Document:

Prepared by R.R. Donnelley Financial -- Director's Retirement Plan

  
 EXHIBIT 10.4 
  
 WORONOCO SAVINGS BANK 
  
 DIRECTORS’
RETIREMENT PLAN 
 Effective June 19, 2002 

  
 WORONOCO SAVINGS BANK 
  
 DIRECTORS’ RETIREMENT PLAN 
  
 
	  	  	 PAGE
 

	 ARTICLE I—PURPOSE
 	  	 1
 
	  
 ARTICLE II—DEFINITIONS
 	  	 1
 
	  
 ARTICLE III—ELIGIBILITY AND PARTICIPATION
 	  	 2
 
	  
 ARTICLE IV—BENEFITS
 	  	 2
 
	  
 ARTICLE V—PAYMENT OF BENEFITS
 	  	 3
 
	  
 ARTICLE VI—BENEFICIARY DESIGNATION
 	  	 4
 
	  
 ARTICLE VII—ADMINISTRATION
 	  	 4
 
	  
 ARTICLE VIII—CLAIMS PROCEDURE
 	  	 5
 
	  
 ARTICLE IX—AMENDMENT AND TERMINATION OF PLAN
 	  	 5
 
	  
 ARTICLE X—MISCELLANEOUS
 	  	 6
 

 

  
 WORONOCO SAVINGS BANK 
  
 DIRECTORS’ RETIREMENT PLAN 
  
 ARTICLE I

  
 PURPOSE 
  
 1.1  PURPOSE.    The purpose of the Woronoco Savings Bank Directors’ Retirement Plan is to provide a benefit upon termination of service or death for Directors of
Woronoco Savings Bank (and their Beneficiaries). It is intended that the Plan will aid in retaining and attracting Directors of exceptional ability. 
  
 ARTICLE II 
  
 DEFINITIONS 
  
 In this Plan, whenever the context so indicates, the singular or the plural number and the masculine or feminine gender shall be deemed to
include the other, the terms “he,” “his,” and “him,” shall refer to a Participant and, except as otherwise provided, or unless the context otherwise requires, the capitalized terms shall have the following meanings:

  
 2.1  ACTUARIAL EQUIVALENT.    “Actuarial Equivalent” means the present
value of the applicable benefit, using a discount rate equal to the mid-term Applicable Federal Rate (determined under Section 1274(d) of the Internal Revenue Code of 1986, as amended), compounded monthly. 
  
 2.2  BANK.    “Bank” means Woronoco Savings Bank and its successors. 
  
 2.3  BENEFICIARY.    “Beneficiary” means the person, persons or entity designated by the
Participant or, as provided in Article VI, to receive any benefits payable under the Plan. 
  
 2.4  BOARD
OF DIRECTORS.    “Board of Directors” means the Board of Directors of Woronoco Savings Bank. 
  
 2.5  CHANGE IN CONTROL.    “Change in Control” means an event of a nature that: (i) would be required to be reported in response to Item 1(a) of the current report on Form 8-K, as in effect on
the date hereof, pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 (the “Exchange Act”); or (ii) results in a Change in Control of the Bank or the Company within the meaning of the Change in Bank Control Act and the
Rules and Regulations promulgated by the Federal Deposit Insurance Corporation (“FDIC”) at 12 C.F.R. § 303.4(a) with respect to the Bank and the Board of Governors of the Federal Reserve System (“FRB”) at 12 C.F.R. §
225.41(b) with respect to the Company, as in effect on the date hereof; or (iii) results in a transaction requiring prior FRB approval under the Bank Holding Company Act of 1956 and the regulations promulgated thereunder by the FRB at 12 C.F.R.
§ 225.11, as in effect on the date hereof except for the Company’s acquisition of the Bank; or (iv) without limitation such a Change in Control shall be deemed to have occurred at such time as (A) any “person” (as the term is
used in Sections 13(d) and 14(d) of the Exchange Act) is or becomes the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of the Bank or the Company representing 20% or more of the
Bank’s or the Company’s outstanding securities except for any securities of the Bank purchased by the Company in connection with the conversion of the Bank to the stock form and any securities purchased by any tax qualified employee
benefit plan of the Bank; or (B) individuals who constitute the Board of Directors on the date hereof (the “Incumbent Board”) cease for any reason to constitute at least a majority thereof, provided that any person becoming a director
subsequent to the date hereof whose election was approved by a vote of at least three-quarters of the directors comprising the Incumbent Board, or whose nomination for election by the Company’s stockholders was approved by the same Nominating
Committee serving under an Incumbent Board, shall be, for purposes of this clause (B), considered as a member of the Incumbent Board; or (C) a plan of reorganization, merger, consolidation, sale of all or substantially all the assets of the Bank or
the Company or similar transaction occurs
 

 
in which the Bank or Company is not the resulting entity; or (D) solicitations of shareholders of the Company, by someone other than the current management of the Company, seeking stockholder
approval of a plan of reorganization, merger or consolidation of the Company or Bank or similar transaction with one or more corporations, as a result of which the outstanding shares of the class of securities then subject to the plan or transaction
are exchanged for or converted into cash or property or securities not issued by the Bank or the Company, shall be distributed; or (E) a tender offer is made for 20% or more of the voting securities of the Bank or the Company. 

 
 2.6  COMMITTEE.    “Committee” means the Personnel and Compensation Committee of the
Board of Directors. 
  
 2.7  COMPANY.    “Company” means Woronoco Bancorp,
Inc. 
  
 2.8  DIRECTOR.    “Director” means an active member of the Board of
Directors and shall not include Emeriti Directors. 
  
 2.9  JUST CAUSE.    “Just
Cause” means a Director’s deliberate dishonesty with respect to the Bank or its affiliates, conviction of a crime involving moral turpitude, or gross or willful failure to perform (other than on account of a medically determinable
disability) a substantial portion of his duties or responsibilities as a Director. 
  
 2.10  NORMAL
RETIREMENT AGE.    “Normal Retirement Age” means age 65. 
  
 2.11  PARTICIPANT.    “Participant” means any eligible Director who participates in the Plan pursuant to Section 3.1 of the Plan. 
  
 2.12  PLAN.    “Plan” means this Woronoco Savings Bank Directors’ Retirement Plan, as amended from time to time. 

 
 2.13  RETIREMENT BENEFIT.    “Retirement Benefit” means the benefit determined in
accordance with Section 4.1 or 4.2 of the Plan, as applicable. 
  
 2.14  YEAR OF
SERVICE.    “Year of Service” means the full 12-consecutive month period commencing on the date the Director began service with the Board of Directors and each successive 12-month period thereafter. 

 
 ARTICLE III 
  
 ELIGIBILITY AND PARTICIPATION 
  
 3.1  ELIGIBILITY AND
PARTICIPATION.    Eligibility to participate in the Plan is limited to those Directors who are not employees of the Bank. All eligible Directors shall be Participants in the Plan. 
  
 ARTICLE IV 
  
 BENEFITS 
  
 4.1  NORMAL RETIREMENT BENEFIT.    Upon a
Participant’s termination from service with the Board of Directors at or after his Normal Retirement Age, other than on account of Just Cause, the Participant shall be entitled to an annual Retirement Benefit equal to the product of one
thousand dollars ($1,000.00) multiplied by the Participant’s Years of Service (up to a maximum of fifteen (15) Years of Service). 
  
 4.2  EARLY RETIREMENT BENEFIT.    In the event a Participant terminates service with the Board of
 

 
Directors prior to his Normal Retirement Age, other than on account of Just Cause, but after having completed five (5) Years of Service, the Participant shall be entitled to an annual Retirement
Benefit equal to the benefit determined in accordance with Section 4.1 of the Plan. 
  
 4.3  CHANGE IN
CONTROL BENEFIT.    In the event of a Change in Control, each Participant in the Plan shall be treated as if he had attained his Normal Retirement Age and completed fifteen (15) Years of Service as of the date of the Change in
Control, regardless of his actual number of Years of Service, and his benefit shall then be calculated in accordance with Section 4.2 of the Plan, without regard to the five (5) year service requirement. 
  
 4.4  VESTING OF DEFERRED BENEFIT ACCOUNT.    A Participant shall be 100% vested in his Retirement Benefit at
all times. 
  
 4.5  TERMINATION FOR JUST CAUSE.    Notwithstanding any other provision
of this Plan, a Participant who terminates service on account of Just Cause, shall not be entitled to any benefit under this Plan. 
  
 ARTICLE V 
  
 PAYMENT OF BENEFITS 
  
 5.1  PAYMENT OF BENEFITS UNDER SECTION 4.1.    The benefit determined in accordance with Section 4.1 of the Plan shall be paid to the
Participant in annual installments for a period of ten (10) years (10 installments), commencing on the first business day of the first month following the Participant’s termination from service. 
  
 5.2  PAYMENT OF BENEFITS UNDER SECTION 4.2.    The benefit determined in accordance with Section 4.2 of the
Plan shall be paid to the Participant in annual installments for a period of ten (10) years (10 installments), commencing on the first business day of the first month following the date the Participant attains his Normal Retirement Age.
Notwithstanding the foregoing provision of this Section 5.2, a Participant may request that the Committee allow his benefit to commence prior to the attainment of his Normal Retirement Age. In the event the Committee permits early distribution of
the benefit, the payment of benefits shall commence on the date established by the Committee and shall continue annually for ten years (10 payments) and the value of the benefit shall equal the Actuarial Equivalent of the benefit that would have
otherwise commenced following the Participant’s attainment of his Normal Retirement Age. 
  
 5.3  PAYMENTS UPON DEATH.    Upon the death of a Participant, the Bank shall pay to the Participant’s Beneficiary an amount determined as follows: 
  
 a)  If the Participant dies after benefit payments have commenced under Section 5.1 or 5.2 of the Plan, then the
Participant’s Beneficiary shall receive, in a single lump sum payment, the Actuarial Equivalent of the remaining payments that would have been made to the Participant had he survived until the last payment due to him was paid. The payment to
the Participant’s Beneficiary under this Section 5.3(a) shall be made within ninety (90) days of the date of the death of the Participant. 
  
 b)  If the Participant, who otherwise would have been entitled to a benefit under Section 4.1 or 4.2 of the Plan had he retired on his date of death, dies prior to the commencement of benefit
payments under Section 5.1 or 5.2 of the Plan, then the Participant’s Beneficiary shall receive, in a single lump sum payment, the Actuarial Equivalent of the payments that would have been made to the Participant had he survived until the last
payment due to him was paid. The payment to the Participant’s Beneficiary under this Section 5.3(a) shall be made within ninety (90) days of the date of the death of the Participant. 

  
 5.4  PAYMENTS UPON A CHANGE IN CONTROL.    Within
thirty (30) days of the effective date of the Change in Control, each Director who is eligible for the retirement benefit under Section 4.3 of the Plan shall deliver to the Bank a form, attached to this Plan as Appendix A, and make an election
regarding the time and manner of the payment of the benefit. In the event of the death of a Director prior to receipt of the benefits due him upon a Change in Control, such Director’s surviving spouse or his estate, as the case may be, shall
receive such benefits in the same manner as elected by the Director. 
  
 ARTICLE VI 
  
 BENEFICIARY DESIGNATION 
  
 6.1  BENEFICIARY DESIGNATION.    Each Participant shall have the right, at any time, to designate any person or persons as his Beneficiary or Beneficiaries (both principal as well as contingent)
to whom payment under this Plan shall be paid in the event of his death prior to complete distribution of the Retirement Benefit due him under the Plan. Any Participant Beneficiary designation shall be made in a written instrument filed with the
Committee and shall be effective only when received in writing by the Committee. 
  
 6.2  CHANGE OF
BENEFICIARY.    Any Beneficiary designation may be changed by a Participant by the written filing of such change on a form prescribed by the Committee. The filing of a new Beneficiary designation form will cancel all Beneficiary
designations previously filed. 
  
 6.3  NO PARTICIPANT DESIGNATION.    If a Participant
fails to designate a Beneficiary as provided above, or if all designated Beneficiaries predecease the Participant, then the Participant’s designated Beneficiary shall be deemed to be the person or persons surviving him in the first of the
following classes in which there is a survivor, share and share alike: 
  
 a)  The
surviving spouse; 
  
 b)  The Participant’s children, except that if any of the
children predecease the Participant but leave issue surviving, then such issue shall take by right of representation the share their parent would have taken if living; 
  
 c)  The Participant’s estate. 
  
 6.4  EFFECT OF PAYMENT.    The payment to the deemed Beneficiary shall completely discharge the Bank’s obligations under this Plan. 
  

ARTICLE VII 
  
 ADMINISTRATION

  
 7.1  COMMITTEE; DUTIES.    This Plan shall be administered by the Committee.
Members of the Committee may be Participants under this Plan. 
  
 7.2  AGENTS.    The
Committee may appoint an individual to be the Committee’s agent with respect to the day-to-day administration of the Plan. In addition, the Committee may, from time to time, employ other agents and delegate to them such administrative duties as
it sees fit, and may from time to time consult with counsel who may be counsel to the Bank. 
  
 7.3  BINDING EFFECT OF DECISIONS.    The decision or action of the Committee with respect to any
 

 question arising out of or in connection with the administration, interpretation and application of the Plan and the rules and regulations
promulgated hereunder shall be final and binding upon all persons having any interest in the Plan. 
  
 7.4  INDEMNITY OF COMMITTEE.    The Bank shall indemnify and hold harmless the members of the Committee against any and all claims, losses, damages, expenses or other liability arising from any action or
failure to act with respect to this Plan, except in the case of gross negligence or willful misconduct by the Committee. 
  
 ARTICLE VIII 
  
 CLAIMS PROCEDURE 
  
 8.1  CLAIM.    Any person claiming a benefit, requesting an interpretation or ruling under the Plan, or requesting information under the Plan
shall present the request in writing to the Committee which shall respond in writing as soon as practicable. 
  
 8.2  DENIAL OF CLAIM.    If the claim or request is denied, the written notice of denial shall be made within ninety (90) days of the date of receipt of such claim or requested by the Committee and shall
state: 
  
 a)  The reason(s) for the denial, with specific references to the Plan
provisions on which the denial is based. 
  
 b)  A description of any additional material
or information required and an explanation of why it is necessary. 
  
 c)  An explanation
of the Plan’s claim review procedure. 
  
 8.3  REVIEW OF CLAIM.    Any person
whose claim or request is denied or who has not received a response within ninety (90) days may request review by notice given in writing to the Committee within sixty (60) days of receiving a response or one hundred fifty (150) days from the date
the claim was received by the Committee. The claim or request shall be reviewed by the Committee who may, but shall not be required to, grant the claimant a hearing. On review, the claimant may have representation, examine pertinent documents, and
submit issues and comments in writing. 
  
 8.4  FINAL DECISION.    The decision on
review shall normally be made within sixty (60) days after the Committee’s receipt of a request for review. If an extension of time is required for a hearing or due to other special circumstances, the claimant shall be notified and the time
limit shall be one hundred twenty (120) days after the Committee’s receipt of a request for review. The decision shall be in writing and shall state the reasons and the relevant Plan provisions. All decisions on review shall be final and bind
all parties concerned. 
  
 ARTICLE IX 
  
 AMENDMENT AND TERMINATION OF PLAN 
  
 9.1  AMENDMENT.    The Board of Directors may at any time amend the Plan in whole or in part, provided, however, that no amendment shall be effective to decrease or restrict any Retirement Benefit under
the Plan. 
  
 9.2  TERMINATION OF PLAN.    The Board of Directors may at any time
terminate the Plan if, in its judgment, the tax, accounting, or other effects of the continuance of the Plan, or potential payments thereunder, would not be in the best interests of the Bank. 

  
 ARTICLE X 
  
 MISCELLANEOUS 
  
 10.1  UNSECURED GENERAL CREDITOR.    Participants and their Beneficiaries, heirs, successors and assigns shall have no secured interest or claim in any property or assets of the Bank. Any and all of the
Bank’s assets shall be, and remain, the general, unpledged, unrestricted assets of the Bank. The Bank’s obligation under the Plan shall be merely that of an unfunded and unsecured promise of the Bank to pay money in the future. The Bank
shall have no obligation under this Plan with respect to individuals other than the Bank’s Directors. 
  
 10.2  NON-ASSIGNABILITY.    Neither a Participant nor any other person shall have any right to commute, sell, assign, transfer, pledge, anticipate, mortgage or otherwise encumber, transfer, hypothecate
or convey in advance of actual receipt the amounts, if any, payable hereunder, or any part thereof, which are, and all rights to which are, expressly declared to be unassignable and non-transferable. No part of the amounts payable shall, prior to
actual payment, be subject to seizure or sequestration for the payment of any debts, judgments, alimony or separate maintenance owed by a Participant or any other person, nor be transferable by operation of law in the event of a Participant’s
or any other person’s bankruptcy or insolvency. 
  
 10.3  NOT A CONTRACT FOR
SERVICE.    The terms and conditions of this Plan shall not be deemed to constitute a contract of service between the Bank and the Participant, and the Participant (or his Beneficiary) shall have no rights against the Bank except
as may otherwise be specifically provided for herein. 
  
 10.4  PARTICIPANT
COOPERATION.    A Participant will cooperate with the Bank by furnishing any and all information requested by the Bank in order to facilitate the payment of benefits hereunder and by taking such physical examinations and such
other actions as may be requested by the Bank. 
  
 10.5  TERMS.    Whenever any words
are used herein in the masculine, they shall be construed as though they were used in the feminine in all cases where they would so apply; and wherever any words are used herein in the singular or in the plural, they shall be construed as though
they were used in the plural or the singular, as the case may be, in all cases where they would so apply. 
  
 10.6  CAPTIONS.    The captions of the articles, sections and paragraphs of this Plan are for convenience only and shall not control or affect the meaning or construction of any of its provisions.

  
 10.7  GOVERNING LAW.    The provisions of this Plan shall be construed and
interpreted according to the laws of Massachusetts. 
  
 10.8  VALIDITY.    In case any
provision of this Plan shall be held illegal or invalid for any reason, said illegality or invalidity shall not affect the remaining parts hereof, but this Plan shall be construed and enforced as if such illegal and invalid provision had never been
inserted herein. 
  
 10.9  NOTICE.    Any notice or filing required or permitted to be
given to the Committee under the Plan shall be sufficient if in writing and hand delivered, or sent by registered or certified mail, to any member of the Committee, the President of the Bank or the Bank’s Statutory Agent. Such notice shall be
deemed given as of the date of delivery or, if delivery is made by mail, as of three (3) days following the date shown on the postmark or on the receipt for registration or certification. 
  
 10.10  SUCCESSORS.    The provisions of this Plan shall be binding upon and inure to the benefit of the Bank and its successors and assigns.
The term successors as used herein shall include any corporate or other business entity which shall, whether by merger, consolidation, purchase or otherwise, acquire all or 

 substantially all of the business and assets of the Bank and successors of any such corporation or other business entity. 

 
 IN WITNESS WHEREOF, and pursuant to the resolution of the Board of Directors of the undersigned corporation, such corporation
has caused this instrument to be executed by its duly authorized officer effective as of June 19, 2002. 
  
 IN
WITNESS WHEREOF, the parties hereto have hereunto set their hands the day and year first above-written. 
  
 
	 Witness:
 	    	  	  	 DIRECTOR
 
	 
	  
 
	    	  	  	 By:
 	  	  
 

	  	    	  	  	  	  	  
	 
	 Witness:
 	    	  	  	 WORONOCO SAVINGS BANK
 
	 
	  
 
	    	  	  	 By:
 	  	  
 

	  	    	  	  	  	  	 For the Entire Board of Directors
 

 
 
	  	 	  

 
  
 

 Appendix A 
  
 Election of Payment Method after a Change in Control 
  
 
 
 AGREEMENT, made this              day of             ,
            , by and between              (the “Director”) and Woronoco Savings Bank (the “Bank”) and its
successors, with respect to distribution of the Director’s Retirement Benefits that have accrued under the Woronoco Savings Bank Directors’ Retirement Plan and have or become payable due to a Change in Control. 
  
 NOW THEREFORE, it is mutually agreed as follows: 
  
 1.  Form of Payment.    The Employee shall receive his Retirement Benefits in cash that is paid 

 

	 	    
	 
	in one lump sum equal to the present value of ten (10) years of the benefit he would have received under Section 4.3 of the Plan. 

  

	 	    
	 
	in equal annual payments over a period of ten years. 
 

  
 2.  Time of Payment.    The Employee shall begin to receive Retirement Benefits as soon as practicable after

  

	 	    
	 
	A Change in Control closes. 
 

  

	 	    
	 
	the January 1st after a Change in Control closes. 
 

  

	 	    
	 
	the annual anniversary of the January 1st after a Change in Control closes. 
 

  
 3.  Frequency of Payment.    Unless paid in a lump sum, the Retirement Benefits shall be paid on an annual basis.

  
 4.  Effect of Election.    The elections made in paragraphs
1 and 2 hereof shall become irrevocable on the date 30 days before the closing of a Change in Control. The Director may at any time and from time to time change his designation of, and manner of payment to, a Beneficiary. Such election shall,
however, become irrevocable upon the Director’s death. 
  
 5.  Mutual
Commitments.    The Bank agrees to make payment of all amounts due the Director in accordance with the terms of the Plan and the elections made by the Director herein. The Director agrees to be bound by the terms of the Plan,
as in effect on the date hereof and as properly amended hereafter. The parties recognize and agree that this Agreement supersedes and nullifies any prior distribution election to the extent it is inconsistent herewith. 
  
 
	  
	 
	  	 	 

	  	 	 DirectorPrepared by R.R. Donnelley Financial -- EMPLOYEE PURCHASE PLAN

  
 Exhibit 10.1 
  
 PARTNERRE LTD. 
  
 EMPLOYEE SHARE PURCHASE
PLAN 
  
 Originally Effective November 18, 1999, and 
 As Amended and Restated Effective June 1, 2002 
  
 1.
Purpose.    The purpose of the Plan is to provide employees of the Company and its Subsidiaries with an opportunity to purchase Common Shares of the Company through accumulated payroll deductions or direct contributions to
the Plan. It is the intention of the Company to have the Plan qualify as an “Employee Stock Purchase Plan” under Section 423 of the Internal Revenue Code of 1986, as amended. The provisions of the Plan, accordingly, shall be construed so
as to extend and limit participation in a manner consistent with the requirements of that section of the Code. 
  
 2.
Definitions. 
  
 (a) “Board” shall mean the Board of Directors of the Company. 

 
 (b) “Code” shall mean the Internal Revenue Code of 1986, as amended. 
  
 (c) “Committee” shall mean the Human Resources Committee of the Board, or such other committee as may be appointed by the
Board, which shall be the administrative committee for the Plan. 
  
 (d) “Common Shares” shall mean
the common shares of the Company, $1.00 par value per share. 
  
 (e) “Company” shall mean PartnerRe
Ltd., a Bermuda company. 
  
 (f) “Compensation” shall mean all base straight time gross earnings,
exclusive of payments for overtime, shift premium, incentive compensation, incentive payments, bonuses, commissions and other compensation. 
  
 (g) “Employee” shall mean any individual who is an employee of the Company or a Subsidiary whose customary employment with the Company or any Subsidiary is more than three (3) months
in any calendar year. For purposes of the Plan, the employment relationship shall be treated as continuing intact while the individual is on sick leave or other leave of absence approved by the Company. Where the period of leave exceeds 90 days and
the individual’s right to reemployment is not guaranteed either by statute or by contract, the employment relationship will be deemed to have terminated on the 91st day of such leave. 
  
 (h) “Enrollment Date” shall mean the first day of each Offering Period. 
  
 (i) “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended. 

  
 (j) “Exercise Date” shall mean the last day of each Purchase
Period. 
  
 (k) “Fair Market Value” shall mean, as of any date, the value of Common Shares
determined as follows: 
  
 (i) If the Common Shares are listed on any established stock exchange or a
national market system, including without limitation the National Market System of the National Association of Securities Dealers, Inc. Automated Quotation System (“NASDAQ”), its Fair Market Value shall be the average of the high and low
sale price for the Common Shares (or the average of the closing bid and asked prices, if no sales were reported), as quoted on such exchange (or the exchange with the greatest volume of trading in Common Shares) or system on the date of such
determination, as reported in The Wall Street Journal or such other source as the Board deems reliable; or 
  
 (ii) If the Common Shares are quoted on NASDAQ (but not on the National Market System thereof) or is regularly quoted by a recognized securities dealer but selling prices are not reported, its Fair Market Value shall be the average
of the closing bid and asked prices for the Common Shares on the date of such determination, as reported in The Wall Street Journal or such other source as the Board deems reliable; or 
  
 (iii) In the absence of an established market for the Common Shares, the Fair Market Value thereof shall be determined in good faith by the Board.

  
 (l) “Offering Period” shall mean, for each calendar year, subject to Section 4(b) hereof, (i)
for Employees who are first eligible to participate in the Plan on the June 1 Enrollment Date, a period of twelve months consisting of two Purchase Periods, commencing on the first Trading Day coincident with or immediately after June 1 of such
calendar year and terminating on the last Trading Day on or immediately prior to the following May 31, and (ii) for new Employees who are first eligible to participate in the Plan on the December 1 Enrollment Date, and for Employees described in
clause (i) who withdraw from the 12-month offering period prior to the December 1 Enrollment Date but elect in accordance with Section 10(a) to recommence participation as of the December 1 Enrollment Date, a period of six months consisting of one
Purchase Period, commencing on the first Trading Day coincident with or immediately after December 1 and terminating on the last Trading Day on or immediately prior to the following May 31. 
  
 (m) “Parent” shall mean a corporation which is a “parent corporation” of the Company within the meaning of Section 424(e) of the Code.

  
 (n) “Plan” shall mean this PartnerRe Ltd. Employee Share Purchase Plan. 
  
 (o) “Purchase Period” shall mean a period of six months, commencing on the first Trading Day coincident with or
immediately after June 1 and December 1 of each calendar year and terminating on the last Trading Day on or immediately prior to the following November 30 and May 31, respectively. 
  
 (p) “Purchase Price” shall mean an amount equal to 85% of the Fair Market Value of a Common Share on the Enrollment Date or the Exercise Date, whichever is
lower. 
 

 2 

  
 (q) “Reserves” shall mean the number of Common Shares covered by
each option under the Plan which have not yet been exercised and the number of Common Shares which have been authorized for issuance under the Plan but not yet placed under option. 
  
 (r) “Subsidiary” shall mean a corporation which is a “subsidiary corporation” of the Company within the meaning of Section 424(f) of the Code.

  
 (s) “Trading Day” shall mean a day on which national stock exchanges and NASDAQ are open for
trading. 
  
 3. Eligibility. 
  
 (a) Each person who is an Employee on a given Enrollment Date shall be eligible to participate in the Plan; provided, that an Employee may only participate in one Offering
Period at a time. 
  
 (b) Any provisions of the Plan to the contrary notwithstanding, no Employee shall be granted an
option under the Plan (i) if, immediately after the grant, such Employee would own shares (together with shares owned by any other person or entity that would be attributed to such Employee pursuant to section 424(d) of the Code) of the Company
(including, for this purpose, all shares subject to any outstanding options to purchase such shares, whether or not currently exercisable and irrespective of whether such options are subject to the favorable tax treatment of section 421(a) of the
Code) possessing five percent (5%) or more of the total combined voting power or value of all classes of shares of the Company or of any Parent or Subsidiary, or (ii) which permits his or her rights to purchase shares under all employee shares
purchase plans (within the meaning of section 423 of the Code) of the Company and its Parents and Subsidiaries to accrue at a rate which exceeds Twenty-Five Thousand Dollars ($25,000) worth of shares (determined at the Fair Market Value of the
shares at the time such option is granted) for each calendar year in which such option is outstanding at any time. The limitation described in clause (ii) of the preceding sentence shall be applied in a manner consistent with Section 423(b)(8) of
the Code. 
  
 4. Offering Periods. 
  
 (a) The Plan shall be implemented by consecutive Offering Periods continuing from the first Offering Period until terminated in accordance with Section 19 hereof. The Board
shall have the power to change the duration of Offering Periods (including the commencement dates thereof) with respect to future offerings without shareholder approval if such change is announced at least ten (10) business days prior to the
scheduled beginning of the first Offering Period to be affected thereafter. 
  
 (b) Notwithstanding anything herein
to the contrary, in the event that the Fair Market Value of a Common Share on the June 1 Enrollment Date of a twelve-month Offering Period is greater than the Fair Market Value of a Common Share on the December 1 Enrollment Date of such Offering
Period, (i) such Offering Period shall terminate, and (ii) all participants in such Offering Period shall be automatically withdrawn from such Offering Period immediately after the exercise of their option (pursuant to Section 8 hereof) and
reenrolled in a new Offering Period, which shall commence on the December 1 Enrollment Date and end on the Exercise
 
 

 3 

 
Date. For purposes of this new Offering Period, the December 1 Enrollment Date shall be the first day of the Purchase Period. 
  
 5. Participation. 
  
 (a) An
Employee may become a participant in the Plan for an Offering Period by completing a subscription agreement authorizing payroll deductions or providing for contributions to the Plan in the form of Exhibit A to this Plan and filing it with the
Company’s payroll office at least ten (10) business days prior to the applicable Enrollment Date, unless a later time for filing the subscription agreement is set by the Board for all Employees with respect to a given Offering Period.

  
 (b) Payroll deductions for a participant who elects to have such deductions made ratably during an Offering
Period shall commence on the first payroll date following the Enrollment Date and shall end on the last payroll date in the Offering Period to which such authorization is applicable, unless sooner terminated by the participant as provided in Section
10 hereof. Payroll deductions for a participant who elects to have such deductions made in a lump sum on the last payroll date of a Purchase Period shall be made on such date, unless the participant withdraws from the Plan prior to such date
pursuant to Section 10. Contributions to the Plan by a participant who elects to make direct contributions may be made at any time during the applicable Purchase Period, but no later than five (5) business days prior to the Exercise Date, unless the
participant withdraws from the Plan during such Purchase Period pursuant to Section 10. 
  
 6. Payroll Deductions
and Direct Contributions. 
  
 (a) At the time a participant files his or her subscription agreement, he or she
shall elect to either (1) have payroll deductions made either (i) on each pay day during the Offering Period in an amount (expressed as a whole number percentage) not less than one percent (1%) and not more than ten percent (10%) of the Compensation
which he or she receives on each pay day during the Offering Period, or (ii) on the last pay day of a Purchase Period, in an amount (expressed as a whole number percentage) not exceeding the lesser of (A) the amount of such paycheck and (B) up to
ten percent (10%) (expressed as a whole number percentage) of the aggregate Compensation payable to such participant during such Purchase Period, or (2) pay to the Company, in a single lump sum by check or wire transfer of immediately available
funds, an amount (expressed as a whole number percentage) not exceeding ten percent (10%) of the aggregate Compensation paid to such participant during such Purchase Period. 
  
 (b) All payroll deductions and contributions to the Plan shall be credited to a participant’s account under the Plan and will be withheld in whole percentages only.

  
 (c) A participant may discontinue his or her participation in the Plan, as provided in Section 10 hereof, during
any Offering Period by written notice delivered to the Committee at least ten (10) business days prior to the Exercise Date. Once an Offering Period has commenced, a participant may not increase or decrease the rate of his or her payroll deductions
or contributions to the Plan (as applicable) for that Offering Period, except that for any Offering Period consisting of two Purchase Periods, a Participant may, prior to the
 
 

 4 

 
commencement of the second Purchase Period, change his or her payroll deductions or contributions to the Plan (as applicable) for such second Purchase Period. A participant may also during that
Offering Period, increase or decrease the rate of his or her payroll deductions or contributions to the Plan (as applicable) for the next succeeding Offering Period. Such changes must be effected by completing or filing with the Company a new
subscription agreement, at least ten (10) business days prior to the end of that Offering Period, authorizing a change in payroll deduction or Plan contribution rate. A participant’s subscription agreement shall remain in effect for successive
Offering Periods unless terminated as provided in Section 10 hereof. 
  
 (d) Notwithstanding the foregoing, a
participant’s payroll deductions or Plan contributions (as applicable) may be decreased to 0% at any time, to the extent necessary to comply with Section 423(b)(8) of the Code and Section 3(b) or Section 7 hereof. Subject to the preceding
sentence, payroll deductions and Plan contributions (as applicable) shall recommence at the rate provided in such participant’s subscription agreement at the beginning of the next succeeding Offering Period, unless terminated by the participant
as provided in Section 10 hereof. 
  
 (e) At the time the option is exercised, in whole or in part, or at the time
some or all of the Common Shares issued under the Plan are disposed of, the participant must make adequate provisions for the Company’s federal, state, or other tax withholding obligations, if any, which arise upon the exercise of the option or
the disposition of the Common Shares. At any time, the Company may, but will not be obligated to, withhold from the participant’s compensation the amount necessary for the Company to meet applicable withholding obligations, including any
withholding required to make available to the Company any tax deductions or benefits attributable to sale or early disposition of Common Shares by the Employee. 
  
 7. Grant of Option.    On the Enrollment Date of each Offering Period, each Employee participating in such Offering Period shall be granted an option to purchase on each
Exercise Date of such Offering Period (at the applicable Purchase Price) up to a number of Common Shares determined by dividing such Employee’s payroll deductions or Plan contributions (as applicable) accumulated prior to such Exercise Date and
retained in the participant’s account as of the Exercise Date by the applicable Purchase Price; provided, however, that in no event shall an Employee be permitted to purchase during each Offering Period more than a number of
Shares determined by dividing $25,000 by the Fair Market Value of a Common Share on the Enrollment Date, and provided, further, that such purchase shall be subject to the limitations set forth in Sections 3(b) and 12 hereof. Exercise
of the option shall occur as provided in Section 8 hereof, unless the participant has withdrawn pursuant to Section 10 hereof, and shall expire on the last day of the Offering Period. 
  
 8. Exercise of Option.    Unless a participant withdraws from the Plan as provided in Section 10 hereof, his or her option for the purchase of
shares will be exercised automatically on the Exercise Date, and, subject to the limitations set forth in Sections 3(b), 7 and 12 hereof, the maximum number of full shares subject to option shall be purchased for such participant at the applicable
Purchase Price with the accumulated payroll deductions or Plan contributions (as applicable) in his or her account. No fractional shares will be purchased; any payroll deductions or Plan contributions (as applicable) accumulated in a
participant’s account which are not
 
 

 5 

 
sufficient to purchase a full share shall, at the election of the participant, either be (i) retained in the participant’s account for the subsequent Offering Period, subject to earlier
withdrawal by the participant as provided in Section 10 hereof, or (ii) returned to the participant. Any other monies left over in a participant’s account after the Exercise Date shall also be retained in the participant’s account for the
subsequent Offering Period. During a participant’s lifetime, a participant’s option to purchase shares hereunder is exercisable only by the participant. 
  
 9. Delivery.    As promptly as practicable after each Exercise Date on which a purchase of Common Shares occurs, the Company shall arrange the
allocation of the Common Shares purchased upon exercise of a participant’s option to the participant’s account with a broker selected by the Company. The Common Shares shall be held in such brokerage account until the earlier of (i) two
years, or (ii) the date on which such Common Shares are sold or transferred by such participant consistent with the requirements of Section 15 hereof. 
  
 10. Withdrawal; Termination of Employment. 
  
 (a) A
participant may withdraw all but not less than all the payroll deductions or Plan contributions (as applicable) credited to his or her account and not yet used to exercise his or her option under the Plan at any time but not less than ten (10)
business days prior to the Exercise Date by giving written notice to the Company in the form of Exhibit B to this Plan. All of the participant’s payroll deductions or Plan contributions (as applicable) credited to his or her account will be
paid to such participant promptly after receipt of notice of withdrawal and such participant’s option for the Offering Period will be automatically terminated, and no further payroll deductions or Plan contributions for the purchase of shares
will be made during the Offering Period. If a participant withdraws from the Plan during an Offering Period, he or she may not resume participation until the next Offering Period, except that for any Offering Period consisting of two Purchase
Periods, a Participant may terminate his or her participation in the Plan in the first Purchase Period and resume participation in the second Purchase Period of such Offering Period by delivering to the Company a new subscription agreement at least
ten (10) business days prior to the beginning date of the applicable Purchase Period. If a participant withdraws from the Plan during the second Purchase Period, he or she may not resume participation until the next Offering Period. He or she may
resume participation for any other Offering Period by delivering to the Company a new subscription agreement at least ten (10) business days prior to the Enrollment Date for such Offering Period. 
  

(b) Upon a participant’s ceasing to be an Employee, for any reason, he or she will be deemed to have elected to withdraw from the Plan and the payroll deductions
or Plan contributions (as applicable) credited to such participant’s account during the Offering Period but not yet used to exercise the option will be returned to such participant or, in the case of his or her death, to the person or persons
entitled thereto under Section 14 hereof, and such participant’s option will be automatically terminated. 
  
 (c) A participant’s withdrawal from an Offering Period will not have any effect upon his or her eligibility to participate in any similar plan which may hereafter be adopted by the Company. 
 

 6 

  
 11. Interest.    No interest or other increment shall
accrue or be payable with respect to any of the payroll deductions or Plan contributions of a participant in the Plan. 
  
 12. Shares. 
  
 (a) The maximum number of Common Shares which shall be made available for sale
under the Plan shall be 300,000 shares, subject to adjustment upon changes in capitalization of the Company as provided in Section 18 hereof. If on a given Exercise Date the number of shares with respect to which options are to be exercised exceeds
the number of shares then available under the Plan, the Company shall make a pro rata allocation of the shares remaining available for purchase in as uniform a manner as shall be practicable and as it shall determine to be equitable. 

 
 (b) No participant will have an interest or voting right in shares covered by his or her option until such option has been
exercised. 
  
 (c) Shares to be delivered to a participant under the Plan will be registered in the name of the
participant. 
  
 13. Administration.    The Plan shall be administered by the Committee.
The Committee shall have full and exclusive discretionary authority to construe, interpret and apply the terms of the Plan, to determine eligibility and to adjudicate all disputed claims filed under the Plan. Every finding, decision and
determination made by the Committee shall, to the full extent permitted by law, be final and binding upon all parties. Members of the Board who are Employees are permitted to participate in the Plan, provided that: 
  
 (a) Members of the Board who are eligible to participate in the Plan may not vote on any matter affecting the administration of the Plan
or the grant of any option pursuant to the Plan. 
  
 (b) No member of the Committee who is not an employee may
participate in the Plan. 
  
 14. Designation of Beneficiary. 
  
 (a) A participant may file a written designation of a beneficiary who is to receive any shares and cash, if any, from the
participant’s account under the Plan in the event of such participant’s death subsequent to an Exercise Date on which the option is exercised but prior to delivery to such participant of such shares or cash. In addition, a participant may
file a written designation of a beneficiary who is to receive any cash from the participant’s account under the Plan in the event of such participant’s death prior to exercise of the option. 
  
 (b) Such designation of beneficiary may be changed by the participant at any time by written notice. In the event of the death of a
participant and in the absence of a beneficiary validly designated under the Plan who is living at the time of such participant’s death, the Company shall deliver such shares or cash to the executor or administrator of the estate of the
participant, or if no such executor or administrator has been appointed (to the knowledge of the Company), the Company, in its discretion, may deliver such shares or cash to
 
 

 7 

 
the spouse or to any one or more dependents or relatives of the participant, or if no spouse, dependent or relative is known to the Company, then to such other person as the Company may
designate. 
  
 15. Transferability.    Neither payroll deductions, nor Plan contributions
credited to a participant’s account nor any rights with regard to the exercise of an option or to receive shares under the Plan may be assigned, transferred, pledged or otherwise disposed of in any way (other than by will, the laws of descent
and distribution or as provided in Section 14 hereof) by the participant. Any such attempt at assignment, transfer, pledge or other disposition shall be without effect, except that the Company may treat such act as an election to withdraw funds from
an Offering Period in accordance with Section 10 hereof. Common Shares acquired by a participant pursuant to the Plan may be sold at any time but the participant may not transfer them out of the Company’s designated brokerage account for any
purpose other than sale during the two-year period beginning on the date of the acquisition of such shares. 
  
 16.
Use of Funds.    All payroll deductions and Plan contributions received or held by the Company under the Plan may be used by the Company for any corporate purpose, and the Company shall not be obligated to segregate such
payroll deductions and Plan contributions. 
  
 17. Reports.    Individual accounts will be
maintained for each participant in the Plan. Statements of account will be given to participating Employees at least annually, within such time as the Committee may reasonably determine, which statements will set forth the amounts of payroll
deductions or Plan contributions (as applicable), the Purchase Price, the number of shares purchased and the remaining cash balance, if any. 
  
 18. Adjustments Upon Changes in Capitalization. 
  
 (a)
Changes in Capitalization.    Subject to any required action by the shareholders of the Company, the Reserves as well as the price per Common Shares covered by each option under the Plan which has not yet been exercised
shall be proportionately adjusted for any increase or decrease in the number of issued Common Shares resulting from a share split, reverse share split, share dividend, combination or reclassification of the Common Shares, or any other increase or
decrease in the number of Common Shares effected without receipt of consideration by the Company; provided, however, that conversion of any convertible securities of the Company shall not be deemed to have been “effected without
receipt of consideration.” Such adjustment shall be made by the Board, whose determination in that respect shall be final, binding and conclusive. Except as expressly provided herein, no issuance by the Company of shares of any class, or
securities convertible into shares of any class, shall affect, and no adjustment by reason thereof shall be made with respect to, the number or price of Common Shares subject to an option. 
  
 (b) Dissolution or Liquidation.    In the event of the proposed dissolution or liquidation of the Company, the Offering Period will terminate
immediately prior to the consummation of such proposed action, unless otherwise provided by the Board. 
  
 (c)
Merger or Asset Sale.    In the event of a proposed sale of all or substantially all of the assets of the Company, or the merger of the Company with or into another
 
 

 8 

 
corporation, each option under the Plan shall be assumed or an equivalent option shall be substituted by such successor corporation or a parent or subsidiary of such successor corporation, unless
the Board determines, in the exercise of its sole discretion and in lieu of such assumption or substitution, to shorten the Offering Period then in progress by setting a new Exercise Date (the “New Exercise Date”). If the Board shortens
the Offering Period then in progress in lieu of assumption or substitution in the event of a merger or sale of assets, the Board shall notify each participant in writing, at least ten (10) business days prior to the New Exercise Date, that the
Exercise Date for his option has been changed to the New Exercise Date and that his option will be exercised automatically on the New Exercise Date, unless prior to such date he has withdrawn from the Offering Period as provided in Section 10
hereof. For purposes of this paragraph, an option granted under the Plan shall be deemed to be assumed if, following the sale of assets or merger, the option confers the right to purchase, for each share subject to the option immediately prior to
the sale of assets or merger, the consideration (whether shares, cash or other securities or property) received in the sale of assets or merger by holders of Common Shares for each Common Share held on the effective date of the transaction (and if
such holders were offered a choice of consideration, the type of consideration chosen by the holders of a majority of the outstanding Common Shares); provided, however, that if such consideration received in the sale of assets or
merger was not solely common shares of the successor corporation or its parent (as defined in Section 424(e) of the Code), the Board may, with the consent of the successor corporation and the participant, provide for the consideration to be received
upon exercise of the option to be solely common shares of the successor corporation or its parent equal in fair market value to the per share consideration received by holders of Common Shares in the sale of assets or merger. 

 
 The Board may, if it so determines in the exercise of its sole discretion, also make provision for adjusting the Reserves, as
well as the price per Common Share covered by each outstanding option, in the event the Company effects one or more reorganizations, recapitalizations, rights offerings or other increases or reductions of its outstanding Common Shares, and in the
event of the Company being consolidated with or merged into any other corporation. 
  
 19. Amendment or
Termination. 
  
 (a) The Board may at any time and for any reason terminate or amend the Plan. Except as provided
in Section 18 hereof, no such termination may adversely affect options previously granted; provided, that an Offering Period may be terminated by the Board on any Exercise Date if the Board determines that the termination of the Plan is in the best
interests of the Company and its shareholders. Except as provided in Section 18 hereof, no amendment may make any change in any option theretofore granted which adversely affects the rights of any participant. To the extent necessary to comply with
Section 423 of the Code (or any successor rule or provision or any other applicable law or regulation), the Company shall obtain shareholder approval in such a manner and to such a degree as required. 
  
 (b) Without shareholder consent and without regard to whether any participant rights may be considered to have been “adversely
affected,” the Board (or the Committee) shall be entitled to change the Offering Periods, limit the frequency or number of changes in the amount withheld during an Offering Period, establish and change, at any time in
 
 

 9 

 
its sole discretion, a formula for determining the conversion rate applicable to amounts withheld in a currency other than U.S. dollars, permit payroll withholding in excess of the amount
designated by a participant in order to adjust for delays or mistakes in the Company’s processing of properly completed withholding elections, establish reasonable waiting and adjustment periods or accounting and crediting procedures to ensure
that amounts applied toward the purchase of Common Shares for each participant properly correspond with amounts withheld from the participant’s Compensation, and establish such other limitations or procedures as the Board (or the Committee)
finds, in its sole discretion, advisable and consistent with the Plan. 
  
 20. Notices. All notices or other
communications by a participant to the Company under or in connection with the Plan shall be deemed to have been duly given when received in the form specified by the Company at the location, or by the person, designated by the Company for the
receipt thereof. 
  
 21. Conditions Upon Issuance of Shares. Shares shall not be issued with respect to an
option unless the exercise of such option and the issuance and delivery of such shares pursuant thereto shall comply with all applicable provisions of law, domestic or foreign, including, without limitation, the Securities Act of 1933, as amended,
the Exchange Act, the rules and regulations promulgated thereunder and the requirements of any shares exchange upon which the shares may then be listed, and shall be further subject to the approval of counsel for the Company with respect to such
compliance. 
  
 As a condition to the exercise of an option, the Company may require the person exercising such
option to represent and warrant at the time of any such exercise that the shares are being purchased only for investment and without any present intention to sell or distribute such shares if, in the opinion of counsel for the Company, such a
representation is required by any of the aforementioned applicable provisions of law. 
  
 22. Term of Plan.
The Plan shall continue in effect for a term of ten (10) years after November 18, 1999, the date of its approval by the Board, unless sooner terminated under Section 19 hereof. 
  
  
  
 *        *        *

 

 10

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