Document:

Exhibit 10.19

 

 

 

June 18, 2007

 

Mr. George A. (“Chip”) Carbonar

78 Hollow Drive

Malvern, PA 19355

 

Dear Chip,

 

On behalf of Montpelier Technical Resources Limited, I am pleased to offer you employment in a key position (Vice President - Finance) reporting to me in New Hampshire with the following compensation and benefits package:

 

Salary

 

You will receive base pay of $6,666.67 semi-monthly, which when annualized is equivalent to $160,000 per year.  We do not intend that this salary will be increased during 2008, but we expect that this will be reviewed annually thereafter.

 

Annual Bonus Plan

 

You will be eligible to participate in the Company’s Annual Bonus Plan, making you eligible for a pro rata cash bonus in the 2007 plan year, payable no later than the Company’s second March 2008 payroll cycle.  Bonus amounts are paid at the discretion of the CEO and are based on the Company’s annual results and the individual’s performance.

 

For the 2007 plan, your target bonus will be 75% of your pro rated salary subject to a guaranteed minimum bonus equal to 37.5% of your pro rated base salary, generally similar to employees in the group B bonus plan of Montpelier Re Holdings.

 

Please note that the companywide target bonuses are presently at enhanced level as a retention measure following the adverse impact to the Company’s Long Term Incentive Plan (“LTIP”) arising from the events of 2005 and the various competing companies that were formed.  The target and performance criteria applicable to the Annual Bonus Plan are reviewed each year by the Compensation and Nominating Committee of the Company’s Board of Directors, and accordingly may vary for subsequent plan years.

 

 

 

Long Term Incentive Plan

 

Subject to approval of the Board of Montpelier Re Holdings at its next scheduled meeting you shall receive a one time grant of 5,000 Restricted Share Unit’s (“RSU’s”), which shall vest pro rata over the five (5) year period following your start date, and which RSU’s shall not be saleable until the end of the fifth year following your start date.  In the unlikely event that such approval does not occur, in lieu of such award you will be provided with comparable compensation in another form.

 

Subject to satisfactory performance and the approval of the Compensation and Nominating Committee of Montpelier Re Holdings Ltd., you will be eligible for participation in the group’s LTIP for the 2008 and subsequent years of account; provided, however, the notional number of share equivalents (RSU’s and performance share units) of such grant in 2008 will be no less than 4,000 for the 2008-2010 performance cycle.  Note that to the extent the form of the LTIP grants are changed or the plan is replaced such proscribed minimums may not be applicable, in which case you will participate in the revised form of the bonus program at the same relative level as compared to other employees.

 

Starting Bonus

 

In connection with your employment, you shall be paid a one-time starting bonus of US$100,000 as soon as practical following your start date; however such bonus shall be refundable should you voluntarily resign within twelve months from your start date.

 

Benefits

 

All benefits will be offered as follows:

 

	
I.
    	
 
    	
Medical and Dental Coverage (Employee   contributes 20% of premium cost on a pre-tax basis)
    
	
II.
    	
 
    	
Group Life & AD&D Policy
    
	
III.
    	
 
    	
Short-Term and Long-Term Disability
    
	
IV.
    	
 
    	
401(k) Plan
    
	
V.
    	
 
    	
FSA Medical and Childcare Reimbursement   Program
    
	
VI.
    	
 
    	
Educational Assistance
    
	
VII.
    	
 
    	
Vacation — 20 days (Vacation is on an accrual   basis from date of hire)
    
	
VIII.
    	
 
    	
All Company recognized Holidays
    
	
IX.
    	
 
    	
One time relocation benefit to the Upper   Valley to be reasonably agreed.
    

 

Your employment is contingent upon your signing the forthcoming document regarding the Corporate Technology Policy.  As a condition of your employment, you will also be required to review and acknowledge, in writing, the Company’s Employee Handbook, including all company policies regarding IT and confidential information of the Company.  Your commencement date is scheduled on or before July 16, 2007.

 

 

Appropriate documentation is required for the completion of your new hire forms, including proof that you are presently eligible to work in the United States for I-9 purposes.

 

Termination of Employment

 

Your employment will be subject to three months’ notice of termination in writing if by you or six months’ notice of termination in writing if by the Company, notwithstanding the foregoing:

 

(a)                                  Notice of termination is not required during any probationary period.

(b)                                 The period of notice may be waived either in whole or partly by mutual agreement of the parties.

(c)                                  Payment in lieu of notice may be given at the Company’s discretion.

(d)                                 The Company may terminate your employment forthwith in the event that you commit any act of gross default, serious misconduct, dishonesty or fraud resulting in serious harm or injury either to the reputation or business of the Company, or the clients of the Company.

 

Should you have any questions about starting with Montpelier Technical Resources Limited, please do not hesitate to contact me.

 

Sincerely yours,

 

 

Michael S. Paquette

 

I agree to the terms of the employment set forth above.

 

	
Signed
    	
 
    	
 
    	
DateExhibit 10.58

 

2012 CEO STOCK UNIT AWARD AGREEMENT

 

(Granted under the UFP Technologies, Inc. 2003 Incentive Plan)

 

This Stock Unit Award Agreement is entered into as of the 17th day of February, 2012 by and between UFP Technologies, Inc. (hereinafter the “Company”) and R. Jeffrey Bailly (the “Awardee”).  Capitalized terms used but not defined herein shall have the meanings assigned to them in the Company’s 2003 Incentive Plan, as amended (the “Plan”).  Stock Unit Awards (SUA’s represent the Company’s unfunded and unsecured promise to issue shares of Common Stock at a future date, subject to the terms of this Award Agreement, including, without limitation, the performance objectives set forth in Schedule A hereto, and the Plan.  Awardee has no rights under the SUAs other than the rights of a general unsecured creditor of the Company.

 

1.                                      Grant of Stock Unit Awards; Performance Objectives; Vesting.

 

(a)                                 The Company, in the exercise of its sole discretion pursuant to the Plan, does hereby award to the Awardee the number of SUAs set forth on Schedule A hereto upon the terms and subject to the conditions hereinafter contained.  The SUA’s shall consist of a Threshold Award, a Target Award and an Exceptional Award.  The Threshold Award, The Target Award and the Exceptional Award are each awarded subject to attainment during the Performance Cycle described on Schedule A of the Performance Objectives set forth on Schedule A .

 

(b)                                 Subject to attainment of any applicable Performance Objectives, except as otherwise provided in this Agreement, payment with respect to vested SUA’s shall be made entirely in the form of shares of Common Stock of the Company on each respective vesting date as set forth on Schedule A.

 

(c)                                  As soon as possible after the end of the Performance Cycle, the Committee will certify in writing whether and to what extent the Performance Objectives have been met for the Performance Cycle.  The date of the Committee’s certification pursuant to this subsection (c) shall hereinafter be referred to as the “Certification Date”.  The Company will notify the Awardee of the Committee’s certification following the Certification Date (such notice, the “Determination Notice”).  The Determination Notice shall specify (i) the Performance Objective, as derived from the Company’s audited financial statements; and (ii) the extent, if any, to which the Performance Objectives were satisfied with respect to the Threshold Award, the Target Award and the Exceptional Award.

 

2.                                      Change in Control.

 

(a)                                 Notwithstanding the vesting schedule set forth in Schedule A: if there is a Change in Control of the Company (as defined below) following the end of the Performance Cycle, and the Awardee’s Continuous Status as an employee, as contemplated by Section 4 hereof, shall not have been terminated as of the date immediately prior to the effective date of such Change in Control, then subject to attainment during the Performance Cycle described on Schedule A of the Performance Objectives set forth on Schedule A, and subject to the provisions of Section 21 of this Award Agreement, any SUA’s representing the Threshold, Target and the Exceptional Award, which are not already vested shall become vested in full as of the effective date of such Change in Control.

 

(b)                                 For the purpose of this Agreement, a “Change in Control” shall mean (i) the consummation of a reorganization, merger or consolidation or sale or disposition of all or substantially all of the assets of the Company (a “Business Combination”), unless, in each case following such Business Combination, (A) all or substantially all of the individuals and entities who were the beneficial owners of the Common Stock of the Company immediately before the consummation of such Business Combination beneficially own, directly or indirectly, more than 50% of, respectively, the then outstanding shares of common stock and the combined voting power of the then outstanding voting securities entitled to vote generally in the election of directors, as the case may be, of the corporation resulting from such Business Combination (including, without limitation, a corporation that as 

 

 

a result of the transaction owns the Company or all or substantially all of the assets of the Company either directly or indirectly through one or more subsidiaries); and (B) no person or group (as defined in Section 13(d) or 14(d)(2) of the Securities Exchange Act of 1934) of the Company or the corporation resulting from the Business Combination) beneficially owns, directly or indirectly, more than 50% of the then outstanding shares of the common stock of the corporation resulting from the Business Combination;  (ii) Individuals who, as of the date of this Agreement, constitute the Board of Directors of the Company (the “Incumbent Board”) cease for any reason to constitute at least a majority of the Board of Directors of the Company, provided, however, that any individual’s becoming a director after the date of this Agreement whose election, or nomination for election by the stockholders of the Company, was approved by a vote of at least a majority of the directors then comprising the Incumbent Board will be considered as though the individual were a member of the Incumbent Board, but excluding, for this purpose, any individual whose initial assumption of office occurs as a result of an actual or threatened election contest with respect to the election or removal of directors or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board; or (iii) any person (as defined in Section 13(d) or 14(d)(2) of the Securities Exchange Act of 1934) shall become at any time or in any manner the beneficial owner of capital stock of the Company representing more than 50% of the voting power of the Company.

 

3.                                      Termination.   Unless terminated earlier under Section 4, 5 or 6 below, an Awardee’s rights under this Award Agreement with respect to the SUAs issued under this Award Agreement shall terminate at the time such SUAs are converted into shares of Common Stock.

 

4.                                      Termination of Awardee’s Continuous Status as an Employee.

 

(a)                                                                     Except as otherwise specified in subsection (b) below or as otherwise specified in Section 5 or 6 below, in the event of termination of Awardee’s Continuous Status as an employee of the Company, Awardee’s rights under this Award Agreement in any unvested SUAs shall terminate.  For purposes of this Award Agreement, an Awardee’s Continuous Status as an employee shall mean the absence of any interruption or termination of service as an employee.  Continuous Status as an employee shall not be considered interrupted in the case of sick leave or leave of absence for which Continuous Status is not considered interrupted as determined by the Company in its sole discretion.

 

(b)                                                                     Subject to: the provisions of Paragraphs 8 and 12 of the Awardee’s Employment Agreement dated October 8, 2007 with the Company, as amended (the “Employment Agreement”); attainment during the Performance Cycle described on Schedule A of the Performance Objectives set forth on Schedule A; and the provisions of Section 21 of this Award Agreement, any SUA’s representing the Threshold Award, the Target Award and the Exceptional Award, which would otherwise have resulted in the issuance of shares of the Company’s common stock following the Certification Date but for: (i) the termination of the Awardee’s employment by the Company without “Cause” (as defined in the Employment Agreement); or (ii) termination of the Awardee’s employment for “Good Reason” (as defined in the Employment Agreement), in any such event following the end of the Performance Cycle but prior to the date on which such shares would otherwise have been delivered to the Awardee but for such termination, then such shares shall be issued to the Awardee notwithstanding such termination of employment.

 

5.                                      Disability of Awardee.   Notwithstanding the provisions of Section 4 above, in the event of termination of Awardee’s Continuous Status as an employee as a result of disability (within the meaning of Section 409A of the Internal Revenue Code, and hereinafter referred to as “Disability”), the SUAs which would have vested during the twelve (12) months following the date of such termination, set out in Schedule A, shall become vested as of the date of such termination, subject, however, to the provisions of Section 21 of this Award Agreement.  If Awardee’s Disability originally required him or her to take a short-term disability leave which was later converted into long-term disability, then for the purposes of the preceding sentence the date on which Awardee ceased performing services shall be deemed to be the date of commencement of the short-term disability leave.  The Awardee’s rights in any unvested SUAs that remain unvested after the application of this Section 5 shall terminate at the time Awardee ceases to be in Continuous Status as an employee.

 

 

6.                                      Death of Awardee.   Notwithstanding the provisions of Section 4 above, in the event of the death of Awardee:

 

(a)                                 If the Awardee was, at the time of death, in Continuous Status as an employee, the SUAs which would have vested during the twelve (12) months following the date of death of Awardee, set out in Schedule A, shall become vested as of the date of death.

 

(b)                                 The Awardee’s rights in any unvested SUAs that remain after the application of Section 6(a) shall terminate at the time of the Awardee’s death.

 

7.                                      Value of Unvested SUAs.   In consideration of the award of these SUAs, Awardee agrees that upon and following termination of Awardee’s Continuous Status as an employee for any reason (whether or not in breach of applicable laws), and regardless of whether Awardee is terminated with or without cause, notice, or pre-termination procedure or whether Awardee asserts or prevails on a claim that Awardee’s employment was terminable only for cause or only with notice or pre-termination procedure, any unvested SUAs under this Award Agreement shall be deemed to have a value of zero dollars ($0.00).

 

8.                                      Conversion of SUAs to shares of Common Stock; Responsibility for Taxes.

 

(a)                                 Provided Awardee has satisfied the requirements of Section 8(b) below, and subject to the provisions of Section 21 below, on the vesting of any SUAs, such vested SUAs shall be converted into an equivalent number of shares of Common Stock that will be distributed to Awardee or, in the event of Awardee’s death, to Awardee’s legal representative, as soon as practicable.  The distribution to the Awardee, or in the case of the Awardee’s death, to the Awardee’s legal representative, of shares of Common Stock in respect of the vested SUAs shall be evidenced by a stock certificate, appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company, or other appropriate means as determined by the Company.

 

(b)                                 Regardless of any action the Company takes with respect to any or all income tax (including federal, state and local taxes), social security, payroll tax or other tax-related withholding (“Tax Related Items”), Awardee acknowledges that the ultimate liability for all Tax Related Items legally due by Awardee is and remains Awardee’s responsibility and that the Company (i) makes no representations or undertakings regarding the treatment of any Tax Related Items in connection with any aspect of the SUAs, including the grant of the SUAs, the vesting of SUAs, the conversion of the SUAs into shares of Common Stock, the subsequent sale of any shares of Common Stock acquired at vesting and the receipt of any dividends; and (ii) does not commit to structure the terms of the grant or any aspect of the SUAs to reduce or eliminate the Awardee’s liability for Tax Related Items.  Prior to the issuance of shares of Common Stock upon vesting of SUAs as provided in Section 8(a) above, Awardee shall pay, or make adequate arrangements satisfactory to the Company, in its sole discretion, to satisfy all withholding obligations of the Company.  In this regard, Awardee authorizes the Company to withhold all applicable Tax Related Items legally payable by Awardee from Awardee’s wages or other cash compensation payable to Awardee by the Company.  Alternatively, or in addition, if permissible under applicable law, the Company may, in its sole discretion, (i) sell or arrange for the sale of shares of Common Stock to be issued to satisfy the withholding obligation, and/or (ii) withhold in shares of Common Stock, provided that the Company shall withhold only the amount of shares necessary to satisfy the minimum withholding amount.  Awardee shall pay to the Company any amount of Tax Related Items that the Company may be required to withhold as a result of Awardee’s receipt of SUAs, or the conversion of SUAs to shares of Common Stock that cannot be satisfied by the means previously described.  Except where applicable legal or regulatory provisions prohibit, the standard process for the payment of an Awardee’s Tax Related Items shall be for the Company to withhold in shares of Common Stock only to the amount of shares necessary to satisfy the minimum withholding amount.  The Company may refuse to deliver shares of Common Stock to Awardee if Awardee fails to comply with Awardee’s obligation in connection with the Tax Related Items as described herein.

 

(c)                                  In lieu of issuing fractional shares of Common Stock, on the vesting of a fraction of a SUA, the Company shall round the shares to the nearest whole share and any such share which represents a fraction of a SUA will be included in a subsequent vest date.

 

 

(d)                                 Until the distribution to Awardee of the shares of Common Stock in respect to the vested SUAs is evidenced by a stock certificate, appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company, or other appropriate means, Awardee shall have no right to vote or receive dividends or any other rights as a shareholder with respect to such shares of Common Stock, notwithstanding the vesting of SUAs.  Subject to the provisions of Section 21 below, the Company shall cause such distribution to Awardee to occur promptly upon the vesting of SUAs.  No adjustment will be made for a dividend or other right for which the record date is prior to the date Awardee is recorded as the owner of the shares of Common Stock, except as provided in Section 8 of the Plan.

 

(e)                                  By accepting the Award of SUAs evidenced by this Award Agreement, Awardee agrees not to sell any of the shares of Common Stock received on account of vested SUAs at a time when applicable laws or Company policies prohibit a sale.  This restriction shall apply so long as Awardee is an Employee, Consultant or outside director of the Company or a Subsidiary of the Company.

 

9.                                      Non-Transferability of SUAs.   Awardee’s right in the SUAs awarded under this Award Agreement and any interest therein may not be sold, pledged, assigned, hypothecated, transferred, or disposed of in any manner, other than by will or by the laws of descent or distribution, prior to the distribution of the shares of Common Stock in respect of such SUAs.  SUAs shall not be subject to execution, attachment or other process.

 

10.                               Acknowledgment of Nature of Plan and SUAs.   In accepting the Award, Awardee acknowledges that:

 

(a)                                 the Plan is established voluntarily by the Company, it is discretionary in nature and may be modified, amended, suspended or terminated by the Company at any time, as provided in the Plan;

 

(b)                                 the Award of SUAs is voluntary and occasional and does not create any contractual or other right to receive future awards of SUAs, or benefits in lieu of SUAs even if SUAs have been awarded repeatedly in the past;

 

(c)                                  all decisions with respect to future awards, if any, will be at the sole discretion of the Company;

 

(d)                                 Awardee’s participation in the Plan is voluntary;

 

(e)                                  the future value of the underlying shares of Common Stock is unknown and cannot be predicted with certainty;

 

(f)                                   if Awardee receives shares of Common Stock, the value of such shares of Common Stock acquired on vesting of SUAs may increase or decrease in value;

 

11.                               No Employment Right.   Awardee acknowledges that neither the fact of this Award of SUAs nor any provision of this Award Agreement or the Plan or the policies adopted pursuant to the Plan shall confer upon Awardee any right with respect to employment or continuation of current employment with the Company, or to employment that is not terminable at will.  Awardee further acknowledges and agrees that neither the Plan nor this Award of SUAs makes Awardee’s employment with the Company for any minimum or fixed period, and that such employment is subject to the mutual consent of Awardee and the Company, and subject to any written employment agreement that may be in effect from time to time between the Company and the Awardee, may be terminated by either Awardee or the Company at any time, for any reason or no reason, with or without cause or notice or any kind of pre- or post-termination warning, discipline or procedure.

 

12.                               Administration.   The authority to manage and control the operation and administration of this Award Agreement shall be vested in the Committee (as such term is defined in Section 2 of the Plan), and the Committee shall have all powers and discretion with respect to this Award Agreement as it has with respect to the 

 

 

Plan.  Any interpretation of the Award Agreement by the Committee and any decision made by the Committee with respect to the Award Agreement shall be final and binding on all parties.

 

13.                               Plan Governs.   Notwithstanding anything in this Award Agreement to the contrary, the terms of this Award Agreement shall be subject to the terms of the Plan, and this Award Agreement is subject to all interpretations, amendments, rules and regulations promulgated by the Committee from time to time pursuant to the Plan.

 

14.                               Notices.   Any written notices provided for in this Award Agreement which are sent by mail shall be deemed received three business days after mailing, but not later than the date of actual receipt.  Notices shall be directed, if to Awardee, at the Awardee’s address indicated by the Company’s records and, if to the Company, at the Company’s principal executive office.

 

15.                               Electronic Delivery.   The Company may, in its sole discretion, decide to deliver any documents related to SUAs awarded under the Plan or future SUAs that may be awarded under the Plan by electronic means or request Awardee’s consent to participate in the Plan by electronic means.  Awardee hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through an on-line or electronic system established and maintained by the Company or another third party designated by the Company.

 

16.                               Acknowledgment.   By Awardee’s acceptance as evidenced below, Awardee acknowledges that Awardee has received and has read, understood and accepted all the terms, conditions and restrictions of this Award Agreement and the Plan.  Awardee understands and agrees that this Award Agreement is subject to all the terms, conditions, and restrictions stated in this Award Agreement and the Plan, as the latter may be amended from time to time in the Company’s sole discretion.

 

17.                               [Intentionally Omitted]

 

18.                               Governing Law.   This Award Agreement shall be governed by the laws of the State of Delaware, without regard to Delaware laws that might cause other law to govern under applicable principles of conflicts of law.

 

19.                               Severability.   If one or more of the provisions of this Award Agreement shall be held invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby and the invalid, illegal or unenforceable provisions shall be deemed null and void; however, to the extent permissible by law, any provisions which could be deemed null and void shall first be construed, interpreted or revised retroactively to permit this Award Agreement to be construed so as to foster the intent of this Award Agreement and the Plan.

 

20.                               Complete Award Agreement and Amendment.   This Award Agreement and the Plan constitute the entire agreement between Awardee and the Company regarding SUAs.  Any prior agreements, commitments or negotiations concerning these SUAs are superseded.  This Award Agreement may be amended only by written agreement of Awardee and the Company, without consent of any other person.  Awardee agrees not to rely on any oral information regarding this Award of SUAs or any written materials not identified in this Section 20.

 

21.                               Section 409A.  This Award Agreement is intended to be in compliance with the provisions of Section 409A of the Internal Revenue Code to the extent applicable, and the Regulations issued thereunder. Anything in this Agreement to the contrary notwithstanding, if at the time of the Awardee’s separation from service within the meaning of Section 409A of the Internal Revenue Code of 1986, as amended, and the regulations thereunder (the “Code”), the Company determines that the Awardee is a “specified employee” within the meaning of Section 409A(a)(2)(B)(i) of the Code, then to the extent any payment or benefit that the Awardee becomes entitled to under this Agreement would be considered deferred compensation subject to the 20 percent additional tax imposed pursuant to Section 409A(a) of the Code as a result of the application of Section 409A(a)(2)(B)(i) of the Code, such payment shall not be payable and such benefit shall not be provided until the date that is the earlier of (A) six months and one day after the Awardee’s separation from service, or (B) the Awardee’s death.  The determination of whether and when a separation from service has occurred shall be made in accordance with the presumptions set forth in 

 

 

Treasury Regulation Section 1.409A-1(h). To the extent that any provision of this Agreement is ambiguous as to its compliance with Section 409A of the Code, the provision shall be read in such a manner so that all payments hereunder comply with Section 409A of the Code.  The parties agree that this Agreement may be amended, as reasonably requested by either party, and as may be necessary to fully comply with Section 409A of the Code and all related rules and regulations in order to preserve the payments and benefits provided hereunder without additional cost to either party. Solely for the purposes of Section 409A of the Code, the share increments issuable on each vesting date on Schedule A shall be considered a separate payment.  The Company makes no representation or warranty and shall have no liability to the Awardee or any other person if any provisions of this Agreement are determined to constitute deferred compensation subject to Section 409A of the Code but do not satisfy an exemption from, or the conditions of, such Section.

 

[remainder of page intentionally left blank; signature page follows]

 

 

EXECUTED the day and year first above written.

 

 

	
 
    	
UFP   TECHNOLOGIES, INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
 
    	
Ronald   J. Lataille
    
	
 
    	
 
    	
Chief   Financial Officer
    

 

AWARDEE’S ACCEPTANCE:

 

I have read and fully understood this Award Agreement and, as referenced in Section 16 above, I accept and agree to be bound by all of the terms, conditions and restrictions contained in this Award Agreement and the other documents referenced in it.

 

 

	
 
    	
 
    
	
R.   Jeffrey Bailly
    	
 
    

 

 

SCHEDULE A

 

The SUA’s issuable under this Agreement shall consist of a Threshold Performance Award, a Target Performance Award and an Exceptional Performance Award, each in the amounts set forth below, each such award issuable in one-third increments on the vesting dates set forth below, provided the respective performance objective is satisfied.

 

The Performance Objective established by the Committee with respect to the Threshold Performance Award, the Target Performance Award and Exceptional Performance Award is Adjusted Operating Income** for 2012

 

	
 
    	
 
    	
Performance
    	
 
    	
Performance
    	
 
    	
Number of
   Shares of
   Common
    	
 
    	
Vesting
    	
 
    
	
 
    	
 
    	
Objective
    	
 
    	
Cycle
    	
 
    	
Stock
    	
 
    	
*/2014
    	
 
    	
*/2015
    	
 
    	
*/2016
    	
 
    
	
a. Threshold
    Performance
    Award
    	
 
    	
of   Adjusted Operating Income**
    	
 
    	
Calendar   Year
   2012
    	
 
    	
 
    	
 
    	
33.33
    	
%
    	
33.33
    	
%
    	
33.34
    	
%
    
	
b.   Target
    Performance
    Award
    	
 
    	
of   Adjusted Operating Income**
    	
 
    	
Calendar   Year
   2012
    	
 
    	
(in   addition to (a) above)
    	
 
    	
33.33
    	
%
    	
33.33
    	
%
    	
33.34
    	
%
    
	
c.   Exceptional
    Performance
    Award
    	
 
    	
of   Adjusted Operating Income**
    	
 
    	
Calendar   Year
   2012
    	
 
    	
***
   (in addition to (a) and (b) above)
    	
 
    	
33.33
    	
%
    	
33.33
    	
%
    	
33.34
    	
%
    

 

*Vesting:                     One-third on March 1, 2014 (subject to the Compensation Committee’s determination of satisfaction of the referenced performance target prior to such date) and an additional one-third of the shares represented thereby on each of March 1, 2015 and 2016, subject to the same requirement.

 

** Adjusted Operating Income is defined herein as Operating Income on the Company’s 10-K, excluding (i) non-recurring restructuring charges related to plant closings and consolidations; and (ii) the impact of acquired or disposed of operations during such year.

 

***Between Adjusted Operating Income of                  and                  , the number of shares of Common Stock to which the Awardee shall be entitled under the Exceptional Performance Award (in addition to the shares issuable upon attainment of the Threshold and Target Performance Award) shall range from 0 to the amount stated under the column entitled “Exceptional” based on straight line interpolation in increments of one fifth the total number of shares otherwise issuable for achievement of the Exceptional Award  for each full                   of Adjusted Operating Income in excess of                   (not to exceed                   ).

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00199-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00199-of-00352.parquet"}]]