Document:

EX-10.5

 Exhibit 10.5 
 SARA LEE CORPORATION 
 1998 Long-Term Incentive Stock Plan 

Stock Option Grant Notice and Agreement 
 [INSERT PARTICIPANT NAME] 
 Sara Lee Corporation (the “Company”) is
pleased to confirm that you have been granted a stock option (an “Option”), effective as of November 4, 2011 (the “Grant Date”), as provided in this Stock Option Grant Notice and Agreement (the “Grant Notice and
Agreement”): 
 1. Option Right. Subject to paragraphs 3 and 10, your Option is to purchase, on the terms and
conditions set forth below, the following number of shares (the “Option Shares”) of the Company’s common stock, par value $.01 per share or, following the Anticipated CoffeeCo Spin-Off (as defined below), shares of SLE 2.0 (as defined
below) common stock (in the case of either Company common stock or SLE 2.0 common stock, the “Common Stock”), at the exercise price specified below (the “Exercise Price”). 

 

			
	 Number of Option Shares
	  	Exercise Price Per Option

which vests as follows: 
 100% on August 31, 2014 (the “Vesting Date”) 
 2.
Acceptance of Terms and Conditions. By electronically acknowledging and accepting this Option, you agree to be bound by the terms and conditions contained in this Grant Notice and Agreement, the 1998 Long-Term Incentive Stock Plan (the
“Plan”) and any and all conditions established by the Company in connection with Options issued under the Plan, and understand that this Option neither confers any legal or equitable right (other than those rights constituting the Option
itself) against the Company directly or indirectly, nor does it give rise to any cause of action at law or in equity against the Company. In order to vest in the Option described in this Grant Notice and Agreement, you must accept this Option.

 3. Anticipated Spin-Off. The Company currently anticipates that prior to the Vesting Date, it will complete a
transaction to spin off (the “Anticipated CoffeeCo Spin-Off”) its international beverage business segment (“CoffeeCo”) separate from its North American business (“SLE 2.0”), pursuant to which this Option will be subject
to adjustment in accordance with Article V of the Plan and paragraph 10 of this Grant Notice and Agreement. Where context permits, references in this Grant Notice and Agreement to the “Company” or the “Sara Lee Companies” will be
to, and will include, “SLE 2.0” from and following the Anticipated CoffeeCo Spin-Off. 
 4. Option. This
Option is a non-qualified stock option that is intended to conform in all respects with the Plan, a copy of which has been provided to you, and the provisions of which are incorporated herein by reference. This Option is not intended to qualify as
an incentive stock option within the meaning of Section 422 of the Internal Revenue Code of 1986, as amended. 

5. Expiration Date. This Option expires on the tenth anniversary of the Grant Date (the “Expiration Date”), subject to
earlier expiration upon your death, disability or other termination of employment, as provided below. 

 6. Vesting. This Option may be exercised only to the extent it has vested. Subject to
paragraphs 7 and 8 below, if you are continuously employed by the Company or any of its subsidiaries (collectively, the “Sara Lee Companies”) from the Grant Date until the Vesting Date, this Option will vest on the Vesting Date. For the
avoidance of doubt, your period of continuous employment for purposes of vesting excludes any severance period. This Option will not vest upon completion of the Anticipated CoffeeCo Spin-Off but, upon such event, will be assumed by and become an
obligation of SLE 2.0. 
 7. Death, Total Disability or Retirement. If you cease active employment (i.e., cease to be
coded as active on the payroll system) with the Sara Lee Companies, because of your death or because you become Totally Disabled (as defined under the appropriate long term disability benefit plan if applicable), your Option Shares will vest
immediately and the last date on which your Option Shares may be exercised will be the earlier of five years from the date of death or disability or the Expiration Date. In the case of your attaining age 55 or older and if you have at least 10 years
of service with the Sara Lee Companies when your employment terminates, or in the case of your attaining age 65 regardless of service, the Option will continue to vest after your termination and the last date on which your Option Shares may be
exercised will be the Expiration Date. These provisions apply only to the Option granted herein; other awards may have different provisions. 
 8. Involuntary Termination, Voluntary Termination and Non-Severance Event Termination. The following provisions apply only to the Option granted herein; other awards may have different provisions.

 (a) Involuntary Termination. If your employment with the Sara Lee Companies is terminated and you are eligible to
receive severance benefits under the Sara Lee Corporation Severance Plan for Corporate Officers, the Severance Pay Plan, the Severance Pay Plan for Executives, the Severance Pay Plan for Certain Events or any other written severance plan of the
Company (collectively, a “Severance Event Termination”), this Option will vest on a prorated basis, as of the date your employment terminates, determined by multiplying the Option Shares by a fraction, the numerator of which is the number
of months of your active service from Grant Date through the date your employment terminates (not including the severance period), and the denominator of which isthe number of months from Grant Date through the Vesting Date. The last day on which
this Option may be exercised is the earlier of (i) the Expiration Date or (ii) 90 days following the date your employment terminates. 
 In the event that the division, business unit or business segment of the Company or, after the Anticipated CoffeeCo Spin-Off, SLE 2.0 to which at least 80% of your time is dedicated or from which you are
on leave of absence is sold, closed, spun off or otherwise divested and, as a result of such transaction, your employment with the Sara Lee Companies or SLE 2.0 is terminated, all Options Shares will vest as of the closing date of the transaction,
subject to your continuous employment through such closing date, and be exercisable for six months following the closing date of the transaction, , unless otherwise determined by the Company or SLE 2.0. This provision does not apply with
respect to the Anticipated CoffeeCo Spin-Off or any transaction that would be considered a Change of Control as defined in Article X of the Plan. 
 (b) Voluntary Termination and Non-Severance Event Termination. If your employment terminates for reasons other than those described in 7 and 8(a), (i.e., you voluntarily terminate your
employment with the Sara Lee Companies or your employment is terminated by the Sara Lee Companies and you are not eligible for severance pay under the Company’s severance plans), then to the extent this Option has vested prior to the date of
your termination, this Option shall remain exercisable until 90 days after the date your employment terminated. Vesting of this Option ends on the date your employment terminates. 

  
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 9. Non-Competition/Non-Solicitation/Confidentiality. As a condition to your receipt
of this Award, you must electronically accept a Non-Competition, Non-Solicitation and Confidentiality Agreement. Please carefully read the Non-Competition,Non-Solicitation and Confidentiality Agreement in its entirety and feel free to have your
lawyer review it prior to accepting it. 
 10. Adjustment of the Award. In the event of any change in the capital
structure of the Company (including but not limited to a stock dividend, stock split, reverse stock split, combination or exchange of securities, merger, consolidation, recapitalization, spin-off, split off, liquidation or other distribution of any
or all of the assets of the Company to stockholders, other than normal cash dividends) or any change in any rights attendant to any class of authorized securities of the Company, which, for the avoidance of doubt, shall include the Anticipated
CoffeeCo Spin-Off (an “Adjustment Event”), the Compensation and Employee Benefits Committee of the Company’s Board of Directors (the “Committee”) shall make proportionate adjustments with respect to the number and class of
securities subject to this Option to reflect such Adjustment Event and to maintain the Option’s intrinsic and fair value; provided, that the Committee shall retain discretion with respect to how any such proportionate adjustments shall be made.
The decision of the Committee regarding any such adjustment shall be final, binding and conclusive. 
 11. Exercise.
After this Option has vested, it may be exercised in whole or in part for the number of shares specified with the Company’s designated agent by remitting full payment of the Exercise Price for such number of Option Shares. A number of exercise
alternatives are available through the Company’s agent. This Option will be considered exercised on the date that (a) your execution of the exercise with the agent and (b) your payment of the Exercise Price has been received by the
agent. Your written acceptance of the grant as well as the exercise of any portion of this Option will be considered your acceptance of all terms and conditions specified in this Grant Notice and Agreement. 

12. Forfeiture. Notwithstanding anything contained in this Grant Notice and Agreement to the contrary, if you engage in any
activity inimical, contrary or harmful to the interests of the Company, including but not limited to: (a) competing, directly or indirectly (either as owner, employee or agent), with any of the businesses of the Company, (b) violating any
Company policies, (c) soliciting any present or future employees or customers of the Company to terminate such employment or business relationship(s) with the Company, (d) disclosing or misusing any confidential information regarding the
Company, or (e) participating in any activity not approved by the Board of Directors of the Company which could reasonably be foreseen as contributing to or resulting in a Change of Control of the Company (as defined in the Plan) (such
activities to be collectively referred to as “wrongful conduct”), then (i) this Option, to the extent it remains unexercised, shall terminate automatically on the date on which you first engaged in such wrongful conduct and
(ii) you shall pay to the Company in cash any financial gain you realized from exercising all or a portion of this Option within the six month period immediately preceding such wrongful conduct. For purposes of this paragraph, financial gain
shall equal, on each date of exercise during the six month period immediately preceding such wrongful conduct, the difference between the fair market value of the Common Stock on the date of exercise and the Exercise Price, multiplied by the number
of shares of Common Stock purchased pursuant to that exercise (without reduction for any shares of Common Stock surrendered or attested to) reduced by any taxes paid in countries other than the United States to acquire and or exercise and which
taxes are not otherwise eligible for refund from the taxing authorities. By accepting this Option, you consent to and authorize the Company to deduct from any amounts payable by the Company to you, any amounts you owe to the Company under this
paragraph. This right of set-off is in addition to any other remedies the Company may have against you for your breach of this Grant Notice and Agreement. 

  
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 13. Rights as a Stockholder. You will have no rights as a stockholder with respect to
any Option Shares until and unless you receive ownership of Option Shares upon exercise of this Option. 
 14.
Transferability of Option Shares. You may not offer, sell or otherwise dispose of any Common Stock covered by the Option in a way which would: (i) require the Company to file any registration statement with the Securities and Exchange
Commission (or any similar filing under state law or the laws of any other country) or to amend or supplement any such filing or (ii) violate or cause the Company to violate the Securities Act of 1933, as amended, the Securities Act of 1934, as
amended, the rules and regulations promulgated thereunder, any other state or federal law, or the laws of any other country. The Company reserves the right to place restrictions on Common Stock received by you pursuant to this Option.

 15. Conformity with the Plan. This Option is intended to conform in all respects with, and is subject to, all
applicable provisions of the Plan. Any inconsistencies between this Grant Notice and Agreement and the Plan shall be resolved in accordance with this Grant Notice and Agreement.  

16. Interpretations. Any dispute, disagreement or question which arises under, or as a result of, or in any way relates to
the interpretation, construction or application of the Plan or this Grant Notice and Agreement will be determined and resolved by the Committee or its authorized delegate. Such determination or resolution by the Committee or its authorized delegate
will be final, binding and conclusive for all purposes. 
 17. Employment Rights. Nothing in the Plan or this Grant
Notice and Agreement confers on any Participant any right to continue in the employ of the Sara Lee Companies or in any way affects the Sara Lee Companies’ right to terminate your employment without prior written notice any time for any reason.

 18. Consent to Transfer Personal Data. By accepting this Option, you voluntarily acknowledge and consent to the
collection, use, processing and transfer of personal data as described in this paragraph. You are not obliged to consent to such collection, use, processing and transfer of personal data. The Sara Lee Companies hold certain personal information
about you, that may include your name, home address and telephone number, fax number, email address, sex, beneficiary information, age, date of birth, social security number or other employee identification number, job title, employment or severance
contract, current wage and benefit information, tax-related information, plan or benefit enrollment forms and elections, option or benefit statements, any shares of stock or directorships in the Sara Lee Companies, details of all options or any
other entitlements to shares of stock awarded, canceled, purchased, vested, unvested or outstanding in your favor, for the purpose of managing and administering the Plan (“Data”). The Sara Lee Companies will transfer Data amongst
themselves as necessary for the purpose of implementation, administration and management of your participation in the Plan, and the Sara Lee Companies may further transfer Data to any third parties assisting the Sara Lee Companies in the
implementation, administration and management of the Plan. These recipients may be located throughout the world, including the United States. You authorize them to receive, possess, use, retain and transfer the Data, in electronic or other form, for
the purposes of implementing, administering and managing your participation in the Plan, including any requisite transfer of such Data as may be required for the administration of the Plan and/or the subsequent holding of shares of stock on your
behalf to a broker or other third party with whom you may elect to deposit any shares of stock acquired pursuant to the Plan. You may, at any time, review Data, require any necessary amendments to it or withdraw the consents herein in writing by
contacting the Company. 

  
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 19. Miscellaneous.  

(a) Modification. The grant of this Option is documented by the minutes of the Committee and/or as approved by the CEO for
non-corporate officers, which records are the final determinant of the number of Option Shares granted and the conditions of this grant. The Committee may amend or modify this Option in any manner to the extent that the Committee would have had the
authority under the Plan initially to grant such Option, provided that no such amendment or modification shall impair your rights under this Grant Notice and Agreement without your consent. Except as in accordance with the two immediately preceding
sentences and paragraph 20, this Grant Notice and Agreement may be amended, modified or supplemented only by an instrument in writing signed by both parties hereto. 
 (b) Governing Law. All matters regarding or affecting the relationship of the Company and its stockholders shall be governed by the General Corporation Law of the State of Maryland. All other
matters arising under this Grant Notice and Agreement shall be governed by the internal laws of the State of Illinois, including matters of validity, construction and interpretation. You and the Company agree that all claims in respect of any action
or proceeding arising out of or relating to this Grant Notice and Agreement shall be heard or determined in any state or federal court sitting in Chicago, Illinois, and you agree to submit to the jurisdiction of such courts, to bring all such
actions or proceedings in such courts and to waive any defense of inconvenient forum to such actions or proceedings. A final judgment in any action or proceeding so brought shall be conclusive and may be enforced in any manner provided by law.

 (c) Successors and Assigns. Except as otherwise provided herein, this Grant Notice and Agreement will bind and
inure to the benefit of the respective successors and permitted assigns of the parties hereto whether so expressed or not. 
 (d) Severability. Whenever feasible, each provision of this Grant Notice and Agreement will be interpreted in such manner as to be effective and valid under applicable law, but if any provision of
this Grant Notice and Agreement is held to be prohibited by or invalid under applicable law, such provision will be ineffective only to the extent of such prohibition or invalidity, without invalidating the remainder of this Grant Notice and
Agreement. 
 20. Amendment. Notwithstanding anything in the Plan or this Grant Notice and Agreement to the
contrary, this Option may be amended by the Company without your consent, including but not limited to modifications to any of the rights granted to you under this Option, at such time and in such manner as the Company may consider necessary or
desirable to reflect changes in law. 

  
 5EX-10.6

 Exhibit 10.6 
 SARA LEE CORPORATION 
 ANNUAL INCENTIVE PLAN FOR EMPLOYEES OF THE NORTH
AMERICAN BUSINESS 
 SEGMENT FISCAL YEAR 2012 (FY12) 

(AIP descriptions for other business segments substantially similar) 
 Capitalized terms used but not defined are defined in Attachment 1. 
 Purpose

 The objective of this Sara Lee Corporation Annual Incentive Plan for Employees of the North American Business Segment (the “FY12
AIP”) is to advance the interests of Sara Lee Corporation (“Sara Lee” or the “Company”) and, in particular, the interests of Sara Lee’s North American business segment (“SLE 2.0”) separate from its
international beverage business segment, in anticipation of the spin-off during Sara Lee’s fiscal year 2012 of such international beverage business segment (the “Anticipated CoffeeCo Spin-Off”) by: 

 

	 	a)	Rewarding financial performance of SLE 2.0 that contributes to increased shareholder value; 

 

	 	b)	Measuring the effectiveness of SLE 2.0 operating performance, sales and capital management; 

 

	 	c)	Continuing to provide significant rewards for exceptional performance. 

 Where context permits, references in this FY12 AIP to the “Company” or “Sara Lee” will be to, and will include, “SLE 2.0” from and following the Anticipated CoffeeCo
Spin-Off. 
 Incentive Opportunity & Performance Objectives 
 Attachment 2 [attached to each individual business segment Plan description]shows the FY12 AIP Target and Maximum bonus payout opportunities at the various salary grades. Notwithstanding the bonus
opportunity levels set forth in Attachment 2, during FY12, the Committee may, in its sole discretion, adjust the FY12 target payout levels applicable to certain Participants, including adjustments to organize Participants by salary bands rather than
by salary grades. 
 The following applies to the FY12 AIP generally: 

 

	 	•	 	 Performance measures are approved by the Committee at the beginning of each year (“Performance Measures”). 

 

	 	•	 	 Specific financial performance goals within the selected Performance Measures are established at the beginning of the Incentive Plan Year. The
financial performance goals related to the Incentive Plan Year are contained in the table below (“Performance Goals”). The Performance Goals have been approved by the Committee. 

 

	 	•	 	 The FY12 Performance Measures are: 

  

	 	•	 	 Operating Income of SLE 2.0 – 40% of target bonus opportunity 

 

	 	•	 	 Net Sales of SLE 2.0 – 40% of target bonus opportunity 

	 	•	 	 Average Working Capital of SLE 2.0 – 20% of target bonus opportunity 

 

	 	•	 	 When expressed as a percentage of target bonus opportunity, the weighting of each Performance Measure is the same for each salary grade and/or salary
band, as may be applicable during FY12. A summary of FY12 Performance Measures and the corresponding incentive opportunities for Participants are shown in Attachment 3 [attached to each individual business segment Plan description], which incentive
opportunities are subject to adjustment during FY12 as described above under this section, “Incentive Opportunity & Performance Objectives.” 

 

	 	•	 	 Maximum payout opportunity is 150% of target bonus opportunity, and threshold payout opportunity is 25% of target bonus opportunity.

 Performance Period 
 All objectives are measured over a one-year performance period, which is the Incentive Plan Year. 

Performance Levels 

Maximum – A high level of performance exceeding targeted performance and requiring “stretch” achievement of the Performance Goal
beyond the Annual Operating Plan (“AOP”) level. 
 Target –Target level of performance equivalent to achievement at the
AOP level. 
 Threshold – Performance that just achieves an acceptable level of results warranting incentive recognition. For FY12,
threshold performance is defined as the prior fiscal year’s actual result for each of the Performance Measures: SLE 2.0 Operating Income, SLE 2.0 Net Sales and SLE 2.0 Average Working Capital. 

Incentive Award Payout Levels 
 Performance Goals * 
  

									
	 Performance Level
	  	Performance
Goal
(Operating
Income)
	 	Performance
Goal
(Net
Sales)	 	Performance
Goal
(Average
Working Capital)
	 	Payout Level as
a % 
of Target
Bonus
Opportunity
	 Maximum
	  	(1)	 	(1)	 	(1)	 	(1)
	 Above Target
	  	(1)	 	(1)	 	(1)	 	(1)
	 Target
	  	(1)	 	(1)	 	(1)	 	(1)
	 Below Target
	  	(1)	 	(1)	 	(1)	 	(1)
	 Threshold
	  	(1)	 	(1)	 	(1)	 	(1)

  

	*	Each Performance Goal represents, and will be computed based solely upon, the businesses that will comprise the SLE 2.0 business at the time the Anticipated CoffeeCo
Spin-Off is completed. 

  

	(1)	The specific performance goals for fiscal year 2012 were approved by the Compensation and Employee Benefits Committee of the Company’s Board of Directors and are
contained in the minutes of the meeting at which the Program was approved. 

 Attachment 4 graphically displays the payout curve
for all three Performance Measures applicable to this FY12 AIP. Straight-line interpolation is used for calculating results between performance levels. 

  
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 Incentive Award Payments 
 Incentive award payments are distributed as soon as practicable after the Incentive Plan Year results have been publicly announced and the individual awards requiring the review and approval of the
Committee have been approved at the Committee’s August 2012 meeting; provided that in no event will any incentive award payments under the FY12 AIP be made later than the 15th day of the third month following the close of the Incentive Plan
Year. A Participant must be an employee of Sara Lee or SLE 2.0, as applicable, or any respective subsidiary thereof, on the last day of the fiscal year in order to be eligible to receive any incentive award. 

Administrative Provisions 
 The
Committee and the Chief Executive Officer shall administer this FY12 AIP jointly and their decisions are final. The Executive Vice President Human Resources, or anyone serving in the equivalent position, and Chief Financial Officer of the Company
will be responsible for the administrative procedures governing this FY12 AIP, including ensuring the existence of approved Performance Measures and specific performance goals and the presentation to the Committee for its approval at the end of FY12
of the performance results under this FY12 AIP. The following administrative procedures shall govern: 
  

	a)	The Committee will approve individual incentive awards for all corporate officers, those executives in salary grade 38 and above and individuals in salary band Senior
Vice President – I and above. For individuals who participate in the Sara Lee Performance-Based Incentive Plan (the “PBIP”), individual incentive awards are coordinated with and subject to the terms, conditions, maximums and
limitations of the PBIP (which, for those individuals, is incorporated into this FY12 AIP by reference), with the AIP incentive award being one factor to be considered by the Committee in exercising its negative discretion to reduce the maximum
award under the PBIP. The CEO and his or her direct reports may approve all other incentive awards. 

  

	b)	Any awards earned under this FY12 AIP will be paid in cash. Participants paid in the U.S. and subject to taxation in the U.S. may elect to defer part or all of their
incentive awards pursuant to the terms and conditions of the Sara Lee Executive Deferred Compensation Plan. 

  

	c)	In the Committee’s sole discretion, a new Participant who begins participation during the Incentive Plan Year may be eligible for a pro-rata incentive award from
the date of entry into this FY12 AIP. A new Participant should have been actively employed in a bonus-eligible role for at least one calendar quarter of the Incentive Plan Year in order to receive consideration for a pro-rata incentive award.

  

	d)	In the case of death, Disability, Total Disability, or retirement under a Sara Lee or SLE 2.0 retirement plan during the Incentive Plan Year, a Participant or the
Participant’s estate is eligible for a pro-rata incentive award based upon the Participant’s period of active service (i.e., coded as active on the payroll system) during the Incentive Plan Year and an assessment of actual
achievement of the Performance Goals. Any such pro-rata award will be distributed at the same time as awards are distributed to active Participants. 

  

	e)	A Participant who is involuntarily terminated and who subsequently receives severance pay under a Sara Lee or SLE 2.0 severance plan may be eligible for a pro-rata
incentive award based on active service through the date of the Participant’s termination of employment. The amount of any pro-rata incentive award will be determined based on the amount of time the Participant was actively employed during the
Incentive Plan Year and an assessment of actual achievement of the Performance Goals. Any such pro-rata award will be distributed at the same time as awards are distributed to active Participants. 

  
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	f)	Unless otherwise approved by the Committee or the Chief Executive Officer of Sara Lee or SLE 2.0, as applicable, and subject in any case to subparagraph (g), any
Participant who voluntarily terminates, or who is involuntarily terminated and does not receive severance pay, regardless of the Participant’s eligibility for retirement status, during the Incentive Plan Year will not be entitled to any
incentive award attributable to the Incentive Plan Year. 

  

	g)	In the event that the division, business unit or business segment of Sara Lee or SLE 2.0 to which at least 80% of a Participant’s time is dedicated or from which
the Participant is on leave of absence is sold, closed, spun off or otherwise divested and, as a result of such transaction, the Participant’s employment with Sara Lee or SLE 2.0 or any of their respective subsidiaries is terminated, as of the
closing date of such transaction the Participant will be entitled to a pro-rata incentive award based on the Participant’s active service through the date of Participant’s termination of employment. The amount of any pro-rata incentive
award will be determined based upon the amount of time the Participant was actively employed during the Incentive Plan Year and an assessment of actual achievement of the Performance Goals. Any such pro-rata award will be distributed
no later than the date the incentive award is distributed to active Participants. 

  

	h)	Notwithstanding anything contained in this document to the contrary, a Participant may be entitled to receive either an increased or reduced incentive award payment, or
no incentive award payment whatsoever, attributable to the Incentive Plan Year upon the occurrence of any of the following events: 

  

	 	1)	If any Participant engages in any activity contrary or harmful to the interests of the Company (or, in each case, SLE 2.0), including but not limited to:
(1) competing, directly or indirectly (either as owner, employee or agent), with any of the businesses of the Company, (2) violating any Company policies, (3) soliciting any present or future employees or customers of the Company to
terminate such employment or business relationships(s) with the Company, (4) disclosing or misusing any confidential information regarding the Company, or (5) participating in any activity not approved by the Board which could reasonably
be foreseen as contributing to or resulting in a Change of Control of the Company (as defined in the Sara Lee 1998 and 2002 Long-Term Incentive Stock Plans), then the Participant will not be entitled to any incentive award attributable to the
Incentive Plan Year. 

  

	 	2)	 This paragraph (h)(2) applies only to those Participants who are “officers” of the Company, as defined in Rule 16a-1(f) under the Securities
Exchange Act of 1934 during the Incentive Plan Year and who participate in any Sara Lee Executive Management Long-Term Incentive Program (each such Participant, an “Officer Participant”). If an Officer Participant receives an incentive
award payment that was predicated upon the Company achieving certain Performance Measures (the “Original Payout”) and, within two years after the date of such Original Payout, the Company restates its financial statements due to material
noncompliance with the financial reporting requirements under the securities laws (such restated financial statements, the “Restated Financials”), then the amount of the incentive award payment for such Officer Participant shall be
recalculated based on the Restated Financials (such recalculated amount, the “Restated Amount”). If the Original Payout is greater than the Restated Amount, then the Company shall be entitled to recoup from such Officer Participant, and
such Officer Participant shall pay to the Company, in cash, an amount equal to (1) the Original Payout, less (2) the Restated Amount. If the Restated Amount is greater than the Original Payout, then the Company shall pay to the Officer
Participant 

  
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an amount equal to (i) the Restated Amount, less (ii) the Original Payout. Any such payment or recoupment shall be due and payable within 90 days after the date on which the Company
files the Restated Financials with the Securities and Exchange Commission. If an Officer Participant elected to defer part or all of their Original Payout pursuant to the Sara Lee Executive Deferred Compensation Plan, then the Officer
Participant’s account under such Deferred Compensation Plan automatically shall be credited or charged so that the amount deferred in connection with such incentive award payment equals the Restated Amount. No interest will be due to or paid by
the Company or the Officer Participant to the other with respect to any true up payment. Notwithstanding the foregoing, the Committee may determine, in its discretion and based on the circumstances leading to the filing of the Restated Financials,
that recoupment or payment under this paragraph (h)(2) of the Restated Amount is not practical and may elect to forego the application of this paragraph (h)(2). 

 

	i)	Performance results under this FY12 AIP will be measured in accordance with the Definitions in Attachment 1. 

 

	j)	Performance results and Eligible Earnings will be used to determine the incentive award payment. 

 

	k)	Any Participant who is employed as of the end of the Incentive Plan Year shall be entitled to receive an incentive award payment regardless of whether the Participant
resigns or is terminated between the end of the Incentive Plan Year and the date the incentive awards are distributed. 

  

	l)	Sara Lee reserves the right to offset against any incentive award payment owed by Sara Lee to a terminating or terminated Participant any amounts to which Sara Lee has
a “claim of right.” 

  

	m)	Except for participant deferral elections made under the Sara Lee Executive Deferred Compensation Plan (which shall be construed to comply with Section 409A of the
Internal Revenue Code of 1986, as amended, and the Treasury Regulation guidance thereunder (the “Code”)), the terms of the AIP shall be construed and paid in such manner as to satisfy the short-term deferral exception to the application of
Section 409A of the Code as set forth in Subsections (a)(4) and (b)(4) of Treasury Regulations Section 1.409A-1. 

  

	n)	Nothing herein shall be construed as an agreement or commitment to employ any Participant or to employ a Participant for any fixed period of time or constitute a
commitment by Sara Lee, SLE 2.0, or any of their respective subsidiaries, that any Participant will continue to receive an incentive award or will continue as a Participant in this FY12 AIP. 

 

	o)	The Committee reserves the right to amend, modify, interpret or terminate this FY12 AIP or awards to be paid under this FY12 AIP at any time for any reason.
Specifically, an individual’s target bonus opportunity may be modified during FY12 in the Committee’s discretion and the performance criteria may be adjusted by the Committee for extraordinary and similar items that prevent undue and/or
unintended gain or loss; provided that, for any incentive awards under the AIP to individuals participating in the PBIP, any adjustments will be subject to the terms, conditions, maximums and limitations under the PBIP. 

 

	p)	The Committee may delegate certain administrative responsibilities to the Chief Executive Officer except for the following: 

 

	 	1)	Any actions affecting the Chief Executive Officer, and other elected officers of Sara Lee or SLE 2.0, as applicable, 

  
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	 	2)	Approval of corporate Performance Goals and certification of performance results relative to such standards following the end of the Incentive Plan Year, and

  

	 	3)	Approval of any substantive changes or amendments to this FY12 AIP. 

  
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 Attachment 1 
 Definitions 
  

	(a)	Average Working Capital is a 13-point average of Core Working Capital as of the period-end for fiscal 2011 Period 12 and the period-end balances for each of the
twelve periods of fiscal 2012. 

  

	(b)	Board means the Sara Lee Board of Directors prior to the Anticipated CoffeeCo Spin-Off and means the Board of Directors of SLE 2.0 from and following the
Anticipated CoffeeCo Spin-Off. 

  

	(c)	Committee is the Compensation and Employee Benefits Committee or other committee of the Sara Lee Board (prior to, or SLE 2.0 from and after, the Anticipated
CoffeeCo Spin-Off) as may be appointed by the Board. 

  

	(d)	Core Working Capital means the Company’s net accounts receivable plus net inventories less accounts payable, excluding intercompany receivable and
intercompany accounts; provided, however, that for purposes of this FY12 AIP, only the Core Working Capital that is attributable to the businesses that will comprise the SLE 2.0 business at the time of the Anticipated CoffeeCo Spin-Off will be used
to measure achievement of the Average Working Capital performance goal. 

  

	(e)	Disability is as defined under the applicable Sara Lee Long Term Disability Plan or the specific Sara Lee sponsored long-term disability plan under which the
Participant is covered. 

  

	(f)	Eligible Earnings mean regular salary or wages paid to the Participant from July 1, 2011 through June 30, 2012. It does not include allowances,
reimbursements, commissions, other incentives, severance, lump sums, awards, deferred compensation and compensation attributable to the exercise of stock options or other forms of long-term incentive compensation. 

 

	(g)	Incentive Plan Year is the Company’s fiscal year 2012 starting on July 3, 2011 and ending on June 30, 2012. 

 

	(h)	Net Sales means that portion of the Company’s Adjusted Net Sales, as disclosed in the Company’s earnings press releases and filings with the SEC, that
is attributable to the businesses that will comprise the SLE 2.0 business at the time of the Anticipated CoffeeCo Spin-Off, as may be further adjusted by the Committee to (i) include or exclude the results of businesses acquired and/or divested
during the measurement period, to the extent such results were included or excluded in the Company’s annual operating plan, (ii) adjust for currency exchange rates used in the Company’s annual operating plan, and/or (iii) prevent
undue and/or unintended gain or loss. 

  

	(i)	Operating Income means that portion of the Company’s Adjusted Operating Income from continuing operations that is attributable to the businesses that will
comprise the SLE 2.0 business at the time of the Anticipated CoffeeCo Spin-Off (which will be calculated using such businesses’ operating segment income), as disclosed in the Company’s earnings press releases and filings with the SEC, with
regard to SLE 2.0, as may be further adjusted by the Committee (as defined below) to (i) include or exclude the results of businesses acquired and/or divested during the measurement period, to the extent such results were included or excluded
in the Company’s annual operating plan, and/or (ii) prevent undue and/or unintended gain or loss. Adjusted Operating Income is a non-GAAP financial measure that adjusts operating income, as reported under U.S. GAAP, to exclude Significant
Items and select other charges and gains. 

  
 7 

	(j)	Participant means an employee in the Company’s North American business segments in salary grades 22 through and including 50 or salary bands Manager through
Chief Executive Officer, subject to adjustments during FY12 pursuant to the terms of this FY12 AIP. (Employees in grades 22 through 27 and salary bands Manager through Senior Manager eligible for sales incentive plans are excluded from this FY12
AIP.) 

  

	(k)	Significant Items mean those items that are reported by the Company in its annual report in the table entitled “Impact of Significant Items on Income from
Continuing Operations and Net Income” and that meet the Controller’s criteria for materiality and that are not indicative of our core operating results. Significant items vary each year and may include items such as charges for exit
activities, impairment charges, tax costs and benefits resulting from the disposition of a business, gains or losses on the sale of discontinued operations and changes in tax valuation allowances. 

 

	(l)	Total Disability is as defined under the Sara Lee Key Executive Long Term Disability Plan under which the Participant is covered. 

  
 8 

 Attachment 4 
 FY12 AIP PAYOUT CURVE FOR ALL PERFORMANCE MEASURES 
 

 

  
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