Document:

Third Supplemental Indenture

 EXHIBIT 4.3 
  

THIS THIRD SUPPLEMENTAL INDENTURE is made as of the 17th day of June, 2005, by and between ONEOK, INC., an Oklahoma corporation (the
“Company”), and SUNTRUST BANK, a Georgia banking corporation with trust powers, as trustee (the “Trustee”). 
  
 WITNESSETH: 
  
 WHEREAS, the Company has heretofore entered into an Indenture, dated as of December 28, 2001 (the “Original Indenture”), with the Trustee;

  
 WHEREAS, the Original Indenture is incorporated herein by this
reference and the Original Indenture, as supplemented by this Third Supplemental Indenture, is herein called the “Indenture”; 
  
 WHEREAS, under the Original Indenture, a new series of Securities may, at any time, be established pursuant to a supplemental indenture executed by the
Company and the Trustee; 
  
 WHEREAS, the Company proposes to
create under the Indenture a new series of Securities; and 
  
 WHEREAS, all conditions necessary to authorize the execution and delivery of this Third Supplemental Indenture and to make it a valid and binding obligation of the Company have been done or performed. 
  
 NOW, THEREFORE, in consideration of the agreements and obligations set forth
herein and for other good and valuable consideration, the sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows: 
  
 ARTICLE 1 
  
 6.00% NOTES DUE 2035 
  
 Section 1.01. Establishment. There is hereby established a new series of Securities to be issued under the Indenture, to be designated as the Company’s 6.00% Notes due 2035 (the “Notes”).

  
 There are to be authenticated and delivered $400,000,000
principal amount of Notes to be issued to underwriters at 98.877% of principal amount. The Company shall have the right to issue additional Notes at any time upon compliance with the provisions of the Indenture applicable to the issuance of
additional Securities. The Notes shall be issued in definitive fully registered form. 
  
 The Notes shall be issued initially in the form of one or more Global Securities, each in substantially the form set out in Exhibit A hereto. The initial Depositary with respect to the Notes shall be The Depository
Trust Company. 

 The Company will not pay Additional Amounts, as defined in Section 1008 of the Original Indenture.

  
 The Notes will not be convertible into or exchangeable for
Common Stock or other equity or debt securities. 
  
 The form of
the Trustee’s Certificate of Authentication for the Notes shall be in substantially the form set forth in Exhibit B hereto. 
  
 Each Note shall be dated the date of authentication thereof and shall bear interest from the Original Issue Date. 
  
 The interest rate on the Notes will not be reset pursuant to Section 308(b)
of the Original Indenture and the Stated Maturity shall not be extended pursuant to Section 309 of the Original Indenture. 
  
 Section 1.02. Definitions. The following defined terms used herein shall, unless the context otherwise requires, have the meanings specified below.
Capitalized terms used herein for which no definition is provided herein shall have the meanings set forth in the Original Indenture. 
  
 “Adjusted Treasury Rate” means, with respect to any Redemption Date, the rate per annum equal to the semi-annual equivalent yield to maturity of
the Comparable Treasury Issue, assuming a price of the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such Redemption Date. 
  
 “Comparable Treasury Issue” means the United States Treasury
security selected by the Quotation Agent as having a maturity comparable to the remaining term of the Notes to be redeemed that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of
corporate debt securities of comparable maturity to the remaining term of the Notes. 
  
 “Comparable Treasury Price” means, with respect to any Redemption Date, the Reference Treasury Dealer Quotation for such Redemption Date. 
  
 “Interest Payment Dates” means June 15 and December 15 of each year, commencing December 15, 2005. 
  
 “Original Issue Date” means June 17, 2005. 
  
 “Quotation Agent” means a Reference Treasury Dealer. 
  
 “Reference Treasury Dealer” means either Citigroup Global Markets
Inc. or UBS Securities LLC and its successors; provided, however, that if either of the foregoing shall cease to be a primary U.S. Government Securities dealer in New York City (a “Primary Treasury Dealer”), the Company shall substitute
therefor another Primary Treasury Dealer and certify same to the Trustee. 
  

 2 

 “Reference Treasury Dealer Quotation” means, with respect to any Redemption Date, the average,
as determined by the Company and certified to the Trustee by the Company, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Company by a Reference
Treasury Dealer at 5:00 p.m. on the third Business Day preceding such Redemption Date. 
  
 “Regular Record Date” means June 1 in the case of a June 15 Interest Payment Date and December 1 in the case of a December 15 Interest Payment Date. 
  
 “Stated Maturity” means June 15, 2035. 
  
 Section 1.03. Payment of Principal and Interest. The principal of the
Notes shall be due at the Stated Maturity (unless earlier redeemed). The unpaid principal amount of the Notes shall bear interest at the rate of 6.00% per annum until paid or duly provided for. Interest shall be paid semi-annually in arrears on each
Interest Payment Date to the Person in whose name the Notes are registered on the Regular Record Date for such Interest Payment Date and on the Stated Maturity. Accrued interest paid on the Stated Maturity shall be paid to the Person to whom
principal is paid. Any such interest that is not so punctually paid or duly provided for (and, if applicable, interest on such Defaulted Interest (to the extent lawful) at the rate specified in the Notes) will forthwith cease to be payable to the
Holders on such Regular Record Date and may be paid, at the election of the Company, either: (1) to the Person or Persons in whose name the Notes are registered at the close of business on a Special Record Date to be fixed by the Trustee for the
payment of such Defaulted Interest, notice whereof shall be given to Holders of the Notes not less than ten days prior to such Special Record Date, or (2) in any other lawful manner, if such manner of payment shall be deemed practicable by the
Trustee. 
  
 Payments of interest on the Notes will include
interest accrued to but excluding the respective Interest Payment Dates. Interest payments for the Notes shall be computed and paid on the basis of a 360-day year of twelve 30-day months. 
  
 Payment of the principal and interest due at the Stated Maturity or earlier redemption of the Notes shall be made upon
surrender of the Notes at the Corporate Trust Office of the Trustee. The principal of and interest on the Notes shall be paid in such currency of the United States of America as at the time of payment is legal tender for payment of public and
private debts. Payments of interest will be made at the option of the Company, by (i) check mailed to the address of the Person entitled thereto as such address shall appear in the Security Register or (ii) wire transfer to an account located in the
United States maintained by the payee. 
  
 Section 1.04.
Denominations. The Notes may be issued in denominations of $1,000 or any integral multiple thereof. 
  
 Section 1.05. Global Securities. The Notes will be issued in the form of one or more Global Securities registered in the name of the Depositary or
its nominee. Except under the limited circumstances described below, Notes represented by a Global Security will not be exchangeable for, and will not otherwise be issuable as, Notes in definitive form. The Global Securities may not be transferred
except by the Depositary to a nominee of the Depositary or by a nominee of the Depositary to the Depositary or another nominee of the Depositary or to a successor Depositary or its nominee. 
  

 3 

 Owners of beneficial interests in a Global Security will not be considered the Holders thereof for any
purpose under the Indenture, and no Global Security representing a Note shall be exchangeable, except for another Global Security of like denomination and tenor to be registered in the name of the Depositary or its nominee or to a successor
Depositary or its nominee. The rights of Holders of such Global Security shall be exercised only through the Depositary. 
  
 A Global Security shall be exchangeable for Notes registered in the names of persons other than the Depositary or its nominee only if (i) the Depositary
notifies the Company that it is unwilling or unable to continue as a Depositary for such Global Security and no successor Depositary shall have been appointed by the Company, or if at any time the Depositary ceases to be a clearing agency registered
under the Securities Exchange Act of 1934, as amended, at a time when the Depositary is required to be so registered to act as such Depositary and no successor Depositary shall have been appointed by the Company, in each case within 90 days after
the Company receives such notice or becomes aware of such cessation, (ii) the Company in its sole discretion determines that such Global Security shall be so exchangeable, or (iii) there shall have occurred an Event of Default with respect to the
Notes. 
  
 Section 1.06. Transfer. No service charge will
be made for any transfer or exchange of Notes, but payment will be required of a sum sufficient to cover any tax or other governmental charge that may be imposed in connection therewith. 
  
 Section 1.07. Redemption at the Company’s Option. The Notes will
be redeemable, in whole or in part, at any time at the option of the Company at a redemption price (the “Redemption Price”) equal to the greater of (i) 100% of the principal amount of such Notes or (ii) as determined by a Quotation Agent,
the sum of the present values of the remaining scheduled payments of principal and interest (not including any portion of those payments of interest accrued as of the date of redemption) discounted to the date of redemption (the “Redemption
Date”) on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) at the Adjusted Treasury Rate plus 25 basis points, plus, in the case of (i) and (ii), accrued but unpaid interest to the Redemption Date. 
  
 Notice of any redemption will be mailed at least 30 days but not more than 60
days before the Redemption Date to each Holder of the Notes to be redeemed. Unless the Company defaults in payment of the Redemption Price, interest will cease to accrue on the Notes or portions thereof called for redemption on and after the
Redemption Date. 
  
 Section 1.08. Other Terms. 

 
 The Notes will not have a sinking fund. 
  
 Notice of redemption shall be given as provided in Section 1104 of the
Original Indenture. 
  

 4 

 Any redemption of less than all of the Notes shall, with respect to the principal thereof, be divisible
by $1,000. 
  
 ARTICLE 2 
  
 AMENDMENT TO INDENTURE 
  
 Section 2.01. Amendment to Events of Default Provision. Pursuant to
Sections 901(6) and 301(9) of the Indenture, Section 501(4) of the Indenture is hereby deleted in its entirety, with respect to the series of Notes established by this Third Supplemental Indenture, and replaced with the following: 
  
 “(4) default under any indenture or instrument under
which the Company or any Restricted Subsidiary has at the time outstanding indebtedness for borrowed money or guarantees thereof in any individual instance in excess of $100,000,000 and, if not already matured in accordance with its terms, such
indebtedness has been accelerated and such acceleration is not rescinded or annulled within 30 days after notice thereof has been given to the Company by the Trustee or to the Company and the Trustee by the Holders of at least 25% in aggregate
principal amount of outstanding Securities of such series; provided that, if, prior to the entry of judgment in favor of the Trustee for payment of the Indenture Securities of such series, the default under such indenture or instrument has been
remedied or cured by the Company or such Restricted Subsidiary, or waived by the holders of such indebtedness, then the Event of Default under the Indenture will be deemed likewise to have been remedied, cured or waived; or” 
  
 ARTICLE 3 
  
 MISCELLANEOUS PROVISIONS 
  
 Section 3.01. Recitals by Company. The recitals in this Third Supplemental Indenture are made by the Company only and not by the Trustee, and all
of the provisions contained in the Original Indenture in respect of the rights, privileges, immunities, powers and duties of the Trustee shall be applicable in respect of Notes and of this Third Supplemental Indenture as fully and with like effect
as if set forth herein in full. 
  
 Section 3.02. Ratification
and Incorporation of Original Indenture. Subject to Article 2, the Original Indenture is in all respects ratified and confirmed, and the Original Indenture and this Third Supplemental Indenture shall be read, taken and construed as one and the
same instrument; provided that, in the case of a conflict between this Third Supplemental Indenture and the Original Indenture, this Third Supplemental Indenture shall control. 
  
 Section 3.03. Executed in Counterparts. This Third Supplemental Indenture may be simultaneously executed in several
counterparts, each of which shall be deemed to be an original, and such counterparts shall together constitute one and the same instrument. 
  
 Section 3.04. Parties Interested Herein. Nothing in the Indenture expressed or implied is intended or shall be construed to confer upon, or to give
or grant to, any person or 
  

 5 

 entity, other than the Company, the Trustee, the Paying Agent and the registered owners of the Notes, any right, remedy
or claim under or by reason of the Indenture or any covenant, condition or stipulation hereof, and all covenants, stipulations, promises and agreements in the Indenture contained by and on behalf of the Company shall be for the sole and exclusive
benefit of the Company, the Trustee, the Paying Agent and the registered owners of the Notes. 
  
 [remainder of page intentionally left blank] 
  

 6 

 IN WITNESS WHEREOF, each party hereto has caused this Third Supplemental Indenture to be signed in its
name and behalf by its duly authorized officer or signatory, all as of the day and year first above written. 
  

			
	 ONEOK, INC.

		
	 By:
	 	 /s/ Jim Kneale

	 	 	Jim Kneale, Executive Vice President—Finance and Administration and Chief Financial Officer
	
	 SUNTRUST BANK, as Trustee

		
	 By:
	 	 /s/ George Hogan

	 	 	Authorized Signatory

 EXHIBIT A 
  
 FORM OF NOTE 
  
 [Attached] 

 THIS SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS
REGISTERED IN THE NAME OF A DEPOSITORY OR A NOMINEE THEREOF. THIS SECURITY MAY NOT BE EXCHANGED IN WHOLE OR IN PART FOR A SECURITY REGISTERED, AND NO TRANSFER OF THIS SECURITY IN WHOLE OR IN PART MAY BE REGISTERED, IN THE NAME OF ANY PERSON OTHER
THAN SUCH DEPOSITORY OR ITS NOMINEE EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE. 
  
 UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE
ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO
CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO.,
HAS AN INTEREST HEREIN. 
  
 No.
         
  
 ONEOK,
INC. 
  
 6.00% NOTES DUE 2035 
  
 CUSIP: 682680 AN 3 
  
 ONEOK, Inc., an Oklahoma corporation (herein called “Company,”
which term includes any successor corporation under the Indenture referred to herein), for value received, hereby promises to pay to: 
  
 CEDE & CO. 
  
 or registered assigns, the principal sum of 
  
 *                     DOLLARS* 
  
 on June 15, 2035 and to pay interest on such principal sum at the rate of six percent (6.00%) per annum. 
  
 The Company will pay interest from June 17, 2005, semi-annually on June 15
and December 15 of each year, and on the date of maturity, commencing December 15, 2005 (each such date an “Interest Payment Date”), until the principal hereof is otherwise paid or duly provided for. The interest so payable, and punctually
paid or duly provided for, on any Interest 

 Payment Date will, as provided in the Indenture (as defined below), be paid to the holder of this Note (the
“Holder”) of record at the close of business on the regular record date (the “Regular Record Date”) for such Interest Payment Date, which shall be June 1 (in the case of the June 15 Interest Payment Date) or December 1 (in the
case of the December 15 Interest Payment Date), whether or not a Business Day. Interest will be computed on the basis of a 360-day year of twelve 30-day months. 
  

Any such interest not so punctually paid or duly provided for shall forthwith cease to be payable to the Holder on such Regular Record Date by virtue
of his having been such Holder, and may be paid to the Holder of record of this Note at the close of business on a special record date (the “Special Record Date”) fixed by the Company for the payment of such defaulted interest, notice
whereof shall be given to Holders not less than ten days prior to such Special Record Date, all as more fully provided in the Indenture. 
  
 Payment of the principal of this Note and the interest thereof will be made at the office or agency of the Company in the Borough of Manhattan, City and
State of New York or at the Corporate Trust Office of the Trustee in such currency of the United States of America as at the time of payment is legal tender for payment of public and private debts. 

 ONEOK, INC. 
 6.00% Notes due 2035 
  
 This Note
is one of a duly authorized issue of debt securities of the Company (herein called the “Securities”), issuable in one or more series, issued and to be issued under and pursuant to an Indenture dated as of December 28, 2001, as amended and
supplemented by that certain Third Supplemental Indenture (the “Indenture”), duly executed and delivered by the Company to SunTrust Bank (the “Trustee,” which term includes any successor trustee under the Indenture), and is one
of a series unlimited in aggregate principal amount and designated as 6.00% Notes due 2035 (the “Notes”). Reference is hereby made to the Indenture for a description of the rights, limitations of rights, obligations, duties and immunities
thereunder of the Trustee, the Company and the holders of Securities (including Holders of the Notes). 
  
 The Notes are subject to defeasance at the option of the Company as provided in the Indenture. 
  
 As long as this Note is represented in global form (the “Global
Security”) registered in the name of the Depositary or its nominee, except as provided in the Indenture and subject to certain limitations therein set forth, no Global Security shall be exchangeable or transferable. 
  
 If an Event of Default (as defined in the Indenture) with respect to the
Notes shall occur and be continuing, the principal plus any accrued interest may be declared due and payable in the manner and with the effect and subject to the conditions provided in the Indenture. 
  
 The Indenture permits the amendment thereof and the modification of the
rights and obligations of the Company and the rights of the Holders under the Indenture at any time by the Company and the Trustee with the consent of the Holders of a majority in aggregate principal amount of the Securities then Outstanding (as
defined in the Indenture) of all series that are affected by such amendment or modification, except that certain amendments may be made without the approval of holders of the Securities. No amendment or modification may, among other things, change
the Stated Maturity of any Security, reduce the principal amount thereof, reduce the rate or change the time of payment of any interest thereon, or reduce the percentage in principal amount of Securities, consent of the holders of which is required
for any such amendment or modification, without the consent of each Securityholder affected. 
  
 Notwithstanding any provision in the Indenture or any provision of this Note, the Holder of this Note shall have the right, which is absolute and unconditional, to receive payment of the principal of (and premium, if
any) and interest on this Note at the times, places and rate, and in the currency herein prescribed. 
  
 The Notes may be redeemed, in whole or in part, at any time at the option of the Company at a Redemption Price equal to the greater of (i) 100% of the
principal amount of such Notes or (ii) as determined by a Quotation Agent, the sum of the present values of the remaining scheduled payments of principal and interest (not including any portion of those payments of interest accrued as of the date of
redemption) discounted to the date of redemption on a semi-annual basis (assuming a 360-day consisting of twelve 30-day months) at the Adjusted Treasury Rate plus 25 basis points, plus, in the case of (i) and (ii), accrued but unpaid interest to the
Redemption Date. 

 In the event of redemption of this Note in part only, a new Note or Notes of this series for the
unredeemed portion hereof will be issued in the name of the Holder upon surrender hereof or otherwise reduced in accordance with the provisions of the Indenture. The Notes will not have a sinking fund. 
  
 THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF
THE STATE OF NEW YORK. 
  
 All terms used in this Note but not
defined herein have the meanings assigned to them in the Indenture. 
  
 Unless the certificate of authentication hereon has been executed by or on behalf of the Trustee by manual signature, this Note shall not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose. 

 IN WITNESS WHEREOF, the Company has caused this Note to be duly executed. 
  

			
	ONEOK, INC.
		
	By:	 	  

	Name:	 	 
	Title:	 	 
		
	Attested:	 	  

	Name:	 	 
	Title:	 	 

  
 TRUSTEE’S CERTIFICATE OF
AUTHENTICATION 
  
 Dated:
                                     
  
 This is one of the Notes referred to in the within- 
 mentioned Indenture. 
  

							
	 	 	SUNTRUST BANK	 	 
	 	 	as Trustee	 	 
				
	 	 	By:	 	  

	 	 
	 	 	 	 	Authorized Signatory	 	 

 SCHEDULE OF EXCHANGES OF INTEREST IN THE NOTE 
  
 The following exchanges of interests in this Note have been made: 

 

									
	 Date of Exchange

	 	 Amount of decrease in
 this Note

	 	 Amount of increase
 in this Note

	  	 Principal Amount of
 this Note following
 such decrease or increase

	  	Signature of authorized
signatory of Trustee

 ASSIGNMENT FORM 
  

To assign this Note, fill in the form below: 
 I or we assign and transfer this Note to 
  
 ____________________ 
  
 ____________________ 

 
 Insert assignee’s soc. sec. or tax I.D. no. 
  
 ____________________ 
  
  
 ______________________________________________________________________________________________________________ 
 (Print or type
assignee’s name, address and zip code) 
  
  
 ______________________________________________________________________________________________________________ 
  
  
 ______________________________________________________________________________________________________________ 
  
  
 ______________________________________________________________________________________________________________ 
  
  
 and all rights thereunder and irrevocably appoint
____________________________________________________________________ 
  
  
 ______________________________________________________________________________________________________________ 
  
 agent to transfer this Note on the books of the Company. The agent may substitute another to
act for him. 
  

					
	Dated:                     	 	 	 	  

			
	 	 	 	 	  

  
 THE SIGNATURE TO THIS
ASSIGNMENT MUST CORRESPOND WITH THE NAME AS IT APPEARS ON THE FIRST PAGE OF THE NOTE. 
  
 THE SIGNATURE MUST BE GUARANTEED BY AN “ELIGIBLE GUARANTOR INSTITUTION” THAT IS A MEMBER OR PARTICIPANT IN A “SIGNATURE GUARANTEE PROGRAM” (E.G., THE SECURITIES TRANSFER AGENTS MEDALLION PROGRAM,
THE STOCK EXCHANGE MEDALLION PROGRAM OR THE NEW YORK STOCK EXCHANGE, INC. MEDALLION PROGRAM). 

 EXHIBIT B 
  
 CERTIFICATE OF AUTHENTICATION 
  
 This is one of the Notes referred to in the within mentioned Indenture. 
  

					
	 	 	SUNTRUST BANK, as
	 	 	     Trustee [or Successor Trustee]

			
	 Dated:
                    
	 	By:	 	  

	 	 	 	 	 Authorized SignatoryAmended and Restated 2002 Stock Incentive Plan

 Exhibit 10.6a 
  
 NATIONAL FINANCIAL PARTNERS CORP. 
  
 AMENDED AND RESTATED 
 2002 STOCK INCENTIVE PLAN 
  
 SECTION 1.
Purpose; Definitions 
  
 The purpose of the Plan is to give
National Financial Partners Corp. and any Related Entity (each as defined below) a competitive advantage in attracting, retaining and motivating officers, employees, independent contractors (including, without limitation, managers, including entity
managers), consultants and non-employee directors, and to provide the Company and its Related Entities with a stock plan providing incentives linked to the financial results of the businesses of the Company and its subsidiaries. 
  
 For purposes of the Plan, the following terms are defined as set forth
below: 
  
 “Affiliate” of a Person shall mean a
Person that directly or indirectly controls, or is controlled by, or is under common control with, such Person. 
  
 “Applicable Laws” means the legal requirements relating to the administration of stock incentive plans, if any, under applicable
provisions of federal securities laws, state corporate and securities laws, the Code, the rules of any applicable stock exchange or national market system, and the rules of any foreign jurisdiction applicable to Awards granted to residents therein.

  
 “Award” means a Stock Appreciation Right,
Stock Option, Restricted Stock, Restricted Stock Unit or Performance Unit award. 
  
 “Award Agreement” means a Restricted Stock Agreement, Restricted Stock Unit Agreement, Option Agreement, Stock Appreciation Right Agreement or Performance Unit Agreement. An Award Agreement may
include provisions included in an employment consulting or management agreement or other agreement providing for the performance or provision of professional services. 
  
 “Award Cycle” means the period of consecutive fiscal years or portions thereof designated by the Committee
over which Performance Units are to be earned. 
  
 “Board” means the Board of Directors of the Company. 
  
 “Cause” means (i) the failure of a Participant to substantially fulfill his obligations with respect to his Employment/Service, (ii) the Participant is charged with or convicted of a felony or engages
in conduct that constitutes gross negligence or gross misconduct in carrying out his duties with respect to his Employment/Service, (iii) violation by the Participant of any noncompetition, nonsolicitation or confidentiality provision contained in
any agreement between the Participant and the Company or (iv) any material act by the Participant involving dishonesty or disloyalty or any act by the Participant involving moral turpitude which adversely affects the business of the Company.

  

 “Code” means the Internal Revenue Code of 1986, as amended from time to time, and any
successor thereto. 
  
 “Committee” means such
committee of the Board as the Board may designate for the purpose of administering the Plan. 
  
 “Common Stock” means the common stock, par value $0.01 per share, of the Company. 
  
 “Company” means National Financial Partners Corp., a Delaware corporation. 
  
 “Disability” means a grantee would qualify for benefit payments under the long-term disability policy of
the Company regardless of whether the grantee is covered by such policy or employed by the Company. If the Company or the Related Entity to which the grantee provides services does not have a long-term disability plan in place,
“Disability” means that a grantee is unable to carry out the responsibilities and functions of the position held by the grantee by reason of any medically determinable physical or mental impairment. A grantee will not be considered to have
incurred a Disability unless he or she furnishes proof of such impairment sufficient to satisfy the Committee in its discretion. 
  
 “Employee” means any person, including an officer or director, who is an employee of the Company or any Related Entity. 
  
 “Employment/Service” means, unless otherwise defined in an
applicable Award Agreement, employment, consulting or management agreement or other agreement providing for the performance or provision of professional services, employment with, or services performed as an officer, non-Employee director, Employee,
independent contractor (including, without limitation, managers, including an entity manager) or agent of or as a consultant to, the Company or any Related Entity. 
  
 “Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time, and any successor
thereto. 
  
 “Fair Market Value” of the Common
Stock means, as of any given date, the mean between the highest and lowest reported sales prices of the Common Stock on the New York Stock Exchange or, if not listed on such exchange, on any other national securities exchange on which the Common
Stock is listed or, if not so listed, on the NASDAQ National Market on the last preceding date on which there was a sale of Common Stock on such exchange or the NASDAQ National Market. If the Common Stock is not then listed on any exchange or the
NASDAQ National Market, the Board in good faith shall determine the Fair Market Value of the Common Stock. 
  
 “Family Member” means any child, stepchild, grandchild, parent, stepparent, grandparent, spouse, former spouse, sibling, niece, nephew,
mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law, sister-in-law, including adoptive relationships, any person sharing the grantee’s household (other than a tenant or Employee), a trust in which these persons have more
than fifty percent of the beneficial interest, a foundation in which these persons (or 

  

 -2- 

 
the grantee) control the management of assets, and any other entity in which these persons (or the grantee) own more than fifty percent of the voting
interests. 
  
 “Grant Date” means the effective
date of grant of any Award as set forth in the Award Agreement. 
  
 “IPO” means the consummation of a registered underwritten public offering or offerings of Common Stock with aggregate net proceeds to the Company and any selling stockholder of at least $50 million. 
  
 “Nonqualified Stock Option” means any Stock Option granted
pursuant to this Plan. 
  
 “Option Agreement”
means an agreement setting forth the terms and conditions of an Award of Stock Options and, if applicable, Stock Appreciation Rights. 
  
 “Parent” means a “parent corporation,” whether now or hereafter existing, as defined in Section 424(e) of the
Code. 
  
 “Participant” has the meaning set forth
in Section 4. 
  
 “Performance Goals” means the
performance goals established by the Committee in connection with the grant of a Performance Unit. 
  
 “Performance Unit” means an Award granted under Section 8. 
  
 “Performance Unit Agreement” means an agreement setting forth the terms and conditions of an Award of
Performance Units. 
  
 “Person” means an
individual, corporation, partnership, limited liability company, joint venture, trust, unincorporated organization, government (or any department or agency thereof) or other entity. 
  
 “Plan” means the National Financial Partners Corp. 2002 Stock Incentive Plan, as set forth herein and as
hereinafter amended from time to time. 
  
 “Plan
Shares” has the meaning set forth in Section 11(b). 
  
 “Related Entity” means any Parent, Subsidiary and any business, corporation, limited liability company or other entity in which the Company, a Parent or a Subsidiary holds a substantial ownership interest, directly or
indirectly. 
  
 “Restricted Stock” means an Award
granted under Section 7(a). 
  
 “Restricted Stock
Agreement” means an agreement setting forth the terms and conditions of an Award of Restricted Stock. 
  
 “Restricted Stock Unit” means an Award granted under Section 7(b). 
  

 -3- 

 “Restricted Stock Unit Agreement” means an agreement setting forth the terms and
conditions of an Award of Restricted Stock Units. 
  
 “SEC” means the Securities and Exchange Commission or any successor agency. 
  
 “Securities Act” means the Securities Act of 1933, as amended from time to time, and any successor thereto. 
  
 “Share” means a share of Common Stock. 
  
 “Stock Appreciation Right” means a right granted under
Section 6. 
  
 “Stock Appreciation Right
Agreement” means an agreement setting forth the terms and conditions of an Award of Stock Appreciation Rights. 
  
 “Stock Option” means an option granted under Section 5. 
  
 “Stockholders Agreement” has the meaning as set forth in Section 11(a). 
  
 “Subsidiary” means a “subsidiary
corporation,” whether now or hereafter existing, as defined in Section 424(f) of the Code. 
  
 In addition, certain other terms used herein have definitions otherwise ascribed to them herein. 
  
 SECTION 2. Administration of the Plan 
  
 a) Plan Administrator. The Plan shall be administered by the
Committee, or, if no Committee has been designated or appointed, by the Board (in which case all references herein to the Committee shall include the Board). 
  
 b) Powers of the Committee. Subject to Applicable Laws and the provisions of the Plan (including any other powers given to the Committee
hereunder), and except as otherwise provided by the Board, the Committee shall have the authority, in its discretion, to: 
  
 i) select the Participants to whom Awards may from time to time be granted; 
  
 ii) determine whether and to what extent awards of Nonqualified Stock Options, Stock Appreciation Rights,
Restricted Stock, Restricted Stock Units and Performance Units or any combination thereof are to be granted hereunder; 
  
 iii) determine the number of shares of Common Stock to be covered by each Award granted hereunder; 
  
 iv) determine the terms and conditions of any Award granted
hereunder (including, but not limited to, the option price (subject to Section 5(a)), any vesting conditions, restrictions or limitations (which may be related to the performance of 

  

 -4- 

 
the Participant, the Company or any Related Entity)) and any acceleration of vesting or waiver of forfeiture regarding any Award and the shares of Common
Stock relating thereto, based on such factors as the Committee shall determine; 
  
 v) modify, amend or adjust the terms and conditions of any Award, at any time or from time to time including, but not limited to,
Performance Goals; 
  
 vi) determine to what
extent and under what circumstances Common Stock and other amounts payable with respect to an Award shall be deferred; 
  
 vii) determine under what circumstances an Award may be settled in cash or Common Stock under Section 5(g), 6(b), 6(d)(ii), 7(b) or
8(b)(v); 
  
 viii) adopt, alter and repeal such
administrative rules, guidelines and practices governing the Plan as it shall from time to time deem advisable; 
  
 ix) interpret the terms and provisions of the Plan and any Award issued under the Plan (and any agreement relating thereto); and

  
 x) otherwise supervise the administration of
the Plan. 
  
 c) Committee Procedures. The Committee may
act only by a majority of its members then in office, except that the members thereof may authorize any one or more of their number or any executive officer of the Company to execute and deliver documents on behalf of the Committee. Once appointed,
such Committee shall continue to serve in its designated capacity until otherwise directed by the Board. The Board may authorize one or more executive officers of the Company to grant Awards subject to such limitations as the Board determines from
time to time. However, grants by an executive officer shall be subject to ratification by the Board and will not be effective until the date of such ratification. 
  
 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 the Plan or an Award (or related Award Agreement) granted hereunder shall be determined by the Committee. Any determination made by the Committee pursuant to the provisions of the Plan with respect to the Plan, any
Award or Award Agreement shall be made in the sole discretion of the Committee and, with respect to an Award, at the time of the grant of the Award or, unless in contravention of any express term of the Plan, at any time thereafter. All decisions
made by the Committee shall be final and binding on all persons, including the Company, any Related Entity and the Participants. 
  
 SECTION 3. Common Stock Subject to Plan and Adjustments to Capitalization 
  

a) Stock Subject to Plan. The total number of shares of Common Stock reserved and available for grant under the Plan shall be 2.5 million.
Shares subject to an Award under the Plan may be authorized and unissued shares or may be treasury shares. 
  
 Any shares of Common Stock covered by an Award (or portion of an Award) which is forfeited or canceled, expires or is settled in cash, shall be deemed not
to have been 

  

 -5- 

 
issued for purposes of determining the maximum aggregate number of Plan Shares which may be issued under the Plan. Shares that actually have been issued
under the Plan pursuant to an Award shall not be returned to the Plan and shall not become available for future issuance under the Plan, except that if unvested Plan Shares are forfeited, or repurchased by the Company at their original purchase
price, such Plan Shares shall become available for future grant under the Plan. 
  
 b) Adjustments Upon Changes in Capitalization. Subject to any required action by the stockholders of the Company, the number of shares of Common Stock covered by each outstanding Award, and the number of Shares
which have been authorized for issuance under the Plan but as to which no Awards have yet been granted or which have been returned to the Plan, the exercise or purchase price of each such outstanding Award, as well as any other terms that the
Committee determines require adjustment shall be proportionately adjusted for (i) any increase or decrease in the number of issued Shares resulting from a stock split, reverse stock split, stock dividend, combination or reclassification of the
Shares, or similar transaction affecting the Shares, (ii) any other increase or decrease in the number of issued Shares effected without receipt of consideration by the Company, or (iii) as the Committee may determine in its discretion, any other
transaction with respect to Common Stock to which Section 424(a) of the Code applies or a similar transaction; provided, however that conversion of any convertible securities of the Company shall not be deemed to have been
“effected without receipt of consideration.” The Committee shall make such adjustment and its determination shall be final, binding and conclusive. Except as the Committee determines, no issuance by the Company of shares of stock of any
class, or securities convertible into shares of stock of any class, shall affect, and no adjustment by reason hereof shall be made with respect to, the number or price of Shares subject to an Award. 
  
 SECTION 4. Participants 
  
 Officers, Employees, independent contractors (including, without limitation, managers, including entity managers),
consultants and non-Employee directors of the Company and/or a Related Entity who are responsible for or contribute to the management, growth and profitability of the business of the Company and/or a Related Entity shall be “Participants”
eligible to be granted Awards under the Plan. 
  
 SECTION 5. Stock Options

  
 The Committee shall have the authority to grant any
Participant Stock Options with or without Stock Appreciation Rights. 
  
 Stock Options shall be evidenced by Option Agreements, which shall include such terms and provisions as the Committee may determine from time to time. The grant of a Stock Option shall occur on the date the Committee by resolution selects
an individual to receive a grant of a Stock Option, determines the number of shares of Common Stock to be subject to such Stock Option to be granted to such individual and specifies the terms and provisions of the Stock Option, or on such other date
as the Committee may determine. The Company shall notify a Participant of any grant of a Stock Option, and a written Option Agreement shall be duly 

  

 -6- 

 
executed and delivered by the Company to such Participant. Subject to Section 11(a), such agreement shall become effective upon execution by the Company and
the Participant. 
  
 Stock Options shall be subject to the
following terms and conditions and shall contain such additional terms and conditions as the Committee shall deem desirable: 
  
 a) Exercise Price. The price per share of Common Stock purchasable under a Stock Option shall be determined by the Committee and set forth
in the Option Agreement (the “Exercise Price”). 
  
 b)
Option Term. The Committee shall fix the term of each Stock Option; provided, that, no Stock Option shall be exercisable more than ten years after the date the Stock Option is granted. Absent any such term being fixed by the
Committee, pursuant to an Option Agreement or otherwise, such term shall be ten years. 
  
 c) Exercisability. Except as otherwise provided herein, Stock Options shall be exercisable at such time or times and subject to such terms and conditions as shall be determined by the Committee. If the
Committee provides that any Stock Option is exercisable only in installments, the Committee may at any time waive such installment exercise provisions, in whole or in part, based on such factors as the Committee may determine. In addition, the
Committee may at any time accelerate the exercisability of any Stock Option. 
  
 d) Method of Exercise. Subject to the provisions of this Section 5, vested Stock Options may be exercised, in whole or in part, at any time during the option term by giving written notice of exercise to
the Company in accordance with the terms of the Award Agreement, which terms include specifying the number of shares of Common Stock subject to the Stock Option to be purchased. 
  
 Such notice shall be accompanied by payment in full of the Exercise Price per share by certified or bank check or such other
instrument as the Company may accept. If approved by the Committee, payment, in full or in part, may also be made in the form of unrestricted Common Stock already owned by the Participant of the same class as the Common Stock subject to the Stock
Option (based on the Fair Market Value of the Common Stock on the date the Stock Option is exercised); provided, however, that in all instances the portion of consideration equal to the par value of shares of Common Stock purchased must be
paid in cash or other legal consideration permitted by the Delaware General Corporation Law. 
  
 In the discretion of the Committee, after an IPO, payment for any shares subject to a Stock Option may also be made by delivering a properly executed exercise notice to the Company, together with a copy of irrevocable
instructions to a Company designated brokerage firm to effect the immediate sale of such options and remit to the Company, out of the proceeds available on the settlement date, sufficient funds to cover the aggregate exercise price payable for the
purchased shares of Common Stock as well as the amount of any federal, state, local or foreign withholding taxes. 
  

 -7- 

 In addition, in the discretion of the Committee, payment of the Exercise Price for any shares subject to
a Stock Option may also be made in accordance with such other payment methods as may be permitted by the Committee in its sole discretion. 
  
 No shares of Common Stock shall be issued until full payment therefor has been made. Except as otherwise provided in the Stockholders Agreement or the
applicable Option Agreement, subject to a Participant’s compliance with Section 11(a) hereof, a Participant shall have all of the rights of a stockholder of the Company holding the class or series of Common Stock that is subject to such Stock
Option (including, if applicable, the right to vote the shares and the right to receive dividends and distributions), when the Participant has given written notice of exercise, has paid in full for such shares and, if requested, has given the
representations referred to in Section 11(c). 
  
 e)
Nontransferability of Stock Options. No Stock Option shall be transferable by the Participant other than (i) by will or by the laws of descent and distribution or (ii) in the case of a Stock Option, as otherwise expressly permitted
under the applicable Option Agreement including, if so permitted, pursuant to a qualified domestic relations order (as defined in the Code) or pursuant to a gift to such Participant’s Family Member, whether directly or indirectly or by means of
a trust, partnership, limited liability company or otherwise. All Stock Options shall be exercisable, subject to the terms of this Plan, during the Participant’s lifetime, only by the Participant or any person to whom such Stock Option is
transferred pursuant to the preceding sentence, including such Participant’s guardian, legal representative and other transferee. The term “Participant” includes the estate of the Participant or the legal representative of the
Participant named in the Option Agreement and any person to whom an Option is otherwise transferred in accordance with this Section 5(e) by will or the laws of descent and distribution; provided, however, that references herein to
Employment/Service of a Participant or termination of Employment/Service of a Participant shall continue to refer to the Employment/Service or termination of Employment/Service of the applicable grantee of an Award hereunder. 
  
 f) Termination of Employment/Service. Except as otherwise
provided by the Committee or in the applicable Option Agreement, (i) upon the Participant’s death or Disability on or after the second anniversary of the Grant Date, all Stock Options granted to the Participant shall become vested and
immediately exercisable and shall remain exercisable for a period of one year from the date of death or Disability, (ii) upon the Participant’s death or Disability prior to the second anniversary of the Grant Date, the Participant shall forfeit
unvested Stock Options as of the date of death or Disability and the Participant shall have one year to exercise vested Stock Options that are vested as of the date of death or Disability, (iii) if the Participant’s Employment/Service is
terminated with Cause, the Participant shall forfeit all Stock Options, whether vested or unvested that have not been exercised as of the date of termination and (iv) if the Participant’s Employment/Service is terminated for a reason other than
death, Disability or Cause, the Participant shall forfeit unvested Stock Options as of the date of termination and the Participant shall have thirty days to exercise vested Stock Options that are vested as of the date of termination. 
  

 -8- 

 A Participant’s Employment/Service shall not be considered terminated in the case of (i) any
approved leave of absence, (ii) transfers among the Company, any Related Entity, or any successor, in any capacity of Employee, director or consultant, or (iii) any change in status as long as the individual remains in the service of the Company or
a Related Entity in any capacity of Employee, director or consultant (except as otherwise provided in the Award Agreement). An approved leave of absence shall include sick leave, military leave or any other authorized personal leave. 
  
 Any vested Stock Options not exercised within the permissible period of time
shall be forfeited by the Participant. Notwithstanding any of the foregoing, the Participant shall not be permitted to exercise any Stock Option at a time beyond the initial option term. 
  
 g) Cashing Out of Stock Option. On receipt of written notice of exercise, the Committee may elect to cash out
all or any portion of the shares of Common Stock for which a Stock Option is being exercised by paying the Participant an amount, in cash, equal to the excess of the Fair Market Value of one share of Common Stock over the Exercise Price per share
times the number of shares of Common Stock for which the Option is being exercised on the effective date of such cash out. 
  
 SECTION 6. Stock Appreciation Rights 
  
 a) Grant and Exercise. Stock Appreciation Rights may be granted alone or in conjunction with all or part of a Stock Option granted under the
Plan and may be granted either at or after the time of grant of such Stock Option. A Stock Appreciation Right shall terminate and no longer be exercisable upon the termination or exercise of the related Stock Option. The terms and conditions of a
Stock Appreciation Right shall be set forth in the Option Agreement for the related Stock Option or an amendment thereto. 
  
 b) Freestanding Stock Appreciation Rights. A Stock Appreciation Right granted without relationship to a Stock Option, pursuant to Section
6(a), shall be exercisable as determined by the Committee, but in no event after ten years from the date of grant. Any such Award shall be in such form and shall have such terms and conditions as the Committee may determine; provided that,
the base price of a freestanding Stock Appreciation Right shall be determined by the Committee in its sole discretion. A freestanding Stock Appreciation Right shall entitle the holder, upon receipt of such right, to an amount, in cash, shares of
Common Stock or both, with the Committee having the right to determine the form of payment, determined by multiplying (i) the excess of the Fair Market Value of a share of Common Stock on the date of exercise of the Stock Appreciation Right over the
base price of the Stock Appreciation Right, by (ii) the number of shares of Common Stock as to which such Stock Appreciation Right shall have been exercised. A freestanding Stock Appreciation Right may be exercised by giving written notice of
exercise to the Company or its designated agent specifying the number of shares of Common Stock as to which such Stock Appreciation Right is being exercised. Except as otherwise provided by the Committee or as set forth in the Participant’s
Stock Appreciation Right Agreement, upon the Participant’s death or when the Participant’s Employment/Service is terminated for any reason, the Participant shall forfeit all freestanding Stock Appreciation Rights, whether vested or
unvested. Subject to the provisions of the Plan and the Stock Appreciation Right Agreement pursuant to which an award is granted, 

  

 -9- 

 
freestanding Stock Appreciation Rights may not be sold, assigned, transferred, pledged or otherwise encumbered. 
  
 c) Tandem Stock Appreciation Rights. A Stock Appreciation Right
may be exercised by a Participant in accordance with Section 6(d) by surrendering the applicable portion of the related Stock Option in accordance with procedures established by the Committee. Upon such exercise and surrender, the Participant shall
be entitled to receive an amount determined in the manner prescribed in Section 6(d). Stock Options, which have been so surrendered, shall no longer be exercisable to the extent the related Stock Appreciation Rights have been exercised. A Stock
Appreciation Right shall terminate and no longer be exercisable upon the termination or exercise of the related Stock Option. 
  
 d) Tandem Stock Appreciation Rights Terms and Conditions. Stock Appreciation Rights shall be subject to such terms and conditions as shall
be determined by the Committee, including the following: 
  
 (i) Stock Appreciation Rights shall be exercisable only at such time or times and to the extent that the Stock Options to which they relate are exercisable in accordance with the provisions of Section 5 and this
Section 6; 
  
 (ii) upon the exercise of a Stock
Appreciation Right, a Participant shall be entitled to receive an amount equal to the product of (a) the excess of the Fair Market Value of one share of Common Stock on the date of exercise over the Exercise Price per share specified in the related
Stock Option and (b) the number of shares in respect of which the Stock Appreciation Right shall have been exercised. Such amount may be paid in cash, shares of Common Stock or both, which form shall solely be determined at the discretion of the
Committee; 
  
 (iii) Stock Appreciation Rights
shall be transferable only with the related Stock Option in accordance with Section 5(e); and 
  
 (iv) upon the exercise of a Stock Appreciation Right (other than an exercise for cash), the Stock Option or part thereof to which such
Stock Appreciation Right is related shall be deemed to have been exercised for the purpose of the limitation set forth in Section 3 on the total number of shares of Common Stock to be issued under the Plan, but only to the extent of the number of
shares covered by the Stock Appreciation Right at the time of exercise. 
  
 SECTION 7. Restricted Stock; Restricted Stock Units 
  
 a) The Committee shall determine the Participants to whom and the time or times at which grants of Restricted Stock will be awarded, the number of shares to be awarded to any Participant, the conditions for vesting, the time or times within
which such Awards may be subject to forfeiture and restrictions on transfer and any other terms and conditions of the Awards (including provisions (i) relating to placing legends on certificates representing shares of Restricted Stock, (ii)
permitting the Company to require that shares of Restricted Stock be held in custody by the Company with a stock power from the owner thereof until restrictions lapse 

  

 -10- 

 
and (iii) relating to any rights to purchase the Restricted Stock on the part of the Company and any Related Entity), in addition to those contained in the
Stockholders Agreement. The terms and conditions of Restricted Stock Awards shall be set forth in a Restricted Stock Agreement, which shall include such terms and provisions as the Committee may determine from time to time. Except as provided in
this Section 7, the Restricted Stock Agreement, the Stockholders Agreement and any other relevant agreements, the Participant shall have, with respect to the shares of Restricted Stock, all of the rights of a stockholder of the Company holding the
class or series of Common Stock that is the subject of the Restricted Stock Award, including, if applicable, the right to vote the shares and, subject to the following sentence, the right to receive any cash dividends or distributions (but, subject
to the third paragraph of Section 3, not the right to receive non-cash dividends or distributions). If so determined by the Committee in the applicable Restricted Stock Agreement, cash dividends and distributions on the class or series of Common
Stock that is the subject of the Restricted Stock Award shall be automatically deferred and reinvested in additional Restricted Stock, held subject to the vesting of the underlying Restricted Stock, or held subject to meeting conditions applicable
only to dividends and distributions. 
  
 b) A Restricted Stock
Unit shall represent the right to receive Common Stock or cash, or a combination thereof, in the Committee’s discretion, at the end of a specified deferral period, which right may be conditioned on the satisfaction of specified performance or
other criteria. Each Restricted Stock Unit shall at all times be equal in value to the Fair Market Value of one share of Common Stock. The Committee shall determine the Participants to whom and the time or times at which grants of Restricted Stock
Units shall be awarded, the number of units to be awarded to any Participant, the conditions for vesting, the time or times within which such Awards may be subject to forfeiture and restrictions on transfer and any other terms and conditions of the
Awards. The terms and conditions of Restricted Stock Unit Awards shall be set forth in a Restricted Stock Unit Agreement, which shall include such terms and provisions as the Committee may determine from time to time. Unless otherwise determined by
the Committee, a Participant who has been granted an Award of Restricted Stock Units shall have none of the rights of a stockholder of the Company with respect to any portion of such Award unless and until shares of Common Stock have been issued to
such Participant in settlement of such Award. If so determined by the Committee and set forth in the applicable Restricted Stock Unit Agreement, Restricted Stock Units may be credited with dividend equivalents in the event that cash dividends are
paid or other distributions are made in respect of shares of Common Stock. In the event dividend equivalents are to be credited in respect of Restricted Stock Units, the Committee shall determine the terms and conditions thereof, including whether
such dividend equivalents shall be converted into additional Restricted Stock Units. 
  
 SECTION 8. Performance Units 
  
 a)
Administration. Performance Units may be awarded either alone or in addition to other Awards granted under the Plan. The Committee shall determine the Participants to whom and the time or times at which Performance Units shall be
awarded, the number of Performance Units to be awarded to any Participant, the duration of the Award Cycle and any other terms and conditions of the Award, in addition to those contained in Section 8(b). 
  

 -11- 

 b) Terms and Conditions. Performance Unit Awards shall be subject to the following terms
and conditions: 
  
 (i) The Committee may, prior
to or at the time of the grant, condition the settlement of Performance Units upon the attainment of Performance Goals. The Committee may also condition the settlement thereof upon the continued service of the Participant. The provisions of such
Awards (including without limitation any applicable Performance Goals) need not be the same with respect to each recipient. Subject to the provisions of the Plan and the Performance Unit Agreement referred to in Section 8(b)(vi), Performance Units
may not be sold, assigned, transferred, pledged or otherwise encumbered during the Award Cycle. 
  
 (ii) Except to the extent otherwise provided in the applicable Performance Unit Agreement or Section 8(b)(iii), upon a Participant’s
termination of Employment/Service for any reason during the Award Cycle or before any applicable Performance Goals are satisfied, all rights to receive cash or stock in settlement of the Performance Units shall be forfeited by the Participant.

  
 (iii) In the event that a Participant’s
Employment/Service is terminated (other than for Cause, as determined by the Committee), or in the event of the death of a Participant, the Committee shall have the discretion to waive, in whole or in part, any or all remaining payment limitations
with respect to any or all of such Participant’s Performance Units. 
  
 (iv) A Participant may elect to further defer receipt of cash or shares in settlement of Performance Units for a specified period or until a specified event, subject in each case to the Committee’s approval and
to such terms as are determined by the Committee (the “Elective Deferral Period”). Subject to any exceptions adopted by the Committee, such election must generally be made prior to commencement of the Award Cycle for the Performance Units
in question. 
  
 (v) At the expiration of the
Award Cycle, the Committee shall evaluate the Company’s performance in light of any Performance Goals for such Award, and shall determine the number of Performance Units granted to the Participant which have been earned, and the Committee shall
then cause to be delivered (A) a number of shares of Common Stock equal to the number of Performance Units determined by the Committee to have been earned, or (B) cash equal to the Fair Market Value of such number of shares of Common Stock to the
Participant, as the Committee shall elect (subject to any deferral pursuant to Section 8(b)(iv)). 
  
 (vi) Each Award shall be confirmed by, and be subject to, the terms of a Performance Unit Agreement. 
  

 -12- 

 SECTION 9. Term, Amendment and Termination 
  
 The Plan will continue in effect for a term of ten years after the effective date of the Plan unless sooner terminated.
Awards outstanding as of such date shall not be affected or impaired by the termination of the Plan. 
  
 The Board may amend, alter or discontinue the Plan, prospectively or retroactively, but no amendment, alteration or discontinuation shall be made which
would materially impair the rights of any Participant under an Award theretofore granted without the Participant’s consent. 
  
 The Committee may amend the terms of any Award theretofore granted, prospectively or retroactively, but no such amendment shall be made which would
materially impair the rights of any Participant thereunder without the Participant’s consent. 
  
 SECTION 10. Unfunded Status of Plan 
  
 It is presently intended that the Plan constitute an “unfunded” plan for incentive and deferred compensation. The Committee may authorize the creation of trusts or other arrangements to meet the obligations
created under the Plan to deliver Common Stock or make payments; provided, however, that unless the Committee otherwise determines, the existence of such trusts or other arrangements is consistent with the “unfunded” status of the
Plan. 
  
 SECTION 11. General Provisions 
  
 a) Stockholders Agreement. Notwithstanding anything in this
Plan to the contrary, unless the Committee determines otherwise, it shall be a condition to receiving any Award under the Plan or transferring any Option in accordance with Section 5(e) or any other transfer permitted under the terms of an Award
Agreement or otherwise, that a Participant (or transferee in the case of such transfer) shall become a party to the Stockholders Agreement, dated as of October 27, 1998, among the Company and certain stockholders of the Company, as such agreement
may be amended and/or restated from time to time (the “Stockholders Agreement”), and such Participant (or transferee in the case of such transfer) shall become a “Management Investor” thereunder (or such transferee shall become a
“Permitted Transferee” of a “Management Investor” thereunder). 
  
 b) Awards and Certificates. Shares of Restricted Stock and shares of Common Stock issuable upon the exercise or settlement of a Stock Option, Stock Appreciation Right, Restricted Stock Unit or
Performance Unit (together, “Plan Shares”) shall be evidenced in such manner as the Committee may deem appropriate, including book-entry registration or issuance of one or more stock certificates. Any certificate issued in respect of Plan
Shares shall be registered in the name of such Participant and shall bear appropriate legends referring to the terms, conditions, and restrictions applicable to such Award, substantially in the following form: 
  
 “The transferability of this certificate and the shares of stock
represented hereby are subject to the terms, conditions and restrictions (including forfeiture) of the National Financial Partners Corp. 2002 Stock Incentive Plan and a Restricted Stock Agreement and/or an Option Agreement, as the case may be,
between the issuer 

  

 -13- 

 
and the registered holder hereof. Copies of such Plan and Agreement are on file at the offices of National Financial Partners Corp. “ 
  
 “The securities represented by this certificate have not been
registered under the Securities Act of 1933, as amended, or under the securities laws of any state, and may not be sold or otherwise disposed of except pursuant to an effective registration statement under said Act and applicable state securities
laws or an applicable exemption to the registration requirements of such Act and laws.” 
  
 Such Plan Shares may bear other legends to the extent the Committee or the Board determines it to be necessary or appropriate, including any required by the Stockholders Agreement or pursuant to any applicable Award
Agreement. 
  
 The Committee may require that any certificates
evidencing Plan Shares be held in custody by the Company until the restrictions thereon shall have lapsed and that the Participant deliver a stock power, endorsed in blank, relating to the Plan Shares. 
  
 c) Representations and Warranties. The Committee may require
each person purchasing or receiving Plan Shares to (i) represent to and agree with the Company in writing that such person is acquiring the shares without a view to the distribution thereof and (ii) make any other representations and warranties that
the Committee deems appropriate. 
  
 d) Additional
Compensation. Nothing contained in the Plan shall prevent the Company or a Related Entity from adopting other or additional compensation arrangements for its Employees. 
  
 e) No Right of Employment/Service. Adoption of the Plan or grant of any Award shall not confer upon any
officer, Employee, independent contractor (including, without limitation, a manager, including an entity manager), consultant, non-Employee director or agent any right to continued Employment/Service, nor shall it interfere in any way with the right
of the Company or any Related Entity thereof to terminate the Employment/Service of any officer, Employee, independent contractor (including, without limitation, a manager, including an entity manager), consultant, non-Employee director or agent at
any time. 
  
 f) Withholding Taxes. No later than
the date as of which an amount first becomes includible in the gross income of a Participant for federal income tax purposes with respect to any Award under the Plan, such Participant shall pay to the Company or, if appropriate, any Related Entity,
or make arrangements satisfactory to the Committee regarding the payment of, any federal, state, local or foreign taxes of any kind required by law to be withheld with respect to such amount. If approved by the Committee, withholding obligations may
be settled with Common Stock, including Common Stock that is part of the Award that gives rise to the withholding requirement. The obligations of the Company under the Plan shall be conditional on such payment or arrangements, and the Company and
any Related Entity shall, to the extent permitted by law, have the right to deduct any such taxes from any payment otherwise due to the Participant. The Committee may establish such procedures, as it deems 

  

 -14- 

 
appropriate, including making irrevocable elections, for the settlement of withholding obligations with Common Stock. 
  
 g) Beneficiaries. The Committee shall establish such procedures
as it deems appropriate for a Participant to designate a beneficiary to whom any amounts payable in the event of the Participant’s death are to be paid or by whom any rights of the Participant, after the Participant’s death, may be
exercised. 
  
 h) Governing Law. Except to the
extent that provisions of the Plan are governed by applicable provisions of the Code or other substantive provisions of Federal law, the Plan and all Awards made and actions taken thereunder shall be governed by and construed and enforced in
accordance with the laws of the State of Delaware without regard to the principles of conflicts of law thereof. 
  
 i) Compliance with Laws. If any Applicable Law shall require the Company or a Participant seeking to exercise Stock Options or Stock
Appreciation Rights or to settle Restricted Stock Units or Performance Units payable in Common Stock to take any action with respect to the Plan Shares to be issued upon the exercise of such Stock Options or Stock Appreciation Rights or upon the
settlement of such Restricted Stock Units or Performance Units, then the date upon which the Company shall issue or cause to be issued the certificate or certificates for the Plan Shares shall be postponed until full compliance has been made with
respect to all such requirements of law or regulation; provided, that the Company shall use its reasonable efforts to take all necessary action to comply with such requirements of law or regulation. Moreover, in the event that the Company
shall determine that, in compliance with the Securities Act or other applicable statutes or regulations, it is necessary to register any of the Plan Shares with respect to which an exercise of a Stock Option or Stock Appreciation Right or the
settlement of a Restricted Stock Unit or Performance Unit payable in Common Stock has been made, or to qualify any such Plan Shares for exemption from any of the requirements of the Securities Act or any other applicable statute or regulation, no
Stock Options or Stock Appreciation Rights may be exercised, no Restricted Stock Unit or Performance Unit may be settled in Common Stock, and no Plan Shares shall be issued to a holder exercising a Stock Option or Stock Appreciation Right or to a
holder of a Restricted Stock Unit or Performance Unit payable in Common Stock until the required action has been completed; provided, that the Company shall use its reasonable efforts to take all necessary action to comply with such
requirements of law or regulation. Notwithstanding anything to the contrary contained herein, neither the Board nor the members of the Committee owes a fiduciary duty to any Participant in his or her capacity as such. 
  
 SECTION 12. Effective Date of Plan 
  
 The Plan shall be effective as of the date it is approved by the Board.

  

 -15-

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