Document:

EX-10.6

 

			
	Performance Share Grant Agreement
	 	Exhibit 10.6

     1. The Performance Share Unit Grant for the number of Units specified on the award summary
page is granted to you under, and governed by the terms and conditions of, the 2008 Performance
Plan of The Goodyear Tire & Rubber Company, adopted effective April 8, 2008 (the “Plan”), and this
Grant Agreement. As your awards are conveyed and managed online, your online acceptance
constitutes your agreement to, and acceptance of, all terms and conditions of the Plan and this
Grant Agreement. You also agree that you have read and understand the provisions of the Plan, this
Grant Agreement and Annex A. All defined terms used in this Grant Agreement have the meanings set
forth in the Plan.

     2. All rights conferred upon you under the provisions of this Grant Agreement are personal to
you and no assignee, transferee or other successor in interest shall acquire any rights or
interests whatsoever under this Grant Agreement, which is made exclusively for the benefit of you
and the Company, except by will or the laws of descent and distribution.

     3. As further consideration for the Units granted to you hereunder, you must remain in the
continuous employ of the Company or one or more of its Subsidiaries until December 31, 20___, the
end of the Performance Period. Any Units earned will be prorated in the event of your death,
Retirement (defined as termination of employment at any age after 30 or more years, or at age 55 or
older with at least 10 years, of continuous service with the Company and its Subsidiaries) or
Disability (defined as termination of employment while receiving benefits under a long-term
disability income plan maintained by the Company or one of its Subsidiaries) prior to completion of
the Performance Period. Any proration is based on the last day you worked. Nothing contained
herein shall restrict the right of the Company or any of its Subsidiaries to terminate your
employment at any time, with or without cause.

     4. You will forfeit the right to receive any distribution or payment under this award if you
enter into a relationship either as an employee, consultant, agent or in any manner whatsoever with
an entity that sells products in competition with products sold by the Company and its Subsidiaries
within six months after the earlier of (1) the date you receive your distribution of Units earned
or (2) the date you cease to be an employee of the Company or one of its Subsidiaries.

     5. The number of Units earned will be paid as follows:

     (a) Each Unit earned will be valued at a dollar amount equal to the Fair
Market Value of the Common Stock on December 31, 20___(the “Unit Value”).

     (b) The Company will pay to you an amount equal to 50% of the Unit Value
multiplied by the total number of Units earned in cash and an amount equal to 50% of
the total number of units earned in shares of Common Stock, less such withholding and payroll taxes as the Company
shall determine to be necessary or appropriate (withholding and payroll taxes to be
deducted from the cash portion of the payment) by March 15, 20___; provided, however,
that notwithstanding the foregoing, you may elect, by delivering a written notice of
your election to the Company not later than June 30, 20___, to defer all or a
specified whole

 

 

			
	Performance Share Grant Agreement
	 	 

percentage of the aforesaid Units earned until the Optional Deferral
Date (as defined below), in which event the amount you elect to defer (which shall
be equal to the product of UE x PDE, where UE equals the number of Units earned and
PDE equals the percentage, expressed as a decimal, of the Units earned you elect to
defer) will be credited by March 15, 20___to an account maintained in the records of
the Company (the “Optional Deferred Amount”) and will be converted into Deferral
Units (as defined below). The amount of such deferral will be reduced, if
necessary, to pay such tax, payroll and other withholding obligations as the Company
shall determine to be necessary or appropriate.

     (c) Notwithstanding the foregoing, the Compensation Committee of the Board of
Directors may, at its sole election, at any time and from time to time require that
the payment of the entire, or any portion of the, Unit Value of any number of the
Units earned shall be deferred until the Optional Deferral Date, or such later date
as it shall deem appropriate, in order for the Company to conform to the
requirements of Section 162(m) of the Internal Revenue Code (the “Required Deferral
Amount”). Any Required Deferral Amount so deferred will be credited to an account
maintained in the records of the Company and will be converted into Deferral Units,
the number of which shall be determined by dividing each amount so deferred by the
Fair Market Value of the Common Stock on the date of such deferral.

     6. As used herein, the term: (1) “Deferral Unit” means an equivalent to a hypothetical share
of the Common Stock; (2) “Optional Deferral Date” means the first business day of the twelfth month
following the month during which you cease to be employed by the Company, or one of its
Subsidiaries, for any reason (whether Retirement, Disability, death, voluntary termination or
otherwise); (3) “Optional Deferral Unit” means each Deferral Unit resulting from any Optional
Deferred Amount, including Dividend Equivalents credited in respect thereof; and (4) “Required
Deferral Unit” means each Deferral Unit resulting from any Required Deferred Amount, including
Dividend Equivalents credited in respect thereof. All computations relating to Deferral Units,
fractions of shares of Common Stock and Dividend Equivalents will be rounded, if necessary, to the
fourth decimal place.

     7. Each Deferral Unit will be credited with one Dividend Equivalent on each date on which
cash dividends are paid on shares of the Common Stock (and each fraction of a Deferral Unit shall
be credited with a like fraction of a Dividend Equivalent). Dividend Equivalents (and fractions
thereof, if any) will be automatically translated into Deferral Units by dividing the dollar amount
of such Dividend Equivalents by the Fair Market Value of the Common Stock on the date the relevant
Dividend Equivalents are accrued to your account. The number of Deferral Units (and any fractions
thereof) resulting will be credited to your account (in lieu of the dollar amount of such Dividend
Equivalent) and shall continually be denominated in Deferral Units until converted for payment as
provided in this Grant Agreement.

     8. If you have duly elected to receive payment of all or a specified percentage of your
Deferral Units on the Optional Deferral Date (or if payment of any of the Deferral Units has been

 

 

			
	Performance Share Grant Agreement
	 	 

deferred until the Optional Deferral Date pursuant to the conversion thereof into Required Deferral
Units), you may elect, at the time and in the manner specified below, to receive such Deferral
Units in lieu of a lump sum on the fifth business day following the Optional Deferral Date, (1) in
a series of not less than five (5) or more than ten (10) annual installments commencing on the
fifth business day following the Optional Deferral Date, or (2) a specified percentage of your
Deferral Units on the fifth business day following the Optional Deferral Date and the balance of
your Deferral Units in installments as specified in clause (1) of this sentence.

     9. On the Optional Deferral Date (to the extent you have not elected to receive payment in
installments), the whole Deferral Units then in your account (which have not been designated for
payment in installments) will be converted at your election (which election shall be made in
writing on or before the last day of the seventh month prior to the month during which the Optional
Deferral Date occurs), into (1) a like number of shares of Common Stock, or (2) a dollar amount
determined by multiplying the number of whole Deferral Units credited to your account by the Fair
Market Value of the Common Stock on the Optional Deferral Date, or (3) a combination of shares of
Common Stock and cash in accordance with your election (which shall be expressed as a percentage of
the Deferral Units to be paid in shares of Common Stock). In accordance with your election, within
five business days following the Optional Deferral Date you will be paid (a) such number of shares
of Common Stock, (b) such amount of cash, or (c) the elected combination of shares of Common Stock
and cash, the amounts of which shall be determined in accordance with the preceding sentence.
If you did not make an election as to the form of payment on or before the required date, you will
receive payment in shares of Common Stock. Any fraction of a Deferral Unit will be paid to you on
the relevant date in cash, the amount of which shall be calculated in the manner specified above.

     10. If you desire to receive payment of your Deferral Units or a portion thereof in annual
installments, you may elect (by delivering to the Company a written notice of your election, which
shall specify the number of annual installments, not later
June 30, 20___ to receive all, or a
specified whole percentage of, the Deferral Units in your account (which would otherwise be
scheduled for distribution on the Optional Deferral Date) in not less than five (5) or more than
ten (10) annual installments, payable commencing on the fifth business day following the Optional
Deferral Date and thereafter on the fifth business day following each anniversary thereof until
paid in full. You may also elect (in writing on or before the last day of the seventh month prior
to the month during which the Optional Deferral Date occurs) to receive payment in shares of Common
Stock, cash or any combination of Common Stock and cash (expressed as a percentage of the Deferral
Units to be paid in shares of Common Stock. Each installment shall be in an amount equal to the
total number of Deferral Units credited to your account on the Optional Deferral Date, or on the
anniversary thereof which is the fifth business day prior to the date such installment is due and
payable, as the case may be, divided by the number of annual installments remaining (including the
annual installment then being calculated for payment) to be paid. In respect of each installment,
the number of Deferral Units payable shall, in accordance with your election, be converted into (1)
a like number of shares of Common Stock, (2) a dollar amount determined by multiplying the number
of whole Deferral Units credited to your account by the Fair Market Value of the Common Stock on
the relevant anniversary of the Optional Deferral Date (or the Optional Deferral Date in the case
of the first installment), or

 

 

			
	Performance Share Grant Agreement
	 	 

(3) the elected combination of shares of Common Stock and cash, the
amounts of which shall be determined in the manner specified above. Any fraction of Deferral Unit
will be paid to you on the relevant date in cash, the amount of which shall be calculated in the
manner specified above.

     11. You will be required to satisfy all Federal, state and local tax and payroll withholding
obligations, and any other withholding obligations, arising in respect of any distribution of
shares of Common Stock or cash to you. To the extent there is sufficient cash available, such
withholding obligations will be deducted from your distribution. To the extent the amount of cash
to be distributed is not sufficient to satisfy all withholding obligations, you may elect in
writing on or before the last day of the seventh month prior to the month during which the Optional
Deferral Date occurs to pay such withholding obligations as a condition of your receipt of any
distribution of shares of Common Stock or to have the number of shares of Common Stock reduced by
the number of shares equivalent to the required tax withholding obligation based on the Fair Market
Value of the Common Stock on the relevant anniversary of the Optional Deferral Date if payment is
in installments or on the Optional Deferral Date in the case of the first installment or payment in
the form of a lump sum.

     12. In the event of your death at any time prior to the Optional Deferral Date, your account
balance will be paid in cash in a lump sum on the fifth business day following the Optional
Deferral Date. In the event of your death at any time following the Optional Deferral Date and
prior to the distribution of your account, the entire balance of your account shall be paid in cash
on the anniversary of the Optional Deferral Date next following your date of death.

     13. Any notice to you under this Grant Agreement shall be sufficient if in writing and if
delivered to you or mailed to you at the address on record in the Executive Compensation
Department. Any notice to the Company under this Grant Agreement shall be sufficient if in writing
and if delivered to the Executive Compensation Department of the Company in Akron, Ohio, or mailed
by registered mail directed to the Company for the attention of the Executive Compensation
Department at 1144 East Market Street, Akron, Ohio 44316-0001. Either you or the Company may, by
written notice, change the address. This Grant Agreement shall be construed and shall take effect
in accordance with the laws of the State of Ohio.EX-10.7

 

			
	 
	 	Exhibit 10.7

RESTRICTED STOCK PURCHASE AGREEMENT

     THIS AGREEMENT is made and entered into this
                     day of
                               
         , 20                    , between The Goodyear
Tire & Rubber Company, an Ohio corporation, with its principal office at 1144 East Market Street,
Akron, Ohio 44316-0001 (hereinafter referred to as the “Company”), and Name, title, of the Company
residing at address (hereinafter referred to as “Grantee”).

WITNESSETH: that

     WHEREAS, Grantee became an employee of the Company on
                                        
, 20           
          and was appointed Title
of the Company effective
                                        
, 20                    ; and

     WHEREAS, the Compensation Committee of the Board of Directors of the Company deemed it in the
best interest of the Company and in furtherance of the purposes of the 2008 Performance Plan of The
Goodyear Tire & Rubber Company (the “Plan”) to award restricted shares of the Common Stock, without
par value, of the Company (the “Common Stock”) to Grantee pursuant to the Plan on and subject to
the terms, conditions and restrictions set forth herein; and

     WHEREAS, in accordance with action duly taken by the Compensation Committee of the Board of
Directors and by the Board of Directors, the following sets forth the terms, conditions and
restrictions of the award.

     NOW, THEREFORE, in consideration of the premises and the mutual covenants and agreements
herein contained, the parties hereby agree as follows:

SECTION 1. AWARD; PURCHASE AND SALE OF SHARES.

     The Company awards pursuant to the Plan and agrees to sell to Grantee, and Grantee agrees to
subscribe for and purchase from the Company, on and subject to the terms and conditions set forth
in this Agreement,
                                        
 shares of Common Stock (the “Shares”) at a purchase price of one cent
($.01) per share. The aggregate purchase price of $                     for the Shares shall be paid by Grantee by
check, payable to the order of the Company, or by such other method as may be acceptable to the
Company. The purchase and sale shall be consummated at the principal offices of the Company at
such time as shall be agreed upon by the Company and Grantee, but in no event later than
                                        
, 20                    . Upon receipt of the purchase price, the Company will cause a certificate or
certificates for the Shares to be issued to Grantee as the registered owner thereof. Upon the
purchase and issuance of the Shares, Grantee will be entitled to receive dividends and exercise
voting rights. Grantee agrees that the Shares shall be subject to the restrictions on transfer set
forth in Section 2 of this Agreement and to the Purchase Option set forth in Section 3 of this
Agreement. Grantee hereby agrees that the Company shall retain, at its principal offices,
possession of the certificate or certificates representing the Shares, duly endorsed in blank by
Grantee or with duly executed stock power(s) attached, all in a form suitable for the transfer of
the Shares.

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SECTION 2. RESTRICTIONS ON TRANSFER.

     Grantee shall not have the right or power to, and shall not, sell, assign, transfer, pledge,
hypothecate, or otherwise dispose of, by operation of law or otherwise, any of the Shares, or any
interest therein, so long as and to the extent that the Shares are subject to the Purchase Option
of the Company provided for at Section 3 of this Agreement.

SECTION 3. COMPANY PURCHASE OPTION.

     A. The Company shall have the right and option to purchase all of the Shares from Grantee for
one cent ($.01) per share (the “Option Price”), if Grantee ceases to be employed by the Company for
any reason (the “Purchase Option”), except as expressly provided in Subsection B of this Section 3.
Except as otherwise provided in Subsection C of this Section 3, the Purchase Option of the Company
will expire on
                                        
, 20                     if Grantee has been continuously employed from the date of this
Agreement through
                                        
,
20                    .

     B. In the event Grantee ceases to be an employee of the Company at any time subsequent to
                                        
, 20                     by reason of [his/her] death or total disability (as defined in the Company’s
Long-Term Disability Benefits for Salaried Employees Plan (the “LTDB Plan”)), the Purchase Option
shall thereupon terminate in respect of that number of the Shares which is equal to the product of
(i)                    , multiplied by (ii) a fraction the numerator of which is the number of full calendar
months elapsed during the period beginning on
                                        
, 20                     and ending on the date of the
death or total disability (as defined in the LTDB Plan) of Grantee, and the denominator of which is
[36], and the Purchase Option shall be exercised with respect to the remaining Shares.

     C. In the event that on or before
                                        
, 20                     the Company determines that it would not
be able to deduct for Federal Income Tax purposes the entire value of the Shares (less the purchase
price paid by Grantee) by reason of the provisions of Section 162(m) of the Internal Revenue Code
of 1986, as amended (the “Internal Revenue Code”), or any successor statute, in the 20___tax year
of the Company, then the restrictions on transfer set forth in Section 2 of this Agreement shall
continue and the
Purchase Option of the Company shall be automatically extended until such date as the value of
such Shares would be deductible by the Company for Federal Income Tax purposes. The Purchase
Option of the Company shall be extended pursuant to this Subsection C only to the extent, and only
in respect of that number of the Shares, necessary in order to assure the deductibility by the
Company for Federal Income Tax purposes of the value of the Shares (net of the purchase price paid
by Grantee).

     D. Notwithstanding anything herein to the contrary, in the event that a Severance (as defined
at Section 13 of the Plan) shall occur at any time after
                                        
, 20                    , the Purchase Option of
the Company shall automatically terminate in respect of all of the Shares on the date on which such
Severance occurs.

     E. The Company may exercise the Purchase Option by delivering or mailing to Grantee, or to
[his/her] estate, at [his/her] address written notice of exercise within 60 days after the
termination of Grantee’s employment with the Company, which notice shall specify the number of
Shares to be purchased. The Company shall thereafter tender to Grantee or [his/her] estate the
option price in respect of that number of Shares being purchased within 90 days after Grantee’s
termination of

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employment with the Company. If and to the extent the Purchase Option is not
exercised within the aforesaid 60-day period, or the purchase is not completed within the aforesaid
90-day period, as the case may be, the Purchase Option of the Company shall automatically expire.

     F. After the time when any of the Shares are required to be transferred to the Company
pursuant to Subsection A of this Agreement, the Company shall not pay any dividend to Grantee on
account of those Shares, or permit Grantee to exercise any of the privileges or rights of a
shareholder with respect to those Shares, but shall, insofar as permitted by law, treat the Company
as the owner of the Shares.

SECTION 4. EFFECT OF PROHIBITED TRANSFER.

     The Company shall not be required (a) to transfer on its books any of the Shares that shall
have been, or are purported or represented to have been, sold or transferred in violation of any of
the provisions of this Agreement; or (b) to treat as owner of such Shares or to pay dividends to
any transferee to whom any such Shares shall have been, or are purported or represented to have
been, so sold or transferred.

SECTION 5. RESTRICTIVE LEGEND.

     All certificates representing the Shares shall have affixed thereto a legend in substantially
the following form, in addition to any other legends that may be required under Federal or state
securities laws:

The shares of stock represented by this certificate are
subject to restrictions on transfer and conditions of
forfeiture set forth in the Restricted Stock Purchase
Agreement, dated
                                        
, 20                    , between the
Company and Grantee, which agreement is on file with,
and available for inspection without charge at the
office of, the Secretary of the Company at 1144 East
Market Street, Akron, Ohio 44316-0001.

SECTION 6. CERTAIN RESALE LIMITATIONS.

     A. The Shares have been registered under the Securities Act for issuance pursuant to the
Plan. Grantee acknowledges that in the event he shall be deemed to be an “affiliate” of the Company
(within the meaning of that term as used in Rule 144 promulgated under the Securities Act of 1933),
a sale of all or a portion of the Shares will be subject to certain provisions of said Rule 144
under the Securities Act.

     B. Grantee agrees that [he/she] will not sell, transfer, or otherwise dispose of any of the
Shares except in conformance with all applicable provisions of the Securities Act and that the
Company shall have no obligation to cause the registration of the Shares for resale by Grantee if
[he/she] is an “affiliate” of the Company.

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     C. A legend substantially in the following form will be placed on the certificate or
certificates representing the Shares:

The shares represented by this certificate may not be
sold, transferred, or otherwise disposed of in the
absence of an effective registration statement under
that Act or an opinion of counsel satisfactory to the
Company to the effect that registration is not required.

SECTION 7. ADJUSTMENTS.

     Any adjustments made pursuant to the provisions of the Plan (including Section 4(c) thereof)
by the Compensation Committee of the Board of Directors shall be binding on Grantee.

SECTION 8. WITHHOLDING TAXES.

     A. Grantee acknowledges and agrees that the Company has the right to deduct from payments of
any kind otherwise due to [him/her] any federal, state, or local taxes of any kind required by law
to be withheld with respect to the Shares.

     B. If Grantee elects in accordance with Section 83(b) of the Internal Revenue Code to
recognize ordinary income in respect of the Shares in 20___, the Company will require, at the time
of that election, that Grantee make an additional payment to the Company for withholding taxes, the
amount of which shall be based on the difference, if any, between the purchase price of the Shares
and the Fair Market Value of the Shares as of the date of the purchase of the Shares by Grantee.

SECTION 9. SEVERABILITY.

     The invalidity or unenforceability of any provision of this Agreement shall not affect the
validity or enforceability of any other provision of this Agreement, and each other provision of
this Agreement shall be severable and enforceable to the extent permitted by law.

SECTION 10. WAIVER.

     Any provision contained in this Agreement may be waived, either generally or in any particular
instance, by the Board of Directors of the Company.

SECTION 11. BINDING EFFECT.

     This Agreement shall be binding upon, and inure to the benefit of, the Company and Grantee and
their respective heirs, executors, administrators, legal representatives, successors and assigns.

SECTION 12. NO RIGHTS TO EMPLOYMENT.

     Nothing contained in this Agreement shall be construed as giving Grantee any right to be
retained, in any position, as an employee of the Company.

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SECTION 13. NOTICE.

     Any notice required or permitted hereunder shall be deemed served if personally delivered,
delivered by courier service or mailed by registered or certified mail, postage prepaid, and
properly addressed to the respective party to whom such notice relates, at the addresses set forth
in this Agreement or at such different addresses as shall be specified by a notice given in the
manner herein provided.

SECTION 14. ENTIRE AGREEMENT.

     This Agreement constitutes the entire agreement between the parties and supersedes all prior
agreements and understandings, whether oral or written, pertaining to the Shares or otherwise
relating to the subject matter of this Agreement.

SECTION 15. AMENDMENT.

     This Agreement may be amended or modified only by a written instrument executed by both the
Company and Grantee.

SECTION 16. GOVERNING LAW.

     This Agreement shall be construed, interpreted and enforced in accordance with the laws of the
State of Ohio.

     IN WITNESS WHEREOF, the parties have executed this Agreement on the date first above written.

	 	 	 	 	 	 	 
	 	 	THE GOODYEAR TIRE & RUBBER COMPANY	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

     Chairman of the Board, President and
	 	 
	 

	 	 	 	     Chief Executive Officer	 	 
	 
	 	 	 	 	 	 
	 

	 	Attest:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Secretary	 	 
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Grantee	 	 

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