Document:

Form of Stock Option Agreement for Directors 2007

    EXHIBIT
      10.4
       

      POOL
        CORPORATION

      109
        Northpark Boulevard, 4th
        Floor

      Covington,
        Louisiana 70433-5001

      

                          Telephone:
        (985)
        892-5521

                          Facsimile:
        (985)
        892-1657

      

      

      

      

                                                          May
        8,
        2007

      
 

      

      «Title» «FirstName» «LastName»

      
 

      Re:
         Pool
        Corporation Grant of Nonqualified Stock
        Options to Directors

      

      Dear
        «Title» «LastName»:

      

      Pursuant
        to the Pool Corporation 2007 Long-Term Incentive Plan (the “Plan”) you are
        hereby granted a stock option (an “Option”), as provided below, under the Plan,
        a copy of which is attached hereto.

      
              
        1.      Definitions.
        For the
        purposes of this Agreement, the following terms shall have the meanings set
        forth below. Other capitalized terms used herein and not otherwise defined
        shall
        have the meaning set forth in the Plan.

      

      “Code”
        shall
        mean the Internal Revenue Code of 1986, as amended, and any successor
        statute.

      

      “Grant
        Date”
        shall
        mean May 8, 2007.

      

      “Option
        Shares” shall
        mean (i) all shares of Common Stock issued or issuable upon the exercise
        of the
        Option and (ii) all shares of Common Stock issued with respect to the Common
        Stock referred to in clause (i) above by way of stock dividend or stock split
        or
        in connection with any conversion, merger, consolidation or recapitalization
        or
        other reorganization affecting the Common Stock.

       

      
        
          
          

        

        
          1

          
            

          

        

        
          
          

        

      

       

      “Securities
        Act”
shall
        mean the Securities Act of 1933, as amended, and any successor
        statute.

      

        2.    
           Option.

      

      

      (a)    Terms.
        Your
        Option is to purchase 8,500 shares of Common Stock at an option price per
        share
        of $_____ (the “Exercise
        Price”),
        payable upon exercise as set forth in paragraph 2(b) below. Your Option will
        expire at the close of business on May 8, 2017 (the “Expiration
        Date”),
        subject to earlier expiration in connection with the termination of your
        term as
        a director as provided in paragraph 4(b) below. Your Option is not
        intended
        to be an “incentive stock option” within the meaning of Section 422A of the
        Code. 

      

      (b)    Payment
        of Option Price.
        Subject
        to paragraph 3 below, your Option may be exercised upon payment of the exercise
        price as provided in the Plan.

       

      
        3.    
           Exercisability/Vesting.

      

      

      Your
        Option may be exercised only to the extent it has vested. Your Option will
        fully
        vest and become exercisable with respect to all of your Option Shares on
        (i) May
        8, 2008, but only if you are still serving as a director of the Company on
        such
        date; (ii) upon a Change of Control, as provided in the Plan, and (iii) as
        otherwise provided in paragraph 4(b) below.

       

      
        4.    
           Expiration
          of Option.

      

       

      (a)    Normal
        Expiration. In
        no
        event shall any part of your Option be exercisable after the Expiration Date
        set
        forth in paragraph 2(a) above.

      

      (b)    Early
        Expiration Upon Termination of Service as a Director.
        Any
        Option that is vested or not vested on the date your service as a director
        of
        the Company terminates (for any reason whatsoever) will expire and be forfeited
        on such date, provided, however, (i) if you die, any Option that is vested
        and
        exercisable will expire one year from the date of your death, but in no event
        after the Expiration Date; (ii) if you are not re-elected as a director,
        any
        Option that is vested and exercisable will expire one year from the date
        on
        which you fail to be reelected as a director, but in no event after the
        Expiration Date; and (iii) if you cease to be a director for any reason other
        than death or failure to be re-elected, provided that you do not engage in
        competition directly or indirectly against the Company, as determined by
        the
        Board, any Options that are vested and exercisable on the date of such cessation
        shall remain exercisable and shall terminate on the Expiration
        Date.

      

      5.    
         Procedure
        for Exercise.
        You may
        exercise all or any portion of your Option, to the extent it has vested and
        is
        outstanding, at any time and from time to time prior to its expiration, by
        delivering written notice to the Company (to the attention of the Company’s
        Secretary).

      

      
        
          
          

        

        
          2

          
            

          

        

        
          
          
           
          6.  Securities
          Laws Restrictions and Other Restrictions on Transfer of Option
          Shares.
          You
          represent that when you exercise your Option you will be purchasing Option
          Shares for your own account and not on behalf of others. You understand
          and
          acknowledge that federal and state securities laws govern and restrict
          your
          right to offer, sell or otherwise dispose of any Option Shares unless your
          offer, sale or other disposition thereof is registered under the Securities
          Act
          and state securities laws, or in the opinion of the Company’s counsel, such
          offer, sale or other disposition is exempt from registration or qualification
          thereunder. You agree that you will not offer, sell or otherwise dispose
          of any
          Option Shares in any manner which would: (i) require the Company to file
          any
          registration statement with the Securities and Exchange Commission (or
          any
          similar filing under state law) or to amend or supplement any such filing
          or
          (ii) violate or cause the Company to violate the Securities Act, the rules
          and
          regulations promulgated thereunder or any other state or federal law. You
          further understand that the certificates for any Option Shares you purchase
          will
          bear such legends as the Company deems necessary or desirable in connection
          with
          the Securities Act or other rules, regulations or laws.

      

      

      7.  Non-Transferability
        of Option.
        Your
        Option is personal to you and is not transferable by you other than as provided
        in the Plan. During your lifetime only you (or your guardian or legal
        representative) may exercise your Option. In the event of your death, your
        Option may be exercised only (i) by the executor or administrator of your
        estate
        or the person or persons to whom your rights under the Option shall pass
        by will
        or the laws of descent and distribution and (ii) to the extent that you were
        entitled hereunder at the date of your death. 

      

      8.  Conformity
        with Plan.
        Your
        Option is intended to conform in all respects with, and is subject to all
        applicable provisions of, the Plan, which is incorporated herein by reference.
        Inconsistencies between this Agreement and the Plan shall be resolved in
        accordance with the terms of the Plan. By executing and returning the enclosed
        copy of this Agreement, you acknowledge your receipt of this Agreement and
        the
        Plan and agree to be bound by all of the terms of this Agreement and the
        Plan.

      

      9.  Withholding
        of Taxes.
        The
        Company shall be entitled, if necessary or desirable, to withhold from you
        from
        any amounts due and payable by the Company to you (or secure payment from
        you in
        lieu of withholding) the amount of any withholding or other tax due from
        the
        Company with respect to any Option Shares issuable under this Plan, and the
        Company may defer such issuance unless indemnified by you to its
        satisfaction.

      

      10.  
         Adjustments.
        In the
        event of a reorganization, recapitalization, stock dividend or stock split,
        combination of shares, merger, consolidation or other change in the Common
        Stock, appropriate adjustments in the number and type of shares authorized
        by
        the Plan, the number and type of shares covered by your Option and the Exercise
        Price specified herein will be made.

      

      
        
          
          

        

        
          3

          
            

          

        

        
          
          

        

      

       

      11.  
         Amendment.
        Except
        as otherwise provided herein, any provision of this Agreement may be amended
        or
        waived only with the prior written consent of you and the Company.

      

      12.  
         Successors
        and Assigns.
        Except
        as otherwise expressly provided herein, all covenants and agreements contained
        in this Agreement by or on behalf of any of the parties hereto will bind
        and
        inure to the benefit of the respective successors and permitted assigns of
        the
        parties hereto whether so expressed or not. 

      

      13. 
         Severability.
        Whenever possible, each provision of this Agreement will be interpreted in
        such
        a manner as to be effective and valid under applicable law, but if any provision
        of this Agreement is held to be prohibited by or invalid under applicable
        law,
        such provision will be ineffective only to the extent of such prohibition
        or
        invalidity, without invalidating the remainder of this Agreement.

      

      14. 
         Counterparts.
        This
        Agreement may be executed simultaneously in two or more counterparts, each
        of
        which shall constitute an original, but all of which taken together shall
        constitute one and the same Agreement.

      

      15.  
         Descriptive
        Headings.
        The
        descriptive headings of this Agreement are inserted for convenience only
        and do
        not constitute a part of this Agreement.

      

      16. 
         Governing
        Law.
        The
        corporate law of Delaware will govern all questions concerning the relative
        rights of the Company and its stockholders. All other questions concerning
        the
        construction, validity and interpretation of this Agreement will be governed
        by
        the internal law, and not the law of conflicts, of Illinois.

      

      17.  
         Entire
        Agreement.
        This
        Agreement constitutes the entire understanding between you and the Company,
        and
        supersedes all other agreements, whether written or oral, with respect to
        the
        subject matter hereof.

       

      * * * * *

       

      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

      Please
        execute the extra copy of this Agreement in the space below and return it
        to the
        Company’s Secretary at its executive offices to confirm your understanding and
        acceptance of the agreements contained in this Agreement.

      

                                      Very
        truly
        yours,

      

                                      POOL
        CORPORATION

      

      By___________________________

      

      

                                      Name_________________________

      

                                      Title__________________________

      

      Enclosures:
             1. 
        Extra copy of this Agreement

      2. 
        Copy of the Plan

      3. 
        Copy of the Prospectus for the Plan

      

      The
        undersigned hereby acknowledges having read this Agreement and the Plan and
        hereby agrees to be bound by all provisions set forth herein and in the
        Plan.

      

      Dated
        as
        of:                                          PARTICIPANT

      

      May
        8,
        2007

      

                                      ____________________________

                                      «FirstName» «LastName»

      

      
        
          
          

        

        
          5Form of Restricted Stock Agreement for Directors 2007

    EXHIBIT
      10.5

     

    DIRECTOR

     

    RESTRICTED
      STOCK AGREEMENT

     

    (PURSUANT
      TO THE TERMS OF THE

     

    POOL
      CORPORATION 

     

    2007
      LONG-TERM INCENTIVE PLAN)

     

     

    This
      RESTRICTED STOCK AGREEMENT (this "Restricted Stock Agreement") is between Pool
      Corporation, a Delaware corporation ("Company"), and _____________("Recipient"),
      and is dated as of the date set forth immediately above the signatures
      below.

     

    1. Grant
      of Restricted Stock.
      The
      Company hereby grants to Recipient all rights, title and interest in the record
      and beneficial ownership of ________ shares (the "Restricted Stock" or the
      “Incentive”) of common stock, $.001 par value per share, of Company ("Common
      Stock") subject to the conditions described in Paragraphs 4 and 5 as well as
      the
      other provisions of this Restricted Stock Agreement. The Restricted Stock is
      granted pursuant to and to implement in part Pool Corporation’s 2007 Long-Term
      Incentive Plan (as amended and in effect from time to time, the "Plan") and
      is
      subject to the provisions of the Plan, which is hereby incorporated herein
      and
      is made a part hereof, as well as the provisions of this Restricted Stock
      Agreement and in the event of any inconsistency, the provisions of the Plan
      shall control. Recipient agrees to be bound by all of the terms, provisions,
      conditions and limitations of the Plan and this Restricted Stock Agreement.
      All
      capitalized terms have the meanings set forth in the Plan unless otherwise
      specifically provided. All references to specified paragraphs pertain to
      paragraphs of this Restricted Stock Agreement unless otherwise specifically
      provided. 

     

    2. Custody
      of Restricted Stock.
      Upon
      satisfaction of the vesting conditions set forth in Paragraph 4 or the
      occurrence of any of the events contemplated by Paragraph 5(b) or 5(c), Company
      shall issue and deliver to Recipient a certificate or certificates for such
      number of shares of Restricted Stock as are required to be issued and delivered
      under this Restricted Stock Agreement. Prior to the satisfaction of such vesting
      conditions or the occurrence of such events, the Restricted Stock is not
      transferable and shall be held in trust until such time as the applicable
      restrictions on the transfer thereof have expired or otherwise lapsed.

     

    3. Risk
      of Forfeiture.
      Subject
      to Paragraphs 5(b) and 5(c), should Recipient's service as a member of the
      Board
      of Directors of the Company and each Subsidiary terminate prior to the vesting
      date set forth in Paragraph 4, Recipient shall forfeit the Restricted Stock
      that
      would otherwise have vested on such dates. For purposes of this Restricted
      Stock
      Agreement, “Subsidiary” shall mean any corporation or other entity of which the
      Company owns securities having a majority of the ordinary voting power in
      electing the board of directors or similar governing body, either directly
      or
      through one or more Subsidiaries.

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

     

    4. Vesting
      Dates.
      Subject
      to Paragraph 5, the shares of Restricted Stock subject to this Restricted Stock
      Agreement shall vest in full on May 8, 2008.

     

    5. Termination
      of Service on the Board of Directors; Change of Control.
      Except
      as otherwise provided in this Section 5, if Recipient ceases to serve on the
      Board of Directors prior to May 8, 2008, then Recipient shall forfeit the right
      to receive all of the shares of Restricted Stock. 

     

    a. Change
      of Control.
      If a
      Change of Control shall occur, then immediately all nonvested Restricted Stock
      shall fully vest, all restrictions (other than those described in Paragraph
      9)
      applicable to such Restricted Stock shall terminate and Company shall release
      from escrow or trust and shall issue and deliver to Recipient a certificate
      or
      certificates for all shares of Restricted Stock. 

     

    b. Death
      or Disability.
      If
      Recipient's service on the Board of Directors is terminated by death or
      Disability, then immediately all nonvested Restricted Stock shall fully vest,
      all restrictions (other than described in Paragraph 9) applicable to Restricted
      Stock shall terminate and Company shall release from escrow or trust and shall
      issue and deliver to Recipient, or in the case of death, to the person or
      persons to whom Recipient's rights under this Restricted Stock Agreement shall
      pass by will or by the applicable laws of descent and distribution, or in the
      case of Disability, to Recipient's personal representative, a certificate or
      certificates for all Restricted Stock. 

     

    c. Definition
      of Disability.
      For
      purposes of this Restricted Stock Agreement, “Disability” shall mean a
      disability that would entitle the Recipient to the payment of disability
      payments under any Company or Subsidiary disability plan or as otherwise
      determined by the Committee.

     

    6. Ownership
      Rights.
      Subject
      to the restrictions set forth herein and subject to Paragraph 8, Recipient
      is
      entitled to all voting and ownership rights applicable to the Restricted Stock,
      including the right to receive any dividends that may be paid on Restricted
      Stock, whether or not vested. 

     

    7. Reorganization
      of Company and Subsidiaries.
      The
      existence of this Restricted Stock Agreement shall not affect in any way the
      right or power of Company or its stockholders to make or authorize any or all
      adjustments, recapitalizations, reorganizations or other changes in Company's
      capital structure or its business, or any merger or consolidation of Company
      or
      any issue of bonds, debentures, preferred or prior preference stock ahead of
      or
      affecting the Restricted Stock or the rights thereof, or the dissolution or
      liquidation of Company, or any sale or transfer of all or any part of its assets
      or business, or any other corporate act or proceeding, whether of a similar
      character or otherwise. 

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    8. Adjustment
      of Shares.
      In the
      event of stock dividends, spin-offs of assets or other extraordinary dividends,
      stock splits, combinations of shares, recapitalizations, mergers,
      consolidations, reorganizations, liquidations, issuances of rights or warrants
      and similar transactions or events involving Company ("Recapitalization
      Events"), then for all purposes references herein to Common Stock or to
      Restricted Stock shall mean and include all securities or other property that
      holders of Common Stock of Company are entitled to receive in respect of Common
      Stock by reason of each successive Recapitalization Event, which securities
      or
      other property shall be treated in the same manner and shall be subject to
      the
      same restrictions as the underlying Restricted Stock. 

     

    9. Certain
      Restrictions.
      By
      accepting the Restricted Stock, Recipient agrees that if at the time of delivery
      of certificates for shares of Restricted Stock issued hereunder any sale of
      such
      shares is not covered by an effective registration statement filed under the
      Securities Act of 1933 (the "Act"), Recipient will acquire the Restricted Stock
      for Recipient's own account and without a view to resale or distribution in
      violation of the Act or any other securities law, and upon any such acquisition
      Recipient will enter into such written representations, warranties and
      agreements as Company may reasonably request in order to comply with the Act
      or
      any other securities law or with this Restricted Stock Agreement. 

     

    10. Nontransferability
      of Incentive. This
      Incentive is not transferable other than by will, the laws of descent and
      distribution or by domestic relations order. No right or benefit hereunder
      shall
      in any manner be liable for or subject to any debts, contracts, liabilities,
      or
      torts of Recipient.

     

    11. Amendment
      and Termination.
      No
      amendment or termination of this Restricted Stock Agreement which would impair
      the rights of Recipient shall be made by the Compensation Committee at any
      time
      without the written consent of Recipient. No amendment or termination of the
      Plan will adversely affect the right, title and interest of Recipient under
      this
      Restricted Stock Agreement or to Restricted Stock granted hereunder without
      the
      written consent of Recipient.

     

    12. No
      Guarantee of Tax Consequences.
      Neither
      Company nor any subsidiary nor the Compensation Committee makes any commitment
      or guarantee that any federal or state tax treatment will apply or be available
      to any person eligible for benefits under this Restricted Stock
      Agreement.

     

    13. Severability.
      In the
      event that any provision of this Restricted Stock Agreement shall be held
      illegal, invalid, or unenforceable for any reason, such provision shall be
      fully
      severable, but shall not affect the remaining provisions of this Restricted
      Stock Agreement and this Restricted Stock Agreement shall be construed and
      enforced as if the illegal, invalid, or unenforceable provision had never been
      included herein.

     

    14. Governing
      Law.
      The
      Restricted Stock Agreement shall be construed in accordance with the laws of
      the
      State of Louisiana to the extent federal law does not supersede and preempt
      Louisiana law.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    15. Section
      83(b) Election.
      The
      Recipient has reviewed with the Recipient’s own tax advisors the federal, state,
      local and foreign tax consequences of this investment and the transactions
      contemplated by this Restricted Stock Agreement. The Recipient is relying solely
      on such advisors and not on any statements or representations of the Company
      or
      any of its agents. The Recipient understands that the Recipient (and not the
      Company) shall be responsible for the Recipient’s own tax liability that may
      arise as a result of the transactions contemplated by this Agreement. The
      Recipient understands that the Recipient may elect to be taxed at the time
      the
      shares are granted by filing an election under Section 83(b) of the Code with
      the IRS within thirty days from the date of grant. The Recipient acknowledges
      that it is the Recipient’s sole responsibility and not the Company’s to file
      timely the election under Section 83(b), even if the Recipient requests the
      Company or its representatives, to make this filing on the Recipient’s
      behalf.

     

    16. Electronic
      Delivery and Signatures.
      Recipient hereby consents and agrees to electronic delivery of any Plan
      documents, proxy materials, annual reports and other related documents. If
      the
      Company establishes procedures for an electronic signature system for delivery
      and acceptance of Plan documents (including documents relating to any programs
      adopted under the Plan), Recipient hereby consents to such procedures and agrees
      that his or her electronic signature is the same as, and shall have the same
      force and effect as, his or her manual signature. Recipient consents and agrees
      that any such procedures and delivery may be effected by a third party engaged
      by the Company to provide administrative services related to the Plan, including
      any program adopted under the Plan. 

     

    IN
      WITNESS WHEREOF, the parties have entered into this Restricted Stock Agreement
      as of the [      ] day of
      [      ], 2007.

     

     

    "COMPANY"

     

    POOL
      CORPORATION

     

     

    By: __________________________________

     

    Name:

     

    Title:

     

     

    "Recipient"

     

     

    _____________________________________

     

     

    Name:

     

     

    
      
        
        

      

      
        4

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