Document:

Document

Exhibit 10.2

AIR PRODUCTS AND CHEMICALS, INC.
SENIOR MANAGEMENT SEVERANCE PLAN AND SUMMARY PLAN DESCRIPTION

Effective August 1, 2022

1

AIR PRODUCTS AND CHEMICALS, INC.
SENIOR MANAGEMENT SEVERANCE PLAN AND SUMMARY PLAN DESCRIPTION

Air Products and Chemicals, Inc. (the “Company”) adopted this Plan originally effective April 1, 2016 to provide severance benefits for eligible employees of the Company whose employment is terminated under certain circumstances.  Effective August 1, 2022, the Company has amended and restated the Plan.  The Plan is known as the Air Products and Chemicals, Inc. Senior Management Severance Plan.  This document shall constitute both the Plan Document and the Summary Plan Description.

ARTICLE I
DEFINITIONS

Whenever the following terms are used in this Plan, they shall have the meaning specified below unless the context clearly indicates to the contrary:

1.1      “Annual Incentive Plan” shall mean the Air Products and Chemicals, Inc.  Annual Incentive Plan, or any successor short term bonus plan.

1.2      “Board” shall mean the Board of Directors of the Company or the Management Development and Compensation Committee of the Board of Directors of the Company or another Committee thereof appointed by the Board of Directors of the Company to carry out its authority under the Plan.

1.3      “Change in Control” shall mean the first to occur of any one of the events described below:

    (a)  Stock Acquisition.  Any “person” (as such term is used in Sections 13(d) and 14(d)(2) of the Securities Exchange Act of 1934 as amended from time to time [the “Act”]), other than the Company or a corporation, a majority of whose outstanding stock entitled to vote is owned, directly or indirectly, by the Company, or a trustee of an employee benefit plan sponsored solely by the Company and/or such a corporation, is or becomes, other than by purchase from the Company or such a corporation, the “beneficial owner” (as such term is defined in Rule 13d-3 under the Act), directly or indirectly, of securities of the Company representing 20% or more of the combined voting power of the Company’s then outstanding voting securities.  Such a Change in Control shall be deemed to have occurred on the first to occur of the date securities are first purchased by a tender or exchange offer, the date on which the Company first learns of acquisition of 20% of such securities, or the later of the effective date of an agreement for the merger, consolidation or other reorganization of the Company or the date of approval thereof by a majority of the Company’s shareholders, as the case may be.

    (b )  Change in Board.  During any period of two consecutive years, individuals who at the beginning of such period were members of the Board of Directors of the Company, cease for any reason to constitute at least a majority of the Board of Directors, unless the election or nomination for election by the Company’s shareholders of each new director was approved by a vote of at least two-thirds of the directors then still in office who were directors at the beginning of the period.  Such a Change in Control shall, be deemed to have occurred on the date upon which the requisite majority of directors fails to be elected by the shareholders of the Company.

    (c)  Other Events.  Any other event or series of events which, notwithstanding any other provision of this definition, is determined, by a majority of the outside members of the Board of Directors of the Company serving in office at the time such event or events occur, to constitute a Change in Control of the Company for purposes of this Plan.  Such a Change in Control shall be 
2

deemed to have occurred on the date of such determination or on such other date as such majority of outside members of the Board of Directors of the Company shall specify.

1.4      “Company” shall mean Air Products and Chemicals, Inc. or any successor thereto.

1.5      “Covered Employee” shall mean an individual who, on the Date of Termination is a classified on the Employer’s books and records as a full-time Employee in a position graded level 216 and above whose primary work location is in the United States or who is a United States citizen or resident on a temporary assignment to a work location in a foreign country.  Individuals in the following categories shall not be Covered Employees:

(a)an Employee who is a party to an individual employment agreement with the Employer approved by the Board of Directors of the Company or a Committee thereof; 

(b)an Employee who is eligible to receive a benefit under the Air Products and Chemicals, Inc. Executive Separation Program; or

(c)an Employee who is entitled to receive a benefit under the Air Products and Chemicals, Inc. Special Severance Plan.

Notwithstanding the above, the Plan Administrator may, in his sole discretion, prescribe that individuals who do not meet the above requirements will be treated as “Covered Employees”.

1.6      “Date of Termination” shall mean the date an Employee’s relevant employment with the Employer terminates as reflected in the Employer’s records.

1.7     “Effective Date” the original effective date of this Plan is April 1, 2016, the effective date of this amended and restated Plan is August 1, 2022.

1.8      “Employee” shall mean a regular, active, employee of an Employer.  Employee shall not include any individuals who are interns, cooperative employees, employees working in the Supplemental Employment Program, leased employees within the meaning of Section 414(n) of the Internal Revenue Code, contract employees or individuals who are treated as independent contractors under an agreement with an Employer.

1.9      “Employer” shall mean the Company and any wholly-owned domestic Subsidiary which is designated as a participating employer in the Plan by the Senior Vice President, Chief Human Resources Officer of the Company.

1.10      “ERISA” shall mean the Employee Retirement Income Security Act of 1974, as amended.

1.11      “Normal Severance Benefit” shall mean the severance benefit described in Section 3.1 hereof.

1.12      “Plan” shall mean the Air Products and Chemicals, Inc. Senior Management Severance Plan, as set forth herein and as amended from time to time.

1.13      “Plan Administrator” shall mean the Senior Vice President, Chief Human Resources Officer of the Company or any other individual whom the Senior Vice President, Chief Human Resources Officer delegates to perform such function.

3

1.14      “Plan Year” shall mean the annual period beginning on October 1 and ending September 30 of the following calendar year.  The first Plan Year shall begin on April 1, 2016 and end on September 30, 2016.

1.15      “Subsidiary” shall mean any domestic or foreign corporation, partnership, association, joint stock company, trust or unincorporated organization affiliated with the Company, that is, directly or indirectly, through one or more intermediates, controlling, controlled by, or under common control with, the Company.  “Control” for this purpose means the possession, direct or indirect, of the exclusive power to direct or cause the direction of the management and policies of such person, whether through the ownership of voting securities, contract or otherwise.  

1.16      “Weekly Pay” shall mean the Employee’s annual base salary on his Date of Termination, plus if applicable, the average of the Annual Incentive Plan awards received by the Employee for the last three fiscal years, divided by fifty-two (52) weeks.  Such average shall be of fewer than three awards if the Employee is eligible for the Annual Incentive Plan at the Date of Termination and became eligible for the Annual Incentive Plan during the last three fiscal years.

For purposes of the Plan, “annual base salary,” shall exclude:

        (i)  Discretionary bonuses and grants, including, without limitation, income howsoever derived from the granting of any stock options or other stock awards, scholastic aid, or payments and awards for suggestions and patentable inventions, variable pay, other merit awards, expense allowances and noncash compensation (including imputed income);

        (ii)  “Company Matching Contributions” and “Company Core Contributions” as defined in, earnings allocated to accounts under, and distributions from the Air Products and Chemicals, Inc. Retirement Savings Plan or payments, accruals or distributions under the Air Products and Chemicals, Inc. Pension Plan for Salaried Employees or under any other severance or incentive plan or retirement, pension or profit sharing plan of an Employer;

         (iii) Overtime, commissions, mileage, shift premiums, and payments in lieu of vacation; and

        (iv)  All supplemental compensation for domestic or overseas assignments, including, without limitation, premium pay, cost of living and relocation allowances and forgiveness, mortgage interest allowances, tax equalization payments and other emoluments of such service.

    Weekly Pay used to calculate Plan benefits shall be determined from the Employer’s records in the absolute discretion of the Plan Administrator.  Weekly Pay may also include such other forms of compensation not described above as the Plan Administrator determines in his absolute discretion.

1.17      “Years of Service” shall mean the number of continuous years a Covered Employee worked for the Company or a Subsidiary of the Company, while such Subsidiary was a Subsidiary of the Company, from his most recent date of hire to his Date of Termination.  If an Employee’s Years of Service includes a fractional Year of Service, his Years of Service shall be rounded up to the next whole number.  Years of Service shall be determined from the Employer’s records in the absolute discretion of the Plan Administrator.  Years of Service may also include such other periods of employment as the Plan Administrator determines in his absolute discretion.

4

ARTICLE II
ENTITLEMENT TO BENEFITS

2.1      Eligibility.  A Covered Employee who meets the other requirements of this Article II shall be entitled to benefits under Article III if his employment with the Employer and all Subsidiaries is involuntarily terminated on or after the Effective Date for a reason other than “cause” or documented substandard work performance.  For purposes of this Section, “cause” shall include, without limitation, the Employee’s insubordination, dishonesty, illegal act, or violation of an Employer policy or an obligation to the Employer.

No benefits shall be payable under Article III if the Employee voluntarily takes a leave of absence, resigns, retires, or otherwise voluntarily terminates his employment.  The Plan Administrator shall have sole discretion to determine whether any particular termination meets the requirements of this Article II and may specify other conditions for determining whether a termination qualifies for benefits under Article III.

Notwithstanding the above, the Plan Administrator may, in his sole discretion, prescribe circumstances other than those described in the preceding paragraphs of this Section 2.1 for which benefits under Article III will be paid, provided the other requirements of this Article II are met.

2.2      Employment with Successor Employer.  If any subsidiary, unit, division, business, or facility of the Employer, or segment thereof, is divested, sold and otherwise transferred so that it ceases to be an entity or part of an entity controlled by or under common control with the Company within the meaning of Section 414(b) or (c) of the Internal Revenue Code of 1986, as amended, including, but not limited to, through sale of assets or stock, formation of a joint venture, corporate spinoff resulting from distribution of securities to shareholders , or any other form of business transaction, and the Covered Employee is offered employment with such divested or transferred subsidiary, unit, division or business (whether or not he accepts such offer), he shall not be entitled to benefits under Article III.  

2.3      Separation Agreement.  To receive Plan benefits a Covered Employee must sign a Separation Agreement (as described in subsection (a)) within the time provided under section (b) and must not revoke the Agreement under subsection (c).

    (a)  Purpose.  The Separation Agreement is an agreement between a Covered Employee and the Employer, whereby in exchange for benefits under the Plan, the Covered Employee releases any and all claims, except with respect to vested pension benefits, that he may have against, and covenants not to sue, the Employer; and agrees to certain confidentiality, non-solicitation and non-disparagement provisions.  The Separation Agreement shall be in the form prescribed by the Plan Administrator and shall advise the Covered Employee to consult with an attorney before signing the Agreement.

    (b)  Time for Consideration.  The Covered Employee shall be given a reasonable period of time not to exceed 30 days in which to review the Agreement and consult with an attorney and other advisors prior to signing the Agreement.

    (c)  Revocation Period.  A Covered Employee shall be entitled to revoke the Agreement within seven (7) days after signing the Agreement.  In order to revoke the Agreement, the Covered Employee must give the Plan Administrator written notice of revocation within such seven (7) day period of time.

5

2.4      Actively at Work.  To receive Plan benefits a Covered Employee must be actively at work when he receives notice of the termination of his employment.  A Covered Employee who is on any kind of paid or unpaid leave of absence shall not be entitled to benefits under Article III.

2.5      Return of Employer Property.  To receive Plan benefits a Covered Employee whose employment is terminated is required immediately to return to the Employer his keys, identification card and any other property of the Employer which is in his possession.

2.6      Notice Period.  In addition to meeting the other requirements of Article II, the Employer may require a Covered Employee to remain actively at work through a certain date (which may be subsequently revised by the Employer) to be entitled to benefits under Article III.

ARTICLE III
BENEFITS

3.1      Normal Severance Benefit.  A Covered Employee who meets the requirements of Article II shall receive a lump sum payment equal to the greater of 26 times his Weekly Pay or his Years of Service multiplied by two times his Weekly Pay, not to exceed 52 times his Weekly Pay, reduced by any benefit to which he is entitled under the Air Products and Chemicals, Inc. Severance Plan.  Such benefit shall be payable as soon as administratively practical after the later of the Date of Termination or the date the Employer receives a Separation Agreement signed by the Covered Employee (provided that payment shall in no event be made before the expiration of the period described in Section 2.3(c)).  In the event the period described in Sections 2.3(b) and (c) spans two taxable years, such payment will be made in second taxable year.  

If the Covered Employee is covered under any of the Company’s group medical and dental plans as of the Date of Termination and is eligible for and timely elects continuation coverage under any such plan pursuant to the Consolidated Omnibus Budget Reconciliation Act of 1985 (“COBRA”), the Company will pay the cost of such COBRA coverage on behalf of the Covered Employee, and each of his dependents who were covered under such medical and dental plan as of the Employment Termination Date and who are qualified beneficiaries under COBRA, for six months following the Date of Termination.  Notwithstanding the preceding sentence, to the extent that any Covered Employee is eligible to commence retiree medical benefits under the Company’s group medical plan on the Date of Termination, the preceding sentence shall not apply to such Covered Employee with respect to such plan and shall not affect the Covered Employee’s entitlement to retiree medical benefits under the terms and conditions of such plan.

3.2    Limitation on Benefits.  Payments to a Covered Employee under the Plan shall in no event exceed the lesser of (1)  two (2) times the Internal Revenue Code Section 401(a)(17) limitation as in effect at the time of termination or two (2) times the Covered Employee’s annual compensation during the year immediately preceding his Date of Termination; (2) shall not be contingent, directly or indirectly upon retirement; and (3) shall not be made to any Covered Employee after twenty-four (24) months have elapsed since the Covered Employee’s Date of Termination.  In the event a benefit earned pursuant to Section 3.1 above exceeds two (2) times the Code Section 401(a)(17) limitation, any amount in excess of two (2) times the Code Section 401(a)(17) limitation shall be deemed a separate payment and shall be paid no later than two and one half (2 1⁄2) months after the end of the year in which the Covered Employee satisfies the requirements of Article II.

    

6

ARTICLE IV
FUNDING

4.1      Plan Unfunded.  All payments under this Plan shall be made from the general assets of the Employer.  The Plan shall be unfunded except to the extent that the Company, solely for the Company’s convenience and, at the Company’s sole discretion, makes contributions with respect to Plan benefits to a trust under Section 501(c) (9) of the Internal Revenue Code.  Accordingly, in the absence of any such trust, it is not expected that the Plan will ever accumulate any assets.  The Company shall not be required to fund or maintain any such trust or to establish any special or separate fund or to make any other segregation of assets to assure the payment of any Plan benefits.

4.2     Payment of Expenses.  The Employer shall pay all expenses incurred in the administration of this Plan.

ARTICLE V
PLAN ADMINISTRATION

5.1    Authority and Duties.  It shall be the duty of the Plan Administrator, on the basis of information supplied by the Company, to determine the entitlement of each Covered Employee to Benefits under the Plan and to approve the amount of the cash benefits payable to each such Covered Employee.  The Company shall make such payments as the Plan Administrator determines to be due to Covered Employees.  The Plan Administrator shall have the full power and authority to (a) determine whether a Covered Employee’s termination of employment with the Company constitutes an involuntary termination for purposes of the Plan and (b) construe, interpret and administer the Plan, to correct deficiencies therein, and to supply omissions.  All decisions, actions, and interpretations of the Administrator shall be final, binding, and conclusive upon the parties.
5.2     Expenses of the Administrator.  All reasonable expenses of the Plan Administrator shall be paid or reimbursed by the Company upon proper documentation.  The Company shall indemnify and defend the Plan Administrator against personal liability for actions taken in good faith in the discharge of its duties hereunder.
5.3     Actions of the Administrator.  Whenever a determination is required of the Plan Administrator under the Plan, such determination shall be made solely at the discretion of the Plan Administrator.  In addition, the exercise of discretion by the Administrator need not be uniformly applied to similarly situated Covered Employees and shall be final and binding on each Covered Employee or beneficiary(ies) to whom the determination is directed.

ARTICLE VI
AMENDMENT AND TERMINATION

6.1      Amendment and Termination.  The Company intends and expects to continue the Plan indefinitely.  Nevertheless, the Company reserves the right to terminate the Plan or amend or modify it from time to time.  Actions referred to in this subsection may be taken on behalf of the Company by its Senior Vice President, Chief Human Resources Officer and evidenced by a resolution, amendment, new or revised Plan document or other writing.

7

ARTICLE VII
MISCELLANEOUS

7.1      No Assignment.  None of the payments, benefits or rights of any Covered Employee shall be subject to any claim of any creditor, and, in particular, to the fullest extent permitted by law, all such payments, benefits and rights shall be free from attachment, garnishment, trustee’s process, or any other legal or equitable process available to any creditor of such Covered Employee.  No Covered Employee shall have the right to alienate, anticipate, commute, pledge, encumber or assign any of the benefits or payments which he may expect to receive, contingently or otherwise, under the Plan.
7.2      Other Plans.  The Plan, the Air Products and Chemicals, Inc. Severance Plan and the Air Products and Chemicals, Inc. Special Severance Plan, and the Air Products and Chemicals, Inc. Executive Separation Program are the only plans of the Employers that provide separation benefits to Covered Employees.  The Plan, The Air Products and Chemicals Severance Plan and the Air Products and Chemicals, Inc. Special Severance Plan, and the Air Products and Chemicals, Inc. Executive Separation Program supersede and replace in their entirety any previous plans, policies, practices or procedures of the Employer which provided separation benefits to Covered Employees.  

7.3      No Right to Employment.  Nothing contained in this Plan shall be deemed to give an Employee the right to be retained in the employ of the Employer, and the Employer reserves the right to terminate the employment of any Employee whenever, in its sole discretion, the Employer deems such action necessary.

7.4      Controlling Law.   The Plan shall be construed and enforced according to the laws of the Commonwealth of Pennsylvania to the extent not preempted by Federal law. The Plan is not intended to be included in the definitions of “employee pension benefit plan” and “pension plan” set forth under Section 3(2) of the Employee Retirement Income Security Act of 1974, as amended (“ERISA”).  Rather, the Plan is intended to meet the descriptive requirements of a plan constituting a “severance pay plan” within the meaning of regulations published by the Secretary of Labor at Title 29, Code of Federal Regulations, Section 2510.3-2(b).

7.5     Right to Withhold.  The Employer shall have the right to withhold from all distributions from the Plan any federal, state, or local taxes required by law to be withheld with respect to such distributions.

7.6     Incapacitated Covered Employee.  If the Plan Administrator deems any Covered Employee incapable of receiving any benefit to which he is entitled under the Plan by reason of illness, infirmity or other incapacity, the Plan Administrator may direct that payment be made to such person’s legally appointed guardian, or if none has been appointed, to the holder of a legally valid power of attorney from such person, or otherwise, to any other person for the Covered Employee’s benefit, without responsibility for the application of amounts so paid.  Such payments shall, to the extent thereof, discharge the liability of the Employer under the Plan.

7.7      Headings.  The headings of the Articles and Sections of the Plan are for reference only.  In the event of a conflict between a heading and the contents of an Article or Section, the contents of the Article or Section shall control.

7.8      Number and Gender.  Whenever any words used herein are in the singular form or in the masculine form, they shall be construed as though they were also in the plural form or in the feminine or neuter from in all cases where they would so apply.
8

ARTICLE VIII
BENEFIT CLAIMS PROCEDURE.
8.1     The claims and appeals procedure herein provided is intended to meet the requirements of ERISA and the regulations thereunder.  By virtue of such requirement, the procedure provided in this Article VIII shall be the sole and exclusive procedure for claiming benefits or appealing any denial of a claim for benefits under the Plan.  This procedure shall, in respect of all claims arising under the Plan, supersede and preempt any and all procedures for the settlement of disputes or resolution of grievances under any other agreements or plans.
8.2     Filing a Claim. 
(a)  Initial Claim.   In the event of a claim by any person including but not limited to any Employee (the “Claimant”) or an authorized representative as to whether he or she is entitled to any benefit under the Plan, the amount of any distribution or its method and timing of payment, such Claimant shall present the reason for his or her claim in writing to the Plan Administrator.  The claim must be filed within forty-five (45) days following the date upon which the Claimant first learns of his or her claim.  All claims shall be in writing, signed and dated and shall briefly explain the basis for the claim.  The Plan Administrator shall ensure that all claim determinations are made in accordance with the terms of the Plan document, and, where appropriate, that Plan provisions are applied consistently with respect to similarly situated claimants.
The Plan Administrator shall, within ninety (90) days after receipt of such written claim, decide the claim and send written notification to the Claimant as to its disposition; provided that the Plan Administrator may elect to extend said period for an additional ninety (90) days if special circumstances so warrant and the Claimant is so notified in writing prior to the expiration of the original ninety (90) day period.  Such notification shall indicate the circumstances warranting the extension of time and the date by which the Plan expects to decide the claim.  In no event shall a decision regarding a claim be made later than 180 days after the Plan Administrator receives the claim.
(b)  Denial.  In the event the claim is wholly or partially denied, the Claimant shall receive written notification of the denial, which is written in a manner reasonably calculated to be understood by the Claimant, and includes the following information:  the specific reason or reasons for the denial; specific reference to pertinent Plan provisions on which the denial is based; a description of any additional material or information necessary for the Claimant to perfect the claim and an explanation of why such material or information is necessary; the procedure by which the Claimant may appeal the denial of his or her claim; and a statement of the Claimant’s right to bring a civil action under Section 502(a) of the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), following a denial of the Claimant’s appeal.  
(c)   Appeal.  The Claimant may request a review of a claim denial by making application in writing to the Air Products and Chemicals, Inc. Benefits Committee (“Benefits Committee”) within sixty (60) days after receipt of such denial.  The Claimant may submit written comments, documents, records, and other information in support of his or her claim or position.  Upon written request to the Benefits Committee, the Claimant shall be provided, free of charge, access to and copies of, all documents, records, and other information relevant to the claim.  The Benefits Committee, in its sole discretion, shall determine whether requested information is relevant to the claim, in accordance with the claims procedure regulations of the Department of Labor set forth in 29 CFR Section 2560.503-1 (the “Claims Procedure Regulations”).
9

Within sixty (60) days after receipt of a written appeal, the Benefits Committee shall decide the appeal and notify the Claimant of the final decision; provided that the Benefits Committee may elect to extend said period for an additional sixty (60) days if special circumstances so warrant and the Claimant is notified in writing prior to the expiration of the original sixty (60) day period.  Such notification shall indicate the circumstances warranting the extension of time and the date by which the Plan expects to decide the claim.  In no event shall a decision regarding an appeal be made later than one hundred and twenty (120) days after the Plan receives the appeal.
In the event the appeal is wholly or partially denied, the Claimant shall receive written notification of the denial, which is written in a manner reasonably calculated to be understood by the Claimant, and includes the following information:  the specific reason or reasons for the denial; specific reference to pertinent Plan provisions on which the denial is based; a statement that the Claimant has the right to receive, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other information relevant to the claim for benefits. (The Benefits Committee, in its sole discretion, shall determine whether requested information is relevant to the claim, in accordance with the Claims Procedure Regulations.), and a statement of the Claimant’s right to bring an action under Section 502(a) of ERISA.  It is intended that the claims procedure of the Plan be administered in accordance with the Claims Procedure Regulations.

10

ARTICLE IX
IMPORTANT PLAN INFORMATION

Name of Plan

Air Products and Chemicals, Inc. Senior Management Severance Plan.

Plan Sponsor and Participating Employers

The name, address, and telephone number of the Plan Sponsor are as follows:

    
    Air Products and Chemicals, Inc.
    1940 Air Products Blvd.
    Allentown, PA 18106-5500
    Phone Number:  (610) 481-6494

Covered Employees and their beneficiaries may receive from the Plan Administrator, upon written request, information as to whether a particular employer has adopted the Plan and, if so, its address.  

Type of Plan

The Plan is designed as a severance plan, a type of welfare benefit plan under ERISA.

Plan Identification Numbers

The Plan is reported to the Department of Labor under the Company’s Employer Identification Number, 23-1274455, and under the Plan Number 702.
Plan Year

The financial records for the Plan are kept according to a Plan Year that begins on October 1 and ends on September 30.

Plan Administration

The Plan Administrator manages the Plan and resolves questions on its operation, according to the Plan document.  The Plan Administrator for the Plan is the Senior Vice President, Chief Human Resources Officer of the Company or his/her designee.  The Plan is administered in accordance with the terms of the definitive text of the Plan as amended from time to time by the Company.  The Plan Administrator has the responsibility of interpreting and administering the provisions of the Plan.  The Plan Administrator has the power and discretionary authority to construe the terms of the Plan and to determine all questions that arise under it.  Such power and authority include, for example, the administrative discretion to resolve issues with respect to eligibility, amount of Plan benefits and to interpret any other terms contained in the Plan documents.  The Plan Administrator’s interpretations and determinations are binding on all participants, employees, former employees and their beneficiaries.
11

You may contact the Plan Administrator by writing or phoning:

    Air Products and Chemicals, Inc.
    
    1940 Air Products Blvd.
    Allentown, PA 18106-5500
    Attention:  Senior Vice President, Chief Human Resources Officer
    Phone Number:  (610) 481-6494

Funding of the Plan

The Employers pay all costs of the Plan.

Agent for Legal Process

If you want to seek legal action about the Plan for any reason, you may direct legal process to the Plan Administrator.

            Air Products and Chemicals, Inc.
    
    1940 Air Products Blvd.
    Allentown, PA 18106-5500
    Attention:  Senior Vice President, Chief Human Resources Officer

    Phone Number:  (610) 481-6494

Your Rights Under ERISA

As a participant in the Plan, you are entitled to certain rights and protections under the Employee Retirement Income Security Act of 1974, as amended (“ERISA”).  ERISA provides that all Plan participants shall be entitled to:

    Examine, without charge, at the Plan Administrator's office and at other specified locations, all documents governing the Plan, including a copy of the latest annual report (Form 5500 Series) filed by the Plan with the U.S. Department of Labor and available at the Public Disclosure Room of the Employee Benefits Security Administration.

    Obtain, upon written request to the Plan Administrator, copies of documents governing the operation of the Plan, including copies of the latest annual report (Form 5500 Series) and updated summary plan description. The Plan Administrator may make a reasonable charge for the copies.

    Receive a summary of the Severance Plan’s annual financial report.

In addition to creating rights for Plan participants, ERISA imposes duties upon the people who are responsible for the operation of the Plan.  The people who operate your Plan, called “fiduciaries”, have a duty to do so prudently and solely in your interest as well as that of other Plan participants and beneficiaries.
12

No one, including your employer or any other person, may terminate your employment or otherwise discriminate against you in any way to prevent you from obtaining a benefit or exercising your rights under ERISA.

Under ERISA there are steps you can take to enforce the rights explained above.  For instance, if you request materials about the Plan and do not receive them within 30 days, you may file suit in a federal court.  In such a case, the court may require the Plan Administrator to provide the materials and pay you up to $110 a day until you receive the materials, unless the materials were not sent because of reasons beyond the control of the Plan Administrator.

If you have a claim for benefits that is denied or ignored, in whole or in part, and you have exhausted the Plan's internal appeal procedure, you may file suit in state or federal court.  If Plan fiduciaries misuse the Plan’s money, or if you are discriminated against for asserting your rights, you may seek assistance from the U.S. Department of Labor, or you may file suit in a federal court.  The court will decide who should pay court costs and legal fees.  If you are successful, the court may order the person you have sued to pay these costs and fees.  If you lose, the court may order you to pay these costs and fees, for example, if it finds your claim is frivolous.

Should you have any questions about the Plan or your rights, you should contact Employee Benefits in Allentown.  If you have any questions about your rights under ERISA or if you need assistance in obtaining documents from the Plan Administrator, you should contact the nearest Area Office of the Employee Benefits Security Administration, U.S. Department of Labor listed in your telephone directory or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue, N.W. Washington, DC 20210.  You may also obtain certain publications about your rights and responsibilities under ERISA by calling the Publications Hotline of the Employee Benefits Security Administration.  

Use of Plan and Summary Plan Description

This document is intended to constitute both the Plan and the Summary Plan Description.  Neither the Plan nor the Plan description is intended to create any rights on the part of employees, except rights to Plan benefits to which they are entitled by the express terms of the Plan.  Specifically, no rights are created with respect to continued employment.  It is understood that all employees to whom the materials in this Plan apply are employed at the will of the individual and the Company or its affiliate employing them and in accord with all statutory provisions.

IN WITNESS WHEREOF, Air Products and Chemicals, Inc. has caused this amended and restated Plan to be executed on this 13th day of July 2022.

AIR PRODUCTS AND CHEMICALS, INC.

By             /s/ Victoria Brifo                                   
Victoria Brifo
Senior Vice President, Chief Human Resources Officer
                        
13EXECUTION COPY

​
Exhibit 10.1

​
AXCELIS TECHNOLOGIES, INC.
2022 AMENDED AND RESTATED EMPLOYMENT AGREEMENT
Mary G. Puma
​
The parties to this 2022 Amended and Restated Employment Agreement, dated as of May 24, 2022 (“Agreement”), are AXCELIS TECHNOLOGIES, INC., a Delaware, USA, corporation (the “Company”), and MARY G. PUMA, an individual residing in the State of New Hampshire, USA  (the “Executive”).  The Company and the Executive are party to an Amended and Restated Employment Agreement effective as of November 6, 2007 (“Current  Agreement”).  The parties desire to amend and restate the Current Agreement.  This Agreement provides for the continued employment of the Executive upon the terms and conditions of set forth herein.  The execution and delivery of this Agreement have been duly authorized by the Board of Directors of the Company (the “Board”).  This Agreement shall become effective on May 24, 2022 (the “Effective Date”).
NOW, THEREFORE, the Company and the Executive, each intending to be legally bound, hereby mutually covenant and agree as follows:
1.Employment and Term.
1.1.Employment.  The Company hereby continues to employ the Executive as the President and Chief Executive Officer of the Company and the Executive hereby accepts such continued employment with the Company, for the Term set forth in Paragraph 1.2.   
1.2.Term.  The term of the Executive’s employment under this Agreement (the “Term”) shall commence on the Effective Date and end as set forth in Section 7. 
2.Duties.  During the period of employment as provided in Paragraph 1.2 hereof, the Executive shall serve as President and Chief Executive Officer of the Company.  The Executive shall report to the Board of Directors and perform duties consistent with her positions.  The Executive shall devote her best skill and efforts (reasonable sick leave and vacations excepted) to the performance of her duties under this Agreement.  In addition, the Executive may devote reasonable periods required for (i) subject to the review and approval of the Board of Directors, serving as a director or member of a committee of any organization involving no conflict of interest with the interests of the Company or its subsidiaries; (ii) fulfilling speaking engagements (iii) engaging in charitable and community activities; (iv) participating in industry and trade organization activities; and (v) managing her personal investments; provided, that such activities do not materially interfere with the regular performance of her duties and responsibilities under this Agreement. 

3.Base Salary.  For services performed by the Executive for the Company pursuant to this Agreement during the period of employment as provided in Paragraph 1.2, the Company shall pay the Executive a base salary at the rate of at least $625,000 per year, payable in accordance with the Company’s regular payroll practices (but no less frequently than monthly).  Any compensation which may be paid to the Executive under any additional compensation or incentive plan of the Company or which may be otherwise authorized from time to time by the Board (or an appropriate committee thereof) shall be in addition to the base salary to which the Executive shall be entitled under this Agreement.
4.Salary Increases.  During the Term, the base salary of the Executive shall be reviewed no less frequently than annually by the Board to determine whether or not the same should be increased in light of the duties and responsibilities of the Executive and her performance thereof, and, if it is determined that an increase is merited, such increase shall be put into effect at the time determined by the Board and the base salary of the Executive as so increased shall thereafter constitute the base salary of the Executive for purposes of Paragraph 3. 
5.Other Benefits.  In addition to the base salary to be paid to the Executive pursuant to Paragraph 3 hereof, the Executive shall also be entitled to the following: 
5.1.Participation in Plans.  The Executive shall be entitled to a bonus opportunity for each fiscal year based on the attainment of performance goals and objectives established by the Board; such amount shall be 100% of base salary at the rate in effect for such year if target level performance is achieved and such greater or lesser amount if actual performance exceeds or falls short of target performance goals and objectives as provided under the Company’s bonus arrangements for senior executives. Any such bonus shall be vested as and when approved by the Board of Directors and vested bonuses shall be payable by the Company not later than the end of the fiscal year in which such bonus vests.  The Executive shall also be eligible to participate in the various benefit plans maintained in force by the Company from time to time, including any qualified and nonqualified pension, supplemental pension, disability, medical, group life insurance, supplemental life insurance coverage, business travel insurance, sick leave, and other similar retirement and welfare benefit plans, programs and arrangements.
5.2.Equity Grants.  
5.2.1.Discretionary Grants.  The Board (or a committee appointed by the Board for such purposes) may hereafter make additional grants under the Company’s 2012 Stock Plan, or any successor plan, as it determines appropriate in its discretion, subject to the terms of Paragraph 5.2.2 below.  
5.2.2.Grants in 2023 and 2024.  
		(a)	Performance RSU in 2023.The Company shall, at a minimum, grant a performance based Restricted Stock Unit (“RSU”) award to the Executive on May 15, 2023 (regardless of whether Executive’s Retirement (as defined in Paragraph 7.4.6) has occurred prior to or on that date and regardless of whether Executive is employed 

2

​

			on that date) having a value equal to the performance based RSU granted to the Executive in 2022 (or, if a greater value is shown in the most recent compensation report obtained by the Company, then 50% of the median value for an annual equity award to a CEO in that report), and having substantially the same terms (other than the performance goals) as the 2022 grant. Such performance based RSU shall remain outstanding without regard to Executive’s Retirement or termination of employment, and 50% of the earned RSUs shall vest on February 28, 2024 (regardless of whether Executive’s Retirement has occurred prior to or on that date and regardless of whether Executive is employed on that date), with the remaining 50% of the earned RSUs vesting on the earliest of (i) February 28, 2024 if the Executive’s Retirement (as defined in Section 7.4.6)  has occurred on or prior to that date, (ii) the date of Executive’s Retirement after February 28, 2024, or (iii) February 28, 2025.  

		(b)	Contingent Service RSU in 2024. In the event that the Executive does not receive a service based RSU in 2023, but continues to serve as Chief Executive Officer after December 31, 2023, then the Company shall grant a service based RSU award to the Executive on January 15, 2024 having a value equal to the service based RSU granted to the Executive in 2022 (or, if a greater value is shown in the most recent compensation report obtained by the Company, then 50% of the median value for an annual equity award to a CEO in that report ), and having substantially the same terms as the 2022 grant, provided such RSU would be 25% vested at grant, and 25% on each anniversary of the date of grant, subject to acceleration of an additional  25% of the RSUs upon the Executive’s Retirement.  Service based RSUs that are not vested as of Executive’s Retirement shall forfeit.

5.3.Fringe Benefits.  In addition to the foregoing, the Executive shall be entitled to an office, fringe benefits and other similar benefits no less favorable than those available to other senior executives of the Company.
5.4.Expense Reimbursement.  The Company shall reimburse the Executive, upon a proper accounting, for reasonable business expenses and disbursements incurred by her in the course of the performance of her duties under this Agreement.
5.5.Vacation.  The Executive shall be entitled to vacation and paid time off during the initial and each successive year during the Term of this Agreement in accordance with the Company’s policies applicable to senior executives, or such greater period as the Board shall approve, without reduction in salary or other benefits. 
6.Covenants of the Employee.  In order to induce the Company to enter into this Agreement, the Executive hereby agrees as follows:
6.1.Confidentiality.  Except as may be required by law and for acts in the ordinary course of the Executive’s performance of her duties for the Company and believed by the Executive in good faith to be in the best interests of the Company, the Executive shall keep confidential and 

3

​

shall not divulge to any other person or entity, during the Term or thereafter, any of the business secrets or other confidential information regarding the Company, or any of its subsidiaries or affiliates, which has not otherwise become public knowledge.
6.2.Records.  All papers, books and records of every kind and description relating to the business and affairs of the Company, or any of its subsidiaries or affiliates, whether or not prepared by the Executive shall be the sole and exclusive property of the Company, and the Executive shall surrender them to the Company at any time upon request by the Company. 
6.3.Change of Control Agreement.  The Executive acknowledges that she is bound by, and benefits from, the Change of Control Severance Agreement between the Executive and the Company dated as of March 1, 2017, effective as of November 6, 2019 (such agreement and any similar successor agreement, referred to herein as the “Change of Control Agreement”). The Company agrees that to the extent Executive’s employment terminates (before or after a Retirement, and including on the expiration of the term of an Advisory Agreement as described in Paragraph 7.4.6) at a time when there is either a Potential Change of Control or within 24 months following a Change of Control (as such terms are defined in the Change of Control Agreement), the Executive will be entitled to the severance benefits described in the Change of Control Agreement, subject to the terms thereof and of Paragraph 15 hereof; provided, however, that the Company agrees it will not give notice under Section 2 of the Change of Control Agreement not to extend the Term, and that that the covenant in Section 4 of the Change of Control Agreement shall be deemed to be satisfied.
7.Termination.  Unless earlier terminated in accordance with the following provisions of this Paragraph 7, the Company shall continue to employ the Executive and the Executive shall remain employed by the Company during the entire Term as set forth in Paragraph 1.2.  Paragraph 8 hereof sets forth certain obligations of the Company in the event that the Executive’s employment hereunder is terminated or Executive has a “Retirement” as defined in Paragraph 7.4.6.  Certain capitalized terms used in this Paragraph 7 and Paragraph 8 hereof are defined in Paragraph 7.4 below.
7.1.Death or Disability.  Except to the extent otherwise expressly stated herein, including without limitation, as provided in Paragraph 8.1 with respect to certain post-Date of Termination payment obligations of the Company, this Agreement shall terminate immediately on the Date of Termination in the event of the Executive’s death or in the event of Executive’s disability.  For purposes of this Agreement, “Disability” shall mean the absence of the Executive from the Executive’s duties with the Company on a full-time basis for 180 consecutive business days as a result of incapacity due to mental or physical illness or injury which is determined to be total and permanent by a physician selected by the Company or its insurers and reasonably acceptable to the Executive or the Executive’s legal representative.  In the event of disability, until the Date of Termination the base salary payable to the Executive under Paragraph 3 hereof shall be reduced dollar-for-dollar by the amount of disability benefits, if any, paid to the Executive in accordance with any disability policy or program of the Company.

4

​

7.2.Notification of Discharge by the Company or Resignation for Good Reason.  In accordance with the procedures hereinafter set forth, the Company may discharge the Executive from her employment hereunder with or without Cause and the Executive may resign from her employment hereunder for Good Reason or otherwise.  Any discharge of the Executive by the Company or resignation by the Executive for Good Reason shall be communicated by a Notice of Termination to the Executive (in the case of discharge) or to the Company (in the case of the Executive’s resignation) given in accordance with Paragraph 10 of this Agreement.  For purposes of this Agreement, a “Notice of Termination” means a written notice which:
		(i)	indicates the specific termination provision in this Agreement relied upon, 

		(ii)	sets forth in reasonable detail the facts and circumstances providing a basis for termination of the Executive’s employment under the provision so indicated and 

		(iii)	if the Date of Termination is to be other than the date of receipt of such notice, specifies the termination date (which date shall in all events be within fifteen (15) days after the giving of such notice). 

No purported termination of the Executive’s employment for Cause shall be effective without a Notice of Termination to the Executive.  The failure by the Executive to set forth in any Notice of Termination to the Company any facts or circumstances which contributes to a showing of Good Reason shall not waive any right of the Executive hereunder or preclude the Executive from asserting such fact or circumstances in enforcing the Executive’s rights hereunder.
7.3.Termination on or After a Mutually Agreed Retirement.  The Company and the Executive may mutually agree on the termination of the Executive’s employment on or after a Retirement (as defined in Paragraph 7.4.6 below).   
7.4.Definitions.  For purposes of this Paragraph 7 and Paragraph 8 hereof, the following capitalized terms shall have the meanings set forth below: 
7.4.1.“Accrued Obligations” shall mean, as of the Date of Termination, the sum of (A) the Executive’s base salary under Paragraph 3 through the Date of Termination to the extent not theretofore paid, (B) the amount of any bonus, incentive compensation, deferred compensation and other cash compensation accrued by the Executive as of the Date of Termination to the extent not theretofore paid and (C) any vacation pay, expense reimbursements and other cash entitlements accrued by the Executive as of the Date of Termination to the extent not theretofore paid.
7.4.2.“Cause” shall mean (A) the willful and continued failure of the Executive to perform substantially the Executive’s duties with the Company or one of its affiliates (other than any such failure resulting from disability), after a written demand for substantial performance is delivered to the Executive by the Board of Directors which specifically identifies the manner in which the Board believes that the Executive has not substantially performed the Executive’s 

5

​

duties, or (B) the willful engaging by the Executive in illegal conduct or gross misconduct which is injurious to the Company.  For purposes of this provision, no act or failure to act on the part of the Executive shall be considered “willful” unless it is done, or omitted to be done, by the Executive in bad faith or without reasonable belief that the Executive’s action or omission was in the best interests of the Company.  Any act or failure to act based upon authority given pursuant to a resolution duly adopted by the Board or based on the advice of a senior officer of the Company or counsel for the Company shall be conclusively presumed to be done, or omitted to be done, by the Executive in good faith and in the best interests of the Company.  The cessation of employment of the Executive shall not be deemed to be for Cause unless and until there shall have been delivered to the Executive a copy of a resolution duly adopted by the affirmative vote of not less than two-thirds of the entire membership of the Board at a meeting of the Board called and held for such purpose (after reasonable notice is provided to the Executive and the Executive is given an opportunity, together with counsel, to be heard before the Board), finding that, in the good faith opinion of the Board, the Executive is guilty of the conduct described in subparagraph (A) or (B) above of this Paragraph 7.4.2, and specifying the particulars thereof in detail.
7.4.3.“Date of Termination” shall mean (A) in the event of a discharge of the Executive by the Company for Cause or a resignation by the Executive for Good Reason, the date the Executive (in the case of such discharge) or the Company (in the case of such resignation) receives a Notice of Termination, or any later permitted date specified in such Notice of Termination, as the case may be, (B) on the date of a mutually agreed termination of employment on or following a Retirement (as defined in Section 7.4.6), (C) in the event of a discharge of the Executive without Cause or a resignation by the Executive without Good Reason (other than on Retirement), the date the Executive (in the case of discharge) or the Company (in the case of resignation) receives notice of such termination of employment other than in the case of a Retirement, (D) in the event of the Executive’s death, the date of the Executive’s death, and (E) in the event of termination of the Executive’s employment by reason of disability pursuant to Paragraph 7.1, the date the Executive receives written notice of such termination.  
7.4.4.“Good Reason” shall mean, subject to the notice and cure requirements below, a voluntary termination by the Executive within one year following the initial existence of one or more of the following conditions, without the consent of the Executive:
		(a)	Material diminution of base compensation;

		(b)	Material diminution of the Executive’s authority, duties or responsibilities;

		(c)	Material change in the geographic location in which the Executive provides services; and

		(d)	Any other action or inaction by the Company that constitutes a material breach of the terms of this Agreement.

6

​

The Executive must provide notice to the Company of the existence of the good reason condition not later than 90 days of its initial existence.  The Company shall have a period of 60 days to cure the condition giving rise to such notice.  In the event the Company cures or corrects the specific Good Reason condition within the time period specified above, Good Reason termination shall not be deemed to exist with respect to the specific condition set forth in the Notice of Termination.
7.4.5. “Monthly Bonus Amount” shall mean the quotient of (A) the “bonus percentage” (as hereinafter defined) times the Executive’s annual base salary as in effect under Paragraph 3 on the Date of Termination, divided by (B) twelve (12).  The term “bonus percentage” shall mean the percentage of the Executive’s base salary that the Executive received as a bonus with respect to the fiscal year immediately preceding the fiscal year in which the Date of Termination occurs, but in no event less than 25%.
7.4.6.“Retirement” shall mean a termination of full time service as Chief Executive Officer after the Executive’s 65th birthday (whether or not the Executive’s employment terminates at that time), as mutually agreed by the Executive and the Company, provided that the Executive, to the extent requested by Company, agrees to provide transition advisory services (as a part time employee or as a consultant) to the new Chief Executive Officer and Board of Directors for a period of up to 12 months following the date of Retirement at a rate of up to 5 hours per week (the “Advisory Agreement”), which will include an agreement by the Executive, during the term of the Advisory Agreement and for a period of one (1) year thereafter, not to organize or serve in any capacity (whether as an officer, director, employee, consultant or otherwise) any person, firm, corporation or other entity which is in direct competition with the Company or which may otherwise give rise to a conflict of interest or appearance of a conflict of interest with Executive’s service to the Company, without the prior written consent of the Company.
To document a mutually agreeable Retirement,  the Executive shall provide a Retirement Resignation to the Company  given in accordance with Paragraph 10 of this Agreement.  For purposes of this Agreement, a “Retirement Resignation” means a written notice which reflects the Executive’s resignation from her seat on the Board of Directors and offices with the Company and its subsidiaries, effective upon a date that is mutually agreeable with the Board of Directors.  For the avoidance of doubt, in the event that the Company and Executive cannot agree to a Retirement date, Executive maintains all rights under this Agreement, under the Executive Equity Retirement Program, and to otherwise to provide notice of her retirement. 
8.Obligations of the Company Upon Termination.
8.1.Discharge for Cause, Resignation Without Good Reason (except on Retirement), Death or Disability.  During the Term of this Agreement, in the event of a discharge of the Executive for Cause or resignation by the Executive without Good Reason (except on Retirement), or in 

7

​

the event this Agreement terminates pursuant to Paragraph 7.1 by reason of the death or disability of the Executive:
		(a)	the Company shall pay all Accrued Obligations to the Executive, or to her beneficiaries, heirs or estate in the event of the Executive’s death, in a lump sum in cash within thirty (30) days after the Date of Termination; and 

		(b)	the Executive, or her beneficiaries, heirs or estate in the event of the Executive’s death, shall be entitled to receive all benefits accrued by her as of the Date of Termination under all qualified and nonqualified retirement, pension, profit sharing and similar plans of the Company in such manner and at such time as are provided under the terms of such plans and arrangements; and

		(c)	except as otherwise provided in Paragraph 15 hereof, all other obligations of the Company under this Agreement shall cease forthwith.

8.2.Discharge Without Cause or Resignation for Good Reason.  During the Term of this Agreement and/or during the Term of the Advisory Agreement (if Executive remains an employee under said Advisory Agreement), if the Executive is discharged other than for (x) Cause (i.e., without Cause) or (y) disability, or if the Executive resigns with Good Reason:
		(a)	the Company shall pay to the Executive in a lump sum in cash within thirty (30) days after the Date of Termination the aggregate of the following amounts:

	i.		all Accrued Obligations; and 

	ii.		an amount equal to her monthly base salary at the highest rate in effect in the most recent year multiplied by 24; and

	iii.		an amount equal to the Monthly Bonus Amount multiplied by 24.

		(b)	If Executive elects to continue health coverage under the Company’s health plan in accordance with the continuation requirements of COBRA, the Company will pay for the cost of such coverage until the earlier of (i) the date Executive begins full-time employment or full-time self-employment; or (ii) the end of the eighteenth month after the Date of Termination; and

		(c)	the Executive shall be entitled to receive all benefits accrued by her as of the Date of Termination under all qualified and nonqualified retirement, pension, profit sharing and similar plans of the Company in such manner and at such time as are provided under the terms of such plans; and

		(d)	all stock options and other stock interests or stock-based rights awarded to the Executive by the Company on or before the Date of Termination shall become fully vested and nonforfeitable as of the Date of Termination and shall remain in effect and exercisable in accordance with the terms and conditions of their grant; and

8

​

		(e)	except as otherwise provided in Paragraph 15 hereof, all other obligations of the Company under this Agreement shall cease forthwith. 

8.3.Retirement.  In the event of a Retirement (whether or not accompanied by a termination of employment):
		(a)	the Company shall pay all Accrued Obligations to the Executive, in a lump sum in cash within thirty (30) days after the Date of Termination on or following the Retirement; and 

		(b)	the Company will continue to pay the Executive an amount equal to her base pay in effect on the date of Retirement, for 12 months following the date of Retirement, on a payroll continuation basis; and

		(c)	Notwithstanding Executive’s Retirement and/or termination of employment, the Executive will continue to have a target opportunity under the Axcelis Management Incentive plan (or any equivalent successor annual cash incentive plan in which the executive officers participate) for the  year in which the date of Retirement occurs, equal to 100% of her annual base salary at the date of Retirement (but not less than the amount set forth in Paragraph 3), and be entitled to a payout under such plan, based on the score as determined in accordance with the plan, and paid as and when other plan payouts are made regardless of whether Executive remains employed on that date; and

		(d)	In the event the Executive’s employment continues after the  year in which the date of Retirement occurs, the Executive will continue to have a target opportunity under the Axcelis Management Incentive plan (or any equivalent successor annual cash incentive plan in which the executive officers participate) for any  year in which her employment continues equal to 100% of her actual base salary received during the applicable year, and be entitled to a payout under such plan, based on the score as determined in accordance with the plan, and paid as and when other plan payouts are made regardless of whether Executive remains employed on that date; and

		(e)	Except as provided in Section 5.2.2 (which is governed by the terms therein), the Executive shall be entitled to the acceleration of unvested equity awards at the date of Retirement in accordance with the Executive Equity Retirement Program adopted by the Compensation Committee of the Board of Directors as if the Executive had given notice of Retirement on December 31, 2022, and without regard to whether the date of Retirement is less than 18 months after such agreement; accordingly, at Retirement:

	i.		  all equity awards made during and prior to 2021 shall be fully vested; 

	ii.		the service based equity award made in 2022 shall be at least 75% vested (and shall be 100% vested on May 16, 2024 in the event the Executive’s employment 

9

​

			continues through that date), unless a higher percentage of vesting is provided by the Executive Equity Retirement Program; 

	iii.		the first tranche (50% of the number earned) of the 2022 performance based RSUs will be fully vested and the second tranche of 2022 performance based grant shall be at least 75% vested (and shall be 100% vested on February 28, 2024 in the event the Executive’s employment continues through that date) unless a higher percentage of vesting is provided in the Executive Equity Retirement Program;

	iv.		the 2023 performance based RSUs described in Section 5.2.2(a) shall be vested as described in that section; and

	v.		if the date of Retirement is in 2024, the Executive will receive the service based grant described in Section 5.2.2(b) which will vest as described in that section; and

		(f)	If Executive elects to continue health coverage under the Company’s health plan in accordance with the continuation requirements of COBRA, the Company will pay 100% of the COBRA premium for the cost of such coverage for up to 18 months; and

		(g)	The Executive shall be entitled to receive all benefits accrued by her as of the Date of Termination under all qualified and nonqualified retirement, pension, deferred compensation, profit sharing and similar plans of the Company in such manner and at such time as are provided under the terms of such plans and arrangements; and

		(h)	except as otherwise provided in Paragraph 15 hereof, all other obligations of the Company under this Agreement shall cease forthwith.

8.4.Payment Obligations Absolute.  The Company’s obligation to make the payments and the arrangements provided for herein shall be absolute and unconditional, and shall not be affected by any circumstances, including, without limitation, any offset, counterclaim, recoupment, defense, or other right which the Company may have against the Executive or any other party.  Each and every payment made hereunder by the Company shall be final, and the Company shall not seek to recover all or any part of such payment from the Executive or from whomsoever may be entitled thereto, for any reasons whatsoever.
8.5.Section 409A.  Notwithstanding anything to the contrary in this Agreement, if the Executive is a “specified employee” within the meaning of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) and the final regulations and any guidance promulgated thereunder (“Section 409A”) at the time of Executive’s separation from service, and the severance payments and separation benefits payable to Executive, if any, pursuant to this Agreement is considered “nonqualified deferred compensation” as defined pursuant to 

10

​

Section 409A, such payments and benefits shall be made to Executive with the first payroll that is six months and one day following the Executive’s Date of Termination.
8.6.Contractual Rights to Benefits.  This Agreement establishes and vests in the Executive a contractual right to the benefits to which she is entitled hereunder.  The Executive shall not be obligated to seek other employment in mitigation of the amounts payable or arrangements made under any provision of this Agreement, and the obtaining of any such other employment shall in no event effect any reduction of the Company’s obligations to make the payments and arrangements required to be made under this Agreement.
9.Binding Effect.  This Agreement shall be binding upon and inure to the benefit of the heirs and representatives of the Executive and the successors and assigns of the Company.  The Company shall require any successor (whether direct or indirect, by purchase, merger, reorganization, consolidation, acquisition of property or stock, liquidation, or otherwise) to all or a majority of its assets, by agreement in form and substance reasonably satisfactory to the Executive, expressly to assume and agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform this Agreement if no such succession had taken place.  Regardless whether such agreement is executed, this Agreement shall be binding upon any successor of the Company in accordance with the operation of law and such successor shall be deemed the “Company” for purposes of this Agreement.  
10.Notices.  All notices, requests, demands and other communications hereunder shall be in writing and shall be deemed to have been duly given if delivered by hand or mailed within the continental United States by first class certified mail, return receipt requested, postage prepaid, addressed as follows:
to the Board or the Company, to: 
Axcelis Technologies, Inc.
108 Cherry Hill Drive
Beverly, Massachusetts 01915
​
to the Executive, to:
Mary G. Puma
c/o Axcelis Technologies, Inc.
108 Cherry Hill Drive
Beverly, Massachusetts 01915
​
Addresses may be changed by written notice sent to the other party at the last recorded address of that party.
11.No Assignment.  Except as expressly provided in Paragraph 9, this Agreement is not assignable by any party and no payment to be made hereunder shall be subject to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance or other charge.

11

​

12.Execution in Counterparts.  This Agreement will be executed by the parties hereto in two or more counterparts, each of which shall be deemed to be an original, but all such counterparts shall constitute one and the same instrument, and all signatures need not appear on any one counterpart.
13.Jurisdiction and Governing Law.  Jurisdiction over disputes with regard to this Agreement shall be exclusively in the courts of the Commonwealth of Massachusetts, and this Agreement shall be construed and interpreted in accordance with and governed by the local laws of the Commonwealth of Massachusetts, other than the conflict of laws provisions of such laws. 
14.Severability. If any provision of this Agreement shall be adjudged by any court of competent jurisdiction to be invalid or unenforceable for any reason, such judgment shall not affect, impair or invalidate the remainder of this Agreement. 
15.Prior Understandings.  This Agreement amends and restates in its entirety the Current Agreement as of the Effective Date and embodies the entire understanding of the parties hereto, and supersedes all other oral or written agreements or understandings between them regarding the subject matter hereof including the Current Agreement, but excluding the Change of Control Severance Agreement dated as of March 1, 2017, and effective as of November 6, 2019, the Indemnification Agreement between the Executive and the Company dated February 28, 2012, and the Executive Equity Retirement Program.  In the event of a termination of Executive’s employment during a Potential Change of Control or following a Change of Control (as defined in such Change of Control Agreement), the Executive shall be entitled to receive the greater of the amounts and benefits under this Agreement or the Change of Control Agreement but the Executive shall not receive the aggregate of the amounts and benefits under both such agreements.  If she is entitled to receive amounts and benefits under both the Change of Control Agreement and this Agreement, the amount and benefits payable, if any, under the Change of Control Agreement shall be deemed to have been paid first and, if the amounts and benefits due under this Agreement are greater than those actually paid under the Change of Control Agreement, such excess shall be paid under this Agreement.  Nothing in this Agreement is intended as and shall not be read as a modification of the Change of Control Agreement, the Indemnification Agreement or any outstanding equity award agreement, and such agreements shall be and remain in full force and effect in accordance with their respective terms.  No change, alteration or modification hereof may be made except in a writing, signed by each of the parties hereto.  The headings in this Agreement are for convenience of reference only and shall not be construed as part of this Agreement or to limit or otherwise affect the meaning hereof.
​
​

12

​

IN WITNESS WHEREOF, the parties hereto have executed and delivered this Agreement as of the Effective Date.
AXCELIS TECHNOLOGIES, INC.
​
By: /s/ Lynnette C. Fallon​ ​
Name:  Lynnette C. Fallon
Title:  Executive Vice President HR/Legal and General Counsel
​
​
MARY G. PUMA
​
​
/s/ Mary G. Puma________________

13

​

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00347-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00347-of-00352.parquet"}]]