Document:

EX-10.1

 Exhibit 10.1 
 PRUDENTIAL FINANCIAL, INC 
 Terms and Conditions of the 

2013 Long-Term Incentive Program for Senior Executives 

 IMPORTANT NOTICE 
 This document is intended to help you understand the main features of the 2013 Long-Term Incentive Program (the Long-Term Program) under the Prudential Financial, Inc. Omnibus Incentive Plan (the
Plan). You should refer to this document only for grants made in 2013, because terms may change from year to year. 
 This
document is not a substitute for the official Plan documents, which govern the operation of the Plan. All terms and conditions of the Long-Term Program and the Plan, including your eligibility and any benefits, will be determined pursuant to, and
are governed by, the provisions of the Plan documents. If there is any discrepancy between the information in this document or in any other materials relating to the Plan and the actual Plan documents, or if there is a conflict between information
discussed by anyone acting on behalf of Prudential and the actual Plan documents, the Plan documents, as interpreted by the Compensation Committee as the Plan administrator in its sole discretion, will always govern. 

Prudential may, in its sole discretion, modify, amend, suspend, or terminate the Plan or the Long-Term Program, or any and all of the policies, programs
and plans described in this document in whole or in part, at any time, without notice to or consent of any Participant to the extent permissible under applicable law. 
 Nothing contained in this document, or in any other materials related to either the Long-Term Program or the Plan, is intended to constitute or create a contract of employment nor shall it constitute or
create the right to remain associated with or in the employ of Prudential for any particular period of time. For US Participants only employment with Prudential is employment-at-will; this means that either you or Prudential may terminate the
employment relationship or association at any time, with or without cause or notice. 

 CONTENTS 

 

							
	 	 	 	  	Page	 
			
	PART A:	 	 General terms and conditions
	  	 	1	  
	1.	 	 Purpose
	  	 	1	  
	2.	 	 Eligibility and grants
	  	 	1	  
	3.	 	 Acceptance of an Award
	  	 	1	  
	4.	 	 Taxes
	  	 	1	  
	5.	 	 Value of Awards
	  	 	2	  
	6.	 	 Covenant not to solicit; other terms and restrictions
	  	 	2	  
	7.	 	 Compliance with Applicable Laws
	  	 	4	  
	8.	 	 Investment representation
	  	 	4	  
	9.	 	 Governing law
	  	 	4	  
	10.	 	 Electronic delivery and acceptance
	  	 	4	  
	11.	 	 No rights as a shareholder
	  	 	5	  
	12.	 	 Section 409A
	  	 	5	  
	13.	 	 Other terms
	  	 	5	  
	PART B:	 	 Terms and conditions applicable to Restricted Stock Units
	  	 	6	  
	1.	 	 Restricted Period
	  	 	6	  
	2.	 	 Settlement of Restricted Stock Units
	  	 	6	  
	3.	 	 Vesting or forfeiture of Restricted Stock Units following termination of Employment in specific circumstances
	  	 	6	  
	4.	 	 Section 409A
	  	 	8	  
	5.	 	 Dividend Equivalents
	  	 	8	  
	PART C:	 	 Terms and conditions applicable to Options
	  	 	10	  
	1.	 	 Vesting and exercise
	  	 	10	  
	2.	 	 Exercise of Options
	  	 	10	  
	3.	 	 Option term
	  	 	10	  
	4.	 	 Exercise or forfeiture of Options following termination of Employment in specific circumstances
	  	 	10	  
	PART D:	 	 Terms and conditions applicable to Performance Shares and Performance Units under the Long-Term Performance Program, a
sub-program of the Long-Term Incentive Program
	  	 	13	  
	1.	 	 Performance Cycle
	  	 	13	  
	2.	 	 Settlement of Performance Shares and Performance Units
	  	 	13	  
	3.	 	 Earnout: Performance Goals
	  	 	13	  
	4.	 	 Vesting or forfeiture of Performance Shares and Performance Units following termination of Employment in specific
circumstances
	  	 	14	  
	5.	 	 Section 409A
	  	 	16	  
	6.	 	 Dividend Equivalents
	  	 	17	  
	PART E:	 	 Terms and conditions applicable to Book Value Units under the Book Value Performance Program, a sub-program of the Long-Term
Incentive Program
	  	 	18	  
	1.	 	 Book Value Units
	  	 	18	  
	2.	 	 Vesting Period
	  	 	18	  
	3.	 	 Settlement of Book Value Units
	  	 	18	  
	4.	 	 Vesting or forfeiture of Book Value Units following termination of Employment in specific circumstances
	  	 	18	  
	5.	 	 Forfeiture
	  	 	21	  
	6.	 	 Section 409A
	  	 	21	  
	7.	 	 No Dividend Equivalents
	  	 	21	  
	  
 Schedule
	  			

							
	 1.
	 	Definitions	  	 	22	  
	 2.
	 	Country specific variations	  	 	25	  
	 3.
	 	Form for declining an Award	  	 	27	  

 Prudential Financial, Inc. 2013 Long-Term Incentive Program 

This document contains the principal terms and conditions applicable to Awards granted to employees under the Prudential Financial, Inc. Omnibus
Incentive Plan (the Plan) for 2013. Specific provisions applicable to any employees selected to participate in any particular country are set out in Schedule 2. 
 PART A: General terms and conditions 
  

	1.	Purpose 

 Prudential’s 2013 Long-Term
Incentive Program (the Long-Term Program) is made available to employees subject to the terms of the Plan and is designed to strengthen the links between leadership, motivation and consistent performance. Employees selected to participate in
the Long-Term Program may be granted Awards of Performance Units valued by reference to the book value of the Common Stock (the Book Value Units), Awards of Restricted Stock Units, Options, Performance Shares, Performance Units, or a
combination thereof, and will be advised of the Awards made to them in their own personalized compensation statement or a communication from their manager. 
 The grant of Awards under the Long-Term Program is subject to the terms and conditions contained in the Plan document. This document describes the principal terms and conditions of Awards granted to
employees under the Plan (the Terms). The Schedule to these Terms contains the definitions used in these Terms. If there is any discrepancy between these Terms and the Plan document, or if there is a discrepancy between any information given
by anyone acting on behalf of any member of the Company Group and the Plan document, the Plan document, as interpreted by the Compensation Committee, will always govern. 

 

	2.	Eligibility and grants 

 Grants of Awards
under the Plan are entirely at the sole discretion of Prudential. 
 A grant of an Award under the Plan on one occasion does not give an
employee the right to any further grant at any time in the future. 
  

	3.	Acceptance of an Award 

 An employee
granted an Award may accept the Award in any manner specified by the Compensation Committee (or the Company Group) and may be deemed to have accepted an Award if the employee has not declined the grant of that Award (in whole or in part) within any
period of time specified by the Compensation Committee (or the Company Group) and notified to the employee. 
 By accepting an Award, a
Participant will be responsible for complying with any Applicable Laws relating to: 
  

	(i)	the transfer of funds on the exercise of an Option (if the Cash Exercise method is used); 

 

	(ii)	the acquisition, holding and sale of shares of Common Stock acquired under the Plan; and 

 

	(iii)	the opening and maintaining of a U.S. brokerage account. 

 The Applicable Laws may change and Participants should seek their own professional legal, financial and taxation advice in relation to their participation in the Plan. 

 

	4.	Taxes 

 Prudential or any member of the
Company Group, as appropriate, has the right to deduct, report and account for any taxes or other obligations required to be withheld by law in connection with an Award. Prudential 

  
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(or, as appropriate, any other member of the Company Group) may require a Participant to pay to Prudential (or, if appropriate, any other member of the Company Group) the amount necessary to
satisfy any such taxes or other obligations and may defer delivery of shares of Common Stock under the Plan to a Participant until such withholding is satisfied. On the exercise or the Vesting of an Award (as appropriate), Prudential or, if
appropriate, any other member of the Company Group, will have the right to withhold, either through payroll, through the withholding of sufficient shares of Common Stock or otherwise, in order to satisfy any applicable withholding requirements on
the exercise or the Vesting of an Award (as appropriate). Participants will be responsible for ensuring that their own tax affairs in connection with the Plan are in order. 

 

	5.	Value of Awards 

 Prudential makes no
representation as to the future value of any Award under the Plan or whether any profit will be realized with respect to any Award. Past performance may not be a reliable guide to future performance. Investments may fall as well as rise in value. By
accepting the grant of an Award, a Participant agrees that Prudential and the other members of the Company Group are not responsible for foreign exchange fluctuations between the Participant’s local currency and the U.S. dollar and are not
liable for any decrease in the value of shares of Common Stock. Changes in exchange rates may have an adverse effect on the value, price or income of the securities. 
  

	6.	Covenant not to solicit; other terms and restrictions 

  

	(a)	Restrictions during Employment: By accepting the grant of an Award a Participant agrees that during Employment, the Participant will not, other than on behalf of
the Company Group or as may otherwise be required in connection with the performance of the Participant’s duties on behalf of the Company Group, solicit or induce, either directly or indirectly, or take any action to assist any entity, either
directly or indirectly, in soliciting or inducing any employee of the Company Group (other than the Participant’s administrative assistant) to leave Employment (Induce Departures). 

 

	(b)	Post-Employment restrictive covenants, acknowledgements and representations: By accepting the grant of an Award a Participant agrees that following the
termination of the Participant’s Employment: 

  

	 	(i)	Until the original latest Vesting date of the Award or, if ending later, for a period of one year after the termination of the Participant’s Employment for any
reason, the Participant will not Induce Departures or hire or employ, or assist in the hire or employment of, either directly or indirectly, any employee of the Company Group (other than the Participant’s administrative assistant) or any former
employee of the Company Group within 60 days of that former employee’s cessation of Employment with the Company Group; 

  

	 	(ii)	If the Participant voluntarily resigns in circumstances qualifying for Approved Retirement, the Participant will not compete with the Company Group in any business in
which the Company Group is engaged on the last date of the Participant’s Employment that operates in any geographic area in which the Company Group operates as of the Participant’s last date of Employment, for a period of one year
following the Participant’s termination of Employment or until the original latest Vesting date of the Award, whichever is the shorter period; and 

  

	 	(iii)	The Participant could earn a living while fully complying with all of the provisions, restrictions and covenants contained in these Terms. The Participant acknowledges
that Prudential provides a wide range of insurance, investment management and other financial products and services to customers throughout the world and that the restrictions contained in these Terms are reasonable and necessary to protect
Prudential’s legitimate interests in its confidential information, trade secrets, customer relationships, and investment in the training and development of its employees. 

  
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	(c)	Restrictions separable and divisible: By accepting the grant of an Award a Participant acknowledges and accepts the restrictions imposed by subsections 6(a) and
(b) of Part A of these Terms and that each restriction will be construed as separate and divisible from every other restriction. If any provision contained in the Plan or these Terms is for any reason held invalid, illegal or unenforceable in
any respect, that invalidity, illegality or unenforceability will not affect any other provision of the Plan or these Terms, and the Plan or these Terms will be construed as if the invalid, illegal or unenforceable provision had not been included in
the Terms. It is the intention of the parties that if any of the restrictions or covenants contained in these Terms is held to cover a geographic area or to be for a length of time which is not permitted by Applicable Law, or in any way construed to
be too broad or to any extent invalid, that provision will not be null, void and of not effect, but to the extent the provision would be valid or enforceable under Applicable Law, a court of competent jurisdiction will construe and interpret or
reform the Terms to provide for a covenant having the maximum enforceable geographic area, time period and other provisions (not greater than those contained in these Terms) as will be valid and enforceable under the Applicable Law. Prudential may
waive any restriction or any breach in circumstances that it determines do not adversely affect its interests, but only in writing signed by its Senior Vice President, Human Resources (or the successor to his or her human resource responsibilities),
or his or her delegate. No waiver of a breach of a restriction will be deemed a waiver of any other breach. 

  

	(d)	 Remedies: By accepting the grant of an Award a Participant agrees that the restrictions in subsections 6(a) and (b) of Part A of these
Terms are fair, reasonable and necessary, and are reasonably required for the protection of Prudential and any other member of the Company Group. The Participant agrees and acknowledges that the amount of damages that would derive from the breach of
any restriction is not readily ascertainable and that the restrictions are a significant portion of the consideration that the Participant conveys to Prudential in consideration of the grant of an Award. Accordingly, if a Participant fails to
execute and submit or revokes a Release or breaches any of the restrictive covenants set out in subsections 6(a) and (b) of Part A of these Terms, all of the Participant’s outstanding Awards will be cancelled immediately on the date of
that failure, as determined in the sole discretion of the Compensation Committee or its delegate. If a Participant breaches any of the restrictive covenants set out in subsections 6(a) and (b) of Part A of these Terms, in addition to any
equitable relief available to Prudential as outlined below, the Participant will transfer to Prudential Common Stock (rounded to the nearest whole share) equal in value (using the current Market Value of Common Stock on the date the letter of
notification of the breach is dated) to the profit realized by the Participant under the Plan occurring (I) in the case of any breach while the Participant is an employee of the Company Group, within twelve (12) months before the date of
the breach or at any time after the date of such breach; or (II) in the case of a breach after the termination of the Participant’s Employment, within six (6) months before the date on which the Participant’s Employment terminated or
at any time after the date of such termination of Employment. For the avoidance of doubt, the term “profit” referred to in the preceding sentence will be equal to (I) in the case of any Options, the sums (determined separately for
each exercise of any portion of the Options within the applicable period established pursuant to such sentence) of (i) (A) the Market Value of a share of Common Stock on the date of exercise, in the case of a Cash Exercise, the price at
which shares of Common Stock are sold, in the case of a Same Day Sale, or a combination of such Market Value and sales price, in the case of a Sell to Cover (as each such term is defined in Part C below), minus (B) the Grant Price of the
Option, times (ii) the number of shares of Common Stock acquired on exercise of the Option(s); (II) in the case of any Restricted Stock Unit or Performance Share Award, the sums (determined separately for each grant payable within the
applicable period established pursuant to such sentence) of (i) the Market Value of a share of Common Stock on the date of payment times (ii) the number of shares of Common Stock acquired or acquirable, and (III) in the case of any other
Award payable in cash, the amount of cash paid in respect of such Award. The Participant will pay any such amount (in the form of Common Stock or cash, as applicable) to Prudential within five (5) business days of the date Prudential notifies
the Participant that a breach of the provisions of this Section 6 has occurred. If payment is not made within that period, any subsequent payment will be made with interest at a rate equal to the prime

  
 3 

	 	
rate as reported in The Wall Street Journal (Eastern Edition) on the date on which notice of the breach is sent to the Participant by Prudential, plus two (2) percent. Interest payments will
be made in cash. A Participant also acknowledges that the damages to Prudential for any breach of subsections 6(a) or (b) of Part A of these Terms would be irreparable. Therefore, in addition to monetary damages and/or reasonable
attorney’s fees, Prudential will have the right to seek injunctive and/or other equitable relief in any court of competent jurisdiction to enforce the restriction. Further, a Participant consents to the issue of a temporary restraining order to
maintain the status quo pending the outcome of any proceeding. 

  

	7.	Compliance with Applicable Laws 

 Awards
granted under the Plan and Prudential’s obligation to deliver shares of Common Stock or make payment of cash, as applicable, under these Terms will be subject in all respects to (a) all Applicable Laws, and (b) any registration,
qualification, approvals or other requirements imposed by any government or regulatory agency or body which the Compensation Committee determines to be necessary or applicable. Shares of Common Stock or cash, as applicable, may not be delivered or
paid to a Participant if their receipt would be contrary to any Applicable Laws or the rules of any applicable stock exchange. 
  

	8.	Investment representation 

 If at the time
of delivery of any shares of Common Stock under the Plan, the Common Stock is not registered under the United States Securities Act of 1933, as amended (the Securities Act), or there is no current prospectus in effect under the Securities Act
with respect to the Common Stock, a Participant will, if requested by the Compensation Committee, execute, before the delivery of any shares of Common Stock, an agreement (in the form the Compensation Committee specifies) in which the Participant
represents and warrants that the Participant is acquiring the shares for the Participant’s own account, for investment only and not with a view to the resale or distribution of the shares, and agrees that any subsequent offer for sale or
distribution of any kind of such shares will be made only pursuant to either (a) a registration statement on an appropriate form under the Securities Act, which registration statement has become effective and is current with regard to the
shares being offered or sold; or (b) a specific exemption from the registration requirements of the Securities Act, but in claiming that exemption, the Participant will, before any offer for sale of the shares, obtain a prior favorable written
opinion, in form and substance satisfactory to the Compensation Committee, from counsel for or approved by the Compensation Committee, as to the applicability of the exemption. 

 

	9.	Governing law 

 A Participant acknowledges
that Prudential is organized under the laws of the State of New Jersey and maintains its headquarters in Newark, New Jersey. The Participant further acknowledges that Prudential has an interest in ensuring the uniform interpretation and application
of these Terms to all Participants. Accordingly, Prudential and the Participant agree that the Plan and these Terms will be governed by the laws of the State of New Jersey, without giving effect to its conflict of law provisions. 

 

	10.	Electronic delivery and acceptance 

 By
accepting an Award under the Plan, a Participant agrees, to the fullest extent permitted by Applicable Laws, in lieu of receiving documents in paper format to accept electronic delivery of any documents that any member of the Company Group may be
required to deliver in connection with the Plan. Electronic delivery of a document may be via e-mail or by reference to a location on a member of the Company Group’s intranet site or a designated third-party vendor’s internet site.

  
 4 

	11.	No rights as a shareholder 

 A Participant
does not have any rights as a shareholder in Prudential by virtue of the grant of an Award under the Plan, but only with respect to shares of Common Stock, if any, delivered to the Participant in accordance with the Plan and these Terms. 

 

	12.	Section 409A 

 Notwithstanding any
provision of the Plan to the contrary, no acceleration of the time or schedule of any delivery of shares or other payment related to an Award will be permitted to the extent necessary to comply with Code Section 409A and any regulations issued
under Section 409A. The Compensation Committee may amend, modify, adjust or supplement any provision of the Plan without a Participant’s consent if the Compensation Committee determines that the amendment, modification, adjustment or
supplementation is required or advisable for an Award or Prudential to comply with, or not violate, any Applicable Laws, regulation or rule, including, without limitation, Section 409A. 

 

	13.	Other terms 

 Participation in the Plan
does not entitle an employee of the Company Group to any benefit other than that granted under the Plan. Any benefits granted under the Plan will not be deemed to be compensation under any pension plan or other retirement plan, welfare plan or any
compensation plan or program maintained by any member of the Company Group, and will not be considered as part of compensation for the purposes of calculating pension, profit-sharing, bonuses, service awards, or in the event of severance, redundancy
or resignation. 
 Prudential may modify, amend, suspend or terminate the Plan or any and all of the policies, programs and terms of the Plan in
whole or in part, at any time, without notice to or with the consent of Participants. 
 If shares of Common Stock are, or are to be, delivered
in a manner not specifically authorized by the Plan, (i.e., in “Error”), Prudential will be entitled to correct the Error, including reversing the transaction and recouping any Common Stock or gain that might be delivered as a result of
the Error. 
 The English language version of any documents provided in connection with the Plan will prevail in the case of any ambiguities or
divergences as a result of the translation of the document into any other language. 
 Participation in the Plan is not intended to constitute
or create a contract of employment nor does it constitute or create the right to remain associated with or in the employ of any member of the Company Group for any particular period of time. Participation in the Plan does not affect in any way a
member of the Company Group’s right to terminate an employee’s Employment at any time, with or without cause, and does not form part of an employee’s employment contract, if any. 

As a term of participation in the Plan, each Participant will indemnify the Company Group for any loss (including but not limited to any costs, damages,
expenses, claims, penalties or demands) suffered by any member of the Company Group, and no member of the Company Group will be liable to such Participant (or any beneficiaries thereto) for any such loss suffered by the Participant (or any
beneficiaries), as a result of any action taken by the Participant or any failure by the Participant to take any action. 

  
 5 

 PART B: Terms and conditions applicable to Restricted Stock Units under the Long-Term
Incentive Program 
  

	1.	Restricted Period 

 The restricted period
(the Restricted Period) with respect to the Restricted Stock Units will begin on the Grant Date and will end on the RSU Payment Date. 
  

	2.	Settlement of Restricted Stock Units 

Subject to the terms and conditions of the Plan, a Participant in active Employment on the RSU Payment Date will receive as soon as administratively
practicable after the RSU Payment Date (but not later than the end of the calendar year in which the RSU Payment Date occurs) the number of shares of Common Stock equal to the number of Restricted Stock Units vested in accordance with these Terms,
less any taxes or other deductions required by Applicable Law. 
  

	3.	Vesting or forfeiture of Restricted Stock Units following termination of Employment in specific circumstances 

A Participant’s outstanding Restricted Stock Units will automatically be forfeited and cancelled on the termination of the Participant’s
Employment and no shares of Common Stock may thereafter be issued with respect to the Restricted Stock Units, except in the specific circumstances set out in the table below: 

 

			
	  	  	 Restricted Stock Units

	 Type of Termination of Employment
	  	 Vesting Status

		
	Voluntary Resignation	  	All outstanding Restricted Stock Units are immediately forfeited.

  
 6 

			
	  	  	 Restricted Stock Units

	 Type of Termination of Employment
	  	 Vesting Status

		
	Approved Retirement	  	 If the Participant retires in 2013 with less than 3 months of active service in such year, all Restricted Stock Units will immediately
be forfeited.
  
 If the Participant retires in 2013 in circumstances
qualifying for Approved Retirement and executes and submits a Release by the date specified by Prudential (and does not later revoke the Release), the Participant will receive a pro-rated(1) number of shares of Common Stock as soon as administratively practicable following the RSU Payment Date (but in all
events not later than the end of the calendar year in which the RSU Payment Date occurs). The remainder of the Restricted Stock Units will be forfeited. If the Participant does not execute a Release, all Restricted Stock Units will be forfeited on
the last date of Employment.
  
 If the Participant retires after 2013 in
circumstances qualifying for Approved Retirement and executes and submits a Release by the date specified by Prudential (and does not later revoke the Release), the Participant will receive shares of Common Stock equal to the number of outstanding
Restricted Stock Units as soon as administratively practicable after the RSU Payment Date (but in all events not later than the end of the calendar year in which the RSU Payment Date occurs). If the Participant does not execute a Release, all
Restricted Stock Units will be forfeited on the last date of Employment.

		
	Termination for Cause	  	 All outstanding Restricted Stock Units are immediately forfeited.

 
 The Compensation Committee may require the Participant to repay any payment, profit,
gain or other benefit (including, but not limited to, any dividends or Dividend Equivalents) in respect of the Restricted Stock Units or any prior restricted stock units or Awards received within a period of twelve (12) months before the
Participant’s termination of Employment for Cause. If a Participant’s Employment is terminated by any member of the Company Group for Cause, the provisions in these Terms relating to termination for Cause will apply notwithstanding any
assertion (by the Participant or otherwise) that the Participant’s Employment was terminated for any other reason.

		
	Death (while an active employee)	  	All outstanding Restricted Stock Units become fully vested and the Participant’s estate will receive shares of Common Stock as soon as administratively practicable (but not
later than 74 days) thereafter.

  
 7 

			
	  	  	 Restricted Stock Units

	 Type of Termination of Employment
	  	 Vesting Status

		
	Disability	  	All outstanding Restricted Stock Units become fully vested and the Participant will receive shares of Common Stock as soon as administratively practicable (but not later than 74
days) thereafter.
		
	Involuntary Termination for any other reason	  	If a Participant executes and submits a Release by the date specified by Prudential (and does not later revoke the Release), a pro-rated(2) number of Restricted Stock Units will vest and the Participant will
receive shares of Common Stock as soon as administratively practicable (but not later than 74 days) thereafter. The remainder of the Restricted Stock Units will be forfeited. If the Participant does not execute a Release, all Restricted Stock Units
will be forfeited on the last date of Employment.
		
	Change of Control	  	All Restricted Stock Units will become vested and the Participant will normally receive shares of Common Stock; unless the entity that acquires control honors, assumes, or
substitutes new rights for the Restricted Stock Units with substantially equivalent or better rights, terms, conditions and values as determined by the Compensation Committee. Alternatively, the Compensation Committee may, at its sole discretion,
provide for payment in cash based on the Change of Control price.

  

	(1) 	 Pro-ration is based on the number of months of active service during that year divided by 12. The remaining balance will be forfeited as of the date of
retirement. 

	(2) 	 Pro-ration is based on the number of months of active service since the Grant Date divided by 36. 

 

	4.	Section 409A 

 Notwithstanding any
other provisions of the Plan to the contrary, to the extent necessary to comply with the requirements of Code Section 409A and any regulations issued under Section 409A with respect to any individual who is a “specified employee”
within the meaning of Section 409A and any regulations, on termination of the Participant’s employment with any member of the Company Group, delivery of shares of Common Stock may not be made before the date that is six (6) months
after the date of such termination of Employment (or, if earlier, the date of the Participant’s death). In addition, to the extent necessary to comply with the requirements of Section 409A and any regulations issued under
Section 409A, if an award of Restricted Stock Units is treated as deferred compensation subject to Section 409A, no distribution will be made (although vesting will accelerate to the extent otherwise provided above) in respect of such
award upon the occurrence of a Change of Control unless such event qualifies as a change in the ownership of a corporation, change in the effective control of a corporation or a change in the ownership of a substantial portion of the assets of a
corporation within the meaning of Section 409A and any regulations issued thereunder. 
  

	5.	Dividend Equivalents 

 A Participant
granted Restricted Stock Units will be eligible to receive Dividend Equivalents on the Restricted Stock Units based on any regular cash dividends declared on Common Stock from the Grant Date until the RSU Payment Date (or until the date of
forfeiture, if sooner). Any Dividend Equivalents will be paid in cash as soon as administratively practicable (but not more than 74 days) after the related cash 

  
 8 

 
dividends are paid to Common Stock holders, unless determined otherwise by the Compensation Committee. Any Dividend Equivalents payable under the Plan will be treated as separate payments from
the underlying Restricted Stock Units for purposes of Section 409A of the Code. There will be no reinvestment option or earned interest credits on any Dividend Equivalent. 

  
 9 

 PART C: Terms and conditions applicable to Options under the Long-Term Incentive Program

  

	1.	Vesting and exercise 

 An Option will
normally vest and become exercisable in three equal annual installments on each anniversary of the Grant Date provided the Participant holding that Option remains in Employment throughout that period. 

 

	2.	Exercise of Options 

 An Option may be
exercised by the Participant: 
  

	(i)	paying in cash the Grant Price and any applicable taxes and fees (Cash Exercise); or 

 

	(ii)	directing the immediate sale of all the shares of Common Stock acquired on exercise and receiving the cash proceeds, after deduction of the Grant Price and applicable
taxes and fees (Same Day Sale); or 

  

	(iii)	directing the immediate sale of sufficient shares of Common Stock acquired on exercise necessary to pay the Grant Price and any applicable taxes and fees and receive
the remaining shares of Common Stock (Sell to Cover). 

 One or more of the exercise methods may not be available (or may
be unavailable during a specified period) if Prudential determines that its availability will or could violate the terms of any Applicable Laws. An Option cannot be exercised when the Market Value of a share of Common Stock does not exceed the Grant
Price. Please refer to Schedule 2 for country specific restrictions regarding the exercise of Options. 
  

	3.	Option term 

 Once an Option vests, it may
be exercised until its Expiration Date unless the Participant’s employment ends before the Expiration Date or a Change of Control occurs. 
  

	4.	Exercise or forfeiture of Options following termination of Employment in specific circumstances 

A Participant’s Options, whether vested or unvested, will automatically be forfeited and cancelled on the termination of the Participant’s
Employment, and no shares of Common Stock may thereafter be purchased under the Options, except in the specified circumstances set out in the table below: 
  

					
	 Stock Options

	 Type of

Termination of
Employment
	  	 Vesting Status 
on Last Date of Employment
	  	 Exercise Period
(1)

			
	Voluntary Resignation	  	Unvested Options will immediately be forfeited as of the last date of Employment. Vested but unexercised Options may be exercised after the last date of Employment, conditional on
the Participant executing and submitting a Release by the date specified by Prudential (and not later revoking the Release). If the Participant does not execute a Release, all Options will be forfeited as of the last date of the Participant’s
Employment.	  	Vested Options may be exercised until the earlier of 90 days after the last date of Employment or the option Expiration Date, conditional on the Participant executing and submitting
a Release by the date specified by Prudential (and not later revoking the Release).

  
 10 

					
	 Stock Options

	 Type of

Termination of
Employment
	  	 Vesting Status 
on Last Date of Employment
	  	 Exercise Period
(1)

			
	Approved Retirement	  	If a Participant retires in circumstances qualifying for Approved Retirement with less than three months of active service in 2013, all Options will immediately be forfeited.
Otherwise, the Participant’s Options will continue to vest according to the original vesting schedule, conditioned on the Participant executing and submitting a Release by the date specified by Prudential (and not later revoking the Release).
If a Participant does not execute a Release, all Options will be forfeited on the last date of the Participant’s Employment.	  	Vested Options may be exercised until the earlier of: (i) the Expiration Date; or (ii) the date 5 years after the last date of the Participant’s Employment, conditional on the
Participant executing and submitting a Release by the date specified by Prudential (and not later revoking the Release).
			
	Termination for Cause	  	 All Options, whether vested or unvested, will immediately be forfeited on the last date of the Participant’s Employment.

 
 The Compensation Committee may require the Participant to repay any payment, profit,
gain or other benefit (including, but not limited to any dividends or Dividend Equivalents) received in respect of the exercise of any Options for a period of up to twelve (12) months before the Participant’s termination of Employment for
Cause. If a Participant’s Employment is terminated by any member of the Company Group for Cause, the provisions contained in these Terms relating to termination for Cause will apply notwithstanding any assertion (by the Participant or
otherwise) that the Participant’s Employment terminated for any other reason.
	  	A Participant may not exercise any Options after the last date of Employment, even if the Options were vested. All outstanding Options are forfeited.
			
	Death (while an active employee)	  	Options become fully vested and immediately exercisable.	  	 The Participant’s estate may exercise the Options until the third anniversary of the date of death (or any earlier date the
Compensation Committee determines) or, if the Option Expiration Date is earlier than that, the later of:
  

•   the Expiration Date, or

 
 •   the first
anniversary of the date of death.

			
	Disability	  	Options become fully vested and immediately exercisable.	  	Options may be exercised until the earlier of the Expiration Date or 3 years (or any shorter period the Compensation Committee determines) after the Participant’s last date of
Employment.

  
 11 

					
	 Stock Options

	 Type of

Termination of
Employment
	  	 Vesting Status 
on Last Date of Employment
	  	 Exercise Period
(1)

			
	Involuntary Termination for any other reason	  	Options that are vested and unexercised at the date of termination of the Participant’s Employment will remain exercisable if the Participant executes and submits a Release by
the date specified by Prudential (and does not later revoke the Release). Unvested Options are immediately forfeited. If a Release is not executed, all Options will be forfeited as of the last date of the Participant’s Employment.	  	Vested Options may be exercised until the earlier of the Expiration Date or 90 days after the Participant’s last date of Employment, conditional on the Participant executing
and submitting a Release by the date specified by Prudential (and not later revoking the Release).
			
	Change of Control	  	Options will become fully vested and immediately exercisable on the date of the Change of Control; unless the entity that acquires Control honors, assumes, or substitutes new rights
for the Options with substantially equivalent or better rights, terms, conditions and value. Alternatively, the Compensation Committee may, at its sole discretion, provide for payment in cash based on the Change of Control price.	  	If the entity that acquires control honors, assumes, or substitutes new rights for the Options, the Options (or any substituted alternative award) may be exercised on terms at least
as favorable as the Options. If the entity that assumes control does not honor, assume, or substitute new rights for Options, the Compensation Committee may cancel the Options in exchange for payment in cash.

  

	(1) 	 The period stated may not extend beyond the Expiration Date, other than in the case of death as applicable. Options can be exercised on the Expiration
Date, but only during hours that the New York Stock Exchange (NYSE) is open for trading. If an Option expires on a day that the NYSE is closed, it can be exercised only during the market hours on or before the last day of NYSE trading before the
Option’s Expiration Date. 

  
 12 

 PART D: Terms and conditions applicable to Performance Shares and Performance Units under
the 
 Long-Term Performance Program, a sub-program of the Long-Term Incentive Program 

 

	1.	Performance Cycle 

 The Performance Cycle
(the Performance Cycle) with respect to Performance Shares and Performance Units will begin on January 1, 2013 and will end on December 31, 2015. 
  

	2.	Settlement of Performance Shares and Performance Units 

 Subject to the terms and conditions of the Plan and following approval by the Compensation Committee, any (i) shares of Common Stock to which a Participant is entitled in respect of Performance
Shares; and (ii) amount of cash to which a Participant is entitled in respect of Performance Units will be delivered or paid to such Participant as soon as administratively practicable (but not later than 74 days) after the PS/PU Payment Date,
less any taxes or other deductions required by Applicable Law. 
  

	3.	Earnout: Performance Goals 

 A
Participant’s Performance Shares and Performance Units are conditioned on achievement of ROE Goals specified by the Compensation Committee, with respect to the Performance Cycle. 
 ROE is defined as Prudential’s “operating return on average equity (based on after-tax adjusted operating income)” as publicly disclosed in Prudential’s Quarterly Financial Supplement
(“QFS”). ROE for each year in the Performance Cycle is defined as the average of the quarterly ROE figures for such year published in the QFS. 
 The number of shares of Common Stock and the amount of cash that a Participant may become eligible to receive will be equal to the applicable target number of Performance Shares and/or Performance Units
awarded, adjusted by the applicable ROE Earned Payout Factor (which is determined based on the achievement of the ROE Goals over the Performance Cycle). Any resulting number of shares of Common Stock shall be rounded to the nearest whole number. The
aggregate amount of shares of Common Stock and cash payable to the Participant will be the “Final Payout Amount,” which will be made on the PS/PU Payment Date (shortly following the end of the Performance Cycle) subject to the terms,
conditions and restrictions set out in these Terms and in the Plan, including the requirement that the Participant remain actively employed with the Company Group as of the PS/PU Payment Date. The Compensation Committee will determine, in its sole
discretion, the Final Payout Amount. 
 The ROE Goals will be the average of actual ROE for 2013, 2014 and 2015. The ROE Goals are as follows:

  

					
	Table 1	 
	ROE Goals	 	ROE Earned Payout
Factor	 
	9.5% or less	 	 	0	  
	10.5%	 	 	.25	  
	11.5%	 	 	.50	  
	12.5%	 	 	.75	  
	13.5%	 	 	1 (target	) 
	14.0%	 	 	1.25	  
	14.5% or more	 	 	1.5(maximum	) 

 If the average ROE achieved is between any two data points, the corresponding ROE Earned Payout Factor will bear a linear
relationship with the actual achievement between such data points. 

  
 13 

 In the event of (i) an acquisition (as determined by the Compensation Committee in its sole discretion)
involving Common Stock or a divestiture or other transaction involving Prudential or any other member of the Company Group during the Performance Cycle, (ii) an accounting pronouncement or methodology change, (iii) an unplanned corporate
initiative, or (iv) other significant events that are unusual, non-recurring and not reflective of operating performance, the Compensation Committee may, in its sole discretion, assess the impact of any such event on the ROE Goals and adjust
such goals and related payout scales as the Compensation Committee, in its sole discretion, deems appropriate. 
 Notwithstanding the foregoing,
the Compensation Committee, in its sole discretion, may (i) under normal circumstances, adjust the Final Payout Amount within the standard range of 0% to 150% of the target number of Performance Shares and Performance Units by up to plus or
minus 15% of the amount that would otherwise be payable to take into account performance factors and other events, as the Compensation Committee deems desirable, and (ii) in the event of circumstances deemed to be extraordinary by the
Compensation Committee, make additional adjustments to the Final Payout Amount. 
  

	4.	Vesting or forfeiture of Performance Shares and Performance Units following termination of Employment in specific circumstances 

A Participant’s outstanding Performance Shares and Performance Units will automatically be forfeited and cancelled on the termination of the
Participant’s Employment and no shares of Common Stock and no amount of cash may thereafter be issued or paid with respect to the Performance Shares and Performance Units, respectively, except in the specific circumstances set out in the table
below: 
  

			
	  	  	 Performance Shares and Performance Units

	 Type of Termination of Employment
	  	 Vesting Status

		
	Voluntary Resignation	  	All outstanding Performance Shares and Performance Units are immediately forfeited.

  
 14 

			
	  	  	 Performance Shares and Performance Units

	 Type of Termination of Employment
	  	 Vesting Status

		
	Approved Retirement	  	 If the Participant retires in 2013 with less than 3 months of active service in such year, all Performance Shares and Performance Units
will immediately be forfeited.
  
 If the Participant retires in 2013 in
circumstances qualifying for Approved Retirement and executes and submits a Release by the date specified by Prudential (and does not later revoke the Release), the Participant will receive a pro-rated(1) Final Payout Amount as soon as administratively practicable
following the PS/PU Payment Date (but in all events not later than the end of the calendar year in which the PS/PU Payment Date occurs). The remainder of the Performance Shares and Performance Units will be forfeited. If the Participant does not
execute a Release, all Performance Shares and Performance Units will be forfeited on the last date of Employment.
  
 If the Participant retires after 2013 in circumstances qualifying for Approved Retirement and executes and submits a Release by the date specified by Prudential (and does not later revoke the Release),
the Participant will receive the Final Payout Amount as soon as administratively practicable following the PS/PU Payment Date (but in all events not later than the end of the calendar year in which the PS/PU Payment Date occurs). If the Participant
does not execute a Release, all Performance Shares and Performance Units will be forfeited on the last date of Employment.

		
	Termination for Cause	  	 All outstanding Performance Shares and Performance Units are immediately forfeited.

 
 The Compensation Committee may require the Participant to repay any payment, profit,
gain or other benefit (including, but not limited to, any dividends or Dividend Equivalents) in respect of the Performance Shares and Performance Units or any prior performance shares or performance units received within a period of twelve (12)
months before the Participant’s termination of Employment for Cause. If a Participant’s Employment is terminated by any member of the Company Group for Cause, the provisions in these Terms relating to termination for Cause will apply
notwithstanding any assertion (by the Participant or otherwise) that the Participant’s Employment was terminated for any other reason.

		
	Death (while an active employee)	  	All outstanding Performance Shares and Performance Units become fully vested at target and the Participant’s estate will receive a corresponding number of shares of Common
Stock and cash as soon as administratively practicable (but not later than 74 days) thereafter.

  
 15 

			
	  	  	 Performance Shares and Performance Units

	 Type of Termination of Employment
	  	 Vesting Status

		
	Disability	  	All outstanding Performance Shares and Performance Units become fully vested at target and the Participant will receive a corresponding number of shares of Common Stock and cash as
soon as administratively practicable (but not later than 74 days) thereafter.
		
	Involuntary Termination for any other reason	  	If a Participant executes and submits a Release by the date specified by Prudential (and does not later revoke the Release), a pro-rated(2) target number of Performance Shares and Performance Units will vest
and the Participant will receive a corresponding number of shares of Common Stock and cash, respectively, as soon as administratively practicable (but not later than 74 days) thereafter. The remainder of the Performance Shares and Performance Units
will be forfeited. If the Participant does not execute a Release, all Performance Shares and Performance Units will be forfeited on the last date of Employment.
		
	Change of Control	  	All Performance Shares and Performance Units will become vested at target and the Participant will receive shares of Common Stock and cash, respectively; unless the entity that
acquires control honors, assumes, or substitutes new rights for the Performance Shares and Performance Units with substantially equivalent or better rights, terms, conditions and values as determined by the Compensation Committee. Alternatively, the
Compensation Committee may, at its sole discretion, provide for payment in cash based on the Change of Control price

  

	(1) 	 Pro-ration is based on the number of months of active service during that year divided by 12. The remaining balance will be forfeited as of the date of
retirement. 

	(2) 	 Pro-ration is based on the number of months of active service in the Performance Cycle divided by 36. 

 

	6.	Section 409A 

 Notwithstanding any
other provisions of the Plan to the contrary, to the extent necessary to comply with the requirements of Code Section 409A and any regulations issued under Section 409A with respect to any individual who is a “specified employee”
within the meaning of Section 409A and any regulations, on termination of the Participant’s employment with any member of the Company Group, delivery of shares of Common Stock may not be made before the date that is six (6) months
after the date of such termination of Employment (or, if earlier, the date of the Participant’s death). In addition, to the extent necessary to comply with the requirements of Section 409A and any regulations issued under
Section 409A, if an award of Performance Shares or Performance Units is treated as deferred compensation subject to Section 409A, no distribution will be made (although vesting will accelerate to the extent otherwise provided above) in
respect of such award upon the occurrence of a Change of Control unless such event qualifies as a change in the ownership of a corporation, change in the effective control of a corporation or a change in the ownership of a substantial portion of the
assets of a corporation within the meaning of Section 409A and any regulations issued thereunder. 

  
 16 

	7.	Dividend Equivalents 

 A Participant
granted Performance Shares and Performance Units will be eligible to receive Dividend Equivalents on the lesser of (a) the Final Payout Amount; or (b) the respective target amount of Performance Shares and Performance Units, based on any
regular cash dividends declared on Common Stock from the Grant Date until the PS/PU Payment Date (or until the date of forfeiture, if sooner). Any Dividend Equivalents will be paid in cash as soon as administratively practicable after shares of
common stock are delivered in respect of the corresponding Performance Shares and cash is payable with respect to the Performance Units. There will be no reinvestment option or earned interest credits on any Dividend Equivalent. 

  
 17 

 PART E: Terms and conditions applicable to the Book Value Units under the Book Value

 Performance Program, a sub-program of the Long-Term Incentive Program 

 

	1.	Book Value Units 

 Each Participant in the
Book Value Performance Program will be granted a number of Book Value Units. 
  

	2.	Vesting Period 

 One-third of each
Participant’s Book Value Units will vest on each of the first three anniversaries of the Grant Date. 
  

	3.	Settlement of Book Value Units 

 Subject
to the terms and conditions of the Plan and subject to the Participant’s continued Employment through the applicable BVU Payment Date, as soon as administratively practicable after the date any Book Value Units vest (but not later than the end
of the calendar year in which the Book Value Units vest), a Participant will be paid an amount in cash equal to the product of (a) the number of Book Value Units that have become vested and (b) the Book Value Per Share as of the fiscal
quarter ended on or immediately before the applicable BVU Payment Date, less any taxes or other deductions required by Applicable Law. 
  

	4.	Vesting or forfeiture of Book Value Units following termination of Employment in specific circumstances 

A Participant’s outstanding Book Value Units will automatically be forfeited and cancelled on the termination of the Participant’s Employment
and no amount may thereafter be payable with respect to the Book Value Units, except in the specific circumstances set out in the table below: 
  

			
	  	  	 Book Value Units

	 Type of Termination of Employment
	  	 Vesting Status

		
	Voluntary Resignation	  	All outstanding Book Value Units are immediately forfeited.

  
 18 

			
	  	  	 Book Value Units

	 Type of Termination of Employment
	  	 Vesting Status

		
	Approved Retirement	  	 If the Participant retires in 2013 with less than 3 months of active service in such year, all Book Value Units will immediately be
forfeited.
  
 If the Participant retires in 2013 in circumstances qualifying
for Approved Retirement and executes and submits a Release by the date specified by Prudential (and does not later revoke the Release), the Participant will receive, as soon as administratively practicable following each successive BVU Payment Date
(but in all events not later than the end of the calendar year in which the applicable BVU Payment Date occurs), a cash payment equal to the product of (I) one third (1/3) of the pro-rated(1) number of the Book Value Units outstanding at the time of the Participant’s termination of Employment and (II)
the Book Value Per Share as of the fiscal quarter ended on or immediately before the applicable BVU Payment Date. The remainder of the Participant’s outstanding Book Value Units will be forfeited. If the Participant does not execute a Release,
all Book Value Units will be forfeited on the last date of Employment.
  
 If
the Participant retires after 2013 in circumstances qualifying for Approved Retirement and executes and submits a Release by the date specified by Prudential (and does not later revoke the Release), the Participant will receive payment in respect of
his or her remaining Book Value Units at the same time and in the same amounts that would have been payable had the Participant remained in Employment. If the Participant does not execute a Release, all Book Value Units will be forfeited on the last
date of Employment.

		
	Termination for Cause	  	 All outstanding Book Value Units are immediately forfeited.

 
 The Compensation Committee may require the Participant to repay any payment, profit,
gain or other benefit in respect of the Book Value Units or any prior book value units or Awards received within a period of twelve (12) months before the Participant’s termination of Employment for Cause. If a Participant’s Employment is
terminated by any member of the Company Group for Cause, the provisions in these Terms relating to termination for Cause will apply notwithstanding any assertion (by the Participant or otherwise) that the Participant’s Employment was terminated
for any other reason.

  
 19 

			
	  	  	 Book Value Units

	 Type of Termination of Employment
	  	 Vesting Status

		
	Death (while an active employee)	  	All outstanding Book Value Units become fully vested and the Participant’s estate will receive a cash payment equal to the product of (I) the number of such outstanding Book
Value Units and (II) the Book Value Per Share as of the fiscal quarter ended on or immediately before the date of the Participant’s death. This cash payment will be made as soon as administratively practicable (but not later than 74 days) after
the date of the Participant’s death.
		
	Disability	  	All outstanding Book Value Units become fully vested and the Participant will receive a cash payment equal to the product of (I) the number of such outstanding Book Value Units and
(II) the Book Value Per Share as of the fiscal quarter ended on or immediately before the Participant’s termination of Employment. This cash payment will be made as soon as administratively practicable (but not later than 74 days) after the
Participant’s termination of Employment.
		
	Involuntary Termination for any other reason	  	If a Participant executes and submits a Release by the date specified by Prudential (and does not later revoke the Release), a pro-rated(2) number of such Participant’s then outstanding Book Value Units
will vest and the Participant will receive a cash payment equal to the product of (I) such pro-rated number of such outstanding Book Value Units and (II) the Book Value Per Share as of the fiscal quarter ended on or immediately prior to the
Participant’s termination of Employment. This cash payment will be made as soon as administratively practicable (but not later than 74 days) after the Participant’s termination of Employment. The remainder of the Participant’s
outstanding Book Value Units will be forfeited. If the Participant does not execute a Release, all Book Value Units will be forfeited on the last date of Employment.
		
	Change of Control	  	All Book Value Units will become vested and the Participant will normally receive a payment in cash based on the Book Value Per Share on the fiscal quarter ended on or immediately
prior to the Change of Control; unless the entity that acquires control honors, assumes, or substitutes new rights for the Book Value Units with substantially equivalent or better rights, terms, conditions and values as determined by the
Compensation Committee.

  

	(1) 	 Pro-ration is based on the number of months of active service during that year divided by 12. The remaining balance will be forfeited as of the date of
retirement. 

	(2) 	 Pro-ration is based on the number of months of active service since the Grant Date (or, if less, since the last BVU Payment Date) divided by the
remainder of (i) 36 minus (ii) the product of (A) 12 and (B) the number of anniversaries of the Grant Date that have occurred prior to the date of termination of Employment. 

  
 20 

 The Compensation Committee, in its sole discretion, shall determine the Book Value Units, the Book Value Per
Share, and any amount of payments thereof. 
  

	5.	Forfeiture 

 Notwithstanding any
provisions in these Terms to the contrary, the Compensation Committee may, in its sole discretion, reduce (but not below zero) the account balance of any Participant under the Book Value Performance Program if, in the opinion of the Compensation
Committee, the Participant has engaged in conduct, or omitted taking appropriate action, which is a contributing factor in the material restatement of any annual Prudential consolidated income statement, as filed with the Securities and Exchange
Commission and as discussed with Prudential’s Audit Committee, with such restatement being filed primarily to correct an error in the consolidated income statement. Any determination by the Compensation Committee regarding such a reduction
shall be final, conclusive and binding on all parties. 
  

	6.	Section 409A 

 Notwithstanding any
other provisions of the Plan to the contrary, to the extent necessary to comply with the requirements of Code Section 409A and any regulations issued under Section 409A with respect to any individual who is a “specified employee”
within the meaning of Section 409A and any regulations, on termination of the Participant’s employment with any member of the Company Group, payment of any cash amount due may not be made before the date that is six (6) months after
the date of such termination of Employment (or, if earlier, the date of the Participant’s death). In addition, to the extent necessary to comply with the requirements of Section 409A and any regulations issued under Section 409A, if
an award of Book Value Units is treated as deferred compensation subject to Section 409A, no distribution will be made (although vesting will accelerate to extent otherwise provided above) in respect of such award upon the occurrence of a
Change of Control unless such event qualifies as a change in the ownership of a corporation, change in the effective control of a corporation or a change in the ownership of a substantial portion of the assets of a corporation within the meaning of
Section 409A and any regulations issued thereunder. 
  

	7.	No Dividend Equivalents 

 A Participant
granted Book Value Units will not be eligible to receive Dividend Equivalents on the Book Value Units. 

  
 21 

 SCHEDULE 1 
 DEFINITIONS 
 For the purposes of the Terms, the following words and expressions have the
meanings ascribed to them. 
 Applicable Laws – applicable laws, rules and regulations relating to any Awards made under the
Plan or otherwise relating to the Plan; 
 Approved Retirement – termination of a Participant’s Employment: 

 

	(i)	on or after the Participant’s normal retirement date or any early retirement date established under any defined benefit pension plan maintained by a member of the
Company Group in which the Participant participates; or 

  

	(ii)	when the Participant has reached age fifty-five (55) with a minimum of five years’ service. 

Approved Retirement does not apply to any Participant who has an Agent Emeritus contract with any of Prudential’s insurance affiliates or to a
Participant whose Employment is terminated for Cause, even if, in either case, the Participant is receiving retirement benefits or is otherwise eligible for retirement or has satisfied the conditions in (ii) above. 

Award – the grant of an Option, a Restricted Stock Unit, a Performance Share, or a Performance Unit (including a Book Value Unit), or a
combination thereof. 
 Board – the board of directors of Prudential. 
 Book Value Per Share – the equity attributed to Prudential’s Financial Services businesses, excluding total accumulated other comprehensive income, as determined based on
Prudential’s financial statements for the relevant period and as adjusted by Prudential as it deems appropriate or desirable. 
 Book
Value Unit – an award of Performance Units, payable in cash and valued based on the Book Value Per Share. 
 BVU Payment Dates
– the dates on which the continuing service requirement applicable to one-third of the Book Value Units are scheduled to lapse, as specified by the Compensation Committee at the Grant Date, which occur on the first three anniversaries of the
Grant Date. 
 Cause – includes but is not restricted to any of the following (as determined by the Compensation Committee):
(i) dishonesty, fraud or misrepresentation; (ii) inability to obtain or retain appropriate licenses; (iii) violation of any rule or regulation of any regulatory agency or self-regulatory agency; (iv) violation of any policy or
rule of Prudential or any subsidiary; (v) commission of a crime; (vi) breach by a Participant of any covenant or agreement with any member of the Company Group not to disclose or misuse any information pertaining to, or misuse any property
of, any member of the Company Group; or (vii) any act or omission detrimental to the conduct of the business of any member of the Company Group. 
 Change of Control – occurs, in general, when (i) any person or entity outside of Prudential acquires, directly or indirectly, twenty-five percent (25%) or more of the combined voting
power of Prudential or of the combined assets of Prudential (and its subsidiaries); (ii) the composition of the Board changes over a 24-month period such that the Incumbent Directors no longer constitute a majority of the Board; (iii) a
Corporate Event completes and immediately following completion the shareholders of Prudential immediately before the Corporate Event do not hold, directly or indirectly, a majority of the voting power of, in the case of (a) a merger or
consolidation, the surviving or resulting corporation; (b) a share exchange, the acquiring corporation; or (c) a division or a sale or other disposition of assets, each surviving, resulting or

  
 22 

 
acquiring corporation which, immediately following the relevant Corporate Event, holds more than twenty-five percent (25%) of the consolidated assets of Prudential immediately before the
Corporate Event; or (iv) any other event that the Board declares to be a Change of Control. 
 No change of control occurs on an
underwritten offering of the equity securities of Prudential when no person or entity acquires more than twenty-five percent (25%) ownership in such securities. The Plan document details how a Change of Control will be determined in various
types of acquisitions and corporate reorganization events (including sales of assets), and the document’s terms govern any determination that a Change of Control has occurred. 
 Code – the United States Internal Revenue Code of 1986, as amended. 
 Common Stock
– a share of Common Stock in Prudential. 
 Company Group – Prudential and/or its subsidiaries. 

Compensation Committee – the Compensation Committee of the Board, which administers the Plan. 

Corporate Event – a merger, consolidation, recapitalisation or reorganisation, share exchange, division, sale, plan of complete liquidation
or dissolution, or other disposition of all or substantially all of the assets of Prudential which has been approved by the shareholders of Prudential. 
 Disability – means, with respect to any Participant, long-term disability as defined under the welfare benefit plan maintained by the member of the Company Group in which the Participant
participates and from which the Participant is receiving a long-term disability benefit. In jurisdictions outside the United States where long-term disability is covered by a mandatory or universal program sponsored by the government or an
industrial association, receipt of long-term disability benefit from such a program is considered to have met the disability definition of the Plan. 
 Dividend Equivalent – an amount paid in lieu of dividends declared on Common Stock during a period that an applicable Award is outstanding. 

Employment – means employment with any member of the Company Group. 
 Exercise Date – the date on which an Option is validly exercised. 
 Expiration Date
– the tenth anniversary of the Grant Date and the last date on which an Option can be exercised, unless the Participant’s Employment ends before the Expiration Date or a Change of Control occurs. 

Grant Date – with respect to an Award, the date on which it is granted under the Plan. 

Grant Price – the price set at the Grant Date at which a share of Common Stock can be acquired on exercise of an Option. 

Incumbent Directors – with respect to any period of time specified under the Plan for the purposes of determining a Change of Control, the
persons who were members of the Board at the beginning of the period, as well as any director elected to the Board or nominated for election to the Board by a majority of the Incumbent Directors. 

Market Value – means, on any date, the price at which shares of Common Stock were last traded on that date on the New York Stock Exchange or,
if there are no transactions on that date, the closing price on the immediately preceding date on which there was a transaction. For the purposes of determining the taxable income from Options and/or Restricted Stock Units, it should be noted that
in some countries there are 

  
 23 

 
specific rules that set out how Market Value is determined. Where applicable, any particular rules should be noted in the country specific Q&A’s. 

Option – a conditional right granted under the Plan to purchase one share of Common Stock in the future at a set price within a set time
period specified by the Compensation Committee at the Grant Date. 
 Participant – any employee of a member of the Company Group who
holds an outstanding Award granted under the Plan. 
 Plan – the Prudential Financial, Inc. Omnibus Incentive Plan, a stock-based
compensation plan adopted by the Board and ratified by the shareholders of Prudential in June 2003. 
 Performance Share – a right
to receive a share of Common Stock, conditioned and subject to adjustment upon the achievement of specified performance goals during the applicable performance period, and further subject to satisfaction of the applicable continued service
requirements. 
 Performance Unit – a right to receive cash valued by reference to a share of Common Stock, conditioned and subject
to adjustment upon the achievement of specified performance goals during the applicable performance period, and further subject to satisfaction of the applicable continued service requirements. 

PS/PU Payment Date – the date on which the continuing service requirement applicable to a Performance Share or a Performance Unit is
scheduled to lapse, as specified by the Compensation Committee at the Grant Date, which is in the month of February immediately following the end of the applicable Performance Cycle. 
 Prudential – Prudential Financial, Inc., a New Jersey corporation, and any successor to Prudential Financial, Inc. 
 Release – a Separation Agreement and General Release (in connection with an involuntary termination of employment for any reason other than Cause) or a General Release of Claims (in connection
with a voluntary termination of employment), whichever is appropriate, in a form and with terms and conditions (including but not limited to, non-solicitation of employees and business of any member of the Company Group) satisfactory to Prudential.

 Restricted Stock Unit – a conditional right (which is subject to forfeiture and transfer restrictions) granted under the Plan to
receive one share of Common Stock at the end of a period of time specified by the Compensation Committee at the Grant Date. 
 RSU Payment
Date – the date on which the continuing service requirement applicable to a Restricted Stock Unit is scheduled to lapse, as specified by the Compensation Committee at the Grant Date, which is the third anniversary of the Grant Date.

 Vest – when an Option can be exercised, or a Participant is entitled to receive (i) Common Stock under a Restricted Stock
Unit, (ii) Common Stock under a Performance Share, (iii) cash under a Performance Unit, or (iv) cash under a Book Value Unit, as appropriate, and “Vested” and “Vesting” will be construed accordingly. 

  
 24 

 SCHEDULE 2 
 COUNTRY SPECIFIC VARIATIONS 
 DATA PROTECTION (Applicable to all countries other than
the United States) 
 A Participant agrees by accepting an Award to permit Prudential to process personal data and sensitive personal data
about the Participant in connection with the Plan. Such data includes, but is not limited to, the information provided in the Participant’s grant documents and any changes thereto, other appropriate personal and financial data, and information
about the Participant’s participation in the Plan and shares granted under the Plan from time to time (collectively, Personal Data). A Participant consents to Prudential processing and transferring any Personal Data outside the country
in which the Participant works or is employed to the United States and any other third countries. The legal persons for whom Personal Data is intended include Prudential and any of its subsidiaries, any plan administrator selected by Prudential from
time to time, and any other person or entity that Prudential involves in the administration of the Plan. Prudential will take all reasonable measures to keep Personal Data, confidential and accurate. A Participant can access and correct their
Personal Data by contacting their human resources representative. A Participant understands and agrees that the transfer of information is important to the administration of the Plan and failure to consent to the transmission of that information may
limit their ability to participate in the Plan. 
 JAPAN 
 The following term will also apply: 
 If a Participant is an executive officer subject to the
reporting requirements under Section 16(a) of the U.S. Securities Exchange Act of 1934, as amended (Executive Officers), or has otherwise been identified as a senior officer subject to the Share Ownership Guidelines as amended by the
Board from time to time (Guidelines), then the Participant agrees to retain ownership of 50% of the net shares of Common Stock (after payment of the Grant Price, if any, and applicable fees and taxes) acquired on exercise of an Option or the
vesting of an Award until the first anniversary of the acquisition of that Common Stock. For senior officers who are not Executive Officers; these guidelines will cease to apply once the Participant has satisfied the Guidelines or, if earlier, upon
termination of the senior officer’s employment. Once the Participant has satisfied this holding period, the Participant may dispense of any shares of Common Stock held in excess of the Guidelines, subject to the Personal Securities Trading
Policy, including the “Reporting Responsibilities and Procedures for Section 16 Officers and Directors and Control Persons of Prudential” as then in effect. 
 UNITED STATES 
 Stock Options – for executives subject to the reporting requirements
under Section 16(a) of the U.S. Securities Exchange Act of 1934, as amended, section 2 of Part C will not apply to executives but the following will apply. 
 “An Option may be exercised by the Participant: 
  

	 	(i)	paying in cash the Grant Price and any applicable taxes and fees (Cash Exercise); or 

 

	 	(ii)	directing the immediate sale of sufficient shares of Common Stock acquired on exercise necessary to pay the Grant Price and any applicable taxes and fees and receive
the remaining shares of Common Stock (Sell to Cover).” 

 The following term will also apply: 

  
 25 

 If a Participant is an executive officer subject to the reporting requirements under Section 16(a) of
the U.S. Securities Exchange Act of 1934, as amended (Executive Officers), or has otherwise been identified as a senior officer subject to the Share Ownership Guidelines as amended by the Board from time to time (Guidelines), then the
Participant agrees to retain ownership of 50% of the net shares of Common Stock (after payment of the Grant Price, if any, and applicable fees and taxes) acquired on exercise of an Option or the vesting of an Award until the first anniversary of the
acquisition of that Common Stock. For senior officers who are not Executive Officers, these guidelines will cease to apply once the Participant has satisfied the Guidelines or, if earlier, upon termination of the senior officer’s employment.
Once the Participant has satisfied this holding period, the Participant may dispense of any shares of Common Stock held in excess of the Guidelines, subject to the Personal Securities Trading Policy, including the “Reporting Responsibilities
and Procedures for Section 16 Officers and Directors and Control Persons of Prudential” as then in effect. 
 All Restricted Stock
Units, Book Value Units, Performance Shares or Performance Units (including Dividend Equivalents, as may be applicable) granted under the 2013 Long-Term Program to a Participant who is a covered employee under Code Section 162(m) are subject to
the additional requirement that the maximum aggregate amount payable to such a Participant in respect of such Awards may not exceed six-tenths of one percent (0.6%) of Adjusted Operating Income (as defined in the Plan) for the most recently reported
year ending December 31st before the year payment is made in respect of such Awards. Notwithstanding any provision in these Terms to the contrary, if a Participant is a “covered employee” within the meaning of Code
Section 162(m), (1) any pro-rated payment the Participant would otherwise be entitled to receive under and subject to the otherwise applicable conditions set forth herein in connection with (i) an Approved Retirement or (ii) an
Involuntary Termination other than for Cause, Approved Retirement, death or Disability, will nonetheless be subject to the satisfaction of the condition set forth in the immediately preceding sentence, and in addition payment in respect of any Award
on account of any Involuntary Termination described in subclause (ii) will not be made until after the close of the calendar year in which such Involuntary Termination of Employment occurs (but not later than March 15 of such subsequent
calendar year), and (2) and if such Participant is granted Restricted Stock Units, any Dividend Equivalents credited on the Restricted Stock Units based on any regular cash dividends declared on Common Stock from the Grant Date until the RSU
Payment Date (or until the date of forfeiture, as applicable, if sooner) will be become vested at the same time and subject to the same conditions as apply to the underlying Restricted Stock Units and will be payable in cash as soon as
administratively practicable after shares of Common Stock are delivered in respect of the corresponding vested Restricted Stock Units. 

  
 26 

 SCHEDULE 3 
 FORM FOR DECLINING AN AWARD 
 If you wish to decline the grant of the Restricted Stock
Units, the Options, the Performance Shares, the Performance Units, or the Book Value Units, as applicable, granted to you pursuant to the 2013 Long-Term Incentive Program under the Prudential Financial, Inc. Omnibus Incentive Plan you should
complete and return this form by facsimile on or before the date three weeks after the Grant Date to Stock Plan Administration c/o Carol Hesse at (973)367-8251 or by certified mail with return receipt, postmarked on or before the date three weeks
after the Grant Date to Stock Plan Administration c/o Carol Hesse, 751 Broad Street, 18th Floor, Newark, New Jersey 07102. Please note that if you decline the grant of an Award, that Award (including, but not limited to, any rights, payments,
interests or benefits you have or may have under, related to or associated with, that Award) will be cancelled and terminated immediately. 
 I,
                                        , hereby
decline the grant of: 
  

					
	 	  	 	  	Check as appropriate
			
	(i)	  	all of the Restricted Stock Units;	  	 ̈
			
	(ii)	  	all of the Options:	  	 ̈
			
	(iii)	  	all of the Performance Shares;	  	 ̈
			
	(iv)	  	all of the Performance Units: and/or	  	 ̈
			
	(iii)	  	all of the Book Value Units	  	 ̈

 granted to me in              2013 under the terms of the
Prudential Financial, Inc. Omnibus Incentive Plan. 
  

			
	Signed	 	  

		
	Dated	 	  

  
 27EX-10.2

 Exhibit 10.2 
 Annual Incentive Payment Criteria for Executive Officers 
 (Effective for
Awards in 2014 in Respect of 2013 and for Subsequent Years) 
 Annual Incentives for executive officers, including the CEO, are paid through
the Company Annual Incentive Pool, which is based on an assessment of performance relative to key financial and strategic objectives. Each senior executive has an annual incentive target. A performance factor is applied to the sum of these targets
to generate their funding contributions to the Company’s 2012 annual incentive pool. 
 The performance metric for the annual incentive
program is earnings per share, or EPS, on an adjusted operating income (AOI) basis for the Financial Services Businesses. EPS performance is measured relative to the Company’s EPS targets. The reported EPS data is adjusted for certain one-time
items to more accurately reflect the operating performance of the Company’s businesses and to take into account financial market performance relative to the assumptions used in establishing the EPS targets. The following one-time items are
excluded from the reported EPS data: 
  

	 	1.	Actuarial assumption updates. 

  

	 	2.	M&A activity including divestitures, integration and one-time costs. 

  

	 	3.	Accounting pronouncement / methodology changes. 

  

	 	4.	Unplanned corporate initiatives. 

  

	 	5.	Other significant events that are unusual, non-recurring and not reflective of operating performance. 

An initial performance factor is determined based on EPS performance relative to the Company’s EPS targets. The initial performance factor maybe
increased or decreased by up to 10% based on the Company’s performance against certain quantitative measures (ROE, EPS Growth and Book Value Per Share Growth) relative to the North American Life insurance subset of the compensation peer group.

 The Committee may exercise negative discretion to reduce the performance factor based on such considerations as: 

 

	 	•	 	 Risk and compliance performance. 

  

	 	•	 	 Credit and insurance rating downgrades. 

  

	 	•	 	 Adequacy of capital ratios. 

Finally, the Committee may consider additional quantitative and qualitative considerations to determine the final performance factor, including:

  

	 	•	 	 Performance relative to the Company’s traditional life insurance industry peers with a similar business mix. 

 

	 	•	 	 Business drivers, i.e., net flows, sales growth, persistency, etc. 

 

	 	•	 	 Employee measures, including Employee Opinion Survey results, talent management and diversity 

 

	 	•	 	 Other considerations such as absolute share price performance for the year and projected changes in peer pay levels. 

Allocation of the annual incentive pool among executives is discretionary with consideration given to the final performance factor, performance of the
business(es) managed by the executive, individual performance and contributions and value of the position in the marketplace. 
 If an executive
retires or in certain other cases of termination of employment, the Committee may award an annual incentive payment to the executive for contributions during the year in which the executive’s employment ended. 

*    *    *    * 
 “Adjusted operating income”, or “AOI”, referred to above, differs from, and should not be viewed as a substitute for, income from continuing operations or net income determined in
accordance with generally accepted accounting principles, but is the financial measure that the Company uses to analyze the operations of each segment in managing its Financial Services Businesses. EPS referred to above is determined on the basis of
after-tax adjusted operating income.

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