Document:

Restricted Unit Award Agreement

 Exhibit 10.29 
  
 RESTRICTED UNIT AWARD GRANT AGREEMENT 
  
 THIS RESTRICTED UNIT AWARD GRANT AGREEMENT (this “Agreement”), made as of the 10th day of September, 2004 between KRATON Polymers LLC (the “Company”) and Dave Bradley (the
“Participant”). 
  
 WHEREAS, pursuant to Section
4.02 of the Second Amended and Restated Limited Liability Company Operating Agreement of TJ Chemical Holdings LLC, each of the Voting Members of TJ Chemical Holdings LLC (“TJ Chemical”) has approved the grant of restricted shares on
membership units of TJ Chemical (the “Restricted Unit Award”) with a current value of $200,000 to KRATON Management LLC (“Management LLC”), which in turn will grant the same number of Membership Units in Management
LLC to the Participant pursuant to his employment agreement with the Company dated April 12, 2004 (the “Employment Agreement”); 
  
 NOW, THEREFORE, in consideration of the premises and the mutual covenants hereinafter set forth, the parties hereto hereby agree as follows: 

 
 1. Grant of Restricted Units. Pursuant to, and subject to, the terms and
conditions set forth herein, the Company hereby grants to the Participant the Restricted Unit Award of 200,000 restricted units of Management LLC (“Restricted Units”) with a current value of $200,000 based on the buy-in price of
membership unit(s) of TJ Chemical by the initial investors in connection with the transaction pursuant to which the Company became a wholly-owned subsidiary of TJ Chemical. 
  
 2. Grant Date. The Grant Date of the Restricted Unit Award hereby granted is September 10th, 2004. 
  
 3. Vesting Date. The Restricted Unit Award shall vest as follows: Twenty percent of the Restricted Units shall vest on each of the first five anniversaries of the Effective Date, as defined in the
Employment Agreement, provided that the Participant remains employed with the Company on each such anniversary. Except as provided in the next succeeding sentence, upon termination of employment for any reason all unvested Restricted Units shall
immediately and automatically be forfeited. In the event of a Change in Control (as defined in the TJ Chemical 2004 Option Plan), if the Participant’s employment is terminated without Cause or for Good Reason (as those terms are defined in the
Employment Agreement) during the two-year period immediately following the date of the Change in Control, all unvested Restricted Units shall become immediately vested. 
  
 4. Limitations on Transfer of Membership Units; Permissible Assignments; Termination of Employment. 
  
 4.1 Limitations on Transfer. The Participant acknowledges that
upon becoming a member of Management LLC, the Participant will be subject to all the terms and conditions 

  

 
provided in the Limited Liability Company Operating Agreement of KRATON Management LLC (“Management LLC Operating Agreement”).
Notwithstanding anything herein or in the Management LLC Operating Agreement to the contrary, the Participant shall not sell or transfer any Membership Unit acquired pursuant to the distribution of this Restricted Unit Award, except (i) to the
Participant’s beneficiaries or estate upon the Participant’s death, (ii) upon consent of the Company pursuant to Section 4.2, or (iii) pursuant to Article IX of the Management LLC Operating Agreement. 
  
 4.2 Permissible Assignments. Notwithstanding the foregoing, the
Participant may request authorization from the Company to assign his Restricted Unit Award granted herein to a trust or custodianship, the beneficiaries of which may include only the Participant, the Participant’s spouse or the
Participant’s lineal descendants (by blood or adoption), and, if the Company grants such authorization, the Participant may assign his rights accordingly. In the event of any such assignment, such trust or custodianship shall be subject to all
the restrictions, obligations, and responsibilities as apply to the Participant under this Agreement and shall be entitled to all the rights of the Participant under this Agreement; provided, that upon such assignment in accordance with this
Section 4.2, all references in this Agreement to the “Participant,” except for such references contained in Section 4.1 and 4.3 of this Agreement, shall be deemed to be replaced by a reference to the transferee of the Restricted Unit
Award. 
  
 4.3 Termination of Services. In the event
of a termination of a Participant’s Services (as defined in the TJ Chemical 2004 Option Plan), TJ Chemical shall have the right to purchase the Participant’s Membership Units acquired pursuant to the Restricted Unit Award in accordance
with Article X of the Management LLC Operating Agreement. Any Membership Units acquired pursuant to the distribution of the Restricted Unit Award shall be subject to certain tag-along and drag-along rights in accordance with Article IX of the
Management LLC Operating Agreement. 
  
 5. Delays or Omissions. No
delay or omission to exercise any right, power or remedy accruing to any party hereto upon any breach or default of any party under this Agreement, shall impair any such right, power or remedy of such party nor shall it be construed to be a waiver
of any such breach or default, or an acquiescence therein, or of or in any similar breach or default thereafter occurring nor shall any waiver of any single breach or default be deemed a waiver of any other breach or default theretofore or
thereafter occurring. Any waiver, permit, consent or approval of any kind or character on the part of any party of any breach or default under this Agreement, or any waiver on the part of any party or any provisions or conditions of this Agreement,
shall be in writing and shall be effective only to the extent specifically set forth in such writing. 
  
 6. Indemnification. The Participant agrees, to the fullest extent permitted by law, to indemnify and hold harmless the Company, TJ Chemical and Management LLC and any director, officer, or employee
thereof against any and all losses, liabilities, claims, damages, and expenses of any nature whatsoever (including attorneys’ fees and disbursements, judgments, fines and amounts paid in settlement) (collectively, “Losses”)
arising out of or based upon any breach or failure by the Participant to comply with his obligations made herein. This Section 6 shall survive any termination or execution of this Agreement. 
  

 2 

 7. Representations. 
  
 7.1 Participant Representations. In addition to any representations made by the Participant in the Management
LLC Operating Agreement, as a Member of Management LLC, the Participant hereby represents and warrants to Management LLC and the Company that: (a) the Membership Units are being acquired for his own account, for investment purposes only and not with
a view to or in connection with any distribution, reoffer, resale, public offering or other disposition thereof not in compliance with the Securities Act and the rules and regulations thereunder and any applicable United States federal or state
securities laws or regulations; (b) the Participant is an “accredited investor” as defined in Rule 501(a) under the Securities Act, provided that the Company may, in its discretion and subject to compliance with all applicable
securities laws, waive the foregoing representation with respect to a limited number of Participants; (c) the Participant, alone or together with his representatives, possesses such expertise, knowledge, and sophistication in financial and business
matters generally, and in the type of transactions in which the Company proposes to engage in particular; (d) the Participant has had access to all of the information with respect to his Membership Units that he or it, as the case may be, deems
necessary to make a complete evaluation thereof and has had the opportunity to question the Company concerning such Membership Units; (e) the Participant’s decision to acquire his Membership Units for investment has been based solely upon the
evaluation made by the Participant; (f) the Participant is aware that the Management LLC Operating Agreement provides significant restrictions on the ability of a Participant to sell, transfer, assign, mortgage, hypothecate, or otherwise encumber
his Membership Units; (g) the Participant has duly executed and delivered this Agreement; and (h) the Participant’s authorization, execution, delivery, and performance of this Agreement do not conflict with any other agreement or arrangement to
which the Participant is a party or by which it is bound. 
  
 7.2
Truth of Representations and Warranties. The Participant represents and warrants that all of his representations set forth in Section 7.1 of this Agreement are true and correct as of the date hereof. 
  
 8. Integration. This Agreement, and the other documents referred to herein or
delivered pursuant hereto (including, without limitation, the Management LLC Operating Agreement) which form a part hereof contain the entire understanding of the parties with respect to its subject matter and there are no restrictions, agreements,
promises, representations, warranties, covenants or undertakings with respect to the subject matter hereof other than those expressly set forth in such documents. This Agreement and the Management LLC Operating Agreement supersede all prior
agreements and understandings between the parties with respect to its subject matter. 
  
 9. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same instrument. 
  
 10. Governing Law. This Agreement shall be governed by and construed and
enforced in accordance with the laws of the State of Delaware without regard to the provisions thereof governing conflict of laws. 
  
 11. Participant Acknowledgment. The Participant hereby acknowledges receipt of a copy of the Management LLC Operating Agreement. The Participant hereby
acknowledges that all decisions, determinations and interpretations of the Board of Directors of the Company in respect of this Agreement shall be final and conclusive. 
  

 3 

 IN WITNESS WHEREOF, the Company has caused this Agreement to be duly executed by its duly authorized
officer and said Participant has hereunto signed this Agreement on his own behalf, thereby representing that he has carefully read and understands this Agreement and the Management LLC Operating Agreement as of the day and year first written above.

  

			
	KRATON POLYMERS LLC
	
	 /s/    Joseph J. Waiter

	By:	 	 
	 Title:
	 	 

  

			
	DAVE BRADLEY
	
	 /s/    Dave Bradley

		
	Address:	 	 14507 Sutter Creek Lane

	 	 	 Humble, Texas 77396

  

 4Executive Deferred Compensation Plan

 Exhibit 10.30 
  
 KRATON POLYMERS LLC 
 EXECUTIVE DEFERRED COMPENSATION PLAN, 
  
 The objective of the KRATON Polymers LLC Executive Deferred Compensation Plan is to permit a select group of employees to defer a portion of their Annual Bonus. 
  
 This Plan shall become effective for deferrals of compensation attributable
to services rendered on or after January 1, 2004. 
  
 ARTICLE I

 Definitions 
  
 Section 1.1. “Additions” means all amounts credited to the Participant’s Deferred Compensation Account pursuant to Section 4.2 hereof.

  
 Section 1.2. “Annual Bonus,” with respect to a Bonus
Period, and with respect to a Participant, means the annual bonus payment, if any, payable to such Participant under KRATON’s Annual Incentive Plan before any reduction pursuant to this Plan. 
  
 Section 1.3. “Beneficiary” means any person (including but not
limited to any trust, estate, fiduciary, corporation, foundation, but excluding the Participant) designated by the Participant in a written document delivered to the Company to receive any benefit under this Plan after the death of the Participant,
all in accordance with the provisions hereof. In the event the Participant fails to designate a beneficiary or if no such designated beneficiary is living upon the death of the Participant or if, for any reason, such designation shall be legally
ineffective, then in any of said events the amounts which would have been paid to the designated living beneficiary shall be paid to the trustee of the Participant’s testamentary trust, and if none to the personal representative of the estate
of the Participant. 
  
 Section 1.4. “Board of
Directors” means the Board of Directors of TJ Chemical. 
  
 Section 1.5. “Bonus Period” means any twelve-month period commencing on January 1 and ending on the following December 31 or such other period of such duration and starting at such times as the Committee may from time to time
determine. 
  
 Section 1.6. “Change in Control” shall
mean the occurrence of any of the following events: (i) any sale, lease, exchange or other transfer (in one transaction or a series of related transactions) of all of the assets of TJ Chemical to any Person or group of related persons for purposes
of Section 13(d) of the Exchange Act (a “Group”), together with any affiliates thereof other than to TPG III Polymer Holdings LLC, TPG IV Polymer Holdings LLC or J.P. Morgan Partners L.P. or any of their affiliates (hereinafter the
“Sponsors”); (ii) the approval by the holders of the Voting Units (as defined in the TJ Chemical LLC Agreement) of TJ Chemical of any plan or proposal for the liquidation or dissolution of TJ Chemical other than in a restructuring in which
the Sponsors continue to own more than 50% of the successor entity; (iii) (A) any Person or Group (other than the Sponsors) shall become the beneficial owner (within the meaning of Section 13(d) of the Exchange Act), directly or indirectly, of Units
(as defined in the 

  

 
TJ Chemical LLC Agreement) representing more than 40% of the aggregate outstanding Voting Units of TJ Chemical and such Person or Group actually has the
power to vote such Units in any such election and (B) the Sponsors beneficially own (within the meaning of Section 13(d) of the Exchange Act), directly or indirectly, in the aggregate a lesser percentage of the Voting Units of TJ Chemical than such
other Person or Group; (iv) the replacement of a majority of the Board over a two-year period from the directors who constituted the Board at the beginning of such period, and such replacement shall not have been approved by a vote of at least a
majority of the Board then still in office who either were members of such Board at the beginning of such period or whose election as a member of such Board was previously so approved or who were nominated by, or designees of, the Sponsors; or (v) a
merger or consolidation of TJ Chemical with another entity in which holders of the Membership Units of TJ Chemical immediately prior to the consummation of the transaction hold, directly or indirectly, immediately following the consummation of the
transaction, less than 50% of the common equity interest in the surviving corporation in such transaction and the Sponsors do not hold a sufficient amount of Voting Units (or similar securities) to elect a majority of the surviving entity’s
board of directors. 
  
 Section 1.7. “Code” means the
Internal Revenue Code of 1986, as amended. 
  
 Section 1.8.
“Committee” means the Compensation Committee of the Board or of KRATON, as determined by the Board or, in the absence of such a committee, the Board. 
  

Section 1.9. “Company” means KRATON and its Subsidiaries. 
  
 Section 1.10. “Deferral Amount” means, with respect to a Participant, the portion of the Annual Bonus which is
deferred by a Participant under Section 3.1 of this Plan. 
  
 Section 1.11. “Deferral Date” means a date set by the Committee which shall be the ninetieth day after the commencement of the Bonus Period to which the Deferral Amount relates, provided that the Deferral Date for the 2004 Bonus
Period shall be within 30 days of the date this Plan is adopted. 
  
 Section 1.12. “Deferral Election Form” means a form indicating the amount of the Annual Bonus, if any, deferred by a Participant with respect to a Bonus Period, in such form as the Committee shall from time to time approve, which
shall be executed by such Participant and delivered to KRATON prior to the Deferral Date for such Bonus Period. 
  
 Section 1.13. “Deferred Compensation Account” means a bookkeeping account maintained by KRATON for each Participant which reflects accumulated
Deferral Amounts of the Participant, plus Additions thereto, calculated as set forth in Article IV hereof less any payments made therefrom. 
  
 Section 1.14. “Employee” means an employee of the Company. 
  
 Section 1.15. “Exchange Act” means the Securities Exchange Act of 1934, as amended. 
  
 Section 1.16. “Fair Value” of a Membership Unit (or other equity
security), as of any date of reference, shall mean the fair value of such Membership Unit (or other equity 
  
  

 2 

 
security), as determined in good faith by the Board in accordance with the operating agreement of TJ Chemical (or in the case of equity in an entity other
than TJ Chemical, in accordance with the applicable documents of that entity). 
  
 Section 1.17. “KRATON” means KRATON Polymers LLC, a Delaware limited liability company. 
  
 Section 1.18. “Management LLC” means KRATON Management LLC, a Delaware limited liability company. 
  
 Section 1.19. “Management LLC Agreement” means the limited
liability company operating agreement of Management LLC, as amended from time to time 
  
 Section 1.20. “Management LLC Membership Units” means the “membership units” of Management LLC, as provided in the Management LLC Agreement. 
  
 Section 1.21. “Membership Unit” shall mean a “membership
unit” of TJ Chemical, as provided in the TJ Chemical LLC Agreement, subject to adjustment or substitution as provided in Section 4.3 of this Plan. 
  
 Section 1.22. “Participant” means any Employee selected by the Committee to participate in this Plan in accordance with Article II hereof.

  
 Section 1.23. “Payment Date” means, with respect to
a Participant’s Deferred Compensation Account, as soon as practicable following the earlier of (i) a termination of such Participant’s employment for any reason, (ii) a Change in Control or (iii) any other date determined by the Committee
pursuant to Section 7.2 hereof. 
  
 Section 1.24.
“Person” means an individual, partnership, corporation, limited liability company, unincorporated organization, trust or joint venture, or a governmental agency or political subdivision thereof. 
  
 Section 1.25. “Phantom Unit” shall mean a bookkeeping unit
representing the Fair Value of one Membership Unit. 
  
 Section
1.26. “Plan” means this KRATON Polymers LLC Executive Deferred Compensation Plan. 
  
 Section 1.27. “Subsidiaries” shall mean with respect to KRATON, any of its direct or indirect subsidiaries. 
  
 Section 1.28. “TJ Chemical” means TJ Chemical Holdings LLC, a Delaware limited liability company. 
  
 Section 1.29. “TJ Chemical LLC Agreement” means the limited
liability company operating agreement of TJ Chemical, as amended from time to time. 
  

 3 

 ARTICLE II 
 Eligibility 
  
 With respect to
each Bonus Period, the Committee may, in its sole discretion and subject to applicable law, determine which Employees, if any, shall be permitted to defer all or a portion of their Annual Bonus with respect to such Bonus Period pursuant to this
Plan. Selection as a Participant in one Bonus Period does not guarantee selection as a Participant in any other Bonus Period. 
  
 ARTICLE III 
 Deferral of Compensation

  
 Section 3.1. With respect to a Bonus Period, the Deferral
Amount of a Participant shall equal the portion of such Participant’s Annual Bonus deferred pursuant to the Deferral Election Form executed by such Participant and delivered to KRATON prior to the Deferral Date for such Bonus Period; provided,
however, that in no event shall such Participant’s Deferral Amount for a Bonus Period exceed 50% of such Participant’s Annual Bonus for such Bonus Period, unless the Committee, in its sole discretion, determines otherwise with respect to a
Participant. 
  
 Section 3.2. The Deferral Amount shall be
credited to the Participant’s Deferred Compensation Account on the date their Annual Bonuses are paid generally with respect to the applicable Bonus Period in accordance with Article IV hereto and the amount of Annual Bonus payable to such
Participant shall be reduced by the amount so credited. 
  
 ARTICLE IV 
 Phantom Units 
  
 Section 4.1. With respect to each Bonus Period, as of the date that Annual Bonuses are paid generally with respect to such Bonus Period, KRATON will
credit to a Participant’s Deferred Compensation Account a number of Phantom Units equal in value to the dollar amount of the Deferral Amount for such Bonus Period. For this purpose, each Phantom Unit shall have a value equal to the Fair Value
of a Membership Unit as of the last day of such Bonus Period. The number of shares of Phantom Units to be credited to a Participant’s account shall be rounded down to eliminate fractional shares, and the difference between the Deferral Amount
before and after rounding shall be immediately paid to the Participant in cash. The Participants shall have no voting rights with respect to any Phantom Units credited to their Deferred Compensation Account pursuant to this Plan. 
  
 Section 4.2. In the event cash dividends are paid on Membership Units, KRATON
will credit to the Deferred Compensation Account a number of additional Phantom Units having an aggregate value equal to the amount of cash dividends paid on such number of Membership Units as is equal to the number of Phantom Units credited to such
Participant’s Deferred Compensation Account as of the relevant record date for such dividends. For this purpose, each Phantom Unit shall have a value equal to the Fair Value of a Membership Unit as 

  

 4 

 
of the date of payment of such dividends and such additional Phantom Units shall be credited to the Deferred Compensation Account of Participants as of the
same date. 
  
 Section 4.3. The Committee shall be entitled, but
not required, to make such adjustments to the Deferred Compensation Accounts of Participants and the number of Phantom Units credited thereto as it may deem necessary or appropriate in its sole and absolute discretion to prevent dilution or
enlargement of the benefits granted to Participants hereunder in the event of any stock dividend or split, subdivision or consolidation of shares of Membership Units or any recapitalization, reorganization, merger, consolidation, spin-off, exchange
of shares or other similar corporate change. 
  
 ARTICLE V

 Maximum Phantom Units 
  
 Prior to each Bonus Period, the Committee shall have the discretion to set the maximum number of Phantom Units that will be available for allocation to
all the Participants’ Deferred Compensation Accounts with respect to such Bonus Period. In the event that the sum of all the Phantom Units to be credited to all the Participants’ Deferred Compensation Accounts exceeds the maximum number of
Phantom Units set by the Committee pursuant to the immediately preceding sentence, the Deferral Amount for each Participant shall be reduced on a pro-rata basis and the difference between the Deferral Amount before and after this reduction will be
immediately paid to such Participant in cash. 
  
 ARTICLE VI

 Vesting of Deferral Amounts 
  
 Except as otherwise provided, the Phantom Units credited to a Participant’s Deferred Compensation Account shall be immediately vested, together with
any Additions thereon. 
  
 ARTICLE VII 
 Payment of Deferral Amounts; Compliance with LLC Agreement 
  
 Section 7.1. Except as otherwise provided, no payments will be made to a Participant or a Beneficiary under this Plan prior to the Payment Date. Except as
otherwise provided, as soon as practicable following a Participant’s Payment Date, such Participant (or such Participant’s Beneficiary, if applicable) shall be paid out his Deferred Compensation Account with a number of Membership Units
equal to the number of Phantom Units (including any Additions thereto) credited to such Participant’s Deferred Compensation Account as of the Payment Date; provided that such payout can be made with an equal number of Management LLC Membership
Units, as may be determined by the Committee it its discretion. 
  
 Section 7.2. The Committee may at any time, in its sole discretion, pay out a Participant’s Phantom Units credited to such Participant’s Deferred Compensation Account (with 

  

 5 

 
an equal number of Membership Units or Management LLC Membership Units, as described in Section 7.1 hereof prior to the date otherwise provided for hereof.

  
 Section 7.3. Notwithstanding the foregoing, any payments
required to be made to a Participant or his Beneficiary pursuant to this Article VII as of a given date, shall be made as soon as practicable after the payment amount is determined, provided, however, that although the Committee intends to make
payments to the Participants in Membership Units or Management LLC Membership Units, it reserves the ability to make payments to the Participants in cash (based on the Fair Value of the Phantom Units credited to such Participant’s Deferred
Compensation Account as of the Payment Date), rather than Membership Units or Management LLC Membership Units, if the payment in Membership Units or Management LLC Units would result in a violation of applicable law or require the Company, TJ
Chemical or any of their affiliates to register any securities under any securities laws. 
  
 Section 7.4. Notwithstanding anything else herein, Membership Units (or Management LLC Membership Units, as applicable) will not be certificated upon payment of a Deferred Compensation Account, unless otherwise
determined by the Committee. Each of the Company, TJ Chemical and the Participant shall comply with any such law, regulation or requirement, including without limitation requirements imposed by the TJ Chemical LLC Agreement or the Management LLC
Agreement, as applicable. In addition to the terms and conditions provided herein, the Committee may require that a Participant make such reasonable covenants, agreements and representations as the Committee, in its sole discretion, deems advisable
in order to comply with any such laws, regulations or requirements (including, without limitation, any requirements imposed by the TJ Chemical LLC Agreements or the Management LLC Agreement). In addition, upon the payout of a Participant’s
Deferred Compensation Account, TJ Chemical and/or Management LLC, as applicable, shall establish a Capital Account (as defined in the TJ Chemical LLC Agreement or Management LLC Agreement, as applicable) in the name of the Participant, credit such
new or existing account with an amount equal to the Fair Value of the Phantom Units credited to such Participant’s Deferred Compensation Account as of the Payment Date and issue Membership Units or Management Membership Units registered on its
books and in its records in the name of the Participant as soon as practicable following the Payment Date, and such Participant shall be entitled to the profits and losses of TJ Chemical or Management LLC, as applicable, attributable to the
Membership Units or Management LLC Membership Units, as applicable, as determined under the TJ Chemical LLC Agreement or Management LLC Agreement, respectively, on a going-forward basis as of the Payment Date. Notwithstanding the foregoing, no
Membership Unit or Management LLC Membership Units shall be issued to any Participant until such Participant agrees to be bound by and executes the TJ Chemical LLC Agreement or Management LLC Agreement, as applicable. 
  
 ARTICLE VIII 
 Administration 
  
 Section 8.1. This Plan shall be administered by the Committee. The Committee shall administer this Plan in accordance with its terms and shall have all powers necessary to carry out the provisions of this Plan. 
  

 6 

 Section 8.2. The Committee shall, with respect to the general management of this Plan, have the sole,
final and absolute right to reconcile any inconsistency in this Plan, to interpret and construe the provisions of this Plan in all particulars in such manner and to such extent as it deems proper and to take all action and make all decisions and
determinations necessary under this Plan or in connection with its administration, interpretation and application. Any interpretation or construction placed upon any term or provision of this Plan or in connection with its administration,
interpretation and application by the Committee, any decision of the Committee with regard to the eligibility of an employee to become a Participant, the rights of a Participant, former Participant or Beneficiary or any other person, any
reconciliation of an inconsistency in this Plan made by the Committee and any other action, determination or decision whatsoever taken by the Committee, shall be final, conclusive and binding upon all persons or parties interested or concerned in
this Plan. No member of the Committee shall be liable to any Participant or any other person for any action, omission or determination relating to this Plan. To the full extent permitted by law, the Company shall indemnify and hold harmless each
person made or threatened to be made a party to any civil or criminal action or proceeding by reason of the fact that such person, or such person’s testator or intestate, is or was a member of the Committee. 
  
 ARTICLE IX 
 Miscellaneous 
  
 Section 9.1. KRATON shall maintain a record of each Participant’s accumulated Deferral Amounts and Additions thereto by means of a Deferred Compensation Account. 
  
 Section 9.2. If a Participant becomes entitled to a distribution of benefits under this Plan, and if at such time the
Participant has any outstanding debt, obligation, or other liability representing an amount owing to the Company, then the Company, upon a determination by the Committee, and to the extent permitted by applicable law, may offset such amount so owing
against the amount of benefits otherwise distributable. Such determination shall be made by the Committee. 
  
 Section 9.3. This Plan shall be unfunded and shall not be an employee benefit plan within the meaning of the Employee Retirement Income Security Act of
1974, as amended. Payments to a Participant under this Plan shall be made from the general assets of KRATON and to the extent that any person acquires the right to receive payment of benefits from KRATON under this Plan, such right shall be no
greater than the rights of any unsecured general creditor of KRATON. No Participant shall have any right, title, claim or interest in or with respect to any specific assets of KRATON in connection with the Participant’s participation in this
Plan, including with respect to any Membership Units until such units are distributed pursuant to the Plan. 
  
 Section 9.4. Any amounts deferred or payable under this Plan shall not be taken into account in determining any other benefits under any other Company
plan unless, and to the extent, such plan expressly includes such amounts. 
  

 7 

 Section 9.5. Neither the Participant, his Beneficiary, heirs, assigns, trust, estate, nor any other
person claiming through or under the Participant shall have any right to commute, encumber or dispose of the right to receive payments hereunder, all of which payments and the right thereto are expressly declared to be non-assignable and any such
attempt at assignment shall be void and of no effect. 
  
 Section
9.6. Nothing contained in this Plan shall confer upon any Participant any right with respect to the continuation of such Participant’s employment by the Company or interfere in any way with the right of the Company at any time to terminate such
employment or to increase or decrease the base salary or other compensation of the Participant. 
  
 Section 9.7. The Company shall, to the extent permitted by law, have the right to deduct from any payments of any kind with respect to the benefit
otherwise due to the Participant any foreign, federal, state or local taxes of any kind required by law to be withheld from such payments. 
  
 Section 9.8. This Plan and all rights under this Plan shall be governed by, and shall be interpreted in accordance with, the laws of the State of Delaware
without reference to its principles of conflicts of law. In the event any provision of this Plan is held invalid, void or unenforceable, the same shall not affect, in any respect whatsoever, the validity of any other provision of this Plan.

  
 ARTICLE X 
 Amendment and Termination 
  
 Section 10. 1. The Board of Directors shall have full power and authority to amend, modify or alter this Plan in whole or in part; provided, however, that
any such modification, alteration or amendment shall not terminate or diminish any rights or benefits accrued by a Participant under this Plan as of the effective date of any such modification, alteration or amendment. 
  
 Section 10.2. The Board of Directors shall have full power and authority to
terminate this Plan in whole or in part; provided, however, that upon such termination, the Committee shall, with respect to any Phantom Units affected by such termination, pay out to a Participant, the Fair Value of such Phantom Units (in
Membership Units, Management Membership Units or cash, as described in Sections 7.1 and 7.3 of this Plan, as determined by the Committee in its discretion), determined as of the date of such termination. 
  

 8

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00082-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00082-of-00352.parquet"}]]