Document:

Form of 2012 Chairman Performance Unit Agreement

 Exhibit 10.4 
 2012 CHAIRMAN PERFORMANCE UNIT AGREEMENT 
 This 2012 Chairman Performance
Unit Agreement (this “Agreement”) is between OCEANEERING INTERNATIONAL, INC. (the “Company”) and JOHN R. HUFF (the “Participant”), the non-employee Chairman of
the Board of Directors of the Company (“Chairman”), regarding an award (“2012 Performance Award”) of units (“Performance Units”), each representing an initial notional value of $100.00, under the 2010
INCENTIVE PLAN OF OCEANEERING INTERNATIONAL, INC. (the “Plan”), awarded to the Participant effective February 24, 2012 (the “Award
Date”), and subject to the following terms and conditions: 
 1. Relationship to Plan. This Award is subject to all
of the terms, conditions and provisions of (i) the Plan and administrative interpretations thereunder, if any, which have been adopted by the Committee thereunder and are in effect on the date hereof, and (ii) the Amended and Restated
Service Agreement dated December 21, 2006, and as amended by the modification thereto dated December 15, 2008, between the Participant and the Company (together, the “Service Agreement”), except for: (i) the provisions for
vesting and settlement in Sections 2(c), 5(b) and 5(c) below; and (ii) the Participant’s agreement in this clause (ii) that the Participant is not eligible in 2012 for any retainers or meeting fees applicable to nonemployee members of
the Board of Directors of the Company, in the event of a conflict between this Agreement and the Service Agreement, the Service Agreement shall control the Participant’s rights under this Agreement. Except as defined or otherwise specifically
provided herein, capitalized terms shall have the same meanings ascribed to them under the Plan and the Service Agreement. 
 2.
Vesting. 
 (a) The 2012 Performance Award hereby granted shall become vested in full on the
third anniversary of the Award Date, provided the Participant is Chairman on such anniversary date. 
 (b)
Performance Units subject to this 2012 Performance Award shall vest, irrespective of the provisions set forth in subparagraph (a) above, provided that the Participant has continuously served as Chairman from the Award Date until the applicable
December 15th following the later of (i) the Award Date, and (ii) his attainment of Retirement Age, in the following amounts provided the Participant is serving as Chairman on the applicable December 15th: 

(i) on December 15, 2012, one-third of the 2012 Performance Award shall be vested; 

(ii) on December 15, 2013, an additional one-third of the 2012 Performance Award shall be vested; and 

(iii) on December 15, 2014, the entire 2012 Performance Award shall be vested. 

 (c) All Performance Units subject to this 2012 Performance Award shall vest,
irrespective of the provisions set forth in subparagraphs (a) or (b) above, provided that the Participant has continuously served as Chairman since the Award Date upon the Participant ceasing to serve as Chairman under any of the
circumstances referred to in Section 4(a) of the Service Agreement (determined as if such cessation had occurred during Agreement Phase B). 
 (d) For purposes of this Agreement: 
 (i) “Change of
Control” means: 
 (A) any Person is or becomes the “beneficial owner” (as defined in Rule 13d-3
under the Exchange Act and the rules and regulations promulgated thereunder), directly or indirectly, of securities of the Company representing 20% or more of the combined voting power of the Company’s outstanding Voting Securities, other than
through the purchase of Voting Securities directly from the Company through a private placement; or 
 (B)
individuals who constitute the Board on the date hereof (the “Incumbent Board”) cease for any reason to constitute at least a majority thereof, provided that any person becoming a Director subsequent to the date hereof whose election, or
nomination for election by the Company’s shareholders, was approved by a vote of at least two-thirds of the Directors comprising the Incumbent Board shall from and after such election be deemed to be a member of the Incumbent Board; or

 (C) the Company is merged or consolidated with another corporation or entity, and as a result of such merger
or consolidation less than 60% of the outstanding Voting Securities of the surviving or resulting corporation or entity shall then be owned by the former shareholders of the Company; or 

(D) the consummation of a (i) tender offer or (ii) exchange offer by a Person other than the Company for the
ownership of 20% or more of the Voting Securities of the Company then outstanding; or 
 (E) all or
substantially all of the assets of the Company are sold or transferred to a Person as to which: 
 (1) the
Incumbent Board does not have authority (whether by law or contract) to directly control the use or further disposition of such assets; and 
 (2) the financial results of the Company and such Person are not consolidated for financial reporting purposes. 
 (F) Anything else in this definition to the contrary notwithstanding: 

  
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 (1) no Change of Control shall be deemed to have occurred by virtue of any
transaction which results in the Participant, or a group of Persons which includes the Participant, acquiring more than 20% of either the combined voting power of the Company’s outstanding Voting Securities or the Voting Securities of any other
corporation or entity which acquires all or substantially all of the assets of the Company, whether by way of merger, consolidation, sale of such assets or otherwise; and 

(2) no Change of Control shall be deemed to have occurred unless such event constitutes an event specified in Code
Section 409A(a)(2)(A)(v) and the Treasury Regulations promulgated thereunder. 
 (ii) “Exchange
Act” means the Securities Exchange Act of 1934, as amended from time to time. 
 (iii) “Person”
means, any individual, corporation, partnership, “group” (as such term is used in Rule 13d-5 under the Exchange Act), association or other “person,” as such term is used in Sections 13(d) and 14(d) of the Exchange Act, and the
related rules and regulations promulgated thereunder. 
 (iv) “Retirement Age” means the earlier to
occur of: 
 (A) age 65 or more, or 

(B) age 60 or more with at least 15 years of continuous service with the Company, 

provided that the Participant has remained in service with the Company until the earlier to occur of (A) or (B). The Company hereby
acknowledges that Participant has satisfied the requirements of “Retirement Age” as set forth herein as of the date of this Agreement. 
 (v) “Voting Securities” means, with respect to any corporation or other business enterprise, those securities, which under ordinary circumstances are entitled to vote for the election of
directors or others charged with comparable duties under applicable law. 
 3. Forfeiture of 2012 Performance Award. If
the Participant ceases to serve as Chairman under any of the circumstances or events that would constitute the Participant refusing to serve as Chairman if the provisions of Section 4(b) of the Service Agreement were applicable, all unvested
Performance Units as of the date Participant no longer serves as Chairman shall be forfeited. 
 4. Determination of Final
Value of Performance Units. The Committee shall, as soon as practicable after the close of the 2012-2014 Performance Period, determine the final value of each Performance Unit granted hereunder in accordance with the 2012 Performance
Award: Goals and Measures (a copy of which has been furnished to the Participant). Such final value may range from $0 to $150. 

  
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 5. Settlement and Payment. 

(a) Unless paid earlier pursuant to Sections 5(b) or 5(c) below, payment of 2012 Performance Awards that vest by reason of
Section 2(a) or 2(b) above shall be made as soon as administratively practicable after the close of the 2012-2014 Performance Period. In no event shall such payment be made later than the 15th day of the third calendar month following the
calendar month that includes the close of the 2012-2014 Performance Period. In the event a Change of Control occurs during the 2012-2014 Performance Period, the amount of such payment shall be determined as if each Performance Goal had been
satisfied at the Maximum Level. 
 (b) Upon Participant ceasing to serve as Chairman as a result of any
circumstances or events that would constitute the Participant refusing to serve as Chairman if the provisions of Section 4(b) of the Service Agreement were applicable, the portion of the 2012 Performance Award that has vested by reason of
Section 2(b) above, shall be paid as soon as administratively practicable after the close of the 2012-2014 Performance Period as if each Performance Goal had been satisfied at the Target Level, with no reduction for such date occurring prior to
the close of the 2012-2014 Performance Period. In no event shall such payment be made later than the 15th day of the third calendar month following the calendar month that includes the close of the 2012-2014 Performance Period. 

(c) Upon Participant ceasing to serve as Chairman under circumstances resulting in vesting under Section 2(c) above,
the entire 2012 Performance Award shall be paid as soon as administratively practicable after such cessation of service as if each Performance Goal had been satisfied at the Maximum Level, with no reduction for such date occurring prior to the close
of the 2012-2014 Performance Period. In no event shall such payment be made later than the 15th day of the calendar month following the calendar month that includes the date of such cessation of service. 

(d) Settlement of all 2012 Performance Awards will be made by payment in cash. 

6. Notices. Unless the Company notifies the Participant in writing of a different procedure, any notice or other communication to
the Company with respect to this Agreement or the Plan shall be in writing addressed to the Corporate Secretary of the Company and shall be: (a) by registered or certified United States mail, postage prepaid, to 11911 FM 529, Houston, Texas
77041-3011; or (b) by hand delivery or otherwise to 11911 FM 529, Houston, Texas 77041-3011. Any such notice shall be deemed effectively delivered or given upon receipt. 

Notwithstanding the foregoing, in the event that the address of the Company’s principal executive offices is changed prior to the
date of any settlement of this 2012 Performance Award, notices shall instead be made pursuant to the foregoing provisions at the then current address of the Company’s principal executive offices. 

Any notice or other communication to the Participant with respect to this Agreement or the Plan shall be given in writing and shall be
deemed effectively delivered or given upon receipt or, in the case of notices mailed by the Company to the Participant, five days after deposit in the United States mail, postage prepaid, addressed to the Participant at the address specified at the
end of this Agreement or at such other address as the Participant hereafter designates by written notice to the Company. 

  
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 7. Assignment of 2012 Performance Award. Except as otherwise permitted by the
Committee and as provided in the immediately following paragraph, the Participant’s rights under the Plan and this Agreement are personal, and no assignment or transfer of the Participant’s rights under and interest in this 2012
Performance Award may be made by the Participant other than by a domestic relations order. This 2012 Performance Award is payable during his lifetime only to the Participant, or in the case of the Participant being mentally incapacitated, this 2012
Performance Award shall be payable to his guardian or legal representative. 
 The Participant may designate a beneficiary or
beneficiaries (the “Beneficiary”) to whom the 2012 Performance Award under this Agreement, if any, will pass upon the Participant’s death and may change such designation from time to time by filing with the Company a written
designation of Beneficiary on the form attached hereto as Exhibit A, or such other form as may be prescribed by the Committee; provided that no such designation shall be effective unless so filed prior to the death of the Participant and no such
designation shall be effective as of a date prior to receipt by the Company. The Participant may change his Beneficiary without the consent of any prior Beneficiary by filing a new designation with the Company. The last such designation that the
Company receives in accordance with the foregoing provisions will be controlling. Following the Participant’s death, the 2012 Performance Award, if any, will pass to the designated Beneficiary and such person will be deemed the Participant for
purposes of any applicable provisions of this Agreement. If no such designation is made or if the designated Beneficiary does not survive the Participant’s death, the 2012 Performance Award shall pass by will or, if none, then by the laws of
descent and distribution. 
 8. Withholding. The Company’s obligations under this Agreement shall be subject to the
satisfaction of all applicable tax withholding requirements including those related to federal, state and local income and employment taxes (the “Required Withholding”). The Company may withhold an appropriate amount of cash necessary to
satisfy the Participant’s Required Withholding, and deliver the remaining amount of cash to the Participant, unless the Participant has made arrangements with the consent of the Company for the Participant to deliver to the Company cash, check,
other available funds or shares of previously owned Common Stock for the full amount of the Required Withholding by 5:00 p.m. Central Standard Time on the date an amount is included in the income of the Participant. The amount of the Required
Withholding and the number of shares to satisfy the Participant’s Required Withholding shall be based on the Fair Market Value of the shares on the date prior to the applicable date of income inclusion. 

9. Successors and Assigns. This Agreement shall bind and inure to the benefit of and be enforceable by the Participant, the
Company and their respective permitted successors and assigns (including personal representatives, heirs and legatees), except that the Participant may not assign any rights or obligations under this Agreement except to the extent and in the manner
expressly permitted in Section 7 of this Agreement. 
 10. No Service as Chairman Guaranteed. No provision of this
Agreement shall confer any right upon the Participant to serve as Chairman. 

  
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 11. Code Section 409A Compliance. This Award is intended to satisfy the
requirements of Section 409A of the Code or alternatively, the short-term deferral exclusion under Section 409A of the Code and related regulations and Treasury pronouncements. 

12. Participant Limit. The 2012 Performance Award made hereunder shall not be in an amount greater than $10,000,000 for any
Participant. 
 13. Governing Law. This Agreement shall be governed by, construed, and enforced in accordance with the
laws of the State of Texas, excluding any choice of law provision thereof that would result in the application of the laws of any other jurisdiction. 
 14. Amendment. Except as set forth herein, this Agreement cannot be modified, altered or amended except by an agreement, in writing, signed by both the Company and the Participant. 

 

							
		 		 	OCEANEERING INTERNATIONAL, INC.
				
	Award Date: February 24, 2012	 		 	By:	 	 
		 		 		 	David K. Lawrence
		 		 		 	Vice President, General Counsel and Secretary

 The Participant hereby accepts the foregoing 2012 Performance Unit Agreement, subject to the terms and
provisions of the Plan and administrative interpretations thereof referred to above. 
  

							
		 		 		 	PARTICIPANT:
				
	Date:	 		 		 	  

				
		 		 		 	Participant’s Address:
				
		 		 		 	  

				
		 		 		 	  

				
		 		 		 	  

  
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 Exhibit A to 2012 Chairman 

Performance Unit Agreement 
 Designation of Beneficiary 

I,             (“Participant”), hereby declare that upon my
death,            (the “Beneficiary”) of             (address), who is
my            (relationship), will be entitled to the 2012 Performance Award which may become payable under the Plan and all other rights accorded the Participant under the
Participant’s 2012 Performance Unit Agreement (capitalized terms used but not defined herein have the respective meanings assigned to them in such agreement). 
 It is understood that this designation of Beneficiary is made pursuant to the Agreement and is subject to the conditions stated therein, including the Beneficiary’s survival of Participant. If any
such condition is not satisfied, such rights shall devolve according to the Participant’s last will and testament, or if none, then the laws of descent and distribution. 
 It is further understood that all prior designations of beneficiary under the Agreement are hereby revoked upon the filing of this designation with the Company. This designation of Beneficiary may only be
revoked in writing, signed by the Participant, and filed with the Corporate Secretary of the Company prior to the Participant’s death. 
  

	
	  
	Participant
	
	  
	Date

  
 Page 7 of 72012 Performance Award

 Exhibit 10.5 
 2012 PERFORMANCE AWARD: GOALS AND MEASURES 
 ARTICLE 1 

ESTABLISHMENT AND PURPOSE 
 1.1 Establishment of the 2012-2014 Performance Goals. Oceaneering International, Inc. (the “Company”), has previously established the 2010 Incentive Plan of Oceaneering
International, Inc. (the “Plan”). The Plan permits the establishment of Performance Goals and the award of Performance Awards to Participants. The Committee has established Performance Goals (as detailed herein) for the first performance
period under the Plan which shall run from January 1, 2012 through December 31, 2014 (the “2012-2014 Performance Period”). This 2012-2014 Performance Period is subject to all the provisions of the Plan. 

1.2 Establishment of 2012-2014 Performance Goal Targets. The 2012-2014 Performance Goal targets are as follows:

  

					
		 	ROIC/Kc:	  	___%1
			
		 	Cumulative Three Year Cash Flow:	  	$___1

 1.3 Purpose. The establishment of Performance Goals for the 2012-2014 Performance
Period is to provide Participants with a long-term incentive opportunity in respect of the 2012-2014 Performance Period. Performance Awards granted in 2012 (the “2012 Performance Awards”) are subject to the attainment of these Performance
Goals. 
 ARTICLE 2 
 DEFINITIONS 
 2.1 Definitions. Whenever used in this
document, capitalized terms shall have the meanings assigned in the Plan, unless defined otherwise or specifically provided herein. The following terms shall have the meanings set forth below: 

(a) “Average Cost of Capital” means the average (the arithmetic mean) of the Cost of Capital for each of
the three calendar years within the 2012-2014 Performance Period. 
 (b) “Average Invested
Capital” means the sum of Average Total Debt and Average Shareholders’ Equity for each of the three calendar years within the 2012-2014 Performance Period. 

 

	1	 In accordance with
Instruction 2 to Item 402(e) and Instruction 4 to Item 402(b) of Regulation S-K, Oceaneering is not disclosing these and the other amounts or items left blank herein, as they reflect confidential commercial or business information.

 (c) “Average Return on Invested Capital” or
“ROIC” means a percentage derived by dividing (i) the cumulative NOPAT (the sum of NOPAT for each of the three calendar years within the 2012-2014 Performance Period) by (ii) Average Invested Capital. 

(d) “Average Total Debt” means (i) the sum of the Total Debt as of the end of the prior year and the
Total Debt as of the end of the current year (ii) divided by two. For example, the Average Total Debt for calendar year 2012 will be the Total Debt as of December 31, 2011, plus the Total Debt as of December 31, 2012, divided by two.

 (e) “Average Shareholders’ Equity” means (i) the sum of Shareholders’ Equity
as of the end of the prior year and Shareholders’ Equity as of the end of the current year (ii) divided by two. 
 (f) “Cost of Capital” or “Kc” means a percentage determined by dividing (i) the sum of the Cost of Debt and the Cost of Equity for each of the three calendar years within
the 2012-2014 Performance Period by (ii) the sum of Average Total Debt and Average Shareholders’ Equity for each of the three calendar years within the 2012-2014 Performance Period. All components of Cost of Capital shall be obtained
directly from the audited financial statements of the Company for the applicable year. 
 (g) “Cost of
Debt” means the product of annual Interest Expense and 65% (100% less a deemed income tax rate of 35%). 

(h) “Cost of Equity” means the product of Average Shareholders’ Equity and 7.4%, which is the sum of
the 1.9% yield on the 10-year Treasury Notes as of December 31, 2011, as published by the U.S. Federal Reserve, plus an equity return premium of 5.5%. 
 (i) “Cumulative Three Year Cash Flow” means the sum of the earnings before interest, taxes, depreciation and amortization (“EBITDA”) amounts for each of the three calendar years
in the 2012-2014 Performance Period. EBITDA shall be calculated as Net Income (Loss) plus (or Minus) Net Interest Expense (Income), plus provisions for income taxes (or minus benefit from income taxes), plus depreciation and amortization. Each
component of EBITDA shall be obtained directly from the audited financials statements of the Company for the applicable year. 
 (j) “Income Before Income Taxes” means income before income taxes as reflected in the audited financial statements of the Company for the applicable calendar year. 

(k) “Interest Expense” means interest expense, net of amounts capitalized, as reflected in the audited
financial statements of the Company for the applicable calendar year. 
 (l) “Interest Income”
means interest income as reflected in the audited financial statements of the Company for the applicable calendar year. 

  
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 (m) “Net Income (Loss)” means net income (loss) as
reflected in the audited financial statements of the Company for the applicable calendar year. 
 (n)
“Net Interest Expense (Income)” means the difference between (i) Interest Expense and (ii) Interest Income for the applicable calendar year. 

(o) “Net Operating Profit After Taxes” or “NOPAT” means Net Income (Loss) plus (or minus) the
product of (i) Net Interest Expense (Income) and (ii) 100% minus the effective income tax rate for the applicable year. The effective income tax rate will be determined by dividing the annual income tax provision (or benefit) by Income
Before Income Taxes. All components of NOPAT shall be obtained directly from the audited financial statements of the Company for the applicable calendar year. 
 (p) “Performance Unit” means the unit of measure underlying a Performance Award, with an initial notional value of $100. 

(q) “ROIC/Kc” means a percentage derived by dividing (i) Average Return on Invested Capital for the
2012-2014 Performance Period by (ii) Average Cost of Capital for the 2012-2014 Performance Period. A percentage greater than 100% indicates the Company earned a rate of return on its Average Invested Capital in excess of its Average Cost of
Capital. 
 (r) “Shareholders’ Equity” means the shareholders’ equity as reflected in
the audited financial statements of the Company for the applicable year. 
 (s) “Total Debt”
means the difference between (i) the sum of the debt components (in both current and long-term liabilities), as reflected in the audited financial statements of the Company for the applicable calendar year, and
(ii) construction-in-progress as disclosed in the footnotes to the audited financial statements of the Company to the extent such amount is greater than $20,000,000. 
 ARTICLE 3 
 AWARD DETERMINATION 

3.1 Award Opportunities. The Committee has determined the Participants for the 2012-2014 Performance Period and each
Participant’s 2012 Performance Award; such Participants and their individual Performance Awards are reflected in the Committee records. A Participant’s 2012 Performance Award is keyed to the Company’s performance with respect to the
2012-2014 Performance Goals, and may result in a payment to the Participant having a value from zero percent to one hundred fifty percent of the initial notional value of the 2012 Performance Award. 

3.2 Performance Award Determination. As soon as is practicable after the close of the 2012-2014 Performance Period,
the Committee shall calculate the value of 2012 Performance Awards for each Participant as follows: 

  
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 (a) Determine ROIC/Kc for the 2012-2014 Performance Period. 

(b) Determine the Cumulative Three Year Cash Flow for the 2012-2014 Performance Period. 

(c) Determine the ROIC/Kc Performance Goal level based on the following: 

 

					
		 	Threshold Level:	  	___%
			
		 	Target Level:	  	___%
			
		 	Maximum Level:	  	___%

 (d) Determine the Cumulative Three Year Cash Flow Performance Goal level based on the
following: 
  

					
		 	Threshold Level:	  	$___
			
		 	Target Level:	  	$___
			
		 	Maximum Level:	  	$___

 (e) If the Company does not reach the Threshold level on both the ROIC/Kc and the
Cumulative Three Year Cash Flow Performance Goal, no amounts will be paid with respect to the 2012 Performance Awards. If the Company reaches the Threshold level on at least one Performance Goal, an amount will be payable with respect to the 2012
Performance Awards. 
 (f) The 2012 Performance Award for any Participant shall not be in an amount greater than
$10,000,000. 
 (g) Satisfaction of each Performance Goal at the Target level will result in a final value of
each Performance Unit of $100. The determination of the final value of each Performance Unit shall be based on application of the following grid (with interpolation between the specified levels): 

UNIT VALUES 
  

													
		 	
Maximum
	  	$75.00	  	$112.50	  	$125.00	  	$150.00	  	
		 	
Target
	  	$50.00	  	$87.50	  	$100.00	  	$125.00	  	
	 Cumulative
	 	
Threshold
	  	$37.50	  	$75.00	  	$87.50	  	$112.50	  	
	Three Year Cash Flow	 	 Below

Threshold
	  	$0.00	  	$37.50	  	$50.00	  	$75.00	  	
		 		  	 Below
 Threshold
	  	Threshold	  	Target	  	Maximum	  	

 ROIC/Kc 

  
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 (h) The Committee shall certify the determination of the final value of each
Performance Unit. If such value exceeds $100, the Committee retains the discretion to reduce such value to any amount above or equal to $100. 
 ARTICLE 4 
 PAYMENT OF 2012 PERFORMANCE AWARDS 

4.1 Determination of Amount. 2012 Performance Awards will be determined as soon as practicable after (a) the
Company’s financial statements for each of the three calendar years in the 2012-2014 Performance Period have been certified, (b) the Committee has certified in writing that the various Performance Goals and conditions set forth herein and
in the Plan have all been met or satisfied, and (c) the Committee has specifically authorized in writing the payment of any 2012 Performance Awards based on attainment of either Performance Goal at a level greater than Target. 

4.2 Vesting. The 2012 Performance Awards will vest as set forth in the Participant’s Performance Unit
Agreement. 
 4.3 Form of Payment. Each 2012 Performance Award will be paid in cash. 

4.4 Time of Payment. 2012 Performance Awards shall be paid as set forth in the Participant’s Performance Unit
Agreement. 

  
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