Document:

Sample 2006 Performance Share Award Agreement

 Exhibit 10(e) 
 PERFORMANCE SHARE AWARD AGREEMENT 
 Wendy’s International, Inc. 
 March 17, 2006 
 THIS AGREEMENT, made as of
March 17, 2006 (the “Date of Grant”), between Wendy’s International, Inc., an Ohio corporation (the “Company”), and
                     (the “Grantee”). 
 WHEREAS, the Company has adopted the Wendy’s International, Inc. 2003 Stock Incentive Plan (the “Plan”) in order to provide additional incentive to certain employees and directors of the Company
and its Subsidiaries; and 
 WHEREAS, the Committee has determined to grant to the Grantee an Award of Performance Shares as provided herein to encourage the
Grantee’s efforts toward the continuing success of the Company. 
 NOW, THEREFORE, the parties hereto agree as follows: 
  

	1.	Grant of Performance Shares. 

 1.1 The Company hereby grants to the
Grantee an award of              Performance Shares (the “Award”), subject to adjustment pursuant to Sections 3 and 4 hereof and the execution and return of
this Agreement by the Grantee (or the Grantee’s estate, if applicable) to the Company as provided in Section 10 hereof. Subject to Sections 5 and 6 hereof, payment with respect to vested Earned Performance Shares shall be made entirely in
Shares in accordance with Section 8 hereof. 
 1.2 This Agreement shall be construed in accordance and consistent with, and subject to, the provisions
of the Plan (the provisions of which are hereby incorporated by reference) and, except as otherwise expressly set forth herein, the capitalized terms used in this Agreement shall have the same definitions as set forth in the Plan. 
  

	2.	Performance Cycle. 

 The Performance Cycle shall be the
Company’s 2006 fiscal year, beginning on January 2, 2006 and ending on December 31, 2006. 
  

	3.	Performance Objective and Formula. 

 3.1 The Performance Objective
established by the Committee with respect to the Performance Shares is positive diluted earnings per Share. For this purpose, diluted earnings per Share shall be as reported on the Company’s income statement for fiscal 2006 with the following
adjustments: 
 (i) disregarding the impact of (a) costs incurred in connection with the initial public offering and any spin-off or other disposition of
Tim Hortons Inc., including costs related to additional employees hired by Tim Hortons Inc. or its subsidiaries as a result of its becoming a separate reporting company, (b) interest costs or other expense incurred by Tim Hortons Inc.

  

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 (ii) related to revolving credit and other debt financing arrangements entered into by Tim Hortons Inc. in 2006,
(c) the sale of equity of Tim Hortons Inc. in the initial public offering (which will decrease the Company’s reported earnings attributable to earnings of Tim Hortons Inc.), (d) the Tim Hortons Inc. initial public offering and any
spin-off or other disposition of Tim Hortons Inc. on the Company’s 2006 income tax expense, (e) costs (including charges) incurred in connection with the sale or other disposition of one or more business units of the Company,
(f) severance costs or other charges incurred in connection with the Company’s initiative to reduce its overhead as part of an organizational restructuring of the Company, and related costs of outside consultants and advisors, or
(g) new accounting standards or interpretations issued in 2006; and 
 (iii) adding the budgeted consolidated earnings of Tim Hortons Inc. and any other
business unit sold or otherwise disposed of to the earnings results of the Company for any period in 2006 for which the earnings results of Tim Hortons Inc. and any other business unit sold or otherwise disposed of are not included in the
consolidated earnings results of the Company; and 
 (iv) adjusting the number of Performance Shares in the event of a spin-off of Tim Hortons Inc. prior to
May 1, 2007, such that the Fair Market Value of the Performance Shares (calculated as though the Fair Market Value of a Performance Share is equal to the Fair Market Value of a Share) immediately prior to the spin-off is equal to the Fair
Market Value of the Performance Shares (calculated in the same manner) immediately after the spin-off, and the number of Shares issued in settlement of the Earned Performance Shares shall be adjusted proportionately to the adjustment in the number
of Performance Shares; 
 3.2 If the Company achieves this Performance Objective during the Performance Cycle and the Committee certifies to this result in
accordance with Section 4 hereof, the Performance Shares shall be earned and, subject to Sections 4.1, 5, and 6.4 hereof, on May 1, 2007 (the “Issue Date”), the Grantee will be credited with a number of Earned Performance Shares equal
to the number of Performance Shares listed in Section 1.1 multiplied by a factor determined in accordance with the matrix set forth in Appendix A attached hereto. 
  

	4.	Determination of Award. 

 4.1 Determination Notice. As soon
as possible after the end of the Performance Cycle, the Committee will certify in writing whether the Performance Objective has been met for the Performance Cycle and determine the number of Earned Performance Shares, if any, in accordance with the
matrix set forth in Appendix A; provided, that, if the Committee certifies that the Performance Objective has been met, the Committee may, in its sole discretion, reduce the number of Earned Performance Shares which may become payable
to the Grantee with respect to the Award. The date of the Committee’s certification pursuant to this Section 4.1 shall hereinafter be referred to as the “Certification Date”. The Company will notify the Grantee (or the
executors or administrators of the Grantee’s estate, if appropriate) of the Committee’s certification following the Certification Date (such notice, the “Determination Notice”). The Determination Notice shall specify
(i) the Company’s reported diluted earnings per Share for the Performance Cycle as adjusted pursuant to Section 3, (ii) the relative placement on the matrix set forth in Appendix A of the Company’s three-year average total
shareholder return measured 
  

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 against the three-year average total shareholder return of the companies comprising the Standard & Poor’s
500 Composite Index, and (iii) the number of Earned Performance Shares, if any, calculated in accordance with the Committee’s certification pursuant to this Section 4.1 and which may become payable to Grantee pursuant to Sections 6 or
7 hereof. 
 4.2 Dividend Equivalent Rights. As of the Issue Date, the Grantee shall also be issued a number of Dividend Equivalent Rights equal to
the number of Earned Performance Shares. Each Dividend Equivalent Right represents the right to receive all of the cash dividends that are or would be payable with respect to the Share represented by the Earned Performance Share to which the
Dividend Equivalent Right relates. With respect to each Dividend Equivalent Right, any such cash dividends shall be converted into additional Earned Performance Shares based on the Fair Market Value of a Share on the date such dividend is made
(provided that no fractional Stock Units shall be granted). Each such additional Earned Performance Share shall be subject to the same terms and conditions applicable to the Earned Performance Share to which the Dividend Equivalent Right relates,
including, without limitation, the restrictions on transfer, forfeiture, vesting, voting and payment provisions contained in Sections 6 through 9 of this Agreement. In the event that an Earned Performance Share is forfeited pursuant to
Section 5 or 6 hereof, the related Dividend Equivalent Right shall also be forfeited. 
  

	5.	Forfeiture of Award Prior to Issue Date. 

 5.1 Termination of
Employment. If the Grantee’s employment terminates for any reason prior to the Issue Date, the Award shall automatically terminate and the Grantee shall not be entitled to receive any Earned Performance Shares under Section 4 hereof or
otherwise under this Agreement. 
 5.2 Misconduct. If prior to the Issue Date the Grantee has (i) used for profit or disclosed to unauthorized
persons, confidential information or trade secrets of the Company or any of its Subsidiaries, (ii) breached any contract with or violated any fiduciary obligation to the Company or any of its Subsidiaries, or (iii) engaged in unlawful
trading in the securities of the Company or any of its Subsidiaries or of another company based on information gained as a result of that Grantee’s employment with, or status as a director to, the Company or any of its Subsidiaries (each of
(i), (ii) and (iii), an “Act of Misconduct”), the Award shall automatically terminate and the Grantee shall not be entitled to receive any Earned Performance Shares under Section 4 hereof or otherwise under this Agreement.

  

	6.	Vesting of Earned Performance Shares. 

 6.1 Restrictions on
Transfer. The Earned Performance Shares issued under this Agreement may not be sold, transferred or otherwise disposed of and may not be pledged or otherwise hypothecated. 
 6.2 Vesting Generally. Except as provided in Sections 6.3, 6.4 and 7 hereof, one-fourth (1/4) of the number of Earned Performance Shares issued hereunder (rounded down to the nearest whole Share, if
necessary) shall vest on each of the first four (4) anniversaries of the Issue Date. 
  

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 6.3 Effect of Certain Terminations of Employment. If the Grantee’s employment terminates as a result of the
Grantee’s death, Retirement or becoming Disabled, or if the Grantee is terminated without Cause in connection with the disposition of one or more restaurants or other assets of the Company or its Subsidiaries or the sale or disposition of a
Subsidiary, in each case if such termination occurs on or after the Issue Date, all Earned Performance Shares which have not become vested in accordance with Section 6.2 or 7 hereof shall vest, and the restrictions on such Earned Performance
Shares shall lapse, as of the date of such termination. For purposes of this Award Agreement, Retirement shall mean termination of employment after attaining age 60 with at least 10 years of service (as defined in the Company’s qualified
retirement plans) other than by reason of death, Disability or for Cause. 
 6.4 Forfeiture of Earned Performance Shares. Any and all Earned
Performance Shares which have not become vested in accordance with Section 6.2, 6.3 or 7 hereof shall be forfeited and shall revert to the Company upon: 
 (i) the termination by the Grantee, the Company or its Subsidiaries of the Grantee’s employment for any reason other than those set forth in Section 6.3 hereof prior to such vesting; or 
 (ii) the commission by the Grantee of an Act of Misconduct prior to such vesting. 
  

	7.	Effect of Change in Control. 

 In the event of a Change in Control
which also constitutes a change in ownership or effective control of the Company or a change in the ownership of a substantial portion of its assets, in each case within the meaning of Section 409A of the Code, at any time on or after the Issue
Date (but not before the Issue Date), all Earned Performance Shares which have not become vested in accordance with Section 6 hereof shall vest immediately. 
  

	8.	Delivery of Shares upon Vesting and Lapse. 

 8.1 Except as otherwise
provided in Section 8.2 hereof, upon the vesting of Earned Performance Shares pursuant to Section 6.2, 6.3 or 7 hereof, the Grantee shall be entitled to receive one (1) Share for each vested Earned Performance Share. Evidence of book entry
Shares or, if requested by the Grantee prior to such vesting, a stock certificate with respect to such Earned Performance Shares, shall be delivered to the Grantee as soon as practicable following the date on which such Earned Performance Shares
have vested, free of all restrictions hereunder. 
 8.2 With respect to Earned Performance Shares which have vested upon the Grantee’s death pursuant to
Section 6.3 hereof, the Grantee’s estate shall be entitled to receive one (1) Share for each vested Earned Performance Share. Evidence of book entry Shares or, if requested by the executors or administrators of the Grantee’s estate, a
stock certificate with respect to such Shares, shall be delivered to 
  

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 the executors or administrators of the Grantee’s estate as soon as practicable following the Company’s receipt
of acceptable documentation evidencing such individual’s representation of the Grantee’s estate, free of all restrictions hereunder. 
  

	9.	Dividends and Voting Rights. 

 The Grantee (or his or her
representative) shall have no rights of a stockholder with respect to any Earned Performance Shares until the Shares have been issued pursuant to Section 8 to the Grantee (or his or her representative). 
  

	10.	Execution of Award Agreement. 

 The Performance Shares granted to
the Grantee pursuant to the Award shall be subject to the Grantee’s execution and return of this Agreement to the Company or its designee (including by electronic means, if so provided) no later than April 25, 2007 (the “Grantee
Return Date”); provided that if the Grantee dies before the Grantee Return Date, this requirement shall be deemed to be satisfied if the executor or administrator of the Grantee’s estate executes and returns this Agreement to the
Company or its designee no later than ninety (90) days following the Grantee’s death (the “Executor Return Date”). If this Agreement is not so executed and returned on or prior to the Grantee Return Date or the Executor
Return Date, as applicable, the Performance Shares evidenced by this Agreement shall be forfeited, and neither the Grantee nor the Grantee’s heirs, executors, administrators and successors shall have any rights with respect thereto. 

 

	11.	No Right to Continued Employment. 

 Nothing in this Agreement or the
Plan shall interfere with or limit in any way the right of the Company or its Subsidiaries to terminate the Grantee’s employment, nor confer upon the Grantee any right to continuance of employment by the Company or any of its Subsidiaries or
continuance of service as a Board member. 
  

	12.	Adjustments. 

 To the extent permitted under Section 162(m) of
the Code and the regulations thereunder without adversely affecting the treatment of the Award as Performance-Based Compensation, the Committee shall adjust the Performance Objective to reflect the impact of specified corporate transactions (such as
a stock split or dividend), special charges, accounting or tax law changes and other extraordinary or nonrecurring events. 
  

	13.	Withholding of Taxes. 

 Prior to the delivery to the Grantee (or the
Grantee’s estate, if applicable) of a stock certificate or evidence of book entry Shares with respect to vested Earned Performance Shares, the Grantee (or the Grantee’s estate) shall pay to the Company the federal, state and local income
taxes and other amounts as may be required by law to be withheld by the Company (the “Withholding Taxes”) with respect to such Earned Performance Shares. By executing and returning this Agreement in the manner provided in
Section 10 hereof, the Grantee (or the Grantee’s estate) shall be deemed to elect to have the 
  

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 Company withhold a portion of such Earned Performance Shares having an aggregate Fair Market Value equal to the
Withholding Taxes in satisfaction of the Withholding Taxes, such election to continue in effect until the Grantee (or the Grantee’s estate) notifies the Company at least four days prior to the applicable vesting date that the Grantee (or the
Grantee’s estate) shall satisfy such obligation in cash, in which event the Company shall not withhold a portion of such Earned Performance Shares as otherwise provided in this Section 13. 
  

	14.	Grantee Bound by the Plan. 

 The Grantee hereby acknowledges receipt
of a copy of the Plan and agrees to be bound by all the terms and provisions thereof. 
  

	15.	Modification of Agreement. 

 This Agreement may be modified,
amended, suspended or terminated, and any terms or conditions may be waived, but only by a written instrument executed by the parties hereto. 
  

	16.	Severability. 

 Should any provision of this Agreement be held by a
court of competent jurisdiction to be unenforceable or invalid for any reason, the remaining provisions of this Agreement shall not be affected by such holding and shall continue in full force in accordance with their terms. 
  

	17.	Governing Law. 

 The validity, interpretation, construction and
performance of this Agreement shall be governed by the laws of the State of Ohio without giving effect to the conflicts of laws principles thereof. 
  

	18.	Successors in Interest. 

 This Agreement shall inure to the benefit
of and be binding upon any successor to the Company. This Agreement shall inure to the benefit of the Grantee’s legal representatives. All obligations imposed upon the Grantee and all rights granted to the Company under this Agreement shall be
binding upon the Grantee’s heirs, executors, administrators and successors. 
  

	19.	Resolution of Disputes. 

 Any dispute or disagreement which may
arise under, or as a result of, or in any way relate to, the interpretation, construction or application of this Agreement shall be determined by the Committee. Any determination made hereunder shall be final, binding and conclusive on the Grantee,
the Grantee’s heirs, executors, administrators and successors, and the Company and its Subsidiaries for all purposes. 
  

	20.	Entire Agreement. 

 This Agreement and the terms and conditions of
the Plan constitute the entire understanding between the Grantee and the Company and its Subsidiaries, and supersede all other agreements, whether written or oral, with respect to the Award. 
  

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	21.	Headings. 

 The headings of this Agreement are inserted for
convenience only and do not constitute a part of this Agreement. 
  

	22.	Counterparts. 

 This Agreement may be executed simultaneously in two
or more counterparts, each of which shall constitute an original, but all of which taken together shall constitute one and the same agreement. 
  

			
	 WENDY’S INTERNATIONAL, INC.

		
	 By:
	 	
		 	 
		
	 GRANTEE
	 	
	  
  

  

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 APPENDIX A 
 [Spreadsheet setting forth Grantee’s performance objectives and calculations] 
  

 742003 Stock Incentive Plan, as amended and restated

 Exhibit 10(f) 
 WENDY’S INTERNATIONAL, INC. 
 2003 STOCK INCENTIVE PLAN 
 Section 1.    Purpose. The purpose of this Wendy’s International, Inc. 2003 Stock Incentive Plan (the
“Plan”) is to strengthen Wendy’s International, Inc. (the “Company”) by providing an incentive to the employees and directors of the Company and its subsidiaries (the “Subsidiaries”) and
thereby encouraging them to devote their abilities and industry to the success of the Company’s business enterprise. It is intended that this purpose be achieved by extending to employees (including future employees who have received a formal
written offer of employment) and directors of the Company and its Subsidiaries an added long-term incentive for high levels of performance and unusual efforts through the grant of Restricted Stock, Options, Stock Appreciation Rights, Dividend
Equivalent Rights, Performance Awards, Share Awards and Stock Units (as each term is herein defined). 
 Section
2.    Administration of the Plan.
 2.1 Committee Composition; Powers. The Board shall appoint a
committee (the “Committee”) of not less than three (3) members of the Board to administer the Plan. The members of the Committee shall serve at the pleasure of the Board, which shall have the power at any time, or from time to
time, to remove members from the Committee or to add members thereto. Each member of the Committee shall be a Nonemployee Director and an Outside Director and shall satisfy any applicable stock exchange requirements. The Committee shall construe and
interpret the Plan, establish such operating guidelines and rules as it deems necessary for the proper administration of the Plan and make such determinations and take such other action in connection with the Plan as it deems necessary and
advisable. It shall determine the Eligible Individuals to whom and the time or times at which Awards and Options shall be granted, the number of Shares to be subject to each Award and Option, the terms and conditions of each Award and Option (and
amendments thereto) and the duration of leaves of absence which may be granted to Grantees and Optionees without constituting a termination of their employment, or status as a director for purposes of the Plan. Any such construction, interpretation,
rule, determination or other action taken by the Committee pursuant to the Plan shall be final, binding and conclusive on all interested parties, including without limitation the Company and all Grantees and Optionees. 
 2.2 Committee Action. Actions by a majority of the Committee at a meeting at which a quorum is present, or actions approved in writing by all of
the members of the Committee, shall be the valid acts of the Committee. Subject to applicable law, the Committee may delegate its authority under the Plan to any other person or persons. No member of the Board or the Committee shall be liable for
any action or determination made in good faith with respect to the Plan or any Award or Option granted under it. 
 2.3 No Repricing of
Options or Stock Appreciation Rights. The Committee shall have no authority to make any adjustment (other than in connection with a stock dividend, recapitalization or other transaction where an adjustment is permitted or required under the
terms 

  

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of the Plan) or amendment, and no such adjustment or amendment shall be made, that reduces or would have the effect of reducing the exercise price of an
Option or Stock Appreciation Right previously granted under the Plan, whether through amendment, cancellation or replacement grants, or other means, unless the Company’s shareholders shall have approved such adjustment or amendment. 

Section 3.    Maximum Number of Shares Subject to Plan.
 3.1 Number of Shares Authorized for Issuance. Subject to any adjustment as provided in the Plan, the Shares to be issued under the Plan may be, in
whole or in part, authorized but unissued Shares or issued Shares which shall have been reacquired by the Company and held by it as treasury shares. The aggregate number of Shares that may be made the subject of Awards or Options granted under the
Plan shall not exceed 3,600,000; provided, however, that in the aggregate, not more than 2,200,000 Shares may be made the subject of Restricted Stock Awards, Stock Units, Performance Awards and Share Awards under the Plan. The number of
Shares that may be the subject of Options and Stock Appreciation Rights granted to an Eligible Individual in any calendar year may not exceed 125,000 Shares. The number of Shares that may be the subject of Performance Shares granted to an Eligible
Individual in any calendar year may not exceed 125,000 Shares. The dollar amount of cash or the Fair Market Value of Shares that any Eligible Individual may receive in any calendar year in respect of Performance Units denominated in dollars may not
exceed $4,000,000. 
 3.2 Calculating Shares Available. 
 (i) Upon the granting of an Award or an Option, the number of Shares available under this Section 3 for the granting of further Awards and Options shall be reduced as follows: 
 (a) In connection with the granting of an Award or an Option (other than the granting of a Performance Unit denominated in dollars or Dividend
Equivalents), the number of Shares available under this Section 3 for the granting of further Options and Awards shall be reduced by the number of Shares in respect of which the Option or Award is granted or denominated; provided,
however, that if any Option is exercised by tendering Shares, either actually or by attestation, to the Company as full or partial payment of the Option Price, the maximum number of Shares available under this Section 3 shall be increased
by the number of Shares so tendered. 
 (b) In connection with the granting of a Performance Unit denominated in dollars, the number of
Shares available under this Section 3 for the granting of further Options and Awards initially shall be reduced by an amount equal to the quotient of (i) the dollar amount in which the Performance Unit is denominated, divided by
(ii) the Fair Market Value of a Share on the date the Performance Unit is granted, with a corresponding adjustment if the Performance Unit is ultimately settled in whole or in part with a different number of Shares. 
 (c) In connection with the granting of a Dividend Equivalent Right, the number of Shares available under this Section 3 shall not be reduced;
provided, however, that if Shares are issued in settlement of a Dividend Equivalent Right, the number of 

  

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Shares available for the granting of further Options and Awards under this Section 3 shall be reduced by the number of Shares so issued. 
 (ii) Whenever any outstanding Option or Award or portion thereof expires, is canceled, is settled in cash (including the settlement of tax withholding
obligations using Shares) or is otherwise terminated for any reason without having been exercised or payment having been made in respect of the entire Option or Award, the Shares allocable to the expired, canceled, settled or otherwise terminated
portion of the Option or Award may again be the subject of Options or Awards granted hereunder. In addition, upon settlement of a Stock Appreciation Right in Shares, the excess of the number of Shares covered by the Stock Appreciation Right over the
number of Shares issued in settlement of the Stock Appreciation Right may again be the subject of Options or Awards granted hereunder. 
 Section
4.    Restricted Stock; Stock Units. 
 4.1 Restricted Stock. The Committee, from time to time, subject to the
terms and provisions of the Plan, may grant to any Eligible Individual an Award of Restricted Stock, which shall be evidenced by an Agreement. Each Agreement shall contain such restrictions, terms and conditions as the Committee may, in its
discretion, determine and (without limiting the generality of the foregoing) such Agreements may require that an appropriate legend be placed on Share certificates. Awards of Restricted Stock shall be subject to the terms and provisions set forth
below in this Section 4.1. 
 (i) Rights of Grantee. Shares of Restricted Stock granted pursuant to an Award hereunder shall be
issued in the name of the Grantee as soon as reasonably practicable after the Award is granted provided that the Grantee has executed an Agreement evidencing the Award, the appropriate blank stock powers and, in the discretion of the Committee, an
escrow agreement and any other documents which the Committee may require as a condition to the issuance of such Shares. At the discretion of the Committee, Shares issued in connection with a Restricted Stock Award shall be deposited together with
the stock powers with an escrow agent (which may be the Company) designated by the Committee. Unless the Committee determines otherwise as set forth in the Agreement, upon delivery of the Shares to the escrow agent, the Grantee shall have all of the
rights of a stockholder with respect to such Shares, including the right to vote the Shares and to receive all dividends or other distributions paid or made with respect to the Shares. 
 (ii) Non-Transferability. Until all restrictions upon the Shares of Restricted Stock awarded to a Grantee shall have lapsed in the manner set forth
in Section 4.1(iii), such Shares shall not be sold, transferred or otherwise disposed of and shall not be pledged or otherwise hypothecated. 
 (iii) Lapse of Restrictions. 
 (a) Generally. Restrictions upon Shares of Restricted Stock awarded hereunder shall
lapse at such time or times and on such terms and conditions as the Committee may determine. The Agreement evidencing the Award shall set forth any such restrictions. 
  

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 (b) Effect of Change in Control. Upon a Change in Control, the restrictions upon Shares of
Restricted Stock shall lapse. 
 (iv) Treatment of Dividends. At the time an Award of Shares of Restricted Stock is granted, the
Committee may, in its discretion, determine that the payment to the Grantee of dividends, or a specified portion thereof, declared or paid on such Shares by the Company shall be (a) deferred until the lapsing of the restrictions imposed upon
such Shares and (b) held by the Company for the account of the Grantee until such time. In the event that dividends are to be deferred, the Committee shall determine whether such dividends are to be reinvested in Shares (which shall be held as
additional Shares of Restricted Stock) or held in cash. If deferred dividends are to be held in cash, there may be credited interest on the amount of the account at such times and at a rate per annum as the Committee, in its discretion, may
determine. Payment of deferred dividends in respect of Shares of Restricted Stock (whether held in cash or as additional Shares of Restricted Stock), together with interest accrued thereon, if any, shall be made upon the lapsing of restrictions
imposed on the Shares in respect of which the deferred dividends were paid, and any dividends deferred (together with any interest accrued thereon) in respect of any Shares of Restricted Stock shall be forfeited upon the forfeiture of such Shares.

 (v) Delivery of Shares. Upon the lapse of the restrictions on Shares of Restricted Stock, the Committee shall cause a stock
certificate or evidence of book entry Shares to be delivered to the Grantee with respect to such Shares of Restricted Stock, free of all restrictions hereunder. 
 4.2 Stock Unit Awards. 
 (i) Grant. The Committee, from time to time, subject to the terms and
provisions of the Plan, may grant to any Eligible Individual an Award of Stock Units, which shall be evidenced by an Agreement. Each Agreement shall contain such restrictions, terms and conditions as the Committee may, in its discretion, determine.

 (ii) Payment of Awards. Each Stock Unit shall represent the right of the Grantee to receive a payment upon vesting of the Stock Unit
or on any later date specified by the Committee equal to the Fair Market Value of a Share as of the date the Stock Unit was granted, the vesting date or such other date as determined by the Committee at the time the Stock Unit was granted. The
Committee may, at the time a Stock Unit is granted, provide a limitation on the amount payable in respect of each Stock Unit. The Committee may provide for the settlement of Stock Units in cash or with Shares having a Fair Market Value equal to the
payment to which the Grantee has become entitled. 
 (iii) Effect of Change in Control. Upon a Change in Control, Stock Units shall
become fully vested. 
 Section 5.    Non-Employee Director Restricted Stock Unit Grants. 
 5.1 Formula Restricted Stock Grants. Beginning in 2006, each Eligible Director shall be granted 2,040 Formula Restricted Stock Units and related
Dividend Equivalent 

  

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Rights under the Plan. Such Formula Restricted Stock Units shall be granted each year on May 1. In the event that an insufficient number of Shares
remains available under the Plan for issuance to all Eligible Directors in a fiscal year, then unless the Plan is amended to provide additional Shares or the Company adopts another stock plan under which the Eligible Directors can participate, the
Eligible Directors shall participate on a pro-rata basis. 
 5.2 Formula Restricted Stock Unit Agreements. All Formula Restricted Stock Units shall be
evidenced by an Agreement, which shall include the following terms and conditions: 
 (i) Grantee and Number of Units. Each
Agreement shall state the name of the Eligible Director to whom the Formula Restricted Stock Units has been granted and shall state the number of Formula Restricted Stock Units and related Dividend Equivalent Rights granted. 
 (ii) Rights of Grantee. Provided that the Eligible Director has executed an Agreement evidencing the Award, the Eligible Director shall receive
Formula Restricted Stock Units representing the right of the Grantee to receive, upon the vesting the Formula Restricted Stock Unit in the manner set forth in Sections 5.2(iv) or (v), an equal number of Shares. 
 (iii) Non-Transferability. Until the Formula Restricted Stock Units awarded to the Grantee shall have vested in the manner set forth in Sections
5.2(iv) or (v), such Formula Restricted Stock Units shall not be sold, transferred or otherwise disposed of and shall not be pledged or otherwise hypothecated. 
 (iv) Vesting.
 (a) General. Twenty-five (25%) percent of the Formula Restricted Stock
Units shall vest on each of the first four anniversaries of the grant date of such Formula Restricted Stock Units. Otherwise, each Grantee shall have the rights with respect to such Formula Restricted Stock Units as specified in the Plan.

 (b) Effect of Change in Control. Upon a Change in Control which also constitutes a change in ownership or effective control of the
Company or a change in the ownership of a substantial portion of its assets, in each case within the meaning of Section 409A of the Code, the Formula Restricted Stock Units shall vest.  
 (v) Termination of Services by Grantee. Except as otherwise set forth in this Section 5.2(v), upon the termination of a Grantee’s
services as a director, for any reason whatsoever, the unvested Formula Restricted Stock Units shall be forfeited as of the date of such termination. In the event a Grantee’s services as a director of the Company is terminated by reason of the
Grantee’s death, the Grantee becoming Disabled, or by reason of the Grantee’s Retirement, then any unvested Formula Restricted Stock Units shall become immediately vested as of the date of such termination. 
  

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 Section 6.    Option Grants to Eligible Individuals. 
 6.1 Selection of Optionees. The Committee, from time to time, subject to the terms and provisions of the Plan, may grant Options to any
Eligible Individual. In determining the persons to whom Options shall be granted and the number of Shares to be covered by each Option, the Committee may take into account the nature of the services rendered by such persons, their present and
potential contribution to the success and growth of the Company and its Subsidiaries, and such other factors as the Committee, in its discretion, shall deem relevant. Any Eligible Individual who has been granted an Option under a prior stock option
plan of the Company may be granted an additional Option or Options under the Plan if the Committee shall so determine. 
 6.2 Option
Requirements. The Options granted pursuant to this Section 6 shall be authorized by the Committee and shall be evidenced by an Agreement, which Agreement shall include the following terms and conditions: 
 (i) Optionee. Each Agreement shall state the name of the Optionee to whom the Option has been granted. 
 (ii) Number of Shares. Each Agreement shall state the number of Shares to which that Option pertains. 
 (iii) Purchase Price. Each Agreement shall state the Option Price, which shall be not less than one hundred percent (100%) of the Fair
Market Value of the Shares covered by such Option on the date of grant of such Option. 
 (iv) Length of Option. Each Option
granted pursuant to this Section 6 shall be granted for a period to be determined by the Committee but in no event to exceed more than ten (10) years. However, each Option shall be exercisable only during such portion of its term as the
Committee shall determine and, subject to Section 11, only if the Optionee is employed by the Company or a Subsidiary at the time of such exercise. The Committee may, subsequent to the granting of any Option, extend the term thereof, but in no
event shall the term as so extended exceed the maximum term provided for in the first sentence on this Section 6.2(iv). 
 (v)
Exercise of Option. Each Optionee shall have the right to exercise his or her Option at the time or times and in the manner specified in the Plan or in the Agreement evidencing such Option. The Committee may accelerate the
exercisability of any Option granted to an Eligible Individual or any portion thereof at any time. 
 6.3 Types of Stock Options. The
Options granted under the Plan may be Nonqualified Stock Options or Incentive Stock Options. Incentive Stock Options may be granted only to Eligible Individuals who are employees of the Company or its “parent corporation” or a
“subsidiary corporation” (as such terms are defined in Section 424 of the Code). Notwithstanding anything to the contrary contained in this Section 6, no Incentive Stock Option shall be granted to an individual owning stock
possessing more than ten percent (10%) of the total combined voting power of the Company, or its parent corporation or subsidiary 

  

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corporations unless (i) the Option Price at the time such Option is granted is equal to at least one hundred ten percent (110%) of the Fair Market
Value of the Shares subject to the Option, and (ii) such Option by its terms is not exercisable after the expiration of five (5) years from the date such Option is granted. Further, the aggregate Fair Market Value (determined at the time
the Option is granted) of the Shares with respect to which Incentive Stock Options are exercisable for the first time by the Optionee during any calendar year (under all such plans of the Company and its Subsidiaries) shall not exceed one hundred
thousand dollars ($100,000.00). 
 6.4 Method of Exercise of Options. Each Option shall be exercised pursuant to the terms of
such Option as set forth in the applicable Agreement and pursuant to the terms of the Plan by giving notice to the Company at its principal place of business or other address designated by the Company, accompanied by cash, certified check, delivery
of Shares (valued at their Fair Market Value) or, in the case of Options other than Formula Options, other property acceptable to the Committee, in payment of the Option Price for the number of Shares specified. From time to time the Committee may
establish procedures relating to effecting such exercises, including procedures for cashless exercises through a registered broker-dealer. No fractional Shares (or cash in lieu thereof) shall be issued as a result of exercising an Option. The
Company shall make delivery of such Shares as soon as possible; provided, however, that if any law or regulation or securities exchange rule requires the Company to take action with respect to the Shares specified in such notice before
issuance thereof, the date of delivery of such Shares shall then be extended for the period necessary to take such action. 
 6.5
Non-Transferability of Options. Except to the extent that, pursuant to the terms of the Plan or an Agreement, an Optionee’s legal representative or estate is permitted to exercise an Option, an Option is exercisable during an
Optionee’s lifetime only by the Optionee. The Options shall not be transferable except by will or the laws of descent and distribution. 
 6.6 Change in Control. In the event of a Change in Control, all Options outstanding on the date of such Change in Control shall become immediately and fully exercisable. 
 6.7 Buy Out of Option Gains. At any time after any Option becomes exercisable, the Committee shall have the right to elect, in its sole
discretion and without the consent of the holder thereof, to cancel such Option and pay to the Optionee the excess of the Fair Market Value of the Shares covered by such Option over the Option Price of such Option at the date the Committee provides
written notice (the “Buy Out Notice”) of the intention to exercise such right. Buy outs pursuant to this provision shall be effected by the Company as promptly as possible after the date of the Buy Out Notice. Payments of buy out
amounts may be made in cash, in Shares, or partly in cash and partly in Shares, as the Committee deems advisable. To the extent payment is made in Shares, the number of shares shall be determined by dividing the amount of the payment to be made by
the Fair Market Value of a Share at the date of the Buy Out Notice. In no event shall the Company be required to deliver a fractional Common Share in satisfaction of this buy out provision. 
  

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 Section 7.    Stock Appreciation Rights. 
 7.1 Grant. The Committee, from time to time, subject to the terms and provisions of the Plan, may, either alone or in connection with the grant of
an Option, grant to any Eligible Individual Stock Appreciation Rights in accordance with the Plan, the terms and conditions of which shall be set forth in an Agreement. A Stock Appreciation Right may be granted (a) at any time if unrelated to
an Option, or (b) if related to an Option, either at the time of grant or at any time thereafter during the term of the Option. 
 7.2
Stock Appreciation Right Related to an Option. If granted in connection with an Option, a Stock Appreciation Right shall cover the same Shares covered by the Option (or such lesser number of Shares as the Committee may determine) and shall,
except as provided in this Section 7, be subject to the same terms and conditions as the related Option. 
 (i) Exercise. A Stock
Appreciation Right granted in connection with an Option shall be exercisable at such time or times and only to the extent that the related Options are exercisable, and will not be transferable except to the extent the related Option may be
transferable. A Stock Appreciation Right granted in connection with an Incentive Stock Option shall be exercisable only if the Fair Market Value of a Share on the date of exercise exceeds the exercise price specified in the related Incentive Stock
Option Agreement. 
 (ii) Amount Payable. Upon the exercise of a Stock Appreciation Right related to an Option, the Grantee shall be
entitled to receive an amount determined by multiplying (i) the excess of the Fair Market Value of a Share on the last trading date immediately preceding the date of exercise of such Stock Appreciation Right over the Option Price under the
related Option, by (ii) the number of Shares as to which such Stock Appreciation Right is being exercised. Notwithstanding the foregoing, the Committee may limit in any manner the amount payable with respect to any Stock Appreciation Right by
including such a limit in the Agreement evidencing the Stock Appreciation Right at the time it is granted. 
 (iii) Treatment of Related
Options and Stock Appreciation Rights Upon Exercise. Upon the exercise of a Stock Appreciation Right granted in connection with an Option, the Option shall be canceled to the extent of the number of Shares as to which the Stock Appreciation
Right is exercised, and upon the exercise of an Option granted in connection with a Stock Appreciation Right, the Stock Appreciation Right shall be canceled to the extent of the number of Shares as to which the Option is exercised or surrendered.

 7.3 Stock Appreciation Right Unrelated to an Option. A Stock Appreciation Right unrelated to an Option shall cover such number of
Shares as the Committee shall determine. 
 (i) Terms; Duration. Stock Appreciation Rights unrelated to Options shall contain such
terms and conditions as to exercisability, vesting and duration as the Committee shall determine, but in no event shall they have a term of greater than ten (10) years. However, each Stock Appreciation Right shall be exercisable only during
such portion of its term as the Committee shall determine and, subject to Section 11, only if the Grantee is employed by the Company or a Subsidiary at the time of such exercise. 
  

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 (ii) Amount Payable. Upon exercise of a Stock Appreciation Right unrelated to an Option, the
Grantee shall be entitled to receive an amount determined by multiplying (a) the excess of the Fair Market Value of a Share on the date preceding the date of exercise of such Stock Appreciation Right over the Fair Market Value of a Share on the
date the Stock Appreciation Right was granted, by (b) the number of Shares as to which the Stock Appreciation Right is being exercised. Notwithstanding the foregoing, the Committee may limit in any manner the amount payable with respect to any
Stock Appreciation Right by including such a limit in the Agreement evidencing the Stock Appreciation Right at the time it is granted. 
 (iii) Non-Transferability. No Stock Appreciation Right unrelated to an Option shall be transferable by the Grantee otherwise than by will or the laws of descent and distribution, and such Stock Appreciation Right shall be exercisable
during the lifetime of such Grantee only by the Grantee or his or her guardian or legal representative. 
 7.4 Method of Exercise.
Stock Appreciation Rights shall be exercised by a Grantee only by giving written notice to the Company at its principal place of business or other address designated by the Company, specifying the number of Shares with respect to which the Stock
Appreciation Right is being exercised. If requested by the Committee, the Grantee shall deliver the Agreement evidencing the Stock Appreciation Right being exercised and the Agreement evidencing any related Option to the Company, which shall endorse
thereon a notation of such exercise and return such Agreement to the Grantee. 
 7.5 Form of Payment. Payment of the amount determined
under Section 7.2(ii) or 7.3(ii) may be made in the discretion of the Committee solely in whole Shares in a number determined at their Fair Market Value on the date preceding the date of exercise of the Stock Appreciation Right, or solely in
cash, or in a combination of cash and Shares. If the Committee decides to make full payment in Shares and the amount payable results in a fractional Share, payment for the fractional Share will be made in cash. 
 7.6 Effect of Change in Control. In the event of a Change in Control, all Stock Appreciation Rights shall become immediately and fully
exercisable. 
 Section 8.    Dividend Equivalent Rights. The Committee, from time to time, subject to the terms and
provisions of the Plan, may grant Dividend Equivalent Rights to any Eligible Individual in tandem with an Option or Award or as a separate Award. The terms and conditions applicable to each Dividend Equivalent Right shall be specified in the
Agreement under which the Dividend Equivalent Right is granted. Amounts payable in respect of Dividend Equivalent Rights may be payable currently or, if applicable, deferred until the lapsing of restrictions on such Dividend Equivalent Rights or
until the vesting, exercise, payment, settlement or other lapse of restrictions on the Option or Award to which the Dividend Equivalent Rights relate. In the event that the amounts payable in respect of Dividend Equivalent Rights are to be deferred,
the Committee shall determine whether such amounts are to be held in cash or reinvested in Shares or deemed (notionally) to be reinvested in Shares. If amounts payable in respect of Dividend Equivalent Rights are to be held in cash, there may be
credited at the end of each year (or portion thereof) interest on the amount of the account at the beginning of the year at a rate per annum as the Committee, in its discretion, may determine. Dividend Equivalent Rights may be settled in cash or
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installments, as determined by the Committee. 
 Section
9.    Performance Awards. 
 9.1 Performance Units. The Committee, from time to time, subject to the terms and
provisions of the Plan, may grant to any Eligible Individual an Award of Performance Units, the terms and conditions of which shall be set forth in an Agreement. Performance Units may be denominated in Shares or a specified dollar amount and,
contingent upon the attainment of specified Performance Objectives within the Performance Cycle, each Unit represents the right to receive payment as provided in Sections 9.1(i) and (ii) of (a) in the case of Share-denominated Performance
Units, the Fair Market Value of a Share on the date the Performance Unit was granted, the date the Performance Unit became earned, the date the Performance Unit became vested or any other date specified by the Committee, (b) in the case of
dollar-denominated Performance Units, the specified dollar amount or (c) a percentage (which may be more than 100%) of the amount described in clause (a) or (b) depending on the level of Performance Objective attainment; provided,
however, that, the Committee may at the time a Performance Unit is granted specify a maximum amount payable in respect of a vested Performance Unit. Each Agreement shall specify the number of Performance Units to which it relates, the
Performance Objectives which must be satisfied in order for the Performance Units to be earned and the Performance Cycle within which such Performance Objectives must be satisfied. 
 (i) Vesting and Forfeiture. Subject to Sections 9.3(iii) and 9.4, a Grantee shall earn Performance Units to the extent that the Performance
Objectives set forth in the Agreement are satisfied for the Performance Cycle. Subject to Sections 9.3(iii) and 9.4, a Grantee shall become vested with respect to the Performance Units when such units are earned or at such later time as may be
specified in the Award Agreement. 
 (ii) Payment of Awards. Subject to Section 9.3(iii) and 9.4, payment to Grantees in respect
of vested Performance Units shall be made as soon as practicable after the later of the last day of the Performance Cycle to which such Award relates and the date of vesting. Subject to Section 9.4, such payments may be made entirely in Shares
valued at their Fair Market Value, entirely in cash, or in such combination of Shares and cash as the Committee in its discretion shall determine at any time prior to such payment; provided, however, that if the Committee in its discretion
determines to make such payment entirely or partially in Shares of Restricted Stock, the Committee must determine the extent to which such payment will be in Shares of Restricted Stock and the terms of such Restricted Stock at the time the Award is
granted. 
 9.2 Performance Shares. The Committee, from time to time, subject to the terms and provisions of the Plan, may grant to
any Eligible Individual an Award of Performance Shares, the terms and conditions of which shall be set forth in an Agreement. Each Agreement may require that an appropriate legend be placed on Share certificates. Awards of Performance Shares shall
be subject to the following terms and provisions: 
 (i) Rights of Grantee. Performance Shares shall be issued in the name of the
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as the Committee may determine, provided that the Grantee has executed an Agreement evidencing the Award, the appropriate blank stock powers and, in
the discretion of the Committee, an escrow agreement and any other documents which the Committee may require as a condition to the issuance of such Performance Shares. If a Grantee shall fail to execute the Agreement evidencing an Award of
Performance Shares, the appropriate blank stock powers and, in the discretion of the Committee, an escrow agreement and any other documents which the Committee may require within the time period prescribed by the Committee at the time the Award is
granted, the Award shall be null and void. At the discretion of the Committee, Shares issued in connection with an Award of Performance Shares shall be deposited together with the stock powers with an escrow agent (which may be the Company)
designated by the Committee. Unless the Committee determines otherwise as set forth in the Agreement, upon delivery of the Shares to the escrow agent, the Grantee shall have all of the rights of a stockholder with respect to such Shares, including
the right to vote the Shares and to receive all dividends or other distributions paid or made with respect to the Shares. 
 (ii)
Non-Transferability. Until any restrictions upon the Performance Shares awarded to a Grantee shall have lapsed in the manner set forth in Section 9.2(iii) or 9.4, such Performance Shares shall not be sold, transferred or otherwise
disposed of and shall not be pledged or otherwise hypothecated. 
 (iii) Lapse of Restrictions. Subject to Sections 9.3(iii) and 9.4,
restrictions upon Performance Shares awarded hereunder shall lapse and such Performance Shares shall become vested at such time or times and on such terms, conditions and satisfaction of Performance Objectives as the Committee may, in its
discretion, determine at the time an Award is granted. Performance Shares with respect to which Performance Objectives have been attained may also be subject to additional vesting conditions based on continued service or such other conditions as may
be established by the Committee at the time the Award is granted. 
 (iv) Treatment of Dividends. At the time the Award of
Performance Shares is granted, the Committee may, in its discretion, determine that the payment to the Grantee of dividends, or a specified portion thereof, declared or paid on Shares represented by such Award which have been issued by the Company
to the Grantee shall be (i) deferred until the lapsing of the restrictions imposed upon such Performance Shares and (ii) held by the Company for the account of the Grantee until such time. In the event that dividends are to be deferred,
the Committee shall determine whether such dividends are to be reinvested in Shares (which shall be held as additional Performance Shares) or held in cash. If deferred dividends are to be held in cash, there may be credited interest on the amount of
the account at such times and at a rate per annum as the Committee, in its discretion, may determine. Payment of deferred dividends in respect of Performance Shares (whether held in cash or in additional Performance Shares), together with interest
accrued thereon, if any, shall be made upon the lapsing of restrictions imposed on the Performance Shares in respect of which the deferred dividends were paid, and any dividends deferred (together with any interest accrued thereon) in respect of any
Performance Shares shall be forfeited upon the forfeiture of such Performance Shares. 
 (v) Delivery of Shares. Upon the
lapse of the restrictions on Performance Shares awarded hereunder, the Committee shall cause a stock certificate or 

  

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evidence of book entry Shares to be delivered to the Grantee with respect to such Performance Shares, free of all restrictions hereunder. 
 9.3 Performance Objectives 
 (i)
Establishment. Performance Objectives for Performance Awards may be expressed in terms of earnings per share, earnings (which may be expressed as earnings before specified items), return on assets, return on invested capital, revenue,
operating income, cash flow, total shareholder return or any combination thereof. Performance Objectives may be in respect of the performance of the Company, any of its Subsidiaries, any of its Operating Units or any combination thereof. Performance
Objectives may be absolute or relative (to prior performance of the Company or to the performance of one or more other entities or external indices) and may be expressed in terms of a progression within a specified range. The Performance Objectives
with respect to a Performance Cycle shall be established in writing by the Committee by the earlier of (x) the date on which a quarter of the Performance Cycle has elapsed or (y) the date which is ninety (90) days after the
commencement of the Performance Cycle, and in any event while the performance relating to the Performance Objectives remain substantially uncertain. 
 (ii) Effect of Certain Events. At the time of the granting of a Performance Award, or at any time thereafter, in either case to the extent permitted under Section 162(m) of the Code and the regulations thereunder without
adversely affecting the treatment of the Performance Award as Performance-Based Compensation, the Committee may provide for the manner in which performance will be measured against the Performance Objectives (or may adjust the Performance
Objectives) to reflect the impact of specified corporate transactions (such as a stock split or stock dividend), special charges, accounting or tax law changes and other extraordinary or nonrecurring events. 
 (iii) Determination of Performance. Prior to the vesting, payment, settlement or lapsing of any restrictions with respect to any Performance Award
that is intended to constitute Performance-Based Compensation made to a Grantee who is subject to Section 162(m) of the Code, the Committee shall certify in writing that the applicable Performance Objectives have been satisfied to the extent
necessary for such Award to qualify as Performance-Based Compensation. The Committee shall not be entitled to exercise any discretion otherwise authorized hereunder with respect to such Options or Awards if the ability to exercise such discretion or
the exercise of such discretion itself would cause the compensation attributable to such Options or Awards to fail to qualify as Performance-Based Compensation. 
 9.4 Effect of Change in Control. Unless the Committee determines otherwise at the time of grant of a Performance Award, in the event of a Change in Control: 
 (i) With respect to Performance Units, the Grantee shall (i) become vested in all outstanding Performance Units as if all Performance Objectives had
been satisfied at the highest level by the Company and the Grantee and (ii) be entitled to receive in respect of all Performance Units which become vested as a result of a Change in Control a cash payment within ten (10) days after such
Change in Control. 
  

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 (ii) With respect to Performance Shares, all restrictions shall lapse immediately on all outstanding
Performance Shares as if all Performance Objectives had been satisfied at the highest level by the Company and the Grantee. 
 9.5
Non-Transferability. Until the vesting of Performance Units or the lapsing of any restrictions on Performance Shares, as the case may be, such Performance Units or Performance Shares shall not be sold, transferred or otherwise disposed of and
shall not be pledged or otherwise hypothecated. 
 Section 10.    Share Awards. The Committee, from time to time, subject to the
terms and provisions of the Plan, may grant to any Eligible Individual a Share Award on such terms and conditions as the Committee may determine in its sole discretion. Share Awards may be made as additional compensation for services rendered by the
Eligible Individual or may be in lieu of cash or other compensation to which the Eligible Individual is entitled from the Company. 
 Section
11.    Effect of a Termination of Employment on Options and Awards. 
 11.1 Earlier Termination of
Employment. Upon the termination of an Optionee’s or Grantee’s employment with the Company and its Subsidiaries, for any reason whatsoever, except as otherwise set forth in this Section 11, in an Agreement or, with the
consent of such individual, as determined by the Committee at any time prior to or after such termination, Options and Awards granted to such individual will be treated as follows: 
 (i) Any Options and Stock Appreciation Rights will terminate as to all Shares covered by such Options or Stock Appreciation Rights that have not been
exercised as of the date of such termination. 
 (ii) Any unvested portion of any Restricted Stock or Stock Units will be immediately
forfeited. 
 (iii) Any Performance Shares or Performance Units will terminate. 
 (iv) Any other Awards to the extent not vested will terminate. 
 11.2 Upon Death or Disability. Except as otherwise provided in an Agreement, in the event an Optionee’s or Grantee’s employment is terminated with the Company and its Subsidiaries as a result of
such individual’s death or such individual becoming Disabled, Options and Awards granted to such individual will be treated as follows: 
 (i) Any Options or Stock Appreciation Rights shall become immediately exercisable as of the date of such termination of employment, and the Optionee or Grantee, or in the event the Optionee or Grantee is incapacitated and unable to exercise
the rights granted hereunder, the individual’s legal guardian or legal representative, or in the event the Optionee or Grantee dies, the estate of the deceased individual, shall have the right to exercise any rights the Optionee or Grantee
would otherwise have had under the Plan for a period of one year after the date of such termination (but in no event beyond the maximum term of the Option or Stock Appreciation Right). 
  

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 (ii) Any unvested portion of any Restricted Stock or Stock Units will become immediately vested.

 (iii) Any Performance Shares or Performance Units will remain outstanding and the Grantee or the Grantee’s estate will be entitled to
a pro-rata portion of the payment otherwise payable in respect of the Award (based on the number of full weeks the Grantee was employed by the Company or a Subsidiary during the applicable Performance Cycle over the total number of weeks in such
Performance Cycle), which will be paid on the date the Award would have been paid if the Grantee had remained employed with the Company or a Subsidiary. 
 11.3 Upon Retirement. Except as otherwise provided in an Agreement, in the event an Optionee’s or Grantee’s employment with the Company and its Subsidiaries is terminated by reason of such
individual’s Retirement, Options and Awards granted to such individual will be treated as follows: 
 (i) With respect to any Options and
Stock Appreciation Rights, for a period of 48 months following the date of such Retirement (but in no event beyond the maximum term of the Option or Stock Appreciation Right), the Options or Stock Appreciation Rights shall remain outstanding
and (i) to the extent not then fully vested, will continue to vest in accordance with the applicable vesting schedule, and (ii) the Optionee or Grantee shall have the right to exercise any rights the individual would otherwise have had
under the Plan. Notwithstanding the foregoing, in the event that an Optionee does not exercise an Incentive Stock Option prior to the expiration of the three-month period after the date of the Optionee’s Retirement, such Option shall be treated
as a Nonqualified Stock Option upon exercise. 
 (ii) Any unvested portion of any Restricted Stock or Stock Units will become immediately
vested. 
 (iii) Any Performance Shares or Performance Units will remain outstanding and the Grantee will be entitled to a pro-rata portion of
the payment otherwise payable in respect of the Award (based on the number of full weeks the Grantee was employed by the Company or a Subsidiary during the applicable Performance Cycle over the total number of weeks in such Performance Cycle), which
will be paid on the date the Award would have been paid if the Grantee had remained employed with the Company or a Subsidiary. 
 11.4
Upon Termination of Employment in Connection with Certain Dispositions. Except as otherwise provided in an Agreement, in the event an Optionee’s or Grantee’s employment with the Company and its Subsidiaries is terminated
without Cause in connection with a disposition of one or more restaurants or other assets by the Company or its Subsidiaries, or in connection with a sale or other disposition of a Subsidiary, the Options and Awards granted to such individual will
be treated as follows: 
 (i) With respect to Options and Stock Appreciation Rights, such Award will remain outstanding and (i) to the
extent not then fully vested, will continue to vest in accordance with the applicable vesting schedule, and (ii) the Optionee or Grantee will have the right to exercise any rights the individual would otherwise have had under the Plan for a
period 

  

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of one year following the date of such termination of employment (but in no event beyond the maximum term of the Option or Stock Appreciation Right).

 (ii) Any unvested portion of any Restricted Stock or Stock Units will become immediately vested. 
 (iii) Any Performance Shares or Performance Units will remain outstanding and the Grantee will be entitled to a pro-rata portion of the payment otherwise
payable in respect of the Award (based on number of full weeks the Grantee was employed by the Company or a Subsidiary during the applicable Performance Cycle over the total number of weeks in such Performance Cycle), which will be paid on the date
the Award would have been paid if the Grantee had remained employed with the Company or a Subsidiary. 
 Section 12.    Effect of
Change in Common Shares Subject to the Plan.
 12.1 In the event of a Change in Capitalization, the Committee shall conclusively
determine the appropriate adjustments, if any, to (i) the maximum number and class of Shares or other stock or securities with respect to which Options or Awards may be granted under the Plan, (ii) the maximum number and class of Shares or
other stock or securities with respect to which Options or Awards may be granted to any Eligible Individual in any calendar year, (iii) the number and class of Shares or other stock or securities which are subject to outstanding Options or
Awards granted under the Plan and the exercise price therefor, if applicable, (iv) the number and class of Shares or other securities in respect of which Formula Options are to be granted under Section 5 and (v) the Performance
Objectives. 
 12.2 Any such adjustment in the Shares or other stock or securities (i) subject to outstanding Incentive Stock Options
(including any adjustments in the exercise price) shall be made in such manner as not to constitute a modification as defined by Section 424(h)(3) of the Code and only to the extent otherwise permitted by Sections 422 and 424 of the Code or
(ii) subject to outstanding Options or Awards that are intended to qualify as Performance-Based Compensation shall be made in such a manner as not to adversely affect the treatment of the Options or Awards as Performance-Based Compensation.

 12.3 If, by reason of a Change in Capitalization, a Grantee of an Award shall be entitled to, or an Optionee shall be entitled to exercise
an Option with respect to, new, additional or different shares of stock or securities of the Company or any other corporation, such new, additional or different shares shall thereupon be subject to all of the conditions, restrictions and performance
criteria which were applicable to the Shares subject to the Award or Option, as the case may be, prior to such Change in Capitalization. 
 Section
13.    Effect of Certain Transactions. Subject to Sections 4.1(iii)(b), 4.2(iii), 6.6, 7.6 and 9.4 or as otherwise provided in an Agreement, following (a) the liquidation or dissolution of the Company or (b) a
merger or consolidation of the Company (a “Transaction”), either (i) each outstanding Option or Award shall be treated as provided for in the agreement entered into in connection with the Transaction or (ii) if not so
provided in such agreement, each Optionee and Grantee shall be entitled to receive in respect of each Share subject to any outstanding Options or Awards, as the case may be, upon exercise of any Option or payment or 

  

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transfer in respect of any Award, the same number and kind of stock, securities, cash, property or other consideration that each holder of a Share was
entitled to receive in the Transaction in respect of a Share; provided, however, that such stock, securities, cash, property, or other consideration shall remain subject to all of the conditions, restrictions and performance criteria which
were applicable to the Options and Awards prior to such Transaction. The treatment of any Option or Award as provided in this Section 13 shall be conclusively presumed to be appropriate for purposes of Section 12. 
 Section 14.    Listing and Registration of Common Shares. If at any time the Board shall determine that listing, registration or
qualification of the Shares covered by an Option or Award upon any securities exchange or under any state or federal law or the consent or the approval of any governmental regulatory body is necessary or desirable as a condition of or in connection
with the purchase of Shares under the Option, the Option may not be exercised in whole or in part, and Shares shall not be delivered in connection with any other Award, unless and until such listing, registration, qualification, consent or approval
shall have been effected or obtained free of any conditions not acceptable to the Board. Any person exercising an Option or receiving Shares in connection with any other Award shall make such representations and agreements and furnish such
information as the Board or the Committee may request to assure compliance with the foregoing or any other applicable legal requirements. 
 Section
15.    Misconduct. In the event that an Optionee or Grantee has (i) used for profit or disclosed to unauthorized persons, confidential information or trade secrets of the Company or its Subsidiaries, or
(ii) breached any contract with or violated any fiduciary obligation to the Company or its Subsidiaries, or (iii) engaged in unlawful trading in the securities of the Company or its Subsidiaries or of another company based on information
gained as a result of that Optionee’s or Grantee’s employment with, or status as a director to, the Company or its Subsidiaries, then that Optionee or Grantee shall forfeit all rights under any outstanding Option or Award granted under the
Plan and all of that Optionee’s or Grantee’s outstanding Options or Awards shall automatically terminate, unless the Committee shall determine otherwise. 
 Section 16.    Payment Following Death or Incapacity. In the event any amounts or Shares become payable or issuable pursuant to an Award or Option after the Grantee or Optionee dies or becomes incapacitated, such
amounts or Shares shall be paid or issued, in the case of death, to the decedent’s estate or, in the case of incapacity, to the Grantee’s or Optionee’s legal guardian or legal representative. 
 Section 17.    Foreign Employees. Without amending the Plan, the Committee may grant Options or Awards to Eligible Individuals who are
foreign nationals on such terms and conditions different from those specified in the Plan as may in the judgment of the Committee be necessary or desirable to foster and promote achievement of the purposes of the Plan, and, in furtherance of such
purposes, the Committee may make such modifications, amendments, procedures, and the like as may be necessary or advisable to comply with provisions of laws of other countries in which the Company or its Subsidiaries operate or have employees.

 Section 18.    Deferral of Payments or Vesting. Notwithstanding anything to the contrary contained herein, the Committee may
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in Shares or the payment of cash in respect of an Option or Award granted under the Plan. The terms and conditions of any such deferral shall be set forth in
the Agreement evidencing such Option or Award. 
 Section 19.    No Rights to Options, Awards or Employment. No individual
shall have any claim or right to be granted an Option or Award under the Plan. Having received an Option or Award under the Plan shall not give an individual any right to receive any other grant under the Plan. No Optionee or Grantee shall have any
rights to or interest in any Option or Award except as set forth herein. Neither the Plan nor any action taken herein shall be construed as giving any individual any right to be retained in the employ of the Company or its Subsidiaries, or as a
member of the Board. 
 Section 20.    Multiple Agreements. The terms of each Option or Award may differ from other Options or
Awards granted under the Plan at the same time, or at some other time. The Committee may also grant more than one Option or Award to a given Eligible Individual during the term of the Plan, either in addition to, or in substitution for, one or more
Options or Awards previously granted to that Eligible Individual. 
 Section 21.    Withholding of Taxes. 
 21.1 At such times as an Optionee or Grantee recognizes taxable income in connection with the receipt of Shares or cash hereunder (a “Taxable
Event”), the Optionee or Grantee shall pay to the Company an amount equal to the federal, state and local income taxes and other amounts as may be required by law to be withheld by the Company in connection with the Taxable Event (the
“Withholding Taxes”) prior to the issuance, or release from escrow, of such Shares or the payment of such cash. The Company shall have the right to deduct from any payment of cash to an Optionee or Grantee an amount equal to the
Withholding Taxes in satisfaction of the obligation to pay Withholding Taxes. In satisfaction of the obligation to pay Withholding Taxes to the Company, an Optionee or Grantee may elect to have withheld a portion of the Shares then issuable to him
or her having an aggregate Fair Market Value equal to the Withholding Taxes. 
 21.2 If an Optionee makes a disposition, within the meaning
of Section 424(c) of the Code and regulations promulgated thereunder, of any Share or Shares issued to such Optionee pursuant to the exercise of an Incentive Stock Option within the two-year period commencing on the day after the date of the
grant or within the one-year period commencing on the day after the date of transfer of such Share or Shares to the Optionee pursuant to such exercise, the Optionee shall, within ten (10) days of such disposition, notify the Company thereof, by
delivery of written notice to the Company at its principal executive office. 
 Section 22.    Amendment or Termination;
Duration. The Board may amend or terminate the Plan at any time, provided that the Board shall not make any change in the Options or Awards that will impair the rights of the Optionee or Grantee therein, without the consent of the Optionee
or Grantee. 
 Section 23.    Other Actions. The Plan shall not restrict the authority of the Committee, the Board or of the
Company or its Subsidiaries for proper corporate purposes to grant or assume 

  

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stock options, other than under the Plan, to or with respect to any employee, director or other person. The adoption of the Plan by the Board shall not be
construed as amending, modifying or rescinding any previously approved incentive arrangement or as creating any limitations on the power of the Board to adopt such other incentive arrangements as it may deem desirable, including, without limitation,
the granting of stock options otherwise than under the Plan, and such arrangements may be either applicable generally or only in specific cases. 
 Section 24.    Costs and Expenses. Except as provided in Section 19 hereof with respect to taxes, the costs and expenses of administering the Plan shall be borne by the Company, and shall not be charged
to any grant nor to any Employee receiving a grant. 
 Section 25.    Plan Unfunded. The Plan shall be unfunded. Except for
reserving a sufficient number of authorized Shares to the extent required by law to meet the requirements of the Plan, the Company shall not be required to establish any special or separate fund or to make any other segregation of assets to assure
payment of any grant under the Plan. 
 Section 26.    Laws Governing Plan. The Plan shall be construed under and governed by
the laws of the State of Ohio. 
 Section 27.    Captions. The captions to the several sections hereof are not a part of the
Plan, but are merely guides or labels to assist in locating and reading the several sections hereof. 
 Section 28.    Effective
Date. The effective date of the Plan shall be as determined by the Board, subject only to the approval of the Plan by the affirmative vote of the holders of a majority of the Company’s securities that are voted on the issue of the approval
of the Plan at a meeting of stockholders duly held in accordance with the applicable laws of the State of Ohio. 
 Section
29.    Definitions. Unless the context clearly indicates otherwise, the following terms, when used in the Plan, shall have the respective meanings set forth below: 
 29.1 “Agreement” means the written agreement between the Company and an Optionee or Grantee evidencing the grant of an Option or Award
and setting forth the terms and conditions thereof. 
 29.2 “Award” means a grant of Restricted Stock, a Stock Unit, a Stock
Appreciation Right, a Performance Award, a Dividend Equivalent Right, a Share Award or any or all of them. 
 29.3 “Board”
means the Board of Directors of the Company. 
 29.4 “Cause” means: 
 (i) in the case of an Eligible Director, the commission of an act of fraud or intentional misrepresentation or an act of embezzlement, misappropriation or
conversion of assets or opportunities of the Company or any of its Subsidiaries; and 
  

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 (ii) in the case of an Optionee or Grantee whose employment with the Company or a Subsidiary is subject
to the terms of an employment agreement between such Optionee or Grantee and the Company or Subsidiary, which employment agreement includes a definition of “Cause,” the term “Cause” as used in the Plan or any Agreement shall have
the meaning set forth in such employment agreement during the period that such employment agreement remains in effect following a Change in Control; and 
 (iii) in all other cases, (a) intentional failure to perform reasonably assigned duties, (b) dishonesty or willful misconduct in the performance of duties, (c) intentional violation of Company or
applicable Subsidiary policy, (d) involvement in a transaction in connection with the performance of duties to the Company or any of its Subsidiaries which transaction is adverse to the interests of the Company or any of its Subsidiaries and
which is engaged in for personal profit or (e) willful violation of any law, rule or regulation in connection with the performance of duties (other than traffic violations or similar offenses); provided, however, that following a Change
in Control clause (a) of this Section 29.4(iii) shall not constitute “Cause.” 
 29.5 “Change in
Capitalization” means any increase or reduction in the number of Shares, or any change (including, but not limited to, in the case of a spin-off, dividend or other distribution in respect of Shares, a change in value) in the Shares or
exchange of Shares for a different number or kind of shares or other securities of the Company or another corporation, by reason of a reclassification, recapitalization, merger, consolidation, reorganization, spin-off, split-up, issuance of warrants
or rights or debentures, stock dividend, stock split or reverse stock split, cash dividend, property dividend, combination or exchange of shares, repurchase of shares, change in corporate structure or otherwise. 
 29.6 “Change in Control” shall mean the occurrence of: 
 (A) An acquisition (other than directly from the Company) of any common stock or other voting securities of the Company entitled to vote generally for the election of directors (the “Voting
Securities”) by any “Person” (as the term person is used for purposes of Section 13(d) or 14(d) of the Exchange Act, immediately after which such Person has “Beneficial Ownership” (within the meaning
of Rule 13d-3 promulgated under the Exchange Act) of thirty percent (30%) or more of the then outstanding shares of the Company’s common stock or the combined voting power of the Company’s then outstanding Voting Securities;
provided, however, in determining whether a Change in Control has occurred, Voting Securities which are acquired in a “Non-Control Acquisition” (as hereinafter defined) shall not constitute an acquisition which would cause a Change
in Control. A “Non-Control Acquisition” shall mean an acquisition by (i) an employee benefit plan (or a trust forming a part thereof) maintained by (A) the Company or (B) any corporation or other Person of which a
majority of its voting power or its voting equity securities or equity interest is owned, directly or indirectly, by the Company (for purposes of this definition, as “Subsidiary”), (ii) the Company or its Subsidiaries, or
(iii) any Person in connection with a “Non-Control Transaction” (as hereinafter defined); 
 (B) The individuals who, as of
Effective Date, are members of the Board (the “Incumbent Board”), cease for any reason to constitute at least seventy percent (70%) of the members of the Board; provided, however, that if the election, or nomination for
election 

  

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by the Company’s common stockholders, of any new director was approved by a vote of at least two-thirds of the Incumbent Board, such new director shall,
for purposes of the Plan, be considered as a member of the Incumbent Board; provided further, however, that no individual shall be considered a member of the Incumbent Board if such individual initially assumed office as a result of an actual
or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board (a “Proxy Contest”) including by reason of any agreement intended to avoid or settle any Proxy Contest; or 
 (C) The consummation of: 
 (i) A merger,
consolidation or reorganization with or into the Company or in which securities of the Company are issued, unless such merger, consolidation or reorganization is a “Non-Control Transaction.” A “Non-Control Transaction”
shall mean a merger, consolidation or reorganization with or into the Company or in which securities of the Company are issued where: 
 (1)
the stockholders of the Company, immediately before such merger, consolidation or reorganization, own directly or indirectly immediately following such merger, consolidation or reorganization, at least seventy percent (70%) of the combined
voting power of the outstanding voting securities of the corporation resulting from such merger or consolidation or reorganization (the “Surviving Company”) in substantially the same proportion as their ownership of the Voting
Securities immediately before such merger, consolidation or reorganization, 
 (2) the individuals who were members of the Incumbent Board
immediately prior to the execution of the agreement providing for such merger, consolidation or reorganization constitute at least two-thirds of the members of the board of directors of the Surviving Company, or a corporation beneficially directly
or indirectly owning a majority of the Voting Securities of the Surviving Company, and 
 (3) no Person other than (i) the Company,
(ii) any Subsidiary, (iii) any employee benefit plan (or any trust forming a part thereof) that, immediately prior to such merger, consolidation or reorganization, was maintained by the Company or any Subsidiary, or (iv) any Person
who, immediately prior to such merger, consolidation or reorganization had Beneficial Ownership of thirty percent (30%) or more of the then outstanding Voting Securities or common stock of the Company, has Beneficial Ownership of thirty percent
(30%) or more of the combined voting power of the Surviving Company’s then outstanding voting securities or its common stock; 
 (ii) A complete liquidation or dissolution of the Company; or 
 (iii) The sale or other disposition of all or substantially all of
the assets of the Company to any Person (other than a transfer to a Subsidiary). 
 Notwithstanding the foregoing, a Change in Control shall
not be deemed to occur solely because any Person (the “Subject Person”) acquired Beneficial Ownership of more than the permitted amount of the then outstanding common stock or Voting Securities as a result of the acquisition 

  

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of common stock or Voting Securities by the Company which, by reducing the number of shares of common stock or Voting Securities then outstanding, increases
the proportional number of shares Beneficially Owned by the Subject Persons, provided that if a Change in Control would occur (but for the operation of this sentence) as a result of the acquisition of common stock or Voting Securities by the
Company, and after such share acquisition by the Company, the Subject Person becomes the Beneficial Owner of any additional common stock or Voting Securities which increases the percentage of the then outstanding Voting Securities Beneficially Owned
by the Subject Person, then a Change in Control shall occur. 
 If an Eligible Individual’s employment is terminated by the Company
without Cause prior to the date of a Change in Control but the Eligible Individual reasonably demonstrates that the termination (A) was at the request of a third party who has indicated an intention or taken steps reasonably calculated to
effect a change in control or (B) otherwise arose in connection with, or in anticipation of, a Change in Control which has been threatened or proposed, such termination shall be deemed to have occurred after a Change in Control for purposes of
the Plan provided a Change in Control shall actually have occurred. 
 29.7 “Code” means the Internal Revenue Code of 1986,
as amended. 
 29.8 “Disabled,” with regard to any particular Optionee or Grantee, shall have the meaning (i) set forth
in Section 22(e)(3) of the Code, in the context of determining the period during which Incentive Stock Options granted to an Optionee may be exercised and (ii) set forth in the Company’s long term disability program applicable to such
Optionee or Grantee in all other contexts or, if no long term disability program is applicable to such Optionee or Grantee, as set forth in the Company’s long term disability program generally applicable to officers of the Company. 

29.9 “Dividend Equivalent Right” means a right to receive all or some portion of the cash dividends that are or would be payable with
respect to Shares. 
 29.10 “Eligible Director” means a member of the Board who is not an employee of the Company or any of
its Subsidiaries. 
 29.11 “Eligible Individual” means any of the following individuals who is designated by the Committee
as eligible to receive Options or Awards subject to the conditions set forth herein: (a) any director or employee of the Company or a Subsidiary, or (b) any individual to whom the Company or a Subsidiary has extended a formal, written
offer of employment. 
 29.12 “Exchange Act” means the Securities Exchange Act of 1934, as amended. 
 29.13 “Fair Market Value” on any date shall be equal to the mean of the high and low prices at which Shares are traded on the New York
Stock Exchange on such date. 
 29.14 “Formula Restricted Stock” means Shares of Restricted Stock granted pursuant to
Section 5. 
  

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 29.15 “Grantee” means a person to whom an Award has been granted under the Plan.

 29.16 “Incentive Stock Option” means an Option satisfying the requirements of Section 422 of the Code and designated
by the Committee as an Incentive Stock Option. 
 29.17 “Nonemployee Director” means a director of the Company who is a
“nonemployee director” within the meaning of Rule 16b-3 promulgated under the Exchange Act. 
 29.18 “Nonqualified Stock
Option” means an Option which is not an Incentive Stock Option. 
 29.19 “Operating Unit” means any operating unit
or division of the Company designated as a Operating Unit by the Committee. 
 29.20 “Option” means a Nonqualified Stock
Option, an Incentive Stock Option, a Formula Option, or any or all of them. 
 29.21 “Optionee” means a person to whom an
Option has been granted under the Plan. 
 29.22 “Option Price” means the price at which a Share covered by an Option
granted hereunder may be purchased. 
 29.23 “Outside Director” means a member of the Board who is an “outside
director” within the meaning of Section 162(m) of the Code and the regulations promulgated thereunder. 
 29.24
“Performance Awards” means Performance Units, Performance Shares or either or both of them. 
 29.25
“Performance-Based Compensation” means any Option or Award that is intended to constitute “performance-based compensation” within the meaning of Section 162(m)(4)(C) of the Code and the regulations promulgated
thereunder. Unless otherwise expressly stated in the relevant Agreement, each Option, Stock Appreciation Right and Performance Award granted under the Plan is intended to be Performance-Based Compensation. 
 29.26 “Performance Cycle” means the time period specified by the Committee at the time Performance Awards are granted during which the
performance of the Company, a Subsidiary or a Operating Unit will be measured. 
 29.27 “Performance Objectives” has the
meaning set forth in Section 9.3. 
 29.28 “Performance Shares” means Shares issued or transferred to an Eligible
Individual under Section 9.2. 
  

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 29.29 “Performance Units” means Performance Units granted to an Eligible Individual
under Section 9.1. 
 29.30 “Plan” means this Wendy’s International, Inc. 2003 Stock Incentive Plan, as amended
and restated from time to time. 
 29.31 “Restricted Stock” means Shares issued or transferred to an Eligible Individual
pursuant to Section 4.1. 
 29.32 “Retirement” means (i) in the case of an employee of the Company or a
Subsidiary, the termination of employment at or after attaining age 60 with at least ten (10) years of service (as defined in the Company’s qualified retirement plans), other than by reason of death, Disability or for Cause and
(ii) in the case of a member of the Board, termination of membership on the Board at or after attaining age 60 with at least three (3) years of service as a member of the Board, other than by reason of death, Disability or for Cause.

 29.33 “Share Award” means an Award of Shares granted pursuant to Section 10. 
 29.34 “Shares” means shares of the common stock, without par, of the Company and any other securities into which such shares are changed
or for which such shares are exchanged. 
 29.35 “Stock Appreciation Right” means a right to receive all or some portion of
the increase in the value of the Shares as provided in Section 7 hereof. 
 29.36 “Stock Unit” means a right granted to
an Eligible Individual under Section 4.2 representing a number of hypothetical Shares. 
  

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