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                                                                   EXHIBIT 10.68

                             TENNECO INC. THREE YEAR
                   LONG TERM PERFORMANCE UNIT AWARD AGREEMENT
                             (2008 and future years)

        , 20__

Dear Participant:

          Pursuant to the provisions of the Tenneco Inc. (the "Company") 2006
Long-Term Incentive Plan (the "Plan"), you were granted an Award (the "Award")
of Long Term Performance Units (the "Units"), on          , 20__. The Award
covers the three calendar years listed on Exhibit A (the "Performance Period").

     1.   Defined Terms.

          (a) "Average Price" means the average of the closing prices of the
     Company's common stock on the New York Stock Exchange ("NYSE") for each of
     the ten NYSE trading days immediately following the Company's public
     announcement of its results of operations for a particular year ("Average
     Period").

          (b) "Beginning Stock Price" means, as to any calendar year, the
     Average Price calculated immediately following the Company's release of its
     annual earnings for the prior calendar year. (For example, for 2008, the
     Beginning Stock Price is the Average Price calculated immediately following
     the Company's release of its 2007 annual earnings.)

          (c) "Ending Stock Price" means, as to any calendar year, the Average
     Price calculated immediately following the Company's release of its annual
     earnings for that calendar year. (For example, for 2008, the Ending Stock
     Price is the Average Price calculated immediately following the Company's
     release of its 2008 annual earnings.)

          (d) "Payout Stock Price" means the Average Price calculated
     immediately following the Company's release of its annual earnings for the
     last calendar year in the Performance Period.

          (e) "Three Year Annualized TSR" means the sum of the TSR for each of
     the three calendar years, divided by three."

          (f) "Total Shareholder Return or TSR" means, as to any given calendar
     year, the amount (expressed as a percentage) equal to (i) (A) Ending Stock
     Price, minus (B) the Beginning Stock Price, plus (C) the amount of any
     dividends per share of the Company's common stock declared during such year
     and paid, divided by (ii) Beginning Stock Price.

     2.   Performance and Award Settlement.

          (a) If the Company's Three Year Annualized TSR is zero or a positive
     number, on December 31 of the last year of the Performance Period you will
     earn that amount of your Units that is equal to (i) the number of Units,
     multiplied by (ii) the Unit Payout Modifier as defined in and determined
     pursuant to Exhibit A to this Award; provided, however, that the maximum
     Unit Payout Modifier shall be ____. If the Company's Three Year Annualized
     TSR does not equal or exceed zero, you will not earn any of your Units.

          (b) Following the end of the Performance Period, the Company will pay
     you cash in an amount equal to the total number of Units represented by
     this Award which you earned for the Performance Period, if any, times the
     cash value of one share of common stock of the Company. The cash value of a
     share of the Company's common stock will be equal to the Payout Stock
     Price. The payment will be made no later than the next regularly scheduled
     payroll payment date that is at least five business days after the date on
     which the Payout

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     Stock Price can first be calculated; provided, however, that if the
     Company fails to announce publicly its results of operations for the final
     year in the Performance Period before February 15 of 20__, you may elect to
     receive your payment for the Performance Period on February 20 of 20__
     based on an Average Period equal to the ten NYSE trading days ending two
     business days before February 20, 20__.

          (c) The provisions of this Paragraph 2 are subject to the provisions
     of any written employment agreement you may have with the Company and the
     Tenneco Inc. Change In Control Severance Benefit Plan for Key Executives or
     any successor thereto (as the same may be amended from time to time, the
     "Severance Plan").

     3.   Committee Discretion to Amend Award.

          The Committee may amend or terminate this Award at any time in its
     sole discretion (a) to exercise downward discretion in the amount payable
     under this Award if the Committee determines that the payout yielded or
     that would be yielded by this Award for the Performance Period does not
     accurately reflect the Company's performance for the Performance Period
     because the payout is too great, (b) to reflect changes in the number of
     outstanding Long Term Performance Units (and similar awards) of the Company
     outstanding for the Performance Period (as compared to the number of such
     outstanding awards at the time when this Award Agreement was issued), and
     (c) to reflect the effects of any corporate transaction as contemplated by
     the Plan. Notwithstanding the foregoing, the Committee may not amend or
     terminate this Award in a manner that adversely impacts your payment under
     this Award at any time after your employment by Tenneco Inc. and its
     Subsidiaries terminates due to your Retirement, death or Total Disability
     (each as defined below).

     4.   Retirement, Death and Total Disability.

          Notwithstanding anything to the contrary contained herein or in any
     written employment agreement you may have with the Company (subject,
     however, to any applicable provisions of the Severance Plan and the
     provisions hereof related thereto), if your employment by Tenneco Inc. and
     its Subsidiaries terminates on or before the end of the Performance Period
     as a result of your Retirement, death or Total Disability, (A) you will be
     deemed to have earned 100% of the Units initially assigned to you under
     this Award and (B) within 60 days following such termination, you or your
     beneficiary will be entitled to receive a cash payment equal to the total
     number of Units initially assigned to you under this Award times the cash
     value of one share of common stock of the Company (which shall be equal to
     the average of the closing sales prices of the Company's common stock on
     the NYSE for the ten trading days immediately following such termination)
     and such amount shall be pro rated based upon your number of full months
     employed during the Performance Period as a percentage of the number of
     months in the Performance Period. For purposes hereof, the term
     "Retirement" means termination of your employment after you have met the
     eligibility requirements for early or normal retirement as established in
     accordance with the retirement plan of the Company or its Subsidiaries
     covering you at the time such termination occurs and the term "Total
     Disability" means your permanent and total disability as determined under
     the rules and guidelines established by the Company in order to qualify for
     long-term disability coverage under the Company's long-term disability plan
     in effect at the time of such determination.

     5.   Termination in Other Circumstances.

          Notwithstanding anything to the contrary contained herein (subject,
     however, to any applicable provisions of the Severance Plan or any written
     employment agreement you may have with the Company and the provisions
     hereof related thereto), if your employment with Tenneco Inc. and its

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     Subsidiaries terminates on or before the end of the Performance Period
     other than as a result of your Retirement, death or Total Disability, you
     will forfeit the Units evidenced by this Award, unless the Committee
     determines otherwise.

     6.   Fair Market Value Payment in Certain Cases.

          If you are entitled to receive payment for the fair market value of
     this Award pursuant to the Plan or the Severance Plan, that fair market
     value will be equal to, at least, the amount you would have received
     hereunder (based on the then-current fair market value of the Company's
     common stock as determined by reference to the average closing prices
     therefor on the NYSE for the ten trading days prior to the date on which
     you become entitled to payment) as if (1) your service had continued
     through the end of the Performance Period and (2) you had earned 100% of
     your Units.

     7.   Withholding Taxes.

          As set forth in the Plan, the Company shall be entitled to withhold
     from any payment due hereunder an amount sufficient to satisfy any federal,
     state, local or other withholding taxes.

     8.   Miscellaneous.

          As a condition of this Award, you are required to execute the
     acknowledgment at the bottom of the enclosed copy of this Award notice and
     return the acknowledged copy of this Award notice to the Human Resources
     Department of Tenneco Inc. not later than [DATE], [____]. By accepting this
     Award, you agree and acknowledge that you have received and read the copy
     of the Plan and that you accept this Award subject to the terms and
     conditions of the Plan. The Units are transferable only by will, the laws
     of descent and distribution, pursuant to a qualified domestic relations
     order, or by designation of beneficiary in the event of death (enclosed).
     This Award is subject to all the definitions, terms and conditions of the
     Plan, a copy of which is enclosed. To the extent any provision of this
     Award conflicts with applicable law, the Committee shall have the
     discretion to modify or amend this Award, or adopt additional terms and or
     conditions, as may be deemed necessary or advisable in order to comply with
     the local, state, federal or foreign laws and regulations of any
     jurisdiction. In the event of any discrepancy between the provisions of the
     Plan and this or any other communication regarding the Plan, the provisions
     of the Plan control. This Award shall be binding upon and inure to the
     benefit of the Company and its successors and assigns, on the one hand, and
     you and your permitted transferees, on the other hand.

                                                    TENNECO INC.:
                                                    By:
                                                       -------------------------
                                                    Name:
                                                         -----------------------
                                                    Title:
                                                          ----------------------

EMPLOYEE:
--------------------------------------
Signature
--------------------------------------
Type or Print Legal name
--------------------------------------
Social Security Number of Natural ID
--------------------------------------
Address
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City/State/Zip/Country

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                                    EXHIBIT A<PAGE>
                                                                   Exhibit 10.69

                              [TENNECO LETTERHEAD]

                                 January 5, 2007

PERSONAL AND CONFIDENTIAL

Mr. Timothy E. Jackson
13694 Shady Lane
Monroe, MI 48161

Dear Mr. Jackson:

         On behalf of Tenneco Inc. (the "Company"), I am pleased to set forth
and confirm the terms and conditions of your continued service as Senior Vice
President, Technology and General Manager -- Asia Pacific of the Company. This
letter agreement amends your employment letter agreement with the Company dated
July 11, 2000, as it was amended by your expatriate agreement dated July 21,
2005 (the "Original Agreement").

1. Base Salary. Your minimum base salary of $260,000 per year as set forth in
Paragraph 2 of the Original Agreement is hereby amended to be $327,600 per year,
which will be subject to such increases as may from time to time be approved by
the Board or such committee of the Board to which such power has been delegated
(the "Committee"), payable according to the regular pay schedule for salaried
employees.

2. Annual Bonus. Your minimum annual target bonus of $155,000 as set forth in
Paragraph 3 of the Original Agreement is hereby amended such that, commencing
with calendar year 2006, your annual target bonus will be, at least, $161,000
subject to fulfillment of performance goals or other criteria as determined by
the Board or Committee.

3. Amendment to KEPP and SERP. Effective as of August 31, 2006, you hereby
consent and agree to the following changes to (a) the Company's Key Executive
Pension Plan and its successor, the Company's Supplemental Pension Plan for
Management (collectively, the "KEPP"), and (b) the Company's Supplemental
Executive Retirement Plan and its successor, the Company's Supplemental
Retirement Plan (collectively, the "SERP"). The Company may (i) amend the
Supplemental Retirement Plan to provide that (a) all of your benefit accruals
under that plan will be frozen effective as of December 31, 2006, (b) you shall
not be a participant in that plan after December 31, 2006, (c) no compensation
or service (for purposes of benefit accrual) for periods after December 31, 2006
shall be taken into account under that plan, and (d) you will not accrue any
additional benefits under that plan after December 31, 2006, and (ii) amend the
Supplemental Pension Plan for Management, effective as of January 1, 2007, to
(x) reduce from 4% to 3.6% the annual rate (expressed as a percentage of final
average compensation as defined in that plan) at which you will accrue benefits
under such plan for each year of service earned after December 31, 2006, (y)
reduce from 50% to 47.5% the maximum accrual under such plan and (z) provide as
an offset to benefits under such plan the actuarial equivalent value (determined
in accordance with the assumptions used for such purpose under

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such plan) of any amounts paid to you in respect of "DB Replacement
Contributions" as described in the Company's Current Report on Form 8-K dated
August 23, 2006.

4. Governing Law; No Other Amendments. This letter agreement shall be governed
by, and shall be construed in accordance with, the internal laws (and not the
laws of conflicts) of the State of Illinois. Except as expressly set forth
herein, the Original Agreement shall not be amended or modified hereby. The
Original Agreement shall, as expressly amended hereby, remain in full force and
effect.

                                             Sincerely,

                                             TENNECO INC.

                                             /s/ Timothy R. Donovan

                                             By: Timothy R. Donovan

                                             Its: Executive Vice President and
                                                  General Counsel

ACKNOWLEDGED AND ACCEPTED

                                                  Date:
--------------------------                             -------------------------
Timothy E. Jackson

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