Document:

Nonemployee Directors' Deferred Compensation Plan, 2005 Restatement as amended

 Exhibit 10.16 
 CONFORMED COPY 
 PRECISION CASTPARTS CORP. 
 NONEMPLOYEE DIRECTORS’ DEFERRED COMPENSATION PLAN 
 2005 RESTATEMENT 
 January 1, 2005 
 (As Amended Through Amendment No. 1) 
 Precision Castparts Corp., 
 an Oregon corporation 
 4650 SW Macadam, Suite 440 

	 Portland, OR 97239 
	 Company 

 

 
 STANDARD INSURANCE CENTER 
 900 SW FIFTH AVENUE, SUITE 2600 
 PORTLAND, OREGON 97204-1268  
 Phone (503) 224-3380 Fax (503) 220-2480 
 TDD (503) 221-1045 
 Internet: www.stoel.com 

 TABLE OF CONTENTS 
  

			
	 	  	Page
	 1.      Plan Administration
	  	1
		
	 2.      Eligibility; Deferral Elections
	  	1
		
	 3.      Deferred Fee Accounts
	  	2
		
	 4.      Phantom Stock Fund
	  	3
		
	 5.      Time and Manner of Payment
	  	5
		
	 6.      Death
	  	8
		
	 7.      Termination; Amendment
	  	9
		
	 8.      Claims Procedure
	  	9
		
	 9.      General Provisions
	  	10
		
	 10.    Definition of Change in Control
	  	10
		
	 11.    Effective Date
	  	13
		
	 APPENDIX A List of Performance Options
	  	15

  

 i 

 PRECISION CASTPARTS CORP. 
 NONEMPLOYEE DIRECTORS’ DEFERRED COMPENSATION PLAN 
 2005 RESTATEMENT 

 January 1, 2005 
 (As Amended Through Amendment No. 1) 
 Precision Castparts Corp., 
 an Oregon corporation 
 4650 SW Macadam, Suite 440 

	 Portland, OR 97239 
	 Company 

 Precision Castparts Corp. (the “Company”) adopted the Nonemployee Directors’ Deferred Compensation Plan (the “plan”) to create a deferred compensation arrangement for members of the Board of Directors of the Company
(the “Board”) who are not employees at any time after first eligibility for this plan (“Nonemployee Directors,” or “Directors”). In order to conform to new requirements for nonqualified deferred compensation established
by Section 409A of the Internal Revenue Code, the Company adopts this 2005 Restatement as an amendment to the plan on the terms set forth below. This 2005 Restatement provides for maintenance of separate Subaccounts for Participants with
deferred amounts earned and vested as of December 31, 2004, to which the requirements of Section 409A do not apply. 
  

	 	1.	Plan Administration 

 The Chief Executive Officer
(“CEO”) of the Company shall appoint one or more employees of the Company as Administrator of the plan. The Administrator shall interpret and administer the plan and for that purpose may make, amend or revoke rules and regulations at any
time. The Administrator shall have absolute discretion to carry out responsibilities established under this plan. 
  

	 	2.	Eligibility; Deferral Elections 

 2.1 A Nonemployee Director may elect as provided below to defer all or a specified part of the Directors’ Fees payable to the Director. An election shall be in writing on a form prescribed by the Administrator and shall specify
the time and manner of payment of the deferred amounts in accordance with other provisions of this plan. 
 2.2 An
election to defer Directors’ Fees received by the Administrator on or before December 31 of any year shall be effective for fees payable for the Director’s services to be performed in the succeeding calendar year. A new fee deferral
election must be made for each calendar year. 

 2.3 In the first year in which a Director becomes eligible to participate in the
Plan, the newly eligible Director may make an election to defer Directors’ Fees payable to him or her for services to be performed subsequent to the election by submitting the election to the Administrator within 30 days after the date the
Director first becomes eligible. The election shall be effective as of the date of the regular or special Board meeting on or next after the date the election is made. 
 2.4 The Company may withhold from any deferral, or from nondeferred fees payable at the same time, any amounts required by
applicable law and regulations. 
  

	 	3.	Deferred Fee Accounts 

 3.1
The Company shall deduct from Directors’ Fees and credit to a Directors’ Fee Deferral Account (the “Account”) each Directors’ Fee amount deferred under this plan. The Account shall be credited as of the day the deferred
Directors’ Fee would otherwise have been paid to the Director. Deferred amounts earned and vested as of December 31, 2004 shall be maintained as a separate Pre-2005 Subaccount within the Account and adjusted for investment performance
under 3.2 in order to measure the amounts not subject to the restrictions of Section 409A. The balance of the Account shall be a Post-2004 Subaccount. 
 3.2 Until full payment of an Account balance has been made to the Director or beneficiaries entitled to the amount identified by the Account (the “Participant”), the Company shall credit or debit the
Account, as the case may be, for investment performance as follows: 
 (a) The investment result shall be determined by the
Performance Option(s) selected by the Participant. A Participant may select more than one Performance Option in accordance with procedures designated by the Administrator. 
 (b) Participants may select Performance Options under Section 3.2(c), and, except for selections made with respect to the Phantom
Stock Fund, may change an existing selection, on any business day and in a manner prescribed by the Administrator, such change to be effective on the next business day. Except for selections made with respect to the Phantom Stock Fund, a change in a
Participant’s selection of one or more Performance Options shall apply only to the existing amounts in the Participant’s Account, only to future deferral amounts, or to both, as selected by the Participant. Changes by a Participant with
respect to the Phantom Stock Fund Performance Option (other than changes relating to the settlement of Phantom Stock Units, as defined below, in shares of Company Common Stock) shall be governed by Section 4.4. 
  

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 (c) The Performance Options shall be as follows: 
 (i) The commercial prime lending rate of the Bank of America or its successor, plus 2 percentage points, as in effect from time to time
(“Prime Rate plus 2 Percent”). 
 (ii) The Phantom Stock Fund (as described in Part 4). 
 (iii) Other Performance Options shall be those listed in Appendix A and shall be the same as for the Executive Deferred Compensation
Plan. The CEO shall have authority to add new Performance Options to the list in Appendix A and to remove Performance Options from the list, subject to Section 7.2(b). 
 (d) When the Prime Rate plus 2 Percent Performance Option has been selected, Accounts shall be revalued daily based on the current rate in
effect. 
 (e) When the Phantom Stock Fund Performance Option has been selected, Accounts shall be credited, debited and
revalued as provided in Section 4.2. 
 (f) When any of the Performance Options listed in Appendix A has been selected,
amounts deferred shall be credited as equivalent shares at the closing price on the day of the deferral. All equivalent shares shall be revalued up or down daily to the closing price. 
 (g) Upon a change of selection from a Performance Option listed in Appendix A, the Account shall be credited or debited, as the case may
be, based on the value of the equivalent shares at the closing price on the business day preceding the day on which the change takes effect. 
 3.3 Each Participant’s Account shall be maintained on the books of the Company until full payment has been made to the Participant entitled to the amount identified by the Account. No assets shall be set
aside or earmarked to fund the Account, which shall be purely a bookkeeping device. 
  

	 	4.	Phantom Stock Fund 

 4.1(a)
“Phantom Stock Fund” refers to a Performance Option tied to the performance of the Company’s Common Stock, as described more specifically in this Part 4. 
 (b) “Current Director” refers to a Director who is currently serving on the Company’s Board or has served on the
Company’s Board or been a Company employee or officer in the previous six months. “Former Director” refers to a Director who has not served on the Company’s Board or been a Company employee or officer in the previous six months.

 (c) Provisions of this Part 4 contain special rules applicable to the Phantom Stock Fund. However, unless otherwise
expressly provided, the Phantom Stock Fund is subject to all of the plan provisions applicable to other Performance Options. 
  

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 4.2(a)(i) The part of a Participant’s Account that is allocated to the
Phantom Stock Fund, if any, shall be credited or debited, as the case may be, as if it were 100% invested in Common Stock of the Company. Each amount credited to the Phantom Stock Fund shall be credited in units (“Phantom Stock Units”),
which Phantom Stock Units shall be calculated by dividing the amount credited to the Phantom Stock Fund by the closing price of the Company’s Common Stock on the New York Stock Exchange on the date of crediting. Fractional Phantom Stock Units
shall be credited to three decimal points. 
 (ii) Phantom Stock Units in a Participant’s Account shall be revalued up
or down daily to the closing price of the Company’s Common Stock on the New York Stock Exchange. 
 (iii) If a Former
Director (or a beneficiary entitled to the amount identified by such Former Director’s Account) changes a Performance Option selection such that existing amounts in the Former Director’s Account are debited from the Phantom Stock Fund, the
Account shall be adjusted based on the value of Phantom Stock Units on the last business day prior to the date of debiting, as determined by the closing price of the Company’s Common Stock on the New York Stock Exchange on such date. Fractional
Phantom Stock Units shall be debited to three decimal points. 
 (b) To the extent cash dividends are paid on the
Company’s Common Stock, a Participant’s Account shall be credited with phantom dividends, which shall equal the per-share dividend paid on the Company’s Common Stock multiplied by the number of Phantom Stock Units in a
Participant’s Account on the record date for the dividend. Phantom dividends shall be credited to an Account in the form of additional Phantom Stock Units (calculated in the manner described in Section 4.2(a)). 
 (c) In the event of any change in the Company’s Common Stock by reason of a recapitalization, reclassification, stock split, reverse
stock split, combination of shares or similar transaction, the number of Phantom Stock Units held by a Participant under the plan shall be proportionately adjusted. 
 4.3 No voting or other rights of any kind associated with ownership of the Company’s Common Stock shall inure to a Participant
by virtue of the allocation of all or any part of an Account to the Phantom Stock Fund. 
 4.4(a) A Director may not
under any circumstances select the Phantom Stock Fund Performance Option to apply to future deferral amounts. 
  

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 (b) One time each calendar year, on a date set by the Administrator, a Participant who is
currently serving on the Company’s Board or as a Company employee or officer may change his or her Performance Option selection applicable to the existing amounts in his or her Account to provide for all or a part of such existing amounts to be
credited to the Phantom Stock Fund. A Current Director may not under any circumstances change his or her Performance Option selection with respect to the existing amounts in his or her Account to provide for any part of such existing amounts to be
debited from the Phantom Stock Fund. 
 (c) On any business day, a Former Director (or a beneficiary entitled to the amount
identified by such Former Director’s Account) may, in a manner prescribed by the Administrator, change a Phantom Stock Fund Performance Option selection such that existing amounts in the Former Director’s Account are debited from the
Phantom Stock Fund. Such a change will be effective on the next business day. Neither a Former Director nor a beneficiary entitled to the amount identified by such Former Director’s Account may under any circumstances change a Phantom Stock
Fund Performance Option selection to provide for any existing amounts in the Former Director’s Account to be credited to the Phantom Stock Fund. 
 4.5 Subject only to Section 6.1, cash payments or withdrawals with respect to the Phantom Stock Units in a Current Director’s Account may not be made or commence under any circumstances (and
regardless of the manner of payment selected under Sections 5.2 and 5.3) until the Director becomes a Former Director. 
  

	 	5.	Time and Manner of Payment 

 5.1
Subject to Sections 5.4, 5.5, 6.1 and 7.3, the Account shall be paid or payment commenced after one of the following dates as selected under Section 5.3(a): 
 (a) The date the Director has a separation from service with the Company under 5.7, provided, however, that, subject only to
Section 6.1, no cash payments shall be payable with respect to Phantom Stock Units until the date that is two days after the date on which the Director becomes a Former Director; or 
 (b) The date that is from 1 to 20 whole years (as elected by the Director) after the Director’s separation from service in
Section 5.1(a). 
 5.2 The manner of payment of the Account shall be in one or a combination of the following, as
selected under Section 5.3(b): 
 (a)(i) In the case of payments with respect to Performance Options other than the
Phantom Stock Fund, in a single lump sum as soon as practicable after the next December 31 following the date described in Section 5.1(a) or 5.1(b), whichever applies (subject to Sections 5.4, 5.5, 6.1 and 7.3); or 
  

 5 

 (ii) In the case of cash payments with respect to Phantom Stock Units, in a single lump
sum as soon as practicable after the next December 31 following the date described in Section 5.1(a) or 5.1(b), whichever applies, provided, however, that no payment with respect to Phantom Stock Units shall be made before the date
that is two days after the date on which the Director becomes a Former Director (subject only to Section 6.1); or 
 (iii) In the case of shares of the Company’s Common Stock paid on account of the value of Phantom Stock Units (excluding fractional Phantom Stock Units), in a single lump sum of shares of Company Common Stock within a period of time
set by the Administrator and measured from the end date of the Director’s service on the Company’s Board (which period shall not exceed 30 days), provided, however, that payments with respect to any fractional Phantom Stock Units in
a Current Director’s Account shall be governed by Sections 4.5, 5.1 and 5.2(a)(ii). 
 (b) In 2 to 20 substantially equal
annual installments (as elected by the Director), subject to the following. If a Director postpones commencement of payment by selecting a date under Section 5.1(b), the number of years of postponement elected under Section 5.1(b) plus the
number of installments elected under this Section 5.2(b) shall not total more than 20. The size of installments shall be fixed so as to be substantially equal based on an assumed return on the Performance Options in the Account over the payment
period. The Administrator shall select the assumed rate, which may be changed each year to reflect actual experience and variations in expected future investment returns. 
 (i) Installment payments with respect to Performance Options other than the Phantom Stock Fund shall be payable as soon as practicable
after each December 31, commencing with the December 31 following the date described in Section 5.1(a) or 5.1(b), whichever applies (subject to Sections 5.4, 5.5, 6.1 and 7.3). 
 (ii) Installment payments with respect to Phantom Stock Units shall be payable as soon as practicable after each December 31,
commencing with the December 31 following the date described in Section 5.1(a) or 5.1(b), whichever applies, provided, however, that no initial installment payment with respect to Phantom Stock Units shall be made before the date
that is two days after the date on which the Director becomes a Former Director (subject only to Section 6.1). 
 5.3
The time and manner of payment under Sections 5.1 and 5.2 shall be selected by the Director as follows: 
 (a) The
selection of payment time under Section 5.1 shall be made in writing on a form prescribed by the Administrator. Subject to 5.4, the selection may be changed by a subsequent selection, which shall be effective if delivered to 

  

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the Administrator at least 12 months prior to the Director’s separation from service with the Company. If the Director’s separation from service
occurs prior to 12 months after a changed selection is delivered, the prior selection shall apply. 
 (b) The selection of the
manner of payment under Section 5.2 shall be made in writing on a form prescribed by the Administrator. Subject to 5.4, the selection may be changed by a subsequent selection, provided payment under the prior selection had not already
commenced. The changed selection shall be effective if delivered to the Administrator at least 12 months prior to the date in Section 5.1(a), 5.1(b) or 5.2(a)(iii), whichever applies to the Director. Until the changed selection becomes
effective, the prior selection shall remain in effect. 
 5.4 If the selection of payment time under 5.3(a) or of
manner of payment under 5.3(b) is changed after the later of the due date for the election to defer such amounts or December 31, 2007, the payment time shall be at least five years later than the payment time previously in effect and the change
shall not accelerate the time of payment. The preceding sentence shall not apply to a Pre-2005 Subaccount. A Director with Subaccounts may limit the change in selection of payment time or manner of payment to the Pre-2005 Subaccount or may select
different changes with respect to the two Subaccounts. A subsequent change in the selection of the time and manner of payment made by a Director no later than December 31, 2007, shall not be subject to the requirement that the payment time be
at least five years later than the payment time previously in effect and that the change not accelerate the time of payment and shall take effect immediately with respect to the Director’s Post-2004 Subaccount without the 12-month waiting
period required by 5.3(a) and (b). 
 5.5 A Director or surviving spouse may withdraw the Director’s entire
Pre-2005 Subaccount at any time before it otherwise would be payable (except for cash withdrawals of amounts in the Director’s Account that are allocated to the Phantom Stock Fund, which withdrawals shall be governed by Section 4.5). The
amount paid on such a withdrawal shall be discounted ten percent from the stated balance of the Pre-2005 Subaccount. The ten percent discount shall be forfeited as a penalty for early withdrawal. 
 5.6 If a Director’s service on the Company’s Board ends involuntarily (by removal of the Director or by expiration of the
Director’s term without reappointment) within 24 months after a Change in Control as defined in Section 10.1, the Director’s Pre-2005 Subaccount, except for amounts that are allocated to the Phantom Stock Fund, shall be paid in one
lump sum within 30 days after the Director’s service on the Company’s Board ends, regardless of the otherwise applicable election. Upon a change in Control as defined in Section 10.2, a Director’s Post-2004 Subaccount,
except for amounts that are allocated to the Phantom Stock Fund, shall be paid in one lump sum within 90 days after the Change in Control is consummated, regardless of the otherwise applicable election. Payment of amounts in a Director’s
Account that are allocated to the Phantom Stock Fund shall be governed by Sections 4.5, 5.2(a)(ii) and 5.2(a)(iii). 
 5.7
Separation from service shall occur when the Director’s service on the Company’s Board ends if there is a good faith and complete termination of the contractual relationship between the Director and the Company or any entity that is a
member, with the Company, of a controlled group of corporations or commonly controlled trades or businesses, as defined in Sections 414(b) and (c) of the Code (an “Affiliate”). 
  

 7 

 5.8 If the Director is a Specified Employee and the Company or any Affiliate has
publicly traded stock, the Director’s Account shall not be paid to the Director upon a separation from service until six months following the separation date. All amounts due during such six months shall be paid as soon as practicable after the
six months has expired. The preceding two sentences shall not apply to a Pre-2005 Subaccount. “Specified Employee” means a “key employee” as defined in Section 416(i) of the Code, determined without regard to
Section 416(i)(5). The definition of key employee shall be applied by identifying the highest paid 50 employees of the Company and Affiliates during the preceding calendar year. 
 5.9 The Company may withhold from payments to a Director any income tax or other amounts as required by law. 
  

	 	6.	Death 

 6.1 A Director’s
Account shall be payable under Section 6.3 on the Director’s death regardless of the provisions of Part 5 or Section 4.5. 
 6.2 On death of a Director the Account shall be paid in the following order of priority: 
 (a) To the surviving beneficiaries designated by the Director in writing to the Administrator on a form prescribed by the Administrator for that purpose, or if none then 
 (b) To the Director’s surviving spouse, or if none then 
 (c) To the Director’s surviving children in equal shares, or if none then 
 (d) To the Director’s estate. 
 6.3 The manner of payment under Section 6.1 shall be as follows: 
 (a) If the
beneficiary is the surviving spouse and the Director elected installments but died before starting to receive payments, the spouse’s payments shall begin as soon as practicable after the following December 31 and the period selected under
Section 5.2(b) for the Director’s payments shall govern. If the Director had already started receiving installments, the surviving spouse shall receive the installments for the remainder of the term selected by the Director. 
 (b) If the beneficiary is the surviving spouse and the Director did not elect installments, or if the beneficiary is not the surviving
spouse, a lump sum shall be paid as soon as practicable to the beneficiary. 
  

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 6.4 On death of a surviving spouse receiving installments under
Section 6.3(a), the Account shall be paid in a single sum to the spouse’s estate as soon as practicable after death. 
  

	 	7.	Termination; Amendment 

 7.1
The Board may terminate this plan effective the first day of any calendar year after notice to the Directors. On termination, amounts in an Account shall remain to the credit of the Account, shall continue to be adjusted and shall be paid in
accordance with Parts 4, 5, 6 or 7, as applicable. 
 7.2 The plan may be amended at any time by any of the following
methods: 
 (a) The Board may adopt any amendment to the plan. 
 (b) The CEO may amend this plan to make any change that does not result in a material increase in the Company’s costs. 
 (c) The CEO may amend this plan to make technical, editorial or operational changes on advice of counsel to comply with applicable law or
to simplify or clarify the plan. The CEO may delegate this amendment authority. 
 7.3 If the Internal Revenue Service
rules that any amounts deferred under this plan will be subject to current income tax, all amounts to which the ruling is applicable shall be paid within 30 days to all Participants with Accounts (except for amounts allocated to the Phantom Stock
Fund, which payment of such amounts shall be governed by Sections 4.5, 5.2(a)(ii) and 5.2(a)(iii)). 
  

	 	8.	Claims Procedure 

 8.1 Any
Participant claiming a benefit, requesting an interpretation or ruling under the plan, or requesting information under the plan shall present the request in writing to the Administrator, who shall respond in writing as soon as practicable.

 8.2 If the claim or request is denied, the written notice of denial shall state the following: 
 (a) The reasons for denial, with specific reference to the plan provisions on which the denial is based. 
 (b) A description of any additional material or information required and an explanation of why it is necessary. 
 (c) An explanation of the plan’s review procedure. 
 8.3 The initial notice of denial shall normally be given within 90 days after receipt of the claim. If special circumstances
require an extension of time, the claimant shall be so notified and the time limit shall be 180 days. 
  

 9 

 8.4 Any person whose claim or request is denied or who has not received a response
within 30 days may request review by notice in writing to the Administrator. The original decision shall be reviewed by the Administrator which may, but shall not be required to, grant the claimant a hearing. On review, whether or not there is a
hearing, the claimant may have representation, examine pertinent documents and submit issues and comments in writing. 
 8.5 The decision on review shall ordinarily be made within 60 days. If an extension of time is required for a hearing or other special circumstances, the claimant shall be so notified and the time limit shall be 120 days. The
decision shall be in writing and shall state the reasons and the relevant plan provisions. All decisions on review shall be final and bind all parties concerned. 
  

	 	9.	General Provisions 

 9.1 The
promise to pay amounts deferred under this plan shall be an unfunded, unsecured obligation of the Company, except as follows. The Company maintains a trust with a financial institution for payment of benefits under this and other nonqualified plans.
The trust is a grantor trust for tax purposes and provides that any assets contributed to the trustee shall be used exclusively for payment of benefits under the nonqualified plans except in the event the Company becomes insolvent, in which case the
trust fund shall be held for payment of the Company’s obligations to its general creditors. 
 9.2 Any notice
under this plan shall be in writing or by electronic means and shall be received when actually delivered or, if mailed, when deposited postpaid as first class mail. Mail should be directed to the Company at the address stated in this plan, to a
Director at the address stated in the Director’s election, to a beneficiary entitled to benefits at the address stated in the Director’s beneficiary designation, or to such other address as the Director or beneficiary may specify by notice
to the Administrator. 
 9.3 The interests of a Participant under this plan are personal and no such interest may be
assigned, seized by legal process or in any way subjected to the claims of any creditor. The foregoing limitation prohibits, for example, any alienation, anticipation, sale, transfer, assignment, pledge, encumbrance, attachment or garnishment by
creditors of the Participant. 
  

	 	10.	Definition of Change in Control 

 10.1 For purposes of payment of the Pre-2005 Subaccount, a “Change in Control” of the Company shall be deemed to have occurred if: 
 (a) Any “person,” as such term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended (the
“Exchange Act”) (other than the Company, any trustee or other fiduciary holding securities under an employee benefit plan of the Company, or any company owned, directly or indirectly, by the stockholders of the Company in substantially the
same proportions as their ownership of stock of the Company), is or becomes the “beneficial owner” (as defined in Rule 13d 3 under the Exchange Act), directly or indirectly, of securities of the Company representing 20 percent or more of
the combined voting power of the Company’s then outstanding securities; 
  

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 (b) During any period of two consecutive years, individuals who at the beginning of such
period constituted a majority of the Board cease for any reason to constitute a majority thereof unless the nomination or election of such new directors was approved by a vote of at least two thirds of the directors then still in office who were
directors at the beginning of such period; 
 (c) The stockholders of the Company approve a merger or consolidation of the
Company with any other company or statutory plan of exchange involving the Company (“Merger”), other than (1) a Merger which would result in the voting securities of the Company outstanding immediately prior thereto continuing to
represent (either by remaining outstanding or by being converted into voting securities of the surviving entity) more than 50 percent of the combined voting power of the voting securities of the Company or such surviving entity outstanding
immediately after the Merger or (2) a Merger effected to implement a recapitalization of the Company (or similar transaction) in which no “person” (as hereinabove defined) acquires more than 20 percent of the combined voting power of
the Company’s then outstanding securities; or 
 (d) The stockholders of the Company approve a plan of complete
liquidation of the Company or an agreement for the sale, lease, exchange or other transfer (in one transaction or a series of related transactions) or disposition by the Company of all or substantially all of the Company’s assets. 

10.2 For purposes of payment of the Post-2004 Subaccount a “Change in Control” of the Company shall be deemed to have
occurred if there has been a change in ownership of the Company under (a), a change in effective control of the Company under (b), or a change in the ownership of a substantial portion of the Company’s assets under (c): 
 (a) A change in ownership occurs on the date that any one person or more than one person acting as a group acquires ownership of stock of
the Company that, together with stock already held by such person or group, constitutes more than 50 percent of the total fair market value or total voting power of the Company’s stock. 
 (i) A change in ownership will not be deemed to occur if, before the person or group acquires additional Company stock, the person or
group acquiring Company stock owned, or is treated as owning, more than 50 percent of the total fair market value or total voting power of Company stock. 
 (ii) An increase in the ownership percentage of the person or group as a result of a transaction in which the Company redeems its stock for cash or other property will be treated as an acquisition by the person or
group. 
  

 11 

 (iii) Ownership of stock will be determined by applying the rules in Code section 318(a)
and by treating stock underlying a vested option as owned by the individual who holds the vested option, unless the stock to which the option applies is not substantially vested as defined in Treasury regulation section 1.83-3(b) and (j).

 (iv) Persons will be considered as acting as a group to acquire or hold Company stock or effective control of the Company
to the extent provided by applicable regulations or other written guidance published by the Internal Revenue Service. 
 (b) A
change in effective control of the Company shall occur, regardless whether a change in ownership occurs under (a), on the date that an event described in (i) or (ii) occurs, subject to (iii). 
 (i) A change in effective control occurs on the date that any one person or more than one person acting as a group acquires (or has
acquired during the 12-month period that ends on the date of the most recent acquisition by such person or group) ownership of Company stock possessing more than 35-percent of the total voting power of the Company’s stock. 
 (ii) A change in effective control also occurs on the date that a majority of the Company’s board of directors is replaced during
any 12-month period by directors whose election is not endorsed by a majority of the Company’s board members prior to the date of election or appointment. 
 (iii) A change in effective control will not result from the acquisition of additional control of the company by any person or group
that, immediately before such acquisition, owned more than 35 percent of the total voting power of the Company’s stock. 
 (c) A change in ownership of a substantial portion of the Company’s assets occurs on the date that any person or more than one person acting as a group acquires (or has acquired during the 12-month period ending on the date of the most
recent acquisition by such person or group) Company assets with a total gross fair market value equal to 40 percent or more of the total gross fair market value of all of the Company’s assets immediately prior to the acquisition (or series of
acquisitions). 
 (i) Gross fair market value for this purpose means the value of the Company’s assets or the value of
the assets being disposed of, without regard to any liabilities associated with such assets. 
 (ii) No Change in Control
occurs solely because the Company transfers assets to an entity controlled by the Company’s shareholders immediately after the transfer. 
  

 12 

 (iii) No change in ownership of the Company’s assets is deemed to occur solely by
reason of a transfer of the Company’s assets to any of the following: 
 (A) A shareholder of the Company (immediately
before the asset transfer) in exchange for the Company’s stock. 
 (B) An entity, half or more of whose total value or
voting power is owned by he Company (directly or indirectly). 
 (C) A person or group that owns (directly or indirectly) 50
percent or more of the value or voting power of all of the Company’s outstanding shares. 
 (D) An entity, half or more
of whose total value or voting power is owned (directly or indirectly) by a person who owns 50 percent or more of the value or voting power of the Company’s outstanding shares. 
  

	 	11.	Effective Date 

 This 2005 Restatement shall be
effective January 1, 2005. Except as specifically provided in this 2005 Restatement for Pre-2005 Subaccounts, its provisions shall apply to all amounts held under the plan. Procedures for changes from provisions of the plan as in effect before
this 2005 Restatement shall be implemented according to a schedule established by the Administrator. 
 2005 RESTATEMENT EXECUTED AS FOLLOWS EFFECTIVE
JANUARY 1, 2005: 
  

			
	PRECISION CASTPARTS CORP.
		
	By:	 	/s/ W.D. Larsson
	Name:	 	William D. Larsson
	Title:	 	 Senior Vice President and
 Chief Financial Officer

			
		
	Date signed:	 	December 18, 2006

  

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 AMENDMENT NO. 1 EXECUTED AS FOLLOWS EFFECTIVE SEPTEMBER 1, 2007: 
  

			
	PRECISION CASTPARTS CORP.
		
	By	 	/s/ W. D. Larsson
	Name:	 	William D. Larsson
	Title:	 	 Senior Vice President and
 Chief Financial Officer

			
		
	Date signed: 	 	August 29, 2007

  

 14 

 APPENDIX A 
 LIST OF PERFORMANCE OPTIONS 
 In addition to the Prime Rate plus 2 Percent and Phantom Stock Fund Performance
Options, the following Performance Options shall be available: 
  

	 	(a)	Fidelity Aggressive Growth Fund 

  

	 	(b)	Fidelity Growth Company Fund 

  

	 	(c)	Fidelity Equity-Income Fund 

  

	 	(d)	Fidelity Contrafund 

  

	 	(e)	MSDW Small Company Growth Fund B 

  

	 	(f)	Fidelity Low-Priced Stock Fund 

  

	 	(g)	U.S. Equity Indexed Commingled Pool 

  

	 	(h)	Fidelity Diversified International Fund 

  

	 	(i)	Fidelity Intermediate Government Income Fund 

  

 15Management Incentive Compensation Plan

 
Exhibit 10.1 
 MANAGEMENT INCENTIVE COMPENSATION PLAN OF 2008 
 ARTICLE 1 
 Background, Purpose and
Design 
  

	1.1.	Background. Unum Group hereby establishes, effective as of January 1, 2008, an annual incentive bonus plan for its officers and employees known as the Management
Incentive Compensation Plan of 2008. The Plan was adopted by the Board of Directors on February 21, 2008, subject to the approval of Company’s stockholders at the 2008 annual meeting. 

  

	1.2.	Purpose. The purpose of the Plan is to motivate the Participants to perform in a way that will enable Unum Group to reach or exceed its goals. 

  

	1.3.	Subparts of the Plan. The Plan consists of two subparts: (i) the Executive Officer Incentive Plan, under which Incentive Awards to designated executive officers are
based upon the achievement of objectively determinable corporate performance goals measured over a period of up to twelve months; and (ii) the Employee Incentive Plan, under which Incentive Awards to employees or officers who are not
participants in the Executive Officer Incentive Plan are based upon the achievement of corporate and/or individual performance goals measured over a period of up to twelve months. 

 ARTICLE 2 
 Definitions

  

	2.1.	Definitions. Certain terms of the Plan have defined meanings set forth in this Article 2 and which shall govern unless the context in which they are used clearly indicates
that some other meaning is intended. 

 Beneficiary. Any person or persons designated by a Participant, in accordance
with procedures established under Article 8.1 of the Plan, to receive benefits hereunder in the event of the Participant’s death. 
 Board. The Board of Directors of the Company. 
 Cause. The term “Cause” with respect to a Participant shall
have the meaning assigned such term in any separate employment, change of control or severance agreement between the Participant and the Company or and Subsidiary as then in effect. In the absence of such other agreement or definition, the term
“Cause” as used herein and for the purposes of this Plan shall mean the occurrence of one or more of the following with respect to a Participant: 
  

	 	(1)	The continued failure of the Participant to perform substantially his or her duties with the Company or one of its affiliates (other than any such failure resulting from incapacity
due to physical or mental illness), after a written demand for substantial performance is delivered to the Participant by the CEO which specifically identifies the manner in which the CEO believes that the Participant has not substantially performed
the Participant’s duties, or 

  

	 	(2)	The willful engaging by the Participant in illegal conduct or gross misconduct which is materially and demonstrably injurious to the Company, or 

  

	 	(3)	Conviction of a felony or a guilty or nolo contendere plea by the Participant with respect thereto. 

 For purposes of this Cause definition, no act or failure to act, on the part of a Participant, shall be considered “willful” unless it is done,
or omitted to be done, by the Participant in bad faith or without reasonable belief that the Participant’s action or omission was in the best interests of the Company. Any act, or failure to act, based upon authority given pursuant to a
resolution duly adopted by the Board or (with respect to Participants other than the CEO) upon the instructions of the CEO, or based upon the advice of counsel for 

 
the Company shall be conclusively presumed to be done, or omitted to be done, by the Participant in good faith and in the best interests of the Company. The
cessation of employment of a Participant shall not be deemed to be for Cause unless and until there shall have been delivered to the Participant a copy of a resolution duly adopted by the affirmative vote of not less than two-thirds of the entire
membership of the Board at a meeting of the Board called and held for such purpose (after reasonable notice is provided to the Participant and the Participant is given an opportunity, together with counsel, to be heard before the Board) finding
that, in the good faith opinion of the Board, the Participant is guilty of the conduct described in subparagraph (i) or (ii) above, and specifying the particulars thereof in detail. 
 Change in Control. The occurrence of one or more of the following events: 
  

	 	(1)	During any period of two consecutive years, individuals who, at the beginning of such period, constitute the Board (the “Incumbent Directors”) cease for any reason to
constitute at least a majority of the Board, provided that any person becoming a director and whose election or nomination for election was approved by a vote of at least two-thirds of the Incumbent Directors then on the Board (either by a specific
vote or by approval of the proxy statement of the Company in which such person is named as a nominee for director, without written objection to such nomination) shall be an Incumbent Director; provided, however, that no individual initially elected
or nominated as a director of the Company as a result of an actual or threatened election contest (as described in Rule 14a-11 under the Act) (“Election Contest”) or other actual or threatened solicitation of proxies or consents by or
on behalf of any “person” (as such term is defined in Section 3(a)(9) of the Act and as used in Sections 13(d)(3) and 14(d)(2) of the Act) other than the Board (“Proxy Contest”), including by reason of any agreement
intended to avoid or settle any Election or Contest or Proxy Contest, shall be deemed an Incumbent Director; 

  

	 	(2)	Any person is or becomes a “beneficial owner” (as defined in Rule 13d-3 under the Act), directly or indirectly, of securities of the Company representing 20% (30%
with respect to deferred compensation subject to Internal Revenue Code Section 409A) or more of the combined voting power of the Company’s then outstanding securities eligible to vote for the election of the Board (the “Company Voting
Securities”); provided, however, that the event described in this paragraph (2) shall not be deemed to be a Change in Control of the Company by virtue of any of the following acquisitions: (A) by the Company or any Subsidiary,
(B) by any employee benefit plan (or related trust) sponsored or maintained by the Company or any Subsidiary, (C) by an underwriter temporarily holding securities pursuant to an offering of such securities, (D) pursuant to a
Non-Qualifying Transaction (as defined in paragraph (3), or (E) a transaction (other than one described in paragraph (3) below) in which Company Voting Securities are acquired from the Company, if a majority of the Incumbent Directors
approve a resolution providing expressly that the acquisition pursuant to this clause (E) does not constitute a Change in Control of the Company under this paragraph (2); 

  

	 	(3)	 The consummation of a merger, consolidation, statutory share exchange or similar form of corporate transaction involving the Company or any of its Subsidiaries that
requires the approval of the our stockholders, whether for such transaction or the issuance of securities in the transaction (a “Reorganization”), or sale or other disposition of all or substantially all of the Company’s assets to an
entity that is not an affiliate of the Company (a “Sale”), unless immediately following such Reorganization or Sale: (A) more than 50% of the total voting power of (x) the corporation resulting from such Reorganization or the corporation
which has acquired all or substantially all of the assets of the Company (in either case, the “Surviving Corporation”), or (y) if applicable, the ultimate parent corporation that directly or indirectly has beneficial ownership of 100% of
the voting securities eligible to elect directors of the Surviving Corporation (the “Parent Corporation”), is represented by the Company Voting Securities that were outstanding immediately prior to such Reorganization or Sale (or, if
applicable, is represented by shares into which such Company Voting Securities were converted pursuant to such Reorganization or Sale), 

	 	 
and such voting power among the holders thereof is in substantially the same proportion as the voting power of such Company Voting Securities among the
holders thereof immediately prior to the Reorganization or Sale, (B) no person (other than any employee benefit plan (or related trust) sponsored or maintained by the Surviving Corporation or the Parent Corporation) is or becomes the beneficial
owner, directly or indirectly, of 20% (30% with respect to deferred compensation subject to Internal Revenue Code Section 409A) or more of the total voting power of the outstanding voting securities eligible to elect directors of the Parent
Corporation (or, if there is no Parent Corporation, the Surviving Corporation) and (C) at least a majority of the members of the board of directors of the Parent Corporation (or, if there is no Parent Corporation, the Surviving Corporation)
following the consummation of the Reorganization or Sale were Incumbent Directors at the time of the Board’s approval of the execution of the initial agreement providing for such Reorganization or Sale (any Reorganization or Sale which
satisfies all of the criteria specified in (A), (B) and (C) above shall be deemed to be a “Non-Qualifying Transaction”); or 

  

	 	(4)	The stockholders of the Company approve a plan of complete liquidation or dissolution of the Company. 

 Notwithstanding the foregoing, a Change in Control of the Company shall not be deemed to occur solely because any person acquires beneficial ownership of
more than 20% (30% with respect to deferred compensation subject to Internal Revenue Code Section 409A) of the Company Voting Securities as a result of the acquisition of Company Voting Securities by the Company which reduces the number of
Company Voting Securities outstanding; provided, that if after such acquisition by the Company such person becomes the beneficial owner of additional Company Voting Securities that increases the percentage of outstanding Company Voting Securities
beneficially owned by such person, a Change in Control of the Company shall then occur. 
 CEO. The chief executive officer of the
Company. 
 Code. The Internal Revenue Code of 1986, as amended from time to time. 
 Committee. The Committee of the Board or, to the extent that the Committee shall have delegated authority to the CEO or the Chair as permitted in
Article 3, the term “Committee” shall mean the CEO or the Chair, as the case may be. 
 Company. Unum Group, a Delaware
corporation, and its corporate successors. 
 Disability. Disability of a Participant means the Participant is (1) 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, or (2) 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, receiving income replacement benefits for a period of not less
than three months under an accident and health plan covering employees of the Company. The Committee may require such medical or other evidence as it deems necessary to judge the nature and permanency of the Participant’s condition. 

Employee Incentive Plan. The portion of the Plan, set forth in Article 6, pursuant to which employees or officers who are not participants in
the Executive Officer Incentive Plan for a given Plan Year may earn Incentive Awards based on the achievement of goals measured over a period of up to twelve months. 
 Executive Compensation. The Executive Compensation division of the Human Resources Department of the Company. 
 Executive Officer Incentive Plan. The portion of the Plan, set forth in Article 5, pursuant to which the CEO and other designated executive officers may earn Incentive Awards based on the achievement of corporate performance goals
measured over a period of up to twelve months. 
 Incentive Award. An award granted pursuant to Article 5 or 6 of the Plan. 

 Participant. An employee of the Company or its Subsidiaries participating in the Plan. 

Plan. The Unum Group Management Incentive Compensation Plan of 2008 as set forth in this document, together with any subsequent amendments
hereto. 
 Plan Year. January 1 to December 31 of each year. 
 Retirement. Retirement of a Participant shall mean voluntary termination of employment after having attained age 55 and 5 years of service with the
Company or a Subsidiary. 
 Subsidiary. Any corporation, limited liability company, partnership or other entity of which a majority of
the outstanding voting stock or voting power is beneficially owned directly or indirectly by the Company. 
 ARTICLE 3 
 Administration of the Plan 
  

	3.1.	General. The Plan shall be administered by the Committee. 

  

	3.2.	Actions and Interpretations by the Committee. For purposes of administering the Plan, the Committee may from time to time adopt rules, regulations, guidelines and procedures
for carrying out the provisions and purposes of the Plan and make such other determinations, not inconsistent with the Plan, as the Committee may deem appropriate. The Committee’s interpretation of the Plan, any awards granted under the Plan,
and all decisions and determinations by the Committee with respect to the Plan are and shall be final, binding, and conclusive on all parties. Each member of the Committee is entitled to, in good faith, rely or act upon any report or other
information furnished to that member by any officer or other employee of the Company, the Company’s independent certified public accountants, Company counsel or any executive compensation consultant or other professional retained by the Company
or the Committee to assist in the administration of the Plan. No member of the Committee, the Board of Directors, or any delegate as the case may be, shall be liable for any act under the Plan done in good faith. 

  

	3.3.	Authority of the Committee. Except as provided below in this Section 3.3, the Committee has the exclusive power, authority and discretion to: 

 

	 	(a)	Designate Participants; 

  

	 	(b)	Establish the goals and target awards under the Executive Officer and Employee Incentive Plans for each Plan Year and determine whether or to what extent performance goals were
achieved in a given Plan Year; 

  

	 	(c)	Determine the amount of actual awards under the Executive Officer Incentive Plan for each Plan Year, or determine amount of actual awards or the methodology for determination and
the aggregate amount of awards under the Employee Incentive Plan, subject to the terms of the Plan; 

  

	 	(d)	Increase, reduce or eliminate any Incentive Award payable under the Employee Incentive Plan, regardless of the achievement of performance goals; 

  

	 	(e)	Reduce or eliminate any Incentive Award payable under the Executive Officer Incentive Plan, regardless of the achievement of performance goals; 

  

	 	(f)	Decide all other matters that must be determined in connection with an Incentive Award; 

  

	 	(g)	Establish, adopt or revise any rules, regulations, guidelines or procedures as it may deem necessary or advisable to administer the Plan; 

  

	 	(h)	Make all other decisions and determinations that may be required under the Plan or as the Committee deems necessary or advisable to administer the Plan; 

  

	 	(i)	Amend, modify or terminate the Plan as provided herein; and 

	 	(j)	Adopt such modifications, procedures, and subplans as may be necessary or desirable (i) to effectuate the compensation incentive objectives of the Company or (ii) to
comply with provisions of the laws of non-U.S. jurisdictions in which the Company or any affiliate may operate, in order to assure the viability of the benefits of awards granted to Participants located in such other jurisdictions and to meet the
objectives of the Plan; provided, however, that any such modifications, procedures and subplans shall not apply with respect to participation in the Executive Officer Incentive Plan if they would cause Incentive Awards thereunder to fail to qualify
as “performance-based” compensation as defined in Code Section 162(m). 

 Nothing contained in the Plan shall prevent or be
deemed to prevent the Committee or the Company or any Subsidiary or Affiliate from adopting other or additional compensation arrangements for, or paying or providing any other or additional amounts or benefits to, its employees. 
 To the extent permitted under Delaware law, the Committee may expressly delegate to the CEO or the Chair of the Committee (the “Chair”) some or all of the
Committee’s authority under subsections (a) through (d) above with respect to the Employee Incentive Plan, pursuant to guidelines approved by the Committee. To the extent of such delegated authority, references herein to
“Committee” shall refer to the CEO or the Chair, as the case may be. In addition, the Committee, may, in its discretion, delegate its general administrative duties under the Plan to an officer or employee or Committee composed of officers
or employees of the Company, but may not delegate its authority to construe and interpret the Plan. The acts of the CEO, the Chair and any other persons acting under such delegated authority shall be treated hereunder as acts of the Committee and
the delegates shall report to the Committee regarding the delegated duties and responsibilities. 
 ARTICLE 4 
 Eligibility and Participation; Change in Control 
  

	4.1.	General. Participation in the Plan is limited to such officers or employees, or categories of employees, of the Company as may be designated by the Committee from time to
time. Participation in one Plan Year does not guarantee participation in any subsequent Plan Year. 

  

	4.2.	New Hires. If a person is hired on or before September 30 of a Plan Year and is selected for participation in the Plan, then, unless the Committee provides otherwise, he
or she will become a Participant in the Plan as of the date of hire and the Incentive Award will prorated based on the number of days he or she participated in the Plan during the Plan Year. If the date of hire occurs after September 30 and is
selected for participation in the Plan, the person will not be eligible to participate in the Plan until the following Plan Year. 

  

	4.3.	Promotions. If a Participant is promoted on or before November 30 of a Plan Year from one level of employment to a higher level, his or her Incentive Award will be
prorated based on the levels of his or her employment during each day of the Plan Year (rounded to the nearest pay period to the date of the promotion). If such promotion occurs after November 30, the Incentive Award for the whole Plan Year
will be based on the Participant’s level of employment prior to the promotion. If a person is promoted on or before November 30 of a Plan Year and is selected to participate in the Plan as a result of such promotion, then, unless the
Committee provides otherwise, he or she will become a Participant in the Plan as of the date of the promotion and the Incentive Award will be prorated based on the number of days (beginning as of the day following the end of the last pay period) he
or she participated in the Plan during the Plan Year. If such promotion occurs after November 30 and is selected for participation in the Plan, the person will not be eligible to participate in the Plan until the following Plan Year.

	4.4.	Demotions. If a Participant is demoted during the Plan Year, the Committee may determine whether Plan participation ends at that time, or is continued, perhaps at a reduced
level. If participation ends, his or her Incentive Award for such Plan Year will be prorated based on the number of days (beginning as of the day following the end of the last pay period) he or she participated in the Plan during the Plan Year, and
such Incentive Award will be paid only if the Participant is still an employee at the time Incentive Awards are approved for that Plan Year. If a Participant is demoted but remains a Participant in the Plan, the Participant’s Incentive Award
will be prorated based on the levels of his or her employment during each day of the Plan Year. 

  

	4.5.	Death, Disability and Retirement. Except as provided in Section 4.8, in the event of a Participant’s termination of employment by reason of death, Disability or
Retirement on or after March 1 of a Plan Year, the Incentive Award will be prorated based on the number of days in the Plan Year preceding the date of termination. Performance criteria will be based on full-year performance. Incentive Awards in
these situations will be calculated and paid after the end of the Plan Year, the same as for other Participants. Amounts paid on behalf of a deceased Participant will be paid to the Participant’s Beneficiary. In the event of a
Participant’s termination of employment by reason of death, Disability or Retirement before March 1 of a Plan Year, the Participant will forfeit any right to an Incentive Award for that Plan Year. 

  

	4.6.	Elimination of Position. 

  

	 	(a)	Except as provided in Section 4.8, in the event of a Participant’s termination of employment by the Company due to the elimination of the Participant’s position on or
after March 1 of a Plan Year, the Incentive Award will be prorated based on the number of days in the Plan Year preceding the date of termination, and the Participant will be entitled to one-half of such prorated amount. Performance criteria
will be based on full-year performance. Incentive Awards in these situations will be calculated and paid after the end of the Plan Year, the same as for other Participants. In the event of a Participant’s termination of employment by reason of
elimination of his or her position before March 1 of a Plan Year, the Participant will forfeit any right to an Incentive Award for that Plan Year. 

  

	 	(b)	In the event of a Participant’s termination of employment by the Company due to the elimination of the Participant’s position on or after the last business day of a Plan
Year and before the time the Committee has approved the Incentive Awards for such Plan Year just ended, the Participant will be entitled to the full Incentive Award earned for such prior Plan Year. Incentive Awards in these situations will be
calculated and paid after the end of the Plan Year, the same as for other Participants. 

  

	4.7.	Other Terminations of Employment. Except as provided in Section 4.8, in the event of a Participant’s termination of employment during a Plan Year (or after the end
of a Plan Year and before the time the Committee has approved the Incentive Awards for such Plan Year) other than by reason of death, Disability or Retirement or elimination of position, the Participant will forfeit any right to an Incentive Award
for that Plan Year. For terminations that occur after the time the Committee approves the Incentive Awards for a Plan Year, but before payout from the Plan for such Plan Year, payout will be made as though the termination of employment had not
occurred. Solely for purposes of the Plan, the employment relationship shall be treated as continuing while the Participant is on military leave, sick leave, or other bona fide leave of absence if the period of such leave does not exceed 6 months,
or if longer, so long as the individual retains a right to reemployment, or is otherwise protected, with the service recipient under an applicable statute or by contract. A termination of employment shall not occur in a circumstance in which a
Participant transfers employment from the Company to employment with one of its Subsidiaries, transfers employment from a Subsidiary to the Company, or transfers employment from one Subsidiary to another Subsidiary. 

	4.8.	Change in Control. In the event of a Change in Control, the Committee will determine the Incentive Awards for each Participant that would have been earned if the Plan Year
had ended as of the end of the month immediately preceding the end of the month in which the Change in Control occurs, based on actual performance through the date of the Change in Control (the “CIC Vested Awards”). Thereafter:

  

	 	(a)	Each Participant who is in active employment at the end of the Plan Year shall be entitled to the greater of his or her CIC Vested Award or an Incentive Award based on actual
performance for the entire Plan Year. 

  

	 	(b)	If the Plan is terminated during a Plan Year upon or after the Change in Control occurs, each Participant who is in active employment at the time of such Plan termination shall be
entitled to the greater of his or her CIC Vested Award or an Incentive Award based on actual performance through the date of termination of the Plan. 

  

	 	(c)	If a Participant’s employment is terminated by the Company without Cause during a Plan Year upon or after a Change in Control occurs, such Participant shall be entitled to the
greater of his or her CIC Vested Award or an Incentive Award based on actual performance through the date of termination of employment. 

 ARTICLE 5 
 Executive Officer Incentive Plan 
  

	5.1.	Eligibility. Only the CEO and such other executive officers of the Company, if any, as shall be designated by the Committee are eligible to participate in the Executive
Officer Incentive Plan. The Executive Officer Incentive Plan is designed with the intent that Incentive Awards earned hereunder will be fully deductible by us without regard to the deduction limits of Section 162(m) of the Code.

  

	5.2.	Incentive Awards. Subject to Section 5.3 below, each Participant in the Executive Officer Incentive Plan shall be eligible to receive an Incentive Award not to exceed $8
million in the event that we attain operating earnings at least equal to the product of (a) two and (b) the after tax amount required to cover interest on corporate debt and stockholder dividends for the prior fiscal year ending on
December 31. For this purpose, operating earnings includes both GAAP and statutory operating income from our subsidiaries which is available to the holding company. 

  

	5.3.	Negative Discretion. The Committee may not increase the amount payable under the Plan or with respect to an Incentive Award pursuant to Section 5.2, but retains the
discretionary authority to reduce the amount. The Committee may establish factors to take into consideration in implementing its discretion, including, but not limited to, corporate or business unit performance against budgeted financial goals
(e.g., operating income or revenue), achievement of non-financial goals, economic and relative performance considerations and assessments of individual performance. 

  

	5.5.	Certification of Results and Payout. As soon as possible after the audited results for the Company are available for the Plan Year, the Committee will certify the performance
against the performance goals and calculate the resulting Incentive Awards under the Executive Officer Incentive Plan. The Committee shall adjust any performance goals during or after the Plan Year to mitigate the unbudgeted impact of unusual or
non-recurring gains and losses, accounting changes, acquisitions, divestitures or “extraordinary items” within the meaning of generally accepted accounting principles and that were not foreseen at the time such performance goals were
established, provided that such adjustments would not, in the reasonable judgment of the Committee, prevent the award from qualifying from the “performance-based” exemption from Section 162(m) of the Code. Incentive Awards earned by
Participants under the Executive Officer Incentive Plan will be paid in cash within thirty (30) days after the amount has been approved by the Committee and no later than March 15 of the year following the year in which the Incentive Award
is earned. 

 ARTICLE 6 
 Employee Incentive Plan 
  

	6.1.	Eligibility. The Committee may designate any officer or employee, or any category of employees, of the Company or its Subsidiaries for participation in the Employee Incentive
Plan for a Plan Year; provided that no person who is a participant in the Executive Officer Incentive Plan for a Plan Year is eligible to participate in the Employee Incentive Plan for that same Plan Year. Incentive Awards payable under the Employee
Incentive Plan will be subject to the deduction limits imposed under Section 162(m) of the Code, to the extent applicable. 

  

	6.2.	Incentive Awards. Each Participant in the Employee Incentive Plan shall be eligible to receive an Incentive Award in connection with a particular Plan Year based on an
individual’s contribution to the business of the Company, as determined by the Committee, which contribution may be assessed on nonobjective as well as objective measures. 

  

	6.3.	Establishment of Performance Goals. Within ninety (90) days after the commencement of any Plan Year (or such later date as the Committee shall determine), the Committee
will set performance goals for the Employee Incentive Plan for such Plan Year. Such performance goals may, but need not, be the same as the performance goals under the Executive Officer Incentive Plan, and may be different for different Participants
within the Employee Incentive Plan. For example, the Committee may choose to use corporate performance goals in conjunction with individual performance goals, and may set different performance goals for different Participants or classes of
Participants in the Employee Incentive Plan. 

  

	6.4.	Establishment of Incentive Award Targets. Within ninety (90) days after the commencement of any Plan Year (or such later date as the Committee shall determine), the
Committee will establish target awards under the Employee Incentive Plan and limits on payouts in excess of targets, if any. Target awards under the Employee Incentive Plan may be set as either (i) percentages of base salary, or (ii) a
range of dollar amounts based on the achievement of specified performance measures, which targets may differ from Participant to Participant and from year to year. The Committee may, but is not required to, establish the weightings for each
Participant for performance within any category of the performance goals. If established, the weightings would be expressed as a percent of the target award that can be earned by the Participant from performance in each category.

  

	6.5	Determination of Awards and Payout. As soon as possible after the completion of the Plan Year, the Committee will determine the amount of Incentive Awards earned under the
Employee Incentive Plan. The Committee shall have the right for any reason to increase, reduce or eliminate any Incentive Award earned under the Employee Incentive Plan, notwithstanding the achievement of (or failure to achieve) a specified
performance goal. Incentive Awards earned by Participants under the Employee Incentive Plan will be paid in cash within thirty (30) days after the amount has been approved by the Committee and no later than March 15 of the year following
the year in which the Incentive Award is earned. 

 ARTICLE 7 
 Amendment, Modification and Termination 
  

	7.1	Amendment, Modification and Termination. The Committee may at any time and from time to time alter, amend, suspend, or terminate the Plan in whole or in part; provided,
however that no amendment that requires stockholder approval in order for the Executive Officer Incentive Plan to continue to comply with the performance-based compensation exemption from Section 162(m) of the Code shall be effective unless the
same shall be approved by the Committee and the requisite vote of our stockholders. 

 ARTICLE 8 
 General Provisions 
  

	8.1.	Payment Recipient. All amounts payable under the Plan shall be paid to the appropriate Participant; provided, however, that a Participant may, by written instruction during
the Participant’s lifetime on a form prescribed by Executive Compensation, designate one or more primary Beneficiaries to receive the amount payable hereunder following the Participant’s death, and may designate the proportions in which
such Beneficiaries are to receive such payments. A Participant may change such designations from time to time, and the last written designation filed with the Committee prior to the Participant’s death shall control. A Beneficiary designation
shall not be considered effective unless made on a form prescribed by Executive Compensation and which is delivered to Executive Compensation. If any Participant shall fail to designate a Beneficiary or shall designate a Beneficiary who shall fail
to survive the Participant, the Beneficiary shall be the Participant’s surviving spouse, or, if none, the Participant’s surviving descendants (who shall take per stirpes) and if there are no surviving descendants, the Beneficiary shall be
the Participant’s estate. 

  

	8.2.	Non-Assignability. None of the rights under the Plan shall be subject to the claim of any creditor of any Participant or Beneficiary, or to any legal process by any creditor
of such Participant or Beneficiary, and none of them shall have any right to alienate, commute, anticipate, pledge, assign or encumber any of the rights under the Plan except to the extent expressly provided herein to the contrary.

  

	8.3.	No Right to Continued Employment. Participation in the Plan shall not give any employee any right to remain in our employ. The Plan is not to be construed as a contract of
employment for any period and does not alter the at-will status of any Participant. 

  

	8.4.	Participant’s Rights Unsecured; Waiver and Release. The benefits payable under the Plan shall be paid by the Company each year out of its general assets. To the extent a
Participant acquires the right to receive a payment under the Plan, such right shall be no greater than that of an unsecured general creditor of the Company. In consideration of the granting of the award, Participants may required to execute an
agreement which, among other things, waives and releases all claims, whether known or unknown that Participant may have against the Company, its affiliates, directors, officers, agents or employees arising out of related to Participant’s
employment, except for those claims against the benefit plans of the Company. The waiver shall include such terms and conditions as shall be determined by the Committee in its discretion, provided that any such waiver and release shall comply with
applicable laws and regulations, and further provided that the Committee may direct that no waiver and release shall be obtained. 

  

	8.5.	Income Tax Withholding. The Company shall have the authority and the right to deduct or withhold, or require a Participant to remit to the Company, an amount sufficient to
satisfy federal, state, and local taxes (including the Participant’s FICA obligation) required by law to be withheld with respect to any taxable event arising as a result of the Plan. 

  

	8.6.	Governing Law. This Plan, and the rights and obligations of the parties thereunder, will be governed by and construed in accordance with the laws of the State of Delaware.

  

	8.7.	Titles and Headings. The titles and headings of the Sections in the Plan are for convenience of reference only, and in the event of any conflict, the text of the Plan, rather
than such titles or headings, shall control. 

  

	8.8.	Gender and Number. Except where otherwise indicated by the context, any masculine term used herein also shall include the feminine; the plural shall include the singular and
the singular shall include the plural. 

 The foregoing is hereby acknowledged as being the Unum Group Management Incentive Compensation Plan
of 2008 as adopted by the Board of Directors of the Company on February 21, 2008, subject to the approval by the stockholders at the 2008 annual meeting. 
 UNUM GROUP 

			
		
	By:	 	 
		 	
	Its:

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