Document:

Amended & Restated 1999 Non-Employee Director Stock Plan

 Exhibit 10.4 
 SARA LEE CORPORATION 
 1999 NON-EMPLOYEE DIRECTOR STOCK PLAN 
 ARTICLE I - PURPOSE OF THE PLAN 
 The
purpose of the Sara Lee Corporation 1999 Non-Employee Director Stock Plan is to promote the long-term growth of Sara Lee Corporation by increasing the proprietary interest of Non-Employee Directors in Sara Lee Corporation and to attract and retain
highly qualified and capable Non-Employee Directors. Notwithstanding any provision of the Plan to the contrary, amounts deferred under the Plan after December 31, 2004 (including Awards of Restricted Stock Units) are subject to the provisions
of Section 409A of the Internal Revenue Code (the “Code”) and at all times the Plan as applied to those amounts shall be interpreted and administered so that it is consistent with such Code section. 
 ARTICLE II - DEFINITIONS 
 Unless the
context clearly indicates otherwise, the following terms shall have the following meanings: 
 2.1 “Annual Retainer” means the
annual cash retainer fee payable by the Corporation to a Non-Employee Director for services as a director of the Corporation, as such amount may be changed from time to time. 
 2.2 “Award” means an award granted to a Non-Employee Director under the Plan in the form of Restricted Stock Units or Shares. 
 2.3 “Board” means the Board of Directors of Sara Lee Corporation. 
 2.4 “Committee Retainer” means the annual retainer fee payable by the Corporation to a Non-Employee Director for services as a member and/or as
a chair of a Board committee, as such amounts may be changed from time to time. Fifty percent (50%) of the Committee Retainer shall be payable in the form of cash (the “Committee Cash Retainer”) which is subject to the election
provided in Article IX and fifty percent (50%) of the Committee Retainer shall be payable as Committee RSUs as provided in Section 8.1(c). 
 2.5 “Corporation” means Sara Lee Corporation. 
 2.6 “Deferral Account” means a
bookkeeping account in the name of a Non-Employee Director who elects to defer, pursuant to the Grandfathered Deferral Program or the Deferral Program, all or a portion of an Annual Retainer, Committee Cash Retainer or an Award. 
 2.7 “Deferred Compensation Rate” means, with respect to any date, the rate of interest payable as of such date on Interest Accounts under
subparagraph A-4(b) of the Grandfathered Deferral Program or subparagraph B-4(b) of the Deferral Program. 
 2.8 “Deferral Program”
means the terms and conditions (which are described in Supplement B hereto) pursuant to which Non-Employee Directors may after December 31, 2004 defer the payment of Annual Retainers, Committee Cash Retainers and vested Awards. 
 2.9 “Fair Market Value” means the closing selling price per Share on the New York Stock Exchange Composite Transactions Tape on the
determination date, provided that if there are no sales of Shares reported on such date, the Fair Market Value of a Share on such date shall be deemed equal to the 

 
closing selling price of a Share on such Composite Tape for the last preceding date on which sales of Shares were reported. 
 2.10 “Grandfathered Deferral Program” means the terms and conditions that apply to amounts deferred under the Plan prior to January 1,
2005 as described in Supplement A hereto. 
 2.11 “Non-Employee Director” means a director of the Corporation who is not an
employee of the Corporation or any subsidiary of the Corporation. 
 2.12 “Plan” means this Sara Lee Corporation 1999 Non-Employee
Director Stock Plan (As Amended through June 30, 2005), and as further amended and restated from time to time. 
 2.13 “Restricted
Stock Unit” means a restricted stock unit granted to a Non-Employee Director pursuant to Article VIII hereof. 
 2.14 “Restricted
Stock Unit Grant Notice” means a written notice provided to a Non-Employee Director evidencing a grant of Restricted Stock Units and setting forth the basic terms and conditions of the award. 
 2.15 “Stock Award Date” means the date on which Shares are awarded to a Non-Employee Director pursuant to Article IX hereof. 
 2.16 “Shares” means shares of the Common Stock, par value $.01 per share, of the Corporation. 
 2.17 “Settlement Date” means the date that is six (6) months after the Non-Employee Director ceases to be a director of the Corporation.

 ARTICLE III - ADMINISTRATION OF THE PLAN 
 3.1 Administrator of the Plan. The Plan shall be administered by the Compensation and Employee Benefits Committee of the Board (“Committee”). 
 3.2 Authority of Committee. The Committee shall have full power and authority to: (i) interpret and construe the Plan and adopt such rules
and regulations as it shall deem necessary and advisable to implement and administer the Plan and (ii) designate persons other than members of the Committee to carry out its responsibilities, subject to applicable law and such limitations,
restrictions and conditions as it may prescribe, such determinations to be made in accordance with the Committee’s best business judgment as to the best interests of the Corporation and its stockholders and in accordance with the purposes of
the Plan. The Committee may delegate administrative duties under the Plan to one or more agents, as it shall deem necessary or advisable. 
 3.3 Determinations of Committee. A majority of the Committee shall constitute a quorum at any meeting of the Committee, and all determinations of the Committee shall be made by a majority of its members. Any determination of the
Committee under the Plan may be made without notice or a meeting of the Committee by a written consent signed by all members of the Committee. 
 3.4 Effect of Committee Determinations. No member of the Committee or the Board shall be personally liable for any action or determination made in good faith with respect to the Plan or any Award or to any settlement of any dispute
between a Non-Employee Director and the Corporation. Any decision or action taken by the Committee or the Board with respect to an Award or the administration or interpretation of the Plan shall be conclusive and binding upon all persons.

  

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 ARTICLE IV - AWARDS UNDER THE PLAN 
 Awards in the form of Restricted Stock Units shall be granted to Non-Employee Directors in accordance with Article VIII. Awards in the form of Shares may
be granted to Non-Employee Directors in accordance with Article IX. Grants of Restricted Stock Units that are made under the Plan shall be evidenced by a Restricted Stock Unit Grant Notice. 
 ARTICLE V - ELIGIBILITY 
 Non-Employee Directors of the Corporation shall be
eligible to participate in the Plan in accordance with Articles VIII and IX. 
 ARTICLE VI - SHARES SUBJECT TO THE PLAN 
 Subject to adjustment as provided in Article XII, the aggregate number of Shares that may be issued under the Plan is seven hundred thousand
(700,000) Shares, plus one million one hundred fifty thousand (1,150,000) Shares that are subject to outstanding Awards under the Plan on June 27, 2002. To the extent that Shares subject to an outstanding Award are not issued by
reason of the expiration, termination, cancellation or forfeiture of such Award, or by reason of the tendering or withholding of Shares to satisfy all or a portion of the tax withholding obligations relating to an Award, then such Shares shall again
be available under the Plan. 
 ARTICLE VII - TRANSFERABILITY OF RESTRICTED STOCK UNITS 
 Restricted Stock Units granted under the Plan shall not be transferable or assignable other than by will or the laws of descent and distribution.

 ARTICLE VIII - RESTRICTED STOCK UNIT AWARDS 
 Each Non-Employee Director shall be granted Restricted Stock Units, subject to Article VI and to the following terms and conditions: 
 8.1 Grant of Restricted Stock Units. (a) On the first business day of each fiscal year of the Corporation (the “Annual Grant Date”), beginning with fiscal year 2003, each person who is a
Non-Employee Director on such Annual Grant Date shall be granted a whole number of Restricted Stock Units determined by dividing $75,000 by the Fair Market Value of a Share on the Annual Grant Date. 
 (b) A Non-Employee Director who is first elected or begins to serve as a Non-Employee Director between Annual Grant Dates shall be granted, on the date
that such person is first elected or begins to serve as a Non-Employee Director, a number of Restricted Stock Units determined by (i) dividing $75,000 by the Fair Market Value of a Share on the date of grant (ii) multiplying the quotient
by a fraction the numerator of which is the number of whole or partial months between the date of grant and the next Annual Grant Date and the denominator of which is 12 and (iii) rounding the result up the nearest whole number of Shares.

 (c) On the Annual Grant Date, in addition to the Restricted Stock Units granted under Section 8.1(a) above, each Non-Employee
Director who chairs or serves on a Board committee for which a Committee Retainer is payable shall be granted a whole number of Restricted Stock Units determined by dividing an amount equal to 50% of the Non-Employee Director’s Committee
Retainer by the Fair Market Value of a Share on the Annual Grant Date (such Restricted Stock Units, the “Committee RSUs”). 
 (d)
If the amount of a Non-Employee Director’s Committee Retainer increases between Annual Grant Dates, the Non-Employee Director shall be granted, on the date that such person’s Committee 

  

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Retainer increases, a number of Restricted Stock Units determined by (i) multiplying the amount by which the Committee Retainer increases by 50%,
(ii) dividing the product by the Fair Market Value of a Share on the date of grant, (iii) multiplying the quotient by a fraction the numerator of which is the number of whole or partial months between the date of grant and the next Annual
Grant Date and the denominator of which is 12 and (iv) rounding the result up the nearest whole number of Shares. 
 (e) If the amount
of a Non-Employee Director’s Committee Retainer decreases between Annual Grant Dates (other than pursuant to 8.2(f) below), the Non-Employee Director shall forfeit, on the date that such person’s Committee Retainer decreases, a number of
Restricted Stock Units determined by (i) multiplying the number of Committee RSUs that were granted to such Non-Employee Director on the immediately preceding Annual Grant Date by a fraction the numerator of which is the number of whole or
partial months between the date that such person’s Committee Retainer decreases and the next Annual Grant Date and the denominator of which is 12 and (ii) rounding the result up the nearest whole number of Shares. 
 (f) If any Non-Employee Director ceases to be a Director of the Corporation between Annual Grant Dates other than by reason of death or disability, such
Non-Employee Director shall forfeit a number of the Restricted Stock Units and Committee RSUs, if any, granted to the Non-Employee Director on or after the immediately preceding Annual Grant Date determined by multiplying the total number of
Restricted Stock Units and Committee RSUs granted to the Non-Employee Director under Sections 8.1(a), (b), (c) and/or (d) such immediately preceding Annual Grant Date or subsequent grant date by a ratio the number of which is the number of
months from the immediately preceding Annual Grant Date or subsequent grant date through the end of the month in which the Non-Employee Director ceases to be a Director and the denominator of which is twelve (12). 
 (g) In determining the number of Restricted Stock Units under this Section 8.1, all calculations shall be rounded up to the nearest whole number of
Shares. 
 8.2 Vesting. (a) Except as provided in Section 8.2(b), 8.3, 8.5 and 9.3 and Article 10, Restricted Stock Units
granted on or after July 1, 2005 shall vest in full on the date immediately preceding the one year anniversary of the Annual Grant Date as of which such Restricted Stock Units were awarded. 
 (b) Notwithstanding Section 8.2(a), if a Non-Employee Director ceases to be a director of the Corporation (i) due to death or disability, all
Restricted Stock Units held by such Non-Employee Director shall vest in full on the date on which such Non-Employee Director ceases to be a director of the Corporation, or (ii) for any other reason, then all Restricted Stock Units held by such
Non-Employee Director, after applying the forfeiture provisions of Section 8.1(f), shall vest in full on the date on which such Non-Employee Director ceases to be a director of the Corporation. 
 8.3 Payment of Restricted Stock Units. Restricted Stock Units granted on or after July 1, 2005 shall be paid on the Non-Employee
Director’s Settlement Date. With respect to Awards granted under the Plan prior to July 1, 2005, a Non-Employee Director can elect to defer payment of all or any portion of such Awards provided such elections are in writing, on such forms
as the Committee may prescribe, and in accordance with the terms and conditions of the Plan at the time of the deferral. The payment of any Awards deferred under the Plan prior to January 1, 2005 shall be governed by the provisions of
Supplement A. The payment of any Awards deferred under the Plan after January 1, 2005 shall be governed by the provisions of Supplement B. 
 8.4 Dividend Equivalents. Restricted Stock Units shall accrue dividend equivalents at the same rate and at the same times as cash dividends are paid on Shares. Such dividend equivalents shall be retained by the Corporation on behalf
of the Non-Employee Director and shall be paid in cash pursuant to Section 8.6 hereof, together with interest from the date of accrual to the date of payment at the Deferred 

  

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Compensation Rate; provided that no interest shall be paid on any dividend equivalents accrued on Restricted Stock Units awarded after January 1, 2005.

 8.5 Forfeiture. If a Non-Employee Director is determined, by a resolution duly adopted by the affirmative vote of not less than a
majority of the entire membership of the Board (excluding the Non-Employee Director whose conduct is in question), to have (i) acted in a manner detrimental to the Corporation’s best interests, or (ii) failed to act and such failure
to act was detrimental to the Corporation’s best interests, each Restricted Stock Unit held by such Non-Employee Director shall, as of the date of the adoption of such resolution, be forfeited and all rights of the Non-Employee Director to or
with respect to such Restricted Stock Unit shall terminate. No action or failure to act shall be deemed by the Board to be detrimental to the Corporation’s best interests unless such action was taken in bad faith or without reasonable belief
that such action was in the best interests of the Company. 
 8.6 Settlement. Subject to Section 8.3 and Supplements A and B with
respect to deferred Awards, as soon as practical after a Non-Employee Director’s Settlement Date the Corporation shall (i) issue to such Non-Employee Director one Share for each Restricted Stock Unit awarded to the Non-Employee Director
and (ii) pay to such Non-Employee Director a cash amount equal to the amount of all dividend equivalents accrued with respect to such Restricted Stock Unit, together with interest, if any, accrued thereon pursuant to Section 8.4 hereof.
Upon the satisfaction of the Corporation’s obligations under the first sentence of this Section 8.6, such Restricted Stock Unit shall be cancelled, such cancellation to be effective as of the Settlement Date. 
 8.7 No Stockholder Rights. Restricted Stock Units shall not confer upon the holder thereof any rights as a stockholder of the Company. 

ARTICLE IX - ELECTION TO RECEIVE SHARES OR RESTRICTED STOCK UNITS 
 Each Non-Employee Director may elect to receive Shares or Restricted Stock Units in lieu of all or a portion of such Non-Employee Director’s Annual Retainer or Committee Cash Retainer, subject to Article VI and
the following terms and conditions: 
 9.1 Grant of Shares. On the Annual Grant Date, Shares shall be granted to each Non-Employee
Director who, prior to the Annual Grant Date, files with the Committee or its designee a written election to receive Shares in lieu of all or a portion of such Non-Employee Director’s Annual Retainer or Committee Cash Retainer for the one-year
period beginning on the Annual Grant Date next following the date of the written election. An election pursuant to the first sentence of this Section 9.1 shall be irrevocable on and after the Annual Grant Date. In addition, Shares shall be
granted to any Non-Employee Director who, within such period as the Committee may prescribe after the date on which such Non-Employee Director is first elected or begins to serve as a Non-Employee Director, files with the Committee or its designee a
written election to receive Shares in lieu of all or a portion of the Annual Retainer, if any, that such Non-Employee Director is entitled to receive upon election as a Non-Employee Director as well as all or any portion of the Committee Cash
Retainer to be paid during the year. Shares shall be granted to the Non-Employee Director after the date the Committee or its designee receives notice of such an election. An election pursuant to the third sentence of this Section 9.1 shall be
irrevocable. 
 9.2 Number of Shares. The number of Shares granted pursuant to this Article shall be the number of Shares equal to
(i) the portion of the Annual Retainer or Committee Cash Retainer which the Non-Employee Director has elected pursuant to Section 9.1 to be payable in Shares, divided by (ii) the Fair Market Value per Share on the Stock Award Date
(iii) with the product rounded up to the nearest whole number of Shares. As soon as practical following an award of Shares to a Non-Employee Director, the stock certificate representing such Shares shall be issued and delivered to the
Non-Employee 

  

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Director, whereupon the Non-Employee Director shall become a stockholder of the Corporation with respect to such Shares and shall be entitled to vote the
Shares. 
 9.3 Deferral of Annual Retainer or Committee Cash Retainer. A Non-Employee Director may elect to defer payment of all or
any portion of such Non-Employee Director’s Annual Retainer or Committee Cash Retainer provided that no election shall be allowed for the Annual Retainer or Committee Cash Retainer with respect to the Corporation’s fiscal year beginning on
July 3, 2005. All deferrals must be in writing, on such forms as the Committee may prescribe, and must be made in accordance with the terms and conditions of the Plan including the terms and conditions of Supplements A and B as applicable.

 9.4 Conversion of Annual Retainer or Committee Cash Retainer to Restricted Stock Units. A Non-Employee Director may elect to
convert all or any portion of an Annual Retainer or Committee Cash Retainer into Restricted Stock Units equal in number to (i) the portion of the Annual Retainer or Committee Cash Retainer which the Non-Employee Director has elected to convert
pursuant to this Section 9.4 divided by (ii) the Fair Market Value per Share on the Stock Award Date (iii) with the product rounded up to the nearest whole number of Shares. A Non-Employee Director’s election to convert all or
any portion of an Annual Retainer or Committee Cash Retainer into Restricted Stock Units shall be in writing, on such forms and at such times as the Committee may prescribe provided that any election must be made not later than the December 31
of the calendar year preceding the calendar year in which the Annual Retainer or Committee Cash Retainer would otherwise be paid. Restricted Stock Units resulting from the conversion of an Annual Retainer or Committee Cash Retainer shall be subject
to the adjustments applicable to Restricted Stock Units awarded under Section 8.1(a) above, shall not be subject to the vesting requirements of Section 8.2. and shall be distributed on the Non-Employee Director’s Settlement Date as
provided in Section 8.3. 
 ARTICLE X - CHANGE OF CONTROL 
 10.1 Effect of Change of Control. Upon the occurrence of a “Change of Control” event, as defined below, any and all outstanding
Restricted Stock Units shall become immediately vested and payable (including all awards subject to Section 8.3 above that vested on or after January 1, 2005 and all Restricted Stock Units subject to Section 9.4 above that were
converted from an Annual Retainer or Committee Cash Retainer) and any and all stock certificates representing Shares awarded to a Non-Employee Director pursuant to Section 9.1 promptly shall be transferred to such Non-Employee Director.

 10.2 Definition of Change of Control. A “Change of Control” shall occur: 
 (a) upon the acquisition by an individual, entity or group, including any “person” within the meaning of Section 13(d)(3) or 14(d)(2) of
the Securities and Exchange Act of 1934 (the “Exchange Act”) (a “Person”), during any 12-month period of beneficial ownership (as defined in Rule 13d-3 promulgated under the Exchange Act), directly or indirectly, of 35% 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 (such capital stock, “Voting Stock”); provided,
however, that the following acquisitions shall not constitute a Change of Control: (i) 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), (ii) any acquisition by the Corporation, (iii) any acquisition by an employee
benefit plan (or related trust) sponsored or maintained by the Corporation or any corporation controlled by the Corporation, or (iv) 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 (i), (ii) and (iii) of subsection (b) of this Section 10.2 shall be satisfied; and provided 

  

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further that, for purposes of clause (ii) of this subsection (a), if 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 50% or more of the Voting Stock by reason of an acquisition by the Corporation and such Person was the
beneficial owner of less than 35% of the Voting Stock prior to such acquisition such additional beneficial ownership shall constitute a Change of Control; or 
 (b) upon the consummation of a reorganization, merger or consolidation of the Corporation, or a sale or other disposition of all or substantially all of the Corporation’s property and assets (meaning property and
assets of the Corporation having a total gross fair market value equal to or greater than 40 percent of the total gross fair market value of all of the property and assets of the Corporation); excluding, however, (A) any such reorganization,
merger, consolidation, sale or other disposition with respect to which, immediately after consummation of such transaction, (i) 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
(ii) 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 35% or more of the combined voting
power of the Corporation’s then outstanding securities) beneficially owns, directly or indirectly, 35% or more of the combined voting power of the then outstanding securities of the Resulting Entity, and (iii) at least a majority of the
members of the board of directors of the entity resulting from such transaction were Continuing 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 and (B) any transfer of all or substantially all of the Corporation’s property and assets to any person, group or entity that is considered to be controlled by the stockholders of the Corporation
immediately after the transfer for purposes of Section 409A(a)(2)(A)(v) of the Internal Revenue Code of 1986, as amended (the “Code”), or 
 (c) upon the consummation of a plan of complete liquidation or dissolution of the Corporation; or 
 (d) when
those individuals who, immediately after the 2002 annual meeting of stockholders of the Corporation, constitute the Board (the “Continuing Directors”) cease for any reason to constitute at least a majority of such Board; provided, however,
that any individual who becomes a director of the Corporation subsequent to the 2002 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 Continuing Directors then comprising the Board (or by the nominating committee of the Board, if such committee is comprised of Continuing Directors and has such authority) shall be deemed to have been a Continuing Director;
and provided further, that no individual shall be deemed to be a Continuing Director if such individual initially was elected as a director of the Corporation as a result of (A) 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 (B) any other actual or threatened solicitation of proxies or consents by or on behalf of any Person (other than the
Board). 
 For purposes of this Section 10.2, persons will not be considered to be acting as a group solely because they purchase or own stock of the
same corporation at the same time or as a result of the same public offering. However, persons will be considered to be acting as a group if they are owners of a corporation that enters into a merger, consolidation, purchase or acquisition of stock,
or similarly business transaction with the 

  

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Corporation. If a person, including an entity, owns stock in both corporations that enter into a merger, consolidation, purchase or acquisition of stock or
similar transaction, such stockholder is considered to be acting as a group with other stockholders in a corporation only with respect to the ownership in that corporation prior to the transaction giving rise to the change and not with respect to
the ownership interest in the other corporation. Further, stock ownership shall be determined in accordance with Section 318(a) of the Code and the regulations thereunder. 
 ARTICLE XI - AMENDMENT AND TERMINATION 
 The Board may amend the Plan from time
to time or terminate the Plan at any time and may unilaterally modify the terms and conditions of an outstanding Award or an election under the Grandfathered Deferral Program or the Deferral Program as necessary, including revoking an election
entirely, to reflect changes in applicable law. 
 ARTICLE XII - ADJUSTMENT PROVISIONS 
 In the event of any change in the capital structure of the Corporation (including but not limited to a stock split, reverse stock split, stock dividend,
recapitalization, reorganization, merger, consolidation, combination or exchange of securities, , spin-off, split-off, liquidation or other distribution of any or all of the assets of the Corporation to stockholders, other than normal cash
dividends) or any change in any rights attendant to any class of authorized securities of the Corporation (an “Adjustment Event”) , the Committee shall make proportionate adjustments with respect to the number and class of securities
available under the Plan, the number and class of securities subject to each outstanding Restricted Stock Unit and Committee RSU Award, and the number and class of securities representing a Share equivalent in the Share Equivalent Account under the
Deferral Program to reflect such Adjustment Event and to maintain each outstanding Award’s or Share Equivalent Account interest’s intrinsic and fair value; provided, that the Committee shall retain discretion with respect to how any such
proportionate adjustment shall be made. The decision of the Committee regarding any such adjustment shall be final, binding and conclusive. 
 ARTICLE XIII - FOREIGN DIRECTORS 
 Without amending the Plan, Awards granted to Non-Employee Directors who are foreign
nationals may have such terms and conditions different from those specified in the Plan as may, in the judgment of the Committee, be necessary or desirable to foster and promote achievement of the purposes of the Plan and, in furtherance of such
purposes, the Committee may make such modifications, amendments, procedures, subplans and the like as may be necessary or advisable to comply with provisions of laws in other countries or jurisdictions in which the Corporation or its subsidiaries
operate or have Non-Employee Directors. 
 ARTICLE XIV - EFFECTIVE DATE AND TERM OF PLAN 
 The Plan shall be submitted to the stockholders of the Corporation for approval and, if approved by a majority of all the votes cast at the 2002 annual
meeting of stockholders, shall become effective as of June 27, 2002, the date of approval by the Board (the “Effective Date”). If stockholder approval is not obtained at the 2002 annual meeting of stockholders, the Plan, in the form
approved by stockholders at the 1999 annual meeting of stockholders, shall continue in full force and effect and all grants of Restricted Stock Units and Shares hereunder shall be null and void. The Plan shall terminate on June 30, 2012, unless
terminated earlier by the Board. 
 As amended and restated by the Board on June 30, 2005 and amended on January 25, 2007.

  

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 SUPPLEMENT A 
 GRANDFATHERED DEFERRAL PROGRAM 
 A-1 Purpose. The purpose of this Supplement A to the
Sara Lee Corporation 1999 Non-Employee Director Stock Plan is to provide Non-Employee Directors with the opportunity to defer the payment of their Annual Retainer, Committee Cash Retainer and/or Awards under the Plan. The terms of this Supplement A
replace the Non-Qualified Deferred Compensation Plan for Outside Directors of Sara Lee Corporation which was approved by the Board on August 27, 1992 and subsequently amended (the “Former Plan”) and apply to Annual Retainers and
vested Awards that were deferred prior to January 1, 2005. The deferral program under this Supplement A (the “Grandfathered Deferral Program”) shall be administered on the basis of the calendar year (the “Program Year”).

 A-2 Rules for Deferral Elections. All Non-Employee Directors who made deferrals hereunder prior to January 1, 2005 and any
individual who was a participant in the Former Plan as of June 27, 2002 shall be considered a participant in the Grandfathered Deferral Program. Prior to January 1, 2005 any Eligible Director could make irrevocable elections to defer
receipt of all or any portion not less than 25 percent of his Annual Retainer and/or Committee Cash Retainer or all or any portion not less than 25 percent of any Award (each such election is referred to herein as a “Deferral Election” and
the amount deferred pursuant to such an election the “Deferral”) for a Program Year in accordance with the rules set forth below. 
  

	 	(a)	A Non-Employee Director shall be eligible to make a Deferral Election only if he is an active member of the Board, or has been elected to the Board the date such election is made.

  

	 	(b)	For a Program Year, a Non-Employee Director may make no more than one Deferral Election for each Award and such number of Deferral Elections with respect to the Non-Employee
Director’s Annual Retainer and/or Committee Cash Retainer as the Committee may prescribe. 

  

	 	(c)	All Deferral Elections must be made in writing on such forms as the Committee may prescribe and must be received by the Committee no later than the date specified by the Committee.
In no event will the date specified by the Committee with respect to an Award be later than the end of the Program Year preceding the Program Year in which the Award vests. Any Deferral Election with respect to a Non-Employee Director’s Annual
Retainer or Committee Cash Retainer shall only apply to that portion of the Non-Employee Director’s Annual Retainer or Committee Cash Retainer remaining to be paid for services to be rendered after the date the Deferral Election is made.

  

	 	(d)	As part of each Deferral Election, the Non-Employee Director must specify the date on which the Deferral will be paid (a “Distribution Date”). The Distribution Dates
specified in an Non-Employee Director’s Deferral Elections may, but need not necessarily, be the same for all Deferrals. Except as provided in subsection (f) below, each Distribution Date is irrevocable and shall apply only to that portion
of the Non-Employee Director’s Deferral Account which is attributable to the Deferral. 

  

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	 	(e)	The Distribution Date selected by a Non-Employee Director shall not be earlier than the January 1 immediately following the first anniversary of the date on which the Deferral
Election is made. 

  

	 	(f)	A Non-Employee Director may make an irrevocable election to extend a Distribution Date (a “Re-Deferral Election”); provided, that no Re-Deferral Election shall be
effective unless (i) the Committee receives the election prior to the December 1 of the Program Year preceding the Program Year in which the Distribution Date to be changed occurs, and (ii) the new Distribution Date is not earlier
than the January 1 immediately following the first anniversary of the date the Re-Deferral Election is made. All Re-Deferral Elections must be made in writing on such forms and pursuant to such rules as the Committee may prescribe.

  

	 	(g)	As part of each Deferral Election, a Non-Employee Director must elect the form in which the Deferral will be paid beginning on the selected Distribution Date. The Deferral may be
paid in a single lump sum or in substantially equal annual installments over a period not exceeding ten years as provided under paragraph A-6. Except as provided in paragraph A-6, a Non-Employee Director’s election as to the form of payment
shall be irrevocable. If the Non-Employee Director elects an installment method of payment the Distribution Date must be January 1. 

  

	 	(h)	As part of each Deferral Election, a Non-Employee Director must elect the investment alternatives that shall apply to the Deferral in accordance with paragraphs A-4 and A-5.

  

	 	(i)	A Deferral Election shall be irrevocable; provided, that if the Committee determines that a Non-Employee Director has an Unforeseeable Financial Emergency (as defined in paragraph
A-10), then the Non-Employee Director’s Deferral Elections then in effect shall be revoked with respect to all amounts not previously deferred. 

 A-3 Deferral Accounts. All amounts deferred pursuant to a Non-Employee Director’s Deferral Elections under the Grandfathered Deferral Program shall be allocated to a bookkeeping account in the name of the
Non-Employee Director (a “Deferral Account”) and the Committee shall maintain a separate subaccount under a Non-Employee Director’s Deferral Account for each Deferral. Deferrals shall be credited to the Deferral Account as of the
Deferral Crediting Date coinciding with or next following the date on which, in the absence of a Deferral Election, the Non-Employee Director would otherwise have received the Deferral. A “Deferral Crediting Date” shall mean the business
day coinciding with or next following the 15th day of each calendar month and the business day coinciding with or next following the last day of each calendar month. A Non-Employee Director shall be fully vested at all times in the balance of his
Deferral Account. 
  

 A-2 

 A-4 Investment Alternatives. A Non-Employee Director must make an investment election at the time
of each Deferral Election. The investment election must be made in writing on such forms and pursuant to such rules as the Committee may prescribe, subject to paragraph A-5, and shall designate the portion of the Deferral which is to be treated as
invested in each investment alternative. The two investment alternatives shall be as follows: 
  

	 	(a)	Share Equivalent Account. Under the Share Equivalent Account, the value of the Non-Employee Director’s Deferral shall be determined as if the Deferral were invested in
Shares as of the Deferral Crediting Date. If payment of Shares or Restricted Stock Units is deferred, the number of Share equivalents to be credited to the Non-Employee Director’s Deferral Account and appropriate subaccounts on each Deferral
Crediting Date shall equal the number of Shares or Restricted Stock Units deferred. If payment of cash is deferred, the number of Share equivalents to be credited to the Non-Employee Director’s Deferral Account and appropriate subaccounts on
each Deferral Crediting Date shall be determined by dividing the Deferral to be “invested” on that date by the Fair Market Value of a Share on that date. Fractional Share equivalents will be computed to two decimal places. An amount equal
to the number of Share equivalents multiplied by the dividend paid on a Share on each dividend payment date shall be credited to the Non-Employee Director’s Deferral Account and appropriate subaccount as of the Deferral Crediting Date
coincident with or next following the dividend payment date and “invested” in additional Share equivalents as though such dividend credits were a Deferral. The number of Shares to be paid to a Non-Employee Director on a Distribution Date
shall be equal to the number of Share equivalents accumulated in the Share Equivalent Account on the Distribution Date divided by the total of the payments to be made. All payments from the Share Equivalent Account shall be made in whole Shares with
fractional Shares distributed in cash. 

  

	 	(b)	Interest Account. Under the Interest Account, interest will be credited to the Non-Employee Director’s Deferral Account as of the business day coinciding with or next
following each June 30 and December 31 (a “Valuation Date”) and on the date the final payment of a Deferral is to be made based on the balance in the Non-Employee Director’s Deferral Account deemed invested in the Interest
Account on the Valuation Date or such final payment date. The rate of interest to be credited for a Plan Year will be set at the beginning of each Program Year and will equal the cost to the Corporation of issuing five-year maturity debt or, in the
event such cost is determined not to satisfy the independence criteria under Section 409A of the Code and the guidance issued thereunder, such other independently established interest rate that the Corporation elects to use that satisfies such
independence criteria. If installment payments are elected, the amount to be paid to the Non-Employee Director on a Distribution Date shall be determined as follows: the amount of the principal payment of each installment shall be determined by
dividing the current principal balance by the number of remaining installment payments and the amount of the interest payment shall be determined by dividing the current interest balance by the number of remaining installment payments. All payments
from the Interest Account shall be made in cash. 

  

 A-3 

 A-5 Investment Elections and Changes. A Non-Employee Director’s investment elections shall be
subject to the following rules: 
  

	 	(a)	With respect to Annual Retainer or Committee Retainer payments that would have been paid in the form of cash, if the Non-Employee Director fails to make an investment election with
respect to a Deferral, the Deferral shall be deemed to be invested in the Interest Account. 

  

	 	(b)	Any Deferral attributable to an Award or an Annual Retainer payable in the form of Shares, restricted or otherwise, shall automatically be deemed to be invested in the Share
Equivalent Account. 

  

	 	(c)	All investments in the Share Equivalent Account shall be irrevocable. 

  

	 	(d)	A Non-Employee Director may elect to transfer amounts invested in the Interest Account to the Share Equivalent Account as of any Valuation Date by filing an investment change
election with the Committee prior to the Valuation Date the change is to become effective. The amount elected to be transferred to the Share Equivalent Account shall be treated as invested in Share equivalents as of the Valuation Date and the number
of Share equivalents to be credited to the Non-Employee Director’s Deferral Account and appropriate subaccounts as of the Valuation Date shall be determined by dividing the amount to be transferred by the Fair Market Value on such Valuation
Date. 

  

	 	(e)	Until invested as of the Deferral Crediting Date in either the Interest Account or Share Equivalent Account, a Non-Employee Director’s Deferral shall be credited with interest
in such amount as the Committee may determine. 

 A-6 Time and Method of Payment. Payment of a Non-Employee
Director’s Deferral shall be made in a single lump sum or shall commence in installments as elected by the Non-Employee Director in the Deferral Election. A Non-Employee Director may make a one-time election after the original Deferral Election
to change the method of payment elected by the Non-Employee Director; provided, that such election shall not be effective unless the election to change the method of payment is received by the Committee prior to the December 1 of the Program
Year preceding the Program Year in which the Distribution Date specified in the original Deferral Election occurs. If a Non-Employee Director’s Deferral Account is payable in a single lump sum, the payment shall be made as soon as practicable
following the Distribution Date but not later than 30 days following the Distribution Date. If a Non-Employee Director’s Deferral Account is payable in installment payments, then the Non-Employee Director’s Deferral Account shall be paid
in substantially equal annual installments over the period as elected by the Non-Employee Director in the Deferral Election commencing as soon as practicable following the Distribution Date but not later than 30 days following the Distribution Date.

 A-7 Payment Upon Death of a Non-Employee Director. In the event a Non-Employee Director dies before all amounts credited to his
Deferral Account have been paid, payment of the Non-Employee Director’s Deferral Account shall be made or shall commence in the form of payment elected by the Non-Employee Director’s Beneficiary (as defined in paragraph A-8) or the
Executor/Executrix of the Non-Employee Director’s estate; provided, that the request is made in writing within 180 days of the Non-Employee Director’s death. If such a request is not made, the deceased Non-Employee Director’s
Deferrals will be paid pursuant to the Deferral Elections and the normal provisions of this Supplement A. 
 A-8 Beneficiary. A
Non-Employee Director’s Beneficiary shall mean the individual(s) or entity designated by the Non-Employee Director to receive the balance of the Non-Employee 

  

 A-4 

 
Director’s Deferral Account in the event of the Non-Employee Director’s death prior to the payment of his entire Deferral Account. To be effective,
any Beneficiary designation shall be filed in writing with the Committee. A Non-Employee Director may revoke an existing Beneficiary designation by filing another written Beneficiary designation with the Committee. The latest Beneficiary designation
received by the Committee shall be controlling. If no Beneficiary is named by a Non-Employee Director or if he survives all of his named Beneficiaries, the Deferral Account shall be paid in the following order of precedence: 
  

	 	(1)	the Non-Employee Director’s spouse; 

  

	 	(2)	the Non-Employee Director’s children (including adopted children), per stirpes; or 

  

	 	(3)	the Non-Employee Director’s estate. 

 A-9 Form of
Payment. The payment of that portion of a Deferral Account deemed to be invested in the Interest Account shall be made in cash. The distribution of that portion of a Deferral Account deemed to be invested in the Share Equivalent Account shall be
distributed in whole Shares with fractional shares distributed in cash. 
 A-10 Unforeseeable Financial Emergency. If the Committee or
its designee determines that a Non-Employee Director has incurred an Unforeseeable Financial Emergency (as defined below), the Non-Employee Director may withdraw in cash and/or Shares the portion of the balance of his Deferral Account needed to
satisfy the Unforeseeable Financial Emergency, to the extent that the Unforeseeable Financial Emergency may not be relieved through reimbursement or compensation by insurance or otherwise or by liquidation of the Non-Employee Director’s assets,
to the extent the liquidation of such assets would not itself cause severe financial hardship. An “Unforeseeable Financial Emergency” is a severe financial hardship to the Non-Employee Director resulting from (i) a sudden and
unexpected illness or accident of the Non-Employee Director or of a dependent of the Non-Employee Director; (ii) loss of the Non-Employee Director’s property due to casualty; or (iii) such other similar extraordinary and unforeseeable
circumstances arising as a result of events beyond the control of the Non-Employee Director as determined by the Committee. A withdrawal on account of an Unforeseeable Financial Emergency shall be paid as soon as possible following the date on which
the withdrawal is approved. 
 A-11 Funding. Benefits payable under the Grandfathered Deferral Program to any Non-Employee Director
shall be paid directly by the Corporation. The Corporation shall not be required to fund, or otherwise segregate assets to be used for payment of benefits under the Grandfathered Deferral Program. Notwithstanding the foregoing, the Corporation, in
the discretion of the Committee, may maintain one or more grantor trusts (“Trust”) to hold assets to be used for payment of benefits under the Grandfathered Deferral Program. The assets of the Trust shall remain the assets of the
Corporation subject to the claims of its general creditors. Any payments by a Trust of benefits provided to a Non-Employee Director under the Grandfathered Deferral Program shall be considered payment by the Corporation and shall discharge the
Corporation of any further liability under the Grandfathered Deferral Program for such payments. 
 A-12 Interests Not Transferable.
No benefit payable at any time under the Grandfathered Deferral Program shall be subject in any manner to alienation, sale, transfer, assignment, pledge, attachment, or other legal process, or encumbrance of any kind. Any attempt to alienate, sell,
transfer, assign, pledge or otherwise encumber any such benefits, whether currently or thereafter payable, shall be void. No person shall, in any manner, be liable for or subject to the debts or liabilities of any person entitled to such benefits.
If any person shall attempt to, or shall alienate, sell, transfer, assign, pledge or otherwise encumber his benefits under the Grandfathered Deferral Program, or if by any reason of his 

  

 A-5 

 
bankruptcy or other event happening at any time, such benefits would devolve upon any other person or would not be enjoyed by the person entitled thereto
under the Grandfathered Deferral Program, then the Committee, in its discretion, may terminate the interest in any such benefits of the person entitled thereto under the Grandfathered Deferral Program and hold or apply them for or to the benefit of
such person entitled thereto under the Grandfathered Deferral Program or his spouse, children or other dependents, or any of them, in such manner as the Committee may deem proper. 
 A-13 Forfeitures and Unclaimed Amounts. Unclaimed amounts shall consist of the amounts of the Deferral Account of a Non-Employee Director that are
not distributed because of the Committee’s inability, after a reasonable search, to locate a Non-Employee Director or his Beneficiary, as applicable, within a period of two (2) years after the Distribution Date upon which the payment of
any benefits becomes due. Unclaimed amounts shall be forfeited at the end of such two-year period. These forfeitures will reduce the obligations of the Corporation under the Grandfathered Deferral Program and the Non-Employee Director or
Beneficiary, as applicable, shall have no further right to his Deferral Account. 
  

 A-6 

 SUPPLEMENT B 
 DEFERRAL PROGRAM 
 B-1 Purpose. The purpose of this Supplement B to the Sara Lee
Corporation 1999 Non-Employee Director Stock Plan is to provide Non-Employee Directors with the opportunity to defer the payment of (i) Awards granted prior to July 1, 2005 that vest on or after January 1, 2005 and (ii) Annual
Retainers and/or Committee Cash Retainer payable on and after January 1, 2006 in compliance with the provisions of Section 409A of the Internal Revenue Code. The deferral program under this Supplement B (the “Deferral Program”)
shall be administered on the basis of the calendar year (the “Program Year”). 
 B-2 Rules for Deferral and Re-Deferral
Elections. All Non-Employee Directors shall be eligible to participate in the Deferral Program. Any Eligible Director may make irrevocable elections to defer receipt of all or any portion not less than 25 percent of his Annual Retainer and/or
Committee Cash Retainer (each such election shall be referred to as a “Deferral Election”) and all or any portion not less than 25 percent of any Award granted under the Plan prior to July 1, 2005 that has not vested (an “Award
Deferral Election”)(any amounts deferred pursuant to such elections is referred to as a “Deferral”) for a Program Year in accordance with the rules set forth below. 
  

	 	(a)	A Non-Employee Director shall be eligible to make a Deferral or Award Deferral Election only if he is an active member of the Board, or has been elected to the Board the date such
election is made. 

  

	 	(b)	For a Program Year, a Non-Employee Director may make no more than one Deferral Election with respect to the Non-Employee Director’s Annual Retainer and/or Committee Cash
Retainer. 

  

	 	(c)	All Deferral and Award Deferral Elections must be made in writing on such forms as the Committee may prescribe and must be received by the Committee no later than the date specified
by the Committee. In no event will the date specified by the Committee with respect to a Deferral Election be later than the end of the Program Year preceding the Program Year in which the Annual Retainer or Committee Cash Retainer would otherwise
be paid. And in no event will the date specified by the Committee with respect to an Award Deferral be later than the December 1 preceding the Program Year in which the Award vests. In the case of the first year in which the Non-Employee
Directors becomes eligible to participate, such election may be made with respect to services to be performed subsequent to the election within 30 days after the date the Non-Employee Director becomes eligible to participate.

  

	 	(d)	As part of each Deferral and Award Deferral Election, the Non-Employee Director must specify the date on which the Deferral will be paid or commence (a “Distribution
Date”). The Distribution Dates specified in an Non-Employee Director’s Deferral Elections may, but need not necessarily, be the same for all Deferrals. Except as provided in subsection (f) below, each Distribution Date is irrevocable
and shall apply only to that portion of the Non-Employee Director’s Deferral Account which is attributable to the Deferral. 

  

 B-1 

	 	(e)	The Distribution Date selected by a Non-Employee Director as part of a Deferral Election shall not be earlier than the January 1 immediately following the first anniversary of
the date on which the Deferral Election is made. The Distribution Date selected by a Non-Employee Director as part of an Award Deferral Election shall not be earlier than the fifth anniversary of the date the Award would otherwise have vested.

  

	 	(f)	A Non-Employee Director may make an irrevocable election to extend a Distribution Date (a “Re-Deferral Election”); provided, that no Re-Deferral Election shall be
effective unless (i) the Committee receives the election not later than 12 months prior to the Distribution Date to be changed, and (ii) the new Distribution Date is not earlier than the fifth anniversary of the prior Distribution Date.
All Re-Deferral Elections must be made in writing on such forms and pursuant to such rules as the Committee may prescribe. 

  

	 	(g)	As part of each Deferral and Award Deferral Election, a Non-Employee Director must elect the form in which the Deferral will be paid beginning on the selected Distribution Date. The
Deferral may be paid in a single lump sum or in substantially equal annual installments over a period not exceeding ten years as provided under paragraph B-6. Except as provided in paragraph B-6, a Non-Employee Director’s election as to the
form of payment shall be irrevocable. If the Non-Employee Director elects an installment method of payment the Distribution Date must be in January. If a Non-Employee Director fails to elect a method of payment, such payment shall be payable in a
single lump sum. 

  

	 	(h)	As part of each Deferral and Award Deferral Election, a Non-Employee Director must elect the investment alternatives that shall apply to the Deferral in accordance with paragraphs
B-4 and B-5. 

  

	 	(i)	Deferral and Award Deferral Elections shall be irrevocable; provided, that if the Committee determines that a Non-Employee Director has an Unforeseeable Financial Emergency (as
defined in paragraph B-10), then the Non-Employee Director’s Deferral Elections then in effect shall be revoked with respect to all amounts not previously deferred. 

 B-3 Deferral Accounts. All amounts deferred pursuant to a Non-Employee Director’s Deferral and Award Deferral Elections under the Deferral
Program shall be allocated to a bookkeeping account in the name of the Non-Employee Director (a “Deferral Account”) and the Committee shall maintain a separate subaccount under a Non-Employee Director’s Deferral Account for each
Deferral. Deferrals shall be credited to the Deferral Account as of the Deferral Crediting Date coinciding with or next following the date on which, in the absence of a Deferral Election, the Non-Employee Director would otherwise have received the
Deferral. A “Deferral Crediting Date” shall mean the business day coinciding with or next following the 15th day of each calendar month and the business day coinciding with or next following the last day of each calendar month. A
Non-Employee Director shall be fully vested at all times in the balance of his Deferral Account. 
 B-4 Investment Alternatives. A
Non-Employee Director must make an investment election at the time of each Deferral and Award Deferral Election. The investment election must be made in writing on such forms and pursuant to such rules as the Committee may prescribe, subject to
paragraph 

  

 B-2 

 
B-5, and shall designate the portion of the Deferral which is to be treated as invested in each investment alternative. The two investment alternatives shall
be as follows: 
  

	 	(a)	Share Equivalent Account. Under the Share Equivalent Account, the value of the Non-Employee Director’s Deferral shall be determined as if the Deferral were invested in
Shares as of the Deferral Crediting Date. If payment of Shares or Restricted Stock Units is deferred, the number of Share equivalents to be credited to the Non-Employee Director’s Deferral Account and appropriate subaccounts on each Deferral
Crediting Date shall equal the number of Shares or Restricted Stock Units deferred. If payment of cash is deferred, the number of Share equivalents to be credited to the Non-Employee Director’s Deferral Account and appropriate subaccounts on
each Deferral Crediting Date shall be determined by dividing the Deferral to be “invested” on that date by the Fair Market Value of a Share on that date. Fractional Share equivalents will be computed to two decimal places. An amount equal
to the number of Share equivalents multiplied by the dividend paid on a Share on each dividend payment date shall be credited to the Non-Employee Director’s Deferral Account and appropriate subaccount as of the Deferral Crediting Date
coincident with or next following the dividend payment date and “invested” in additional Share equivalents as though such dividend credits were a Deferral. The number of Shares to be paid to a Non-Employee Director on a Distribution Date
shall be equal to the number of Share equivalents accumulated in the Share Equivalent Account on the Distribution Date divided by the total of the payments to be made. All payments from the Share Equivalent Account shall be made in whole Shares with
fractional Shares distributed in cash. 

  

	 	(b)	Interest Account. Under the Interest Account, interest will be credited to the Non-Employee Director’s Deferral Account as of the business day coinciding with or next
following each June 30 and December 31 (a “Valuation Date”) and on the date the final payment of a Deferral is to be made based on the balance in the Non-Employee Director’s Deferral Account deemed invested in the Interest
Account on the Valuation Date or such final payment date. The rate of interest to be credited for a Plan Year will be set at the beginning of each Program Year and will equal the cost to the Corporation of issuing five-year maturity debt or, in the
event such cost is determined not to satisfy the independence criteria under Section 409A of the Code and the guidance issued thereunder, such other independently established interest rate that the Corporation elects to use that satisfies such
independence criteria. If installment payments are elected, the amount to be paid to the Non-Employee Director on a Distribution Date shall be determined as follows: the amount of the principal payment of each installment shall be determined by
dividing the current principal balance by the number of remaining installment payments and the amount of the interest payment shall be determined by dividing the current interest balance by the number of remaining installment payments. All payments
from the Interest Account shall be made in cash. 

  

 B-3 

 B-5 Investment Elections and Changes. A Non-Employee Director’s investment elections shall be
subject to the following rules: 
  

	 	(a)	With respect to Annual Retainer or Committee Retainer payments that would have been paid in the form of cash, if the Non-Employee Director fails to make an investment election with
respect to a Deferral, the Deferral shall be deemed to be invested in the Interest Account. 

  

	 	(b)	Any Deferral attributable to an Award Deferral, restricted or otherwise, shall automatically be deemed to be invested in the Share Equivalent Account. 

  

	 	(c)	All investments in the Share Equivalent Account shall be irrevocable. 

  

	 	(d)	A Non-Employee Director may elect to transfer amounts invested in the Interest Account to the Share Equivalent Account as of any Valuation Date by filing an investment change
election with the Committee prior to the Valuation Date the change is to become effective. The amount elected to be transferred to the Share Equivalent Account shall be treated as invested in Share equivalents as of the Valuation Date and the number
of Share equivalents to be credited to the Non-Employee Director’s Deferral Account and appropriate subaccounts as of the Valuation Date shall be determined by dividing the amount to be transferred by the Fair Market Value on such Valuation
Date. 

  

	 	(e)	Until invested as of the Deferral Crediting Date in either the Interest Account or Share Equivalent Account, a Non-Employee Director’s Deferral shall be credited with interest
in such amount as the Committee may determine. 

 B-6 Time and Method of Payment. Payment of a Non-Employee
Director’s Deferral shall be made in a single lump sum or shall commence in installments as elected by the Non-Employee Director in the Deferral Election. A Non-Employee Director may make a one-time election after the original Deferral Election
to change the method of payment elected by the Non-Employee Director; provided, that such election shall not be effective unless the election to change the method of payment is received by the Committee not later that 12 months prior to the
Distribution Date specified in the original Deferral Election. If a Non-Employee Director has elected installment payments as the method of payment, he may not elect a single lump sum or installments over a shorter period. In addition, a
Non-Employee Director may make a one-time election to change the method of payment of an Award; provided, that such election shall not be effective unless the election to change the method of payment is received by the Committee not later than 12
months prior to the date the Award is to be distributed. If a Non-Employee Director has elected a single lump sum and later elects installment payments, such election shall constitute a Re-Deferral and will require a new Distribution Date that is
not earlier than the fifth anniversary of the previous Distribution Date. If a Non-Employee Director’s Deferral Account is payable in a single lump sum, the payment shall be made as soon as practicable following the Distribution Date but not
later than 30 days following the Distribution Date. If a Non-Employee Director’s Deferral Account is payable in installment payments, then the Non-Employee Director’s Deferral Account shall be paid in substantially equal annual
installments over the period as elected by the Non-Employee Director in the Deferral Election commencing as soon as practicable following the Distribution Date but not later than 30 days following the Distribution Date. 
  

 B-4 

 B-7 Payment Upon Death of a Non-Employee Director. In the event a Non-Employee Director dies
before all amounts credited to his Deferral Account have been paid, payment of the Non-Employee Director’s Deferral Account shall be made in a single sum payment as soon as practicable thereafter. 
 B-8 Beneficiary. A Non-Employee Director’s Beneficiary shall mean the individual(s) or entity designated by the Non-Employee Director to
receive the balance of the Non-Employee Director’s Deferral Account in the event of the Non-Employee Director’s death prior to the payment of his entire Deferral Account. To be effective, any Beneficiary designation shall be filed in
writing with the Committee. A Non-Employee Director may revoke an existing Beneficiary designation by filing another written Beneficiary designation with the Committee. The latest Beneficiary designation received by the Committee shall be
controlling. If no Beneficiary is named by a Non-Employee Director or if he survives all of his named Beneficiaries, the Deferral Account shall be paid in the following order of precedence: 
  

	 	(1)	the Non-Employee Director’s spouse; 

  

	 	(2)	the Non-Employee Director’s children (including adopted children), per stirpes; or 

  

	 	(3)	the Non-Employee Director’s estate. 

 B-9 Form of
Payment. The payment of that portion of a Deferral Account deemed to be invested in the Interest Account shall be made in cash. The distribution of that portion of a Deferral Account deemed to be invested in the Share Equivalent Account shall be
distributed in whole Shares with fractional shares distributed in cash. 
 B-10 Unforeseeable Financial Emergency. If the Committee or
its designee determines that a Non-Employee Director has incurred an Unforeseeable Financial Emergency (as defined below), the Non-Employee Director may withdraw in cash and/or Shares the portion of the balance of his Deferral Account needed to
satisfy the Unforeseeable Financial Emergency, to the extent that the Unforeseeable Financial Emergency may not be relieved through reimbursement or compensation by insurance or otherwise or by liquidation of the Non-Employee Director’s assets,
to the extent the liquidation of such assets would not itself cause severe financial hardship. An “Unforeseeable Financial Emergency” is a severe financial hardship to the Non-Employee Director resulting from (i) a sudden and
unexpected illness or accident of the Non-Employee Director or of a dependent of the Non-Employee Director; (ii) loss of the Non-Employee Director’s property due to casualty; or (iii) such other similar extraordinary and unforeseeable
circumstances arising as a result of events beyond the control of the Non-Employee Director as determined by the Committee. A withdrawal on account of an Unforeseeable Financial Emergency shall be paid as soon as possible following the date on which
the withdrawal is approved. 
 B-11 Funding. Benefits payable under the Deferral Program to any Non-Employee Director shall be paid
directly by the Corporation. The Corporation shall not be required to fund, or otherwise segregate assets to be used for payment of benefits under the Deferral Program. Notwithstanding the foregoing, the Corporation, in the discretion of the
Committee, may maintain one or more grantor trusts (“Trust”) to hold assets to be used for payment of benefits under the Deferral Program. The assets of the Trust shall remain the assets of the Corporation subject to the claims of its
general creditors. Any payments by a Trust of benefits provided to a Non-Employee Director under the Deferral Program shall be considered payment by the Corporation and shall discharge the Corporation of any further liability under the Deferral
Program for such payments. 
  

 B-5 

 B-12 Interests Not Transferable. No benefit payable at any time under the Deferral Program shall
be subject in any manner to alienation, sale, transfer, assignment, pledge, attachment, or other legal process, or encumbrance of any kind. Any attempt to alienate, sell, transfer, assign, pledge or otherwise encumber any such benefits, whether
currently or thereafter payable, shall be void. No person shall, in any manner, be liable for or subject to the debts or liabilities of any person entitled to such benefits. If any person shall attempt to, or shall alienate, sell, transfer, assign,
pledge or otherwise encumber his benefits under the Deferral Program, or if by any reason of his bankruptcy or other event happening at any time, such benefits would devolve upon any other person or would not be enjoyed by the person entitled
thereto under the Deferral Program, then the Committee, in its discretion, may terminate the interest in any such benefits of the person entitled thereto under the Deferral Program and hold or apply them for or to the benefit of such person entitled
thereto under the Deferral Program or his spouse, children or other dependents, or any of them, in such manner as the Committee may deem proper. 
 B-13 Forfeitures and Unclaimed Amounts. Unclaimed amounts shall consist of the amounts of the Deferral Account of a Non-Employee Director that are not distributed because of the Committee’s inability, after a reasonable search,
to locate a Non-Employee Director or his Beneficiary, as applicable, within a period of two (2) years after the Distribution Date upon which the payment of any benefits becomes due. Unclaimed amounts shall be forfeited at the end of such
two-year period. These forfeitures will reduce the obligations of the Corporation under the Deferral Program and the Non-Employee Director or Beneficiary, as applicable, shall have no further right to his Deferral Account. 
  

 B-6Executive Management Long-Term Incentive Program

 Exhibit 10.5 
 EXECUTIVE MANAGEMENT LONG-TERM INCENTIVE PROGRAM 
 FISCAL YEARS 2007-2009 
 PROGRAM DESCRIPTION 
 Highlights 
 This booklet explains the provisions of the Sara Lee Corporation (“SLC”) Executive Management Long-Term Incentive Program (the “EMLTIP” or the
“Program”) which covers Fiscal Years 2007 through 2009 (the “Performance Cycle”). The following pages provide detailed information relating to the grant of Performance Stock Units (“PSUs”) awarded under the Program.

 The key features of this Program are summarized below. In some countries other than the United States, variations in Program design may occur in order to
comply with local laws and tax provisions. 
 Purpose 
 SLC has created the Program for Fiscal Years 07-09 to: 
  

	 	•	 	Focus executive management’s attention on the long-term performance results of Sara Lee Corporation 

  

	 	•	 	Provide incentive compensation opportunities commensurate with the achievement of specific EPS results 

  

	 	•	 	Provide a competitive long-term compensation program to Participants and assist in attracting and retaining highly qualified and motivated executive talent 

Participation 
  

	 	•	 	Participation in the Program is limited to the Senior Corporate Officers at and above the Board appointed Senior Vice President level. 

 Performance Stock Units 
  

	 	•	 	PSUs are granted during the first fiscal year of the Performance Cycle. At the end of the Performance Cycle, based upon the actual performance results, the appropriate number of
PSUs are converted to shares of Sara Lee common stock, on a one-for-one basis, and issued to Program Participants. 

  

	 	•	 	The number of shares that will be released to Participants is dependent upon the extent to which the pre-established performance goal is achieved during the Performance Cycle.
Notwithstanding the actual performance results, 50% of the PSUs will be distributed to Participants at the end of the Performance Cycle, i.e., regardless of the performance goal achieved the Participant will receive 50% of the PSUs so long as the
Participant continues employment through the Performance Cycle. 

  

	 	•	 	Additional shares, above the 50% that vest based upon a Participant’s service during the Performance Cycle, may be distributed if performance results exceed the specified
performance levels. 

  

	 	•	 	Participants do not have voting rights on PSUs during the Performance Cycle. 

 Dividend Equivalents 
  

	 	•	 	Dividend Equivalents are accrued during the Performance Cycle. 

  

	 	•	 	Accrued Dividend Equivalents are distributed to Participants to the extent that shares are earned at the end of the Performance Cycle. Dividend Equivalents are not paid on awards
earned in excess of the original PSU grants, i.e. Dividend Equivalents are not paid on shares distributed for performance results above the Median Performance Level. 

 Performance Measures 
  

	 	•	 	The following corporate-level performance measure applies to the FY07-09 Performance Cycle: 

  

	 	•	 	Cumulative Diluted Earnings Per Share (Diluted EPS) Growth relative to peer companies (peer companies are listed in Appendix I). 

 Performance-Based Restricted Stock Units 
 EMLTIP awards are
authorized under both the Sara Lee Corporation 1998 and 2002 Long-Term Incentive Stock Plans (“the Plans”). EMLTIP awards are initially granted in the form of PSUs at the beginning of the Performance Cycle. At the end of the Performance
Cycle, any PSUs that are earned will be converted to shares of Sara Lee common stock. 
 PSUs have special restrictions that are based upon both the
continued service of Program Participants and SLC’s performance against the established financial performance goal. These restrictions include a prohibition against the transfer of the PSUs during the Performance Cycle. The performance goal is
shown in Appendix II. Any shares not earned above the minimum distribution amount at the end of the Performance Cycle are forfeited and returned to the Stock Plans. 
 SLC may substitute or offer alternative forms of incentive compensation in the event it either determines that tax or legal regulations in a country provides more favorable treatment for those alternative forms of
incentive compensation or as a voluntary alternative to PSUs. 
 Dividend Equivalents 
 During the Performance Cycle, Dividend Equivalents that are payable on the PSUs will be accrued on behalf of the Participants. Dividend Equivalents are not paid on awards earned in excess of the original PSU grants,
i.e. Dividend Equivalents are not paid on shares distributed for performance results above the Median Performance Level. 
 Amounts credited to the accrued
dividend equivalent account at the end of the Performance Cycle are distributed in the same proportion as the restrictions on the PSUs lapse. For example, if 75% of the PSUs are earned, then 75% of the balance in the accrued dividend equivalent
account will be paid at the same time the Sara Lee shares of common stock are released. Any excess Dividend Equivalents that were accrued and still remain after determining the number of PSUs earned will be forfeited. 
 Performance Standards 
 Performance under the EMLTIP is measured using
the following corporate financial measure: 
  

	 	•	 	Cumulative Diluted Earnings Per Share (Diluted EPS) growth relative to peer companies 

  

 2 

 The performance levels and the percentage of PSUs earned at each performance level are as follows: 
  

			
	 Performance Level (Compared to Peer Group)
	  	% of PSUs Earned
	 Minimum payout
	  	
	 4th
quartile
	  	  50%
	 Median
	  	100%
	 1st
quartile
	  	150%

 S&P Compustat will be used as the external measurement source to determine performance results, Appendix III
contains a description of the Compustat metric to be used. 
 Interpolations are used for results that fall between the performance levels. For performance
results above the median of the peer group, additional shares are issued after the end of the Performance Cycle. 
 Performance Results Examples

  

									
	 Assumption
	 	 –
	 		 		  	1,000 PSUs are initially granted
					
	 Scenario 1
	 	 –
	 		 		  	 Results place SLC in 4th quartile/25th percentile (lowest) among peers;
 500 PSUs earned (1,000 PSUs granted x 50% of PSUs earned) – 50% of the PSUs will be distributed to Participants at the end of the Performance Cycle regardless of the
performance goal achieved

					
	 Scenario 2
	 	 –
	 		 		  	 Results place SLC in 1st quartile/75th percentile (highest) among peers;
 1,500 PSUs earned (1,000 PSUs granted x 150% of PSUs earned)

 Award Grant Notice and Agreement 
 Each Participant will receive a PSU Grant Notice and Agreement (“Grant Notice”) specifying the number of PSUs that have been granted, and the terms and conditions applicable to the grant. The Grant Notice
and Agreement and this Program Description should be retained with your other important documents. 
 Tax Consequences 
 United States 
 Under current United States tax laws, a
Participant does not realize any taxable income from the PSUs when they are initially granted, or from accrued Dividend Equivalents. The “Vesting Date”, i.e., August 31, 2009, is the date when the taxable event occurs, except to the
extent that a Participant has elected to defer distribution of the shares until a later date (“Deferred Vesting Date”). The market value of SLC common stock on the Vesting Date or the Deferred Vesting Date, as the case may be, will
determine the amount of taxable income. When the number of shares actually earned has been determined, the market value of the shares on the Vesting Date or the Deferred Vesting Date, as well as the proportionate Dividend Equivalents are considered
income to the Participant. This amount is then subject to applicable federal, state and local withholding. Amounts necessary to settle the tax-withholding obligation will first be withheld from the accrued Dividend Equivalents and then from the
shares that would otherwise have 

  

 3 

 
been distributed to the Participant. Federal tax will be withheld at the required statutory supplemental federal tax rate in effect at the time of the
distribution. In 2006 that rate was 25%. 
 Countries other than the United States 
 Tax laws vary among countries, so Participants should seek reputable tax counsel concerning the tax consequences of this grant in their respective countries of taxation.
In most cases, Participants incur no taxable income from PSUs when initially awarded, or on the accrued Dividend Equivalents, until the Vesting Date. When the shares are earned, both the market value of the shares on the Vesting Date as well as the
Dividends Equivalents distributed are typically considered income. For those individuals residing outside the U.S. and not subject to U.S. tax laws, tax due for some countries may be withheld by SLC in the U.S. Each Participant is responsible for
compliance with the relevant legal and tax regulations in his or her tax jurisdiction. 
 Impact on Other Benefits 
 Any shares or Dividend Equivalents ultimately earned under the EMLTIP are not considered compensation for purposes of any retirement plan, severance arrangement or other
benefit plans in which a Participant currently participates or may become eligible to participate in at a later date. 
 Forfeiture 
 Notwithstanding anything contained in this Agreement to the contrary, if the Participant engages in any activity inimical, contrary or harmful to the interests of the
Company, including but not limited to: (1) competing, directly or indirectly (either as owner, employee or agent), with any of the businesses of the Company, (2) violating any Company policies, (3) soliciting any present or future
employees or customers of the Company to terminate such employment or business relationship(s) with the Company, (4) disclosing or misusing any confidential information regarding the Company, or (5) participating in any activity not
approved by the Board of Directors which could reasonably be foreseen as contributing to or resulting in a Change of Control of the Company (as defined in the Plan) (such activities to be collectively referred to as “wrongful conduct”),
then (i) this Award, to the extent it remains restricted, shall terminate automatically on the date on which the Participant first engaged in such wrongful conduct, (ii) if the misconduct occurred within six months of a PSU Vesting Date,
the Participant shall pay to the Company in cash any financial gain the Participant realized from the vesting of the PSU, and (iii) if the misconduct occurs prior to the Deferred Vesting Date, if applicable, the Participant shall forfeit the
deferred PSU and this Award shall terminate automatically on the date on which the Participant first engaged in such wrongful conduct. For purposes of this section, financial gain shall equal, the fair market value of the Common Stock on the Vesting
Date, multiplied by the number of PSUs actually distributed pursuant to this Award, reduced by any taxes paid in countries other than the United States (which taxes are not otherwise eligible for refund from the taxing authorities). By accepting
this PSU, the Participant consents to and authorizes the Company to deduct from any amounts payable by the Company to the Participant, any amounts the Participant owes to the Company under this section. This right of set-off is in addition to any
other remedies the Company may have against the Participant for breach of this Agreement. 
 Administrative Guidelines 
 The following guidelines apply to the FY07-09 EMLTIP. Additional Administrative Guidelines may be adopted, as needed, during the Performance Cycle for the efficient
administration of the Program. 
  

	 	•	 	The Committee is responsible for administering the Program and has full power and authority to interpret the Program and to adopt rules, regulations and guidelines for carrying out
the Program, as it deems necessary. 

  

 4 

	 	•	 	The Committee functions as the Program Administrator and its decisions are binding on all persons. 

  

	 	•	 	The Committee reserves the right, in its absolute discretion, to reduce or eliminate the awards earned by any Participant. In determining whether to reduce or eliminate awards, the
Committee may take into account the positive effect of the Exclusions specified in Appendix IV. 

  

	 	•	 	The Committee reserves the right, in its absolute discretion, to make further adjustments in reported performance (for purposes of measuring results vs. the goals) or in awards
earned by reference to that performance with respect to any Participant who would not qualify as a Participant at the end of the Performance Cycle. 

  

	 	•	 	The Committee reserves the right to change any of the terms and conditions of the FY07-09 EMLTIP award to the Participants, including the definition of Diluted EPS, if deemed
necessary on advice of counsel to meet the requirements for a “performance-based exemption” under the regulations or rulings of §162(m) of the Internal Revenue Code. 

  

	 	•	 	The Committee may, as it deems appropriate, delegate some or all of its power to the Chief Executive Officer or other executive officer of the Corporation. However, the Committee
may not delegate its power concerning the grant, timing, pricing or amount of an award to any person who is a Program Participant. 

  

	 	•	 	The SLC Controller’s Department will be responsible for providing financial results under the EMLTIP. The Committee will approve the awards when granted at the beginning of the
Performance Cycle (i.e., during fiscal year 2007) and ratify distributions to be made at the end of the Performance Cycle for all EMLTIP Participants. The portion of the shares earned along with the related accrued Dividend Equivalents will be
distributed as soon as practicable after the completion of the final accounting for the FY07-09 Performance Cycle and the Vesting Date. 

  

	 	•	 	Awards may be made to new Participants during the first year of the Performance Cycle. The number of PSUs awarded may be adjusted to reflect that the executive is not a Participant
for the entire Performance Cycle. 

  

	 	•	 	Awards may be made to Participants who change positions during the first year of the Performance Cycle, if such a change would have resulted in qualifying for an increased level of
award. 

  

	 	•	 	The impact of Major Acquisitions and Divestitures made during the Performance Cycle will be excluded from the performance results for the entire three-year Performance Cycle. The
impact of all other acquisitions and divestitures will be included in the performance results. 

  

	 	•	 	In the event of a Participant’s death, total disability (as defined under the appropriate disability benefit plan if applicable) or if a Participant retires at age 55 or later
and has at least 10 years of service with SLC (or as otherwise defined under the appropriate retirement benefit plan of SLC) or if the Participant has attained age 65, regardless of the service period prior to the last day of fiscal year 2009, all
PSUs granted would continue to vest and be eligible for distribution at the end of the Performance Cycle based upon proration for performance only, subject to approval of the Committee. If applicable, the shares and related Dividend Equivalents will
be distributed at the normal payout time. 

  

	 	•	 	 A Participant who resigns or is terminated during the Performance Cycle generally forfeits the rights to all PSUs and any accrued Dividend Equivalents and interest.
However, Participants may be eligible for a prorated distribution, subject to Committee approval. Eligibility for a prorated distribution and the number of shares that may be recommended for distribution would be dependent upon the circumstances
resulting in the individual’s termination. In order to be considered for any prorated distribution under this Program provision, a Participant must be actively employed for at 

  

 5 

	 	 
least one-third, i.e. 12 months, of the Performance Cycle. If employment ceases before the end of that time, all PSUs granted under that Performance Cycle
would be forfeited. Only periods of active service will be recognized for purposes of computing any prorated distribution. This means that any period of time during which services may be provided to the company but the individual is not then a
regular, full-time employee of the company (by way of example, if the Participant provides services under a consulting agreement), that time will be disregarded for purposes of calculating any prorated distribution. 

  

	 	•	 	In the event of a sale, closing, spin-off or other disposition of the Participant’s business unit that results in the termination of the Participant’s employment with the
Company, the Participant may be eligible for a distribution of shares pro-rated only for performance, subject to approval of the Committee. 

  

	 	•	 	Should a change in control (as defined in the Stock Plans) occur, the Participant’s entitlements under the Program will be determined as provided for under the terms of the
Sara Lee Corporation Severance Plans for Corporate Officers. 

  

	 	•	 	If any statement in this Program Description or any oral representation differs from the Stock Plans, the Stock Plans prevail. The Stock Plans, Grant Notice and Agreement and
Program Description collectively comprise all terms and conditions applicable to the FY07-09 EMLTIP. 

  

	 	•	 	Any stock dividend, stock split, combination or exchange of securities, merger, consolidation, recapitalization, spin-off or other distribution of any or all of the assets of the
SLC will be handled as provided for in the Stock Plans. 

  

	 	•	 	Nothing in the EMLTIP shall confer on a Participant any right to continue in the employ of SLC or in any way affect SLC’s right to terminate the Participant’s employment
in accordance with applicable laws. 

  

 6 

 APPENDIX I 
 FY07-09 EMLTIP 
 Peer Companies for EPS Comparison 
  

			
	Anheuser-Busch	 	Hershey
	Campbell Soups	 	Hormel Foods
	Coca-Cola	 	Kellogg
	Colgate-Palmolive	 	Kraft Foods
	ConAgra	 	Nestle
	General Mills	 	PepsiCo
	Groupe Danone	 	Procter & Gamble
	Heinz	 	Unilever

  

 7 

 APPENDIX II 
 FY07-09 EMLTIP 
 Performance Goal and Weights 
 FY07-09 Cumulative Diluted EPS Compared to Peer Group 
  

			
	Payout Level	  	 Comparison to Peer Group

	  50%	  	 Minimum Payout
 (regardless of
performance results)
 4th quartile

	100%	  	Median
	150%	  	1st quartile

 Interpolations are used for results that fall between the performance levels. For performance above median of
the peer group, additional shares are issued after the end of the Performance Cycle. No Dividend Equivalents will be paid on any additional shares issued for performance above the median of the peer group performance level. 
  

 8 

 APPENDIX III 
 FY07-09 EMLTIP 
 S&P COMPUSTAT EPS DEFINITIONS 
 EPS Diluted – Including Extraordinary Items 
 Mnemonic: EPSFI

 This figure represents earnings per share including extraordinary items and discontinued operations after allowing for the conversion of convertible
senior stock and debt, and the exercise of warrants, options outstanding, and agreements for issuance of common shares upon satisfaction of certain conditions. This figure is reported the same as Basic earnings per share if dilution is immaterial
(i.e., less than 3%). This figure will always be presented if a diluted earnings per share figure is reported by the company. When a company reports that the calculation of dilutive earnings per share results in anti-dilution, but does not report
the anti-dilutive earnings per share, the earnings per share basic will be carried down into earnings per share diluted. 
 Source: Compustat 
  

 9 

 APPENDIX IV 
 Definitions 
  

	a)	Adjustments means changes to the goal to appropriately reflect the effect of spin-offs, divestitures, stock splits or combinations, or special distributions to stockholders
other than normal cash dividends. 

  

	b)	The Committee means the Compensation and Employee Benefits Committee of the Sara Lee Corporation Board of Directors. 

  

	c)	Award Date means the date upon which the Board of Directors or the Committee approved the awards under this Program. 

  

	d)	Company or Corporation means Sara Lee Corporation or any entity that is directly or indirectly controlled by Sara Lee Corporation, and its subsidiaries.

  

	e)	Deferred Vesting Date means the Distribution Date specified under the Sara Lee Corporation Executive Deferred Compensation Plan, in the event the Participant elected to defer
his or her LTI award. 

  

	f)	Diluted Earnings Per Share means reported diluted earnings per share for the fiscal years in the Performance Cycle subject to applicable Adjustments and Exclusions as defined
in this Appendix 

  

	g)	Dividend Equivalents has the same meaning as in the Stock Plans. 

  

	h)	Exclusions mean the automatic exclusion of the following from relevant financial data for purposes of measuring performance (subject to the Committee’s use of negative
discretion): 

 The impact of Major Acquisitions and Divestitures made during the Performance Cycle will be excluded from the
performance results for the entire three-year Performance Cycle. The impact of all other acquisitions and divestitures will be included in the performance results. 
  

	i)	Grant Notice and Agreement means the document provided to each Participant evidencing the number of Performance stock units awarded and the basic terms and conditions of the
award. 

  

	j)	Major Acquisition or Disposition means a business acquisition or disposition completed in the Performance Cycle in which the entity’s revenue is at least $1 billion.

  

	k)	Participant means an executive of the company who has been determined to be an eligible Participant and who has received a Grant Notice and Agreement specifying the basic
terms of participation in this Program. Participants for the FY07-09 Performance Cycle include elected Senior Vice President Corporate Officers. 

  

	l)	Performance Cycle is the three-year period consisting of SLC’s fiscal years 2007 through and including 2009. 

  

	m)	Performance Stock Units has the same meaning as “performance units” as that term is used in the Stock Plans. 

  

	n)	Program means the FY07-09 Executive Management Long-Term Incentive Plan (07-09 EMLTIP) 

  

	o)	Stock Plans means the Sara Lee Corporation 1998 and 2002 Long-Term Incentive Stock Plans or the successor plan or plans. 

  

	p)	Total Disability as defined under the SLC Long-Term Disability Plan or the specific Sara Lee sponsored disability plan under which the Participant is covered.

  

	q)	Vesting means the determination made at the end of the Performance Cycle as to how many, if any, of the PSUs that are actually earned by a Participant based upon actual
performance results. 

  

	r)	Vesting Date means August 31, 2009. 

  

 10

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