Document:

deferredcomp_nonempdir1.htm

    Exhibit
10(c)

      

       

      

       

      THE
TORO COMPANY

       

      DEFERRED
COMPENSATION PLAN

       

      FOR
NON-EMPLOYEE DIRECTORS

       

      

       

      

       

      

       

      

       

      

       

      

       

      

       

      

       

      

       

      

       

      Amended
and Restated Effective January 1, 2009

       

      

       

      
        
           

        

        
           

          
            

          

        

        
           

          
            TABLE
OF CONTENTS

            

             

             

            

          

        

      

       

      Page               

      
        	
                I. DEFINITIONS

              	
                1

              
	
                II.
      ELIGIBILITY; PARTICIPATION; DEFERRAL

              	
                4

              
	
                2.1 Eligibility

              	
                4

              
	
                2.2 Participation

              	
                4

              
	
                2.3 Deferral
    Election

              	
                4

              
	
                III.
      CREDITING AND VESTING

              	
                5

              
	
                3.1 Amounts to Be Credited to
      Accounts

              	
                5

              
	
                3.2 Vesting

              	
                6

              
	
                IV.
      DISTRIBUTIONS

              	
                6

              
	
                4.1 Distributable
      Events

              	
                6

              
	
                4.2 Method of
    Payment

              	
                7

              
	
                4.3 Death Prior to Completion of
      Payment

              	
                7

              
	
                4.4 Distribution Prior to
      Retirement

              	
                7

              
	
                4.5 Unforeseeable
      Emergencies

              	
                7

              
	
                V.
      BENEFICIARY DESIGNATION

              	
                8

              
	
                VI.
      ADMINISTRATION OF THE PLAN

              	
                8

              
	
                6.1 Committee
    Duties

              	
                8

              
	
                6.2 Administrative Committee;
      Agents

              	
                8

              
	
                6.3 Binding Effect of
      Decisions

              	
                9

              
	
                6.4 Indemnity of Committee and
      Administrative Committee

              	
                9

              
	
                VII.
      AMENDMENT OR TERMINATION

              	
                9

              
	
                7.1 Amendment

              	
                9

              
	
                7.2 Termination

              	
                9

              
	
                VIII.
      GENERAL PROVISIONS

              	
                9

              
	
                8.1 Trust

              	
                9

              
	
                8.2 No Alienation

              	
                10

              
	
                8.3 Unfunded Plan

              	
                10

              
	
                8.4
      No                      Guaranty

              	
                10

              
	
                8.5 No Right of
      Employment

              	
                10

              
	
                8.6 Incompetency

              	
                10

              
	
                8.7 Corporate
    Changes

              	
                11

              
	
                8.8 Addresses

              	
                11

              
	
                8.9 Limitations on
      Liability

              	
                11

              
	
                8.10 Transfers to the
      Trust

              	
                11

              
	
                8.11 Inspection

              	
                11

              
	
                8.12 Withholding

              	
                12

              
	
                8.13 Voting of
    Stock

              	
                12

              
	
                8.14 Singular and
      Plural

              	
                12

              
	
                8.15 Severability

              	
                12

              
	
                8.16 Unsecured General
      Creditor

              	
                12

              
	
                8.17 Discharge of
      Obligations

              	
                12

              
	
                8.18 Governing
Law

              	
                12

              
	
                8.19 Successors

              	
                12

              
	
                8.20 Court Order

              	
                13

              
	
                8.21 No Assurance of Tax
      Consequences

              	
                13

              
	
                8.22 Code Section
      409A

              	
                13

              

      

      

      
        
          
             

          

           

        

        
           

          
            

          

        

        
           

        

      

      THE
TORO COMPANY

       

      DEFERRED
COMPENSATION PLAN

       

      FOR
NON-EMPLOYEE DIRECTORS

       

      Amended
and Restated Effective January 1, 2009

       

      The Toro
Company hereby amends and restates its Deferred Compensation Plan for
Non-Employee Directors.  This amendment and restatement is effective
for all amounts deferred on or after January 1, 2005 that remain unpaid as of
January 1, 2009.  All grandfathered amounts earned and vested as of
December 31, 2004 shall continue to be governed by the 2004 Plan in accordance
with then applicable IRS guidance.  All amounts earned or vested from
January 1, 2005 through December 31, 2008 shall be governed by this amendment
and restatement, as modified by the operations of the Plan during such period in
accordance with Code Section 409A and then applicable IRS guidance (including
transition relief).

       

      The
growth and success of the Company depend on its ability to attract and retain
the services of Directors of the highest competence, initiative, integrity and
ability.  The purpose of the Plan is to advance the interests of the
Company and its stockholders through a deferred compensation program designed to
attract, motivate and retain Directors.  The Plan shall be unfunded
for tax purposes and for purposes of Title I of ERISA.

       

      I.           DEFINITIONS

       

      For
purposes of the Plan, the following words and phrases have the meanings
indicated, unless a different meaning is clearly indicated by the
context:

       

      "2004 Plan" means the
terms of the Plan in place as of December 31, 2004.

       

      "Account" means a book
entry account established and maintained in the Company's records in the name of
a Participant pursuant to Articles II and III, and includes a Cash Account and a
Common Stock Units Account.

       

      "Administrative
Committee" means the committee described in Section 6.2.

       

      "Beneficiary" means
one or more individuals, trusts, estates or other entities, designated in
accordance with, or otherwise determined under, Article V to receive benefits
under the Plan upon the death of a Participant.

       

      "Board" means the
Board of Directors of the Company.

       

      "Cash Account" means
an Account with entries denominated in dollars, credited in accordance with
Section 3.1(a).

       

      "Change of Control"
means:

       

      (a)           The
acquisition by any individual, entity or group (within the meaning of
Section 13(d)(3) or 14(d)(2) of the Exchange Act) (a "Person") of
beneficial ownership (within the meaning of Rule 13d-3 under the Exchange Act)
of 15% or more of either (i) the then

       

      
        
          
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          1

          
            

          

        

        
           

        

      

      outstanding
shares of Common Stock of the Company (the "Outstanding Company Common Stock")
or (ii) the combined voting power of the then-outstanding voting securities of
the Company entitled to vote generally in the election of Directors (the
"Outstanding Company Voting Securities"); provided, however, that for purposes
of this subsection (a), the following acquisitions shall not constitute a Change
of Control:  (w) any acquisition directly from the Company, (x) any
acquisition by the Company, (y) any acquisition by any employee benefit plan (or
related trust) sponsored or maintained by the Company or any corporation
controlled by the Company, or (z) any acquisition by any corporation pursuant to
a transaction that complies with clauses (i), (ii) and (iii) of subsection (c)
of this definition; or

       

      (b)           Individuals
who, as of the date hereof, constitute the Board (the "Incumbent Board") cease
for any reason to constitute at least a majority of the Board; provided,
however, that any individual becoming a director subsequent to the date hereof
whose election, or nomination for election by the Company's stockholders, was
approved by a vote of at least a majority of the directors then comprising the
Incumbent Board shall be considered as a member of the Incumbent Board, but
excluding, for this purpose, any such individual whose initial assumption of
office occurs as a result of an actual or threatened election contest with
respect to the election or removal of directors or other actual or threatened
solicitation of proxies or consents by or on behalf of a Person other than the
Board; or

       

      (c)           Consummation
of a reorganization, merger or consolidation of the Company or sale or other
disposition of all or substantially all of the assets of the Company or the
acquisition by the Company of assets or stock of another entity (a "Business
Combination"), in each case, unless, following such Business Combination, (i)
all or substantially all of the individuals and entities who were the beneficial
owners, respectively, of the Outstanding Company Common Stock and Outstanding
Company Voting Securities immediately prior to such Business Combination
beneficially own, directly or indirectly, more than 50% of, respectively, the
then-outstanding shares of common stock and the combined voting power of the
then-outstanding voting securities entitled to vote generally in the election of
directors, as the case may be, of the corporation resulting from such Business
Combination (including, without limitation, a corporation that as a result of
such transaction owns the Company or all or substantially all of the Company's
assets either directly or through one or more subsidiaries) in substantially the
same proportions as their ownership, immediately prior to such Business
Combination, of the Outstanding Company Common Stock and Outstanding Company
Voting Securities, as the case may be, (ii) no Person (excluding any corporation
resulting from such Business Combination or any employee benefit plan (or
related trust) of the Company or such corporation resulting from such Business
Combination) beneficially owns, directly or indirectly, 15% or more of,
respectively, the then-outstanding shares of common stock of the corporation
resulting from such Business Combination or the combined voting power of the
then-outstanding voting securities of such corporation, except to the extent
that such ownership existed prior to the Business Combination, and (iii) at
least a majority of the members of the board of directors of the corporation
resulting from such Business Combination were members of the Incumbent Board at
the time of the execution of the initial agreement, or of the action of the
Board, providing for such Business Combination; or

       

      (d)           Approval
by the stockholders of the Company of a complete liquidation or dissolution of
the Company.

       

      
        
          
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          2

          
            

          

        

        
           

        

      

      "Code" means the
Internal Revenue Code of 1986, as amended and in effect from time to
time.

       

      "Committee" means the
committee described in Article VI, and if an Administrative Committee has been
appointed pursuant to Section 6.2, shall include such Administrative
Committee.

       

      "Common Stock" means
the Company's Common Stock, par value $1.00 per share, and related preferred
share purchase rights, as such shares may be adjusted in accordance with Section
3.1(c).

       

      "Common Stock Units
Account" means an Account with entries denominated in Units (including
fractions) that are credited in accordance with Section 3.1(b).

       

      "Company" means The
Toro Company, a Delaware corporation, and any successor to all or substantially
all of the Company's assets or business.  Except as used in of Article
VII, "Company" also includes any participating subsidiary.

       

      "Deferral Election"
means a Participant's election under Section 2.3, made in a manner and on the
form prescribed by the Committee.

       

      "Director" means any
member of the Board who is not an employee of the Company or of any subsidiary
of the Company.

       

      "Director's Fees"
means amounts paid to a Director as compensation (but not as reimbursement of
expenses) for serving on the Board, including retainer fees, meeting fees and
stock grants or awards.

       

      "ERISA" means the
Employee Retirement Income Security Act of 1974, as amended and as in effect
from time to time.

       

      "Fair Market Value"
means the closing price of one share of Common Stock as reported by the New York
Stock Exchange.

       

      "IRS" means the
Internal Revenue Service.

       

      "Participant" means a
Director who elects to participate in the Plan in accordance with Article
II.  Status as a Participant shall continue for as long as the
individual has a balance credited to an Account under the Plan, even if the
Participant is no longer a Director.  A Beneficiary, a spouse or
former spouse, or an executor or personal administrator of a Participant's
estate shall not be treated as a Participant even if such individual or the
Participant's estate has an interest in the Participant's benefits under the
Plan.

       

      "Plan" means the
Deferred Compensation Plan for Non-Employee Directors, as it may be amended from
time to time.

       

      "Plan Year" means the
calendar year.

       

      
        
          
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          3

          
            

          

        

        
           

        

      

      "Retirement" or "Retire(s)" refers to
separation from service as a Director for any reason.  With respect to
any payments hereunder that are subject to Code Section 409A and that are
payable on account of a separation from service, the determination of whether
the Director has had a separation from service shall be made in accordance with
Code Section 409A.

       

      "Stable Return Fund
Measure" means the earnings rate paid or credited from time to time on
assets held in the Stable Return Fund under The Toro Company Investment, Savings
and Employee Stock Ownership Plan, or its successor plan.

       

      "Trust" means a trust
established by the Company to be used in connection with the Plan.

       

      "Trustee" means the
financial institution or individual acting at the time as trustee of the
Trust.

       

      "Unforeseeable
Emergency" means a severe financial hardship to a Participant resulting
from an illness or accident of the Participant, the Participant's spouse, the
Participant's Beneficiary or the Participant's dependent (as defined in Code
Section 152, without regard to Sections 152(b)(1), (b)(2) and (d)(1)(B)); loss
of the Participant's property due to casualty (including the need to rebuild a
home following damage to a home not otherwise covered by insurance, for example,
not as a result of a natural disaster); or other similar extraordinary and
unforeseeable circumstances arising as a result of events beyond the control of
the Participant.  For example, (a) imminent foreclosure of or eviction
from the Participant's primary residence may constitute an Unforeseeable
Emergency; (b) the need to pay for medical expenses, including nonrefundable
deductibles, as well as for the costs of prescription drug medications, may
constitute an Unforeseeable Emergency; (c) the need to pay for the funeral
expenses of a spouse, a Beneficiary or a dependent (as defined in Code Section
152, without regard to Sections 152(b)(1), (b)(2) and (d)(1)(B)) may also
constitute an Unforeseeable Emergency; and (d) the purchase of a home and the
payment of college tuition are not Unforeseeable Emergencies.

       

      "Unit" means a
denomination that has a value equal to one share of Common Stock, subject to
adjustment by the Committee in accordance with Section 3.1(c) of the
Plan.

       

      II.           ELIGIBILITY;
PARTICIPATION; DEFERRAL

       

      
        	
                2.1

              	
                Eligibility

              

      

       

      Any
Director is eligible to participate in the Plan.

       

      
        	
                2.2

              	
                Participation

              

      

       

      A
Director may become a Participant in the Plan by completing, signing and
delivering to the Office of the Corporate Secretary a Deferral Election, which
may include distribution elections, a Beneficiary designation and such other
material as the Committee may request.

       

      
        	
                2.3

              	
                Deferral
      Election

              

      

       

      (a)           Deadline for
Delivery.  A Director may deliver a Deferral Election not later
than December 31 of the year prior to the Plan Year to which it
relates.  Notwithstanding the

       

      
        
          
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      foregoing,
in a year in which an individual first becomes a Director, the individual may
submit a Deferral Election not later than 30 days after the date the individual
becomes eligible to participate in the Plan, provided that the election shall be
effective only with respect to Directors' Fees paid for services to be performed
after the election.

       

      (b)           Election
Irrevocable.  A Deferral Election is effective upon delivery
and is irrevocable with respect to the Plan Year to which it
relates.  A Participant may change a Deferral Election for a
subsequent Plan Year by delivering a new Deferral Election to the Office of the
Corporate Secretary not later than December 31 of the preceding Plan
Year.

       

      III.           CREDITING
AND VESTING

       

      
        	
                3.1

              	
                Amounts
      to Be Credited to Accounts

              

      

       

      (a)           Cash
Account.  A Participant's Cash Account shall be credited with
Directors' Fees deferred pursuant to a valid Deferral Election and shall be
further credited with earnings at a rate and in a manner authorized by the
Committee from time to time; provided that the earnings rate shall be based on a
Participant's selection from among fund choices made available by the Committee
from time to time, and provided further that the choices available for a Cash
Account shall not include a Common Stock fund.  Earnings shall be
credited as of the end of each business day that the Committee authorizes the
Plan's recordkeeping system to determine the value of gains and
losses.  Notwithstanding the foregoing, for Participants who did not
make a one-time election as of October 31, 2006 to allocate all funds in all
Accounts, past and future, so that earnings are based on the rate of return of
one or more of the funds made available by the Committee as described above, the
earnings shall be credited at a rate based on the Stable Return Fund
Measure.

       

      (b)           Common Stock Units
Account.  A Participant's Common Stock Units Account shall be
credited with a number of Units equal to the number of shares of Common Stock
that otherwise would have been issued to a Participant by way of a stock grant
or award, but that were deferred pursuant to a valid Deferral
Election.

       

      (c)           Account
Value.  Subject to the second paragraph of this Section 3.1(c)
the value of Units in a Common Stock Units Account shall fluctuate with the Fair
Market Value of the Common Stock.

       

      In the
event of a corporate transaction involving the Company (including, without
limitation, any merger, consolidation, recapitalization, reorganization, split
off, spinoff, reclassification, combination, stock dividend, stock split,
reverse stock split, repurchase, exchange, issuance of warrants or other rights
to purchase Common Stock or other securities of the Company, or other similar
corporate transaction or change in the corporate structure of the Company
affecting the Common Stock, or a sale by the Company of all or part of its
assets or any distribution to stockholders other than a normal cash dividend),
the Committee shall adjust Accounts to preserve their benefits or potential
benefits.  Action by the Committee may include (i) appropriate
adjustments in the number of Units then credited to an Account; (ii) conversion
of Units to other new or different securities into which the Common Stock may be
converted; (iii) conversion to a cash balance, or (iv) any other adjustment the
Committee determines to be

       

      
        
          
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      equitable
and consistent with the purposes of the Plan.  In the event that
Common Stock is converted into cash in connection with a corporate transaction
described in this Section 3.1(c), the value of the Units in any Account shall be
converted to a dollar amount by multiplying the number of Units in each Account
by the Fair Market Value of a share of Common Stock on the date of the corporate
transaction, and such amounts shall thereafter be credited with interest at a
rate and in a manner consistent with Section 3.1(a).  If the Trust is
funded in the event of a Change of Control, the Trustee shall have authority to
change the method of determining the interest crediting rate.

       

      (d)           Time of
Crediting.  Directors' Fees deferred under the Plan shall be
withheld and credited to a Participant’s Account as of the date they otherwise
would be paid to the Participant, whether or not payment occurs during the Plan
Year itself.

       

      (e)           Dividends.  In
the event that the Company pays dividends on its Common Stock, the Common Stock
Units Account shall be credited with additional Units (including
fractions).  The number of additional Units to be credited shall be
determined by dividing the aggregate dollar value of the dividends that would be
paid on the Units, if such Units were Common Stock, by the Fair Market Value of
one share of the Common Stock on the dividend payment date.

       

      (f)           Self-Employment and Other
Taxes.  The Company may withhold from a Participant's
Directors' Fees, in a manner determined by the Committee, the Participant's
share of self-employment, FICA and other taxes that may be required to be
withheld.  If necessary, the Committee may reduce the amount of
Directors' Fees a Participant elects to defer in order to comply with this
Section 3.1(f).

       

      
        	
                3.2

              	
                Vesting

              

      

       

      A
Participant's Cash Account and Common Stock Units Account shall at all times be
fully vested, subject only to the Participant's status as a general creditor of
the Company, as provided in Section 8.3.

       

      IV.           DISTRIBUTIONS

       

      
        	
                4.1

              	
                Distributable
      Events

              

      

       

      Distributions
under the Plan shall be payable in accordance with a Participant's Deferral
Election upon the earliest of (i) Retirement, (ii) a date prior to Retirement if
a valid election has been made under Section 4.4, or (iii) an Unforeseeable
Emergency under Section 4.5.

       

      
        	
                4.2

              	
                Method
      of Payment

              

      

       

      (a)           A
Participant may elect in the Participant's initial Deferral Election and in a
manner determined by the Committee (i) to receive Cash Account distributions in
a single lump sum or in approximately equal monthly, quarterly or annual
installments over a period of time not to exceed ten years, and (ii) to receive
Common Stock Units Account distributions in either a single distribution or in
annual installments over a period of time not to exceed ten years.  If
a Participant does not make a valid election with respect to the payment of
benefits, then such benefits shall be payable in a single
distribution.  The single distribution shall be made, or

       

      
        
          
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      installment
payments shall commence, in January immediately after the calendar year in which
the Participant Retires.

       

      (b)           A
distribution election may be changed to an allowable alternative payment period
by submitting a new election to the Committee, in a manner and on a form
approved by the Committee; provided, however, that an election submitted less
than one year before the distribution is to commence shall not be given
effect.  Each Participant may make only one such election change with
respect to each applicable Plan Year.  The most recent effective
election received by the Committee shall govern the payment.  Such
election changes are also subject to the following: (i) any change shall not
take effect until at least 12 months after the date on which the election change
is made and (ii) in the case of an election change relating to payments other
than on account of an Unforeseeable Emergency or the death of the Participant,
the payment shall be deferred for a period of not less than five years after the
date such payment would otherwise have been paid (or in the case of installment
payments, five years after the date the first amount would otherwise have been
paid).

       

      (c)           Any
Account denominated in Units shall be payable only in shares of Common Stock,
except that cash shall be paid for any fractional share.  As provided
in Section 4.2(a), distributions of Common Stock shall be made either in a
single distribution or in annual installments.

       

      (d)           As
provided in Section 4.2(a), if a Participant does not make a valid election with
respect to the payment of benefits, benefits payable under the Plan to or on
behalf of the Participant shall be paid in a single distribution to the
Participant, or in the event of the Participant's death, to the Participant's
designated Beneficiary under the Plan.  Any change in this default
election must comply with Section 4.2(b).

       

      
        	
                4.3

              	
                Death
      Prior to Completion of Payment

              

      

       

      If a
Participant dies after Retirement but before the Participant's Accounts are
distributed in full, the remaining Account Balance shall be paid to the
Participant's Beneficiary in a lump sum or, if the Participant has so elected,
in installments.

       

      
        	
                4.4

              	
                Distribution
      Prior to Retirement

              

      

       

      A
Participant may irrevocably elect in the Participant's Deferral Election to
receive all or part of the balance of either or both of the Cash Account or the
Common Stock Units Account in any year prior to Retirement.  Except as
provided in Section 4.5, no distribution date prior to Retirement shall be
acceptable unless such date falls at least two Plan Years after the initial
election is made.  A distribution in any year shall not exceed the
aggregate of the balance of each of the Cash Account and Common Stock Units
Account as of the last day of the Plan Year immediately prior to the Plan Year
in which the distribution is made.  Any distribution made pursuant to
an election hereunder shall be made in a single lump sum in such distribution
year.

       

      
        	
                4.5

              	
                Unforeseeable
      Emergencies

              

      

       

      A
Participant who experiences an Unforeseeable Emergency, as determined by the
Committee based on the relevant facts and circumstances, may request a hardship
withdrawal

       

      
        
          
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          7

          
            

          

        

        
           

        

      

      from the
Participant's Accounts under the Plan.  Upon receiving such a request,
the Committee (i) shall cancel the Participant's deferrals under the Plan for
the remainder of the Plan Year, and (ii) may make a distribution from the
Participant's Accounts.  Withdrawals of amounts because of an
Unforeseeable Emergency are permitted only to the extent reasonably necessary to
satisfy the emergency need (which may include amounts necessary to pay any
federal, state, local or foreign income taxes or penalties reasonably
anticipated to result from the distribution).  A distribution on
account of an Unforeseeable Emergency may not be made to the extent that such
emergency is or may be relieved through reimbursement or compensation from
insurance or otherwise, by liquidation of the Participant's assets, to the
extent the liquidation of such assets would not cause severe financial hardship,
or by cessation of deferrals under the Plan.

       

      V.           BENEFICIARY
DESIGNATION

       

      Each
Participant shall have the right to designate one or more Beneficiaries
(including primary and contingent Beneficiaries) to receive any benefits payable
under the Plan.  A Participant shall have the right to change a
Beneficiary by designating a new Beneficiary in a manner and on a form approved
by the Committee.

       

      If a
Participant fails to designate a Beneficiary or if all designated Beneficiaries
predecease the Participant or die prior to complete distribution of the
Participant's benefits, then payment shall be made as required under the
Participant's will or governing trust; or, in the event there is no will or
trust under applicable state law, then payment shall be made to the persons who,
at the date of the Participant's death, would be entitled to share in the
distribution of the deceased Participant's estate under applicable state law
then in force governing the decedent's intestate property.

       

      VI.           ADMINISTRATION
OF THE PLAN

       

      
        	
                6.1

              	
                Committee
      Duties

              

      

       

      The Plan
shall be administered by a Committee, which shall consist of the Board, or such
committee as the Board may appoint.  Members of the Committee may be
Participants.  The Committee shall have the discretion and authority,
subject to Section 7.1, to make amendments to the Plan or in its discretion it
may recommend amendments to the Board for its action.  The Committee
shall have the discretion and authority to make, amend, interpret and enforce
appropriate rules and regulations for the administration of the Plan and to
decide or resolve, in its discretion, any and all questions involving
interpretation of the Plan.  Any individual serving on the Committee
who is a Participant shall not vote or act on any matter relating solely to
himself or herself.  When making a determination or calculation, the
Committee shall be entitled to rely on information furnished by a Participant or
by the Company.

       

      
        	
                6.2

              	
                Administrative
      Committee; Agents

              

      

       

      The
Committee may, from time to time, appoint an Administrative Committee and
delegate to the Administrative Committee such duties and responsibilities
(including the authority to make ministerial or administrative amendments to the
Plan) with respect to the Plan as the Committee may determine.  The
Committee and the Administrative Committee may employ agents and delegate to
them such duties as either Committee sees fit (including acting

       

      
        
          
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          8

          
            

          

        

        
           

        

      

      through a
duly appointed representative) and may from time to time consult with counsel
who may be counsel to the Company.

       

      
        	
                6.3

              	
                Binding
      Effect of Decisions

              

      

       

      The
decisions or actions of the Committee and the Administrative Committee with
respect to the administration, interpretation and application of the Plan and
the rules and regulations hereunder shall be final and conclusive and shall be
binding upon all persons having any interest in the Plan.

       

      
        	
                6.4

              	
                Indemnity
      of Committee and Administrative
Committee

              

      

       

      The
Company shall indemnify and hold harmless the members of the Committee, the
Administrative Committee, and any agent or employee to whom the duties of the
Committee or the Administrative Committee may be delegated, against any and all
claims, losses, damages, expenses or liabilities arising from any action or
failure to act with respect to the Plan, except in the case of willful
misconduct.

       

      VII.           AMENDMENT
OR TERMINATION

       

      
        	
                7.1

              	
                Amendment

              

      

       

      The
Company reserves the power to amend or terminate the Plan at any time by action
of the Committee, ratified by the Board; provided that no amendment shall
decrease the then current balances of a Participant's Accounts.  No
amendment of the Plan shall affect the rights of any Participant or Beneficiary
who has become entitled to the distribution of benefits under the Plan as of the
date of the amendment.

       

      
        	
                7.2

              	
                Termination

              

      

       

      Although
the Company anticipates that the Plan will continue for an indefinite period of
time, it reserves the right to terminate the Plan at any time with respect to
any or all Participants.  Termination of the Plan shall not adversely
affect the rights under the Plan of any Participant or Beneficiary who has
become entitled to the payment of any Plan benefits as of the date of
termination.  Any acceleration of the time and form of payment as a
result of the termination of the Plan shall be in accordance with Treasury
Regulation Section 1.409A-3(j)(4)(ix).

       

      VIII.                      GENERAL
PROVISIONS

       

      
        	
                8.1

              	
                Trust

              

      

       

      The
Company has established a Trust that may be used to pay benefits arising under
the Plan and costs, charges and expenses relating thereto.  To the
extent that the funds held in the Trust are insufficient to pay such benefits,
costs, charges and expenses, the Company shall pay them.

       

      
        
          
             PAGE

          

           

        

        
          9

          
            

          

        

        
           

        

      

       

       

      8.2           No
Alienation

       

      Except as
the Committee determines is required by law or order of a court of competent
jurisdiction, neither Units credited to a Participant's Accounts nor the
benefits payable hereunder, including any rights or privileges pertaining
thereto, may be anticipated, alienated, sold, transferred, assigned, pledged,
encumbered or subjected to any charge or legal process, and no interest or right
to receive a benefit may be taken, either voluntarily or involuntarily, for the
satisfaction of the debts of, or other obligations or claims against, any person
or entity, including claims for alimony, support, separate maintenance and
claims in bankruptcy proceedings.

       

      
        	
                8.3

              	
                Unfunded
      Plan

              

      

       

      The Plan
shall at all times be considered entirely unfunded both for tax purposes and for
purposes of Title I of ERISA.  Funds invested hereunder shall continue
for all purposes to be part of the general assets of the Company and available
to the general creditors of the Company in the event of a bankruptcy
(involvement in a pending proceeding under the Federal Bankruptcy Code) or
insolvency (inability to pay debts as they mature).  In the event of
such a bankruptcy or insolvency, the Company shall notify the Trustee of the
Trust and each Participant in writing of such an occurrence within three
business days after the Company obtains knowledge of such
occurrence.  No Participant or any other person shall have any
interest in any particular assets of the Company by reason of the right to
receive a benefit under the Plan, and to the extent a Participant or any other
person acquires a right to receive benefits under the Plan, such right shall be
no greater than the right of any general unsecured creditor of the
Company.  The Plan constitutes a mere promise by the Company to make
payments to the Participants in the future.

       

      
        	
                8.4

              	
                No
      Guaranty

              

      

       

      Nothing
contained in the Plan shall constitute a guaranty by the Company or any other
person or entity that any funds in any trust or the assets of the Company will
be sufficient to pay any benefit hereunder.

       

      
        	
                8.5

              	
                No
      Right of Employment

              

      

       

      No
Participant shall have any right to a benefit under the Plan except in
accordance with the terms of the Plan.  Establishment and continuance
of the Plan shall not be construed to give any Participant the right to be
retained in the service of the Company.

       

      
        	
                8.6

              	
                Incompetency

              

      

       

      If any
person who may be eligible to receive a benefit under the Plan has been declared
incompetent and a conservator or other person legally charged with the care of
such person or of the estate of such person has been appointed, any benefit
payable under the Plan that the person is eligible to receive shall be paid to
such conservator or other person legally charged with the care of the person or
such person's estate.  Except as provided above, when the Committee
has determined that such a person is unable to manage such person's affairs, the
Committee may provide for such payment or any part thereof to be made to any
other person or institution then contributing toward or providing for the care
and maintenance of such person.  Any such

       

      
        
          
             PAGE

          

           

        

        
          10

          
            

          

        

        
           

        

      

      payment
shall be a payment for the account of such person and a complete discharge of
any liability of the Company and the Plan therefor.

       

      
        	
                8.7

              	
                Corporate
      Changes

              

      

       

      The Plan
shall not be automatically terminated by a transfer or sale of assets of the
Company or by the merger or consolidation of the Company into or with any other
corporation or other entity, but the Plan shall continue after such sale, merger
or consolidation only if and to the extent that the transferee, purchaser or
successor entity agrees to continue the Plan.  In the event the Plan
is not continued by the transferee, purchaser or successor entity, then the Plan
shall terminate subject to the provisions of Article VII.

       

      
        	
                8.8

              	
                Addresses

              

      

       

      Each
Participant shall keep the Company informed of the Participant's current address
and the current address of the Participant's Beneficiary.  The Company
shall not be obligated to search for any person.

       

      
        	
                8.9

              	
                Limitations
      on Liability

              

      

       

      Notwithstanding
any of the provisions of the Plan to the contrary, neither the Company nor any
individual acting as an employee or agent of the Company shall be liable to any
Participant or any other person for any claim, loss, liability or expense
incurred in connection with the Plan, unless attributable to fraud or willful
misconduct on the part of the Company or any such employee or agent of the
Company.

       

      
        	
                8.10

              	
                Transfers
      to the Trust

              

      

       

      On the
occurrence of a Change of Control, the Company shall transfer cash or property
to the Account or Accounts maintained in the name of each affected Participant
or Participants for the Plan under the Trust in an amount equal to the present
value of all accumulated or accrued benefits then payable to or on behalf of
such Participant or Participants under the Plan, plus any applicable
fees.  The Company may also transfer cash or property to the Accounts
maintained for any Participant under the Trust in an amount equal to the present
value of all accumulated or accrued benefits then payable under the Plan at any
time in the sole discretion of the Company.  Thereafter, the Company
may, and after a Change of Control it shall, for each Plan Year, transfer cash
or property no later than 30 days after the end of the Plan Year in which the
initial transfer occurs, and thereafter on each anniversary thereof, to such
Account or Accounts maintained for the affected Participant or Participants
under the Trust an amount equal to the additional benefit accrued under the
terms of the Plan during and in relation to the most recent Plan Year then
ended.

       

      
        	
                8.11

              	
                Inspection

              

      

       

      Each
Participant shall receive a copy of the Plan and the Company will make available
for inspection by any Participant or designated Beneficiary a copy of any rules
and regulations that are used by the Company in administering the
Plan.

       

      
        
          
             PAGE

          

           

        

        
          11

          
            

          

        

        
           

        

      

      8.12        Voting
of Stock

       

      Participants
shall not be entitled to voting rights with respect to Units held in their
Accounts.

       

      
        	
                8.13

              	
                Singular
      and Plural

              

      

       

      Except
when otherwise required by the context, any singular terminology shall include
the plural.

       

      
        	
                8.14

              	
                Severability

              

      

       

      If a
provision of the Plan shall be held to be illegal or invalid, the illegality or
invalidity shall not affect the remaining parts of the Plan and the Plan shall
be construed and enforced as if the illegal or invalid provision had not been
included.

       

      
        	
                8.15

              	
                Unsecured
      General Creditor

              

      

       

      Participants
and their Beneficiaries, heirs, successors and assigns shall have no legal or
equitable rights, interests or claims in any property or assets of the Company
or of the Trust.  For purposes of the payment of benefits under the
Plan, any and all of the Company's assets including any assets of the Trust
shall be, and remain until paid, the general, unpledged, unrestricted assets of
the Company.  The Company's obligation under the Plan shall consist
solely of an unfunded and unsecured promise to pay money in the
future.

       

      
        	
                8.16

              	
                Discharge
      of Obligations

              

      

       

      The
payment of benefits under the Plan to a Beneficiary shall fully and completely
discharge the Company and the Committee from all further obligations under the
Plan with respect to the Participant and any Beneficiary.

       

      
        	
                8.17

              	
                Governing
      Law

              

      

       

      To the
extent that it is not governed by United States federal law, the Plan shall be
construed, administered and governed in all respects under and by the applicable
laws of the State of Delaware,  excluding any conflicts of law rule or
principle that might otherwise refer construction or interpretation of the Plan
or a deferral election to the substantive law of another
jurisdiction.

       

      
        	
                8.18

              	
                Successors

              

      

       

      The
provisions of the Plan shall bind and inure to the benefit of the Company and
its successors and assigns and the Participant and the Participant's designated
Beneficiaries.

       

      
        	
                8.19

              	
                Court
      Order

              

      

       

      Notwithstanding
Section 8.2, the Committee is authorized to make any payments directed by a
qualified domestic relations order (as defined in Code Section
414(p)(1)(B)).  If a court

       

      
        
          
             PAGE

          

           

        

        
          12

          
            

          

        

        
           

        

      

      determines
that a spouse or former spouse of a Participant has an interest in the
Participant's benefits under the Plan in connection with a property settlement
or otherwise, the Committee, in its sole discretion, shall have the right,
notwithstanding any election made by a Participant, to immediately distribute
the spouse's or former spouse's interest in the Participant's benefits under the
Plan to that spouse or former spouse.

       

      
        	
                8.20

              	
                No
      Assurance of Tax Consequences

              

      

       

      Neither
the Company nor the Board nor any other person guarantees or assures a
Participant or Beneficiary of any particular federal or state income tax,
payroll tax or other tax consequence of participation in the Plan.  A
Participant should consult with professional tax advisors regarding all
questions related to the tax consequences of participation.

       

      
        	
                8.21

              	
                Code
      Section 409A

              

      

       

      The Plan
is intended to comply with the requirements of Code Section 409A (including
accompanying regulations and current IRS guidance) and conform to the current
operation of the Plan.  The terms of the Plan shall be interpreted,
operated and administered in a manner consistent with this intention to the
extent the Committee deems necessary to comply with Code Section 409A and any
official guidance issued thereunder.

       

      

       

      * * * *
*

      
        
          
             PAGE

          

           

        

        
          13

          
            

          

        

        
           

        

      

       

      IN
WITNESS WHEREOF, an authorized officer of the Company has signed this document
on the 21st day of
July, 2008, to be effective January 1, 2009.

       

      

       

      THE TORO
COMPANY

       

      

       

      

       

      

       

      By:                                                                Michael J.
Hoffman

       

      Its:          Chairman, President and
CEO

      

      
        
          
             PAGE

          

           

        

        
          14supplemental_benefitplan.htm

    Exhibit
10(d)

       

       

      THE
TORO COMPANY

       

      SUPPLEMENTAL
BENEFIT PLAN

       

      

       

      

       

      

       

      

       

      

       

      

       

      

       

      

       

      

       

      

       

      Amended
and Restated Effective January 1, 2009

      
        
          
             

            

          

           

        

        
           

          
            

          

        

        
           

        

      

      

       

      TABLE
OF CONTENTS

       

      Page                      

      
        	
                I. DEFINITIONS

              	
                1

              
	
                II.
      ELIGIBILITY AND PARTICIPATION

              	
                5

              
	
                III.
      SUPPLEMENTAL ACCOUNT

              	
                6

              
	
                3.1 Establishment of
      Account

              	
                6

              
	
                3.2 Credits to Article III
      Account

              	
                6

              
	
                3.3 Earnings on Amounts
      Credited

              	
                6

              
	
                IV.
      SUPPLEMENTAL RETIREMENT BENEFIT

              	
                6

              
	
                4.1 Benefit
      Eligibility

              	
                6

              
	
                4.2 Calculation of the
      Benefit

              	
                7

              
	
                4.3 Effect of Pension Plan
      Termination

              	
                7

              
	
                V.
      SUPPLEMENTAL SURVIVING SPOUSE BENEFIT

              	
                7

              
	
                5.1 Eligibility for Surviving
      Spouse Benefit

              	
                7

              
	
                5.2 Calculation of the
      Benefit

              	
                8

              
	
                5.3 Effect of Pension Plan
      Termination

              	
                8

              
	
                VI.
      DISTRIBUTIONS

              	
                9

              
	
                6.1 Distribution of Article III
      Accounts

              	
                9

              
	
                6.2 Election of Distribution
      Method for Article III Accounts

              	
                9

              
	
                6.3 Death Prior to Completion of
      Distributions for Article III Accounts

              	
                9

              
	
                6.4 Distribution of Article IV
      Accounts

              	
                10

              
	
                6.5 Election of Distribution
      Method for Article IV Accounts

              	
                10

              
	
                6.6 Death Before Termination of
      Employment for Article IV Accounts

              	
                10

              
	
                6.7 Limitation on Election of
      Distribution Method

              	
                11

              
	
                6.8 Payments to Specified
      Employees

              	
                11

              
	
                6.9 Unforeseeable
      Emergencies

              	
                11

              
	
                6.10 Disability

              	
                12

              
	
                VII.
      ADMINISTRATION OF THE PLAN

              	
                12

              
	
                7.1 Company
    Authority

              	
                12

              
	
                7.2 Reliance

              	
                12

              
	
                7.3 Individual
      Statements

              	
                12

              
	
                7.4 Claims

              	
                12

              
	
                VIII.
      AMENDMENT OR TERMINATION

              	
                14

              
	
                IX.
      GENERAL PROVISIONS

              	
                15

              
	
                9.1 The Trust

              	
                15

              
	
                9.2 No Alienation

              	
                15

              
	
                9.3 Unfunded Plan

              	
                15

              
	
                9.4 No Guaranty

              	
                16

              
	
                9.5 No Right of
      Employment

              	
                16

              
	
                9.6 Incompetency

              	
                16

              
	
                9.7 Corporate
    Changes

              	
                16

              
	
                9.8 Addresses

              	
                16

              
	
                9.9 Limitations on
      Liability

              	
                17

              
	
                9.10 Transfers to the
      Trust

              	
                17

              
	
                9.11 Inspection

              	
                17

              
	
                9.12 Withholding

              	
                17

              
	
                9.13 Singular and
      Plural

              	
                17

              
	
                9.14 Severability

              	
                18

              
	
                9.15 Unsecured General
      Creditor

              	
                18

              
	
                9.16 Discharge of
      Obligations

              	
                18

              
	
                9.17 Governing
Law

              	
                18

              
	
                9.18 Successors

              	
                18

              
	
                9.19 Court Order

              	
                18

              
	
                9.20 No Assurance of Tax
      Consequences

              	
                19

              
	
                9.21 Code Section
      409A

              	
                19

              

      

       

      

      
        
          
             

          

           

        

        
           

          
            

          

        

        
           

        

      

      

       

      THE
TORO COMPANY

       

      SUPPLEMENTAL
BENEFIT PLAN

       

      Amended
and Restated Effective January 1, 2009

       

      The Toro
Company hereby amends and restates its Supplemental Benefit Plan originally
effective as of August 1, 1989.  This amendment and restatement is
effective for all amounts deferred on or after January 1, 2005 that remain
unpaid as of January 1, 2009.  All grandfathered amounts earned and
vested as of December 31, 2004 shall continue to be governed by the 2004 Plan
document in accordance with then applicable IRS guidance.  All amounts
earned or vested from January 1, 2005 through December 31, 2008 shall continue
to be governed by this amendment and restatement, as modified by the operations
of the Plan during such period in accordance with Code Section 409A and then
applicable IRS guidance (including transition relief).  The Plan is
maintained by the Company for the purpose of providing benefits for a select
group of management or highly compensated employees, in excess of the
limitations on benefits and contributions imposed by Sections 401(a)(17)
and 415 of the Code.  The Plan is unfunded for purposes of Title I of
ERISA.

       

      I.           DEFINITIONS

       

      When used
in the Plan, the following terms have the meanings indicated unless a different
meaning is plainly required by the context.

       

      "2004 Plan" means the
terms of the Plan in place as of December 31, 2004.

       

      "Actuarial Equivalent"
means, prior to January 1, 2006, calculations based upon 7% interest and the
1971 Group Annuity Table male rates.  On or after January 1, 2006, it
means the calculations based upon 6% interest and the "applicable mortality
table" prescribed by the Secretary of the Treasury in accordance with Section
417(e)(3) of the Code and regulations and rulings issued thereunder (which on or
after December 31, 2002 is based on the table in Revenue Ruling
2001-62).  However, when determining an Actuarial Equivalent benefit
under the Plan, that benefit shall not be less than an amount determined when
the assumptions stated in the first sentence of this definition are applied with
respect to a Participant's benefit accumulated through December 31,
2006.

       

      "Beneficiary" means
the person or persons selected by the Participant to receive benefits under the
Plan in the event of the Participant's death.

       

      "Board" means the
Board of Directors of the Toro Company.

       

      "Change of Control"
means:

       

      (a)           The
acquisition by any individual, entity or group (within the meaning of
Section 13(d)(3) or 14(d)(2) of the Exchange Act) (a "Person") of
beneficial ownership

      
        
          
             

          

           

        

        
          1

          
            

          

        

        
           

        

      

       

      (within
the meaning of Rule 13d-3 under the Exchange Act) of 15% or more of either
(i) the then-outstanding shares of Common Stock of the Company (the
"Outstanding Company Common Stock") or (ii) the combined voting power of
the then-outstanding voting securities of the Company entitled to vote generally
in the election of directors (the "Outstanding Company Voting Securities");
provided, however, that for purposes of this subsection (a), the following
acquisitions shall not constitute a Change of Control: (w) any acquisition
directly from the Company, (x) any acquisition by the Company, (y) any
acquisition by any employee benefit plan (or related trust) sponsored or
maintained by the Company or any corporation controlled by the Company, or
(z) any acquisition by any corporation pursuant to a transaction that
complies with clauses (i), (ii) and (iii) of
subsection (c) of this definition; or

       

      (b)            Individuals
who, as of the date hereof, constitute the Board (the "Incumbent Board") cease
for any reason to constitute at least a majority of the Board; provided,
however, that any individual becoming a director subsequent to the date hereof
whose election, or nomination for election by the Company’s stockholders, was
approved by a vote of at least a majority of the directors then comprising the
Incumbent Board shall be considered as a member of the Incumbent Board, but
excluding, for this purpose, any such individual whose initial assumption of
office occurs as a result of an actual or threatened election contest with
respect to the election or removal of directors or other actual or threatened
solicitation of proxies or consents by or on behalf of a Person other than the
Board; or

       

      (c)           Consummation
of a reorganization, merger or consolidation of the Company or sale or other
disposition of all or substantially all of the assets of the Company or the
acquisition by the Company of assets or stock of another entity (a "Business
Combination"), in each case, unless, following such Business Combination,
(i) all or substantially all of the individuals and entities who were the
beneficial owners, respectively, of the Outstanding Company Common Stock and
Outstanding Company Voting Securities immediately prior to such Business
Combination beneficially own, directly or indirectly, more than 50% of,
respectively, the then-outstanding shares of common stock and the combined
voting power of the then-outstanding voting securities entitled to vote
generally in the election of directors, as the case may be, of the corporation
resulting from such Business Combination (including, without limitation, a
corporation that as a result of such transaction owns the Company or all or
substantially all of the Company’s assets either directly or through one or more
subsidiaries) in substantially the same proportions as their ownership,
immediately prior to such Business Combination, of the Outstanding Company
Common Stock and Outstanding Company Voting Securities, as the case may be,
(ii) no Person (excluding any corporation resulting from such Business
Combination or any employee benefit plan (or related trust) of the Company or
such corporation resulting from such Business Combination) beneficially owns,
directly or indirectly, 15% or more of, respectively, the then-outstanding
shares of common stock of the corporation resulting from such Business
Combination or the combined voting power of the then-outstanding voting
securities of such corporation, except to the extent that such ownership existed
prior to the Business Combination, and (iii) at least a majority of the
members of the board of directors of the corporation resulting from
such

      
        
          
              

          

           

        

        
          2

          
            

          

        

        
           

        

      

       

      Business
Combination were members of the Incumbent Board at the time of the execution of
the initial agreement, or of the action of the Board, providing for such
Business Combination; or

       

      (d) Approval
by the stockholders of the Company of a complete liquidation or dissolution of
the Company.

       

      "Code" means the
Internal Revenue Code of 1986, as amended.

       

      "Committee" means the
Compensation and Human Resources Committee of the Board or any successor
committee and its delegates with respect to the Plan.

       

      "Common Stock" means
the Company's common stock, par value $1.00 per share, and related preferred
share purchase rights.

       

      "Company" means The
Toro Company, a Delaware corporation.  Except as used in Articles VII
and VIII, "Company" also includes any Participating Subsidiary.

       

      "Compensation" means
all amounts received by a Participant from the Company that are subject to
federal income tax withholding: provided that (a) Compensation shall not
include any amount received by an employee on account of the grant or exercise
of an option to purchase Common Stock of the Company, and (b) Compensation
shall include an amount equal to any reductions in a Participant's gross income
as a result of salary reductions under Section 125, 132(f)(4) or 402(e)(3) of
the Code.  Compensation shall include only amounts paid or deferred in
connection with the Company's annual base salary and the annual cash incentive
plans.

       

      "Disability" means the
Participant is (a) unable to engage in any substantial gainful activity by
reason of any medically determinable physical or mental impairment that can be
expected to result in death or can be expected to last for a continuous period
of not less than 12  months; (b) receiving income replacement benefits
for a period of not less than three months under an accident and health plan
covering Company employees because of any medically determinable physical or
mental impairment that can be expected to result in death or can be expected to
last for a continuous period of not less than 12 months; (c) determined to be
totally disabled by the Social Security Administration or Railroad Retirement
Board; or (d) determined to be disabled in accordance with the Company's Long
Term Disability Plan, provided that such plan's definition complies with
Treasury Regulation Section 1.409A-3(i)(4).

       

      "Distribution Election
Form" means a form provided by the Company through which a Participant
makes the distribution elections provided for in Articles III, IV, V and
VI.

       

      "Early Retirement
Date" means the first day of any month before the Participant's Normal
Retirement Date that is on or after the date on which the Participant has
attained 55 years of age, completed 10 years of credited service under the
Pension Plan, incurred a

      
        
          
              

          

           

        

        
          3

          
            

          

        

        
           

        

      

       

      termination
of employment and elected to receive an early retirement benefit under the
Pension Plan.

       

      "ERISA" means the
Employee Retirement Income Security Act of 1974, as amended.

       

      "Exchange Act" means
the Securities Exchange Act of 1934, as amended.

       

      "IRS" means the
Internal Revenue Service.

       

      "Normal Retirement
Age" has the meaning set forth in the Pension Plan as of December 31,
2008.

       

      "Participant" means
any employee of the Company or a Participating Subsidiary who meets the
conditions described in Article II of the Plan.

       

      "Participating
Subsidiary" means a Subsidiary of the Company to which the Plan has been
extended by action of the Board or by action of the Committee, if the Board of
Directors has authorized the Committee to so act.

       

      "Pension Plan" means
The Toro Company Retirement Plan for Office and Hourly Employees or any
successor or replacement plan.

       

      "Plan" means the
Supplemental Benefit Plan, as amended.

       

      "Plan Year" means the
calendar year.

       

      "Retirement Plan"
means The Toro Company Investment, Savings and Employee Stock Ownership Plan or
any successor or replacement plan.

       

      "Specified Employee"
means a Participant who, as of the date of the Participant's termination of
employment for any reason and unless the Company has designated otherwise, is an
elected officer of the Company.  If a Participant is an elected
officer as of December 31, the Participant shall be treated as a Specified
Employee for the entire 12-month period beginning on the next following April
1.

       

      "Stable Return Fund
Measure" means the earnings rate paid or credited from time to time on
assets held in the Stable Return Fund under the Retirement Plan.

       

      "Subsidiary" means any
corporation that is a component member of the controlled group of corporations
of which the Company is the common parent.  Controlled group shall be
determined by reference to Section 1563 of the Code but shall include any
corporation described in Section 1563(b) (2) thereof.

       

      "Surviving Spouse"
means a person who is married to a Participant at the date of the Participant's
death and for at least one year prior thereto.

      
        
           

        

        
          4

          
            

          

        

        
           

        

      

       

      "Trust" means the
trust established or maintained by the Company that is used in connection with
the Plan to assist the Company in meeting its obligations under the
Plan.

       

      "Trustee" means the
corporation or individual selected by the Company to serve as trustee for the
Trust.

       

      "Unforeseeable
Emergency"  means a severe financial hardship to a Participant
resulting from an illness or accident of the Participant, the Participant's
spouse, the Participant's Beneficiary or the Participant's dependent (as defined
in Code Section 152, without regard to Sections 152(b)(1), (b)(2) and
(d)(1)(B)); loss of the Participant's property due to casualty (including the
need to rebuild a home following damage to a home not otherwise covered by
insurance, for example, not as a result of a natural disaster); or other similar
extraordinary and unforeseeable circumstances arising as a result of events
beyond the control of the Participant.  For example, (a) imminent
foreclosure of or eviction from the Participant's primary residence may
constitute an Unforeseeable Emergency; (b) the need to pay for medical expenses,
including nonrefundable deductibles, as well as for the costs of prescription
drug medications, may constitute an Unforeseeable Emergency; (c) the need to pay
for the funeral expenses of a spouse, a Beneficiary or a dependent (as defined
in Code Section 152, without regard to Sections 152(b)(1), (b)(2) and (d)(1)(B))
may also constitute an Unforeseeable Emergency; and (d) the purchase of a home
and the payment of college tuition are not Unforeseeable
Emergencies.

       

      II.           ELIGIBILITY
AND PARTICIPATION

       

      An
employee who satisfies the conditions of this Article II and whose benefits
under the Pension Plan or the Retirement Plan are or will be reduced because of
the limitations on contributions and benefits imposed by Section 401(a)(17) or
415 of the Code shall be a Participant in the Plan.

       

      A
Participant in the Plan must be an employee of the Company or of a Participating
Subsidiary receiving annual Compensation at a rate equal to or greater than the
limitation established pursuant to Section 401(a)(17) of the Code, as such
amount may be adjusted from time to time by the Secretary of the Treasury
($230,000 for 2008).

       

      Once an
employee becomes a Participant, the Participant's account under the Plan will
remain in effect until distributed as provided herein, even if for any
subsequent Plan Year or portion thereof the employee is ineligible to be a
Participant or ceases to be a Participant for any other reason.

      
        
           

        

        
          5

          
            

          

        

        
           

        

      

       

       

      III.           SUPPLEMENTAL
ACCOUNT

       

      
        	
                 
      

              	
                3.1

              	
                Establishment
      of Account

              

      

       

      The
Company shall establish and maintain an Article III account for each Participant
and shall credit such account for each Plan Year with an amount equal to the
amount described in Section 3.2.

       

      
        	
                 
      

              	
                3.2

              	
                Credits
      to Article III Account

              

      

       

      The
amount credited to a Participant's Article III account for each Plan Year or
portion thereof during which the employee is a Participant shall equal the
difference between:

       

      (a)           the
aggregate amount of contributions and forfeitures that would have been allocated
or reallocated to the Participant under the Retirement Plan, based on the
Participant's Compensation, and without regard to the limitations imposed by
Sections 401(a)(l7) or 415 of the Code, and

       

      (b)           the
aggregate amount of contributions and forfeitures actually allocated or
reallocated to the Participant under the Retirement Plan plus any credits made
under any nonqualified deferred compensation plan maintained by the Company
(other than the Plan) to replace amounts that would have been credited under the
Retirement Plan had the Participant not deferred Compensation under such
nonqualified plans.

       

      Amounts
credited to a Participant's Article III account for any Plan Year shall be
credited as of the end of such Plan Year.

       

      
        	
                 
      

              	
                3.3

              	
                Earnings
      on Amounts Credited

              

      

       

      Amounts
credited to a Participant's Article III Account shall be credited with earnings
at a rate and in a manner authorized by the Committee from time to time;
provided that the earnings rate for all Participants shall be based on a
Participant's selection from any fund made available by the Committee from time
to time.  Earnings shall be credited as of the end of each business
day that the Committee authorizes the Plan's recordkeeping system to determine
the value of gains and losses.  Notwithstanding the foregoing, for
Participants who did not make a one-time election as of October 31, 2006 to
allocate all funds in all accounts, past and future, so that earnings are based
on the rate of return from one or more of the funds provided above, the earnings
shall be determined based on the Stable Return Fund Measure.

       

      IV.           SUPPLEMENTAL
RETIREMENT BENEFIT

       

      
        	
                 
      

              	
                4.1

              	
                Benefit
      Eligibility

              

      

       

      Subject
to Section 6.8, a supplemental retirement benefit shall be payable to a
Participant under this Article IV commencing on the Participant's Normal
Retirement Age.

      
        
           

        

        
          6

          
            

          

        

        
           

        

      

       

      The
amount of that benefit, which shall not be less than zero, shall equal the
difference between:

       

      (a)           the
amount that the Participant would have been entitled to receive under the
Pension Plan if such amount was determined (for each Plan Year or portion
thereof in which the individual was a Participant) without regard to the
limitations on benefits imposed by Section 401(a)(17) or 415 of the Code on the
Pension Plan, reduced by the Defined Contribution Plan Offset, as defined in the
Pension Plan, but including as an additional part of such Defined Contribution
Plan Offset the sum of (i) amounts credited to the Participant under
Article III of the Plan (including interest and other credits thereto) and
(ii) amounts credited to the Participant under any other nonqualified
deferred compensation plan maintained by the Company to replace amounts that
would have been credited under such qualified plans had the Participant not
deferred compensation under such a nonqualified deferred compensation plan;
provided, however, that the determination of the amount that the Participant
would have been entitled to receive under the Pension Plan shall be made without
regard to any compensation paid or accrued in connection with the Company's
stock option, performance share and other stock-based compensation plans or
agreements, and

       

      (b)           the
amount of the benefit actually payable to the Participant under the Pension
Plan.

       

      
        	
                 
      

              	
                4.2

              	
                Calculation
      of the Benefit

              

      

       

      (a)           The
amount described in Section 4.1 will be computed as of the date of the
Participant's retirement or termination of employment with the Company, in the
form of a straight life annuity payable monthly over the lifetime of the
Participant commencing on the Participant's Normal Retirement Date.

       

      (b)           If
the benefit under this Article IV is payable in any form other than a straight
life annuity over the lifetime of the Participant, or if it commences at any
time other than the Participant's Normal Retirement Date, the amount of the
benefit shall be the Actuarial Equivalent of the benefit described in Section
4.2(a).

       

      
        	
                 
      

              	
                4.3

              	
                Effect
      of Pension Plan Termination

              

      

       

      If the
Pension Plan is terminated by the Company, the benefit payable to a Participant
under this Article IV, if any, shall be determined as of the termination date of
the Pension Plan and no other benefit shall be provided under this Article
IV.

       

      V.           SUPPLEMENTAL
SURVIVING SPOUSE BENEFIT

       

      
        	
                 
      

              	
                5.1

              	
                Eligibility
      for Surviving Spouse Benefit

              

      

       

      If a
Participant dies prior to commencement of payment of the Participant's benefit
under the Pension Plan under circumstances in which a Pre-Retirement Death
Benefit is

      
        
           

        

        
          7

          
            

          

        

        
           

        

      

       

      payable
to the Participant's Surviving Spouse under the Pension Plan, then a
supplemental benefit shall be payable to the Surviving Spouse under the
Plan.  The benefit shall be an amount, not less than zero, equal to
the difference between:

       

      (a)           the
monthly amount of the benefit under the Pension Plan and any other qualified
defined benefit plans maintained by the Company to which the Surviving Spouse
would have been entitled under such plan or plans if such benefit were computed
without regard to the limitations on benefits imposed by Sections 401(a)(17) or
415 of the Code, reduced by the Defined Contribution Plan Offset, as defined in
the Pension Plan, but including as an additional part of such Defined
Contribution Plan Offset the sum of (i) amounts credited to the Participant
under Article III of the Plan (including interest and other credits thereto) and
(ii) amounts credited to the Participant under any other nonqualified
deferred compensation plan maintained by the Company to replace amounts that
would have been credited under such qualified plans had the Participant not
deferred compensation under such a nonqualified deferred compensation plan;
provided, however, that the determination of the amount that the Participant
would have been entitled to receive under the Pension Plan shall be made without
regard to any compensation paid or accrued in connection with the Company's
stock option, performance share and other stock-based compensation plans or
agreements, and

       

      (b)           the
monthly amount of the benefit actually payable to the Surviving Spouse under the
Pension Plan.

       

      
        	
                 
      

              	
                5.2

              	
                Calculation
      of the Benefit

              

      

       

      A benefit
payable under this Article V shall be payable over the lifetime of the Surviving
Spouse in monthly installments commencing (a) on the Participant's Early
Retirement Date if the Participant dies before such date, or (b) on the first
day of the month following the Participant's death if the Participant dies on or
after the Participant's Early Retirement Date.  A Participant may
elect on the Participant's initial Distribution Election Form to have the
Actuarial Equivalent of the benefit described herein paid in a lump
sum.  If the lump-sum option is elected, it shall be paid on the first
day of the month following the month in which the Participant dies, or as soon
thereafter as is administratively feasible (but in no event later than the end
of the calendar year in which the Participant died).  A Participant
may change the form of payment in the manner described in
Section 6.5(b).

       

      
        	
                 
      

              	
                5.3

              	
                Effect
      of Pension Plan Termination

              

      

       

      If the
Pension Plan is terminated by the Company, the benefit payable to a Surviving
Spouse under this Article V, if any, shall be determined as of the termination
date of the Pension Plan and no other benefit shall be provided under this
Article V.

      
        
           

        

        
          8

          
            

          

        

        
           

        

      

       

      VI.           DISTRIBUTIONS

       

      
        	
                 
      

              	
                6.1

              	
                Distribution
      of Article III Accounts

              

      

       

      Subject
to Section 6.8, all amounts credited to a Participant's account in accordance
with Article III, including gains or losses, shall be distributed to or with
respect to a Participant immediately following the Participant's termination of
employment with the Company for any reason including death.  Available
methods of distribution are (i) approximately equal annual, quarterly or
monthly installment payments over a period not to exceed ten years or (ii) a
single lump-sum distribution.

       

      
        	
                 
      

              	
                6.2

              	
                Election
      of Distribution Method for Article III
Accounts

              

      

       

      (a)           Each
Participant shall elect on a Distribution Election Form the method of
distribution of the Participant's Article III account.  The
Distribution Election Form must be submitted to the Committee within 30 days
after the date an individual becomes eligible to participate in the
Plan.  The election shall become effective and irrevocable upon its
receipt by the Committee.  If no election has been made by the
required time, the Participant shall be deemed to have elected to receive the
amounts credited to the Participant's Article III account in a lump-sum
payment.  Any change in this default election must be made in
accordance with Section 6.2(b).  This Section 6.2(a) shall not apply
to any individual who, though newly eligible to participate in the Plan, was
previously eligible to participate in the Plan and for whom an Article III
account is currently maintained.  For such an individual, the prior
Distribution Election Form shall remain in effect unless the Participant changes
the election in accordance with Section 6.2(b).

       

      (b)           Subject
to Section 6.7, a Participant may change the Participant's election at any time
subject to the following: (i) any change shall not take effect until at least 12
months after the date on which the election change is made, and (ii) in the case
of an election change relating to payments other than on account of an
Unforeseeable Emergency, death or Disability of the Participant, the payment
shall be deferred for a period of not less than five years from the date such
payment would otherwise have been paid (or in the case of installment or annuity
payments, five years from the date the first amount would otherwise have been
paid).  No change in election will be effective if made after the
Participant's employment with the Company is terminated for any
reason.

       

      
        	
                 
      

              	
                6.3

              	
                Death
      Prior to Completion of Distributions for Article III
    Accounts

              

      

       

      If a
Participant dies before the full amount of the Participant's Article III account
has been distributed, any remaining amounts shall be distributed to the
Participant's Beneficiary by a method designated by the Participant in the
Participant's Distribution Election Form.  If a Participant has not
designated a Beneficiary or method of distribution, or if no designated
Beneficiary is living on the date of distribution, such amounts shall be
distributed to the Participant's Beneficiary under the Retirement Plan in a
lump-sum distribution as soon as

      
        
           

        

        
          9

          
            

          

        

        
           

        

      

       

      administratively
feasible following the Participant's death (but in no event later than the end
of the calendar year in which the Participant died).

       

      
        	
                 
      

              	
                6.4

              	
                Distribution
      of Article IV Accounts

              

      

       

      All
amounts credited to a Participant's account in accordance with Article IV of the
Plan, including gains and losses, shall be distributed to or with respect to a
Participant in accordance with Article IV and this Article
VI.  Available methods of distribution are (i) approximately
equal annual, quarterly or monthly installment payments over a period not to
exceed ten years or (ii) a single lump-sum distribution.

       

      
        	
                 
      

              	
                6.5

              	
                Election
      of Distribution Method for Article IV
Accounts

              

      

       

      (a)           Each
Participant shall elect on a Distribution Election Form the method of
distribution of the Participant's Article IV benefit.  The
Distribution Election Form must be submitted to the Committee within 30 days
after the date an individual becomes eligible to participate in the
Plan.  The election shall become effective and irrevocable upon its
receipt by the Company.  If no election has been made by the required
time, the Participant shall be deemed to have elected to receive the benefit
described in Article IV in the form of a life annuity payable monthly over the
life of the Participant.  Any change in this default election must be
made in accordance with Section 6.5 (b), below.  This Section 6.5(a)
shall not apply to any individual who, though newly eligible to participate in
the Plan, was previously eligible to participate in the Plan and for whom an
Article IV account is currently maintained.  For such an individual,
the prior Distribution Election Form shall remain in effect unless the
Participant changes the Participant's election in accordance with Section
6.5(b).

       

      (b)           Subject
to Section 6.7, a Participant may change the Participant's election at any time
subject to the following: (i) any change shall not take effect until at least 12
months after the date on which the election change is made, and (ii) in the case
of an election change relating to payments other than on account of an
Unforeseeable Emergency, death or Disability of the Participant, the payment
shall be deferred for a period of not less than five years from the date such
payment would otherwise have been paid (or in the case of installment or annuity
payments, five years from the date the first amount would otherwise have been
paid).  No change in election will be effective if made after the
Participant's employment with the Company is terminated for any
reason.

       

      
        	
                 
      

              	
                6.6

              	
                Death
      Before Termination of Employment for Article IV
  Accounts

              

      

       

      If a
Participant dies before termination of employment or retirement from the
Company, no benefit is payable under Article IV but a benefit may be payable
under Article V if and to the extent that the conditions of Article V are
satisfied.

      
        
           

        

        
          10

          
            

          

        

        
           

        

      

       

      6.7         Limitation
on Election of Distribution Method

       

      A
Participant may change the Participant's election of distribution method only
one time after making an initial election with respect to distribution of any
accounts under the Plan.

       

      
        	
                 
      

              	
                6.8

              	
                Payments
      to Specified Employees

              

      

       

      In the
case of a Participant who is a Specified Employee as of the date of the
Participant's termination from employment, all payments under Articles III and
IV and this Article VI to which the Participant is otherwise entitled due to a
termination of employment shall be delayed by six months (or if earlier than the
end of the six-month period, the date of death of the Specified Employee) as
required under Treasury Regulation Section 1.409A-3(i)(2).  With
respect to any payments hereunder that are subject to Code Section 409A and that
are payable on account of a termination of employment, the determination of
whether the Participant has had a termination of employment shall be made in
accordance with Code Section 409A and its requirements for a separation from
service.

       

      
        	
                 
      

              	
                6.9

              	
                Unforeseeable
      Emergencies

              

      

       

      (a)           In
the event a Participant incurs an Unforeseeable Emergency as determined by the
Committee based on the relevant facts and circumstances, the Participant may
make a written request to the Committee for a hardship withdrawal from the
Participant's account established under Article III.  Upon receiving
such a request, the Committee (i) shall cancel a Participant's deferrals under
the Plan for the remainder of the Plan Year, and (ii) may make a distribution
from the Participant's Article III Account.  Withdrawals of amounts
because of an Unforeseeable Emergency are only permitted to the extent
reasonably necessary to satisfy the emergency need (which may include amounts
necessary to pay any federal, state, local or foreign income taxes or penalties
reasonably anticipated to result from the distribution).  A
distribution on account of an Unforeseeable Emergency may not be made to the
extent that such emergency is or may be relieved through reimbursement or
compensation from insurance or otherwise, by liquidation of the Participant's
assets, to the extent the liquidation of such assets would not cause severe
financial hardship, or by cessation of deferrals under the Plan.

       

      (b)           Notwithstanding
the foregoing, in the event that a Participant has received a hardship
distribution from any defined contribution plan with a 401(k) cash or deferred
arrangement maintained by the Company, regardless of whether the Participant has
requested a distribution as a result of an Unforeseeable Emergency under the
Plan, the Participant's deferrals under the Plan shall be cancelled through the
end of the current Plan Year, or the end of the subsequent Plan Year if the
six-month period under Treasury Regulation Section 1.401(k)-1(d)(3)(iv)(E)(2)
does not end in the current Plan Year.

      
        
           

        

        
          11

          
            

          

        

        
           

        

      

       

      6.10        Disability

       

      (a)           A
Participant who becomes Disabled shall receive a distribution of the accrued
benefits in the Participant's account under Article IV.  The maximum
amount payable due to Disability shall be determined as provided in Section
4.2.

       

      (b)           In
the event of a Participant's Disability, the Participant's deferrals shall be
cancelled for the remainder of the Plan Year.

       

      VII.           ADMINISTRATION
OF THE PLAN

       

      
        	
                 
      

              	
                7.1

              	
                Company
      Authority

              

      

       

      The Plan
shall be administered by the Company, which shall have the authority, duty and
power to interpret and construe the provisions of the Plan in its sole
discretion.  The Company shall have the duty and responsibility of
maintaining records, making the requisite calculations and disbursing the
payments hereunder.  The Company's interpretations, determinations,
regulations and calculations shall be final and binding on all persons and
parties concerned.

       

      
        	
                 
      

              	
                7.2

              	
                Reliance

              

      

       

      The
Company shall be entitled to rely conclusively upon all tables, valuations,
certificates, opinions and reports furnished by any actuary, accountant,
controller, counsel or other person employed or engaged by the Company with
respect to the Plan.

       

      
        	
                 
      

              	
                7.3

              	
                Individual
      Statements

              

      

       

      The
Company or its service provider shall furnish individual statements of accrued
benefits to each Participant or current Beneficiary or Surviving Spouse at least
annually, in such form as determined by the Company.

       

      
        	
                 
      

              	
                7.4

              	
                Claims

              

      

       

      The
employee benefit plan procedures in this Section 7.4 are intended to comply with
Section 503 of ERISA and Section 2560.503-1 of the Department of Labor
Regulations and pertain to claims by Participants and Beneficiaries
("claimants") for Plan benefits, consideration of such claims and review of
claim denials.  For purposes of these procedures, a "claim" is a
request for a benefit by a Participant or Beneficiary under the
Plan.  A claim is filed when the requirements of these procedures have
been met.

       

      (a)           If
a claim is wholly or partially denied, notice of the decision, meeting the
requirements of Section 7.4(b), shall be furnished to the claimant within a
reasonable period of time after receipt of the claim by the
Company.  If notice of the denial of a claim is not furnished in
accordance with this Section 7.4(a) within a reasonable period of time, the
claim

      
        
           

        

        
          12

          
            

          

        

        
           

        

      

       

      shall be
deemed denied and the claimant shall be permitted to proceed to the review stage
described in Section 7.4(c) of these procedures.  For purposes of this
Section 7.4(a), the period of time for notification to the claimant will not
exceed 90 days (45 days for Disability claims) after receipt of the claim by the
Company, unless special circumstances require an extension of time for
processing the claim.  If such an extension of time for processing is
required, written notice of the extension shall be furnished to the claimant
prior to the termination of the initial 90-day period (45 days for Disability
claims).  In no event shall such extension exceed a period of 90 days
(30 days for Disability claims) from the end of such initial
period.  The extension notice shall indicate the special circumstances
requiring an extension of time and the date by which the Company expects to
render the final decision (see the paragraph below for the contents of the
extension notice with respect to Disability claims).

       

      In
addition, with respect to Disability claims, if, prior to the end of the first
30-day extension period, the Company determines that, due to matters beyond the
control of the Plan, a decision cannot be rendered within that extension period,
the period for making the determination may be extended for up to an additional
30 days, provided that the Company notifies the claimant, prior to the
expiration of the first 30-day extension period, of the circumstances requiring
the extension and the date as of which the Plan expects to render a
decision.  Both notices of extension shall specifically explain the
standards on which entitlement to a benefit is based, the unresolved issues that
prevent a decision on the claim, and the additional information needed to
resolve those issues, and the claimant shall be afforded at least 45 days within
which to provide the specified information.

       

      (b)           The
Company shall provide to every claimant who is denied a claim for benefits
written notice setting forth in a manner calculated to be understood by the
claimant:

       

      
        	
                 
      

              	
                (i)

              	 	
                the
      specific reason or reasons for the
denial;

              

      

       

      
        	
                 
      

              	
                (ii)

              	 	
                specific
      reference to pertinent provisions of the Plan on which the denial is
      based;

              

      

       

      
        	
                 
      

              	
                (iii)

              	 	
                a
      description of any additional material or information necessary for the
      claimant to perfect the claim and an explanation of why such material or
      information is necessary;

              

      

       

      
        	
                 
      

              	
                (iv)

              	 	
                appropriate
      information as to the steps to be taken if the Participant or Beneficiary
      wishes to submit a claim for review;
and

              

      

       

      
        	
                 
      

              	
                (v)

              	 	
                in
      the case of an adverse benefit determination regarding Disability
      benefits, if an internal rule, guideline, protocol or other similar
      criterion was relied upon in making the adverse determination, either a
      copy of the specific rule, guideline, protocol or other similar criterion
      or a statement that such rule, guideline, protocol or other similar
      criterion was relied upon in making the adverse determination and
      that

              

      

      
        
           

        

        
          13

          
            

          

        

        
           

        

      

       

      
        	
                 
      

              	
                a
      copy of such rule, guideline, protocol or other criterion will be provided
      free of charge to the claimant upon
request.

              

      

       

      (c)           If
a claim is denied in whole or in part and if the claimant is dissatisfied with
the disposition of the claim, the claimant or the claimant's duly authorized
representative shall have a reasonable opportunity to appeal the denied claim to
the Company or to a person designated by the Company, and shall have a full and
fair review of the claim and its denial.  Under this review procedure,
a claimant or the claimant's duly authorized representative may:

       

      
        	
                 
      

              	
                (i)

              	 	
                request
      a review upon written application to the
  Company;

              

      

       

      
        	
                 
      

              	
                (ii)

              	 	
                review
      pertinent documents; and

              

      

       

      
        	
                 
      

              	
                (iii)

              	 	
                submit
      issues and comments in writing.

              

      

       

      A
claimant must file such a request for review of a denied claim within a
reasonable period of time, not to exceed 60 days (180 days for Disability
claims) after receipt by the claimant of written notification of denial of a
claim.

       

      (d)           A
decision by the Company shall be made promptly and shall not ordinarily be made
later than 60 days (45 days for Disability claims) after the receipt by the
Company of a request for review, unless special circumstances (such as the need
to hold a hearing) require an extension of time for processing, in which case a
decision shall be rendered as soon as possible, but not later than 120 days (90
days for Disability claims) after receipt of a request for review.  If
an extension of time for review is required because of special circumstances,
written notice of the extension shall be furnished to the claimant prior to the
commencement of the extension.  The decision on review shall be in
writing and shall include specific reasons for the decision, written in a manner
calculated to be understood by the claimant, as well as specific references to
the pertinent provisions of the Plan on which the decision is
based.  The decision on review shall be furnished to the claimant
within the period of time described in this subsection (d).  If the
decision on review is not furnished within such time, the claim shall be deemed
denied on review.

       

      VIII.                      AMENDMENT
OR TERMINATION

       

      The
Company reserves the power to amend or terminate the Plan at any time by action
of the Committee, ratified by the Board.

       

      No
amendment or termination of the Plan shall directly or indirectly reduce the
balance of any account described in Article III as of the effective date of such
amendment or termination.  Upon termination of the Plan, distribution
of amounts credited to such account shall be made to the Participant or the
Participant's Beneficiary in accordance with Article VI.  No
additional credits or contributions will be made to any account under the Plan
after termination of the Plan, but gains or losses will continue to be credited
to the Participant's

      
        
           

        

        
          14

          
            

          

        

        
           

        

      

       

      account
under the Plan until all benefits are distributed to the Participant or the
Participant's Beneficiary.

       

      No
amendment or termination of the Plan shall directly or indirectly deprive any
current or former Participant or Surviving Spouse of all or any portion of any
benefit under Article IV or Article V of the Plan, payment of which has
commenced prior to the effective date of such amendment or termination or which
would be payable if the Participant terminated employment for any reason,
including death, on such effective date.

       

      Any
acceleration of the time and form of payment as a result of the termination of
the Plan shall be in accordance with Treasury Regulation Section
1.409A-3(j)(4)(ix).

       

      IX.           GENERAL
PROVISIONS

       

      
        	
                 
      

              	
                9.1

              	
                The
      Trust

              	 

      

       

      The
Company has established a Trust that may be used to pay benefits arising under
the Plan and costs, charges and expenses relating thereto.  To the
extent that the funds held in the Trust are insufficient to pay such benefits,
costs, charges and expenses, the Company shall pay them.

       

      
        	
                 
      

              	
                9.2

              	
                No
      Alienation

              	 

      

       

      Except as
the Committee determines is required by law or order of a court of competent
jurisdiction, neither the benefits payable hereunder nor the right to receive
future benefits under the Plan may be anticipated, alienated, sold, transferred,
assigned, pledged, encumbered or subjected to any charge or legal process, and
no interest or right to receive a benefit may be taken, either voluntarily or
involuntarily, for the satisfaction of the debts of, or other obligations or
claims against, any person or entity, including claims for alimony, support,
separate maintenance and claims in bankruptcy proceedings.

       

      
        	
                 
      

              	
                9.3

              	
                Unfunded
      Plan

              

      

       

      The Plan
at all times shall be considered entirely unfunded both for tax purposes and for
purposes of Title I of ERISA.  Funds invested under the Plan,
including amounts held in the Trust, shall continue for all purposes to be part
of the general assets of the Company and available to the general creditors of
the Company in the event of the Company's bankruptcy (when the Company is
involved in a pending proceeding under the Federal Bankruptcy Code) or
insolvency (when the Company is unable to pay its debts as they
mature).  In the event of the Company's bankruptcy or insolvency, the
Board and the Company's Chief Executive Officer are required to notify the
Trustee and each Participant in writing of such an occurrence within three
business days following the Company's becoming aware thereof.  No
Participant, Surviving Spouse or any other person shall have any interest in any
particular assets of the Company by reason of the right to receive a benefit
under the Plan, and to the extent the Participant, Surviving Spouse or any other
person acquires a right to receive

      
        
           

        

        
          15

          
            

          

        

        
           

        

      

       

      benefits
under the Plan, such right shall be no greater than the right of any general
unsecured creditor of the Company.  The Plan constitutes a mere
promise by the Company to make payments to the Participants, Surviving Spouses
or Beneficiaries in the future.

       

      
        	
                 
      

              	
                9.4

              	
                No
      Guaranty

              

      

       

      Nothing
contained in the Plan shall constitute a guaranty by the Company or any other
person or entity that any funds in the Trust or the assets of the Company will
be sufficient to pay any benefit hereunder.

       

      
        	
                 
      

              	
                9.5

              	
                No
      Right of Employment

              	 

      

       

      No
Participant or Surviving Spouse shall have any right to a benefit under the Plan
except in accordance with the terms of the Plan.  Establishment of the
Plan shall not be construed to give any Participant the right to be retained in
the service of the Company.

       

      
        	
                 
      

              	
                9.6

              	
                Incompetency

              

      

       

      If any
person entitled to a benefit payment under the Plan is declared incompetent and
a conservator or other person legally charged with the care of such person or
the estate of such person is appointed, any benefits under the Plan to which
such person is entitled shall be paid to such conservator or other
person.  Except as provided above, when the Company determines that
such person is unable to manage such person's financial affairs, the Company may
provide for such payment or any part thereof to be made to any other person or
institution then contributing toward or providing for the care and maintenance
of such person.  Any such payment shall be a payment for the account
of such person and a complete discharge of any liability of the Company and the
Plan therefor.

       

      
        	
                 
      

              	
                9.7

              	
                Corporate
      Changes

              

      

       

      The Plan
shall not be automatically terminated by a transfer or sale of assets of the
Company or by the merger or consolidation of the Company into or with any other
corporation or other entity, but the Plan shall be continued after such sale,
merger or consolidation only if and to the extent that the transferee, purchaser
or successor entity agrees to continue the Plan.  In the event that
the Plan is not continued by the transferee, purchaser or successor entity, then
the Plan shall terminate subject to the provisions of Article VIII.

       

      
        	
                 
      

              	
                9.8

              	
                Addresses

              

      

       

      Each
Participant shall keep the Company informed of the Participant's current address
and the current address of the Participant's spouse or designated
Beneficiary.  The Company shall not be obligated to search for any
person.

      
        
           

        

        
          16

          
            

          

        

        
           

        

      

       

      9.9          Limitations
on Liability

       

      Notwithstanding
any of the preceding provisions of the Plan, neither the Company nor any
individual acting as an employee or agent of the Company shall be liable to any
Participant, former Participant, Surviving Spouse, or any other person for any
claim, loss, liability or expense incurred in connection with the Plan, unless
attributable to fraud or willful misconduct on the part of the Company or any
such employee or agent of the Company.

       

      
        	
                 
      

              	
                9.10

              	
                Transfers
      to the Trust

              

      

       

      On the
occurrence of a Change of Control, the Company shall transfer cash or property
to the Trust in an amount equal to the present value of all accumulated or
accrued benefits then payable to or on behalf the Participant or Participants
under the Plan, plus any applicable fees.  The Company may also
transfer cash or property to the Trust in an amount equal to the present value
of all accumulated or accrued benefits then payable under the Plan at any time
in the sole discretion of the Company.  If a transfer of cash or
property occurs, the amounts transferred with respect to the benefits payable
under Articles IV and V shall be, for each Participant, Beneficiary or Surviving
Spouse, the Actuarial Equivalent of the benefits payable to or on behalf of each
such individual under Articles IV and V.  Thereafter, the Company
shall, for each Plan Year, transfer cash or property no later than 30 days after
the end of the Plan Year in which the initial transfer occurs, and thereafter on
each anniversary thereof, to the Trust for the benefit of each affected
individual in an amount equal to the additional benefit accrued under the terms
of the Plan during and in relation to the most recent Plan Year then
ended.  In the event of a transfer, the accounts of the Participants,
established pursuant to Article III shall be credited with interest or earnings
and losses in accordance with Section 3.3.

       

      
        	
                 
      

              	
                9.11

              	
                Inspection

              

      

       

      Each
Participant shall receive a copy of the Plan, and the Company will make
available for inspection by any Participant or Beneficiary a copy of any rules
and regulations that are used by the Company in administering the
Plan.

       

      
        	
                 
      

              	
                9.12

              	
                Withholding

              

      

       

      Any
amounts payable pursuant to the Plan may be reduced by the amount of any
federal, state or local taxes required by law to be withheld with respect to
such payments and by any amount owed by the Participant to the
Company.

       

      
        	
                 
      

              	
                9.13

              	
                Singular
      and Plural

              

      

       

      Except
when otherwise required by the context, any singular terminology shall include
the plural.

      
        
           

        

        
          17

          
            

          

        

        
           

        

      

       

      9.14        Severability

       

      If a
provision of the Plan shall be held to be illegal or invalid, the illegality or
invalidity shall not affect the remaining parts of the Plan and the Plan shall
be construed and enforced as if the illegal or invalid provision had not been
included.

       

      
        	
                 
      

              	
                9.15

              	
                Unsecured
      General Creditor

              

      

       

      Participants,
Surviving Spouses, Beneficiaries and their heirs, successors and assigns shall
have no legal or equitable rights, interests or claims in any property or assets
of the Company or of the Trust.  For purposes of the payment of
benefits under the Plan, any and all of the Company's assets including any
assets of the Trust shall be, and remain until paid, the general, unpledged,
unrestricted assets of the Company.  The Company's obligation under
the Plan shall consist solely of an unfunded and unsecured promise to pay money
in the future.

       

      
        	
                 
      

              	
                9.16

              	
                Discharge
      of Obligations

              

      

       

      The
payment of benefits under the Plan to a Beneficiary or a Surviving Spouse shall
fully and completely discharge the Company and the Committee from all further
obligations under the Plan with respect to the Participant and any
Beneficiary.

       

      
        	
                 
      

              	
                9.17

              	
                Governing
      Law

              

      

       

      To the
extent that it is not governed by United States federal law, the Plan shall be
construed, administered and governed in all respects under and by the applicable
laws of the State of Delaware, excluding any conflicts or choice of law rule or
principle that might otherwise refer construction or interpretation of the Plan
to the substantive law of another jurisdiction.

       

      
        	
                 
      

              	
                9.18

              	
                Successors

              

      

       

      The
provisions of the Plan shall bind and inure to the benefit of the Company and
the Company's successors and assigns, the Participant, and the Participant's
Surviving Spouse and designated Beneficiaries.

       

      
        	
                 
      

              	
                9.19

              	
                Court
      Order

              

      

       

      Notwithstanding
Section 9.2, the Committee is authorized to make any payments directed by a
qualified domestic relations order (as defined in Code Section
414(p)(1)(B)).  If a court determines that a spouse or former spouse
of a Participant has an interest in the Participant's benefits under the Plan in
connection with a property settlement or otherwise, the Committee, in its sole
discretion, shall have the right, notwithstanding any election made by a
Participant, to immediately distribute the spouse's or former spouse's interest
in the Participant's benefits under the Plan to that spouse or former
spouse.

      
        
           

        

        
          18

          
            

          

        

        
           

        

      

       

      9.20        No
Assurance of Tax Consequences

       

      Neither
the Company nor the Board nor any other person guarantees or assures a
Participant, Surviving Spouse or Beneficiary of any particular federal or state
income tax, payroll tax or other tax consequence of participation in the
Plan.  A Participant should consult with professional tax advisors
regarding all questions related to the tax consequences of
participation.

       

      
        	
                 
      

              	
                9.21

              	
                Code
      Section 409A

              

      

       

      The Plan
document is intended to comply with the requirements of Code Section 409A
(including accompanying regulations and current IRS guidance) and conform to the
current operation of the Plan.  The terms of the Plan shall be
interpreted, operated and administered in a manner consistent with this
intention to the extent the Committee deems necessary to comply with Code
Section 409A and any official guidance issued thereunder.

       

      * * * *
*

      
        
           

        

        
          19

          
            

          

        

        
           

        

      

       

      IN
WITNESS WHEREOF, an authorized officer of the Company has signed this document
on the 21st day of
July, 2008, to be effective January 1, 2009.

       

      

       

      THE TORO
COMPANY

       

      

       

      

       

      

       

      By:          Michael J.
Hoffman                                                       

       

      Its:          Chairman, President and
CEO

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