make or change such designation at any time. 

        9.7    Waiver of Claims.    At its discretion, the Company may require
the Executive to sign a waiver of all legal claims against the Company or any Subsidiary upon the Executive's employment termination. Such waiver must be executed and delivered by the Executive to the
Company within
twenty-one (21) days (or within forty-five (45) days if such longer period is required under applicable law) following such termination. 

        9.8    Governing Law.    To the extent not preempted by federal law,
the provisions of this Restated Agreement shall be construed and enforced in accordance with the laws of the state of Delaware without giving effect to
principles of conflicts of laws. 

        9.9    Compliance with 409A.    This Restated Agreement is intended to
comply with the requirements of Section 409A of the Code. Accordingly, all provisions herein shall be construed and interpreted to comply with Code Section 409A and if necessary, any
such provision shall be deemed amended to comply with Code Section 409A and the regulations thereunder. 

        9.10    Right to Advice of Counsel.    The Executive acknowledges that
he has had the right to consult with counsel and is fully aware of his rights and obligations under this Restated Agreement. 

10

 

        IN
WITNESS WHEREOF, the parties hereto have executed this Restated Agreement, as of the Effective Date. 

							
	 
	 	 
	 	 
	 	 

	ATTEST	 	Edwards Lifesciences Corporation
	
 By:	
 	
/s/ DENISE E. BOTTICELLI

  Denise E. Botticelli

Corporate Secretary	
 	
By:	
 	
/s/ ROBERT C. REINDL

  Robert C. Reindl

Vice President, Human Resources
	

 	
 	
 	
 	
Executive:
	

 	
 	
 	
 	
/s/ MICHAEL A. MUSSALLEM

  Michael A. Mussallem

11

QuickLinks

Exhibit 10.2

Amended and Restated Employment Agreement for Michael A. Mussallem

Contents

Amended and Restated Employment Agreement for Michael A. Mussallem Edwards Lifesciences CorporationQuickLinks
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  Exhibit 10.3    
    

 
 

  Chief Executive Officer
  Change-in-Control Severance Agreement    
    

Edwards
Lifesciences Corporation 

As
Amended and Restated November 13, 2008 

 
 

  Contents    
    

			
	 Article 1. Definitions
	 	1
	 Article 2. Severance Benefits
	 	

4
	 Article 3. Form and Timing of Severance Benefits
	 	

6
	 Article 4. Excise Tax
	 	

6
	 Article 5. The Company's Payment Obligation
	 	

7
	 Article 6. Term of Agreement
	 	

7
	 Article 7. Legal Remedies
	 	

7
	 Article 8. Successors
	 	

8
	 Article 9. Miscellaneous
	 	

8

 

 
 

  Amended and Restated Chief Executive Officer
  Change-in-Control Severance Agreement
  Edwards Lifesciences Corporation    
    

        THIS AMENDED AND RESTATED CHIEF EXECUTIVE OFFICER CHANGE-IN-CONTROL SEVERANCE AGREEMENT (the "Restated
Agreement") is made, entered into, and is effective this 13th day of November 2008 (hereinafter referred to as the "Effective Date"), by and between Edwards Lifesciences
Corporation (the "Company"), a Delaware corporation, and Michael A. Mussallem (the "Executive"). 

        WHEREAS,
the Executive is currently employed by the Company as its Chief Executive Officer; and 

        WHEREAS,
the Executive possesses considerable experience and knowledge of the business and affairs of the Company concerning its policies, methods, personnel, and operations; and 

        WHEREAS,
the Company is desirous of assuring insofar as possible, that it will continue to have the benefit of the Executive's services; and the Executive is desirous of having such
assurances; and 

        WHEREAS,
the Company recognizes that circumstances may arise in which a Change in Control of the Company occurs, through acquisition or otherwise, thereby causing uncertainty of
employment without regard to the Executive's competence or past contributions. Such uncertainty may result in the loss of the valuable services of the Executive to the detriment of the Company and its
shareholders; and 

        WHEREAS,
both the Company and the Executive are desirous that any proposal for a Change in Control will be considered by the Executive objectively and with reference only to the business
interests of the Company and its shareholders; and 

        WHEREAS,
the Executive will be in a better position to consider the Company's best interests if the Executive is afforded reasonable security, as provided in this Restated Agreement,
against altered conditions of employment which could result from any such Change in Control; and 

        WHEREAS,
the Executive and the Company are currently parties to that certain Chief Executive Officer Change-in-Control Severance Agreement dated December 2000
(the "Prior Agreement") and desire to amend and restate the terms and conditions of the Prior Agreement so as to bring those terms and conditions into documentary compliance with the final Treasury
Regulations under Section 409A of the Internal Revenue Code of 1986, as amended; and 

        WHEREAS,
by executing this Restated Agreement, the Executive and the Company hereby agree that this Restated Agreement shall supersede the severance benefits set forth in the Prior
Agreement. 

        NOW,
THEREFORE, in consideration of the foregoing and of the mutual covenants and agreements of the parties set forth in this Restated Agreement, and of other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, agree as follows: 

 Article 1. Definitions  

        Wherever used in this Restated Agreement, the following terms shall have the meanings set forth below and, when the meaning is
intended, the initial letter of the word is capitalized: 

        1.1   "Base Salary" means, at any time, the then-regular annual rate of pay which the Executive is receiving as
annual salary, excluding amounts: (i) received under short- or long-term incentive or other bonus plans, regardless of whether or not the amounts are deferred or
(ii) designated by the Company as payment toward reimbursement of expenses. 

1

 

        1.2   "Board" means the Board of Directors of the Company. 

        1.3   "Cause" shall be determined solely by the Board in the exercise of good faith and reasonable judgment, and shall mean the
occurrence of either of the following:  

	(i)
	The
Executive's willfully engaging in conduct that is demonstrably and materially injurious to the Company, monetarily or otherwise; or

	(ii)
	The
Executive's conviction of a felony. 

        However,
no act or failure to act on the Executive's part shall be deemed "willful" unless done, or omitted to be done, by the Executive not in good faith and without reasonable belief
that the action or omission was in the best interest of the Company. 

        1.4   "Change in Control" of the Company shall mean the occurrence of any one of the following events: 

	(a)
	Any
"Person," as such term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934 (as amended) (other than the Company, any
corporation owned, directly or indirectly, by the stockholders of the Company in substantially the same proportions as their ownership of stock of the Company, and any trustee or other fiduciary
holding securities under an employee benefit plan of the Company or such proportionately owned corporation), is or becomes the "beneficial owner" (as defined in Rule 13d-3 under the
Securities Exchange Act of 1934, as amended), directly or indirectly, of securities of the Company representing thirty percent (30%) or more of the combined voting power of the Company's then
outstanding securities; or

	(b)
	During
any period of not more than twenty-four (24) months, individuals who at the beginning of such period constitute the Board of
Directors of the Company, and any new director (other than a director designated by a Person who has entered into an agreement with the Company to effect a transaction described in
Sections 1.5(a), 1.5(c), or 1.5(d) of this Section 1.5) whose election by the Board or nomination for election by the Company's stockholders was approved by a vote of at least
two-thirds (2/3) of the directors then still in office who either were directors at the beginning of the period or whose election or nomination for election was previously
so approved, cease for any reason to constitute at least a majority thereof; or

	(c)
	The
consummation of a merger or consolidation of the Company with any other entity, other than: (i) a merger or consolidation which would result in
the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving
entity) more than sixty percent (60%) of the combined voting power of the voting securities of the Company or such surviving entity outstanding immediately after such merger or consolidation; or
(ii) a merger or consolidation effected to implement a recapitalization of the Company (or similar transaction) in which no Person acquires more than thirty percent (30%) of the combined voting
power of the Company's then outstanding securities; or

	(d)
	The
Company's stockholders approve a plan of complete liquidation or dissolution of the Company, or an agreement for the sale or disposition by the Company
of all or substantially all of the Company's assets (or any transaction having a similar effect). 

        1.5   "Code" means the Internal Revenue Code of 1986, as amended. 

        1.6   "Company" means Edwards Lifesciences Corporation, a Delaware corporation (including any and all subsidiaries), or any
successor thereto as provided in Article 8 herein. 

2

 

        1.7   "Disability" shall have the meaning ascribed to such term in the Executive's governing long-term disability
plan, or if no such plan exists, it shall have the meaning ascribed to such term in the Executive's governing long-term disability plan in effect as of the Effective Date. 

        1.8   "Effective Date" means the date specified in the opening sentence of this Restated Agreement. 

        1.9   "Effective Date of Termination" means the date on which a Qualifying Termination occurs, as provided in
Section 2.2 herein, which triggers the payment of Severance Benefits hereunder. 

        1.10 "Good Reason" means, without the Executive's express written consent, the occurrence after a Change in Control of the
Company of any one or more of the following:  

	(i)
	The
assignment of the Executive to duties materially inconsistent with the Executive's authorities, duties, responsibilities, and status (including offices,
titles, and reporting requirements) as an executive and/or officer of the Company, or a material reduction or alteration in the nature or status of the Executive's authorities, duties, or
responsibilities from those in effect as of ninety (90) calendar days prior to the Change in Control, other than an insubstantial and inadvertent act that is remedied by the Company promptly
after receipt of notice thereof given by the Executive;

	(ii)
	The
Company's requiring the Executive to be based at a location in excess of fifty (50) miles from the location of the Executive's principal job
location or office immediately prior to the Change in Control; except for required travel on the Company's business to an extent substantially consistent with the Executive's then present business
travel obligations;

	(iii)
	A
reduction by the Company of the Executive's Base Salary in effect on the Effective Date hereof, or as the same shall be increased from time to time;

	(iv)
	The
failure of the Company to continue in effect any of the Company's short- and long-term incentive compensation plans, or employee benefit or
retirement plans, policies, practices, or other compensation arrangements in which the Executive participates, or the failure by the Company to continue the Executive's participation therein on
substantially the same basis, both in terms of the amount of benefits provided and the level of the Executive's participation relative to other participants, as existed immediately prior to the Change
in Control of the Company;

	(v)
	The
failure of the Company to obtain a satisfactory agreement from any successor to the Company to assume and agree to perform the Company's obligations
under this Restated Agreement, as contemplated in Article 8 herein; and

	(vi)
	The
Company, or any successor company, commits a material breach of any of the material provisions of this Restated Agreement. 

        Any
determination made by the Executive as to the existence of Good Reason shall be final, binding, and conclusive on all parties, unless the Executive is found not to have acted in good
faith in reaching such determination. 

        The
Executive's right to terminate employment for Good Reason shall not be affected by the Executive's incapacity due to physical or mental illness. The Executive's continued employment
shall not constitute consent to, or a waiver of rights with respect to, any circumstance constituting Good Reason herein. 

        1.11 "Qualifying Termination" means any of the events described in Section 2.2 herein, the occurrence of which
triggers the payment of Severance Benefits hereunder. 

        1.12 "Restated Agreement" means this Amended and Restated Chief Executive Officer Change-in-Control
Severance Agreement. 

3

 

  
        1.13 "Separation from Service" means the Executive's separation from service as determined in accordance with Code
Section 409A and the applicable standards of the Treasury Regulations issued thereunder. 

        1.14 "Severance Benefits" means the payment of severance compensation as provided in Section 2.3 herein. 

 Article 2. Severance Benefits  

        2.1    Right to Severance Benefits.    The Executive shall be entitled
to receive from the Company Severance Benefits as described in Section 2.3 herein, if there has been a Change in Control of the Company and if, within twenty-four
(24) calendar months thereafter, the Executive's employment with the Company shall end for any reason specified in Section 2.2 herein as being a Qualifying Termination. 

        The
Executive shall not be entitled to receive Severance Benefits if he is terminated for Cause, or if his employment with the Company ends due to death, Disability, voluntary normal
retirement (as defined under the then established rules of the Company's tax-qualified retirement plan), or due to a voluntary termination of employment for reasons other than those
specified in Sections 2.2(b) and 2.2(c) herein. 

        2.2    Qualifying Termination.    The occurrence of any one or more of
the following events within twenty-four (24) calendar months after a Change in Control of the Company shall trigger the payment of Severance Benefits to the Executive under this
Restated Agreement: 

	(a)
	The
Company's involuntary termination of the Executive's employment without Cause;

	(b)
	The
Executive's voluntary employment termination for Good Reason; or

	(c)
	The
Executive's voluntary employment termination during the thirty (30) calendar day period immediately following the one (1) year anniversary
of a Change in Control Company. 

        In
addition, if the Executive's employment is involuntarily terminated without Cause by the Company within six (6) months prior to a Change in Control, such termination shall also
be considered a Qualifying Termination occurring during the twenty-four (24) month period following a Change in Control. For purposes of this Restated Agreement, a Qualifying
Termination shall not include a termination of employment by reason of death, Disability, or voluntary normal retirement (as such term is defined under the then established rules of the Company's
tax-qualified retirement plan), the Executive's voluntary termination for reasons other than those specified in Sections 2.2(b) and 2.2(c) herein, or the Company's involuntary
termination for Cause. 

        2.3    Description of Severance Benefits.    In the event that the
Executive becomes entitled to receive Severance Benefits, as provided in Sections 2.1 and 2.2 herein, the Company shall pay to the Executive and provide him with total Severance Benefits equal
to all of the following: 

	(a)
	A
lump-sum amount equal to the Executive's unpaid Base Salary, accrued vacation pay, unreimbursed business expenses, and all other items earned
by and owed to the Executive through and including the Effective Date of Termination, which shall be paid on or as soon as practicable following the Effective Date of Termination, but in no event more
than ten (10) calendar days after the Effective Date of Termination.

	(b)
	A
lump-sum amount equal to the Executive's annual target bonus amount, established under the annual bonus plan in which the Executive is then
participating, for the bonus plan year in which the Executive's Effective Date of Termination occurs, multiplied by a fraction the numerator of which is the number of full completed months in the
bonus plan year through the Effective Date of Termination, and the denominator of which is twelve (12). This payment 

4

 

will
be in lieu of any other payment to be made to the Executive under the annual bonus plan in which the Executive is then participating for that plan year.  

	(c)
	A
lump-sum amount equal to three (3) multiplied by the higher of the Executive's annual rate of Base Salary in effect upon the Effective
Date of Termination, or the Executive's highest annual rate of Base Salary in effect during the twelve (12) months preceding the date of the Change in Control.

	(d)
	A
lump-sum amount equal to three (3) multiplied by the higher of the Executive's annual target bonus established under the annual bonus
plan in which the Executive is then participating for the bonus plan year in which the Executive's Effective Date of Termination occurs, or the actual annual bonus payment made to the Executive under
the annual bonus plan in which the Executive participated in the year preceding the year in which the Effective Date of Termination occurs.

	(e)
	All
long-term incentive awards shall be subject to the treatment provided under the Company's Long-Term Stock Incentive Compensation
Program (as amended, or any successor plans thereto) and/or the applicable award agreements thereunder.

	(f)
	A
lump sum amount (the "Healthcare Cost") equal to the cost of medical insurance and dental insurance coverage as in effect as of the Executive's Effective
Date of Termination for a period of thirty-six (36) months following the Executive's Effective Date of Termination, based on the monthly COBRA costs of such coverage under the
Company's medical and dental plans pursuant to Section 4980B of the Code on the Executive's Effective Date of Termination. In addition, the Company shall pay to the Executive an additional
amount sufficient to fully cover the federal, state and local income and employment tax liability attributable to such Healthcare Cost and the additional tax gross-up payment made under
this Section 2.3(f).

	(g)
	For
a period of up to thirty-six (36) months following a Change in Control, the Executive shall be entitled, at the expense of the
Company, to receive standard outplacement services from a nationally recognized outplacement firm of the Executive's selection. However, the Company's total obligation shall not exceed
twenty-five thousand dollars ($25,000.00) per calendar year. The amount of in-kind benefits to which the Executive may become entitled in any one calendar year shall not affect
the amount of in-kind benefits to be provided to the Executive in any other calendar year. The Executive's right to in-kind benefits cannot be liquidated or exchanged for any
other benefit or payment. 

        2.4    Termination due to Disability.    Following a Change in
Control, if the Executive's employment is terminated with the Company due to Disability, the Executive's benefits shall be determined in accordance with the Company's retirement, insurance, and other
applicable plans and programs then in effect and shall be paid at such time and in such manner as set forth in the plans or programs governing those benefits subject to compliance with Code
Section 409A. 

        2.5    Termination due to Retirement or Death.    Following a Change
in Control, if the Executive's employment with the Company is terminated by reason of his voluntary normal retirement (as defined under the then established rules of the Company's
tax-qualified retirement plan), or death, the Executive's benefits shall be determined in accordance with the Company's retirement, survivor's benefits, insurance, and other applicable
programs then in effect and shall be paid at such time and in such manner as set forth in the programs governing those benefits subject to compliance with Code Section 409A. 

        2.6    Termination for Cause or by the Executive Other Than for Good
Reason.    Following a Change in Control, if the Executive's employment is terminated either: (i) by the Company for Cause; or (ii) voluntarily by the
Executive for reasons other than those specified in Sections 2.2(b) and 2.2(c) 

5

 

herein,
the Company shall pay the Executive his full unpaid Base Salary at the rate then in effect, accrued vacation, and other items earned by and owed to the Executive through the Effective Date of
Termination, plus all other amounts to which the Executive is entitled under any compensation plans of the Company at the time such payments are due, and the Company shall have no further obligations
to the Executive under this Restated Agreement. 

        2.7    Notice of Termination.    Any termination of the Executive's
employment by the Company for Cause or by the Executive for Good Reason shall be communicated by Notice of Termination to the other party. For purposes of this Restated Agreement, a "Notice of
Termination" shall mean a written notice which shall indicate the specific termination provision in this Restated Agreement relied upon, and shall set
forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the Executive's employment under the provision so indicated. 

 Article 3. Form and Timing of Severance Benefits  

        3.1    Form and Timing of Severance Benefits.    The Severance
Benefits described in Sections 2.3(b), 2.3(c),]2.3(d) and 2.3(f) herein shall be paid in cash to the Executive in a single lump sum on the first day of the seventh (7th) month
following the date the Executive incurs a Separation from Service by reason of the Qualifying Termination or, with respect to the tax gross-up payments under Section 2.3(f), the
date on which the federal, state and local taxes to which the gross-up payment relates are remitted to the tax authorities, if later. To the extent the payment of any such Severance
Benefits to which the Executive becomes entitled under this Restated Agreement as a result of an actual termination following a Change in Control is deferred beyond the Executive's Separation from
Service, the Executive shall be entitled to interest on those amounts, for the period the payment of such amounts is so deferred, with such interest to accrue at the prime rate then in effect from
time to time during that period and to be paid in a lump sum upon payment of such Severance Benefits. 

        3.2    Withholding of Taxes.    The Company shall withhold from any
amounts payable under this Restated Agreement all federal, state, city, or other taxes as legally shall be required. 

 Article 4. Excise Tax  

        4.1    Excise Tax Payment.    If any portion of the Severance Benefits
or any other payment under this Restated Agreement, or under any other agreement with, or plan of the Company (in the aggregate, "Total Payments") would constitute an "excess parachute payment," such
that a golden parachute excise tax is due, the Company shall provide to the Executive, in cash, an additional payment in an amount sufficient to cover the full cost of any excise tax and all of the
Executive's additional state and federal income, excise, and employment taxes that arise on this additional payment (cumulatively, the "Full Gross-Up Payment"), such that the Executive is
in the same after-tax position as if he had not been subject to the excise tax. For this purpose, the Executive shall be deemed to be in the highest marginal rate of federal and state
taxes. This payment shall be made at the time the taxes are remitted to the tax authorities but no later than the close of the calendar year following the calendar year in which the taxes are remitted
to the tax authorities. 

        For
purposes of this Restated Agreement, the term "excess parachute payment" shall have the meaning assigned to such term in Section 280G of the Code, and the term "excise tax"
shall mean the tax imposed on such excess parachute payment pursuant to Sections 280G and 4999 of the Code. 

        4.2    Subsequent Recalculation.    In the event the Internal Revenue
Service subsequently adjusts the excise tax computation herein described, the Company shall reimburse the Executive for the full amount necessary to make the Executive whole on an
after-tax basis (less any amounts received by the Executive that the Executive would not have received had the computations initially been computed as subsequently adjusted), including the
value of any underpaid excise tax, and any related interest and/or penalties due to the Internal Revenue Service. Any such reimbursements shall be made on the date the 

6

 

additional
taxes are remitted to the tax authorities but no later than the end of the calendar year following the calendar year in which the additional taxes are remitted to the tax authorities. 

 Article 5. The Company's Payment Obligation  

        5.1    Payment Obligations Absolute.    The Company's obligation to
make the payments and the arrangements provided for herein shall be absolute and unconditional, and shall not be affected by any circumstances including, without limitation, any offset, counterclaim,
recoupment, defense, or other right which the Company may have against the Executive or anyone else. All amounts payable by the Company hereunder shall be paid without notice or demand. Each and every
payment made hereunder by the Company shall be final, and the Company shall not seek to recover all or any part of such payment from the Executive or from whomsoever may be entitled thereto, for any
reasons whatsoever. 

        The
Executive shall not be obligated to seek other employment in mitigation of the amounts payable or arrangements made under any provision of this Restated Agreement, and the obtaining
of any such other employment shall in no event effect any reduction of the Company's obligations to make the payments and arrangements required to be made under this Restated Agreement. 

        5.2    Contractual Rights to Benefits.    This Restated Agreement
establishes and vests in the Executive a contractual right to the benefits to which he is entitled hereunder. However, nothing herein contained
shall require or be deemed to require, or prohibit or be deemed to prohibit, the Company to segregate, earmark, or otherwise set aside any funds or other assets, in trust or otherwise, to provide for
any payments to be made or required hereunder. 

 Article 6. Term of Agreement  

        This Restated Agreement will commence on the Effective Date first written above, and shall continue in effect irrevocably for three
(3) full calendar years. However, at the end of the first year of such three-year (3) period, this Restated Agreement shall be extended automatically for one
(1) additional year, unless the Company notifies the Executive in writing, prior to the occurrence of the automatic extension, that the term of this Restated Agreement will not be extended.
Moreover, upon the end of each subsequent year, this Restated Agreement shall also be extended automatically for one (1) additional year, unless the Company otherwise notifies the Executive in
writing prior to the occurrence of such automatic extension. In the case where the Company properly notifies the Executive that the Restated Agreement will no longer be extended, the Restated
Agreement will terminate at the end of the term, or extended term, then in progress. 

        However,
in the event a Change in Control occurs during the original or any extended term, this Restated Agreement will remain in effect for twenty-four (24) months
beyond the month in which such Change in Control occurred. 

 Article 7. Legal Remedies  

        7.1    Dispute Resolution.    The Executive shall have the right and
option to elect to have any good faith dispute or controversy arising under or in connection with this Restated Agreement settled by litigation or arbitration. If arbitration is selected, such
proceeding shall be conducted by final and binding arbitration before a panel of three (3) arbitrators in accordance with the laws and under the administration of the American Arbitration
Association. 

        7.2    Payment of Legal Fees.    In the event that it shall be
necessary or desirable for the Executive to retain legal counsel and/or to incur other costs and expenses in connection with the enforcement of any or all of his rights under this Restated Agreement,
the Company shall pay (or the Executive shall be entitled to recover from the Company) the Executive's attorneys' fees, costs, and expenses in connection with a good faith enforcement of his rights
including the enforcement of any arbitration award. This shall include, without limitation, court costs and attorneys' fees incurred by the Executive as a result of any
good faith claim, action, or proceeding, including any such action against the Company arising out of, or challenging the validity or enforceability of this Restated Agreement or any provision hereof. 

7

 

   Article 8. Successors  

        The Company shall require any successor (whether direct or indirect, by purchase, merger, reorganization, consolidation, acquisition of
property or stock, liquidation, or otherwise) of all or a significant portion of the assets of the Company by agreement, in form and substance satisfactory to the Executive, to expressly assume and
agree to perform this Restated Agreement in the same manner and to the same extent that the Company would be required to perform if no such succession had taken place. Regardless of whether such
agreement is executed, this Restated Agreement shall be binding upon any successor in accordance with the operation of law and such successor shall be deemed the "Company" for purposes of this
Restated Agreement. 

 Article 9. Miscellaneous  

        9.1    Employment Status.    This Restated Agreement is not, and
nothing herein shall be deemed to create, an employment contract between the Executive and the Company or any of its subsidiaries. Subject to the terms of any employment contract between the Executive
and the Company, the Executive acknowledges that the rights of the Company remain wholly intact to change or reduce at any time and from time to time his compensation, title, responsibilities,
location, and all other aspects of the employment relationship, or to discharge him prior to a Change in Control (subject to such discharge possibly being considered a Qualifying Termination pursuant
to Section 2.2). 

        9.2    Entire Agreement.    This Restated Agreement contains the
entire understanding of the Company and the Executive with respect to the subject matter hereof and supersedes all prior oral and written agreements between the parties hereto with respect to the
subject matter hereof, including but not limited to, the Prior Agreement, which is terminated and no longer in effect. In addition, the payments provided for under this Restated Agreement in the event
of the Executive's termination of employment shall be in lieu of any severance benefits payable under any employment contract between the Executive and the Company or any severance plan, program, or
policy of the Company to which he might otherwise be entitled. 

        9.3    Notices.    All notices, requests, demands, and other
communications hereunder shall be sufficient if in writing and shall be deemed to have been duly given if delivered by hand or if sent by registered or certified mail to the Executive at the last
address he has filed in writing with the Company or, in the case of the Company, at its principal offices. 

        9.4    Execution in Counterparts.    This Restated Agreement may be
executed by the parties hereto in counterparts, each of which shall be deemed to be original, but all such counterparts shall constitute one and the same instrument, and all signatures need not appear
on any one counterpart. 

        9.5    Conflicting Agreements.    The Executive hereby represents and
warrants to the Company that his entering into this Restated Agreement, and the obligations and duties undertaken by him hereunder, will not conflict with, constitute a breach of, or otherwise violate
the terms of, any other employment or other agreement to which he is a party, except to the extent any such conflict, breach, or violation under any such agreement has been disclosed to the Board in
writing in advance of the signing of this Restated Agreement. 

        9.6    Severability.    In the event any provision of this Restated
Agreement shall be held illegal or invalid for any reason, the illegality or invalidity shall not affect the remaining parts of the Restated Agreement, and the Restated Agreement shall be construed
and enforced as if the illegal or invalid provision had not been included. Further, the captions of this Restated Agreement are not part of the provisions hereof and shall have no force and effect. 

        Notwithstanding
any other provisions of this Restated Agreement to the contrary, the Company shall have no obligation to make any payment to the Executive hereunder to the extent, but
only to the extent, that such payment is prohibited by the terms of any final order of a Federal or state court or 

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regulatory
agency of competent jurisdiction; provided, however, that such an order shall not affect, impair, or invalidate any provision of this Restated Agreement not expressly subject to such order. 

        9.7    Modification.    No provision of this Restated Agreement may be
modified, waived, or discharged unless such modification, waiver, or discharge is agreed to in writing and signed by the Executive and by a member of the Board, as applicable, or by the respective
parties' legal representatives or successors. 

        9.8    Applicable Law.    To the extent not preempted by the laws of
the United States, the laws of Delaware shall be the controlling law in all matters relating to this Restated Agreement without giving effect to principles of conflicts of laws. 

        9.9    Compliance with Section 409A.    This Agreement is
intended to comply with the requirements of Section 409A of the Code. Accordingly, all provisions herein shall be construed and interpreted to comply with Code Section 409A and if
necessary, any such provision shall be deemed amended to comply with Code Section 409A and the regulations thereunder. 

        9.10    Right to Advice of Counsel.    The Executive acknowledges that
he has had the right to consult with counsel and is fully aware of his rights and obligations under this Restated Agreement. 

        IN
WITNESS WHEREOF, the parties have executed this Restated Agreement as of this 13th day of November, 2008. 

							
	 
	 	 
	 	 
	 	 

	 	 	ATTEST	 	Edwards Lifesciences Corporation
	
 By:	
 	
/s/ DENISE E. BOTTICELLI

  Corporate Secretary	
 	
By:	
 	
/s/ ROBERT C. REINDL

 
	 	 	 	 	Title:	 	Vice President Human Resources

 
	

 	
 	
 	
 	
/s/ MICHAEL A. MUSSALLEM

  Michael A. Mussallem

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QuickLinks

Exhibit 10.3

Chief Executive Officer Change-in-Control Severance Agreement

Contents

Amended and Restated Chief Executive Officer Change-in-Control Severance Agreement Edwards Lifesciences Corporation

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