Document:

Form of Executive Incentive Compensation and Deferral Plan

 Exhibit 10.3 
  
  
 OVERNITE CORPORATION 
  
 EXECUTIVE INCENTIVE COMPENSATION AND DEFERRAL PLAN 

 ARTICLE I 
 PURPOSE OF PLAN 
  
 The purpose of this Plan is to promote the success of the Company and its Affiliates by providing incentive compensation and tax deferral opportunities to key executives who contribute in a significant manner to the operations and business
of the Company and its Affiliates. 
  

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 ARTICLE II 
 DEFINITIONS 
  

	2.01.	 	Accountholder 

  
 Accountholder means any person who has received a Deferred Award or is credited with a Stock Deferral under Article VI or a stock gain deferral under
Article VII. 
  

	2.02.	 	Accounting Firm 

  
 Accounting Firm means the independent accounting firm engaged to audit the Company’s financial statements. 
  

	2.03.	 	Agreement 

  
 Agreement means a written agreement (including any amendment or supplement thereto) between the Company and an Executive specifying the terms and
conditions of an Incentive Award. 
  

	2.04.	 	Award 

  
 Award means an Incentive Award or other annual cash bonus. 
  

	2.05.	 	Beneficiary 

  
 Beneficiary means any person or persons designated in writing by an Accountholder to the Committee on a form prescribed by it for that purpose, which
designation shall be revocable at any time by the Accountholder prior to his death, provided that, in the absence of such a designation or the failure of the person or persons so designated to survive the Accountholder, payments or distributions
shall be made to the Accountholder’s estate and provided further that no payment or distribution shall be made during the lifetime of the Accountholder to his Beneficiary. 
  

	2.06.	 	Board 

  
 Board means the Board of Directors of the Company. 
  

	2.07.	 	Business Day 

  
 Business Day means any day other than a Saturday or Sunday or other day on which the principal stock exchange on which the Company Common Stock is listed
for trading is authorized or obligated to be closed. 
  

	2.08.	 	Cause 

  
 Cause means that the Participant has been convicted of a felony that involves the misappropriation of the assets of the Company or a Related Entity or
that materially injures the business reputation of the Company or a Related Entity. 
  

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	2.09.	 	Change in Control 

  
 Change in Control has the same meaning as set forth in the Overnite Corporation Stock Incentive Plan. 
  

	2.10.	 	Code 

  
 Code means the Internal Revenue Code of 1986, and any amendments thereto. 
  

	2.11.	 	Committee 

  
 Committee means the Compensation Committee of the Board. 
  

	2.12.	 	Control Change Date 

  
 Control Change Date means the date on which a Change in Control occurs. If a Change in Control occurs on account of a series of transactions, the Control
Change Date is the date of the last of such transactions. 
  

	2.13.	 	Deferred Award 

  
 Deferred Award means an Award which an Executive to whom the Award is made shall have elected to defer until the earlier of either (i) a date certain in
any year prior to Termination or (ii) after Termination, in accordance with Article V and which until paid shall, subject to paragraph (b) of Section5.03, be represented by Investment Accounts maintained for such Executive in accordance with Section
5.03. 
  

	2.14.	 	Deferred Stock Account 

  
 Deferred Stock Account means the account established under Article VI. 
  

	2.15.	 	Distribution Date 

  
 Distribution Date means the date or dates on which an Executive elects to have a Deferred Award paid pursuant to his election under Section 5.01

  

	2.16.	 	Executive 

  
 Executive means any person who was a regular employee of the Company or an Affiliate (including directors who are also such employees) for all or part of
the Year in respect of which Awards are made and who the Committee, in its sole discretion, has designated an “Executive” for purposes of the Plan. 
  

	2.17.	 	Good Reason 

  
 Good Reason means the occurrence, on or after a Control Change Date, and without the affected Executive’s written consent, of any of the following:
(i) the assignment to the Executive of duties that are materially inconsistent with the Executive’s duties immediately prior to a Change in Control (other than pursuant to a transfer or 
  

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 promotion to a position of equal or enhanced responsibility or authority) or any diminution in the nature or scope of the
Executive’s responsibilities from those in effect immediately prior to the Change in Control; (ii) a reduction by the Company (or any Related Entity) in the Executive’s annual base salary or annual incentive opportunity from that in effect
immediately prior to the Change in Control; (iii) a material reduction by the Company (or any Related Entity) in the pension, thrift, medical or long term disability benefits provided to the Executive from those provided to the Executive immediately
prior to the Change in Control; or (iv) the failure by any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise), to all or substantially all of the business and/or assets of the Company, to expressly assume and
agree to perform this Plan in the same manner and to the same extent that the Company would be required to perform it if no such succession had taken place. 
  

	2.18.	 	Immediate Cash Award 

  
 Immediate Cash Award means an Award payable in cash as promptly as practicable after the close of the Year for which the Award is made or, in the sole
discretion of the Committee, in December of the year for which the award is made. 
  

	2.19.	 	Incentive Award 

  
 Incentive Award means an award which, subject to such terms and conditions as may be prescribed by the Committee, entitles the Participant to receive a
cash payment from the Company or a Related Entity under Article IV. 
  

	2.20.	 	Investment Account 

  
 Investment Account means one of the accounts established by the Company pursuant to Section 5.03. 
  

	2.21.	 	Performance Criteria 

  
 Performance Criteria means one or more of (a) cash flow and/or free cash flow (before or after dividends), (b) earnings per share (including earnings
before interest, taxes, depreciation and amortization) (diluted and basic earnings per share), (c) the price of Common Stock, (d) return on equity, (e) total shareholder return, (f) return on capital (including return on total capital or return on
invested capital), (g) return on assets or net assets, (h) market capitalization, (i) total enterprise value (market capitalization plus debt), (j) economic value added, (k) debt leverage (debt to capital), (l) revenue, (m) income or net
income, (n) operating income (o) operating profit or net operating profit, (p) operating margin or profit margin, (q) return on operating revenue, (r) cash from operations, (s) operating ratio, (t) commodity or operating revenue and (u) market
share. 
  

	2.22.	 	Plan 

  
 Plan means this Executive Incentive Compensation and Deferral Plan as in effect from time to time. 
  

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	2.23.	 	Related Entity 

  
 Related Entity means any entity that directly or indirectly, through one or more intermediaries, controls, or is controlled by, or is under common control
with, the Company. 
  

	2.24.	 	Stock Deferral 

  
 Stock Deferral means the benefit, payable in whole shares of Company common stock, in accordance with Article VI. 
  

	2.25.	 	Stock Gain Account 

  
 Stock Gain Account means the account established under Article VII. 
  

	2.26.	 	Termination 

  
 Termination means termination of employment with the Company and its Subsidiaries, for any reason, including retirement and death. 
  

	2.27.	 	Valuation Date 

  
 Valuation Date means each Business Day or any other date on which the Committee determines that a valuation of Investment Accounts shall be made.

  

	2.28.	 	Year 

  
 Year means a calendar year. 
  

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 ARTICLE III 
 ADMINISTRATION OF THE PLAN 
  
 The Plan shall be administered by the Committee. The Committee shall be responsible for the administration and interpretation of the Plan. The Committee shall supervise and be responsible for the maintenance of the
various accounts under the Plan and for determining the amounts and the times of payments or distributions of benefits under the Plan. The Committee may delegate its authority under the Plan to one or more officers of the Company and may grant
authority to such person to execute agreements or other documents relating to the administration of the Plan as such person deems necessary or appropriate. 
  
 In addition, the Committee’s delegate may make (a) all technical, administrative, regulatory and compliance amendments to the Plan and (b) any other
amendment to the Plan that will not significantly increase the cost of the Plan to the Company as such person deems necessary or appropriate. All determinations of the Committee and the Committee’s delegate shall be final. 
  

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 ARTICLE IV 
 INCENTIVE AWARDS 

	4.01.	 	Award 

  
 The Committee shall designate Executives to whom Incentive Awards are made. All Incentive Awards shall be finally determined exclusively by the Committee
under the procedures established by the Committee. With respect to an Incentive Award based on a performance period of one year or less, no Executive may receive an Incentive Award payment in any calendar year that exceeds $ 750,000. With
respect to an Incentive Award based on a performance period of more than one year, no Executive may receive an Incentive Award payment in any calendar year that exceeds the product of (i) $ 65,000 and (ii) the number of months in the
performance period. 
  

	4.02.	 	Terms and Conditions 

  
 The Committee, at the time an Incentive Award is made, shall specify the terms and conditions which govern the award. Such terms and conditions shall
prescribe that the Incentive Award shall be earned only upon, and to the extent that, performance objectives are satisfied during a performance period that ends after the grant of the Incentive Award. By way of example and not of limitation, the
performance objectives may provide that the Incentive Award will be earned only if the Company, a Related Entity or the Company and its Related Entities achieve stated objectives, including objectives stated with reference to Performance Criteria.
The Committee, at the time an Incentive Award is made, shall also specify when amounts shall be payable under the Incentive Award and whether amounts shall be payable in the event of the Participant’s death, disability, or retirement.

  

	4.03.	 	Nontransferability 

  
 Except as provided in Section 4.04, Incentive Awards granted under this Plan shall be nontransferable except by will or by the laws of descent and
distribution. No right or interest of an Executive in an Incentive Award shall be liable for, or subject to, any lien, obligation, or liability of such Executive. 
  

	4.04.	 	Transferable Incentive Awards 

  
 Section 4.03 to the contrary notwithstanding, if provided in an Agreement, an Incentive Award may be transferred by an Executive to the Executive’s
children, grandchildren, spouse, one or more trusts for the benefit of such family members or to a partnership in which such family members are the only partners, on such terms and conditions as may be permitted by Rule 16b-3 under the Exchange Act
as in effect from time to time. The holder of an Incentive Award transferred pursuant to this Section shall be bound by the same terms and conditions that governed the Incentive Award during the period that it was held by the Executive; provided,
however, that such transferee may not transfer the Incentive Award except by will or the laws of descent and distribution. 
  

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	4.05.	 	Employee Status 

  
 If the terms of an Incentive Award provide that a payment will be made thereunder only if the Executive completes a stated period of employment or
service, the Committee may decide to what extent leaves of absence for governmental or military service, illness, temporary disability or other reasons shall not be deemed interruptions of continuous employment or service. 
  

	4.06.	 	Change in Control 

  
 Section 4.02 to the contrary notwithstanding, each outstanding Incentive Award shall be earned in its entirety upon the Executive’s termination of
employment or service if (i) there is a Change in Control and (ii) within two years after the Control Change Date (x) the Executive resigns with Good Reason or (y) the Executive’s employment or service is terminated by the
Company or Related Entity for reasons other than Cause or the Executive’s death or disability. 4.02 to the contrary notwithstanding, each outstanding Incentive Award shall be earned in its entirety on the first day following the commencement of
a tender offer or exchange offer (other than one made by the Company), provided that shares are acquired pursuant to such offer. 
  

	4.07.	 	Shareholder Rights 

  
 No Executive shall, as a result of receiving an Incentive Award, have any rights as a shareholder of the Company or any Related Entity on account of such
award. 
  

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 ARTICLE V 
 DEFERRED ELECTIONS 
  

	5.01.	 	Deferral Election 

  
 (a)    Prior to September 30 (or such later date as may be prescribed by the Committee) of each Year, an Executive may file with the
Committee an election on a form prescribed by the Committee for such purpose specifying the percent (in multiples of 1%) of any Award which may be granted to him with respect to such Year that Executive elects (i) to receive in the form of an
Immediate Cash Award, (ii) to defer as a Deferred Award under this Article V or (iii) to defer as a Stock Deferral under Article VI. If an Executive has not been so designated as eligible for Deferred Awards, or an election for Deferred Awards is
not in effect for him, any Award granted to him for any Year shall be paid in the form of an Immediate Cash Award. 
  
 (b)    An Accountholder, whether or not currently employed by the Company or a Related Entity, may elect to convert the value of his
account, if any, in any Investment Account to equivalent value accounts in any other Investment Accounts as of a Valuation Date, provided that the Committee has received such notice of the conversion as the Committee may require, and provided
further that, unless the Committee shall in its sole discretion determine otherwise, an Accountholder may make conversions only in such amounts and at such times as are allowable for changes in investment elections under the terms of the
Company’s Code section 401(k) Plan. The Committee shall cause such conversions to be effected by transferring equivalent amounts from the one such account to the other, all as of such Valuation Date. 
  
 (c)    In addition, each Executive also shall specify on
a form prescribed by the Committee for such purpose whether he wishes payment of Deferred Awards to be made on the earlier of either (i) a date certain in any year prior to Termination, such payment to be in full in cash on such date, or (ii) upon
Termination in accordance with the provisions of Sections 5.04 through 5.06. For Deferred Awards deferred until Termination, the Executive shall select one of the payment methods outlined in Section 5.04 at the time an election is made. 

 
 (d)    An election made as to the date for the payment
of a Deferred Award shall be subject to change by such Executive before September 30 of any Year on a form prescribed by the Committee for such purpose with respect to any awards made for such Year. An Executive may change the payment method for a
Deferred Award deferred until Termination pursuant to Section 5.04 at any time provided, however, that the change in payment method is made at least six (6) months prior to the effective date of Termination and in the Year prior to the Year that
includes the effective date of Termination. 
  

	5.02.	 	Redeferral Election 

  
 For awards deferred to a date or dates certain, an Executive may make an election to extend a Distribution Date (a “Redeferral Election”) for
all or a portion of a Deferred 
  

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 Award to a future date certain in any year prior to Termination or until Termination or a combination thereof. For
Redeferral Elections to a future date certain to be effective, the Committee must receive the Redeferral Election at least six (6) months prior to the date on which the Deferred Award is payable and in the Year prior to the Year in which the
Deferred Award is payable. For Redeferral Elections to Termination to be effective, the Committee must receive the Redeferral Election before the earlier of at least six (6) months prior to the effective date of Termination or six (6) months prior
to the date on which the Deferred Award is payable and in the earlier of the Year prior to the Year that includes the effective date of Termination or the Year prior to the Year in which the Deferred Award is payable. The date of the redeferral,
whether a future date certain or Termination, shall not be earlier than the Distribution Date previously selected by the Executive. 
  
 All Redeferral Elections must be made in writing on such forms and pursuant to such rules as the Committee may prescribe. For Deferred Awards redeferred
until Termination, the Executive shall select one of the payment methods outlined in Section 5.04 at the time a Redeferral Election is made. 
  

	5.03.	 	Investment Accounts 

  
 (a)    The Company shall from time to time establish on its books one or more Investment Accounts. In the case of each Executive, if
and when a Deferred Award is credited to him, the Committee shall credit to an account maintained for him in one or more Investment Accounts the equivalent amount of such award in accordance with his election. Each Investment Account shall have such
name, and be charged or credited pursuant to such method, as the Committee shall determine upon establishment of such Investment Account. The Committee may change such names or methods for any Investment Account, but no such change shall reduce any
amount previously accrued in an Accountholder’s account. The Committee shall cause each Investment Account to be valued as of each Valuation Date by such person or persons as it in its sole discretion shall determine and such valuation shall be
conclusive for all purposes of the Program. The value of any Investment Account for the purpose of making payment of a Deferred Award shall be the value of such Investment Account as of the Valuation Date last preceding such payment. Compensation
paid in respect of any Investment Account shall result in a corresponding reduction in the value of such accounts. The amounts credited in Investment Accounts shall represent general liabilities of the Company and shall not constitute a trust fund
or otherwise create any property interest in any Accountholder or his Beneficiary. 
  
 (b)    Anything in this Plan to the contrary notwithstanding, the Committee may at any time under such circumstances as it in its sole discretion may determine, convert all the accounts of
Accountholders in the Investment Accounts into cash credits, with future credits to the accounts of Accountholders being made solely in cash. Accounts shall be so converted on the basis of the value thereof as of the last preceding Valuation Date.
Any such cash credits to the accounts of Accountholders shall, after such conversion, solely bear interest until paid to the Accountholder or his Beneficiary compounded annually at such annual rate of interest as may be fixed by the Committee.

  

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 The granting and payment of Deferred Awards in respect of such cash credits shall otherwise be in
accordance with the other provisions of the Program with such adjustments therein as the Committee may deem appropriate. 
  

	5.04.	 	Payment of Deferred Awards 

  
 (a) Upon termination of an Executive, the Committee shall cause cash in respect of any balances in any Investment Account to be paid or delivered to him
or his Beneficiary as selected by the Executive according to his election as follows: 
  

	 	(i)	 	in a single distribution, an amount in cash equal to the value of all Investment Accounts maintained for him, all such cash being paid in the Year of his Termination or in January
of the following Year; or; 

  

	 	(ii)	 	over such number of Years, but not exceeding fifteen, in annual installments of an aggregate amount of cash equal in value at the time of each installment payment to the value of
all Investment Accounts maintained for him at the Valuation Date next preceding payment divided by the remaining number of such annual installments, the first of such installments to be paid or delivered in the Year of his Termination or in January
of the following year and subsequent installments to be paid or delivered in January of each subsequent Year; or 

  

	 	(iii)	 	at a specified future date not to exceed 15 years from the date of such Termination in a single distribution, an amount of cash equal to the value of all Investment Accounts
maintained for him. Income in respect of Investment Accounts will be paid in cash quarterly to such Executive or his Beneficiary commencing with the first day of the calendar quarter coincident with or next following such Executive’s
Termination. 

  
 (b)    The most
recent election of payment method made by the Executive will apply to all Deferred Awards deferred until Termination provided that the election was made at least six (6) months prior to the effective date of Termination and in the Year prior to the
Year that includes the effective date of Termination. The Committee maintains the sole discretion with respect to how any balances in the accounts maintained for such Executive in any Investment Account are paid or delivered to him or to his
Beneficiary for any Termination occurring prior to the Executive’s election becoming effective. 
  
 (c)    All payments or distributions attributable to each Deferred Award of an Executive after his Termination shall be made by the
Company on its behalf or on behalf of the Related Entity by which he was employed during the Year in which such Deferred Award was earned. The Related Entity shall reimburse the Company in the amount of such paid Deferred Awards. 
  

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 (d)    Deferred Awards elected to be paid on a date or dates certain in any year or
years prior to Termination shall be paid to the Executive in full in cash on such date or dates. In the case of Termination, any Deferred Awards elected to be paid on a date or dates certain shall be paid to the Executive upon Termination or as soon
as administratively feasible thereafter. 
  

	5.05.	 	Accelerated Distribution 

  
 At any time before or after Termination of an Executive who shall have elected to receive one or more Deferred Awards, the Committee, if it finds in its
sole discretion that continued deferral of such Awards would result in undue hardship to such Executive or his Beneficiary, may accelerate and pay in cash all or any part of such Deferred Award or Deferred Awards by converting the value of the
accounts maintained for him in Investment Accounts into the cash equivalent thereof on the same basis as if a payment in cash were being made as provided in Section 5.04. On the death of an Executive after his Termination, the Committee, in its sole
discretion, may accelerate one or more installments, and change the form of payment or distribution in accordance with Section 5.04, of any balance of his Deferred Awards and, in the event of relevant changes in the Code, regulations and rulings or
on termination of the Plan, the Committee may, in its sole discretion, so accelerate or change the form of payment or distribution of any or all Deferred Awards. 
  

	5.06.	 	Change in Control 

  
 If a Change in Control shall be deemed to have occurred, then each Executive with an account maintained for him in an Investment Account shall be entitled
to receive, at his option, payment in accordance with Section 5.07. 
  

	5.07.	 	Early Payment 

  
 Notwithstanding the other provisions of the Plan to the contrary, an Executive may request a withdrawal from his accounts maintained for him in any
Investment Account by filing a request with the Committee or its designee in writing. Payment will be made to the Executive within thirty days of the approval of such a request. Any withdrawal under this Section will be charged with a ten percent
early withdrawal penalty that will be withheld from the amount withdrawn and such amount withheld shall be irrevocably forfeited. 
  

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 ARTICLE VI 
 STOCK DEFERRALS 
  

	6.01.	 	Stock Deferral Election 

  
 (a)    Prior to September 30 (or such later date as may be prescribed by the Committee) of each Year, an Executive may file with the
Committee on a form prescribed by the Committee for such purpose specifying the percent (in multiples of 1%) of any Incentive Award which may be granted to him with respect to such Year that Executive elects to receive as a Stock Deferral.

  
 (b)    The Deferred Stock Account of an
Executive who elects a Stock Deferral in accordance with subsection 6.01 shall be credited with notional shares of Company common stock. The number of notional shares so credited shall be determined (i) by dividing the amount of the deferred
Incentive Award by the fair market value of the Company common stock on the day the Incentive Award is approved by the Committee and (ii) multiplying that quotient by one and one-half. 
  

	6.02.	 	Dividend Equivalents 

  
 The Company shall pay the Executive, in cash, an amount equal to the product of (i) the value of any dividend paid on the Company common stock and (ii)
the number of whole notional shares credited to the Executive’s Deferred Stock Account on the record date for the payment of the dividend. The Company shall pay the Executive as soon as practicable following the date on which the dividend is
paid to the Company’s shareholders. 
  

	6.03.	 	Vesting and Termination of Employment 

  
 (a)    The Executive’s interest in the Deferred Stock Account attributable to the deferral of an Incentive Award for any Year
shall be vested and nonforfeitable on the third anniversary of the date that the Incentive Award was approved by the Committee if the Executive remains in the continuous employ of the Company or a Related Entity until such date. 
  
 (b)    Except as determined by the Committee in its
discretion and except as provided in the following subsections, the Executive’s interest in the Deferred Stock Account attributable to the deferral of an Incentive Award for any Year shall be forfeited in the event of the Executive’s
Termination before the third anniversary of the date that the Incentive Award was approved by the Committee. 
  
 (c)    The Executive’s interest in the Deferred Stock Account attributable to the deferral of an Incentive Award for any Year
shall be vested and nonforfeitable as of the Executive’s Termination if the Executive remains in the continuous employ of the Company or a Related Entity until the Executive’s Termination on account of death or disability (as determined by
the Committee). 
  

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 (d)    The Executive’s interest in a portion of the Deferred Stock Account
attributable to the deferral of an Incentive Award for any Year shall be vested and nonforfeitable as of the Executive’s Termination if the Executive’s employment ends because (i) the Executive resigns under a Company-sponsored voluntary
termination program or (ii) the Executive’s employment is terminated by the Company or a Related Entity. The portion of the Deferred Stock Account that becomes vested and nonforfeitable under this Subsection 6.03(d) is that number of notional
shares determined by dividing the deferred Incentive Award by the fair market value of the Company common stock on the date the Committee approved the Incentive Award. 
  

	6.04.	 	Distribution 

  
 (a)    The Executive’s vested and nonforfeitable interest in the Deferred Stock Account will be distributed as soon as
practicable following the date such interest vests and becomes nonforfeitable. The distribution shall be made in whole shares of Company common stock (issued pursuant to the Company’s Stock Incentive Plan or any successor thereto) equal in
number to the number of notional shares that have vested in the Deferred Stock Account. The Committee may impose restrictions on the sale or transfer of shares of Company common stock distributed or issued under this Subsection 6.04(a). 

 
 (b)    The vested and nonforfeitable interest in the
Deferred Stock Account of an Executive who is the Company’s Chief Executive Officer or one of the Company’s four other most highly compensated executives, shall not be distributed pursuant to Subsection 6.04(b) but instead shall be
credited to a Stock Gain Account under Article VII. 
  

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 ARTICLE VII 
 DEFERRAL OF STOCK GAIN 
  

	7.01.	 	Stock Gain Eligible For Deferral 

  
 (a)    An Executive may elect to defer the gain that otherwise would be recognized upon the exercise of an option to purchase Company
common stock if (i) the option is not a statutory option under the Code and (ii) the option is exercisable on the date that the deferral election is made. Gain attributable to the exercise of an option may be deferred under this Article VII only if
the option price is paid by the surrender of shares of Company common stock, either by actual surrender or by attestation. 
  
 (b)    An Executive may elect (and, in accordance with Section 6.04, certain Executives shall be deemed to have elected), to defer the
gain that otherwise would be recognized upon the vesting or distribution of a Stock Deferral or other equity-based award that the Committee, in its sole discretion, determines may be deferred under the Plan. An election to defer the gain that
otherwise would be recognized upon the vesting or distribution of a Stock Deferral or other equity-based award must cover the entirety of such award. 
  

	7.02.	 	Deferral Election 

  
 (a)    Deferral elections under this Article VII shall be made on a deferral election form or forms approved by the Committee and made
available to Executives. Deferral elections under this Article VII are irrevocable. 
  
 (b)    A deferral election with respect to an option described in Section 7.01 must be made at least six months before the option is exercised and in a Year preceding the Year in which the option
is exercised. A deferral election with respect to an option described in Section 7.01 shall not be effective if (i) the election calls for the deferral of gain until a date certain and (ii) the option is not exercised before that date (in which case
deferral will be permitted only under a new deferral election). A deferral election is not effective unless the option is exercised before the Executive’s Termination. 
  
 (c)    A deferral election with respect a Stock Deferral or other equity based award described in
Section 7.01 must be made at least six months before the Stock Deferral or other award becomes vested and in a Year preceding the Year in which the Stock Deferral or other award becomes vested. 
  

	7.03.	 	Crediting Account 

  
 (a)    A Stock Gain Account shall be established under the Plan for each Executive who makes a deferral election under this Article
VII. The Stock Gain Account shall be credited with notional shares of Company common stock in accordance with the provisions of the Plan. 
  

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 (b)    An Executive’s Stock Gain Account will be credited with notional shares
of Company common stock on the date that the Executive exercises the option subject to the deferral election. The number of notional shares credited to the Executive’s Stock Gain Account shall be the excess of the number of shares issuable on
the exercise of the option over the number of shares surrendered (actually or by attestation) in connection with the exercise. 
  
 (c)    An Executive’s Stock Gain Account will be credited with notional shares of Company common stock on the date that the
Executive’s rights in the Stock Deferral or other equity-based award becomes nonforfeitable. The number of notional shares credited to the Executive’s Stock Gain Account shall be the number of shares or notional shares under the Stock
Deferral or other equity-based award that the Executive elected to defer. 
  
 (d)    An Executive’s Stock Gain Account will be credited with dividend equivalents, i.e., additional shares of notional Company common stock as if the account received the same
dividends that the Company pays on its common stock and such dividends were immediately reinvested in shares of Company common stock. 
  

	7.04.	 	Distributions 

  
 (a)    Each Executive who makes (or, in the case of certain Executives is deemed to make,) a deferral election under this Article VII
shall also specify on a form prescribed by the Committee for such purpose whether he wishes payment of the gain deferred under this Article VII to be paid on the earlier of either (i) a date certain in any Year prior to Termination (in which case
the distribution will be made in a single sum, in whole shares of Company common stock, during July of the Year that includes the specified date certain) or (ii) upon Termination (in which case the distribution will be made in whole shares of
Company common stock in accordance with the provisions of Sections 5.04 through 5.06). 
  
 (b)    Each Executive who makes a deferral election under this Article VII may submit a redeferral election to change the commencement date of his distribution in accordance with the rules
described in Section 5.02 or may change the form of distribution of an amount payable in connection with Termination provided that such change in payment method is elected at least six months prior to the Executive’s Termination and in a Year
preceding the Year in which the Executive’s Termination is effective; provided, however, that all such benefits will be paid in whole shares of Company common stock. 
  
 (c)    Notwithstanding the preceding provisions of Section 7.04, the deferred gain attributable to an
option exercise shall be distributed as soon as practicable following Termination if (i) the Executive elected to defer the distribution until a date certain and (ii) the Executive’s Termination occurs before that date. 
  
 (d)    Shares of Company common stock distributed
pursuant to this Article VII shall be issued pursuant to the Company’s Stock Incentive Plan or any successor thereto. 
  

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 ARTICLE VIII 
 GENERAL 
  

	8.01.	 	Amendment or Termination 

  
 The Board may from time to time amend, suspend or terminate this Plan in whole or in part, and, if suspended or terminated, may reinstate any of or all of
its provisions, except that without the consent of the Accountholder or Executive, or, if he is not living, his Beneficiary, no amendment, suspension or termination of this Plan shall be made which materially adversely affects his rights with
respect to awards previously made to him. This Plan shall automatically terminate after all benefits payable under the Plan shall have been paid or distributed. 
  

	8.02.	 	Adjustment Upon Change In Common Stock 

  
 The number of notional shares of Company common stock credited to Executives’ accounts shall be adjusted as the Committee shall determine to be
equitably required in the event that (a) the Company (i) effects one or more stock dividends, stock split-ups, subdivisions or consolidations of shares or (ii) engages in a transaction to which Section 424 of the Code applies, (b) there occurs any
other event which, in the judgment of the Committee necessitates such action or (c) there is a Change in Control. Any determination made under this Section 8.02 by the Committee shall be final and conclusive. 
  
 The issuance by the Company of shares of stock of any class, or securities
convertible into shares of stock of any class, for cash or property, or for labor or services, either upon direct sale or upon the exercise of rights or warrants to subscribe therefore, or upon conversion of shares or obligations of the Company
convertible into such shares or other securities, shall not affect, and no adjustment by reason thereof shall be made with respect to, the number of notional shares of Company common stock credited to Executives’ accounts. 
  

	8.03.	 	Compliance With Law And Approval Of Regulatory Bodies 

  
 No Company common stock shall be issued, no certificates for shares of Company common stock shall be delivered, and no payment shall be made under this
Plan except in compliance with all applicable federal and state laws and regulations (including, without limitation, withholding tax requirements), any listing agreement to which the Company is a party, and the rules of all domestic stock exchanges
on which the Company’s shares may be listed. The Company shall have the right to rely on an opinion of its counsel as to such compliance. Any share certificate issued to evidence Company common stock issued pursuant to the Plan may bear such
legends and statements as the Committee may deem advisable to assure compliance with federal and state laws and regulations. No Company common stock shall be issued, no certificate for shares shall be delivered, and no payment shall be made under
this Plan until the Company has obtained such consent or approval as the Committee may deem advisable from regulatory bodies having jurisdiction over such matters. 
  

 17 

	8.04.	 	Effect on Employment and Service 

  
 Neither the adoption of this Plan, its operation, nor any documents describing or referring to this Plan (or any part thereof), shall confer upon any
individual any right to continue in the employ or service of the Company or a Related Entity or in any way affect any right or power of the Company or a Related Entity to terminate the employment or service of any individual at any time with or
without assigning a reason therefore. 
  

	8.05.	 	Unfunded Plan 

  
 The Plan, insofar as it provides for grants, shall be unfunded, and the Company shall not be required to segregate any assets that may at any time be
represented by grants under this Plan. Any liability of the Company to any person with respect to any grant under this Plan shall be based solely upon any contractual obligations that may be created pursuant to this Plan. No such obligation of the
Company shall be deemed to be secured by any pledge of, or other encumbrance on, any property of the Company. 
  

	8.06.	 	Rules of Construction 

  
 Headings are given to the articles and sections of this Plan solely as a convenience to facilitate reference. The reference to any statute, regulation, or
other provision of law shall be construed to refer to any amendment to or successor of such provision of law. 
  

	8.07.	 	Tax Withholding 

  
 Each Executive and Accountholder shall be responsible for satisfying any income and employment tax withholding obligation attributable to participation in
this Plan. In accordance with procedures established by the Committee, an Executive or Accountholder may surrender shares of Common Stock, or receive fewer shares of Common Stock than otherwise would be issuable, in satisfaction of all or part of
that obligation. 
  

	8.08.	 	Limitation on Benefits 

  
 (a)    Subject to subsection (e) but despite any other provision of this Plan, if the Accounting Firm determines that receipt of
benefits or payments under this Plan would subject an Executive to tax under Code section 4999, it must determine whether some amount of the benefits or payments would meet the definition of a “Reduced Amount.” If the Accounting Firm
determines that there is a Reduced Amount, the total benefits and payments must be reduced to such Reduced Amount, but not below zero. 
  
 (b)    If the Accounting Firm determines that the benefits and payments should be reduced to the Reduced Amount, the Company must
promptly notify the Executive of that determination, including a copy of the detailed calculations by the Accounting Firm. All determinations made by the Accounting Firm under this section are binding upon the Company and the Executive. 

 

 18 

 (c)    It is the intention of the Company and the Executive to reduce the benefits
and payments under this Plan only if the aggregate Net After Tax Receipts to the Executive would thereby be increased. As a result of the uncertainty in the application of Code section 4999 at the time of the initial determination by the Accounting
Firm under this section, however, it is possible that amounts will have been paid or distributed under the Plan to or for the benefit of an Executive which should not have been so paid or distributed (“Overpayment”) or that additional
amounts which will not have been paid or distributed under the Plan to or for the benefit of an Executive could have been so paid or distributed (“Underpayment”), in each case, consistent with the calculation of the Reduced Amount. If the
Accounting Firm, based either upon the assertion of a deficiency by the Internal Revenue Service against the Company or the Executive which the Accounting Firm believes has a high probability of success or controlling precedent or other substantial
authority, determines that an Overpayment has been made, any such Overpayment must be treated (if permitted by applicable law) for all purposes as a loan ab initio for which the Executive must repay the Company together with interest at the
applicable federal rate under Code section 7872(f)(2); provided, however, that no such loan may be deemed to have been made and no amount shall be payable by Executive to the Company if and to the extent such deemed loan and payment would not either
reduce the amount on which the Executive is subject to tax under Code section 1 or 4999 or generate a refund of such taxes. If the Accounting Firm, based upon controlling precedent or other substantial authority, determines that an Underpayment has
occurred, the Accounting Firm must promptly notify the Committee of the amount of the Underpayment and such amount, together with interest at the applicable federal rate under Code section 7872(f)(2), must be paid to the Executive. 
  
 (d)    For purposes of this section, (i) “Net After
Tax Receipt” means the Present Value of a payment or benefit under this Plan net of all taxes imposed on the Executive with respect thereto under Code sections 1 and 4999, determined by applying the highest marginal rate under Code section 1
which applied to the Executive’s taxable income for the immediately preceding taxable year; (ii) “Present Value” means the value determined in accordance with Code section 280G(d)(4); and (iii) “Reduced Amount” means
the smallest aggregate amount of all payments or benefit under this Plan which (a) is less than the sum of all payments or benefit under this Plan and (b) results in aggregate Net After Tax Receipts which are equal to or greater than the Net After
Tax Receipts which would result if the aggregate payments or benefit under this Plan were any other amount less than the sum of all payments or benefit under this Plan. 
  
 (e)    This section shall not apply to awards made to any Executive if an Agreement or other agreement
between the Executive and the Company provides that the Company shall indemnify the Executive against any liability that the Executive may incur under Section 4999 of the Code. 
  

 19Form of Stock Purchase and Indemnification Agreement

 Exhibit 10.4 
  
 STOCK PURCHASE AND INDEMNIFICATION AGREEMENT (this “Agreement”) dated as of
                , 2003, among UNION PACIFIC CORPORATION, a Utah corporation (“UPC”), OVERNITE CORPORATION, a Virginia corporation
(“Overnite”), OVERNITE, INC., a Delaware corporation (“Overnite Delaware”), OVERNITE HOLDING, INC., a Delaware corporation (“OHI”), OVERNITE TRANSPORTATION COMPANY, a Virginia corporation (“OTC”), and MOTOR
CARGO INDUSTRIES, INC., a Utah corporation (“MCI”). 
  
 WHEREAS, UPC desires to sell all the issued and outstanding shares of common stock of OHI, par value $0.01 per share (the “OHI Shares”), and Overnite desires to purchase the OHI Shares from UPC (the “Divestiture
Transaction”) in exchange for                  shares of common stock of Overnite, par value $0.01 per share (the “Overnite Shares”), and the
Deferred Consideration Promissory Note (as defined below); 
  
 WHEREAS, immediately following the Divestiture Transaction, UPC has agreed to sell the Overnite Shares it will receive in the Divestiture Transaction to certain underwriters in connection with an underwritten initial public offering (the
“Offering”) pursuant to the terms of an Underwriting Agreement, dated                 , 2003 (the “Underwriting Agreement”), among UPC, OHI,
Overnite and the underwriters named therein; 
  
 WHEREAS, in
connection with the Offering, Overnite has filed a registration statement on Form S-1 with the Securities and Exchange Commission (the “SEC”) under the Securities Act of 1933 (the “Securities Act”); 
  
 WHEREAS, in connection with the Divestiture Transaction and the Offering, UPC
and Overnite have entered into a Tax Allocation Agreement, dated the date hereof (the “Tax Allocation Agreement”); and 
  
 WHEREAS, the parties hereto desire to enter into this Agreement in order to provide for the Divestiture Transaction and the indemnification against
certain costs and liabilities which may be incurred in connection with the Divestiture Transaction, the Offering and the above-mentioned registration statement, including any prospectus included therein, and their respective businesses both prior to
and after the Divestiture Transaction and the Offering. 
  
 NOW,
THEREFORE, in consideration of the mutual promises and covenants herein contained, the parties hereto agree as follows: 
  
 1. Definitions. As used in this Agreement, the following terms shall have the following meanings (such meanings to be equally applicable to both
the singular and plural versions of the terms below): 

 The term “Affiliate” shall have the meaning accorded to such term in Rule 12b-2 of the General
Rules and Regulations under the Securities Exchange Act of 1934, as in effect on the date hereof. 
  
 The term “Bank Credit Facility” shall mean the Credit Agreement, dated the date hereof, 2003, among OTC and the Lenders and Agents named
therein. 
  
 The term “Business Day” shall mean a day of
the year on which banks are not required or authorized to close in New York City. 
  
 The term “Closing” shall mean the closing of the Divestiture Transaction. 
  
 The term “Code” shall mean the Internal Revenue Code of 1986, as amended. 
  
 The term “Compensation Agreement” shall mean the Compensation Arrangement Agreement, dated the date hereof,
between UPC and Overnite. 
  
 The term “Guarantee” shall
mean all guarantees, surety and performance bonds, payment or reimbursement obligations relating to insurance arrangements, letters of credit and other arrangements pursuant to which UPC guarantees or secures any Overnite Liability which are in
effect immediately prior to the Closing; provided, that in no event shall Guarantee include the Compensation Agreement. 
  
 The term “Liabilities” shall mean all debts, liabilities and obligations, actual or contingent, liquidated or unliquidated, accrued or
unaccrued, known or unknown, whenever and however arising, including all costs and expenses (including fees and disbursements of counsel) relating thereto, and including without limitation debts, liabilities and obligations arising in connection
with any actual or threatened claim, action, suit, arbitration, inquiry, proceeding or investigation by or before any court, governmental or other regulatory or administrative agency or commission or any arbitration panel. 
  
 The term “Overnite Group” shall mean Overnite and all Affiliates of
Overnite following the Closing, including, without limitation, OHI, Overnite Delaware, OTC and MCI, and all subsidiaries of OTC and MCI on or prior to the Closing, and any or each of such entities individually and collectively, and jointly and
severally. 
  
 The term “Overnite Liabilities” shall
mean all Liabilities (other than Liabilities for Taxes) at any time arising out of or relating to the businesses, operations or assets conducted or owned or formerly conducted or owned at any time by, and the current or former employees of, the
Overnite Group; provided that, in no event shall Overnite Liabilities include the Compensation Agreement, any UPC Liabilities, UPC Securities Liabilities or the Transaction Costs covered by indemnification provisions set forth in Section 6.
In the case of an “employee benefit plan,” as defined in Section 3(3) of 
  

 2 

 the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), maintained or formerly maintained by
the Overnite Group for its employees or former employees, “Overnite Liabilities” shall include all liabilities for any benefits due and payable under the terms of such plans as well as any penalties, interest or other charges imposed by
any governmental agency with respect to the maintenance and administration of such plans. Further, in case of any employee benefit plan maintained or formerly maintained by the UPC Group in which employees or former employees of the Overnite Group
have participated by virtue of their employment with Overnite, “Overnite Liabilities” shall be limited to the portion of the liability, penalty, interest or other charge attributable to employees or former employees of the Overnite Group,
or in the event that a liability, penalty, interest or other charge is not attributable to such specific employees or former employees, “Overnite Liabilities” shall be limited to the portion of the liability, penalty, interest or other
charge that bears the same relationship to the whole thereof as the benefit liabilities under such plan attributable to employees or former employees of the Overnite Group bears to all such benefit liabilities under the plan, and any costs
(including reasonable counsel fees) imposed upon or incurred by the Overnite Group in connection with such liability shall be allocated in the same manner. “Overnite Liabilities” shall also include any Liabilities arising from or relating
to amounts payable to employees of the Overnite Group as deferred compensation under the UPC Executive Incentive Plan resulting from periods on and after consummation of the Offering. 
  
 The term “Overnite Securities Liabilities” shall mean any Liability under the Securities Act, the Securities
Exchange Act of 1934, as amended (the “Exchange Act”), or any other Federal or state securities law or regulation, at common law or otherwise, arising out of the Offering, including without limitation any such Liability arising out of or
based upon (i) any untrue statement or alleged untrue statement of a material fact contained in any registration statement filed under Federal or state securities laws in connection with the Offering, or in any amendment or supplement thereto (each,
a “Registration Statement”), or in any prospectus or other communication relating to the Offering, or in any amendment or supplement thereto (each, a “Prospectus”), or (ii) the omission or alleged omission to state in a
Registration Statement or Prospectus a material fact required to be stated therein or necessary to make the statements made therein not misleading; provided, however, that the foregoing definition shall not extend or apply to any
Liability that arises out of or is based upon an untrue statement or alleged untrue statement of a material fact contained in, or an omission or alleged omission to state a material fact required to be stated (or necessary to make the statement not
misleading) in, (A) the information furnished to the Company in writing by UPC expressly for use in the Registration Statement or Prospectus, it being understood and agreed that the only such information is that described as such in Section 2(o) of
the Underwriting Agreement (the “UPC Information”), and (B) the information furnished to the Company by any Underwriter (as defined in the Underwriting Agreement) for use in the Registration Statement or Prospectus, it being understood and
agreed that the only such information is that described as such in Section 9(c) of the Underwriting Agreement (collectively, the “Underwriter Information”). 
  

 3 

 The term “Person” shall mean any individual, corporation, company, limited liability company,
partnership, joint venture, association, trust, unincorporated organization or other entity. 
  
 The term “Subsidiary”, as it relates to any Person, shall mean any other Person of which an amount of the voting securities or other voting ownership or voting partnership interests sufficient to elect at
least a majority of its board of directors or other governing body (or, if there are no such voting interests, 50% or more of its equity interests) is owned, directly or indirectly, by such first Person. 
  
 The term “Tax” shall have the meaning ascribed to such term in the
Tax Allocation Agreement. 
  
 The term “Transaction
Costs” shall mean the following fees and expenses incurred in connection with the Divestiture Transaction and the Offering: (i) the fees and expenses of Hunton & Williams LLP, counsel to Overnite, (ii) the fees and expenses of Deloitte
& Touche LLP, auditor for Overnite, including, without limitation, fees and expenses incurred in connection with the audit of financial statements for the Overnite Group included in any Registration Statement, (iii) the fees and expenses of
American Appraisal Associates incurred in connection with the valuation of Overnite Group assets, (iv) the fees and expenses of Mercer Human Resources Consulting incurred for actuarial services performed in connection with the Divestiture
Transaction, (v) the fees and expenses incurred in connection with the negotiation and execution of the Bank Credit Facility (including the security arrangements in connection therewith), (vi) the fees and expenses incurred in connection with the
obtaining of ratings from any credit rating agency, (vii) any underwriters’ discounts or commissions, (viii) all organization expenses of Overnite, including, without limitation, all fees paid or payable in connection with the Offering
expenses, assessments and other costs and expenses associated with its incorporation in the State of Virginia and its qualification to do business in any jurisdiction, (ix) all SEC, National Association of Securities Dealers, Inc. and other filing
fees, all blue sky fees and expenses and all stock exchange fees and expenses, (x) all printing fees and expenses and (xi) all transfer agent and registration fees and expenses. 
  
 The term “UPC Group” shall mean UPC and all Affiliates of UPC (other than any member of the Overnite Group), and
any or each of such entities individually and collectively and jointly and severally. 
  

 4 

 The term “UPC Liabilities” shall mean all Liabilities (other than Liabilities for Taxes) at any
time arising out of or relating to the businesses, operations or assets conducted or owned or formerly conducted or owned by, and the current or former employees of, the UPC Group; provided that, in no event shall UPC Liabilities include any
Overnite Liabilities, any Overnite Securities Liabilities, any liabilities on any Guarantee or the Transaction Costs covered by the indemnification provisions set forth in Section 5 of this Agreement. In the case of an “employee benefit
plan,” as defined in Section 3(3) of ERISA, maintained or formerly maintained by the UPC Group for its employees or former employees in which no employee or former employee of the Overnite Group has participated by virtue of their employment
with Overnite, “UPC Liabilities” shall include all liabilities for any benefits due and payable under the terms of such plans as well as any penalties, interest or other charges imposed by any governmental agency with respect to the
maintenance and administration of such plans. Further, in case of any employee benefit plan maintained or formerly maintained by the UPC Group in which employees or former employees of the Overnite Group have participated by virtue of their
employment with Overnite, “UPC Liabilities” shall be limited to the portion of the liability, penalty, interest or other charge attributable to employees or, former employees of the UPC Group, or in the event that a liability, penalty,
interest or other charge is not attributable to such specific employees or former employees, “UPC Liabilities” shall be limited to the portion of the liability, penalty, interest or other charge that bears the same relationship to the
whole thereof as the benefit liabilities under such plan attributable to employees or former employees of the UPC Group bears to all such benefit liabilities under the plan, and any costs (including reasonable counsel fees) imposed upon or incurred
by the UPC Group in connection with such liability shall be allocated in the same manner. Notwithstanding the foregoing, UPC Liabilities shall include the Compensation Agreement and amounts payable to employees of the Overnite Group as deferred
compensation under the UPC Executive Incentive Plan resulting from periods prior to the consummation of the Offering. 
  
 The term “UPC Securities Liabilities” shall mean any Liability under the Securities Act, the Exchange Act or any other Federal or state law or
regulation, at common law or otherwise, arising out of the Offering, and arising out of or based upon (i) any untrue statement or alleged untrue statement of a material fact contained in a Registration Statement or Prospectus or (ii) the omission or
alleged omission to state in a Registration Statement or Prospectus a material fact required to be stated therein or necessary to make the statements made therein not misleading, but only to the extent that such Liability arises out of or is based
upon any such untrue statement or alleged untrue statement or omission or alleged omission concerning UPC Information; provided, however, that the foregoing definition shall not extend or apply to any Liability that arises out of or is based upon an
untrue statement or alleged untrue statement of a material fact contained in, or an omission or alleged omission to state a material fact required to be stated (or necessary to make the statement not misleading) in the Underwriter Information.

  

 5 

 2. Purchase and Sale of OHI Shares; Closing. (a) On the terms and subject to the conditions of
this Agreement, at the Closing UPC shall sell, transfer and deliver, and Overnite shall purchase from UPC, free and clear of all liens, claims, encumbrances, security interests, options, charges and restrictions of any kind (collectively,
“Liens”) (other than Liens granted on the OHI Shares pursuant to the terms of the Bank Credit Facility), all of the outstanding OHI Shares in exchange for (A)
                 Overnite Shares, free and clear of all Liens, and (B) $1.0 million in the form of a promissory note in substantially the same form as set forth
in Exhibit A hereto (the “Deferred Consideration Promissory Note”). 
  
 (b) The Closing shall be held at the offices of Cravath, Swaine & Moore LLP, Worldwide Plaza, 825 Eighth Avenue, New York, New York 10019, or such other place as the parties may agree. At the Closing: (i) UPC
shall deliver to Overnite certificates representing the OHI Shares, duly endorsed in blank or accompanied by one or more stock powers duly endorsed in blank, in each case in proper form for transfer, (ii) Overnite shall issue and deliver to UPC
certificates representing the Overnite Shares, registered in the name of UPC, (iii) Overnite shall deliver to UPC a duly executed Deferred Consideration Promissory Note and (iv) Overnite and UPC shall each take such further actions and deliver such
other documents as may be reasonably requested by the other party to complete the Divestiture Transaction. 
  
 (c) Immediately prior to the Closing, the net intercompany balance reflecting advances between UPC, on the one hand, and OHI and OTC, on the other hand,
excluding payment of any Transaction Costs, shall be forgiven and canceled; provided, however, that Transaction Costs paid by UPC shall not be deemed to result in an adjustment to such net intercompany balance. OHI and Overnite hereby expressly
consent to the forgiveness and cancellation of such net intercompany balance. 
  
 (d) Prior to the Closing, OHI shall declare, and prior to the consummation of the Offering, OHI shall pay a cash dividend to UPC, as holder of record of all of the Overnite Shares, in the amount of $128 million, which
dividend shall be payable from the net proceeds of OTC’s borrowings under the Bank Credit Facility. 
  
 3. UPC Representations and Warranties. UPC hereby represents and warrants, as of the date hereof and as of the Closing, to Overnite, OHI, Overnite
Delaware, OTC and MCI as follows: 
  
 (a) Each of UPC and OHI is a
corporation duly organized, validly existing and in good standing under the laws of the jurisdiction of its incorporation, and has full corporate power and authority to execute and deliver this Agreement and to 
  

 6 

 perform its obligations hereunder. The execution and delivery of this Agreement by each of UPC and OHI and the
performance of its obligations hereunder have been duly and validly authorized by all necessary corporate action on the part of UPC and OHI, and this Agreement has been duly and validly executed and delivered by UPC and OHI. 
  
 (b) This Agreement constitutes the legal, valid and binding obligation of
UPC, enforceable against UPC in accordance with its terms, except as limited by applicable bankruptcy, insolvency, moratorium, reorganization or other similar laws affecting creditors’ rights and remedies generally and general principles
equity. 
  
 (c) Neither the execution and delivery of this
Agreement by UPC or OHI, nor the performance of their respective obligations hereunder, nor the consummation of the transactions contemplated hereby, will (i) violate any law, rule, regulation, order or judgment applicable to UPC or OHI, or the
properties or assets of UPC or OHI (ii) violate or conflict with any provision of the certificate of incorporation or by-laws of UPC or OHI or (iii) conflict with, result in a breach of, constitute a default under, result in the acceleration of,
create in any party the right to accelerate, terminate, modify or cancel, or require any notice under, any agreement, contract, lease, license or instrument to which UPC or OHI is a party or by which it is bound or to which any of its assets is
subject, except in each case for any violation, conflict, breach, default, acceleration, termination, modification, cancellation or failure to give notice which will not have a material adverse effect on the ability of UPC or OHI to consummate the
transactions contemplated by this Agreement. Neither UPC nor OHI is required to give any notice to, make any filing with, or obtain any authorization, consent or approval of any Federal, state or local, domestic or foreign, government or any court,
administrative agency or commission or other governmental authority or agency, domestic or foreign (a “Governmental Entity”), in order for UPC or OHI to execute and deliver this Agreement or to consummate the transactions contemplated by
this Agreement, except for any failure to give notice or to file or obtain any authorization, consent or approval which would not have a material adverse effect on the ability of UPC or OHI to consummate the transactions contemplated by this
Agreement. 
  
 (d) The authorized capital stock of OHI consists of
1,000 OHI Shares, of which 100 shares are issued and outstanding as of the date hereof. UPC holds of record and beneficially owns such OHI Shares free and clear of any and all Liens, other than restrictions on transfer of the OHI Shares imposed
under applicable Federal or state securities laws. All of the OHI Shares have been duly authorized and are validly issued, fully paid and nonassessable. UPC is not a party to, and is not otherwise subject to or bound by, any voting trusts, proxies
or other agreements or understandings with respect to the voting of any capital stock of OHI, other than the rights of Overnite under this Agreement. Except for the rights of Overnite under this Agreement, there are no outstanding options, warrants,
rights, agreements or other commitments, or any statutory or contractual preemptive or subscription rights, pursuant to which OHI is or may become obligated to issue, deliver or sell, or cause to be issued, delivered or sold, or otherwise entitling
any other Person to participate in or otherwise receive any payment based on the value of, any securities of OHI (including OHI Shares). 
  

 7 

 (e) UPC acknowledges that the Overnite Shares being acquired by it hereunder have not been registered
under the Securities Act or registered or qualified under applicable state securities laws. UPC will not offer to sell or otherwise dispose of the Overnite Shares so acquired by it in violation of any of the registration requirements of the
Securities Act or any comparable state securities laws. 
  
 4.
Representations and Warranties of Overnite, OHI, Overnite Delaware, OTC and MCI. Overnite, OHI, Overnite Delaware, OTC and MCI hereby represent and warrant, on a joint and several basis, as of the date hereof and as of the Closing, to UPC as
follows: 
  
 (a) Each of Overnite, Overnite Delaware, OTC and MCI
is a corporation duly organized, validly existing and in good standing under the laws of the jurisdiction of its incorporation, and each of Overnite, Overnite Delaware, OTC and MCI has full corporate power and authority to execute and deliver this
Agreement and to perform its obligations hereunder. The execution and delivery of this Agreement by Overnite, OHI, Overnite Delaware, OTC and MCI and the performance by each of them of their respective obligations hereunder have been duly and
validly authorized by all necessary corporate action on the part of such party, and this Agreement has been duly and validly executed and delivered by such party. 
  
 (b) This Agreement constitutes the valid, legal and binding obligation of Overnite, OHI, Overnite Delaware, OTC and MCI,
enforceable against each of such parties in accordance with its terms, except as limited by applicable bankruptcy, insolvency, moratorium, reorganization or other similar laws affecting creditors’ rights and remedies generally and general
principles of equity. 
  
 (c) Neither the execution and delivery
of this Agreement by Overnite, Overnite Delaware, OTC and MCI, nor the performance of their respective obligations hereunder, nor the consummation of the transactions contemplated hereby, will (i) violate any applicable law, rule, regulation, order
or judgment applicable to Overnite, Overnite Delaware, OTC or MCI or their properties or assets, (ii) violate or conflict with any provision of the certificate of incorporation or by-laws of Overnite, Overnite Delaware, OTC or MCI or (iii) conflict
with, result in a breach of, constitute a default under, result in the acceleration of, create in any party the right to accelerate, terminate, modify or cancel, or require any notice under any agreement, contract, lease, license or instrument to
which Overnite, Overnite Delaware, OTC or MCI is a party or by which it is bound or to which any of its assets is subject, except in each case for any violation, conflict, breach, default, acceleration, termination, modification, cancellation or
failure to give notice which will not have a material adverse effect on the ability of Overnite, Overnite Delaware, OTC or MCI to consummate the transactions contemplated by this Agreement. Neither Overnite, Overnite Delaware, OTC nor MCI is
required to give any notice to, make any filing with, or obtain any authorization, consent or approval of, any Governmental Entity in order for Overnite, Overnite Delaware, OTC or MCI to execute and deliver this Agreement or to consummate the
transactions contemplated by this Agreement, except for any failure to give notice, or to file or obtain any 
  

 8 

 authorization, consent or approval which would not have a material adverse effect on the ability of Overnite, OTC,
Overnite Delaware or MCI to consummate the transactions contemplated by this Agreement. 
  
 (d) The authorized capital stock of Overnite consists of 150,000,000 Overnite Shares and 25,000,000 shares of preferred stock, par value $0.01 per share, of which no Overnite Shares and no shares of preferred stock
are issued and outstanding as of the date hereof. Immediately following the Divestiture Transaction, except as disclosed in the Registration Statement that has been filed as of the date hereof with the SEC with respect to the Offering, the only
outstanding shares of capital stock of Overnite will be the                  Overnite Shares to be issued and delivered to UPC in the Divestiture Transaction. All
of the Overnite Shares to be issued in the Divestiture Transaction have been duly authorized. Upon consummation of the Divestiture Transaction, the Overnite Shares to be issued in the Divestiture Transaction will be validly issued, fully paid and
nonassessable and will be free and clear of any Liens. Except for the rights of UPC under this Agreement and except as disclosed in the Registration Statement that has been filed as of the date hereof with the SEC with respect to the Offering, there
are no outstanding options, warrants, rights, agreements or other commitments, or any statutory or contractual preemptive or subscription rights, pursuant to which Overnite is or may become obligated to issue, deliver, or sell, or cause to be
issued, delivered or sold, or otherwise entitling any other Person to participate in or otherwise receive any payment based on the value of, any securities of Overnite (including Overnite Shares). 
  
 (e) Overnite acknowledges that the OHI Shares being acquired by it hereunder
have not been registered under the Securities Act or registered or qualified under applicable state securities laws. The OHI Shares purchased by Overnite pursuant to this Agreement are being acquired for investment only and not with a view towards
any public distribution thereof, and Overnite will not offer to sell or otherwise dispose of the OHI Shares so acquired by it in violation of any of the registration requirements of the Securities Act or any comparable state securities laws.

  
 (f) At the time of the Divestiture Transaction, Overnite has
no plan or intention to offer, pledge, sell, contract to sell, sell any option or contract to purchase, grant any option, right or warrant to purchase, or issue stock in Overnite other than pursuant to the employee benefit plans and employee stock
awards described in the Registration Statement. 
  
 5.
Indemnification by Overnite. The Overnite Group shall release, indemnify, defend and hold harmless the UPC Group and the respective directors, officers, employees, agents and representatives thereof from and against any and all losses,
claims, damages, liabilities, demands, suits and actions (by any person), including all reasonable attorneys’ fees and disbursements and other costs and expenses incurred in connection therewith (collectively, “Indemnifiable Losses”),
relating to, resulting from, or arising out of (a) any Overnite Liabilities, (b) any Overnite Securities Liabilities, (c) any fees and expenses described in clauses (viii) and (xi) of the definition of Transaction 
  

 9 

 Costs and (d) any failure by the Overnite Group to comply with the terms and conditions of this Agreement or any other
agreement executed in connection with the Offering or the Divestiture Transaction. No payment by Overnite pursuant to clauses (a) or (b) of the foregoing sentence shall be required until such time as the aggregate amount which would be so payable
under such clauses exceeds $100,000, and at such time the entire aggregate amount (and not only the excess over $100,000) will become payable. 
  
 6. Indemnification by the UPC Group. The UPC Group shall release, indemnify, defend and hold harmless the Overnite Group and the respective
directors, officers, employees, agents and representatives thereof from and against any and all Indemnifiable Losses relating to, resulting from, or arising out of (a) any UPC Liabilities, (b) any UPC Securities Liabilities, (c) any fees and
expenses described in clauses (i), (ii), (iii), (iv), (v), (vi), (vii), (ix) and (x) of the definition of Transaction Costs and (d) any failure by UPC to comply with the terms and conditions of this Agreement or any other agreement executed in
connection with the offering or the Divestiture Transaction. No payment by UPC pursuant to clauses (a) or (b) of the foregoing sentence shall be required until such time as the aggregate amount which would be so payable under such clauses exceeds
$100,000, and at such time the entire aggregate amount (and not only the excess over $100,000) will become payable. 
  
 7. Guarantees, Bonds, Etc. Overnite Group shall use reasonable best efforts to promptly obtain the release of UPC, or the substitution of any
member of the Overnite Group for UPC, on all Guarantees, other than that certain letter of credit, number S401376, in the amount of $2,743,933, issued by BNP (the “BNP LOC”), and that certain letter of credit, number SLCMMSP00412, in the
amount of $10,957,111, issued by USBank NA (the “USB LOC”), each in favor of National Union Fire Insurance Company. The Guarantees shall include, but not be limited to, the agreements listed in Schedule 7 hereto, and any renewals thereof
or substitutions therefor. UPC shall cooperate with the Overnite Group in obtaining such releases or substitutions, provided that it shall not be required to incur any non-de minimis liability or unreimbursed expense in doing so. The Overnite Group
agrees to indemnify, defend and hold harmless the UPC Group, and the directors, officers, employees, agents and representatives thereof, from and against any Indemnifiable Losses relating to, resulting from, or arising out of, any Guarantee. UPC
shall be subrogated to the rights of any beneficiary of a Guarantee against the Overnite Group to the extent that UPC is required to make any payment under such Guarantee. UPC agrees not to unilaterally terminate or withdraw any Guarantee and agrees
to abide by the terms of the Guarantees unless UPC has provided advanced written notice to the Overnite Group and the Overnite Group has consented thereto in writing. The Overnite Group may withhold such consent if, to the Overnite Group’s
knowledge after reasonable inquiry, such termination, withdrawal or non-compliance would cause more than a de minimis liability to the Overnite Group or result in the Overnite Group’s default under or violation of the terms of any agreement
with a third party, in which case the Overnite Group would have to negotiate with UPC reasonable compensation for the continued maintenance of such Guarantee. Notwithstanding anything contained herein to the contrary, UPC agrees that it shall be
solely responsible for the cost of maintaining the BNP LOC and OTC agrees that it shall reimburse UPC for the actual out-of-pocket cost of maintaining the USB LOC. 
  

 10 

 8. Workers’ Compensation Claims. UPC will cause its captive insurer, Wasatch Insurance
Limited, a Bermuda corporation (“Wasatch”), to pay or cause to be paid the amount of each individual claim set forth on Schedule 8 hereto (the “Existing Workers’ Compensation Insurance Claims”) in accordance with applicable
settlements or other agreements, understandings or current practices of Wasatch with respect to any of the Existing Workers’ Compensation Insurance Claims UPC and OTC acknowledge and agree that OTC has paid funds to Wasatch which are used to
pay Existing Workers’ Compensation Insurance Claims from time to time and UPC and OTC further acknowledge and agree that the current balance of such funds is approximately $2.0 million (the “Liability Funds”). OTC covenants and agrees
to pay any and all amounts paid by Wasatch with respect to the Existing Workers’ Compensation Insurance Claims and hereby agrees to indemnify, defend, and hold harmless, UPC and its subsidiaries and affiliates from and against any and all
liability for any amounts paid or to be paid in excess of the outstanding balance of the Liability Funds. In the event, after settlement of all Existing Workers’ Compensation Insurance Claims, there is any remaining balance in the Liability
Funds, UPC covenants and agrees to cause Wasatch to promptly refund such remaining balance to OTC. 
  
 9. Third Party Claims. (a) If any person entitled to indemnification under this Agreement (an “Indemnitee”) receives notice of the
assertion of any claim or of the commencement of any action or proceeding by any person that is not a party to this Agreement or a subsidiary of any such party (a “Third Party Claim”) against such Indemnitee, the Indemnitee shall promptly
provide written notice thereof (including a description of the Third Party Claim and an estimate of any Indemnifiable Losses (which estimate shall not be conclusive as to the final amount of such Indemnifiable Losses)) to the party required to
provide indemnification under this Agreement (the “Indemnifying Party”) within 10 business days after the Indemnitee’s receipt of notice of such Third Party Claim. Any delay by the Indemnitee in providing such written notice shall not
relieve the Indemnifying Party of any liability for indemnification hereunder except to the extent that the rights of the Indemnifying Party are materially prejudiced by such delay. 
  
 (b) The Indemnifying Party shall have the right to participate in or, by giving written notice to the Indemnitee, to assume
the defense of any Third Party Claim at such Indemnifying Party’s expense and by such Indemnifying Party’s own counsel (which shall be reasonably satisfactory to the Indemnitee), and the Indemnitee will cooperate in good faith in such
defense. The Indemnitee may retain its own counsel with respect to such Third Party Claims, but the Indemnifying Party shall not be liable for any legal expenses incurred by the Indemnitee after the Indemnitee has received notice of the Indemnifying
Party’s intent to assume the defense of a Third Party Claim, unless the named parties to such Third Party Claim (including any impleaded parties) include both the Indemnifying Party and the Indemnitee and representation of both parties by the
same counsel would be inappropriate due to actual or potential differing interests between them. If the Indemnifying Party fails to take steps reasonably necessary to diligently pursue the defense of such Third Party Claim within 60 days of receipt
of notice from the 
  

 11 

 Indemnitee that such steps are not being taken, the Indemnitee may assume its own defense and the Indemnifying Party
shall be liable for the reasonable costs thereof. 
  
 (c) The
Indemnifying Party may settle any Third Party Claim which it has elected to defend so long as the written consent of the Indemnitee to such settlement is first obtained (which consent shall not be unreasonably withheld). The Indemnitee shall not
settle any Third Party Claim without the written consent of the Indemnifying Party (which consent shall not be unreasonably withheld) if the Indemnifying Party elects not to defend such Third Party Claim. 
  
 (d) In the event that a Third Party Claim involves a proceeding as to which
both the UPC Group and the Overnite Group may be Indemnifying Parties, the parties hereto agree to cooperate in good faith in a joint defense of such Third Party Claim. 
  
 10. Contribution. If the indemnification provided for in this Agreement with respect to Overnite Securities
Liabilities or UPC Securities Liabilities is for any reason held by a court or other tribunal to be unavailable on policy grounds or otherwise, the UPC Group and the Overnite Group shall contribute to the Indemnifiable Losses in such proportion as
to reflect each party’s relative fault in connection with such Indemnifiable Losses. The relative fault of the parties shall be determined by reference to, among other things, whether the conduct or information giving rise to the Indemnifiable
Losses is attributable to the UPC Group or the Overnite Group and each party’s relative intent, access to information and opportunity to prevent or correct the Indemnifiable Losses. No person guilty of fraudulent misrepresentation (within the
meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any person who is not guilty of fraudulent misrepresentation. 
  
 11. Cooperation. So long as any books, records and files retained by the UPC Group or the Overnite Group relating to the present or past
businesses, operations or assets of the Overnite Group remain in existence and available, the UPC Group and the Overnite Group shall have the right upon prior written notice to inspect and copy the same at any time during business hours for any
proper purpose, provided that such right will not extend to any books, records and files, disclosure of which in accordance herewith would result in a waiver of the attorney-client, work product or other privileges which permit nondisclosure of
otherwise relevant material in litigation or other proceedings, or which are subject on the date hereof and at the time inspection is requested to a non-disclosure agreement with a third party and a waiver cannot reasonably be obtained,
provided that, in the case of material requested of the Overnite Group, such request relates only to the businesses, operations or assets of the Overnite Group as constituted on or prior to Closing or books, records and files reasonably
required by the UPC Group for accounting or financial reporting purposes or to enforce its rights under this Agreement or any other agreement executed by the Overnite Group and the UPC Group in connection with the Offering or Divestiture
Transaction. The UPC Group and the Overnite Group agree that they shall not other than in the ordinary course of business in accordance with established record retention policies destroy any such 
  

 12 

 books, records or files without reasonable notice to the other party or if such party receives within 10 Business Days of
such notice any reasonable objection from the other party to such destruction. Except in the case of dispute between the parties hereto, the UPC Group and the Overnite Group shall cooperate with one another in a timely manner in any administrative
or judicial proceeding involving any matter affecting the actual or potential liability of either party hereunder. Such cooperation shall include, without limitation, making available to the other party during normal business hours all books,
records and information, and officers and employees (without substantial disruption of operations or employment) necessary or useful in connection with any inquiry, audit, investigation or dispute, any litigation or any other matter requiring any
such books, records, information, officers or employees for any reasonable business purpose. The party requesting or otherwise entitled to any books, records, information, officers or employees pursuant to this Section 11 shall bear all reasonable
out-of-pocket costs and expenses (except for salaries, employee benefits and general overhead) incurred in connection with providing such books, records, information, officers or employees. 
  
 12. Section 338 Elections and Related Matters. Overnite agrees to
timely make joint elections with UPC under Section 338(h)(10) of the Code in accordance with the applicable provisions of the Tax Allocation Agreement. 
  
 13. Precedence of Tax Allocation Agreement. The Tax Allocation Agreement, and not this Agreement, shall govern all matters relating to Taxes, and
this Agreement shall have no force or effect over matters governed by the Tax Allocation Agreement. 
  
 14. Use of Union Pacific Name; Shield. The Overnite Group hereby agrees that it will not use or authorize or grant permission to any other person
to use the name “Union Pacific,” including any logo, trademark or design containing such name, or the Union Pacific shield or similar design, at any time after six months following the Closing. 
  
 15. Assignment. Neither party may assign any of its rights or delegate
any of its duties under this Agreement without first obtaining the prior written consent of the other party, which may be withheld by such other party in its absolute discretion. This Agreement shall be binding upon and inure to the benefit of the
parties hereto and their successors and permitted assigns. 
  
 16.
Notices. All notices and other communications to be given hereunder shall be in writing and delivered in person or mailed postage prepaid or sent by telegram or other facsimile transmission to the following addresses: 
  

 13 

 If to UPC: 
  
 Union Pacific Corporation 
 1416 Dodge Street 
 Omaha, Nebraska 68179 
 Attn: Senior Vice President and General Counsel 
 Telecopy No.: 
  
 If to Overnite, OHI, OTC or MCI: 
  
 Overnite Corporation 
 1000 Semmes Avenue 
 Richmond, VA 23224-2246 
 Attn: Senior Vice President and Chief Financial Officer 
 Attn: Senior Vice President and General Counsel 
 Telecopy No.: 
  
 or to such other addresses as either party may designate in writing. All notices or communications shall be effective upon receipt. 
  
 17. No Third Party Beneficiaries. The provisions of this Agreement are
intended solely to establish the relative rights and responsibilities between the UPC Group and the Overnite Group, and except as set forth in the provisions of this Agreement which expressly provide for the indemnification of members of the UPC
Group or the Overnite Group, or the respective directors, officers, employees, agents and representatives thereof, nothing in this Agreement, express or implied, is intended or will be construed to confer upon or give any person other than the
parties hereto and their respective successors and permitted assigns any rights, remedies or obligations under or by reason of this Agreement or any transaction contemplated hereby. 
  
 18. Governing Law. This Agreement shall be governed by and construed in accordance with laws of the State of
Delaware, without giving effect to the principles of conflicts of law thereof. 
  
 19. Counterparts. This Agreement may be executed in any number of counterparts, each of which when so executed shall be deemed an original and all of which shall together constitute but one and the same
instrument. 
  
 20. Entire Agreement. This Agreement
constitutes the entire agreement of the parties with respect to the subject matter hereof and supersedes all prior agreements and understandings, oral or written, with respect to such matters. This Agreement may not be amended or otherwise modified
except by a written instrument duly executed and delivered by all parties. No failure or delay by any party in exercising any right, power or privilege hereunder shall operate as a waiver thereof nor shall any single or partial exercise thereof
preclude any other or further exercise thereof or the exercise of any other right, power or privilege. 
  

 14 

 21. Severability. The provisions of this Agreement are severable, and should any provision hereof
be void, voidable or unenforceable under any applicable law, such provision shall not affect or invalidate any other provision of this Agreement, which shall continue to govern the relative rights and duties of the parties as though such void,
voidable or unenforceable provision were not a part hereof. 
  
 22. Incorporation of Schedules. The Schedules identified in and attached to this Agreement are hereby incorporated by reference and made a part hereof. 
  

 15 

 IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the date first above
written. 
  

	UNION PACIFIC CORPORATION, 
		
	By:	 	 
	 	

	Name:	 	 
	Title:	 	 

  

	OVERNITE CORPORATION, 
		
	By:	 	 
	 	

	Name:	 	 
	Title:	 	 

  

	OVERNITE HOLDING, INC., 
		
	By:	 	 
	 	

	Name:	 	 
	Title:	 	 

  

	 OVERNITE, INC., 

		
	By:	 	 
	 	

	Name:	 	 
	Title:	 	 

  

	 OVERNITE TRANSPORTATION COMPANY, 

		
	By:	 	 
	 	

	Name:	 	 
	Title:	 	 

  

	 MOTOR CARGO INDUSTRIES, INC.,

		
	By:	 	 
	 	

	Name:	 	 
	Title:	 	 

  

 16

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