Document:

Exhibit

Exhibit 10.1

AEGION CORPORATION
MANAGEMENT ANNUAL INCENTIVE PLAN
CORPORATE EMPLOYEES

This Management Annual Incentive Plan (the “Plan”) of Aegion Corporation (the “Company”) is effective as of the 1st day of January 2019.

		
	A.
	Plan Purpose

The purpose of this Plan is to enhance business performance by motivating and rewarding executive and management employees for the achievement of incentive goals structured to achieve desired corporate results.

		
	B.
	Eligible Employees

A committee comprised of the Company’s Chief Executive Officer, General Counsel, Chief Financial Officer and Senior Vice President - Human Resources (together, the “Plan Committee”), shall designate the employees of the Company and its subsidiaries who are to be participants (the “Participants”) in the Plan for the applicable fiscal year, which, in this case, is January 1, 2019 through December 31, 2019 (the “Plan Year”).

Except where prohibited by law, as a condition to participation in the Plan and the receipt of any payment hereunder, Participants shall be required to sign any (i) confidentiality, non-solicitation and/or non-competition agreement, (ii) acknowledgement of the Company’s right to recoup any incentive compensation and/or (iii) acknowledgment of and agreement to comply with the Company’s Code of Conduct, each as may be required by the Company. Certain Participants who are employees of a business unit may participate in both this Plan and the plan for business unit employees, with a total award based in part on performance in this Plan and in part on performance under the plan for business unit employees.

To be eligible for payment under the Plan, an employee must be a current employee in good standing at the time of payout, which includes, but is not limited to, completing the Company’s annual compliance training requirements within the time period provided for completion. In addition, to be eligible for payment under the Plan, a Participant must have up to date performance reviews completed by June 30, 2019 and individual personal objectives in place by March 31, 2019 for each of the Participant’s direct reports. The Company has the right, in its sole discretion, to determine whether an employee is in good standing and/or otherwise eligible for a Plan award.

		
	C.
	Participant Incentive Award Goals

The Plan Committee shall establish an incentive award goal (a “Goal”) for each Participant that shall be expressed as a percentage of such Participant’s annual base salary. Participant Goals shall be reviewed and approved by the Plan Committee on an annual basis. The Compensation Committee of the Board of Directors of the Company (the “Compensation Committee”) shall approve Goals and Bookings Targets (as defined below), if applicable, of all executive officers of the Company.

		
	D.
	Funding and Award Summary

Each Participant’s Goal shall be measured and achieved through two separately weighted elements: (a) a Financial Goal weighted at 75% of the overall Goal; and (b) a Non-Financial Goal weighted at 25% of the overall Goal.

Financial Goal: 75% of each Goal under the Plan (the “Financial Goal”) shall be based upon total Company performance for the Plan Year or portion of Plan Year, as applicable for the biannual awards described in Section H of this Plan (the “Biannual Awards”),1 subject to the discretion of the Compensation Committee based upon other subjective performance factors. Total Company performance shall be measured based on the actual consolidated Company EBT (as defined below) achieved (“Actual EBT”) as compared against the targeted consolidated Company EBT (“EBT Target”) for the Plan Year, or portion of Plan Year, as applicable for the Biannual Awards (“Biannual EBT Targets”), each as approved by the Compensation Committee; provided, however, with respect to only Participants who have, as a primary job function, the oversight of sales (“Chief Sales Officer”), 50% of the Financial Goal shall be measured based on the actual consolidated Company Bookings (as defined below) achieved for the Plan Year (“Actual Bookings”) as compared against the target Bookings (“Bookings Target”) for the Plan Year, or portion of Plan Year, as applicable for the Biannual Awards (“Biannual Bookings Targets”), as approved by the Company’s Chief Executive Officer, and the remaining 50% of the Financial Goal shall be based on Actual EBT.

Non-Financial Goal:  25% of each Goal under the Plan shall be based upon the achievement of at least three of four individual personal objectives for the Plan Year (the “Non-Financial Goal”). A Participant’s individual personal objectives for the Plan Year shall be approved by the Participant’s direct supervisor no later than March 31, 2019; however, a Participant and his/her direct supervisor may jointly modify a Participant’s objectives during the Plan Year if circumstances warrant. A Participant’s achievement of such objectives shall be determined by the Participant’s direct supervisor. A Participant’s achievement of at least three of their personal objectives shall entitle them to a 25% payout of his/her Goal. Failure to achieve at least three personal objectives will result in zero payout of the Non-Financial Goal. The Non-Financial Goal is an “all or nothing” pay-out goal. A Participant will be eligible for full payment of the Non-Financial Goal regardless of whether the Annual EBT Target is achieved. In the event a Participant achieves his/her Non-Financial Goal, and if the Company exceeds the Annual EBT Target, the Participant shall be eligible to receive greater than the 25% payout amount in accordance with the payout schedule set forth in Exhibit A. The Company’s failure to achieve at least 100% of the Annual EBT Target shall not impact the funding or payment of the Non-Financial Goal.

		
	E.
	EBT and Bookings

For purposes of this plan, “EBT” shall be defined as “income before taxes on income and before extraordinary items less income/(loss) before taxes of non-controlling interests” of the Company for the Plan Year, which shall mean the consolidated income before taxes on income and less income/(loss) before taxes of non-controlling interests of the Company during the fiscal year, as determined by the Plan Committee in conformity with accounting principles generally accepted in the United States of American and contained in financial statements that are subject to an audit report of the Company’s independent public accounting firm, but excluding:

		
	(i)
	operating results and/or losses associated with the write-down of assets of a subsidiary, business unit or division that has been designated by the Board of Directors as a discontinued business operation or to be liquidated;

		
	(ii)
	gains or losses on the sale of any subsidiary, business unit or division, or the assets or business thereof;

		
	(iii)
	gains or losses from the disposition of material capital assets (other than in a transaction described in subsection (ii)) or the refinancing of indebtedness, including, among other things, any make-whole payments and prepayment fees;

1 All references to the Plan Year include applicable portions of the Plan Year, as they apply to the Biannual Awards described in Section H of this Plan.

		
	(iv)
	losses associated with the write-down of goodwill or other intangible assets of the Company due to the determination under applicable accounting standards that the assets have been impaired;

		
	(v)
	gains or losses from material property casualty occurrences or condemnation awards, taking into account the proceeds paid by insurance companies and other third parties in connection with the casualty or condemnation;

		
	(vi)
	any income statement effect resulting from a change in tax laws, accounting principles (including, without limitation, generally accepted accounting principles), regulations, or other laws regulations affecting reported results, except, in each case, to the extent the effect of such a change is already reflected in the target EBT amount;

		
	(vii)
	reorganization or restructuring charges and acquisition- or divestiture-related transaction expenses and costs;

		
	(viii)
	any gains or losses from unusual nonrecurring or extraordinary items;

		
	(ix)
	operating results of any entity or business acquired or disposed of during the Plan Year, except, in the case of an acquisition, to the extent such entity or business was included in the Company’s operating business plan for the Plan Year or, in the case of a disposition, to the extent such entity or business was not included in the Company’s operating business plan for the Plan Year;

		
	(x)
	any gain or loss resulting from currency fluctuations or translations as set forth in the Aegion Corporation Foreign Exchange Rate Policy for Annual Incentive Plan and Long- Term Incentive Plan;

		
	(xi)
	any material income or loss item the realization of which is not directly attributable to the actions of current senior management of the Company; and

		
	(xii)
	the income taxes (benefits of any of the above-designated gains or losses.

For purposes of this Plan, “Bookings” shall be defined as either (i) actual consolidated orders booked by the Company for the Plan Year (reduced by any previously recorded orders that were cancelled during the Plan Year), or (ii) actual consolidated gross profit for actual consolidated orders booked by the Company for the Plan Year (reduced by the actual gross profit associated with any previously recorded orders that were canceled during the Plan Year), each of which shall be calculated and determined by the Company’s Chief Financial Officer in a manner consistent with how the Company records and reports hard backlog.

The Compensation Committee shall have final authority with respect to any determination by the Plan Committee regarding the definition of “EBT” and “Bookings” and, in exercising such authority, may consult with the Company’s independent auditor and/or Audit Committee as it deems necessary and advisable.

		
	F.
	Consolidated Company Financial Performance Pool Funding

The Financial Goal portion of the Plan, as well as any payout amount exceeding the Non- Financial Goal portion of the Plan (i.e. amounts exceeding 25% of the overall Goal), shall be funded based on the EBT performance and Bookings performance of the Company as a whole (such funding pool shall be referred to as the “Consolidated Company Financial Performance Pool”). At the outset of each Plan Year, the Compensation Committee shall determine (i) the EBT Target for the Plan Year; (ii) with respect to Sales Participants who are executive officers, if applicable, the Bookings Target for the Plan Year; and

(iii) the target funding amount (the “Company Target Funding Amount”) based on both the EBT Target and the Bookings Target for the Consolidated Company Financial Performance Pool. The actual amount funded to the Consolidated Company Financial Performance Pool shall be determined upon calculation of Actual EBT and Actual Bookings after the end of the Plan Year, subject to any adjustments required pursuant to Section E hereof.

		
	1.
	If Actual EBT equals the EBT Target, the portion of the Consolidated Company Financial Performance Pool related to EBT shall be equal to the portion Company Target Funding Amount related to EBT, subject to the additional terms specified in Exhibit A.

		
	2.
	If Actual EBT exceeds or falls below the EBT Target, the portion of Consolidated Company Financial Performance Pool related to EBT shall be determined in accordance with the chart in Exhibit A (using interpolation for Actual EBT levels as specified therein), and subject to the additional terms specified therein.

		
	3.
	If Actual EBT is less than the threshold percentage of the EBT Target specified in the chart in Exhibit A, the maximum amount funded to the Consolidated Company Financial Performance Pool shall be equal to $500,000; provided, however, that (i) such amount shall only be awarded to individual Participants for extraordinary performance, as determined by the Company’s Chief Executive Officer in his sole discretion (subject to the review and approval by the Compensation Committee of any awards to executive officers of the Company); (ii) such amount shall be reduced such that any funding under this paragraph and the similar mechanism in Section F(13) of the Management Annual Incentive Plan for Business Unit Employees shall together not exceed $500,000.

		
	4.
	If Actual Bookings equals the Bookings Target, the portion of the Consolidated Company Financial Performance Pool related to Bookings shall be equal to the portion of Company Target Funding Amount related to Bookings, subject to the additional terms specified in Exhibit B.

		
	5.
	If Actual Bookings exceed or falls below the Bookings Target, the portion of the Consolidated Company Financial Performance Pool related to Bookings shall be determined in accordance with the chart in Exhibit B (using interpolation for Actual Bookings levels as specified therein), and subject to the additional terms specified therein.

		
	6.
	If Actual Bookings are less than the threshold percentage of the Bookings Target (after the threshold percentage has been determined by the Chief Executive Officer in his sole discretion, per Exhibit B), the amount funded to the Consolidated Company Financial Performance Pool shall be equal to $0.

The maximum funding amount for the Consolidated Company Financial Performance Pool shall be 200% of the Company Target Funding Amount. In all events, the Compensation Committee, subject to any required approval of the Board of Directors, shall have the ability and authority to increase or decrease the amount of the Consolidated Company Financial Performance Pool calculated in accordance with the provisions of this Plan to reflect any extraordinary or unforeseen events or occurrences during the Plan Year.

		
	G.
	Consolidated Company Financial Performance Bonus Pool Awards

The Consolidated Company Financial Performance Pool Shall be awarded to Participants subject to available pool funding.  Except as otherwise provided in Section L below, a Participant must be an employee in good standing at the time the award is paid.  The Company has the right, in its sole discretion, to determine whether an employee is in good standing and/or otherwise eligible for a Plan award.

		
	H.
	Award Opportunities for Non-Sales Participants

Each non-sales Participant has the following opportunities to be paid an Award:

		
	1.
	1H2019 Award

If the Company achieves the 1H2019 EBT Target in the first half of the Plan Year, each non- Sales Participant shall be eligible to receive an Award of up to one-third of his/her Financial Goal (“1H2019 Award”). The following Participants are not eligible for a 1H2019 Award:

		
	•
	Participants who are Section 16 Officers of the Company on June 30, 2019

		
	2.
	2H2019 Award

If the Company achieves the 2H2019 EBT Target in the second half of the Plan Year, each non- Sales Participant shall be eligible to receive an Award of up to one-third of his/her Financial Goal (“2H2019 Award”), subject to the payout offsets described in Section J. The following Participants are not eligible for a 2H2019 Award:

		
	•
	Participants who are Section 16 Officers of the Company on December 31, 2019

		
	3.
	Annual Award

If a non-sales Participant achieves his/her individual personal objectives tied to the Non-Financial Goal for the Plan Year (as required under Section D herein), as determined by Participant’s direct supervisor, the Participant will receive 25% of his/her Goal (“Personal Objectives Award”). A Participant will be eligible for a Personal Objective Award regardless of whether the Annual EBT Target is achieved. However, if the Annual EBT Target exceeds 100% of EBT Target, the Personal Objective Award may be increased according to the payout schedule in the Annual EBT Chart in Exhibit A.

If the Company achieves its EBT threshold for the Plan Year, each non-Sales Participant shall be eligible to receive an Annual Award of up to 200% of his/her Financial Goal (“Annual Award”), less the amount of any 1H2019 Award and/or 2H2019 Award paid to the Participant and subject to the payout offsets described in Section J. The payout scale shall be as follows:

		
	•
	If actual EBT is less than 75% of the EBT Target, the Consolidated Company Financial Performance Pool shall not be funded (subject to Section F(3)).

		
	•
	If actual EBT is at least 75% of the EBT Target but less than 100% of EBT Target, each Participant shall be eligible to receive a minimum of 50% of his/her Financial Goal.

		
	•
	If actual EBT is at least 100% of the EBT Target but less than 110% of EBT Target, each Participant shall be eligible to receive a minimum of 100% of his/her Financial Goal.

		
	•
	If actual EBT is at least 110% of the EBT Target but less than 120% of EBT Target, each Participant shall be eligible to receive a minimum of 150% of his/her Financial Goal.

		
	•
	If actual EBT is at least 120% of the EBT Target, each Participant shall be eligible to receive 200% of his/her Financial Goal.

		
	•
	To the extent the Company’s actual EBT is greater than 75% of Target EBT but less than 100% of Target EBT, or greater than 100% of Target EBT but less than 120% of Target EBT, the payout level shall be calculated based on a straight-line, sliding scale using the performance levels (75% and 100%, on the one hand, and 100% and 120%, onthe other hand) between which the Company’s actual performance falls as the end points for this calculation.

		
	I.
	Award Opportunities for Chief Sales Officer

If specifically and separately designated in writing by the Chief Executive Officer as eligible for an AIP award in 2019, the Chief Sales Officer has the opportunity to be paid an Annual Award, as follows:

		
	•
	25% of the target payout is tied to a Non-Financial Goal, as set forth herein.

		
	•
	75% of the target payout is tied to a Financial Sales Goal, defined as follows:

		
	◦
	50% of the target payout for each Sales Participant tied to a Financial Sales Goal shall be based on EBT, as described in Section H, and as set forth in the payout scale in Exhibit A (the “EBT Sales Goal”).

		
	◦
	50% of the target payout tied to a Financial Sales Goal shall be based on Bookings, as set forth in the payout scale in Exhibit B, and in accordance with the following parameters (the “Bookings Sales Goal”):

		
	•
	If Actual Bookings are less than 95% of the Bookings Target (at 100%), the Bookings Sales Goal shall not be funded with respect to Bookings.

		
	•
	The Target Payout percentage for the threshold Bookings Target for the Chief Sales Officer with Bookings Goals also shall be equal to the average of the percentage of Target Payout for each of the three Senior Vice Presidents of Sales, or as otherwise designated, for the Company’s three platforms.

		
	•
	To the extent the Company’s Actual Bookings are greater than the threshold Bookings Target but less than 100% of Bookings Target, or greater than 100% of the Bookings Target but less than the maximum Bookings Target, the payout level of the Bookings Sales Goal shall be calculated based on a straight-line, sliding scale using the performance levels (threshold and target, on the one hand, and target and maximum, on the other hand) between which the Company’s Actual Bookings performance falls as the end points for this calculation.

		
	J.
	Payout Offsets for 2H2019 and Annual Awards

For 2H2019 and Annual Awards, once performance criteria have been met and a Target Payout has been calculated per the tables above, Financial Goal payouts may be reduced subject to one or more of the following offsets:

		
	•
	Payouts shall be reduced by 17% if the Company fails to achieve its Company consolidated DSO target for 2019.

		
	•
	Payout shall be reduced by 17% if the Company fails to achieve its Company consolidated Total Recordable Incident Rate (“TRIR”) goal for 2019.

		
	•
	Annual Awards shall be offset by amounts paid for 1H2019 and H2019 Awards. In the event that a Participant receives a 1H2019 and/or 2H2019 Award, but is not eligible for an Annual Award due to failure to meet the Annual EBT threshold, the Participant will not be required to pay back the 1H2019 and/or 2H2019 Award or any portion thereof.

		
	K.
	Timing of Awards; Allocation of Unearned Awards; Maximum Award Amount

Awards shall be paid as follows:

		
	1.
	1H2019 Awards shall be paid by September 15 of the Plan Year.

		
	2.
	2H2019 Awards shall be paid by March 15 of the succeeding Plan Year.

		
	3.
	Annual Awards shall be paid by March 15 of the succeeding Plan Year.

Except as otherwise provided below and where allowed by law, Participants who are not employed on the payment date shall not be eligible to receive any payment.

For the 1H2019 Award, a Participant who becomes employed after January 1 shall not be eligible to receive a 1H2019 Award. A Participant who takes an approved leave of absence for more than 15 days during the first half of the Plan Year shall only be eligible to receive an award prorated for the amount of time the Participant was actively working during the first half of the Plan Year (based on the number of days out of 181).

For the 2H2019 Award, a Participant who becomes employed after July 1 shall not be eligible to receive a 2H2019 Award. A Participant who takes an approved leave of absence for more than 15 days during the second half of the Plan Year shall only be eligible to receive an award prorated for the amount of time the Participant was actively working during the second half of the Plan Year (based on the number of days out of 184).

For the Annual Award, a Participant who becomes employed after January 1 but prior to October 1 of a Plan Year shall only be eligible to receive an award prorated for the amount of time the Participant was employed during the Plan Year (based on the number of days of employment out of 365). A Participant who takes an approved leave of absence for more than 30 days during the Plan Year shall only be eligible to receive an award prorated for the amount of time the Participant was actively working during the Plan Year (based on the number of days out of 365). A Participant must be employed as of October 1 in a Plan Year to be eligible to receive an Annual Award.

If a Participant changes to another Management Annual Incentive Plan during the Plan Year, the Participant’s potential 1H2019, 2H2019 and/or Annual Award payouts will be calculated prorata based on the Participant’s eligible time in each Plan.

A Participant who Retires (as defined below) during a Plan Year (or before an amount for a Plan Year becomes payable) shall not be eligible to receive any portion of the Non-Financial Goal, and shall be eligible to receive an award for the Financial Goal prorated for the amount of time the Participant was employed as a Participant during such Plan Year (based on the number of days of employment out of 365). For these purposes, “Retires” means that the Participant voluntarily terminates his or her employment by written notice to the Company during the Plan Year after (i) attaining the age of 55 and completing at least 10 years of service for the Company; (ii) attaining the age of 60 and completing at least five years of service for the Company; or (iii) attaining the age of 65. A Participant who Retires between January 1, 2019 and the 1H2019 Award payout date (as set forth in Section K) will not be eligible to receive a 1H2019 Award or 2H2019 Award. A Participant who Retires between July 1, 2019 and the 2H2019 payout date (as set forth in Section K) will not be eligible to receive a 2H2019 Award.

The Beneficiary (as defined below) of a Participant who dies during a Plan Year shall not be eligible to receive any portion of the Non-Financial Goal, and shall be eligible to receive an award for the Financial Goal prorated for the amount of time the individual was a Participant during such Plan Year prior to his or her death (based on the number of days of employment out of 365). The amount of such award shall be based on the Participant’s annualized base salary and the target award level (i.e., without regard to actual performance). Payment shall be made within 30 days of the date of death. For these purposes, “Beneficiary” means the Participant’s surviving spouse and, if the Participant leaves no surviving spouse, the Participant’s estate. Beneficiaries of Participant who dies between January 1, 2019 and the 1H2019 Award payout date (as set forth in Section K) will not be eligible to receive a 1H2019 Award or 2H2019 Award. Beneficiaries of Participant who dies between July 1, 2019 and the 2H2019 payout date (as set forth in Section K) will not be eligible to receive a 2H2019 Award.

A Participant who incurs a Disability (as defined below) during a Plan Year shall not be eligible to receive any portion of the Non-Financial Goal, and shall be eligible to receive an award for the Financial Goal prorated for the amount of time the individual was a Participant during such Plan Year prior to his or her Disability (based on the number of days of active employment out of 365). The amount of such award shall be based on the Participant’s annualized base salary and the target award level (i.e., without regard to actual performance). Payment shall be made within 30 days of the date of the Disability. For these purposes, “Disability” means that the Participant is, by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than 12 months, receiving income replacement benefits for a period of not less than three months under an accident and health plan covering employees of the Company. A Participant who incurs a Disability between January 1, 2019 and the 1H2019 Award payout date (as set forth in Section K) will not be eligible to receive a 1H2019 Award or 2H2019 Award. A Participant who incurs a Disability between July 1, 2019 and the 2H2019 payout date (as set forth in Section K) will not be eligible to receive a 2H2019 Award.

In the event of a Change in Control (as defined below), outstanding awards shall become payable, based on the annualized base salary of each Participant, prorated based on the days in the Plan Year prior to the Change in Control, using the greater of the actual performance at the date of the Change in Control or the target award level. Payment shall be made within 30 days of the date of the Change in Control and will be offset by payments made for 1H2019 and/or 2H2019 Awards. For these purposes, a “Change in Control” shall mean (i) the acquisition by one person, or more than one person acting as a group, in a transaction or series of related transactions, of ownership of stock of the Company that, together with stock held by such person or group, constitutes more than 30% of the total fair market value or total voting power of the stock of the Company; and/or (ii) a majority of the members of the Company’s Board of Directors is replaced during any twelve-month period by directors whose appointment or election is not endorsed by a majority of the members of the Company’s Board of Directors before the date of the appointment or election; and/or (iii) the consummation of a merger or consolidation of the Company other than a merger or consolidation that would result in the voting securities of the Company outstanding immediately prior to the transaction continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity or any parent thereof) at least 50% of the combined voting power of the securities of the Company or such surviving entity or any parent thereof outstanding immediately after such merger or consolidation; and/or (iv) the stockholders of the Company approve a plan of complete liquidation or dissolution of the Company or there is a consummated sale or disposition by the Company of all or substantially all of the Company’s assets, other than a sale or disposition by the Company of all or substantially all of the Company’s assets to an entity, at least 50% of the combined voting power of the voting securities of which are owned by stockholders of the Company in substantially the same proportions as their ownership of the Company immediately prior to such sale.

For purposes hereof, “person” shall mean any person, entity or “group” within the meaning of Section 13(d)(3) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), except that such term shall not include (i) the Company or any of its affiliates; (ii) a trustee or other fiduciary holding securities under an employee benefit plan of the Company or any of its affiliates, (iii) an underwriter temporarily holding securities pursuant to an offering of such securities, (iv) a corporation owned, directly or indirectly, by the stockholders of the Company in substantially the same proportion as their ownership of stock of the Company, or (v) a person or group as used in Rule 13d-1(b) under the Exchange Act.

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 similar business transaction with the Company.

Any accrued bonus amount attributable to (i) employees who are not in good standing at the time of payout or (ii) employees who are no longer eligible to receive bonus awards due to their employment ending prior to the bonus award payment date, shall be reallocated to other eligible bonus awards.

The maximum Award payable under this Plan to any Participant shall be 200% of such Participant’s Goal.

		
	L.
	Salary & Eligibility Percentage Measurement

Payouts for 1H2019 Awards shall be based upon a Participant’s salary and AIP Goal as same exist on June 15, 2019.

Payouts for 2H2019 Awards and Annual Awards shall be based upon a Participant’s salary and AIP Goal as same exist on December 15, 2019.

		
	M.
	Nature of Plan

This Plan is a statement of intent and is not a contract.  This Plan constitutes a discretionary bonus plan and is not a guarantee of employment, and each Participant’s employment with the Company remains “at will” to the maximum extent permitted by applicable law. This Plan may be modified, suspended or terminated at any time during the Plan Year, and all awards are at the discretion of the Company’s Board of Directors or the Compensation Committee until the end of the Plan Year, when the bonus pool will become unconditionally funded based on the criteria set forth in this Plan document. This Plan may be changed during a Plan Year without any obligation of the Company to pay for the elapsed part of the Plan Year in the manner described in the Plan. The decisions of Company management, the Plan Committee, the Board of Directors and/or the Compensation Committee in administering and interpreting the Plan are final and binding on all persons.Exhibit

EXHIBIT 10.2

	
			
	 
	 
	

Name:
Award Date:  
Deferred Stock Units:

Director Deferred Stock Unit Agreement for Annual Grants under the
Amended and Restated Aegion Corporation 2016 Non-Employee Director Equity Plan 

Aegion Corporation (the “Company”) hereby awards to you the number of Deferred Stock Units shown above, effective as of the Award Date.  Each Deferred Stock Unit represents the obligation of the Company to transfer one share of the Company’s Class A common stock, par value $0.01 per share (the “Common Stock”) to you at the time provided in this Agreement.  This award is granted to you pursuant to the Amended and Restated Aegion Corporation 2016 Non-Employee Director Equity Plan (the “Plan”), and is subject to the terms and conditions in the Plan and those set forth below.  Any capitalized, but undefined, term used in this Agreement shall have the meaning ascribed to it in the Plan.  Your signature below constitutes your acceptance of this award and acknowledgment of your agreement to all the terms and conditions contained herein.  Please return an executed copy to the Company’s General Counsel, or such officer’s designee.

	
			
	Accepted by Director:
	 
	AEGION CORPORATION

	 
	 
	 

	 
	 
	 

	 
	 
	 

	__________________________________________
	 
	By: _________________________________________

	(Name)
	 
	Mark A. Menghini, Senior Vice President,

	 
	 
	General Counsel and Secretary

Terms and Conditions

1.    Bookkeeping Account.  The Company will record the number of Deferred Stock Units granted to you under this Agreement to a bookkeeping account for you (the “Deferred Stock Unit Account”).  Your Deferred Stock Unit Account will be reduced by the number of shares of Common Stock transferred to you in accordance with Section 3.  Your Deferred Stock Unit Account also will be adjusted from time to time for any stock dividends, stock splits and other such transactions in accordance with Section 5.  The Deferred Stock Unit Account represents an unsecured promise by the Company to deliver shares of Common Stock in the future.  Your rights to your Deferred Stock Unit Account will be no greater than that of other general, unsecured creditor of the Company

2.    Vesting; Transferability Restriction.  Your Deferred Stock Units are subject to a one-year vesting period from the date of grant.  Deferred Stock Units will vest on the one-year anniversary of the date of grant; provided that Deferred Stock Units will vest immediately upon a Change in Control or upon your termination of service from the Company’s Board of Directors due to your death or disability (as determined by the Company).  Deferred Stock Units that have not vested upon your termination of service from the Company’s Board of Directors will be automatically and immediately forfeited and you will have no right to receive the underlying related Common Stock.  However, if your termination of service from the Company’s Board of Directors is due to your Retirement (as defined below), you will receive a cash payment upon Retirement equal to the closing price of the Company’s Common Stock on the date of your Retirement multiplied by the number of unvested Deferred Stock Units that were  forfeited and by a fraction, the numerator of which is the number of days of service you completed during the vesting period, and the denominator of which is three hundred sixty-five (365).  For these purposes, “Retirement” means your voluntary resignation from the Company's Board of Directors for reasons unrelated to death, disability or Change in Control.

Your Deferred Stock Units are not transferable by you.  Except as may be required by federal income tax withholding provisions or by the tax laws of any state, your interests (and the interests of your beneficiaries, if any) under this Agreement are not subject to the claims of your creditors and may not be voluntarily or involuntarily sold, transferred, alienated, assigned, pledged, anticipated, or encumbered.  Any attempt to sell, transfer, alienate, assign, pledge, anticipate, encumber, charge or otherwise dispose of any right to benefits payable hereunder shall be void.

3.    Distribution of Shares of Common Stock.  
Promptly after the date(s) you specified in a written distribution election filed with the Company on or before December 31, 2018, shares of Common Stock equal to the number of vested Deferred Stock Units reflected in your Deferred Stock Unit Account, shall be distributed to you in accordance with your election.  If you did not file such an election, distribution with respect to vested Deferred Stock Units will be made promptly following your termination of service on the Company’s Board of Directors, or, if earlier, upon a Change in Control.  Distributions shall be made in shares of Common Stock, with fractional shares rounded up to the nearest whole share.

4.     Death Beneficiary Designation.  You may designate a beneficiary or beneficiaries (contingently, consecutively or successively) to receive shares of Common Stock, if you die while Deferred Stock Units are held in your Deferred Stock Unit Account, and, upon your death, the Company will transfer shares of Common Stock equal in number to the vested Deferred Stock Units, if any, reflected in your Deferred Stock Unit Account to your beneficiary(ies).

You may designate a beneficiary or beneficiaries from time to time, and you may change your designated beneficiary(ies).  A beneficiary may be a trust.  A beneficiary designation must be made in writing in a form prescribed by the Company and delivered to the Company while you are alive.  If you do not have a designated beneficiary surviving at the time of your death, any transfer of shares of Common Stock will be made to your surviving spouse, if any, and if you do not have a surviving spouse, then to your estate.

5.    Cash Dividend Equivalents; Adjustments.  If the Company pays a cash dividend on its Common Stock, then, as soon as practical after such cash dividend is paid, the Company will pay you an amount in cash equal to the amount per share of such cash dividend multiplied by the number of Deferred Stock Units credited to your Deferred Stock Unit Account as of the record date of such cash dividend.  Notwithstanding the foregoing, dividend equivalents payable with respect to unvested Deferred Stock Units will be payable on the one-year anniversary of grant.

If there is any change in the Common Stock by reason of stock dividends, split-ups, mergers, consolidations, reorganizations, combinations or exchanges of shares or the like, the number of Deferred Stock Units credited to your Deferred Stock Unit Account shall be adjusted appropriately so that the number of Deferred Stock Units reflected in your Deferred Stock Unit Account after such an event shall equal the number of shares of Common Stock a stockholder would own after such an event if the stockholder, at the time such an event occurred, had owned shares of Common Stock equal to the number of Deferred Stock Units reflected in your Deferred Stock Unit Account immediately before such an event.

6.    No Stockholder Rights.  You will not have any stockholder rights, such as rights to vote or to receive dividends or other distributions, with respect to any Deferred Stock Units reflected in your Deferred Stock Unit Account.  You will have only the cash dividend equivalent and adjustment rights provided in this Agreement.

7.    Securities Laws.  Shares of Common Stock will not be transferred under this Agreement if such transfer would violate any federal or state securities law.  The Company may take any appropriate action to achieve compliance with those laws in connection with any transfer of Common Stock to you.

8.    No Right to Further Grants.  Deferred Stock Unit grants are within the discretion of the Plan Administrator, and no such grant entitles you to any further grants.

9.    Interpretations Binding.  Plan Administrator interpretations and determinations are binding and conclusive.

10.    Notices.  Notices to the Company or the Plan Administrator shall be sent to the Company’s Corporate Headquarters, Attn:  “General Counsel.”

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00295-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00295-of-00352.parquet"}]]