Document:

exv10w1

Exhibit 10.1

HANESBRANDS INC. OMNIBUS INCENTIVE PLAN OF 2006

(As Amended Through December 7, 2010)

     1. Purpose. The purposes of the Plan are (a) to promote the interests of the Corporation and
its Subsidiaries and its stockholders by strengthening the ability of the Corporation and its
Subsidiaries to attract and retain highly competent officers and other key employees, and (b) to
provide a means to encourage Stock ownership and proprietary interest in the Corporation. The Plan
is intended to provide Plan Participants with forms of long-term incentive compensation that are
not subject to the deduction limitation rules prescribed under Code Section 162(m), and should be
construed to the extent possible as providing for remuneration which is “performance-based
compensation” within the meaning of Code Section 162(m) and the regulations promulgated thereunder.

     2. Definitions. Where the context of the Plan permits, words in the masculine gender shall
include the feminine gender, the plural form of a word shall include the singular form, and the
singular form of a word shall include the plural form. Unless the context clearly indicates
otherwise, the following terms shall have the following meanings:

          (a) Award means the grant of incentive compensation under this Plan to a Participant.

          (b) Board means the board of directors of the Corporation.

          (c) Change of Control means:

          (i) upon the acquisition by any individual, entity or group, including any Person,
of beneficial ownership (as defined in Rule 13d-3 promulgated under the Exchange Act),
directly or indirectly, of 20% or more of the combined voting power of the then
outstanding capital stock of the Corporation that by its terms may be voted on all
matters submitted to stockholders of the Corporation generally (“Voting Stock”);
provided, however, that the following acquisitions shall not constitute a Change in
Control: (A) any acquisition directly from the Corporation (excluding any acquisition
resulting from the exercise of a conversion or exchange privilege in respect of
outstanding convertible or exchangeable securities unless such outstanding convertible or
exchangeable securities were acquired directly from the Corporation); (B) any acquisition
by the Corporation; (C) any acquisition by an employee benefit plan (or related trust)
sponsored or maintained by the Corporation or any corporation controlled by the
Corporation; or (D) any acquisition by any corporation pursuant to a reorganization,
merger or consolidation involving the Corporation, if, immediately after such
reorganization, merger or consolidation, each of the conditions described in clauses (A),
(B) and (C) of subsection (ii) below shall be satisfied; and provided further that, for
purposes of clause (B) above, if (1) any Person (other than the Corporation or any
employee benefit plan (or related trust) sponsored or maintained by the Corporation or
any corporation controlled by the Corporation) shall become the beneficial owner of 20%
or more of the Voting Stock by reason of an acquisition of Voting Stock by the
Corporation, and (2) such Person shall, after such acquisition by the Corporation, become
the beneficial owner of any additional shares of the Voting

 

 

Stock and such beneficial ownership is publicly announced, then such additional
beneficial ownership shall constitute a Change in Control; or

          (ii) upon the consummation of a reorganization, merger or consolidation of the
Corporation, or a sale, lease, exchange or other transfer of all or substantially all of
the assets of the Corporation; excluding, however, any such reorganization, merger,
consolidation, sale, lease, exchange or other transfer with respect to which, immediately
after consummation of such transaction: (A) all or substantially all of the beneficial
owners of the Voting Stock of the Corporation outstanding immediately prior to such
transaction continue to beneficially own, directly or indirectly (either by remaining
outstanding or by being converted into voting securities of the entity resulting from
such transaction), more than 50% of the combined voting power of the voting securities of
the entity resulting from such transaction (including, without limitation, the
Corporation or an entity which as a result of such transaction owns the Corporation or
all or substantially all of the Corporation’s property or assets, directly or indirectly)
(the “Resulting Entity”) outstanding immediately after such transaction, in substantially
the same proportions relative to each other as their ownership immediately prior to such
transaction; and (B) no Person (other than any Person that beneficially owned,
immediately prior to such reorganization, merger, consolidation, sale or other
disposition, directly or indirectly, Voting Stock representing 20% or more of the
combined voting power of the Corporation’s then outstanding securities) beneficially
owns, directly or indirectly, 20% or more of the combined voting power of the then
outstanding securities of the Resulting Entity; and (C) at least a majority of the
members of the board of directors of the entity resulting from such transaction were
Initial Directors of the Corporation at the time of the execution of the initial
agreement or action of the Board authorizing such reorganization, merger, consolidation,
sale or other disposition; or

          (iii) upon the approval of a plan of complete liquidation or dissolution of the
Corporation; or

          (iv) when the Initial Directors cease for any reason to constitute at least a
majority of the Board.

     (d) Code means the Internal Revenue Code of 1986, as amended.

     (e) Committee means the Compensation and Benefits Committee of the Board; provided that
the Compensation and Benefits Committee of the Board of Directors of the Sara Lee Corporation
shall serve as the Committee under the Plan for as long as the Corporation is wholly-owned by
Sara Lee Corporation.

     (f) Corporation means Hanesbrands Inc., a Maryland corporation, or any successor
thereto.

     (g) Covered Employees means covered employees within the meaning of Code Section 162(m).

     (h) Deferred Stock Unit (“DSU”) means a vested right to a future award of Stock granted
pursuant to section 10 below.

     (i) Exchange Act means the Securities Exchange Act of 1934, as amended.

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     (j) Fair Market Value means the fair market value of Stock determined at any time in
such manner as the Committee may deem equitable, or as required by applicable law or
regulation.

     (k) Incentive Stock Options means a Stock Option designed to meet the requirements of
Code Section 422 or any successor law.

     (l) Initial Directors means those individuals initially appointed as the directors of
the Corporation once it ceased to be wholly-owned by Sara Lee Corporation; provided, however,
that any individual who becomes a director of the Corporation at or after the first annual
meeting of stockholders of the Corporation whose election, or nomination for election by the
Corporation’s stockholders, was approved by the vote of at least a majority of the Initial
Directors then comprising the Board (or by the nominating committee of the Board, if such
committee is comprised of Initial Directors and has such authority) shall be deemed to have
been an Initial Director; and provided further, that no individual shall be deemed to be an
Initial Director if such individual initially was elected as a director of the Corporation as
a result of: (i) an actual or threatened solicitation by a Person (other than the Board) made
for the purpose of opposing a solicitation by the Board with respect to the election or
removal of directors; or (ii) any other actual or threatened solicitation of proxies or
consents by or on behalf of any Person (other than the Board).

     (m) Nonqualified Stock Option means a Stock Option that is not an Incentive Stock
Option.

     (n) Participant means (i) an employee of the Corporation or its Subsidiaries; or (ii) a
non-employee director of the Corporation designated by the Committee as eligible to receive
an Award under the Plan.

     (o) Performance Cash Awards means cash incentives subject to the satisfaction of
long-term Performance Criteria and granted pursuant to section 12 below.

     (p) Performance Criteria means business criteria within the meaning of Code Section
162(m), including, but not limited to: revenue; revenue growth; earnings before interest and
taxes; earnings before interest, taxes, depreciation and amortization; earnings per share;
operating income; pre-or after-tax income; net operating profit after taxes; economic value
added (or an equivalent metric); ratio of operating earnings to capital spending; cash flow
(before or after dividends); cash-flow per share (before or after dividends); net earnings;
net sales; sales growth; share price performance; return on assets or net assets; return on
equity; return on capital (including return on total capital or return on invested capital);
cash flow return on investment; total shareholder return; improvement in or attainment of
expense levels; and improvement in or attainment of working capital levels or Performance
Criteria. Any Performance Criteria may be used to measure our performance as a whole or any
of our business units and may be measured relative to a peer group or index.

     (q) Performance Period means the period as designated by the Committee with a minimum of
one year and a maximum of five years.

     (r) Performance Shares means Awards subject to the satisfaction of long-term Performance
Criteria and granted pursuant to section 11 below.

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     (s) Person means any individual, entity or group, including any “person” within the
meaning of Section 13(d)(3) or 14(d)(2) of the Exchange Act.

     (t) Plan means the Hanesbrands Omnibus Incentive Plan of 2006.

     (u) Restricted Stock means Stock subject to a vesting condition specified by the
Committee in an Award in accordance with section 9 below.

     (v) Resulting Entity means the entity resulting from a transaction (including, without
limitation, the Corporation or an entity which as a result of such transaction owns the
Corporation or all or substantially all of the Corporation’s property or assets, directly or
indirectly).

     (w) RSU means a restricted stock unit providing a Participant with the right to receive
Stock at a date on or after vesting in accordance with the terms of such grant and/or upon
the attainment of Performance Criteria specified by the Committee in the Award in accordance
with section 9 below.

     (x) SAR means a stock appreciation right granted pursuant to section 8 below.

     (y) Stock means a share of common stock of the Corporation that, by its terms, may be
voted on all matters submitted to stockholders of the Corporation generally.

     (z) Stock Option means the right to acquire shares of Stock at a certain price that is
granted pursuant to section 7 below. The term Stock Option includes both Incentive Stock
Options and Nonqualified Stock Options.

     (aa) Subsidiary or Subsidiaries means any corporation or entity of which the Corporation
owns directly or indirectly, at least 50% of the total voting power or in which it has at
least a 50% economic interest.

     3. Administration. The Plan will be administered by the Committee consisting of two or more
directors of the Corporation as the Board may designate from time to time, each of whom shall
satisfy such requirements as:

     (a) the Securities and Exchange Commission may establish for administrators acting under
plans intended to qualify for exemption under Rule 16b-3 or its successor under the Exchange
Act;

     (b) the New York Stock Exchange may establish pursuant to its rule-making authority; and

     (c) the Internal Revenue Service may establish for outside directors acting under plans
intended to qualify for exemption under Code Section 162(m).

     The Committee shall have the discretionary authority to construe and interpret the Plan and
any Awards granted thereunder, to establish and amend rules for Plan administration, to change the
terms and conditions of Awards at or after grant (subject to the provisions of section 20 below),
to correct any defect or supply any omission or reconcile any inconsistency in the Plan or in any
Award granted under the Plan, and to make all other determinations which it deems necessary or
advisable for the administration of the Plan.

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     Awards under the Plan to a Covered Employee may be made subject to the satisfaction of one or
more Performance Criteria. Performance Criteria shall be established by the Committee for a
Participant (or group of Participants) no later than ninety (90) days after the commencement of
each Performance Period (or the date on which 25% of the Performance Period has elapsed, if
earlier). The Committee may select one or more Performance Criteria and may apply those Performance
Criteria on a corporate-wide or division/business segment basis; provided, however, that the
Committee may not increase the amount of compensation payable to a Covered Employee upon the
satisfaction of Performance Criteria.

     The Committee or the Board may authorize one or more officers of the Corporation to select
employees to participate in the Plan and to determine the number and type of Awards to be granted
to such Participants, except with respect to Awards to officers subject to Section 16 of the
Exchange Act, or to non-employee directors of the Corporation, or to officers who are, or who are
reasonably expected to be, Covered Employees. Any reference in the Plan to the Committee shall
include such officer or officers.

     The determinations of the Committee shall be made in accordance with their judgment as to the
best interests of the Corporation and its stockholders and in accordance with the purposes of the
Plan. Any determination of the Committee under the Plan may be made without notice or meeting of
the Committee, if in writing signed by all the Committee members.

     4. Participants. Participants may consist of all employees of the Corporation and its
subsidiaries and all non-employee directors of the Corporation; provided, however, the following
individuals shall be excluded from participation in the Plan: (a) contract labor; (b) employees
whose base wage or base salary is not processed for payment by the payroll department of the
Corporation or any subsidiary; and (c) any individual performing services under an independent
contractor or consultant agreement, a purchase order, a supplier agreement or any other agreement
that the Corporation enters into for service. Designation of a Participant in any year shall not
require the Committee to designate that person to receive an Award in any other year or to receive
the same type or amount of Award as granted to the Participant in any other year or as granted to
any other Participant in any year. The Committee shall consider all factors that it deems relevant
in selecting Participants and in determining the type and amount of their respective Awards.

     5. Shares Available under the Plan. There is hereby reserved for issuance under the Plan an
aggregate of 13,105,000 shares of Stock. Stock covered by an Award granted under the Plan shall not
be counted as used unless and until actually issued and delivered to a Participant. Accordingly, if
there is (a) a lapse, expiration, termination or cancellation of any Stock Option or other Award
outstanding under this Plan prior to the issuance of Stock thereunder or (b) a forfeiture of any
shares of Restricted Stock or Stock subject to Awards granted under this Plan prior to vesting,
then the Stock subject to these Stock Options or other Awards shall be added to the Stock available
for Awards under the Plan. In addition, any Stock covered by an SAR (including an SAR settled in
Stock which the Committee, in its discretion, may substitute for an outstanding Stock Option) shall
be counted as used only to the extent Stock is actually issued to the Participant upon exercise of
the right. Finally, any Stock exchanged by an optionee as full or partial payment of the exercise
price under any Stock Option exercised under the Plan, any Stock retained by the Corporation to
comply with applicable income tax withholding requirements, and any Stock covered by an Award which
is settled in cash, shall be added to the Stock available for Awards under the Plan. All Stock
issued under the Plan may be either authorized and unissued Stock or issued Stock reacquired by the
Corporation. All of the available Stock may, but need not,

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be issued pursuant to the exercise of Incentive Stock Options; provided, however,
notwithstanding a Stock Option’s designation, to the extent that Incentive Stock Options are
exercisable for the first time by the Participant during any calendar year with respect to Stock
whose aggregate Fair Market Value exceeds $100,000, such Stock Options shall be treated as
Nonqualified Stock Options.

     No Participant may receive in any calendar year Awards relating to more than 2 million shares
of Stock.

     The Stock reserved for issuance and the other limitations set forth above shall be subject to
adjustment in accordance with section 15 hereto.

     6. Types of Awards, Payments, and Limitations. Awards under the Plan shall consist of Stock
Options, SARs, Restricted Stock, RSUs, DSUs, Performance Shares, Performance Cash Awards, and other
Stock or cash Awards, all as described below. Payment of Awards may be in the form of cash, Stock,
other Awards or combinations thereof as the Committee shall determine, and with the expectation
that any Award of Stock shall be styled to preserve such restrictions as it may impose. The
Committee, either at the time of grant or by subsequent amendment, and subject to the provisions of
sections 20 and 21 hereto, may require or permit Participants to elect to defer the issuance of
Stock or the settlement of Awards in cash under such rules and procedures as the Committee may
establish under the Plan.

     The Committee may provide that any Awards under the Plan earn dividends or dividend
equivalents and interest on such dividends or dividend equivalents. Such dividends or dividend
equivalents may be paid currently or may be credited to a Participant’s Plan account and are
subject to the same vesting or Performance Criteria as the underlying Award. Any crediting of
dividends or dividend equivalents may be subject to such restrictions and conditions as the
Committee may establish, including reinvestment in additional Stock or Stock equivalents.

     Awards shall be evidenced by an agreement that sets forth the terms, conditions and
limitations of such Award. Such terms may include, but are not limited to, the term of the Award,
the provisions applicable in the event the Participant’s employment terminates, and the
Corporation’s authority to unilaterally or bilaterally amend, modify, suspend, cancel or rescind
any Award including without limitation the ability to amend such Awards to comply with changes in
applicable law. An Award may also be subject to other provisions (whether or not applicable to
similar Awards granted to other Participants) as the Committee determines appropriate, including
provisions intended to comply with federal or state securities laws and stock exchange
requirements, understandings or conditions as to the Participant’s employment, requirements or
inducements for continued ownership of Stock after exercise or vesting of Awards, or forfeiture of
Awards in the event of termination of employment shortly after exercise or vesting, or breach of
noncompetition or confidentiality agreements following termination of employment.

     The Committee may make retroactive adjustments to and the Participant shall reimburse to the
Corporation any cash or equity based incentive compensation paid to the Participant where such
compensation was predicated upon achieving certain financial results that were substantially the
subject of a restatement, and as a result of the restatement it is determined that the Participant
otherwise would not have been paid such compensation, regardless of whether or not the restatement
resulted from the Participant’s misconduct. In each such instance, the Corporation will, to the
extent practicable, seek to recover the amount by which the Participant’s cash or equity based
incentive compensation for the relevant period exceeded the lower payment that would have been made
based on the restated financial results. The Corporation will, to the extent

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permitted by governing law, require reimbursement of any cash or equity based incentive
compensation paid to any named executive officer (for purposes of this policy “named executive
officers” has the meaning given that term in Item 402(a)(3) of Regulation S-K under the Securities
Exchange Act of 1934) where: (i) the payment was predicated upon the achievement of certain
financial results that were subsequently the subject of a substantial restatement, and (ii) in the
Committee’s view the officer engaged in fraud or misconduct that caused or partially caused the
need for the substantial restatement. In each instance described above, the Corporation will, to
the extent practicable, seek to recover the described cash or equity based incentive compensation
for the relevant period, plus a reasonable rate of interest.

     Measurement of the attainment of Performance Criteria may exclude, if the Committee provides
in an Award agreement, impact of charges for restructurings, discontinued operations, extraordinary
items and other unusual or non-recurring items, and the cumulative effects of tax or accounting
changes, each as defined by Generally Accepted Accounting Principles and as identified in the
financial statements, in the notes to the financial statements, in the Management’s Discussion and
Analysis section of the financial statements, or in other Securities and Exchange Commission
filings.

     The Committee, in its sole discretion, may require a Participant to have amounts or Stock that
otherwise would be paid or delivered to the Participant as a result of the exercise or settlement
of an Award under the Plan credited to a deferred compensation or stock unit account established
for the Participant by the Committee on the Corporation’s books of account. In addition, the
Committee may permit Participants to defer the receipt of payments of Awards pursuant to such
rules, procedures or programs as may be established for purposes of this Plan.

     The Committee need not require the execution of any such agreement by a Participant.
Acceptance of the Award by the respective Participant shall constitute agreement by the Participant
to the terms of the Award.

     7. Stock Options. Stock Options may be granted to Participants, at any time as determined by
the Committee. The Committee shall determine the number of shares subject to each Stock Option and
whether the Stock Option is an Incentive Stock Option. The exercise price for each Stock Option
shall be determined by the Committee but shall not be less than 100% of the Fair Market Value of
the Stock on the date the Stock Option is granted unless the Stock Option is a substitute or
assumed Stock Option granted pursuant to section 16 hereto. Each Stock Option shall expire at such
time as the Committee shall determine at the time of grant. Stock Options shall be exercisable at
such time and subject to such terms and conditions as the Committee shall determine; provided,
however, that no Stock Option shall be exercisable later than the tenth anniversary of its grant,
and provided, further that Awards of Stock Options granted on or after December 1, 2010 shall not
become 100% exercisable in less than three years following the date they are granted with vesting
no faster than on a pro rata basis over the vesting period, except that the foregoing limitation
shall not apply to (i) Awards of Stock Options relative to shares amounting to 5% or less of the
number of shares available for Awards pursuant to section 5 hereof; (ii) substitute Awards for
grants made under a plan of an acquired business entity; and (iii) special exercise provisions in
limited cases of an intervening event related to death, disability, retirement, or a Change of
Control. The exercise price, upon exercise of any Stock Option, shall be payable to the Corporation
in full by: (a) cash payment or its equivalent; (b) tendering previously acquired Stock purchased
on the open market having a Fair Market Value at the time of exercise equal to the exercise price
or certification of ownership of such previously-acquired Stock; (c) to the extent permitted by
applicable law, delivery of a properly executed exercise notice, together with irrevocable
instructions to a broker to promptly deliver to

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the Corporation the amount of sale proceeds from the Stock Option shares or loan proceeds to
pay the exercise price and any withholding taxes due to the Corporation; and (d) such other methods
of payment as the Committee, in its discretion, deems appropriate. In no event shall the Committee,
without stockholder approval, cancel any outstanding Stock Option with an exercise price greater
than the then current Fair Market Value of the Stock for the purpose of reissuing any other Award
to the Participant at a lower exercise price, cancel any outstanding Stock Option for the purpose
of cashing out a Stock Option unless such cash-out occurs in conjunction with a Change of Control,
nor reduce the exercise price of an outstanding Stock Option. Reload options are not permitted.

     8. Stock Appreciation Rights. SARs may be granted to Participants at any time as determined
by the Committee. Notwithstanding any other provision of the Plan, the Committee may, in its
discretion, substitute SAR s which can be settled only in Stock for outstanding Stock Options. The
grant price of a substitute SAR shall be equal to the exercise price of the related Stock Option
and the substitute SAR shall have substantive terms (e.g., duration) that are equivalent to the
related Stock Option. The grant price of any other SAR shall be equal to the Fair Market Value of
the Stock on the date of its grant unless the SARs are substitute or assumed SARs granted pursuant
to section 16 hereto. An SAR may be exercised upon such terms and conditions and for the term the
Committee in its sole discretion determines; provided, however, that the term shall not exceed the
Stock Option term in the case of a substitute SAR or ten years in the case of any other SAR, and
the terms and conditions applicable to a substitute SAR shall be substantially the same as those
applicable to the Stock Option which it replaces, and provided, further that Awards of SARs granted
on or after December 1, 2010 shall not become 100% exercisable in less than three years following
the date they are granted with vesting no faster than on a pro rata basis over the vesting period,
except that the foregoing limitation shall not apply to (i) Awards of SARs relative to shares
amounting to 5% or less of the number of shares available for Awards pursuant to section 5 hereof;
(ii) substitute Awards for grants made under a plan of an acquired business entity; and (iii)
special exercise provisions in limited cases of an intervening event related to death, disability,
retirement, or a Change of Control. Upon exercise of an SAR, the Participant shall be entitled to
receive payment from the Corporation in an amount determined by multiplying (a) the difference
between the Fair Market Value of a share of Stock on the date of exercise and the grant price of
the SAR by (b) the number of shares with respect to which the SAR is exercised. The payment may be
made in cash or Stock, at the discretion of the Committee, except in the case of a substitute SAR
payment which may be made only in Stock. In no event shall the Committee, without stockholder
approval, cancel any outstanding SAR with an exercise price greater than the then current Fair
Market Value of the Stock for the purpose of reissuing any other Award to the Participant at a
lower grant price, cancel any outstanding SAR for the purpose of cashing out a SAR unless such
cash-out occurs in conjunction with a Change of Control, nor reduce the grant price of an
outstanding SAR.

     9. Restricted Stock and RSUs. Restricted Stock and RSUs may be awarded or sold to
Participants under such terms and conditions as shall be established by the Committee. Restricted
Stock and RSUs shall be subject to such restrictions as the Committee determines, including,
without limitation, any of the following:

     (a) a prohibition against sale, assignment, transfer, pledge, hypothecation or other
encumbrance for a specified period;

     (b) a requirement that the holder forfeit (or in the case of Stock or RSUs sold to the
Participant, resell to the Corporation at cost) such Stock or RSUs in the event of
termination of employment during the period of restriction; and

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     (c) the attainment of Performance Criteria.

     Restricted Stock and RSU Awards that are subject to the attainment of Performance Criteria
granted on or after December 1, 2010 shall be subject to a performance period of at least one year,
and restrictions on time-based Restricted Stock and RSU Awards granted on or after December 1, 2010
shall not expire relative to 100% of any Award in less than three years following the date the
Award is granted (although restrictions may lapse no faster than on a pro rata basis over the
vesting period), except that the foregoing limitations shall not apply to (i) Awards of Restricted
Stock or RSUs amounting to 5% or less of the number of shares available for Awards pursuant to
section 5 hereof; (ii) substitute Awards for grants made under a plan of an acquired business
entity; and (iii) special exercise provisions in limited cases of an intervening event related to
death, disability, retirement, or a Change of Control. All restrictions shall otherwise expire at
such times as the Committee shall specify.

     10. DSUs. DSUs provide a Participant a vested right to receive Stock in lieu of other
compensation at termination of employment or service or at a specific future designated date.

     11. Performance Shares. The Committee shall designate the Participants to whom Performance
Shares are to be awarded and determine the number of shares, the length of the Performance Period
and the other terms and conditions of each such Award; provided the stated Performance Period will
not be less than 12 months and to the extent the Award is designed to constitute performance-based
compensation under Code Section 162(m), Performance Criteria shall be established within 90 days of
the period of service to which the Performance Criteria relate has elapsed. Each Award of
Performance Shares shall entitle the Participant to a payment in the form of Stock upon the
attainment of Performance Criteria and other terms and conditions specified by the Committee.

     Notwithstanding satisfaction of any Performance Criteria, the number of shares issued under a
Performance Shares Award may be adjusted by the Committee on the basis of such further
consideration as the Committee in its sole discretion shall determine. However, the Committee may
not, in any event, increase the number of shares earned upon satisfaction of any Performance
Criteria by any Participant who is a Covered Employee. The Committee may, in its discretion, make a
cash payment equal to the Fair Market Value of Stock otherwise required to be issued to a
Participant pursuant to a Performance Share Award.

     12. Performance Cash Awards. The Committee shall designate the Participants to whom
Performance Cash Awards are to be awarded and determine the amount of the Award and the terms and
conditions of each such Award; provided the Performance Period will not be less than 12 months and
to the extent the Award is designed to constitute performance-based compensation under Code Section
162(m), Performance Criteria shall be established within 90 days of the period of service to which
the Performance Criteria relate has elapsed. Each Performance Cash Award shall entitle the
Participant to a payment in cash upon the attainment of Performance Criteria and other terms and
conditions specified by the Committee. No Award may be paid to a Participant in excess of
$5,000,000 for any single year. If an Award is earned in excess of $5,000,000, the amount of the
Award in excess of this amount shall be deferred in accordance with the date the Participant ceases
to be covered by Code Section 162(m) (or six months after that date if the Participant ceases to be
covered by Code Section 162(m) because of Participant’s separation from service (as defined in Code
Section 409A).

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     Notwithstanding the satisfaction of any Performance Criteria, the amount to be paid under a
Performance Cash Award may be adjusted by the Committee on the basis of such further consideration
as the Committee in its sole discretion shall determine. However, the Committee may not, in any
event, increase the amount earned under Performance Cash Awards upon satisfaction of any
Performance Criteria by any Participant who is a Covered Employee. The Committee may, in its
discretion, substitute actual Stock for the cash payment otherwise required to be made to a
Participant pursuant to a Performance Cash Award.

     13. Other Stock or Cash Awards. In addition to the incentives described in sections 6
through 12 above, the Committee may grant other incentives payable in cash or in Stock under the
Plan as it determines to be in the best interests of the Corporation and subject to such other
terms and conditions as it deems appropriate; provided an outright grant of Stock will not be made
unless it is offered in exchange for cash compensation that has otherwise already been earned by
the recipient including without limitation awards earned under the Hanesbrands Inc.
Performance-Based Annual Incentive Plan (or any successor annual incentive plan of the Corporation)
or under the Hanesbrands Inc. Non-Employee Director Deferred Compensation Plan.

     14. Change of Control. Except as otherwise determined by the Committee at the time of grant
of an Award, upon a Change of Control, all outstanding Stock Options and SARs shall become vested
and exercisable; all restrictions on Restricted Stock and RSUs shall lapse; all Performance
Criteria shall be deemed achieved at target levels and all other terms and conditions met; all
Performance Shares shall be delivered; all Performance Cash Awards, DSUs and RSUs shall be paid out
as promptly as practicable; and all other Stock or cash Awards shall be delivered or paid.

     In the event that a payment or delivery of an Award following a Change of Control would not be
a permissible distribution event, as defined in Code Section 409A(a)(2) or any regulations or other
guidance issued thereunder, then the payment or delivery shall be made on the earlier of: (a) the
date of payment or delivery originally provided for such Award; or (b) the date of termination of
the Participant’s employment or service with the Corporation or six months after such termination
in the case of a “specified employee” (as defined in Code Section 409A(a)(2)(B)(i)).

     15. Adjustment Provisions.

     (a) In the event of any change affecting the number, class, market price or terms of the
Stock by reason of share dividend, share split, recapitalization, reorganization, merger,
consolidation, spin-off, disaffiliation of a subsidiary, combination of Stock, exchange of
Stock, Stock rights offering, or other similar event, or any distribution to the holders of
Stock other than a regular cash dividend, the Committee shall equitably substitute or adjust
the number or class of Stock which may be issued under the Plan in the aggregate or to any
one Participant in any calendar year and the number, class, price or terms of shares of Stock
subject to outstanding Awards granted under the Plan.

     (b) In the event of any merger, consolidation or reorganization of the Corporation with
or into another corporation which results in the outstanding Stock of the Corporation being
converted into or exchanged for different securities, cash or other property, or any
combination thereof, there shall be substituted, on an equitable basis, for each share of
Stock then subject to an Award granted under the Plan, the number and kind of shares of

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stock, other securities, cash or other property to which holders of Stock will be
entitled pursuant to the transaction.

     16. Substitution and Assumption of Awards. The Board or the Committee may authorize the
issuance of Awards under this Plan in connection with the assumption of, or substitution for,
outstanding Awards previously granted to individuals who become employees of the Corporation or any
subsidiary as a result of any merger, consolidation, acquisition of property or stock, or
reorganization, upon such terms and conditions as the Committee may deem appropriate. Any
substitute Awards granted under the Plan shall not count against the Stock limitations set forth in
section 5 hereto, to the extent permitted by Section 303A.08 of the Corporate Governance Standards
of the New York Stock Exchange.

     17. Nontransferability. Each Award granted under the Plan shall not be transferable other
than by will or the laws of descent and distribution, and each Stock Option and SAR shall be
exercisable during the Participant’s lifetime only by the Participant or, in the event of
disability, by the Participant’s personal representative. In the event of the death of a
Participant, exercise of any Award or payment with respect to any Award shall be made only by or to
the beneficiary, executor or administrator of the estate of the deceased Participant or the person
or persons to whom the deceased Participant’s rights under the Award shall pass by will or the laws
of descent and distribution. Subject to the approval of the Committee in its sole discretion, Stock
Options may be transferable to charity or to members of the immediate family of the Participant and
to one or more trusts for the benefit of such family members, partnerships in which such family
members are the only partners, or corporations in which such family members are the only
stockholders. Members of the immediate family means the Participant’s spouse, children,
stepchildren, grandchildren, parents, grandparents, siblings (including half brothers and sisters),
and individuals who are family members by adoption.

     18. Taxes. The Corporation shall be entitled to withhold the amount of any tax attributable
to any amounts payable or Stock deliverable under the Plan, after giving notice to the person
entitled to receive such payment or delivery, and the Corporation may defer making payment or
delivery as to any Award, if any such tax is payable, until indemnified to its satisfaction. A
Participant may pay all or a portion of any withholding limited to the minimum statutory amount
arising in connection with the exercise of a Stock Option or SAR or the receipt or vesting of Stock
hereunder by electing to have the Corporation withhold Stock having a Fair Market Value equal to
the amount required to be withheld.

     19. Duration of the Plan. No Award shall be made under the Plan more than ten years after
the date of its adoption by the Board; provided, however, that the terms and conditions applicable
to any Stock Option granted on or before such date may thereafter be amended or modified by mutual
agreement between the Corporation and the Participant, or such other person as may then have an
interest therein.

     20. Amendment and Termination. The Board or the Committee may amend the Plan from time to
time or terminate the Plan at any time. However, unless expressly provided in an Award or the Plan,
no such action shall reduce the amount of any existing Award or change the terms and conditions
thereof without the Participant’s consent; provided, however, that the Committee may, in its
discretion, substitute SARs which can be settled only in Stock for outstanding Stock Options, and
may require an Award be deferred pursuant to section 6 hereto, without a Participant’s consent; and
further provided that the Committee may amend or terminate an Award to comply with changes in law
without a Participant’s consent. Notwithstanding any provision of the Plan to the contrary, the
provisions in each of section 7 and section 8 of the Plan

11

 

(regarding the cancellation, reissuing at a relatively reduced price, or cash-out of Stock
Options and SARs, respectively) shall not be amended without stockholder approval. Notwithstanding
any provision of the Plan to the contrary, to the extent that Awards under the Plan are subject to
the provisions of Code Section 409A, then the Plan as applied to those amounts shall be interpreted
and administered so that it is consistent with such Code section.

     The Corporation shall obtain stockholder approval of any Plan amendment to the extent
necessary to comply with applicable laws, regulations, or stock exchange rules.

     21. Other Provisions.

     (a) In the event any Award under this Plan is granted to an employee who is employed or
providing services outside the United States and who is not compensated from a payroll
maintained in the United States, the Committee may, in its sole discretion: (i) modify the
provisions of the Plan as they pertain to such individuals to comply with applicable law,
regulation or accounting rules consistent with the purposes of the Plan; and (ii) cause the
Corporation to enter into an agreement with any local subsidiary pursuant to which such
subsidiary will reimburse the Corporation for the cost of such equity incentives.

     (b) Neither the Plan nor any Award shall confer upon a Participant any right with
respect to continuing the Participant’s employment with the Corporation; nor interfere in any
way with the Participant’s right or the Corporation’s right to terminate such relationship at
any time, with or without cause, to the extent permitted by applicable laws and any
enforceable agreement between the employee and the Corporation.

     (c) No fractional shares of Stock shall be issued or delivered pursuant to the Plan or
any Award, and the Committee, in its discretion, shall determine whether cash, other
securities, or other property shall be paid or transferred in lieu of any fractional shares
of Stock, or whether such fractional shares or any rights thereto shall be canceled,
terminated, or otherwise eliminated.

     (d) In the event any provision of the Plan shall be held to be illegal or invalid for
any reason, such illegality or invalidity shall not affect the remaining parts of the Plan,
and the Plan shall be construed and enforced as if such illegal or invalid provisions had
never been contained in the Plan.

     (e) Payments and other benefits received by a Participant under an Award made pursuant
to the Plan generally shall not be deemed a part of a Participant’s compensation for purposes
of determining the Participant’s benefits under any other employee benefit plans or
arrangements provided by the Corporation or a subsidiary, unless the Committee expressly
provides otherwise in writing or unless expressly provided under such plan. The Committee
shall administer, construe, interpret, and exercise discretion under the Plan and each Award
in a manner that is consistent and in compliance with a reasonable, good faith interpretation
of all applicable laws, and that avoids (to the extent practicable) the classification of any
Award as “deferred compensation” for purposes of Code Section 409A, as determined by the
Committee.

     22. Governing Law. The Plan and any actions taken in connection herewith shall be governed
by and construed in accordance with the laws of the state of North Carolina without regard to any
state’s conflict of laws principles. Any legal action related to this Plan shall be brought only in
a federal or state court located in North Carolina.

     23. Stockholder Approval. This Plan shall be effective as of July 2, 2006, as approved by
Sara Lee Corporation as the sole shareholder of the Corporation.

12exv10w49

Exhibit 10.49

SECOND SUPPLEMENTAL INDENTURE

     THIS SUPPLEMENTAL INDENTURE (the “Second Supplemental Indenture”), dated as of August
13, 2010, among EPLD Temporary Corp. (the “Guaranteeing Subsidiary”), a subsidiary of
Hanesbrands Inc. (or its permitted successor), a Maryland corporation (the “Company”), the
Company, the other Subsidiary Guarantors (as defined in the Indenture referred to herein) and
Branch Banking and Trust Company, as trustee under the Indenture referred to below (the
“Trustee”).

WITNESSETH

     WHEREAS, the Company has heretofore executed and delivered to the Trustee the indenture, dated
as of August 1, 2008 (the “Base Indenture”), among Hanesbrands Inc. (the
“Company”), the Subsidiary Guarantors party thereto and the Trustee, as amended and
supplemented by the First Supplemental Indenture, dated as of December 10, 2009 (the “First
Supplemental Indenture”), among the Company, the Subsidiary Guarantors and the Trustee (Base
Indenture, as amended and supplemented by the First Supplemental Indenture is referred to herein as
the “Indenture”) providing for the issuance of the Company’s 8.000% Senior Notes due 2016
(the “Notes”);

     WHEREAS, the Indenture provides that under certain circumstances the Guaranteeing Subsidiary
shall execute and deliver to the Trustee a supplemental indenture pursuant to which the
Guaranteeing Subsidiary shall unconditionally guarantee all of the Company’s Obligations under the
Notes and the Indenture on the terms and conditions set forth herein (the “Note
Guarantee”); and

     WHEREAS, pursuant to Section 9.01 of the First Supplemental Indenture, the Trustee is
authorized to execute and deliver this Second Supplemental Indenture.

     NOW THEREFORE, in consideration of the foregoing and for other good and valuable
consideration, the receipt of which is hereby acknowledged, the Guaranteeing Subsidiary and the
Trustee mutually covenant and agree for the equal and ratable benefit of the Holders of the Notes
as follows:

1. Capitalized Terms. Capitalized terms used herein without definition shall have the
meanings assigned to them in the Indenture.

2. Agreement to Guarantee. The Guaranteeing Subsidiary hereby agrees to provide an
unconditional Guarantee on the terms and subject to the conditions set forth in the Note Guarantee
and in the Indenture including but not limited to Article 11 of the Supplemental Indenture.

3. No Recourse Against Others. No director, officer, employee, incorporator or stockholder
of the Company or any Guarantor, as such, will have any liability for any obligations of the
Company or the Guarantors under the Notes, the Indenture, the Note Guarantees or for any claim
based on, in respect of, or by reason of, such obligations or their creation. Each Holder of Notes
by accepting a Note waives and releases all such liability. The waiver and release are part of the

 

 

consideration for issuance of the Notes. The waiver may not be effective to waive liabilities
under the federal securities laws.

4. Governing Law. THIS SECOND SUPPLEMENTAL INDENTURE AND THE RIGHTS AND OBLIGATIONS OF THE
PARTIES HERETO AND THERETO, INCLUDING THE INTERPRETATION, CONSTRUCTION, VALIDITY AND ENFORCEABILITY
THEREOF, SHALL BE GOVERNED BY AND SHALL BE CONSTRUED, INTERPRETED AND ENFORCED IN ACCORDANCE WITH
THE LAWS OF THE STATE OF NEW YORK (INCLUDING SECTION 5-1401 OF THE GENERAL OBLIGATIONS LAW).

5. Counterparts. The parties may sign any number of copies of this Second Supplemental
Indenture. Each signed copy shall be an original, but all of them together represent the same
agreement.

6. Effect of Headings. The Section headings herein are for convenience only and shall not
affect the construction hereof.

7. The Trustee. The Trustee shall not be responsible in any manner whatsoever for or in
respect of the validity or sufficiency of this Second Supplemental Indenture or for or in respect
of the recitals contained herein, all of which recitals are made solely by the Guaranteeing
Subsidiary and the Company.

2

 

     IN WITNESS WHEREOF, the parties hereto have caused this Second Supplemental Indenture to be
duly executed and attested, all as of the date first above written.

	 	 	 	 	 
	 

	 	EPLD TEMPORARY CORP.
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Richard D. Moss
	 

	 	 	 	 
	 

	 	 	 	Name: Richard D. Moss

Title: Vice President — Treasurer
	 
	 	 	 	 
	 

	 	HANESBRANDS INC.
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Richard D. Moss
	 

	 	 	 	 
	 

	 	 	 	Name: Richard D. Moss

Title: Senior Vice President and Treasurer
	 
	 	 	 	 
	 

	 	On behalf of each of the Guarantors listed below:
	 
	 	 	 	 
	 

	 	BA INTERNATIONAL, L.L.C.

CARIBESOCK, INC.

CARIBETEX, INC.

CASA INTERNATIONAL, LLC

CEIBENA DEL, INC.

HANES MENSWEAR, LLC

HANES PUERTO RICO, INC.

HANESBRANDS DIRECT, LLC

HANESBRANDS DISTRIBUTION, INC.

HBI BRANDED APPAREL ENTERPRISES, LLC

HBI BRANDED APPAREL LIMITED, INC.

HBI INTERNATIONAL, LLC

HBI SOURCING, LLC

INNER SELF LLC

JASPER-COSTA RICA, L.L.C.

PLAYTEX DORADO, LLC

PLAYTEX INDUSTRIES, INC.

SEAMLESS TEXTILES, LLC

UPCR, INC.

UPEL, INC.
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Richard D. Moss
	 

	 	 	 	 
	 

	 	 	 	Name: Richard D. Moss

Title: Treasurer

 

 

	 	 	 	 	 
	 

	 	BRANCH BANKING AND TRUST COMPANY

as Trustee
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Gregory Yanok
	 

	 	 	 	 
	 

	 	 	 	Name: Gregory Yanok

Title: Vice President

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