Document:

Exhibit

EXHIBIT 10.1

Long Term Cash Incentive Plan
COLUMBIA SPORTSWEAR COMPANY
Effective January 1, 2019

Plan Overview
		
	1.
	This document provides information on the Long Term Cash Incentive Plan (hereafter referred to as the “LTI” or “the Plan”) of Columbia Sportswear Company (hereafter referred to as “the Company” or “Columbia”), which is set out in accordance with relevant laws and regulations

		
	2.
	The Plan is designed as an intrinsic portion of our total remuneration for designated managerial employees of Columbia. Participants will be entitled to an LTI award under this Plan provided that the prescribed performance conditions are met and they remain in employment with the Company for the specified period of time.

		
	3.
	All awards payable under the Plan are subject to the discretion and approval of the Compensation Committee of the Board of Directors.  Information contained in this document does not create an employment contract and the Company reserves the right to amend, change or terminate all of part of the Plan as and when it shall see fit.

		
	4.
	The Plan is prepared in English. In the event of any ambiguous interpretation of the Plan in any other language, the English version shall prevail. 

Contents
	
			
	Chapter One: General Provisions
	1
	

	Chapter Two: Definitions
	2
	

	Chapter Three: Plan Participants
	3
	

	Chapter Four: Operational Model and Restrictions
	4
	

	Chapter Five: Grant of LTI Award    
	4
	

	Chapter Six: Vesting and Invalidation of LTI Award
	5
	

	Chapter Seven: Rights and Duties of the Company and the Participants
	6
	

	Chapter Eight: Revision and Termination of the Plan
	6
	

	Chapter Nine: Supplementary Provisions
	7
	

Columbia Sportswear Company
Long Term Cash Incentive Plan 
Chapter One: General Provisions
		
	1.
	To attract and retain the management team and key talent to drive the Company’s sustainable development, and to reward superior company and individual performance, Columbia Sportswear Company (hereafter referred to as “the Company” or “Columbia”) has designed a Long Term Cash Incentive Plan (hereafter referred to as “LTI” or “the Plan”) in accordance with relevant laws and regulations.

		
	2.
	The Plan is drafted by the Company’s Corporate Human Resources Department and reviewed by the Compensation Committee of the Board of Directors.  The Plan will come into effect as of 1/1/19 after the approval of the Compensation Committee of the Board of Directors. 

		
	3.
	The Plan covers all majority owned subsidiaries and entities of Columbia Sportswear.

		
	4.
	The Corporate Human Resources Department, under the direction of the Compensation Committee of the Board of Directors and the CEO, administers the LTI Cash Plan and is responsible for implementing and operating the Plan, and will undertake tasks such as determining the grant size, calculating vesting and termination, etc. 

		
	5.
	Principles of the Plan:

		
	1)
	The Plan should be simple, transparent and easy to understand and communicate to the eligible participants;

		
	2)
	The Plan should reward selected participants who have made a special contribution to the Company in the past, or who are expected to have a substantial role in the plans of the Company going forward, or both;

		
	3)
	The Plan is on-going in nature and should support the sustainable development of the Company;

		
	4)
	The Plan shall not require any monetary contribution from participants in order to obtain the long-term incentives under the Plan.

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	6.
	Objectives of the Plan:

		
	1)
	Drive a performance culture, and align the interests of the Company and rewards of the Plan participants;

		
	2)
	Attract and retain excellent management and top performers to further the objectives of the Company;

		
	3)
	Encourage sustainable value creation so as to achieve stable, long-lasting development;

		
	4)
	Assist the management team in balancing medium-term and long-term objectives.

Chapter Two: Definitions

The following expressions in the Plan carry the respective meanings below:	
		
	Term 
	Definition

	The Company
	Columbia Sportswear Company and all majority owned subsidiaries

	The Plan
	Long Term Cash Incentive Plan 

	Board of Directors
	The Board of Directors of the Company

	Employee
	Employees of the Company

	Participant
	Eligible Employees to participate in the Plan

	CEO
	Chief Executive Officer of Columbia Sportswear Company, the incumbent in the highest role with executive powers

	Senior management executives
	Senior vice presidents of the Company

	Employee Performance Review Year
	The whole fiscal year used as the basis to evaluate participant performance and determine the size of award to be granted

	Grant
	The award, in the form of cash, to be granted to the Participants according to the Plan

	Be granted
	Participants receive the award by way of written communication, according to the Plan

	Performance Period
	The period of time over which Company performance is measured

	Award Agreement
	Documentation delivered to the Employee containing the terms and conditions of the Long Term Cash Incentive Award

	Vest
	Upon satisfying the restrictive conditions in the Plan, the Participant’s acquisition of the right to receive the payout of award, based on the terms and conditions of the Plan

	Vesting period
	The period from the day the awards are granted to the day they are all vested to Participants

	Company performance goal
	The Company performance goal agreed by the CEO and CFO at the beginning of the year in which the award is granted

	Retirement
	 “Retirement” shall have the same meaning as provided in the applicable policy maintained by the Company for the benefit of the Participant or, in the absence of such policy, as determined by the Board in its discretion in accordance with applicable law.

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Chapter Three: Plan Participants
The Plan participants include: 
		
	1)
	Managerial employees of the Company as designated by the Corporate Human Resources department and approved by the CEO of the Company.

		
	2)
	Employees who have made outstanding contributions to the Company, nominated by the senior executives or the CEO. 

Based on the participant’s position on the last working day of the Employee Performance Review Year, the participants shall meet the following conditions to be granted any LTI award: 
		
	1)
	The participant should be a full-time employee of the Company

		
	2)
	The participant should have completed his/her probation/introductory period

		
	3)
	The participant’s individual performance results of Achieving or better per their manager’s assessment in the Employee Performance Review Year

Employees who have made outstanding contributions to the Company and nominated by the senior executives or the CEO need not satisfy the above criteria.
Participants described above do not include the Independent Directors and other Board members or Supervisory Board members who are only paid Director compensation or Supervisor compensation. 
The grants to senior executives shall be approved by the Compensation Committee of the Board of Directors and the CEO according to the Plan, while grants to other Participants shall be proposed by the Corporate Human Resources department and approved by the CEO. 
The final list of Plan Participants will be provided by the corporate Human Resources department and approved by the CEO. The participant list contains, but is not limited to, Participants’ names, positions and the amounts to be granted.

3

Chapter Four: Operational Model and Restrictions
The operational model for the Plan is as follows: the CEO in collaboration with the Company CFO determines the total fund of LTI awards under the Plan. Size of grant to each eligible Participant will be proposed by the Corporate Human Resources department and upon discussion, the final amount will be approved by the CEO. 
The operational process for the Plan is as follows: the Corporate Human Resources department recommends LTI awards to be granted to each eligible Participant.  After approval by the CEO, the Corporate Human Resources department issues letters of grant to each individual through the Award Agreement. Upon satisfying the vesting conditions, the Corporate Human Resources department notifies each Participant of the size of award which has vested. 
Chapter Five: Grant of LTI Award
The CEO will review the Plan and decide on the grant of LTI awards, if any, on an annual basis. 
Principles in determining the value of individual grant: 
		
	5)
	Global Grade level of the employee

		
	6)
	Past performance of the employee

		
	7)
	Potential of and expectations from the employee

		
	8)
	Any other factor(s) which is/are deemed relevant

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Chapter Six: Vesting and Invalidation of LTI Award 
Vesting of the LTI awards granted is time-based and determined by Company performance during the Performance Period as defined in the Award Agreement. 
The CEO has the sole discretion in determining the final actual LTI awards to be granted to eligible Participants
In general, the granted award will not vest if the Participant is no longer an employee of the Company or is serving his or her notice period on the date of vesting.
The conditions for vesting and lapse due to special circumstances of the Participants are as follows:
		
	1)
	Participant termination due to death or disability: All granted but unvested LTI awards will vest at the target amount and be paid out as soon as practicable to the beneficiary(ies) stated by the Participant in the Nominee Form.

		
	2)
	Participant termination due to retirement: Granted but unvested LTI awards will vest on a prorated basis with respect to the portion that would have been eligible for vesting in the year in which retirement occurs based on the Participant’s days of continuous service during the applicable year prior to the retirement, and the remaining unvested portion of the LTI awards will be forfeited.

		
	3)
	Participant exit due to resignation or termination: All granted but unvested LTI awards will be subject to the discretion of the CEO.

		
	4)
	Participant exit due to termination for cause: All granted but unvested LTI awards will be forfeited. 

		
	5)
	The CEO reserves the right to make appropriate settlement at any time for situations not covered by the above articles.

The conditions for vesting and lapse due to special circumstances of Columbia are as follows: 
		
	1)
	On the day that the company is ordered to liquidate or the company passes a resolution to go through voluntary liquidation (excluding an immediate merger and / or reorganization thereafter, when the majority of the company's business operations, assets and liabilities 

5

are transferred to or taken over by another company, which would be another case), the granted but unvested LTI awards will be canceled.
		
	2)
	In the event of a change in control, where corporate control is taken over by another legal entity, due to Merger or Acquisition or other reasons, the provisions of the Plan will continue for all granted awards (whether vested or unvested) but no further grants may be made under the Plan. The Compensation Committee of the Board of Directors and the CEO, or similar body of the Merged Company or the Acquiring Company may make limited changes to the Plan document, especially in the case of regulatory considerations which may apply to the Merged or Acquiring Company. The Compensation Committee of the Board of Directors and the CEO, or similar body of this Merged or Acquiring Company will be responsible for governance of the Plan, going forward.

The vesting and termination arrangements of senior executives should be approved by the Compensation Committee of the Board of Directors and the CEO. For other Participants, the vesting and termination arrangements should be administered by the Corporate Human Resources department.  
Chapter Seven: Rights and Duties of the Company and the Participants
Without major misconduct, Participants who continue to be employed with the Company and are eligible may be granted LTI awards under the Plan. 
Personal tax arrangement for Participants under the Plan should be conducted according to relevant national rules and regulations and will be borne by the Plan Participants. 
Chapter Eight: Revision and Termination of the Plan
The Compensation Committee of the Board of Directors and the CEO, as the governing body of 

6

the Plan, has the right to revise or authorize the Corporate Human Resources department to revise the Plan. Any significant revisions shall be approved by the Compensation Committee of the Board of Directors and the CEO.
The significant revisions mentioned above include, but are not limited to:
		
	1)
	Basic operation mode and restrictions of the Plan.

		
	2)
	The scope of Participants.

		
	3)
	Determination of award size

		
	4)
	Revision and termination of the Plan.

The Company reserves the right to terminate the Plan at any time and determine the arrangement for the LTI awards granted to Participants. 
With the termination of the Plan, the unvested LTI awards shall be cancelled with immediate effect.
Chapter Nine: Supplementary Provisions
The Plan will come into effect at the date of the Compensation Committee of the Board of Directors approval.
The Compensation Committee of the Board of Directors reserves the right to interpret any part of the Plan.
Participants are considered to have agreed to accept the corresponding restrictions and undertake various obligations under the Plan, when they agree to accept the beneficial rights under the Plan after its coming into effect.

(End of the document)

Columbia Sportswear Company

1/1/2019

7Exhibit

EXHIBIT 10.2

LONG TERM CASH INCENTIVE PLAN
AWARD AGREEMENT

    
This Columbia Sportswear Company Long Term Cash Incentive Plan Agreement (or the “Agreement”) is made and entered into this ____________________ by and between:

Columbia Sportswear Company (the “Company”), a corporation having its registered office at _________________, and ____________________ (the “Recipient”).

The Award is made pursuant to Chapter 5 of the 2014 Long Term Cash Incentive Plan (the "Plan") and the Recipient desires to accept the Award subject to the terms and conditions of this Agreement.

IN CONSIDERATION of the mutual covenants and agreements set forth in this Agreement, the parties agree to the following.

1.  Award. The Company awards to the Recipient under the Plan a Long Term Cash Incentive Award with a target amount of ________________ (the "Award"), subject to forfeiture or increase as provided in Section 1(c) of this Agreement and to the restrictions, terms and conditions set forth in this Agreement.

(a)    Rights under Award. The Award represents the unfunded, unsecured right to require the Company to deliver to the Recipient a payment in cash as provided in this Agreement. The amount of cash deliverable with respect to the Award is subject to adjustment as provided in Section 1(c) of this Agreement.

(b)    Vesting Dates. The Award shall initially be 100% unvested and subject to forfeiture.  The portion of the Award not forfeited pursuant to Section 1(c) of this Agreement shall vest as follows: (a) 1/3 of the award shall vest on the last day of the final month of the fiscal year in which the award was granted, (b) 1/3 of the award shall vest on the anniversary of the first vesting date, and (c) the remaining 1/3 of the award shall vest on the second anniversary of the first vesting date.  To the extent the Recipient has not been employed by the Company continuously from the Award Date to the applicable vesting date, the portion of the Award that would have been eligible to vest according to the schedule above during the fiscal year in which the Recipient’s employment terminated, and that is not forfeited pursuant to Section 1(c) of this Agreement, shall vest as follows:  (i) in the event the Recipient’s employment terminated due to the Recipient’s retirement on any date that is on or after the Recipient’s retirement eligibility date, the applicable portion of the Award shall vest on a prorated basis calculated based on Recipient’s days of continuous employment from the first day of the fiscal year in which the applicable vesting date will occur through the date Recipient’s employment terminated; and (ii) in the event the Recipient’s employment terminated due to the Recipient’s disability or death, the remaining unvested portion of the Award shall vest at the target amount. 

	
					
	 
	Grant Date
	Year 1 Vesting Date
	Year 2 Vesting Date
	Year 3 Vesting Date

	Year
	 
	 
	 
	 

	LTI Grant Awarded
	$
	 
	 
	 

	LTI Award Vested at Target
	 
	$
	$
	$

(c)    Adjustment and Payout of Award Based on Performance.   For each fiscal year performance period included in the Agreement (the "Performance Period"), the Award shall be adjusted as follows.

(i)    Adjustment Based on Operating Income.  100% of the Award (the "Operating Income Component") is subject to increase or forfeiture (and if forfeited the Recipient shall have no right to receive the related cash payment) based on the 

1

“Operating Income” as defined below.  If results are between data points, the percentage of the Award payable shall be determined by interpolation between data points.           

	
					
	 
	 
	Operating Income Target for Columbia Sportswear Company

	 
	 
	Fiscal Year ####
	Fiscal Year ####
	Fiscal Year ####

	 
	 
	USD $###
	USD $###
	USD $###

	 
	 

	 
	 

	Result Achieved
	% of Long Term Incentive Target Earned
	Vesting Date
	Vesting Date
	Vesting Date 

	<80% of Target
	0%
	$0
	$0
	$0

	80% of Target
	50%
	$
	$
	$

	100% of Target
	100%
	$
	$
	$

	≥120% of Target
	150%
	$
	$
	$

"Operating Income" means the annual income from Columbia Sportswear Company operations for the fiscal year in the Performance Period as set forth in the audited consolidated financial statements of Columbia Sportswear Company.

(ii) Treatment on Termination of Service; Payout of Award.  If the Recipient ceases to be an employee of the Company prior to an annual vesting date, and such termination of employment is not due to the Recipient’s death or disability, or on any date that is on or after the Recipient’s retirement eligibility date, the Recipient shall immediately forfeit any unvested portion of the Award.  In the event the Recipient terminates on any date that is on or after the Recipient’s retirement eligibility date, the Recipient’s Award shall not be immediately forfeited and shall instead be eligible to vest on a prorated basis as provided in Section 1(b) of this Agreement.  Payment of the vested award, including following the Recipient’s retirement, subject to adjustment based on “Operating Income”, will occur prior to the end of the month of February in the year following the vesting date. For purposes of this Agreement, “retirement” shall have the same meaning as provided in the applicable policy maintained by the Company for the benefit of the Recipient or, in the absence of such policy, as determined by the Board in its discretion in accordance with applicable law. In the event the Recipient ceases to be an employee of the Company due to the Recipient’s death or disability, the Recipient’s Award shall not be immediately forfeited and shall instead vest at the target amount as provided in Section 1(b) of this Agreement, and shall be paid out as soon as practicable to the beneficiary(ies) stated by the Recipient in the Nominee (beneficiary) form.  
    

This Agreement, together with the Plan, embodies the complete Agreement and understanding among the parties with respect to the subject matter hereof and supersedes and pre-empts any prior written or oral understandings, agreements or representations by or among any of the parties that may have related to the subject matter hereof. In the event of any inconsistency or conflict between the 

2

provisions of this Agreement and the Plan, the provisions of the Plan shall govern.
In witness whereof, the parties hereto have executed this Agreement as of the date mentioned above.

Participant

Signature: ______________________

Name (Print): ___________________

Title: ___________________

Date: _______________

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NOMINEE FORM

Application of appointment of Beneficiary under the Long Term Cash Incentive Plan

To: Columbia Sportswear Company
14375 NW Science Park Dr
Portland OR 97229

I, ____________________, a participant of the Columbia Sportswear Company’s Long Term Cash Incentive Plan, hereby appoint the following person(s) as my beneficiary(ies) of this Plan in case of my demise in advance of availing all of the eligible benefits under the Plan. 

	
					
	Name & Address
	SSN# or other ID#
	Relationship
	Date of birth
	Share of Benefits (expressed as a percentage of total benefits)

	

	 
	 
	 
	 

	 
	 
	 
	 
	 

	 
	 
	 
	 
	 

Participant

Signature:         ______________________

Name (Print):     ______________________

Signed at:     __________________(location), on _____________(date).

Witness:

Signature:         ____________________________

Name:            ____________________________

Address:         ________________________________________________________

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