Document:

<PAGE>   1
                                                                   EXHIBIT 10(d)

                                                                [EXECUTION COPY]

                                    AMENDMENT
                                       TO
                     SUBSCRIPTION AND REDEMPTION AGREEMENT,
                  AMENDED AND RESTATED STOCKHOLDERS' AGREEMENT
                                       AND
                             STOCKHOLDERS' AGREEMENT

              AMENDMENT (this "Amendment"), dated as of December 9, 1998, among
The Seagram Company Ltd., a corporation organized under the laws of Canada
("Seagram"), Centenary Holding N.V., a corporation organized under the laws of
the Netherlands ("Bidco"), Universal Studios Holding I Corp., a corporation
organized under the laws of Delaware ("Universal Holding"), MEI Holding Inc., a
corporation organized under the laws of Delaware ("MHI") and a subsidiary of
Matsushita Electric Industrial Co., Ltd. ("MEI"), MHI Investment Corporation, a
corporation organized under the laws of Delaware ("MHI Sub"), Seagram
Developments, Inc., a corporation organized under the laws of Delaware
("Developments") and Seagram International B.V., a corporation organized under
the laws of The Netherlands ("SIBV").

                              W I T N E S S E T H :

              WHEREAS, Seagram, Bidco, Universal Holding, MHI and MHI Sub are
parties to that certain Subscription and Redemption Agreement (the "Subscription
and Redemption Agreement"), dated as of December 9, 1998;

              WHEREAS, the Subscription and Redemption Agreement contemplated
that Universal Holding be valued at $10.75 billion ($1,210,040.52 per share)
(the "Original Valuation") for purposes of the issuance of certain New
Securities (as defined in the Universal Stockholders' Agreement); and the
parties wish to amend the Subscription and Redemption Agreement to reflect the
valuation of Universal Holding at $10.413 billion ($1,172,107.16 per share) (the
"Amended Valuation") for purposes of issuance of such New Securities;

              WHEREAS, Universal Holding, MHI, Seagram and Developments are
parties to that certain Amended and Restated Stockholders' Agreement (the
"Universal Stockholders' Agreement") dated as of December 9, 1998, and wish to
amend the Universal Stockholders' Agreement to reflect the Amended Valuation;

<PAGE>   2

              WHEREAS, Bidco, MHI Sub and SIBV are parties to that certain
Stockholders' Agreement (the "Bidco Stockholders' Agreement") dated as of
December 9, 1998, and wish to amend the Bidco Stockholders' Agreement to reflect
the Amended Valuation;

              WHEREAS, Seagram, Bidco, Universal Holding, MHI, MHI Sub,
Developments and SIBV desire to enter into certain transactions to give effect
to the Amended Valuation;

              NOW, THEREFORE, in consideration of the premises and the mutual
agreements and covenants hereinafter set forth, the parties hereto hereby agree
as follows:

       Amendment of the Subscription and Redemption Agreement.

              The Recitals to the Subscription and Redemption Agreement shall be
amended in their entirety to read as follows:

                                    "W I T N E S S E T H :
                                     --------------------

                     WHEREAS, Seagram and Koninklijke Philips Electronics N.V.
       ("Philips") have entered into an Offer Agreement, dated as of June 21,
       1998 (the "Offer Agreement"), whereby Seagram has agreed to purchase all
       shares of the common stock of PolyGram N.V. ("PolyGram") held by Philips
       and to prepare and commence an offer to purchase all remaining
       outstanding shares of the common stock of PolyGram (collectively, the
       "PolyGram Shares"); and

                     WHEREAS, MEI and Seagram have agreed that Universal Holding
       be valued at $1,172,107.16 per share for purposes of the issuance of New
       Securities (as defined in the Universal Stockholders' Agreement) and that
       the equity of Bidco will be valued at $28,548.36 per share for purposes
       of the issuance of New Securities (as defined in the Bidco Stockholders'
       Agreement) and the other transactions contemplated hereby; and

                     WHEREAS, promptly following the execution and delivery
       hereof, the following will occur: (a) a subsidiary of Seagram will make a
       capital contribution of U.S. $5,410,172,460 to Universal Holding in
       exchange for 4,615.7661 shares of Class A Common Stock of Universal
       Holding (such amount, the "Contribution Amount", such shares, the "New
       Universal Shares" and such contribution, the "Contribution"), (b)
       Universal Holding will redeem 385.8303 shares of Class A Common Stock of
       Universal Holding from MHI for U.S. $452,234,504 (such shares, the
       "Redeemed Shares", such price the "Redemption Amount" and such
       redemption, the "Redemption"), (c) MHI will contribute the Redemption
       Amount it receives to MHI Sub, and MHI Sub will in turn contribute

<PAGE>   3

       that amount, together with all of its assets and liabilities, to Bidco in
       exchange for 15,841 shares of common stock of Bidco (such shares, the
       "Bidco Shares"), (d) Seagram will complete the acquisition of the
       Polygram Shares owned by Philips or tendered as contemplated by the Offer
       Agreement (the "Polygram Acquisition"), (e) Seagram or a subsidiary of
       Seagram will contribute such Polygram Shares to Bidco in exchange for
       83,881 shares of common stock of Bidco (together with 100,000 shares
       previously issued to a subsidiary of Seagram, "Seagram's Bidco Shares")
       and assumption by Bidco of the obligation to pay certain loans to
       subsidiaries of Universal Holding and (h) as a result of the foregoing,
       MHI will own 7.932% of the issued and outstanding Class A Common Stock of
       Universal Holding and MHI Sub will own 7.932% of the issued and
       outstanding common stock of Bidco."

              The last sentence of Section 5.2(c) of the Subscription and
Redemption Agreement shall be amended in its entirety to read as follows:

       "After giving effect to the transactions contemplated by this Agreement,
       there will be 13,113.9358 shares of Class A Common Stock issued and
       outstanding, of which 1,040.1697 shares will be owned of record by MHI
       and 12,073.7661 shares will be owned of record by Developments."

       Amendment of Universal Stockholders' Agreement.

              A new WHEREAS clause shall be inserted in the Universal
Stockholders' Agreement immediately following the second WHEREAS clause, which
will read in its entirety as follows:

       "WHEREAS, between June 5, 1995 and the date hereof, the Company issued
       shares of Class A Common Stock to Developments and, as a result, on the
       date hereof (but before giving effect to the transactions described
       below), there are 8,884 shares of Class A Common Stock issued and
       outstanding, of which 1,426 shares are held of record by Holding and
       7,458 shares are held of record by Developments;"

              The first sentence of Section 5.1(c) of the Universal
Stockholders' Agreement shall be amended in its entirety to read as follows:

       "To the extent that the aggregate purchase price payable for any Shares
       to be issued by the Company (or Bidco New Securities (as defined in the
       Bidco Stockholders' Agreement) to be issued by Bidco) prior to the first
       anniversary hereof is no greater than $750 million, the per share price
       payable for such issuance of Shares shall be based upon a valuation of
       the Company and Bidco as a whole at U.S. $21,072,672,676 (with U.S.
       $15,370,937,956 being attributable to the Company and U.S. $5,701,734,720
       being attributable to Bidco) (which

<PAGE>   4

       valuation(s) shall be appropriately adjusted to give effect to any
       capital contributions made in connection with such issuance(s) of Shares
       or Bidco New Securities)."

       Amendment of Bidco Stockholders' Agreement.

       The first sentence of Section 5.1(c) of the Bidco Stockholders' Agreement
shall be amended in its entirety to read as follows:

       "To the extent that the aggregate purchase price payable for any Shares
       to be issued by the Company (or USHI New Securities (as defined in the
       Universal Stockholders' Agreement) to be issued by USHI) prior to the
       first anniversary hereof is no greater than $750 million, the per share
       price payable for such issuance of Shares shall be based upon a valuation
       of the Company and USHI as a whole at U.S. $21,072,672,676 (with U.S.
       $15,370,937,956 being attributable to USHI and U.S. $5,701,734,720 being
       attributable to the Company) (which valuation(s) shall be appropriately
       adjusted to give effect to any capital contributions made in connection
       with such issuance(s) of Shares or USHI New Securities)."

       Payments; Transfer and Issuance of Shares.

       In order to effect this Amendment, on a date mutually agreeable to the
parties (the "Closing Date") promptly following the execution and delivery
hereof, each of the transactions set forth below shall occur substantially
simultaneously. Each of the transactions set forth below are contingent upon,
and shall not be consummated unless, all of the transactions set forth below are
consummated as provided herein.

              Reimbursement by MHI to Universal Holding; Transfer of Universal
Holding Shares from MHI.

              i. Based on the Original Valuation, MHI received U.S. $460,172,460
in connection with the Redemption. Based on the Amended Valuation, MHI should
have received U.S. $452,234,504 in connection with the Redemption. In order to
effect this Amendment, MHI shall reimburse Universal Holding the difference of
U.S. $7,937,956. For purposes of this Amendment, Universal Holding shall
acknowledge receipt of such sum by executing the Cross Receipt attached hereto
as Annex A.

              ii. Based on the Original Valuation, MHI transferred 380.2951
shares of Class A Common Stock of Universal Holding to Universal Holding in
connection with the Redemption. Based on the Amended Valuation, MHI should have
transferred 385.8303 shares of Class A Common Stock of Universal Holding to
Universal Holding in connection with the Redemption. In order to effect this
Amendment, MHI shall transfer 5.5352 shares of Class A
<PAGE>   5

Common Stock of Universal Holding to Universal Holding. To accomplish the
foregoing, MHI shall (A) deliver to Universal Holding stock certificate No. A-6
representing 1,045.7049 shares of Class A Common Stock of Universal Holding,
duly endorsed for transfer to Universal Holding, or accompanied by stock powers
duly executed in favor of Universal Holding, with all necessary transfer stamps
attached thereto and canceled, such shares to be delivered free and clear of all
Liens, and (B) execute and deliver such other documents and instruments as
Universal Holding may reasonably request to effect the transfer of such
securities. Universal Holding shall issue to MHI a new stock certificate
representing 1,040.1697 shares of Class A Common Stock of Universal Holding.

              Issuance of Universal Holding Shares to Developments.

              Based on the Original Valuation, Developments made a capital
contribution to Universal Holding in the amount of U.S. $5,410,172,460, and
Universal Holding issued 4,471.0672 shares of Class A Common Stock of Universal
Holding to Developments. Based on the Amended Valuation, Universal Holding
should have issued 4,615.7661 shares of Class A Common Stock of Universal
Holding to Developments. In order to effect this Amendment, Universal Holding
shall issue 144.6989 shares of Class A Common Stock of Universal Holding to
Developments. To accomplish the foregoing, Universal Holding shall issue to
Developments a new stock certificate representing 144.6989 shares of Class A
Common Stock of Universal Holding.

              Redemption of Bidco Shares from MHI Sub; Payment by Bidco to MHI
              Sub.

              Based on the Original Valuation, MHI Sub transferred the amount of
U.S. $460,172,460 to Bidco, and Bidco issued 16,119 shares of common stock of
Bidco to MHI Sub, in connection with the capital contribution by MHI Sub to
Bidco contemplated by the Subscription and Redemption Agreement. Based on the
Amended Valuation, MHI Sub should have transferred the amount of U.S.
$452,234,504 to Bidco, and Bidco should have issued 15,841 shares of common
stock of Bidco to MHI Sub in connection with such capital contribution. In order
to effect this Amendment, (i) Bidco shall reimburse MHI Sub the difference of
U.S. $7,937,956, and, for purposes of this Amendment, MHI Sub shall acknowledge
receipt of such sum by executing the Cross Receipt attached hereto as Annex A,
and (ii) MHI Sub shall return 278 shares of common stock of Bidco to Bidco. To
accomplish the return of shares by MHI Sub, Bidco and MHI Sub shall execute and
deliver (A) a Deed of Repurchase of Shares and (B) such other documents and
instruments as may be necessary to effect the return of 278 shares of common
stock of Bidco by MHI Sub to Bidco.

       Definitions.

       Capitalized terms not otherwise defined herein shall have the meaning
ascribed to such terms in the Subscription and Redemption Agreement, the
Universal Stockholders' Agreement or the Bidco Stockholders' Agreement, as
applicable. All references in the Subscription and

<PAGE>   6

Redemption Agreement, the Universal Stockholders' Agreement, the Bidco
Stockholders' Agreement and any other documents referring to any of the
foregoing agreements shall be deemed to be references to the applicable
agreements as amended hereby.

       Counterparts.

       This Amendment may be executed in two or more counterparts, and by
different parties on separate counterparts, each of which shall be deemed an
original, but all of which shall constitute one and the same instrument.

                                     * * *

<PAGE>   7

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

                                            THE SEAGRAM COMPANY LTD.

                                            By:/s/Daniel R. Paladino
                                              ----------------------------------
                                               Name:  Daniel R. Paladino
                                               Title: Executive Vice President

                                            By:/s/Michael C.L. Hallows
                                              ----------------------------------
                                               Name:  Michael C.L. Hallows
                                               Title: Secretary

                                            CENTENARY HOLDING N.V.

                                            By:
                                              ----------------------------------
                                               Name:
                                               Title:

                                            UNIVERSAL STUDIOS HOLDING I CORP.

                                            By:/s/ Daniel R. Paladino
                                              ----------------------------------
                                               Name:  Daniel R. Paladino
                                               Title: Vice President

                                            MEI HOLDING INC.

                                            By:
                                              ----------------------------------
                                               Name:
                                               Title:

<PAGE>   8

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

                                            THE SEAGRAM COMPANY LTD.

                                            By:
                                              ----------------------------------
                                               Name:  Daniel R. Paladino
                                               Title: Executive Vice President

                                            By:
                                              ----------------------------------
                                               Name:  Michael C.L. Hallows
                                               Title: Secretary

                                            CENTENARY HOLDING N.V.

                                            By:/s/ William Podurgiel
                                              ----------------------------------
                                               Name:  William Podurgiel
                                               Title: Managing Director

                                            UNIVERSAL STUDIOS HOLDING I CORP.

                                            By:
                                              ----------------------------------
                                               Name:  Daniel R. Paladino
                                               Title: Vice President

                                            MEI HOLDING INC.

                                            By:
                                              ----------------------------------
                                               Name:
                                               Title:

<PAGE>   9

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

                                            THE SEAGRAM COMPANY LTD.

                                            By:
                                              ----------------------------------
                                               Name:  Daniel R. Paladino
                                               Title: Executive Vice President

                                            By:
                                              ----------------------------------
                                               Name:  Michael C.L. Hallows
                                               Title: Secretary

                                            CENTENARY HOLDING N.V.

                                            By:
                                              ----------------------------------
                                               Name:
                                               Title:

                                            UNIVERSAL STUDIOS HOLDING I CORP.

                                            By:
                                              ----------------------------------
                                               Name:  Daniel R. Paladino
                                               Title: Vice President

                                            MEI HOLDING INC.

                                            By:/s/ Yoshinori Kobe
                                              ----------------------------------
                                               Name:  Yoshinori Kobe
                                               Title: President

<PAGE>   10

                                            MHI INVESTMENT CORPORATION

                                            By:/s/ Yoshinori Kobe
                                              ----------------------------------
                                               Name:  Yoshinori Kobe
                                               Title: President

                                            SEAGRAM DEVELOPMENTS, INC.

                                            By:
                                              ----------------------------------
                                               Name:  Daniel R. Paladino
                                               Title: Vice President

                                            SEAGRAM INTERNATIONAL B.V.

                                            By:
                                              ----------------------------------
                                               Name:
                                               Title:

<PAGE>   11

                                            MHI INVESTMENT CORPORATION

                                            By:
                                              ----------------------------------
                                               Name:
                                               Title:

                                            SEAGRAM DEVELOPMENTS, INC.

                                            By:/s/ Daniel R. Paladino
                                              ----------------------------------
                                               Name:  Daniel R. Paladino
                                               Title: Vice President

                                            SEAGRAM INTERNATIONAL B.V.

                                            By:
                                              ----------------------------------
                                               Name:
                                               Title:

<PAGE>   12

                                            MHI INVESTMENT CORPORATION

                                            By:
                                              ----------------------------------
                                               Name:
                                               Title:

                                            SEAGRAM DEVELOPMENTS, INC.

                                            By:
                                              ----------------------------------
                                               Name:
                                               Title:

                                            SEAGRAM INTERNATIONAL B.V.

                                            By:/s/ William Podurgiel
                                              ----------------------------------
                                               Name:  William Podurgiel
                                               Title: Managing Director

                                            By:/s/ Robert Verhoef
                                              ----------------------------------
                                               Name:  Robert Verhoef
                                               Title: Managing Director

<PAGE>   13

                                     ANNEX A

                                  CROSS RECEIPT

For purposes of that certain Amendment to Subscription and Redemption Agreement,
Amended and Restated Stockholders' Agreement and Stockholders' Agreement, dated
as of December 9, 1998 (the "Amendment"), the undersigned hereby acknowledges
receipt of the sum of $7,937,956 from MEI Holding Inc., a corporation organized
under the laws of Delaware.

                                            Universal Studios Holding I Corp.
                                            a Delaware corporation

                                            By:    ____________________
                                            Name:
                                            Title:

For purposes of the Amendment, the undersigned hereby acknowledges receipt of
the sum of $7,937,956 from Centenary Holding N.V., a corporation organized under
the laws of the Netherlands.

                                            MHI Investment Corporation
                                            a Delaware corporation

                                            By:    ____________________
                                            Name:
                                            Title:<PAGE>   1
                                                                   EXHIBIT 10(t)

                            Management Incentive Plan

                              Procedural Guidelines

                                                                         7/21/00

<PAGE>   2

                                TABLE OF CONTENTS

                  ----------------------------------------------

<TABLE>

<S>                                                                          <C>
INTRODUCTION                                                                 1

ELIGIBILITY                                                                  1

  Eligibility Criteria                                                       2

    Grade                                                                    2

    Time In Position                                                         2

  Separation From Service                                                    2

  Protection Guidelines                                                      4

TARGET FUNDS                                                                 4

  Calculating Incentive Targets                                              4

     Percent of Salary Targets                                               4

     Fixed Amount Targets                                                    5

     Using Exchange Rates                                                    6

     Protected Targets                                                       6

     Senior Executives                                                       6

AWARD CALCULATION                                                            6

  Award Components                                                           6

    Business Unit Component                                                  7

    Individual Component                                                     7

    Prorating Payouts                                                        7

    Exchange Rates & Conversion Of Awards                                    9

    Rounding of Awards                                                       9

FUTURE CHANGES                                                               9
</TABLE>

<PAGE>   3

MIP PROCEDURAL GUIDELINES
===============================================================================

INTRODUCTION

                         The purpose of the Management Incentive Plan (MIP) is
                         twofold: (1) to focus management-level employees on
                         specific goals and objectives designed to enhance the
                         Company's performance and (2) to motivate employees
                         toward the achievement of those goals.

                         As Compensation professionals and Human Resource
                         Generalists, you have an important role to play in this
                         process and these MIP Guidelines are designed to help
                         you fulfill that role. If the MIP--and the employees
                         participating in the plan--are to achieve their
                         objectives, the MIP must be administered consistently
                         and efficiently throughout all Business Units. To that
                         end, this document is intended to streamline the MIP
                         process within our global environment by providing a
                         common set of procedural guidelines.

                         These guidelines do not attempt to cover every possible
                         scenario. Rather, these guidelines focus on explaining
                         MIP eligibility criteria, how to calculate and report
                         target funds and award calculation procedures. If these
                         guidelines do not answer all of your questions, please
                         contact Corporate Compensation at 800 Third Avenue,
                         13th floor.

ELIGIBILITY

                         Because the Management Incentive Plan is designed to
                         guide and motivate the performance of employees in key
                         decision-making positions, the Plan maintains certain
                         eligibility criteria. MIP eligibility is determined
                         based on an employee's grade level, time in the
                         position, and active duty status. Any change in an
                         employee's standing relative to these criteria can
                         affect both that individual's participation in the Plan
                         and target incentive amount. This section explains how
                         to determine overall MIP eligibility, as well as how to
                         handle changes in status that can affect an employee's
                         MIP eligibility.

ELIGIBILITY CRITERIA

                         In general, employees must satisfy two criteria before
                         participating in the MIP--(1) a certain grade level and
                         (2) a certain length of time in the eligible position.

                                        1

<PAGE>   4

Grade

                         Grade-related eligibility can vary by country and is
                         based upon local market compensation practices.

<TABLE>
<CAPTION>

-------------------------------------------------------------------------------
                          GRADE REQUIRED          EXCEPTIONS
-------------------------------------------------------------------------------

<S>                       <C>                     <C>
U.S.-PAID  EMPLOYEES      Grade 54 or higher      Sales employees may
                                                  participate in a locally
                                                  administered sales incentive
                                                  plan or in the MIP, but not
                                                  both.

-------------------------------------------------------------------------------
NON-U.S. PAID EMPLOYEES   Grade 55 or higher      Local market compensation
                                                  practices may warrant
                                                  eligibility at grade 54 for
                                                  designated key positions.
-------------------------------------------------------------------------------
</TABLE>

Time in Position

                         Once an employee has satisfied the grade-related
                         eligibility requirements, the employee must next
                         satisfy certain time-in-position requirements to be MIP
                         eligible.

                         Without exception, employees must have spent at least
                         three full months of active duty in an
                         incentive-eligible position during the fiscal year to
                         participate in the MIP.

                         For example, as the company's fiscal year runs from
                         July 1st through June 30th, an employee must be hired
                         or promoted into an MIP-eligible position by April 1 to
                         be able to participate in the current fiscal-year MIP.

SEPARATION FROM
SERVICE

                         If an MIP-eligible employee separates from service,
                         that event may affect the employee's MIP eligibility
                         status in a number of ways, depending on the specific
                         situation. Following is a summary of such events and
                         how they should be handled relative to the MIP. Please
                         note that each of these criteria is subject to local
                         Governmental regulation.

                                        2

<PAGE>   5

<TABLE>
<CAPTION>

-----------------------------------------------------------------------------------------------------------------
REASON FOR                 IS EMPLOYEE
SEPARATION                 STILL MIP                 SPECIFIC REQUIREMENTS
                           ELIGIBLE?
-----------------------------------------------------------------------------------------------------------------

<S>                        <C>                       <C>
Involuntary                Yes                       These employees can
Termination                                          participate in MIP  at
without cause,                                       a prorated target if they
such as a job                                        meet the three-month eligibility
elimination                                          requirement before their termination.
-----------------------------------------------------------------------------------------------------------------

Involuntary                No                         N/A.
Termination with
cause
-----------------------------------------------------------------------------------------------------------------

Voluntary Resignation      No                         However, if an employee
                                                      resigns and their separation
                                                      date is after the end of a
                                                      fiscal period but before
                                                      that period's payout , their
                                                      participation will not be
                                                      affected.

-----------------------------------------------------------------------------------------------------------------

Retirement                 Yes                        Retiring employees are
                                                      eligible to participate in
                                                      the incentive plan with a
                                                      prorated target incentive
                                                      if they met the
                                                      three-month eligibility
                                                      requirement before their
                                                      retirement.

-----------------------------------------------------------------------------------------------------------------

Death                      Yes                        Deceased employees
                                                      will be considered as
                                                      eligible to participate at
                                                      a full year's target
                                                      incentive if they had met
                                                      the three-month
                                                      eligibility requirement
                                                      before their death.

-----------------------------------------------------------------------------------------------------------------

Short-Term Disability      Yes                        Employees on short-term
                                                      disability will be eligible to
                                                      participate in the
                                                      incentive program with a
                                                      prorated target if they
                                                      meet the three-month
                                                      active duty eligibility
                                                      requirement.

-----------------------------------------------------------------------------------------------------------------

Family and Medical         Yes                        Employees on Family or Medical Leave will be considered
Leave Act (FMLA),                                     as eligible to participate at a full year's target
including                                             incentive if they meet the three-month active duty
maternity/parental                                    eligibility requirement.
leave and family
medical leave
-----------------------------------------------------------------------------------------------------------------

Long-Term Disability       No                         Employees on long-term
                                                      disability will not be
                                                      eligible for the
                                                      incentive program until
                                                      they return to active duty
                                                      and are able to meet the
                                                      three-month eligibility
                                                      requirement.

-----------------------------------------------------------------------------------------------------------------

Change to part-time        Yes                        Part-time employees who
status                                                notify their Human Resource
                                                      Generalist in writing
                                                      about their changed status
                                                      and are otherwise MIP
                                                      eligible can continue to
                                                      participate with an
                                                      approved prorated target.

-----------------------------------------------------------------------------------------------------------------
</TABLE>

                                        3

<PAGE>   6

PROTECTION GUIDELINES

                         The company's human resource needs and employees'
                         careers are continually evolving. As a result, there
                         may be instances in which an MIP-eligible employee
                         transfers, for whatever reason, to a lower-graded
                         position with a lower target incentive.

                         Employees transferring to lower-grade positions may be
                         eligible for protection under the position change
                         guidelines. Employees who meet the requirements in the
                         position change guidelines will be protected at their
                         original higher incentive target for two full years
                         after the effective date of the transfer.

                         For more information on these requirements and how to
                         handle incentive plan administration beyond this
                         two-year protection period, refer to the Position
                         Change Guidelines (September 1995).

TARGET FUNDS

CALCULATING INCENTIVE
TARGETS

                         MIP targets can be based on either a fixed amount or a
                         percent of salary. Targets based on a percent of salary
                         are calculated using fiscal year-end salaries. For
                         reporting purposes, all targets should be entered as
                         calculated with no rounding of numbers.

Percent of Salary
Targets

                         If an employee changes salary and grade levels during
                         the year, the employee's target in each grade should be
                         calculated using his/her last salary in the grade, then
                         prorated to reflect the number of months spent in each
                         grade.

                         If an employee has remained in the same grade but with
                         different salaries throughout the year, this target
                         calculation should use the employee's last salary in
                         the grade.

                                        4

<PAGE>   7

                         EXAMPLE: If Employee A has been in the same grade with
                         the same incentive target (30%) all year but has had a
                         salary increase from $45,000 to $50,000, Employee A's
                         target would be calculated using the last salary in the
                         grade as follows:

                                         $50,000 x 30% = $15,000

                         If an employee has been promoted to a different grade
                         during the course of the fiscal year, the target
                         calculations should include prorated changes using the
                         employee's last salary in each grade.

                         EXAMPLE: At the start of the fiscal year on July 1,
                         Employee B is a grade 56 with an annual base salary of
                         $50,000 with an MIP target of 30%. On September 1,
                         Employee B receives a merit increase to $55,000, which
                         is still in the same grade. On November 1, Employee B
                         is promoted to a grade 57 with a salary increase to
                         $75,000 and an MIP target of 35%. Therefore, Employee
                         B's target would be calculated as follows:

                               ($55,000 x 30% x 4/12)  =  $ 5,500.00
                         +     ($75,000 x 35% x 8/12)  =  $17,500.00
                         -------------------------------------------
                               New Incentive Target    =  $23,000.00
                                                          ==========

                         As you can see, this equation uses Employee B's last
                         salary in each grade and reflects the number of months
                         Employee B spent in each grade.

Fixed Amount Targets

                         When targets are set at fixed dollar amounts per grade,
                         these amounts should be used to report the target pool.
                         Employees that change grade levels during the year will
                         be prorated based on the number of months spend in each
                         grade.

                         EXAMPLE: At the start of the fiscal year on July 1,
                         Employee C is a grade 59 with a fixed MIP target of
                         $40,000. On December 1, Employee C is promoted to a
                         grade 60 with a fixed MIP target of $60,000. Therefore,
                         Employee C's overall MIP target for the year would be
                         calculated as follows:

                               ($40,000 x 5/12)  =        $16,666.67
                         +     ($60.000 x 7/12)  =        $35,000.00
                         -------------------------------------------
                               New Incentive Target  =    $51,666.67
                                                          ==========

                                        5

<PAGE>   8

Using Exchange Rates

                         Target funds in non-US$ currencies should be converted
                         into US$ for reporting to Corporate Compensation using
                         the rates issued by the Seagram Corporate Compensation
                         Department. Final target amounts and calculated awards
                         should be calculated using these exchange rates.

Protected Targets

                         When calculating targets for employees at a "protected"
                         MIP target, use the protected target amount.

Senior Executives

                         MIP targets for Senior Executives (grades 63 and
                         higher) should be reported as a separate target pool.

AWARD
CALCULATION

                         At the end of the fiscal year, each employee eligible
                         for the MIP receives a payout, if awarded, under the
                         program. This section explains the components of those
                         awards and how to calculate them.

AWARD COMPONENTS

                         Each participant's incentive award is determined by two
                         factors--(1) an INDIVIDUAL PERFORMANCE RATING and (2) a
                         BUSINESS UNIT PERFORMANCE RATING. Both factors are
                         weighted at 100% of the employee's target amount. The
                         maximum allowable MIP award is 200% of target.

                         The MIP Award formula is as follows:

                           Target Award Amount

                        x  Business Unit Performance Rating %
                        x  Individual Performance Rating %
                        ----------------------------------
                        =  MIP Award Amount
                           ================

                                        6

<PAGE>   9

Business Unit
Component

                         Each Business Unit earns an annual performance rating
                         based on its performance against certain financial
                         measurements, including EBITDA (Earnings Before
                         Interest, Taxes, Depreciation and Amortization) and SVA
                         (Seagram Value Added), as well as its performance
                         against pre-established objectives.

                         Business Unit ratings used in MIP award calculations
                         can range from 50% to 200%. A rating below 50% may
                         result in no MIP payout for that Business Unit.

Individual Component

                         All MIP-eligible employees earn an annual individual
                         performance rating as part of their overall performance
                         evaluation. This individual performance rating is based
                         on performance relative to pre-established goals and
                         objectives set at the beginning of the fiscal year. All
                         participants typically have five measurable performance
                         objectives against which they will be evaluated by
                         their managers.

                         Individual ratings for each department must average
                         100%. However, since the overall target pool of money
                         remains fixed, the appropriate distribution to each
                         individual may need to be adjusted to ensure total
                         incentive payments are within budget. Individual
                         ratings will typically fall within the 80% - 120%
                         range, with a maximum rating of 150%. Ratings outside
                         of the 80% - 120% range require Senior Human Resources
                         approval. Ratings below 50% may result in no payout to
                         that individual.

Prorating Payouts

                         An MIP payout would be prorated for a variety of
                         reasons, including a participant's job change, grade
                         change, new hire, or termination.

                                        7

<PAGE>   10

                         Prorating is based on the number of months a
                         participant is in a specific MIP eligible position. The
                         prorating percentage can be determined using the
                         following table:

<TABLE>
<CAPTION>

               -----------------------------------------------------------------
                      MONTHS OF SERVICE                      PRORATING
                                                            PERCENTAGE
               -----------------------------------------------------------------

                      <S>                                   <C>
                              1                                 8.33%
                              2                                16.67%
                              3                                25.00%
                              4                                33.33%
                              5                                41.67%
                              6                                50.00%
                              7                                58.33%
                              8                                66.67%
                              9                                75.00%
                              10                               83.33%
                              11                               91.67%
               -----------------------------------------------------------------
</TABLE>

                         The following formulas should be used for prorating
                         partial months:

                         1. Any action occurring on days 2 through 15 of a given
                         month should be considered to have occurred on the
                         first day of that month.

                         EXAMPLE: If a new hire starts on October 14th, the MIP
                         system will consider that individual to have an October
                         1st start day for purposes of prorating his/her MIP
                         award. In this case, the individual would receive an
                         MIP award for 9 months (October through June) or 75% of
                         her/his target.

                         2. Any action occurring on days 16 through 31 of a
                         given month should be considered to have occurred on
                         the first day of the following month.

                         EXAMPLE: If a new hire starts on October 20th, the
                         system will consider that individual to have a November
                         1st start day for purposes of prorating his/her MIP
                         award. In this case, the employee would receive an MIP
                         award for 8 months (November through June) or 66.67% of
                         her/his target.

                                        8

<PAGE>   11

Exchange Rates &
Conversion of Awards

                         For reporting purposes, when converting total MIP award
                         payments, it is important to use the average currency
                         exchange rates issued by the Seagram Corporate
                         Compensation Department. The conversion process should
                         take place AFTER awards are calculated in the
                         applicable local currency. Use the same exchange rate
                         used to determine the target amount. If MIP award
                         payments will require additional currency exchanges,
                         those exchanges will be based on the exchange rate set
                         at the time of payment.

Rounding of Awards

                         Round the total paid award up to the nearest 10
                         currency units.

                         EXAMPLE: $75,452 = $75,460

FUTURE CHANGES

                         These procedures apply to the current Seagram
                         Management Incentive Plan and are subject to change by
                         Corporate Compensation to reflect any revisions to the
                         Plan or the introduction of a new plan. Any questions
                         should be referred to Corporate Compensation.

                                        9

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00015-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00015-of-00352.parquet"}]]