Document:

Exhibit 10.17

    

    

    CARRIER GLOBAL CORPORATION

    LTIP PERFORMANCE SHARE UNIT DEFERRAL PLAN

    (Effective as of January 1, 2020)

    

    

    ARTICLE I – PREAMBLE

    

    

    Section 1.1 – Purpose of the Plan

    

    

    The Carrier Global Corporation LTIP Performance Share Unit Deferral Plan (the “Plan”) is hereby established effective January 1, 2020 (the “Effective Date”) to provide eligible Participants with the opportunity to defer
      receipt of shares of Common Stock in respect of Performance Share Units (“PSUs”) awarded by United Technologies Corporation (“UTC”) prior to the Spin-off or by the Corporation on or following the Spin-off.

    

    

    Section 1.2 – Spin-off from UTC

    

    

    On November 26, 2018, UTC announced its intention to separate into three independent companies, UTC, the Corporation and Otis Worldwide Corporation (“Otis”), through spin-off transactions expected to be completed by
      mid-year 2020.  The transaction by which the Corporation ceases to be a subsidiary of UTC is referred to herein as the “Spin-off.”  In connection with the Spin-off, and pursuant to the terms of the Employee Matters Agreement to be entered into by and
      among the Corporation, UTC, and Otis (the “Employee Matters Agreement”), the Corporation and this Plan shall assume all obligations and liabilities of UTC and its subsidiaries under the UTC LTIP PSU Deferral Plan with respect to “Carrier Group
      Employees” and “Former Carrier Group Employees” (as such terms are defined in the Employee Matters Agreement, and collectively referred to as “Carrier Employees”).  Any benefits due under the UTC LTIP PSU Deferral Plan with respect to Carrier
      Employees or Beneficiaries of Carrier Employees will now be the responsibility of the Corporation and this Plan, and any such benefits accrued but not yet paid under the UTC LTIP PSU Deferral Plan immediately prior to the Effective Date, will be
      administered and paid under the terms of this Plan.  All investment and distribution elections and designations of Beneficiary made under the UTC LTIP PSU Deferral Plan by a Carrier Employee or Beneficiary of a Carrier Employee and in effect
      immediately prior to the Effective Date will continue to apply and shall be administered under this Plan, until such election or designation expires or is otherwise changed or revoked in accordance with the terms of this Plan.  All valid domestic
      relations orders filed with the UTC LTIP PSU Deferral Plan as of immediately prior to the Effective Date with respect to the benefit of a Carrier Employee shall continue to apply under this Plan to the extent provided under Section 8.2.

    
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    ARTICLE II – DEFINITIONS

    

    

    For purposes of this Plan, the following terms are defined as set forth below:

    

    

    
      
        	(a)	
                Beneficiary means the person, persons, entity, or entities designated on an electronic or written form by the Participant to receive the value of his or her Plan Account in the event of the
                  Participant’s death in accordance with the terms of this Plan.  If the Participant fails to designate a Beneficiary, or the Beneficiary (and any contingent Beneficiary) does not survive the Participant, the value of the Participant’s Plan
                  Account will be paid to the Participant’s estate.

              

      

    

    

    

    
      
        	(b)	
                Carrier Company means, (i) prior to the Spin-off, any entity within the Carrier business unit of UTC controlled by or under common control with UTC within the meaning of Section 414(b) or (c) of
                  the Code and (ii) from and after the Spin-off, the Corporation and any entity controlled by or under common control with the Corporation within the meaning of Section 414(b) or (c) of the Code (but under both clauses (i) and (ii)
                  substituting “at least 20 percent” for “at least 80 percent” as the control threshold used in applying Sections 414(b) and (c)).

              

      

    

    

    

    
      
        	(c)	
                Carrier LTIP PSU Deferral Plan means the Carrier Global Corporation LTIP Performance Share Unit Deferral Plan.

              

      

    

    

    

    
      
        	(d)	
                Code means the Internal Revenue Code of 1986, as amended from time to time, and any successor thereto.  Reference to any section of the Internal Revenue Code shall include any final regulations
                  or other applicable guidance.  References to “Section 409A” shall include any final regulations or other applicable guidance issued thereunder by the Internal Revenue Service from time to time in effect.

              

      

    

    
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        	(e)	
                Committee means the Carrier Benefit Plan Committee, which is responsible for the administration of this Plan.  The Committee may delegate administrative responsibilities to such individuals and
                  entities as it shall determine.

              

      

    

    

    

    
      
        	(f)	
                Common Stock means the common stock of United Technologies Corporation until the Spin-off and means the common stock of the Corporation from and after such date.

              

      

    

    

    

    
      
        	(g)	
                Corporation means Carrier Global Corporation, or any successor thereto.

              

      

    

    

    

    
      
        	(h)	
                DCP means the United Technologies Deferred Compensation Plan prior to the Spin-off date and means the Corporation’s Deferred Compensation Plan from and after the Spin-off date.

              

      

    

    

    

    
      
        	(i)	
                Default Deferral Period means the minimum Deferral Period of five (5) years following the date on which the Performance Cycle Account is established.

              

      

    

    

    

    
      
        	(j)	
                Default Distribution means payment in a lump sum distribution.

              

      

    

    

    

    
      
        	(k)	
                Deferral Period means the period designated (or deemed to be designated) by the Participant in accordance with this Plan that ends on the Participant’s Retirement Date or on a Specific Deferral
                  Date.

              

      

    

    

    

    
      
        	(l)	
                Deferred Share Units means PSUs that have been deferred pursuant to the terms of this Plan (or pursuant to the UTC LTIP PSU Deferral Plan for periods prior to the Spin-off), and dividend
                  equivalents that are credited and invested pursuant to Section 7.1.

              

      

    

    

    

    
      
        	(m)	
                Disability means permanent and total disability as determined under the Corporation’s long-term disability plan applicable to the Participant, or if there is no such plan applicable to the
                  Participant, “Disability” means a determination of total disability by the Social Security Administration; provided that, in either case, the Participant’s condition also qualifies as a
                  “disability” for purposes of Section 409A(a)(2)(C).

              

      

    

    

    

    
      
        	(n)	
                Election Form means the enrollment form provided by the Committee to Participants electronically or in paper form for the purpose of deferring PSUs under this Plan.  Each Participant’s Election
                  Form must contain such information as the Committee may require, including:  the percentage of the award to be deferred with respect to the applicable Performance Cycle, the form of distribution elected, and the distribution start date (see also Default Deferral Period and Default Distribution).  There will be a separate Election Form for each Performance Cycle.

              

      

    

    
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        	(o)	
                Employee means an employee of the Corporation and its subsidiaries.  For the period January 1, 2020 until the Spin-off date, Employee shall exclude any employee of UTC and its subsidiaries and
                  affiliates that is not deemed to be within the Carrier business unit of UTC.

              

      

    

    

    

    
      
        	(p)	
                ERISA means the Employee Retirement Income Security Act of 1974, as amended.

              

      

    

    

    

    
      
        	(q)	
                Investment Fund means a hypothetical fund that tracks the value of an investment option offered under the Qualified Savings Plan or the DCP, as determined by the Committee.  Investment Funds
                  offered under the LTIP PSU Deferral Plan may be changed from time to time by the Committee and shall be valued in the manner set forth in Section 5.1.  The value of Participants’ Plan Accounts invested in Investment Funds shall be
                  adjusted to replicate the performance of the applicable Investment Funds.  Amounts credited to any Investment Fund do not result in the investment in actual assets corresponding to the Investment Fund.

              

      

    

    

    

    
      
        	(r)	
                Participant means an Employee of a Carrier Company who (i) is determined by the Committee to be within a select group of management or highly compensated employees, (ii) is paid from a U.S.
                  payroll, (iii) files a U.S. income tax return, (iv) has been awarded PSUs, (v) elects to defer a portion of such PSUs pursuant to the terms of this Plan, and (vi) is not an active participant in the UTC LTIP PSU Deferral Plan or the
                  Carrier LTIP PSU Deferral Plan.  A Participant who has previously contributed to this Plan, but who ceases to be eligible under the preceding sentence, shall not be eligible to further defer PSUs under Article IV, but shall remain a
                  Participant under this Plan with respect to his or her Plan Account until final distribution in accordance with the terms of this Plan.

              

      

    

    

    

    
      
        	(s)	
                Performance Cycle means the three (3)-year performance measurement period during which the pre-established performance targets are measured for each PSU Award.

              

      

    

    
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        	(t)	
                Performance Cycle Account means the account established for each Participant for each Performance Cycle for which PSUs have been deferred under this Plan.  The Performance Cycle Account shall
                  be established shortly after the end of the final year of the three (3)-year performance measurement period (i.e., when the Corporation’s Compensation Committee determines the extent to which the
                  performance goals were obtained).

              

      

    

    

    

    
      
        	(u)	
                Plan means the Carrier Global Corporation LTIP Performance Share Unit Deferral Plan, as amended from time to time.

              

      

    

    

    

    
      
        	(v)	
                Plan Account means the aggregate value of all Performance Cycle Accounts.

              

      

    

    

    

    
      
        	(w)	
                PSUs means restricted stock units granted pursuant to a long-term incentive plan of the Corporation (or for periods prior to the Spin-off, pursuant to a
                  UTC long-term incentive plan), the vesting of which are conditioned upon the attainment of performance goals and continued service.

              

      

    

    

    

    
      
        	(x)	
                Qualified Savings Plan means the United Technologies Corporation Employee Savings Plan until the Spin-off date and means the Carrier Retirement Savings Plan from and after the Spin-off date.

              

      

    

    

    

    
      
        	(y)	
                Retirement means a Separation from Service on or after attainment of age fifty (50).

              

      

    

    

    

    
      
        	(z)	
                Retirement Date means the date of a Participant’s Retirement.

              

      

    

    

    

    
      
        	(aa)	
                Separation from Service means a Participant’s termination of employment with all Carrier Companies, other than by reason of death.  A Separation from Service will be deemed to occur where the
                  Participant and the Carrier Company that employs the Participant reasonably anticipate that the bona fide level of services the Participant will perform (whether as an employee or as an independent contractor) for the Carrier Companies
                  will be permanently reduced to a level that is less than thirty-seven and a half percent (37.5%) of the average level of bona fide services the Participant performed during the immediately preceding thirty-six (36) months (or the entire
                  period the Participant has provided services if the Participant has been providing services to the Carrier Companies for less than thirty-six (36) months).  A Participant shall not be considered to have had a Separation from Service as a
                  result of a transfer from one Carrier Company to another Carrier Company.  For the avoidance of doubt, a transfer of employment from an entity that constitutes a Carrier Company prior to the Spin-off to an entity that constitutes a
                  Carrier Company following the Spin-off shall not constitute a Separation from Service under this Plan or with respect to benefits transferred to this Plan if such transfer is made in connection with the Spin-off, but a transfer from a
                  Carrier Company to UTC or Otis (or one of their affiliates) after the Spin-off (and that otherwise satisfies the definition of a Separation from Service) shall constitute a Separation from Service.

              

      

    

    
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        	(bb)	
                Share means a share of UTC Common Stock until the Spin-off, and means a share of the Corporation’s common stock from and after such date.

              

      

    

    

    

    
      
        	(cc)	
                Specific Deferral Date means a specified date, not less than five (5) years following the date on which the Performance Cycle Account is established.

              

      

    

    

    

    
      
        	(dd)	
                Specified Employee means for the period (1) until the Corporation’s first specified employee effective date following the Spin-off, those officers and executives of the Corporation and its
                  affiliates who were identified as a specified employee of UTC on the “specified employee identification date” preceding such specified employee effective date (as such terms are defined by Treas. Regs. Sec. 1.409A-1(i)(3) and (4)); and
                  (2) from and after the Corporation’s first specified employee effective date following the Spin-off, each of the fifty (50) highest-paid officers and other executives of the Corporation and its affiliates (determined for this purpose
                  under Treas. Regs. Sec. 1.409A-1(g)), effective annually as of April 1st, based on compensation reported on Box 1 of Form W-2, but including amounts that are excluded from taxable income as a result of elective deferrals to qualified
                  plans and pre-tax contributions.  Foreign compensation earned by a nonresident alien that is not effectively connected with the conduct of a trade or business in the United States will not be used to determine Specified Employees
                  following the Spin-off.

              

      

    

    

    

    
      
        	(ee)	
                UTC LTIP PSU Deferral Plan means the United Technologies Corporation LTIP Performance Share Unit Deferral Plan.

              

      

    

    
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        	(ff)	
                Valuation Date means the date on which Deferred Share Units included in a Participant’s Performance Cycle Account are valued prior to distribution.  If the New York Stock Exchange is closed on
                  a Valuation Date, the Valuation Date will be the next business day.

              

      

    

    

    

    For PSUs granted on or after January 1, 2008 the following rules apply for purposes of determining the Valuation Date:

    

    

    
      
        	(gg)	
                Separation from Service prior to age 50.  If the distribution is made because of the Participant’s Separation from Service prior to attaining age fifty (50), the Valuation Date for the lump sum
                  distribution will be the July 31st next following the Separation from Service date.

              

      

    

    

    

    
      
        	(hh)	
                Retirement.  If the distribution is made because of the Participant’s Retirement and the distribution is (1) a lump sum, the Valuation Date will be the July 31st next following the Retirement
                  Date (or, if later, the vesting date for the PSUs) or (2) in installments, the Valuation Date will be the July 31st next following the Retirement Date (or, if later, the vesting date for the PSUs) and each subsequent July 31st thereafter
                  for the remaining installments.

              

      

    

    

    

    
      
        	(ii)	
                Specific Deferral Date.  If the distribution is made because the Deferral Period has ended on a Specific Deferral Date, the Valuation Date for the lump sum or initial installment distribution
                  will be the July 31st next following the Specific Deferral Date and each subsequent July 31st thereafter for any remaining installments.

              

      

    

    

    

    
      
        	(jj)	
                Death.  If the distribution is made as a result of the Participant’s death, the Valuation Date will be a date that is as soon as practicable prior to the date the distribution is to be made on
                  account of the death.

              

      

    

    

    

    For PSUs granted prior to January 1, 2008, the following rules apply for purposes of determining the Valuation Date:

    

    

    
      
        	(kk)	
                Separation from Service prior to age 50.  If the distribution is made because of the Participant’s Separation from Service prior to attaining age fifty (50), the Valuation Date will be
                  determined by reference to the date upon which the Participant’s Separation from Service occurs.  For Separations of Service that occur in a year (1) prior to July 21st, the Valuation Date will be July 31st of that year, (2) on or after
                  July 21st and prior to October 21st, the Valuation Date will be October 31st, (3) on or after October 21st and prior to December 1st, the Valuation Date will be December 15th, and (4) in the month of December, the Valuation Date will be
                  January 15th of the following year.

              

      

    

    
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        	(ll)	
                Retirement.  If the distribution is made because of the Participant’s Retirement and the distribution is a lump sum, the Valuation Date will be determined by reference to the date upon which the
                  Participant’s Retirement Date occurs (or, if later, the vesting date for the PSUs).  For Retirement Dates that occur in a year (1) prior to July 21st, the Valuation Date will be July 31st of that year, (2) on or after July 21st and prior
                  to October 21st, the Valuation Date will be October 31st, (3) on or after October 21st and prior to December 1st, the Valuation Date will be December 15th, and (4) in the month of December, the Valuation Date will be January 15th of the
                  following year.  If the distribution is made because of the Participant’s Retirement and the distribution is in the form of installments, the Valuation Date will be the July 31st next following the Retirement Date (or if later the vesting
                  date of the PSUs) and each subsequent July 31st thereafter for the remaining installments.

              

      

    

    

    

    
      	(mm)	
              
                Specific Deferral Date.  If the distribution is made because the Deferral Period has ended on a Specific Deferral Date, the Valuation Date for the lump sum or initial installment distribution
                  will be the July 31st next following the Specific Deferral Date and each subsequent July 31st thereafter for any remaining installments.

              

            

    

    

    

    
      
        	(nn)	
                Death.  If the distribution is made as a result of the Participant’s death, the Valuation Date will be a date that is as soon as practicable prior to the date the distribution is to be made on
                  account of the death.

              

      

    

    
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    ARTICLE III – ELIGIBILITY AND PARTICIPATION

    

    

    Section 3.1 – Eligibility

     

    

                  Each Employee of a Carrier Company, who is classified as an eligible Participant at the time of the deferral election, will be eligible to participate in this Plan in respect of
      that Performance Cycle in accordance with the terms of this Plan.

    

    

    Section 3.2 – Participation

    

    

    Each eligible Participant may elect to participate in this Plan with respect to any Performance Cycle for which he/she receives an award of PSUs, and for which the opportunity to defer PSUs is offered, by timely filing
      an Election Form, properly completed in accordance with Section 4.1.

    

    

    ARTICLE IV – PARTICIPANT ELECTIONS AND DESIGNATIONS

    

    

    Section 4.1 – Election

    

    

    An eligible Participant, who has been awarded PSUs, may, on or before the election deadline established by the Committee, file an Election Form to defer the Participant’s PSUs, subject to their future vesting.

    

    

    Section 4.2 – Election Amount

    

    

    An eligible Participant must designate in the Election Form the percentage of vested PSUs (rounded down to the nearest whole share) that will be deferred under this Plan for the Performance Cycle.  The minimum percentage
      of vested PSUs that a Participant may defer under this Plan for any Performance Cycle is ten percent (10%) and the maximum is one hundred percent (100%).

    
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    Section 4.3 – One-Time Diversification Election and Investment Fund Allocation

    

    

    (a)          One-Time Diversification Election.  Each Participant will be allowed a one-time opportunity during a specified two (2)-week period in February 2020 to elect to
      diversify his or her then-existing Performance Cycle Accounts out of Deferred Share Units, and into available Investment Funds.  A separate diversification election may be made for each Performance Cycle Account; and once made, will apply to the
      entire Performance Cycle Account.  Performance Cycle Accounts that are diversified will be valued as of the date on which the diversification election is made (or on the next business day if the election occurs after trading hours).  If no election
      is made by a Participant, his or her Performance Cycle Accounts will remain invested in Deferred Share Units.

    

    

    (b)          Investment Fund Allocation.  Performance Cycle Accounts that are diversified as part of the one-time election under paragraph (a) of this Section 4.3 can never be
      reinvested in Deferred Share Units; however, Participants may change the asset allocation of the diversified Performance Cycle Accounts between other Investment Funds, as permitted by the Committee.

    

    

    Section 4.4 – Election Date

    

    

    To defer PSUs under this Plan, an Election Form must be completed and submitted to the Committee no later than the election deadline for that Performance Cycle.  If the PSUs qualify as “performance-based compensation”
      for purposes of Section 409A, the election deadline shall be no later than December 31st of the second (2nd) year of the Performance Cycle; provided that the compensation provided under the PSUs has not
      become reasonably ascertainable by the election deadline, and provided further that the Participant has performed services continuously from the beginning of the Performance Cycle (or, if later, the date when the performance criteria were established
      if the award is made after the beginning of the Performance Cycle) until the election deadline.  The Committee may specify an election deadline for any Performance Cycle that is earlier than the latest permissible deadline described in this
      paragraph, or may specify before the election deadline that particular PSUs are not eligible for deferral.  Except as provided below in Section 4.7 (Change in Distribution Election) and Section 5.8 (Accelerated Distribution in the Case of an
      Unforeseeable Emergency), the choices reflected in the Participant’s Election Form shall become irrevocable on the election deadline.  If an eligible Participant fails to submit a properly completed Election Form by the election deadline, he or she
      will be ineligible to participate in this Plan for the applicable Performance Cycle.

    
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    Section 4.5 – Deferral Period

    

    

    Each Participant shall specify in the Election Form the Deferral Period for amounts to be deferred.  Failure to specify a Deferral Period shall result in a deferral for the Default Deferral Period.  A Participant may
      elect a Deferral Period that ends either (1) on a Specific Deferral Date that is at least five (5) years following the date on which the Performance Cycle Account is established, or (2) on the Participant’s Retirement Date.

    

    

    Section 4.6 – Distribution Election

    

    

    At the time the Participant first elects to defer his or her vested PSUs under Section 4.1, the Participant must further make an election to have the Performance Cycle Account distributed in a lump sum or in two (2) to
      fifteen (15) annual installments.  If no distribution election is made, the Participant’s Performance Cycle Account will be distributed in a lump sum.  If a Participant elects to receive the Performance Cycle Account in installments, the amount of
      each installment shall be determined by dividing the total Performance Cycle Account Balance on each Valuation Date by the number of installments remaining, rounded down to the nearest whole share.  For any amounts not denominated in Deferred Share
      Units, installment payments will be determined by valuing such amount on the payment and multiplying such amount by a fraction, the numerator of which is one (1) and the denominator of which is the number of scheduled installments that remain unpaid.

    

    

    Section 4.7 – Change in Distribution Election

    

    

    A Participant may make an irrevocable election to extend the Deferral Period and/or change the form of distribution for a Performance Cycle Account.  A Participant may change his or her election, as provided in this
      Section 4.7, for some accounts and not for others.  For each Performance Cycle Account, the extended Deferral Period shall not be less than five (5) years following the date on which distribution would otherwise have occurred.  A deferral extension
      election and/or change to the form of distribution must meet all of the following requirements:

    

    

    
      
        	

              	(a)	
                The new election must be made at least twelve (12) months prior to the earlier of the date on which payments will commence under the current election and/or the date of the Participant’s Separation from Service following the attainment
                  of age fifty (50) (and the new election shall be ineffective if the Participant incurs a Separation from Service within twelve (12) months after the date of the new election);

              

      

    

    
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              	(b)	
                The new election will not take effect until at least twelve (12) months after the date when the new election is submitted in a manner acceptable to the Committee; and

              

      

    

    

    

    
      
        	

              	(c)	
                The new payment commencement date must be at least five (5) years later than the date on which payments would commence under the current election.

              

      

    

    

    

    A Participant may change his or her election up to a maximum of three (3) times for each Performance Cycle Account.

    

    

    Section 4.8 – Designation of Beneficiary

    

    

    Each Participant shall designate a Beneficiary for his or her Plan Account on an electronic or written form provided by the Committee.  A Participant may change such designation on an electronic or written form
      acceptable to the Committee and any change will be effective on the date received by the Committee.  Designations received after the Participant’s death will not be effective.  If a Beneficiary designation is not filed with the Committee before the
      Participant’s death, or if the Beneficiary (and any contingent Beneficiary) does not survive the Participant, the value of the Participant’s Plan Account will paid to the Participant’s estate.  If a Participant designates the Participant’s spouse as
      the Participant’s Beneficiary, that designation shall not be revoked or otherwise altered or affected by any:  (a) change in the marital status of the Participant; (b) agreement between the Participant and such spouse; or (c) judicial decree (such as
      a divorce decree) affecting any rights that the Participant and such spouse might have as a result of their marriage, separation, or divorce; it being the intent of this Plan that any change in the designation of a Beneficiary hereunder may be made
      by the Participant only in accordance with the procedures set forth in this Section 4.8.  In the event of the death of a Participant, distributions shall be made in accordance with Section 5.5.

    
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    ARTICLE V – VALUATION & DISTRIBUTION OF ACCOUNTS

    

    

    Section 5.1 – Valuation of Performance Cycle Accounts

    

    

    Upon the Spin-off, UTC Deferred Share Units will be converted into Carrier Deferred Share Units, including fractional Carrier Deferred Share Units, in accordance with the Employee Matters Agreement.  Deferred Share Units
      included in a Participant’s Performance Cycle Account are valued prior to distribution on the applicable Valuation Date.  Except in the case of distributions made after Deferred Share Units have been converted to cash as a result of (a) the elective
      diversification of a Performance Cycle Account pursuant to Section 4.3, or (b) a Change of Control (as defined in Section 5.7 below), one (1) share of Common Stock will be distributed for each Deferred Share Unit.  If the distribution includes a
      fractional unit, the number of units will be rounded down to the next whole unit for purposes of calculating the number of shares of Common Stock to be exchanged in the distribution, and the value of the fractional unit will be paid in cash.  The
      Deferred Share Unit shall be valued based on the closing price of Common Stock as reported on the composite tape of the New York Stock Exchange on the Valuation Date.  For Performance Cycle Accounts invested in an Investment Fund, the value of the
      units of an Investment Fund will fluctuate on each business day based on the performance of the applicable Investment Fund.

    

    

    Section 5.2 – Timing of Plan Distributions

    

    

    Except as provided in Section 4.7 (Change in Distribution Election), Section 5.3 (Separation from Service before Attaining Age 50), Section 5.4 (Separation from Service of Specified Employees), and Section 5.5
      (Distribution in the Event of Death) the value of a Participant’s Performance Cycle Account will be distributed (or begin to be distributed) according to the distribution election on file to the Participant within thirty (30) calendar days following
      the Valuation Date associated with (a) the Participant’s Retirement (if the Participant’s Deferral Period ends on the Retirement Date) or (b) the Specific Deferral Period (if the Participant’s Deferral Period ends on a Specific Deferral Date).

    
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    Section 5.3 – Separation from Service before Attaining Age 50

    

    

    If a Participant’s Separation from Service occurs before the Participant attains age fifty (50), the full value of the Participant’s entire Plan Account will be distributed in a lump sum, within thirty (30) calendar days
      following the Valuation Date (subject to Section 5.4 below), regardless of the distribution election on file.

    

    

    Section 5.4 – Separation from Service of Specified Employees

    

    

    If the Participant is a Specified Employee on the date of the Participant’s Separation from Service, any distribution of the Participant’s Plan Account that is made on account of the Participant’s Separation from Service
      will not be made or commence earlier than the first (1st) day of the seventh (7th) month following the date of Separation from Service.  The Plan Account shall be valued as if the Valuation Date were the last business day of the month preceding the
      distribution date.  In the case of a distribution in installments, the date of any subsequent installments shall not be affected by the delay of any installment hereunder.

    

    

    Section 5.5 – Distribution in the Event of Death

    

    

    In the event of the death of a Participant before the Participant’s Plan Account has been fully distributed, the full remaining value of the Participant’s Plan Account will be distributed to the designated Beneficiary or
      the Participant’s estate in a lump sum no later than December 31st of the year immediately following the year in which the death occurred.

    

    

    Section 5.6 – Disability

    

    

    In the event of the Disability of a Participant, the Participant’s Performance Cycle Accounts that are designated to be deferred to a Specific Deferral Date will be maintained and distributed in accordance with the
      Participant’s elections on file.  The Participant’s Performance Cycle Accounts that are designated to be deferred to the Participant’s Retirement Date will be distributed as if such Participant had retired on the date of the Participant’s Disability,
      but without applying the six (6)-month delay in Section 5.4, above.

    
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    Section 5.7 – Distribution upon a Change in Control

    

    

    In the event of a Change in Control of the Corporation, the Participant’s entire Plan Account will be converted to cash and distributed in a lump sum within ten (10) business days following the Change in Control event. 
      The cash amount per Deferred Share Unit will equal the closing price of Common Stock on the New York Stock Exchange on the date the Change in Control occurs or, if the Common Stock is not traded on that day, on the trading day immediately preceding
      the Change in Control.  For purposes of this Plan, a “Change in Control” means (a) the acquisition by one person, or more than one person acting as a group, of stock possessing 30 percent (30%) or more of the total voting power of the stock of the
      Corporation during the twelve (12)-month period ending on the date of the most recent acquisition; (b) the replacement of a majority of the members of the Corporation’s board of directors during any twelve (12)-month period by directors whose
      appointment or election is not endorsed by a majority of the members of the Corporation’s board of directors as constituted immediately prior to the date of such appointment or election; (c) the acquisition by one person, or more than one person
      acting as a group, of more than fifty percent (50%) of the total fair market value or total voting power of the stock of the Corporation; (d) a change in the ownership of a substantial portion of the Corporation’s assets such that one person, or more
      than one person acting as a group, acquires assets of the Corporation with a total gross fair market value equal to or more than forty percent (40%) of the total gross fair market value of all of the assets of the Corporation determined immediately
      prior to such acquisition; and (e) a dissolution or liquidation of the Corporation.  The intention of this Plan is that Change in Control shall be a permissible payment event under Section 409A.  For the avoidance of doubt, the Spin-off shall not
      constitute a Change in Control.

    

    

    Section 5.8 – Accelerated Distribution in the Case of an Unforeseeable Emergency

    

    

    (a)          The Committee may, upon a Participant’s written application, agree to an accelerated distribution of some or all of the value of the Participant’s Plan Accounts upon the showing of an unforeseeable
      emergency.  An “unforeseeable emergency” is a severe financial hardship to the Participant resulting from (i) an illness or accident of the Participant, the Participant’s spouse, the Participant’s Beneficiary, or the Participant’s dependent (as
      defined in IRC Section 152, without regard to Section 152(b)(1), (b)(2), and (d)(1)(B)); (ii) loss of the Participant’s property due to casualty; or (iii) other similar extraordinary and unforeseeable circumstances arising as a result of events
      beyond the control of the Participant.  Whether a Participant is faced with an unforeseeable emergency permitting a distribution is to be determined based on the relevant facts and circumstances of each case.  Acceleration will not be granted if the
      emergency is or may be relieved through reimbursement or compensation from insurance or otherwise, by liquidation of the Participant’s assets (to the extent the liquidation of such assets would not cause severe financial hardship), or by cessation of
      deferrals under this Plan.

    
      15

      
        

    

    (b)          Distributions on account of an unforeseeable emergency, as defined in Section 5.8(a), shall be limited to the amount reasonably necessary to satisfy the emergency need.  Such amount may include amounts
      necessary to pay any federal, state, local, or foreign income taxes or penalties reasonably anticipated to result from the distribution.

    

    

    (c)          The Committee will determine from which Performance Cycle Accounts hardship distributions will be made.  Any Participant who is an officer or director of the Corporation within the meaning of Section 16 of
      the Securities Exchange Act of 1934 is not eligible for distributions on account of unforeseeable emergency.

    

    

    Section 5.9 – Administrative Adjustments in Payment Date

    

    

    A payment is treated as being made on the date when it is due under this Plan if the payment is made on the due date specified by this Plan, or on a later date that is either (a) in the same calendar year (for a payment
      whose specified due date is on or before September 30), or (b) by the fifteenth (15th) day of the third (3rd) calendar month following the date specified by this Plan (for a payment whose specified due date is on or after October 1).  A payment also
      is treated as being made on the date when it is due under this Plan if the payment is made not more than thirty (30) days before the due date specified by this Plan.  In no event will a payment to a Specified Employee on account of his or her
      Separation from Service be made or commence earlier than the first (1st) day of the seventh (7th) month following the date of Separation from Service.  A Participant may not, directly or indirectly, designate the taxable year of a payment made in
      reliance on the administrative rules in this Section 5.9.

    
      16

      
        

    

    Section 5.10 – Minimum Balance Payout Provision

    

    

    If a Participant’s Plan Account balance under this Plan (and under all other nonqualified deferred compensation plans of the Corporation that are required to be aggregated with this Plan under Section 409A), determined
      at the time of the Participant’s Separation from Service, is less than the amount set as the limit on elective deferrals under Section 402(g)(1)(B) of the Code in effect for the year in which the Participant’s Separation from Service occurs, the
      Committee retains discretion to distribute the Participant’s entire Plan Account (and the Participant’s entire interest in any other nonqualified deferred compensation plan that is required to be aggregated with this Plan) in a lump sum within thirty
      (30) days following the Participant’s Separation from Service, even if the Participant has elected to receive a different form of distribution.  Any exercise of the Committee’s discretion taken pursuant to this Section 5.10 shall be evidenced in
      writing, no later than the payment date.

    

    

    ARTICLE VI – AMENDMENT AND TERMINATION OF PLAN

    

    

    Section 6.1 – Amendment

    

    

    The Corporation may, at any time, amend this Plan in whole or in part; provided that no amendment may decrease the value of any Plan Accounts as of the date of such amendment. 
      In the event of any change in law or regulation relating to this Plan or the tax treatment of this Plan Accounts, this Plan shall, without further action by the Committee, be deemed to be amended to comply with any such change in law or regulation
      effective the first date necessary to prevent the taxation, constructive receipt or deemed distribution of Plan Accounts prior to the date Plan Accounts would be distributed under the provisions of Article V.  To the extent any rule or procedure
      adopted by the Committee is inconsistent with a provision of this Plan that is administrative, technical or ministerial in nature, this Plan shall be deemed amended to the extent of the inconsistency.

    

    

    Section 6.2 – Plan Suspension and Termination

    

    

    (a)          The Committee may, at any time, suspend or terminate this Plan with respect to new or existing Election Forms if, in its sole judgment, the continuance of this Plan, the tax, accounting, or other effects
      thereof, or potential payments thereunder would not be in the best interest of the Corporation or for any other reason.

    
      17

      
        

    

    (b)          In the event of suspension of this Plan, no additional deferrals shall be made under this Plan, but all previous deferrals shall accumulate and be distributed in accordance with the otherwise applicable
      provisions of this Plan and the applicable elections on file.

    

    

    (c)          Upon the termination of this Plan with respect to all Participants, and the termination of all arrangements sponsored by the Corporation that would be aggregated with this Plan under Section 409A, the
      Corporation shall have the right, in its sole discretion, and notwithstanding any elections made by the Participant, to pay the Participant’s Plan Account in a lump sum, to the extent permitted under Section 409A.  All payments that may be made
      pursuant to this Section 6.2 shall be made no earlier than the thirteenth (13th) month and no later than the twenty-fourth (24th) month after the termination of this Plan.  The Corporation may not accelerate payments pursuant to this Section 6.2 if
      the termination of this Plan is proximate to a downturn in the Corporation’s financial health within the meaning of Treas. Regs. Sec. 1.409A-3(j)(4)(ix)(C)(1).  If the Corporation exercises its discretion to accelerate payments under this Section
      6.2, it shall not adopt any new arrangement that would have been aggregated with this Plan under Section 409A within three (3) years following the date of this Plan’s termination.  The Committee may also provide for distribution of Plan Accounts
      following a termination of this Plan under any other circumstances permitted by Section 409A.

    

    

    Section 6.3 – No Consent Required

    

    

    The consent of any Participant, Beneficiary, or other person shall not be required with respect to any amendment, suspension, or termination of this Plan.

    
      18

      
        

    

    ARTICLE VII – MISCELLANEOUS PROVISIONS

    

    

    Section 7.1 – Reinvestment of Dividend Equivalents

    

    

    Deferred Share Units shall be credited with dividend equivalents at the same time and in the same amount that cash dividends would be paid with respect to an equal number of shares of Common Stock.  At the time the
      election under Section 4.1 is made, the Participant agrees to have dividend equivalents deferred and invested in additional Deferred Share Units based upon the number of whole and fractional units that the dollar dividend amount would purchase, using
      the closing price of the Common Stock on the New York Stock Exchange on each dividend payment date.  Dividend equivalents that are deferred and invested pursuant to this Section 7.1 shall be credited to the same Performance Cycle Account as the
      Deferred Share Units for which the dividend equivalents are paid, and shall be distributed at the time and in the form applicable to that Performance Cycle Account.  For the avoidance of doubt, Performance Cycle Accounts diversified out of Deferred
      Stock Units will no longer be eligible for dividend equivalents.

    

    

    Section 7.2 – Withholding Taxes

    

    

    The Committee may make any appropriate arrangements to deduct from all deferrals and payments under this Plan any taxes that the Committee reasonably determines to be required by law to be withheld from such credits and
      payments.

    

    

    Section 7.3 – Adjustment of Deferred Share Units

    

    

    In the event of any change in the outstanding shares of Common Stock, by reason of a stock dividend or split, recapitalization, merger, consolidation, combination, exchange of shares, spin-off or other similar corporate
      change, the number of Deferred Share Units may be adjusted appropriately by the Committee, whose determination shall be conclusive.

    

    

    Section 7.4 – Section 409A Compliance

    

    

    To the extent that rights or payments under this Plan are subject to Section 409A, this Plan shall be construed and administered in compliance with the conditions of Section 409A and regulations and other guidance issued
      pursuant to Section 409A for deferral of income taxation until the time the compensation is paid.  Any distribution election that would not comply with Section 409A shall not be effective for purposes of this Plan.  To the extent that a provision of
      this Plan does not comply with Section 409A, such provision shall be void and without effect.  The Corporation does not warrant that this Plan will comply with Section 409A with respect to any Participant or Beneficiary or with respect to any
      payment.  In no event shall any Carrier Company, any director, officer, or employee of a Carrier Company (other than the Participant), or any member of the Committee be liable for any additional tax, interest, or penalty incurred by a Participant or
      Beneficiary as a result of this Plan’s failure to satisfy the requirements of Section 409A, or as a result of this Plan’s failure to satisfy any other requirements of applicable tax laws.

    
      19

      
        

    

    ARTICLE VIII – GENERAL PROVISIONS

    

    

    Section 8.1 – Unsecured General Creditor

    

    

    The Corporation’s obligations under this Plan constitute an unfunded and unsecured promise to distribute shares in the future.  Participants’ and Beneficiaries’ rights under this Plan are solely those of a general
      unsecured creditor of the Corporation.  No assets will be placed in trust, set aside or otherwise segregated to fund or offset liabilities in respect of this Plan or Participants’ Plan Accounts.

    

    

    Section 8.2 – Nonassignability

    

    

    (a)          Except as provided in subsection (b) or (c) below, no Participant or Beneficiary or any other person shall have the right to sell, assign, transfer, pledge, or otherwise encumber any interest in this Plan
      and all Plan Accounts and the rights to all payments are unassignable and non-transferable.  Plan Accounts or payment hereunder, prior to actual payment, will not be subject to attachment or seizure for the payment of any debts, judgments or other
      obligations.  Plan Accounts or other Plan benefit will not be transferred by operation of law in the event of a Participant’s or any Beneficiary’s bankruptcy or insolvency.

    

    

    (b)          The Plan shall comply with the terms of any valid domestic relations order submitted to the Committee.  Any payment of a Participant’s Plan Account to a party other than the Participant pursuant to the terms
      of a domestic relations order shall be charged against and reduce the Participant’s Plan Account.  Neither this Plan, the Corporation, the Committee, nor any other party shall be liable in any manner to any person, including but not limited to any
      Participant or Beneficiary, for complying with the terms of a domestic relations order.

    
      20

      
        

    

    (c)          To the extent that any Participant, Beneficiary or other person receives an excess or erroneous payment under this Plan, the amount of such excess or erroneous payment shall be held in a constructive trust
      for the benefit of the Corporation and this Plan, and shall be repaid by such person upon demand.  The Committee may reduce any other benefit payable to such person, or may pursue any remedy available at law or equity to recover the amount of such
      excess or erroneous payment or the proceeds thereof.  Notwithstanding the foregoing, the amount payable to a Participant or Beneficiary may be offset by any amount owed to any Carrier Company to the extent permitted by Section 409A.

    

    

    Section 8.3 – No Contract of Employment

    

    

    Participation in this Plan shall not be construed to constitute a direct or indirect contract of employment between any Carrier Company and the Participant.  Participants and Beneficiaries will have no rights against any
      Carrier Company resulting from participation in this Plan other than as specifically provided herein.  Nothing in this Plan shall be deemed to give a Participant the right to be retained in the service of any Carrier Company for any length of time or
      to interfere with the right of any Carrier Company to terminate a Participant’s employment.

    

    

    Section 8.4 – Governing Law

    

    

    The provisions of this Plan will be construed and interpreted according to the laws of the State of Delaware, to the extent not preempted by federal law.

    

    

    Section 8.5 – Validity

    

    

    If any provision of this Plan is held to be illegal or invalid for any reason, the remaining provisions of this Plan will be construed and enforced as if such illegal and invalid provision had never been inserted herein.

    

    

    Section 8.6 – Notice

    

    

    Any notice or filing required or permitted to be given to the Committee under this Plan shall be sufficient if sent by first-class mail, to Carrier Global Corporation, 13995 Pasteur Boulevard, Palm Beach Gardens, Florida
      33418, Attn:  Benefit Plan Committee.  Any notice or filing required or permitted to be given to any Participant or Beneficiary under this Plan shall be sufficient if provided either electronically, hand-delivered, or mailed to the address (or email
      address, as the case may be) of the Participant or Beneficiary then listed on the records of the Corporation.  Any such notice will be deemed given as of the date of delivery or, if delivery is made by mail, as of the date shown on the postmark or
      email system.

    
      21

      
        

    

    Section 8.7 – Successors

    

    

    The provisions of this Plan shall bind and inure to the benefit of the Corporation and its successors and assigns.  The term successors as used herein shall include any corporate or other business entity, which by
      merger, consolidation, purchase or otherwise acquires all or substantially all of the business and assets of the Corporation, and successors of any such corporation or other business entity.

    

    

    Section 8.8 – Incompetence

    

    

    If the Committee determines, upon evidence satisfactory to the Committee, that any Participant or Beneficiary to whom a benefit is payable under this Plan is unable to care for their affairs because of illness or
      accident, any payment due (unless prior claim therefore shall have been made by a duly authorized guardian or other legal representative) may be paid, upon appropriate indemnification of the Committee and the Corporation, to the spouse of the
      Participant or other person deemed by the Committee to have incurred expenses for the benefit of and on behalf of such Participant or Beneficiary.  Any such payment from a Participant’s Plan Accounts shall be a complete discharge of any liability
      under this Plan with respect to the amount so paid.

    

    

    ARTICLE IX – ADMINISTRATION AND CLAIMS

    

    

    Section 9.1 – Plan Administration

    

    

    The Committee shall be solely responsible for the administration and operation of this Plan and shall be the “administrator” of this Plan for purposes of ERISA.  The Committee shall have full and exclusive authority and
      discretion to interpret the provisions of this Plan and to establish such administrative procedures as it deems necessary and appropriate to carry out the purposes of this Plan.  All decisions and interpretations of the Committee shall be final and
      binding on all parties.

    
      22

      
        

    

    Any person claiming a benefit, requesting an interpretation or ruling under this Plan, or requesting information under this Plan shall present the request in writing to the Committee at Carrier Global Corporation, 13955
      Pasteur Boulevard, Palm Beach Gardens, Florida 33418, Attn:  Benefit Plan Committee.  The Committee shall respond in writing as soon as practicable.

    

    

    Section 9.2 – Claim Procedures

    

    

    A Participant or Beneficiary who believes that he or she has been denied a benefit under this Plan (referred to in this Section 9.2 as a “Claimant”) may file a written request with the Committee setting forth the claim. 
      The Committee shall consider and resolve the claim as set forth below.

    

    

    (a)          Upon receipt of a claim, the Committee shall advise the Claimant that a response will be forthcoming within ninety (90) days.  The Committee may, however, extend the response period for up to an additional
      ninety (90) days for reasonable cause, and shall notify the Claimant of the reason for the extension and the expected response date.  The Committee shall respond to the claim within the specified period.

    

    

    (b)          If the claim is denied in whole or part, the Committee shall provide the Claimant with a written decision, using language calculated to be understood by the Claimant, setting forth (i) the specific reason or
      reasons for such denial; (ii) the specific reference to relevant provisions of this Plan on which such denial is based; (iii) a description of any additional material or information necessary for the Claimant to perfect his or her claim and an
      explanation for why such material or such information is necessary; (iv) appropriate information as to the steps to be taken if the Claimant wishes to submit the claim for review; (v) the time limits for requesting a review of the claim; and (vi) the
      Claimant’s right to bring an action for benefits under Section 502(a) of ERISA.

    

    

    (c)          Within sixty (60) days after the Claimant’s receipt of the written decision denying the claim in whole or in part, the Claimant may request in writing that the Committee review the determination.  The
      Claimant or his or her duly authorized representative may, but need not, review the relevant documents and submit issues and comment in writing for consideration by the Committee.  If the Claimant does not request a review of the initial
      determination within such sixty (60)-day period, the Claimant shall be barred from challenging the determination.

    
      23

      
        

    

    (d)          Within sixty (60) days after the Committee receives a request for review, it will review the initial determination.  If special circumstances require that the sixty (60)-day time period be extended, the
      Committee will so notify the Claimant and will render the decision as soon as possible, but no later than one hundred twenty (120) days after receipt of the request for review.

    

    

    (e)          All decisions on review shall be final and binding with respect to all concerned parties.  The decision on review shall set forth, in a manner calculated to be understood by the Claimant, (i) the specific
      reasons for the decision, including references to the relevant Plan provisions upon which the decision is based; (ii) the Claimant’s right to receive, upon request and free of charge, reasonable access to and copies of all documents, records, and
      other information, relevant to his or her benefits; and (iii) the Claimant’s right to bring an action for benefits under Section 502(a) of ERISA.

    

    

    CERTAIN REGULATORY MATTERS

    

    

    The Plan is subject to ERISA.  Because this Plan is an unfunded plan maintained by an employer primarily for the purpose of providing deferred compensation for a select group of management or highly compensated
      employees, this Plan is exempt from most of ERISA’s requirements.  Although this Plan is subject to Part 1 (Reporting and Disclosure) and Part 5 (Administration and Enforcement) of Title I, Subtitle B of ERISA, the Department of Labor has issued a
      regulation that exempts this Plan from most of ERISA’s reporting and disclosure requirements.

    

    

    TO WHOM SHOULD QUESTIONS CONCERNING THE PLAN BE DIRECTED?

    

    

    All questions concerning the operation of this Plan (including information concerning the administrators of this Plan) should be directed to:

    

    

    	 	
            Carrier Global Corporation

          
	 	
            13995 Pasteur Boulevard

          
	 	
            Palm Beach Gardens, FL  33418

          
	 	
            Attn:  Benefit Plan Committee

          
	 	
            Telephone:  561-365-2000

          

    

    

  

  24Exhibit 10.18

    

     

    

     FORM OF

     

    

    CARRIER GLOBAL CORPORATION

    

    

    PENSION PRESERVATION PLAN

    

    

    
      
        	1.	
                PREAMBLE

              

      

    

    

    

    
      
        	

              	1.1	
                Purpose

              

      

    

    

    

    The Carrier Global Corporation Pension Preservation Plan (the “Preservation Plan” or the “Plan”) is hereby established effective as of the date of the Spin-off (the “Effective Date”) as an unfunded
      plan for the benefit of certain employees to provide for benefits accrued but not yet paid under the UTC PPP, which provided retirement benefits in excess of the retirement and survivor benefits that may have been paid from tax-qualified retirement
      plans due to (i) benefit limitations imposed by Section 415 of the Code and (ii) the limitation imposed by Section 401(a)(17) of the Code on compensation that may be taken into account in computing retirement benefits under tax-qualified retirement
      plans (referred to collectively as the “Limits”).

    

    

    
      
        	

              	1.2	
                Spin-off from UTC

              

      

    

    

    

    On November 26, 2018, United Technologies Corporation (“UTC”) announced its intention to separate into three independent companies, UTC, Carrier Global Corporation (the “Corporation”), and Otis
      Worldwide Corporation (“Otis”) through spin-off transactions expected to be completed by mid-year 2020.  The transaction by which the Corporation ceased to be a Subsidiary of UTC is referred to herein as the “Spin-off.” In connection with the
      Spin-off, and pursuant to the terms of the Employee Matters Agreement by and among the Corporation, UTC, and Otis (the “Employee Matters Agreement”), the Plan assumed all obligations (to the extent not yet paid) that accrued and vested under the UTC
      PPP on or after January 1, 2005, with respect to “Carrier Group Employees” (as such term is defined in the Employee Matters Agreement).  Any such benefits accrued but not yet paid under the UTC PPP for the benefit of Carrier Group Employees or
      Beneficiaries of Carrier Group Employees will be administered and paid under the terms of the Plan.  All distribution elections (including default elections) and designations of Beneficiary made under the UTC PPP by a Carrier Group Employee, and in
      effect immediately prior to the Effective Date will continue to apply and shall be administered under the Plan, until such election or designation expires or is otherwise changed or revoked in accordance with the terms of the Plan.  For the avoidance
      of doubt, (1) any benefits in pay status to Former Employees (as such term is defined in the Employee Matters Agreement), and (2) all obligations under the UTC Prior Plans, as of the Spin-off date shall not be assumed under the Plan, but shall remain
      with the UTC PPP and the UTC Prior Plans.  All valid domestic relations orders filed with the UTC PPP as of immediately prior to the Effective Date with respect to the benefit of a Carrier Group Employee shall continue to apply under the Plan to the
      extent provided under Section 12.

    

    

    
      -1-

      
        

    

    
      
        	2.	
                DEFINITIONS

              

      

    

    

    

    Beneficiary means the person, persons or entity designated in writing by a Participant to receive the value of his or her Plan Benefit in the event of the
      Participant’s death, in accordance with the terms of the Plan.  If a Participant fails to designate a Beneficiary under the Plan, or if the Beneficiary (and any contingent Beneficiary) does not survive the Participant, the value of the Participant’s
      Plan Benefit will be payable to the Participant’s estate.

    

    

    CB Benefit means the frozen Cash Balance Formula Benefit, accrued as of December 31, 2019, under the terms of the UTC PPP, together with interest, transferred
      to the Plan as of the Spin-off date, with no additional benefit accruals under the Plan.

    

    

    Code means the Internal Revenue Code of 1986, as amended from time to time, and any successor thereto.  Reference to any section of the Internal Revenue Code
      shall include any final regulations or other applicable guidance.  References to “Section 409A” shall include any final regulations or other applicable guidance issued thereunder by the Internal Revenue Service from time to time in effect.

    

    

    Committee means the Carrier Employee Benefit Committee, which is responsible for the administration of the Plan.  The Committee may delegate administrative
      responsibilities to such individuals and entities as it shall determine.

    

    

    Corporation means the Carrier Global Corporation.

    

    

    Disability means permanent and total disability as determined under the Corporation’s long-term disability plan applicable to the Participant, or if there is
      no such plan applicable to the Participant, “Disability” means a determination of total disability by the Social Security Administration.

    

    

    Election Form means the form provided to Participants electronically or in paper form for the purpose of electing the form of payment for a Current Plan
      Benefit.

    

    

    FAE Benefit means the frozen Final Average Earnings Formula Benefit, accrued as of December 31, 2014 under the terms of the UTC PPP, transferred to the Plan
      as of the Spin-off date, with no additional benefit accruals under the Plan.

     

    

    Carrier Company means Carrier Global Corporation or any entity controlled by or under common control with Carrier Global Corporation within the meaning of
      Section 414(b) or (c) of the Code (but substituting “at least 20 percent” for “at least 80 percent” as the control threshold used in applying Sections 414(b) and (c)).

    

    

    Participant means a Carrier Group Employee who was a participant in the UTC PPP as of the Spin-off date.

    

    

    Plan Benefit means an FAE Benefit and/or a CB Benefit payable under the Plan.

    

    

    Separation from Service means a termination of a Participant’s employment with all Carrier Companies, other than by reason of death.  A Separation from
      Service will be deemed to occur where the Participant and the Carrier Company that employs the Participant reasonably anticipate that the bona fide level of services the Participant will perform (whether as an employee or as an independent
      contractor) will be permanently reduced to a level that is less than thirty-seven and a half percent (37.5%) of the average level of bona fide services the Participant performed during the immediately preceding 36 months (or the entire period the
      Participant has provided services if the Participant has been providing services to the Carrier Companies for less than 36 months).  A Participant shall not be considered to have had a Separation from Service as a result of a transfer from one
      Carrier Company to another Carrier Company.  For the avoidance of doubt, a transfer from a Carrier Company to UTC or Otis (or one of their affiliates) after the Spin-off (and that otherwise satisfies the definition of a Separation from Service) shall
      constitute a Separation from Service.

    

    

    
      -2-

      
        

    

    Specified Employee means for the period (1) until the Corporation’s first specified employee effective date following the Spin-off, those officers and
      executives of the Corporation and its Subsidiaries who were identified as a specified employee of UTC on the “specified employee identification date” preceding such specified employee effective date (as such terms are defined by Treas. Reg. Section
      1.409A-1(i)(3) and (4)); and (2) from and after the Corporation’s first specified employee effective date following the Spin-off, each of the fifty (50) highest-paid officers and other executives of the Corporation and its affiliates (determined for
      this purpose under Treas. Reg. Section 1.409A-1(g)), effective annually as of April 1st, based on compensation reported in Box 1 of Form W-2, but including amounts that are excluded from taxable income as a result of elective deferrals to qualified
      plans and pre-tax contributions.  Foreign compensation earned by a nonresident alien that is not effectively connected with the conduct of a trade or business in the United States will not be used to determine Specified Employees following the
      Spin-off.

    

    

    Spin-off means the process by which the Corporation becomes a separate publicly traded company and no longer a UTC subsidiary.

    

    

    Subsidiary means any corporation, partnership, joint venture, limited company or other entity during any period in which at least a 50% voting or profits
      interest is owned, directly or indirectly, by the Corporation or any successor to the Corporation.

    

    

    UTC PPP means the United Technologies Corporation Pension Preservation Plan, as amended and restated as of December 31, 2009, that applies to amounts that
      were earned and vested after December 31, 2004.

    

    

    UTC Prior Plans means the United Technologies Corporation Pension Preservation Plan, as in effect on December 31, 2004 and the United Technologies Corporation
      Pension Replacement Plan, as in effect on December 31, 2004.

    

    

    UTC Qualified Retirement Plan means the United Technologies Corporation Employee Retirement Plan.

    

    

    
      -3-

      
        

    

    
      
        	3.	
                ELIGIBILITY

              

      

    

    

    

    Each Carrier Group Employee who was a participant in the UTC PPP as of the Spin-off date shall be a Participant under the Plan.  The Plan is closed to new entrants as of its establishment.

    

    

    
      
        	4.	
                DETERMINATION OF PLAN BENEFITS

              

      

    

    

    

    The Preservation Plan has been established to provide for FAE Benefits and CB Benefits previously accrued under the UTC PPP.

    

    

    
      
        	

              	4.1	
                FAE Benefit

              

      

    

    

    

    The FAE Benefit under the UTC PPP was frozen effective as of December 31, 2014. Therefore, a Participant’s FAE Benefit under the Plan shall be the Participant’s FAE Benefit accrued as of December 31,
      2014 under the UTC PPP, and transferred to the Plan effective as of the Spin-off date, with no additional accruals under the Plan.

    

    

    
      
        	

              	4.2	
                CB Benefit

              

      

    

    

    

    The CB Benefit under the UTC PPP was frozen effective as of December 31, 2019.  Therefore, a Participant’s CB Benefit under the Plan shall be the Participant’s CB Benefit accrued as of December 31,
      2019 under the UTC PPP, and transferred to the Plan, together with interest accrued through the Spin-off date, with no additional benefit accruals under the Plan.  A CB Benefit will continue to be eligible for interest credits under the Plan pursuant
      to Subsection 4.3.

    

    

    
      
        	

              	4.3	
                Credited Interest on CB Benefit

              

      

    

    

    

    Each CB Benefit under the Plan shall be eligible for monthly interest credits until its full distribution in accordance with Section 8.  The interest crediting rate is set annually, based on
      the 30-year U.S. Treasury bond yield.

    

    

    
      -4-

      
        

    

    
      
        	

              	4.4	
                Calculation of FAE Benefit Prior to Transfer

              

      

    

    

    

    In determining a Participant’s FAE Benefit to be transferred to the Plan from the UTC PPP, the FAE Benefit was calculated under the UTC PPP as the excess, if any, of (a) over (b), and for purposes of
      this calculation, it was assumed that the UTC Qualified Retirement Plan benefit and the UTC PPP benefit would commence at the same time, where:

    

    

    
      
        	

              	(a)	
                equals the FAE Benefit that would be paid to such Participant (or on his or her death to his or her Beneficiary) under the UTC Qualified Retirement Plan if the provisions of the UTC Qualified Retirement Plan were administered without
                  regard to the Limits; and

              

      

    

    

    

    
      
        	

              	(b)	
                equals the FAE Benefit payable to such Participant (or on his or her death to his or her Beneficiary) under the UTC Qualified Retirement Plan.

              

      

    

    

    

    The FAE Benefit under the UTC Qualified Retirement Plan was calculated with an FAE formula that used the Participant’s average annual earnings for the 5 highest consecutive years of earnings out of
      his or her last 10 years of UTC Qualified Retirement Plan participation through December 31, 2014.

    

    

    
      
        	

              	4.5	
                Calculation of CB Benefit Prior to Transfer

              

      

    

    

    

    A Participant’s CB Benefit under the UTC PPP was calculated under a cash balance formula, as an account that grew with age-based pay credits (a percentage of earnings) and interest credits.  The
      interest crediting rate was set annually, based on the 30-year U.S. Treasury bond yield.

     

    

    

    

    
      
        	5.	
                PARTICIPANT ELECTIONS AND DESIGNATIONS

              

      

    

    

    

    
      
        	

              	5.1	
                Payment Elections

              

      

    

    

    

    Payment elections for both the FAE Benefit and the CB Benefit under the UTC PPP are transferred and effective under the Plan as of the Spin-off date.

    

    

    
      
        	

              	5.2	
                Form of FAE Benefit

              

      

    

    

    

    FAE Benefits shall be paid as a monthly single life annuity or an actuarially equivalent survivor benefit annuity, unless a timely election was made in accordance with the terms of the UTC PPP.  A
      UTC PPP participant was able to elect to receive the FAE Benefit as a single lump-sum payment or a series of 2 to 10 annual installment payments.  Except as provided below in Subsection 5.6, a Participant’s transferred payment election is
      irrevocable.

    

    

    
      -5-

      
        

    

    
      
        	

              	5.3	
                Form of CB Benefit

              

      

    

    

    

    CB Benefits shall generally be made as a lump-sum payment, unless a timely election was made in accordance with the terms of the UTC PPP.  A UTC PPP participant was able to elect to receive a monthly
      annuity or a series of 2 to 10 annual installment payments.  Except as provided below in Subsection 5.6, a Participant’s transferred payment election is irrevocable.

    

    

    
      
        	

              	5.4	
                FAE Benefit in the Form of Lump Sum or Annual Installments

              

      

    

    

    

    If a Participant’s Plan benefit is an FAE Benefit and the Participant elects to have his or her FAE Benefit paid in the form of a single lump-sum or annual installment distribution, the actuarially
      equivalent present value of the FAE Benefit shall be determined using the applicable mortality table prescribed by the IRS (updated annually by the IRS), and interest assumption equal to the average yield for tax-free municipal bonds of 10-year
      maturities, averaged over the prior five calendar years.  For purposes of computing this interest assumption, the Barclays Capital 10-Year Municipal Bond Index shall be utilized, averaging the published yield for 10-year maturities (credit quality AA
      or above) on the last business day of the year over the most recent five consecutive full calendar-year period.  This rate shall be adjusted annually at the beginning of each calendar year.

    

    

    If a Participant’s Plan benefit is an FAE Benefit and the Participant elects to have his or her FAE Benefit paid in the form of annual installments, the value calculated above will be further divided
      into equal annual installments to be paid over the period elected (2 to 10 years), credited with the interest rate then in effect, as detailed above in Subsection 5.4.

    

    

    
      
        	

              	5.5	
                CB Benefit in the Form of Annual Installments or an Annuity

              

      

    

    

    

    If a Participant’s Plan benefit is a CB Benefit and the Participant elects to have his or her CB benefit paid as annual installments, the value of the CB Benefit will be divided into the specific
      number of equal annual installments (2 to 10 years), credited with the interest rate then in effect, as detailed in Subsection 4.3.

    

    

    If a Participant’s Plan benefit is a CB Benefit and the Participant elects to have his or her CB benefit paid as a monthly annuity, the CB Benefit will be converted to a monthly annuity using the
      applicable mortality table prescribed by the IRS (updated annually by the IRS) and a specified annuity conversion interest rate.  The annuity conversion rates are set each year, based on the IRS specified bond yields for the month of November of the
      prior calendar year.  This rate shall be adjusted annually at the beginning of each calendar year.

    

    

    
      -6-

      
        

    

    
      
        	

              	5.6	
                Change in Payment Election

              

      

    

    

    

    A Participant may make an election to change the time or form of payment transferred from the UTC PPP as detailed under Sections 5.2 and 5.3, subject to the following requirements:

    

    

    
      
        	

              	i.	
                A Plan Participant may make an election to receive a monthly annuity payment, single lump-sum payment, or a series of 2 to 10 annual installment payments;

              

      

    

    

    

    
      
        	

              	ii.	
                The new election must be made at least twelve months prior to the date payments are scheduled to commence (and the new election shall be ineffective if the payment commencement date occurs within twelve months after the date of the new
                  election);

              

      

    

    

    

    
      
        	

              	iii.	
                The new election will not take effect until at least twelve months after the date when the Participant submits a new Election Form; and

              

      

    

    

    

    
      
        	

              	iv.	
                The new benefit payment commencement date must be at least five years later than the date on which payments commence under the current election.

              

      

    

    

    

    
      
        	

              	5.7	
                Full Satisfaction of Corporation’s Obligation

              

      

    

    

    

    The full payment of a monthly annuity, lump-sum or annual installment distributions to the Participant, or his or her Beneficiary (if applicable), in accordance with this Section 5 shall be
      in full satisfaction of all of the Corporation’s obligations with respect to the Participant under the Plan.

     

    

    

    

    
      
        	

              	5.8	
                Designation of Beneficiary

              

      

    

    

    

    Each Participant who has attained age 55 with at least 10 years of service shall be given the opportunity to designate a Beneficiary for his or her Plan Benefit on an electronic or written form
      provided by the Committee.  A Participant may change such designation on an electronic or written form acceptable to the Committee and any change will be effective on the date received by the Committee.  Designations received after the date of the
      Participant’s death will not be effective.  If a Participant designates the Participant’s spouse as the Participant’s Beneficiary, that designation shall not be revoked or otherwise altered or affected by any:  (a) change in the marital status of the
      Participant; (b) agreement between the Participant and such spouse; or (c) judicial decree (such as a divorce decree) affecting any rights that the Participant and such spouse might have as a result of their marriage, separation, or divorce; it being
      the intent of the Plan that any change in the designation of a Beneficiary hereunder may be made by the Participant only in accordance with the procedures set forth in this Section 5.8.  A trust may be named as a Beneficiary under the
      lump-sum or annual installment forms of payment.  In the event of the death of a Participant, distributions shall be made in accordance with Section 7.

    

    

    
      -7-

      
        

    

    
      
        	6.	
                DISTRIBUTION OF BENEFIT

              

      

    

    

    

    
      
        	

              	6.1	
                Distribution of Plan Benefit Generally

              

      

    

    

    

    Except as provided in Subsection 5.6 (Change in Payment Election), Section 6.2 (Separation from Service of Specified Employees), the value of a Participant’s Preservation Plan Benefit
      will be distributed (or begin to be distributed) to the Participant as follows:

    

    

    
      
        	

              	i.	
                If a Participant’s benefit is an FAE Benefit only, the benefit will be paid to the Participant on the first business day of the month following the later of a Participant’s Separation from Service, or when the Participant reaches age
                  55;

              

      

    

    

    

    
      
        	

              	ii.	
                If a Participant’s benefit is a CB Benefit only, the benefit will be paid to the Participant on the first business day of the month following the Participant’s Separation from Service; or

              

      

    

    

    

    
      
        	

              	iii.	
                If a Participant’s benefit is both an FAE Benefit and a CB Benefit, the benefit will be paid to the Participant according to the rules outlined above in Subsections i. and ii. for the corresponding portions of the
                  benefit.

              

      

    

    

    

    
      
        	

              	6.2	
                Separation from Service of Specified Employees

              

      

    

    

    

    If the Participant is a Specified Employee on the date of the Participant’s Separation from Service, distribution of the Participant’s Plan Benefit to the Participant that is made on account of the
      Participant’s Separation from Service will not be made or commence earlier than the first business day of the seventh month following the date of Separation from Service.  In the case of a distribution in installments, the date of any subsequent
      installments shall not be affected by the delay of any installment hereunder.  No interest will accrue on any delayed payment.

    

    

    
      
        	

              	6.3	
                Administrative Adjustments in Payment Date

              

      

    

    

    

    A payment is treated as being made on the date when it is due under the Plan if the payment is made on the due date specified by the Plan, or on a later date that is either (i) in the same calendar
      year (for a payment whose specified due date is on or before September 30), or (ii) by the 15th day of the third calendar month following the date specified by the Plan (for a payment whose specified due date is on or after October 1).  A payment
      also is treated as being made on the date when it is due under the Plan if the payment is made not more than 30 days before the due date specified by the Plan.  In no event, will a payment to a Specified Employee on account of his or her Separation
      from Service be made or commence earlier than the first day of the seventh month following the date of Separation from Service.  A Participant may not, directly or indirectly, designate the taxable year of a payment made in reliance on the
      administrative rules in this Section 6.3.

    

    

    
      -8-

      
        

    

    
      
        	7.	
                DISTRIBUTION IN THE EVENT OF DEATH

              

      

    

    

    

    
      
        	

              	7.1	
                FAE Benefit in the Form of an Annuity

              

      

    

    

    

    If a Participant’s Plan benefit (or portion of a benefit) is an FAE Benefit and the Participant has not made an election to receive his or her Plan Benefit in a lump sum or installments as of the
      date of death, any survivor benefits will be paid as a life annuity subject to the following:

    

    

    
      
        	

              	i.	
                If death occurs prior to age 55 with at least five years of service and less than 10 years of service, the spouse of the Participant shall receive a 50% survivor annuity benefit beginning on the date the Participant would have attained
                  his or her 55th birthday.  If the Participant is unmarried, no Plan benefit is payable.

              

      

    

    

    

    
      
        	

              	ii.	
                If death occurs prior to age 55 with at least 10 years of service, the spouse of the Participant shall receive a 100% survivor annuity benefit beginning on the date the Participant would have attained his or her 55th birthday.  If the
                  Participant is unmarried, no Plan benefit is payable.

              

      

    

    

    

    
      
        	

              	iii.	
                If death occurs on or after attainment of age 55 with at least 10 years of service or attainment of age 65, and the Participant has elected a survivor annuity, survivor benefits shall be paid as a 100% survivor annuity benefit
                  beginning as soon as practicable but no later than December 31st of the year following the year in which the death occurred in the following order:

              

      

    

    

    

    
      
        	

              	(1)	
                to the Spouse of the Participant, if the Participant is married at the time of death;

              

      

    

    

    

    
      
        	

              	(2)	
                to the named Beneficiary or contingent annuitant, if the Participant is not married at the time of death;

              

      

    

    

    

    
      
        	

              	(3)	
                to the children of the Participant (divided among them equally) if the Participant has not designated a Beneficiary prior to his or her death; or

              

      

    

    

    

    
      
        	

              	(4)	
                to the Participant’s estate, if the Participant has no children at the time of his or her death, or as a lump sum actuarial equivalent to the Participant’s estate, at the sole discretion of the Administrator, in lieu of the survivor
                  annuity benefit.

              

      

    

    

    

    
      
        	

              	iv.	
                If the Participant is not married at the time of death and the Participant has not designated a Beneficiary or contingent annuitant, the benefit shall be payable as:

              

      

    

    

    

    
      
        	

              	(1)	
                a 10-year certain actuarially equivalent annuity to the children of the Participant; or

              

      

    

    

    

    
      
        	

              	(2)	
                a 5-year certain actuarially equivalent annuity to the estate of the Participant.

              

      

    

    

    

    
      -9-

      
        

    

    
      
        	

              	7.2	
                FAE Benefit in the Form of a Lump-Sum or Annual Installments

              

      

    

    

    

    If a Participant’s Plan benefit (or portion of a benefit) is an FAE Benefit and the Participant has made an election to receive his or her Plan Benefit in a lump-sum or annual installments, such
      Participant shall have survivor benefits paid to his or her Beneficiary as follows:

    

    

    
      
        	

              	i.	
                If death occurs prior to age 55, with at least 10 years of service, the accrued FAE Benefit shall be paid in a lump-sum payment, as of the date the Participant would have attained his or her 55th birthday, in the following order:

              

      

    

    

    

    
      
        	

              	(1)	
                to the Spouse of the Participant, if the Participant is married at the time of death;

              

      

    

    

    

    
      
        	

              	(2)	
                to the children of the Participant (divided among them equally) if the Participant is not married at the time of death; or

              

      

    

    

    

    
      
        	

              	(3)	
                to the Participant’s estate, if the Participant has no children at the time of his or her death.

              

      

    

    

    

    
      
        	

              	ii.	
                If death occurs on or after age 55, with at least 10 years of service, the Plan accrued benefit shall be paid to the Beneficiary beginning on the first business day of the month following the Participant’s death, in the following
                  order:

              

      

    

    

    

    
      
        	

              	(1)	
                to the named Beneficiary;

              

      

    

    

    

    
      
        	

              	(2)	
                to the Spouse of the Participant, if the Participant is married at the time of death, and has not named a Beneficiary;

              

      

    

    

    

    
      
        	

              	(3)	
                to the children of the Participant (divided among them equally), if the Participant is not married at the time of death; or

              

      

    

    

    

    
      
        	

              	(4)	
                to the Participant’s estate, if the Participant has no children at the time of his or her death.

              

      

    

    

    

    
      
        	

              	iii.	
                If death occurs after the benefit commencement date but before all annual installments have been paid, the remaining installments will be paid to the Beneficiary as scheduled.

              

      

    

    

    

    
      
        	

              	iv.	
                If death occurs at any age, with less than 10 years of service, 50% of the accrued FAE Benefit shall be paid in a lump-sum payment as of the date the Participant would have attained his or her 55th birthday (or on the first business
                  day of the month following the Participant’s death if the Participant had already attained age 55) in the following order:

              

      

    

    

    

    
      
        	

              	(1)	
                to the Spouse of the Participant, if the Participant is married at the time of death;

              

      

    

    

    

    
      
        	

              	(2)	
                to the children of the Participant (divided among them equally) if the Participant is not married at the time of death; or

              

      

    

    

    

    
      
        	

              	(3)	
                to the estate of the Participant, if the Participant has no children at the time of his or her death.

              

      

    

    

    

    
      -10-

      
        

    

    
      
        	

              	7.3	
                CB Benefit Prior to Benefit Distribution Commencement

              

      

    

    

    

    If a Participant’s Plan benefit (or portion of a benefit) is a CB Benefit, and the Participant has not commenced receiving Plan Benefits, the accrued CB Benefit shall be paid in a lump sum on the
      first business day of the month following the Participant’s death in the following order:

    

    

    
      
        	

              	i.	
                to the named Beneficiary;

              

      

    

    

    

    
      
        	

              	ii.	
                to the Spouse of the Participant, if the Participant is married at the time of death and has not designated a Beneficiary prior to his or her death;

              

      

    

    

    

    
      
        	

              	iii.	
                to the children of the Participant (divided among them equally), if the Participant is not married at the time of death; or

              

      

    

    

    

    
      
        	

              	iv.	
                to the Participant’s estate, if the Participant has no children at the time of his or her death.

              

      

    

    

    

    
      
        	

              	7.4	
                CB Benefit Following Benefit Distribution Commencement

              

      

    

    

    

    If a Participant’s Plan benefit (or portion of a benefit) is a CB Benefit, and the Participant has commenced receiving benefits under the Plan in the form of installment payments or a monthly
      annuity, the remaining accrued CB Benefit shall be paid as soon as practicable but no later than December 31st of the year following the year in which the death occurred as follows:

    

    

    
      
        	

              	i.	
                Monthly Annuity

              

      

    

    

    

    If the Participant has elected a survivor annuity, survivor benefits shall be paid beginning on the first business day of the month following the Participant’s death in the following order:

    

    

    
      
        	

              	(1)	
                as a 100% survivor annuity benefit to the named Beneficiary;

              

      

    

    

    

    
      
        	

              	(2)	
                as a 100% survivor annuity benefit to the Spouse of the Participant, if the Participant is married at the time of death and has not designated a Beneficiary prior to his or her death;

              

      

    

    

    

    
      
        	

              	(3)	
                as a 100% survivor annuity benefit to the children of the Participant (divided among them equally), if the Participant is not married at the time of death; or

              

      

    

    

    

    
      
        	

              	(4)	
                as a 100% survivor annuity benefit to the Participant’s estate, if the Participant has no children at the time of his or her death, or as a lump sum actuarial equivalent to the Participant’s estate, at the sole discretion of the
                  Administrator, in lieu of the survivor annuity benefit.

              

      

    

    

    

    
      
        	

              	ii.	
                Installment Payments

              

      

    

    

    

    If the Participant has elected annual installment payments, any remaining installment payments shall be paid as survivor benefits beginning on the first business day of the month following the
      Participant’s death in the following order:

    

    

    
      
        	

              	(1)	
                to the named Beneficiary;

              

      

    

    

    

    
      
        	

              	(2)	
                to the Spouse of the Participant, if the Participant is married at the time of death and has not designated a Beneficiary prior to his or her death;

              

      

    

    

    

    
      
        	

              	(3)	
                to the children of the Participant (divided among them equally), if the Participant is not married at the time of death; or

              

      

    

    

    

    
      
        	

              	(4)	
                to the Participant’s estate, if the Participant has no children at the time of his or her death, or as a lump sum to the Participant’s estate, at the sole discretion of the Administrator, in lieu of installment payments.

              

      

    

    

    

    
      -11-

      
        

    

    
      
        	8.	
                DISABILITY

              

      

    

    

    

    In the event of the Disability of a Participant, the Participant’s Plan Benefit will be maintained and distributed in accordance with the terms of the Plan and the Participant’s elections on file.

    

    

    
      
        	9.	
                FUNDING

              

      

    

    

    

    The Preservation Plan shall be maintained as an unfunded Plan that is not intended to meet the qualification requirements of Section 401 of the Code.  Except in the event of a Change in Control of
      the Corporation (as described in Section 10 hereof), all benefits under the Preservation Plan shall be payable solely from the general assets of the Corporation.  In this regard, the rights of each Participant, Contingent Annuitant and
      Beneficiary under the Preservation Plan with respect to his or her Preservation Plan retirement benefit or survivor benefit shall be those of a general unsecured creditor of the Corporation.  The Corporation shall not undertake to set aside assets in
      trust or otherwise segregate assets to fund its obligations under the Preservation Plan except as provided in Section 11 hereof.

    

    

    
      
        	10.	
                CHANGE OF CONTROL

              

      

    

    

    

    In the event of a Change of Control of the Corporation, the Corporation shall immediately fully fund the value of all accrued Benefits under the Preservation Plan, determined by the actuary as of the
      date of the Change of Control, provided the funding is not proximate to a downturn in the Corporation’s financial health within the meaning of Treas. Reg. Section 1.409A-3(j)(4)(ix)(C)(1) or would otherwise trigger taxation under Section 409A.  Any
      required proceeds will be contributed to a rabbi trust, and such proceeds will be held and maintained in the United States.  For purposes of this Section 10, “Change of Control” shall have the meaning given to that term under the
      Corporation’s most recently adopted long-term incentive plan.

    

    

    
      
        	11.	
                NONASSIGNABILITY EXCEPT DOMESTIC RELATIONS ORDERS

              

      

    

    

    

    
      
        	

              	(a)	
                Except as provided in Subsection (b) or (c) below, no Participant or Beneficiary or any other person shall have the right to sell, assign, transfer, pledge, or otherwise encumber any interest in the Plan and the rights
                  to all payments are unassignable and non-transferable.  A payment hereunder, prior to actual payment, will not be subject to attachment or seizure for the payment of any debts, judgments or other obligations.  Plan benefits will not be
                  transferred by operation of law in the event of a Participant’s or any Beneficiary’s bankruptcy or insolvency.

              

      

    

    

    

    
      
        	

              	(b)	
                The Plan shall comply with the terms of any valid domestic relations order submitted to the Committee.  Any payment to a party other than the Participant pursuant to the terms of a domestic relations order shall be charged against and
                  reduce the Participant’s benefit.  Neither the Plan, the Corporation, the Committee, nor any other party shall be liable in any manner to any person, including but not limited to any Participant or Beneficiary, for complying with the
                  terms of a domestic relations order.

              

      

    

    

    

    
      
        	

              	(c)	
                To the extent that any Participant, Beneficiary or other person receives an excess or erroneous payment under the Plan, the amount of such excess or erroneous payment shall be held in a constructive trust for the benefit of the
                  Corporation and the Plan, and shall be repaid by such person upon demand.  The Committee may reduce any other benefit payable to such person, or may pursue any remedy available at law or equity to recover the amount of such excess or
                  erroneous payment or the proceeds thereof.  Notwithstanding the foregoing, the amount payable to a Participant or Beneficiary may be offset by any amount owed to any Carrier Company to the extent permitted by Section 409A.

              

      

    

    

    

    
      -12-

      
        

    

    
      
        	12.	
                NO CONTRACT OF EMPLOYMENT

              

      

    

    

    

    Participation in the Preservation Plan shall not be construed to constitute a direct or indirect contract of employment between the Corporation or any Subsidiary and the Participant.  Nothing in the
      Preservation Plan shall be deemed to give a Participant the right to be retained in the service of the Corporation for any length of time or interfere with the right to terminate a Participant’s employment.  Participants, Beneficiaries, and
      contingent annuitants shall have no rights against the Corporation resulting from participation in the Preservation Plan other than as specifically provided herein.

    

    

    
      
        	13.	
                TAXES/WITHHOLDING

              

      

    

    

    

    The Corporation shall have the right to withhold taxes from Plan Benefit accruals and payments to the extent it reasonably determines such withholding to be required by law.

    

    

    
      
        	14.	
                GOVERNING LAW

              

      

    

    

    

    The provisions of the Plan will be construed and interpreted according to the laws of the State of Delaware, to the extent not preempted by federal law.

    

    

    
      
        	15.	
                AMENDMENT AND TERMINATION

              

      

    

    

    

    
      
        	

              	15.1	
                Power to Amend or Terminate Plan Reserved

              

      

    

    

    

    The Corporation expects to continue the Preservation Plan indefinitely, but reserves the right, by action of the Committee, to amend or terminate the Preservation Plan at any time; provided, however, that no such action shall decrease any benefits accrued under the Preservation Plan as of the date of such action.  Although the benefits accrued under
      the Preservation Plan are not subject to the restrictions imposed by Section 204(g) of the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), the proviso in the preceding sentence shall be construed in a manner consistent with
      Section 204(g) of ERISA.  As a result, the proviso referred to in the preceding sentence imposes restrictions identical with the restrictions that would be imposed on the Preservation Plan if the Preservation Plan were subject to Section 204(g) of
      ERISA.

    

    

    
      -13-

      
        

    

    
      
        	

              	15.2	
                Final Plan Distributions

              

      

    

    

    

    Upon the termination of the Plan with respect to all Participants, and termination of all arrangements sponsored by the Corporation or its affiliates that would be aggregated with the Plan under
      Section 409A, the Corporation shall have the right, in its sole discretion, and notwithstanding any elections made by the Participant, to pay the Participant’s vested Plan Benefit in a lump sum, to the extent permitted under Section 409A.  All
      payments that may be made pursuant to this Subsection 15.2 shall be made no earlier than the thirteenth month and no later than the twenty-fourth month after the termination of the Plan.  The Corporation may not accelerate payments pursuant
      to this Subsection 15.2 if the termination of the Plan is proximate to a downturn in the Corporation’s financial health within the meaning of Treas. Reg. Section 1.409A-3(j)(4)(ix)(C)(1).  If the Corporation exercises its discretion to
      accelerate payments under this Subsection 15.2, it shall not adopt any new arrangement that would have been aggregated with the Plan under Section 409A within three years following the date of the Plan’s termination.

    

    

    
      
        	

              	15.3	
                No Consent Required

              

      

    

    

    

    The consent of any Participant, Beneficiary, or other person shall not be required with respect to any amendment or termination of the Plan.

    

    

    
      
        	16.	
                COMPLIANCE WITH SECTION 409A

              

      

    

    

    

    To the extent that rights or payments under the Plan are subject to Section 409A, the Preservation Plan shall be construed and administered in compliance with the conditions of Section 409A and
      regulations and other guidance issued pursuant to Section 409A for deferral of income taxation until the time the compensation is paid.  Any distribution election that would not comply with Section 409A shall not be effective for purposes of the
      Plan.  To the extent that a provision of the Plan does not comply with Section 409A, such provision shall be void and without effect.  The Corporation does not warrant that the Preservation Plan will comply with Section 409A with respect to any
      Participant or with respect to any payment.  In no event shall a Carrier Company; any director, officer, or employee of a Carrier Company (other than the Participant); or any member of the Committee be liable for any additional tax, interest, or
      penalty incurred by a Participant or Beneficiary as a result of the Preservation Plan’s failure to satisfy the requirements of Section 409A, or as a result of the Plan’s failure to satisfy any other requirements of applicable tax laws.

    

    

    
      -14-

      
        

    

    
      
        	17.	
                NOTICE

              

      

    

    

    

    Any notice or filing required or permitted to be given to the Committee under the Plan shall be sufficient if sent by first-class mail to the Carrier Global Corporation, 13995 Pasteur Boulevard, Palm
      Beach Gardens, FL 33418, Attn:  Carrier Employee Benefit Committee.  Any notice or filing required or permitted to be given to any Participant or Beneficiary under the Plan shall be sufficient if provided either electronically, hand-delivered, or
      mailed to the address (or email address, as the case may be) of the Participant or Beneficiary then listed on the records of the Corporation.  Any such notice will be deemed given as of the date of delivery or, if delivery is made by mail, as of the
      date shown on the postmark or email system.

    

    

    
      
        	18.	
                VALIDITY

              

      

    

    

    

    If any provision of the Plan is held to be illegal or invalid for any reason, the remaining provisions of the Plan will be construed and enforced as if such illegal and invalid provision had never
      been inserted herein.

    

    

    
      
        	19.	
                SUCCESSORS

              

      

    

    

    

    The provisions of the Preservation Plan shall bind and inure to the benefit of the Corporation, and its successors and assigns.  The term successors shall include any corporate or other business
      entity that by merger, consolidation, purchase or otherwise acquires all or substantially all of the business and assets of the Corporation and successors of any such Corporation or other entity.

    

    

    
      -15-

      
        

    

    
      
        	20.	
                ADMINISTRATION AND CLAIMS

              

      

    

    

    

    
      
        	

              	20.1	
                Plan Administration

              

      

    

    

    

    The Committee shall be solely responsible for the administration and operation of the Plan and shall be the “administrator” of the Plan for purposes of ERISA.  The Committee shall have full and
      exclusive authority and discretion to interpret the provisions of the Plan and to establish such administrative procedures as it deems necessary and appropriate to carry out the purposes of the Plan.  The Committee shall have the right to delegate
      its responsibilities hereunder to sub-committees and individuals.  Any question of administration or interpretation arising under the Preservation Plan shall be determined by the Committee (or its delegate) in its full discretion, and its decision
      shall be final and binding upon all parties.

    

    

    The Committee may provide web access and calculation tools to facilitate the administration of the Plan and to provide information to Participants; provided
      that any estimate of a Participant’s current or projected accrued benefit shall in no event be binding on the Committee in the event of any discrepancy between such estimate and a Participant’s actual accrued Plan Benefit, which, in all cases, shall
      control.

    

    

    Any person claiming a benefit, requesting an interpretation or ruling under the Plan, or requesting information under the Plan shall present the request in writing to the Committee at Carrier Global
      Corporation, 13995 Pasteur Boulevard, Palm Beach Gardens, FL 33418, Attn:  Employee Benefit Committee.  The Committee shall respond in writing as soon as practicable.

    

    

    
      
        	

              	20.2	
                Claim Procedures

              

      

    

    

    

    A Participant or Beneficiary who believes that he or she has been denied a benefit to which he or she is entitled under the Plan (referred to in this Subsection 20.2 as a “Claimant”) may file
      a written request with the Committee setting forth the claim.  The Committee shall consider and resolve the claim as set forth below.

    

    

    
      
        	

              	i.	
                Upon receipt of a claim, the Committee or its designated agent shall advise the Claimant that a response will be forthcoming within 90 days.  The Committee may, however, extend the response period for up to an additional 90 days for
                  reasonable cause, and shall notify the Claimant of the reason for the extension and the expected response date.  The Committee or its designated agent shall respond to the claim within the specified period.

              

      

    

    

    

    
      
        	

              	ii.	
                If the claim is denied in whole or part, the Committee shall provide the Claimant with a written decision, using language calculated to be understood by the Claimant, setting forth (1) the specific reason or reasons for such denial;
                  (2) the specific reference to relevant provisions of the Plan on which such denial is based; (3) a description of any additional material or information necessary for the Claimant to perfect his or her claim and an explanation why such
                  material or such information is necessary; (4) appropriate information as to the steps to be taken if the Claimant wishes to submit the claim for review; (5) the time limits for requesting a review of the claim; and (6) the Claimant’s
                  right to bring an action for benefits under Section 502(a) of ERISA.

              

      

    

    

    

    
      
        	

              	iii.	
                Within 60 days after the Claimant’s receipt of the written decision denying the claim in whole or in part, the Claimant may request in writing that the Committee review the determination.  The Claimant or his or her duly authorized
                  representative may, but need not, review the relevant documents and submit issues and comment in writing for consideration by the Committee.  If the Claimant does not request a review of the initial determination within such 60-day
                  period, the Claimant shall be barred from challenging the determination.

              

      

    

    

    

    
      
        	

              	iv.	
                Within 60 days after the Committee receives a request for review, it will review the initial determination.  If special circumstances require that the 60-day time period be extended, the Committee will so notify the Claimant and will
                  render the decision as soon as possible, but no later than 120 days after receipt of the request for review.

              

      

    

    

    

    
      
        	

              	v.	
                The Committee shall have the greatest discretion permitted by law in making decisions pursuant to this Section 20.2.  All decisions on review shall be final and binding with respect to all concerned parties.  The decision on
                  review shall set forth, in a manner calculated to be understood by the Claimant, (1) the specific reasons for the decision, including references to the relevant Plan provisions upon which the decision is based; (2) the Claimant’s right to
                  receive, upon request and free of charge, reasonable access to and copies of all documents, records, and other information, relevant to his or her benefits; and (3) the Claimant’s right to bring an action for benefits under Section 502(a)
                  of ERISA.

              

      

    

    

    

    
      -16-

      
        

    

    
    
      
        	21.	
                CERTAIN REGULATORY MATTERS

              

      

    

    

    

    The Plan is subject to ERISA.  However, because the Plan is an unfunded plan maintained by an employer primarily for the purpose of providing deferred compensation for a select group of management or
      highly compensated employees, the Plan is exempt from most of ERISA’s requirements.  Although the Plan is subject to Part 1 (Reporting and Disclosure) and Part 5 (Administration and Enforcement) of Title I, Subtitle B of ERISA, the Department of
      Labor has issued a regulation that exempts the Plan from most of ERISA’s reporting and disclosure requirements.  The Plan constitutes an “excess benefit plan” as defined in Section 3(36) of ERISA.

    

    

    
      
        	22.	
                TO WHOM SHOULD QUESTIONS CONCERNING THE PLAN BE DIRECTED?

              

      

    

    

    

    All questions concerning the operation of the Plan (including information concerning the administrators of the Plan) should be directed to:

    

    

    	 	
            Carrier Global Corporation

          
	 	
            13995 Pasteur Boulevard

          
	 	
            Palm Beach Gardens, FL 33418

          
	 	
            Attn:  Carrier Employee Benefit Committee

          
	 	
            Telephone:  561-365-2000

          

    

    

    

  

  -17-

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