Document:

sfm-ex101_192.htm

Exhibit 10.1

 

SPROUTS FARMERS MARKET, INC.

Performance Share award Agreement

 

Cover Sheet

Sprouts Farmers Market, Inc., a company incorporated under the laws of the State of Delaware (“Company”), hereby grants an award of performance shares (“Performance Shares”) to the individual named below.  The terms and conditions of the Performance Shares are set forth in this cover sheet (“Cover Sheet”), in the attached Performance Share Award Agreement (the “Agreement”) and in the Sprouts Farmers Market, Inc. 2013 Incentive Plan (the “Plan”).  All capitalized terms used but not defined in this Cover Sheet and the Agreement will have the meanings ascribed to such terms in the Plan.  

 

	
Granted to:
	
 
	
 

 

	
Grant Date:
	
 
	
 

 

	
Number of Performance Shares:
	
 
	
 

 

	
Issuance of Shares:
	
 
	
 

	
Vesting Schedule:
	
 
	
 

 

By signing this Cover Sheet, you agree to all of the terms and conditions described in this Cover Sheet, in the Agreement and in the Plan.  If you do not sign and return this Cover Sheet and the attached Irrevocable Standing Order to Sell Shares within 60 days of the Grant Date, the Company will have the right to rescind this award.

 

 

	
Signature:
	
 
	
 
	
Date:

	
 

	
SPROUTS FARMERS MARKET, INC.

	
 

	
 

	
By: 

	
Name:

	
Title:

 

 

 

SPROUTS FARMERS MARKET, INC.

2013 INCENTIVE PLAN

Performance Share AWARD AGREEMENT

 

	
Right to Shares
	
 
	
The award of Performance Shares represents your right to receive, and the Company’s obligation to issue, one Share for each Performance Share earned, based on the Company’s 2022 EBT as set forth in the Cover Sheet.  The Shares issued will be subject to the vesting conditions described below.  Issuance of Shares equal to the Performance Shares earned will occur as soon as practicable following the date the Compensation Committee certifies 2022 EBT, based on the Company’s 2022 fiscal year audited financial statements (the “Certification Date”).   

	
 
	
 
	
 

	
Vesting
	
 
	
The Performance Shares issued to you will vest in accordance with the schedule set forth in the Cover Sheet.

 

All Performance Shares will cease vesting as of the date your employment with the Company and its Affiliates has terminated for any reason.

	
 
	
 
	
 

	
Termination; Specified Conduct
	
 
	
Should your employment with the Company and its Affiliates terminate for any reason or if you engage in Specified Conduct (as defined in Exhibit A) prior to the Certification Date, you shall forfeit all rights to receive any Performance Shares. Should your employment with the Company and its Affiliates terminate for any reason after the Certification Date or if you engage in Specified Conduct after the Certification Date, you shall forfeit all Performance Shares that are not then vested, and such Performance Shares shall be returned to the Company automatically and for no consideration.

	
 
	
 
	
 

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Change in Control
	
 
	
Notwithstanding the foregoing:

 

(A) if there occurs a Change in Control  (as defined in Exhibit A), and this award does not continue or is not assumed by an acquiror, then (i) if the Change in Control occurs prior to the Certification Date, you will be entitled to receive, immediately prior to the Change in Control, the greater of (x) the target number of Performance Shares, or (y) the number of Performance Shares which would have been earned pursuant to the Cover Sheet based on actual 2022 EBT through the date the Change in Control occurs, and (ii) if the Change in Control occurs after the Certification Date, all Performance Shares that have not yet vested shall vest immediately prior to the Change in Control; and 

 

(B) if there occurs a Change in Control, and this award continues or is assumed by an acquiror, and your employment is terminated by the Company or an acquiror without Cause (as defined in Exhibit A) or by you for Good Reason (as defined in Exhibit A), in each case within 24 months following the Change in Control, then (i) if such termination occurs prior to the Certification Date, you will be entitled to receive, as soon as practicable following such termination, the greater of (x) the target number of Performance Shares, or (y) the number of Performance Shares which would have been earned pursuant to the Cover Sheet based on actual 2022 EBT through the date of such termination, which Shares shall be immediately vested, and (ii) if such termination occurs after the Certification Date, all 

Performance Shares that have not yet vested shall vest immediately upon such termination.

 

For purposes of the foregoing, this award shall not be treated as continued or assumed unless it is continued or assumed on a substantially equivalent basis, including, without limitation, continuation or assumption of the same Company EBT performance metrics, subject to adjustment in accordance with the Plan.

	
 
	
 
	
 

	
Taxes
	
 
	
Unless you make an election under Section 83(b) of the Code within 30 days of the Certification Date, the value of the Performance Shares as and when they vest will be treated as wages subject to payroll withholding.  The Company will satisfy the withholding obligation through a “sell to cover” whereby you irrevocably direct a securities broker approved by the Company to sell a portion of your Performance Shares that are then scheduled to vest and to deliver the sale proceeds to the Company in payment of the applicable withholding taxes.  You agree to provide these directions by signing and returning the Irrevocable Standing Order to Sell Shares attached hereto, along with a signed copy of the Cover Sheet, within 60 days of the Grant Date. 

 

The number of Shares that the broker will sell will be based on an estimate made by the broker of the Shares required to be sold to satisfy the withholding taxes. You agree that the proceeds received from the sale of Shares will be used to satisfy the withholding taxes and, accordingly, you authorize the broker to pay such proceeds to the Company for such purpose. To the extent that the proceeds obtained by such sale exceed the amount necessary to satisfy the withholding taxes, such excess proceeds shall be deposited into your brokerage account and in the event of a shortfall, additional Shares may be sold and/or cash withholding may be required from you. Any remaining Shares shall be deposited into your brokerage account.

 

If there is not a market in the Shares or the Company determines in its sole discretion that the sell to cover procedure is not advisable or sufficient, the Company will have the right to make other arrangements to satisfy the withholding taxes due upon the vesting of the Shares with respect to the Performance Shares, including, but not limited to, the right to deduct amounts from salary or payments of any kind otherwise due to the Participant or withhold in Shares (by transferring Shares back to the Company), provided that the Company only withholds the amount of Shares necessary to satisfy the statutory minimum withholding amount.  If such other arrangements are made, your Irrevocable Standing Order to Sell Shares will be voided.

 

You represent to the Company that, as of the date you sign the Irrevocable Standing Order to Sell Shares, you are not aware of any material nonpublic information about the Company or the Shares. You and the Company have structured this Agreement to constitute a “binding contract” relating to the sale of Shares, consistent with the affirmative defense to liability under Section 10(b) of the Exchange Act under Rule 10b5-1(c) issued under such Act.

	
 
	
 
	
 

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Restrictions on Resale 
	
 
	
By signing this Agreement, you agree not to sell any Performance Shares at a time when applicable laws, regulations or Company policies prohibit a sale.  

 

In addition, until the Performance Shares have vested pursuant to the schedule set forth in the Cover Sheet, they may not be sold, transferred, assigned, pledged, margined, or otherwise encumbered or disposed of (except for transfers and forfeitures to the Company).

 

The Company’s obligation to issue Performance Shares upon the Certification Date shall be subject to applicable laws, rules and regulations and also to such approvals by governmental agencies as may be deemed appropriate to comply with relevant securities laws and regulations. 

 

You shall deliver to the Chief Legal Officer of the Company, at the time of execution of this Agreement and/or at such other time or times as the Chief Legal Officer may request, one or more executed stock powers, authorizing the transfer of the Performance Shares to the Company upon forfeiture, and you shall take such other steps or perform such other actions as may be requested by the Chief Legal Officer to effect the transfer of any forfeited Performance Shares.

	
 
	
 
	
 

	
Transfer of right to receive Performance Shares 
	
 
	
Prior to the Vesting Date, you cannot transfer or assign your right to receive Performance Shares.  For instance, you may not sell your right to Performance Shares or use such right as security for a loan.  If you attempt to do any of these things, your award will immediately become invalid.  

 

Regardless of any marital property settlement agreement, the Company or a securities broker, as applicable, is not obligated to recognize your former spouse’s interest in your right to Performance Shares in any way.

	
 
	
 
	
 

	
Stockholder Rights; Dividend Equivalent Rights
	
 
	
You, or your estate or heirs, have no rights as a stockholder of the Company in respect of Performance Shares until the Certification Date.  No adjustments are made for dividends or other rights if the applicable record date occurs before Shares are issued, except as described in the Plan.

 

On and following the Certification Date, you shall have the rights as a stockholder, subject to the restrictions set forth in this Agreement (including, without limitation, transfer restrictions and forfeiture during the vesting period).

	
 
	
 
	
 

	
Applicable Law
	
 
	
This Agreement will be interpreted and enforced under the laws of the State of Delaware.

	
 
	
 
	
 

	

The Plan and Other Agreements
	
 
	
The text of the Plan and any amendments thereto are incorporated in this Agreement by reference.

 

This Agreement, the Cover Sheet and the Plan constitute the entire understanding between you and the Company regarding the Performance Shares.  Any prior agreements, commitments or negotiations concerning the Performance Shares are superseded.

 

By signing the Cover Sheet of this Agreement, you agree to all of the terms and conditions described above and in the Plan and evidence your acceptance of the powers of the Committee of the Board of Directors of the Company that administers the Plan.

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Exhibit A

Certain Definitions

“Affiliate” means, when used with reference to any Person, any other Person that directly or indirectly, through one or more intermediaries, controls, is controlled by or is under common control with, or owns greater than fifty percent (50%) of the voting power in, the specified Person (the term “control” for this purpose shall mean the ability, whether by the ownership of shares or other equity interest, by contract or otherwise, to elect a majority of the directors of a corporation, independently to select the managing partner of a partnership or the managing member or the majority of the managers, as applicable, of a limited liability company, or otherwise to have the power independently to remove and then select a majority of those Persons exercising governing authority over an entity, and control shall be conclusively presumed in the case of the direct or indirect ownership of fifty percent (50%) or more of the voting equity interests in the specified Person).

“Cause” shall have the meaning ascribed thereto in any effective employment agreement between you and the Company or its Affiliates, or if no employment agreement is in effect that contains a definition of cause, then Cause shall mean that you have (i) committed a felony or a crime involving moral turpitude, (ii) committed any act of gross negligence or fraud, (iii) failed, refused or neglected to substantially perform your duties (other than by reason of a physical or mental impairment) or to implement the reasonable directives of the Company (which, if deemed curable in the discretion of the Committee, is not cured within 30 days after notice thereof to you by the Committee), (iv) materially violated any policy of the Company (which, if deemed curable in the discretion of the Committee, is not cured within 30 days after notice thereof to you by the Committee), or (v) engaged in conduct that is materially injurious to the Company, monetarily or otherwise.

“Change in Control” shall mean: 

	
 
	
(i)
	
any event occurs the result of which is that any “person,” as such term is used in Sections 13(d) and 14(d) of the Exchange Act, becomes the “beneficial owner”, as defined in Rules l3d-3 and l3d-5 under the Exchange Act directly or indirectly, of more than  50% of the voting stock of the Company or any successor company thereto, including, without limitation, through a merger or consolidation or purchase of voting stock of the Company; provided that the transfer of 100% of the voting stock of the Company to a Person that has an ownership structure identical to that of the Company prior to such transfer, such that the Company becomes a wholly owned subsidiary of such Person, shall not be treated as a Change in Control;

	
 
	
(ii)
	
during any period of two (2) consecutive years, individuals who at the beginning of such period constituted the Board, together with any new directors whose election by such Board or whose nomination for election by the stockholders of the Company was approved by a vote of a majority of the directors of the Company then still in office who were either directors at the beginning of such period or whose election or nomination for election was previously so approved, cease for any reason to constitute a majority of the Board then in office;

	
 
	
(iii)
	
the sale, lease, transfer, conveyance or other disposition, in one or a series of related transactions other than a merger or consolidation, of all or substantially all of the assets of the Company and its consolidated subsidiaries taken as a whole to any Person or group of related Persons; or

	
 
	
(iv)
	
the adoption of a plan relating to the liquidation or dissolution of the Company.

“Exchange Act” shall mean the Securities Exchange Act of 1934, as amended.

“Good Reason” shall have the meaning ascribed thereto in any effective employment agreement between you and the Company or its Affiliates, or if no employment agreement is in effect that contains a definition of good reason, then Good Reason shall mean that the Company or its Affiliates (i) has required that you relocate to a principal place of employment that is more than 50 miles from your then-current principal place of employment; (ii) has reduced, or has notified you of 

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its intent to reduce, your base salary by more than 10%, unless such reduction is agreed to by you or is involuntarily imposed upon all other employees of the Company who are similarly situated to you; or (iii) without your consent, materially diminishes your authority or responsibilities; provided, however, that in the event you believe any of the forgoing conditions exist that constitute Good Reason, prior to Good Reason being established, you will first provide notice to the Company and give the Company a reasonable opportunity (not to exceed thirty (30) calendar days) to cure the condition you contend establishes Good Reason.

“Person” means and includes any individual, partnership, joint venture, corporation, limited liability company, estate, trust, or other entity.

“Specified Conduct” means, if you are party to an employment agreement that contains post-termination restrictive covenants, a breach of any such covenant, or if you are not party to an employment agreement that contains post-termination restrictive covenants, your (i) unauthorized disclosure of confidential information relating to the Company or its Affiliates, (ii) engaging, directly or indirectly, as an employee, partner, consultant, director, stockholder (other than as a passive investor in not more than 5% of the shares of any publicly traded class of securities of any business), owner, or agent in any business that is competitive with the businesses conducted by the Company and its Affiliates at the time of termination of your employment, (iii) soliciting or inducing, directly or indirectly, any former, present or prospective customer or client of the Company or its Affiliates to purchase any services or products offered by the Company or its Affiliates from any Person other than the Company or its Affiliates, or (iv) hiring, directly or indirectly, any individual who was an employee of the Company or its Affiliates within the six month period prior to termination of your employment, or soliciting or inducing, directly or indirectly, any such individual to terminate his or her employment with the Company or its Affiliates.

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IRREVOCABLE STANDING ORDER TO SELL SHARES

I have been granted an award in respect of Performance Shares (“Performance Shares”) by Sprouts Farmers Market, Inc. (the “Company”), which is evidenced by a performance share award agreement between me and the Company (the “Agreement,” copy attached).  Provided that I remain employed by the Company on the applicable vesting date, the shares vest according to the provisions of the Agreement. 

I understand that on the Certification Date (as defined in the Agreement), the Performance Shares will be deposited into my account at E*Trade or such other broker the Company may engage at such time (the “Broker”) and that on the applicable vesting date, I will recognize taxable ordinary income as a result.  Pursuant to the terms of the Agreement and as a condition of my receipt of the Shares, I understand and agree that, on the vesting date, I must sell a number of shares sufficient to satisfy all withholding taxes applicable to that ordinary income. Therefore, I hereby direct the Broker to sell, at the market price and on the vesting date (or the first business day thereafter if the vesting date should fall on a day when the market is closed), the number of Shares that the Company informs the Broker is sufficient to satisfy the applicable withholding taxes, which shall be calculated based on the closing price of the Company’s ordinary shares on the last trading day before the vesting date. I understand that the Broker will remit the proceeds to the Company for payment of the withholding taxes. 

I understand and agree that by signing below, I am making an Irrevocable Standing Order to Sell Shares which will remain in effect until the vesting date. I also agree that this Irrevocable Standing Order to Sell Shares is in addition to and subject to the terms and conditions of any existing Account Agreement that I have with the Broker. 

 

	
 

	
 

	
Signature

	
 

	
 

	
Print Name

 

-7-EX-4.1

 Exhibit 4.1 

TOTAL S.A. 
 A
SOCIETE ANONYME WITH A CAPITAL OF 6,504,749,885.00 euros 

REPRESENTED BY 2,601,899,954 SHARES OF 2.50 EUROS
EACH 
 NANTERRE TRADE AND COMPANIES REGISTER 542
051 180 
 Registered Office 

2, place Jean Millier 

La Défense 6 
 92400
Courbevoie 
 FRANCE 

CHARTER AND BYLAWS 
 Last
update on April 27, 2020 
 To be filed in the office of K.L. ASSOCIES 

Notaries in partnership in PARIS 

 CONTENTS 

 

									
	 	 	 	  	 	  	 	  	 Pages

					
	TITLE	 	I	  	-	  	Form – Name – Purpose – Registered Office – Duration	  	3
					
	TITLE	 	II	  	-	  	Share Capital – Shares	  	4 to 5
					
	TITLE	 	III	  	-	  	Administration – General Management – Auditing	  	5 to 9
					
	TITLE	 	IV	  	-	  	Shareholders’ Meetings	  	10 to 11
					
	TITLE	 	V	  	-	  	Company Financial Statements	  	11 to 12
					
	TITLE	 	VI	  	-	  	Dissolution – Disputes	  	12

  
 2 

	
	 TITLE I

 
 Form – Name – Purpose – Registered Office
– Duration

 ARTICLE 1 – FORM 

The Company is a société anonyme; its share capital is publicly traded. The Company is governed by the legislative and regulatory
provisions in force and by the present charter and bylaws. 
 ARTICLE 2 – NAME 

The Company has the following name: 
 TOTAL S.A.

 ARTICLE 3 – PURPOSE 
 The
Company’s purpose is, directly or indirectly, in all countries: 
  

	1° -	 To search for and extract mining deposits, and particularly hydrocarbons in all forms, and to perform
industrial refining, processing and trading in the said materials, as well as their derivatives and by-products; 

  

	2° -	 To conduct all activities relating to production and distribution of all forms of energy;

  

	3° -	 To conduct all activities relating to the chemical sector in all of its forms, as well as all activities
relating to the rubber and health sectors; 

  

	4° -	 To conduct all forms and all means of transportation and shipping of hydrocarbons or other products or
materials relating to the Company’s business purpose; 

 and more generally, to conduct all financial, commercial and industrial
operations and operations relating to any fixed or unfixed assets and real estate, acquisitions of interests or holdings, in any form whatsoever, in any business or company existing or to be created that may relate, directly or indirectly, to any of
the above-mentioned purposes or to any similar or related purposes, of such nature as to promote the Company’s extension or its development. 

ARTICLE 4 – REGISTERED OFFICE 

The Company’s registered office is: 
 2,
place Jean Millier 
 La Défense 6 

92400 Courbevoie 
 France 

If the registered office is moved by the Board of Directors, the new location shall automatically be substituted for the former one in the present Article.

 ARTICLE 5 – DURATION 

The Company’s duration, initially set at 99 years starting with the date of its definitive constitution, namely 28 March 1924, is extended by 99
years starting on 22 March 2000. Hence the Company’s existence shall continue until 22 March 2099, in the absence of early dissolution or of further extension. 

  
 3 

	
	 TITLE II

Share Capital – Shares

 ARTICLE 6 – SHARE CAPITAL 

The share capital is set at an amount of 6,504,749,885.00 euros, represented by 2,601,899,954 shares of 2.50 euros each. 

ARTICLE 7 – PAYING UP SHARES 

Subscriptions to shares are made in accordance with applicable law. 

The Board of Directors determines the amount and the payment due dates of any cash sums remaining to be paid on the shares. 

Any calls for funds are published at least two weeks in advance in a newspaper for legal notices in the department of the registered office. 

Any payment not made by the applicable due date shall automatically bear interest, without further notice, in favor of the Company at the legal rate increased
by one percent from the due date until the settlement date. 
 ARTICLE 8 – FORM AND TRANSFER OF SHARES 

Fully paid up shares may be held as registered shares or bearer shares, at the shareholder’s option. 

The shares are entered in a stock ledger. 
 Bearer shares and
registered shares are freely transferable. 
 ARTICLE 9 – IDENTIFICATION OF SHAREHOLDERS – 

DECLARATION OF CROSSING OWNERSHIP THRESHOLDS 

The Company is authorized, to the extent permitted under applicable law, to identify the holders of securities that grant immediate or future voting rights at
the Company’s Shareholders’ Meetings. 
 In addition to obligations that shareholders may have under applicable law to notify the Company upon
crossing certain percentages of share ownership or voting rights, any person, whether a natural person or a legal entity, who comes to hold, directly or indirectly, 1% or more, or any multiple of 1%, of the share capital or the voting rights or of
securities that may include future voting rights or future access to share capital or voting rights, is required to inform the Company by registered mail with return receipt requested, indicating the number of securities or voting rights held,
within a period of 15 days from the date of crossing each of the said thresholds. 
 In determining the ownership or voting rights percentages provided for
in the previous paragraph, shares or voting rights held by controlled companies, as defined in Article L.233-3 of the French Commercial Code, must be included if applicable. 

In the event of a failure to declare ownership of shares or voting rights as described above, any shares or voting rights exceeding the fraction that should
have been declared may be deprived of voting rights at a Shareholders’ Meeting if, at the meeting, the failure to declare ownership of such shares or voting rights has been noted and if one or several shareholders holding, collectively, at
least 3% of the Company’s capital or voting rights so request at such meeting. 
 Any natural person or legal entity is also required to inform the
Company in the manner and within the time periods set forth above in the fourth paragraph of this Article 9 when his direct or indirect holdings fall below each of the applicable thresholds in said paragraph. 

  
 4 

 ARTICLE 10 – RIGHTS AND OBLIGATIONS ATTRIBUTABLE TO SHARES 

In addition to a voting right, each share entitles the holder to an ownership interest in the business assets, in the sharing of profits and
of liquidation surpluses, in proportion to the number of shares outstanding from time to time. 
 Whenever it is necessary to possess several
shares in order to exercise a right, shares held in a number below the requisite number of shares do not entitle their holder to any right against the Company, it being up to the shareholder in such a case to personally seek to collect or group
together the requisite number of shares. 
  

	
	 TITLE III

Administration – General Management – Auditing

 ARTICLE 11 – COMPOSITION OF THE BOARD OF DIRECTORS 

 

	1.	 The Company is administered by a Board of Directors, the minimum and maximum number of members of which are
defined by applicable law in effect from time to time. 

  

	2.	 The permanent representative of a legal person appointed as a Director must be approved in advance by the Board
of Directors. Such representatives must be less than 70 years old. 

  

	3.	 Each Director must own at least 1,000 shares during his term of office. 

 

	4.	 The term of office for Directors is set by the shareholders acting in an Ordinary Shareholders’ Meeting
for a term of office not to exceed three years, subject to applicable law that may allow extension of the duration of a given term until the next Ordinary Shareholders’ Meeting held to approve the financial statements. 

 

	5.	 The number of Directors acting in their own capacity or as permanent representatives of a legal entity more
than 70 years old may not exceed one-third of the sitting Directors as determined on the last day of each fiscal year. If this proportion is exceeded, the oldest Board member is automatically considered to
have resigned. 

  

	6.	 When at the close of a financial year, the portion of capital owned – within the framework provided by the
provisions of Article L.225-102 of the French Commercial Code – by the Company’s personnel and that of the companies affiliated to it as per Article L.225-180
of said code, represents over 3%, a Director representing employee shareholders shall be elected at the Annual General Meeting of Shareholders in accordance with the procedures laid down in regulations in force, and these Articles of Incorporation,
insofar as the Board of Directors does not include among its members one or more Directors appointed among the members of the Supervisory Board of the company mutual funds representing employees or one or more employees elected according to Article L.225-27 of the said Code. 

  

	7.	 Candidates for appointment to the office of employee shareholder Director are selected on the following basis:

  

	 	a)	 When voting rights linked to shares held by employees or by investment trusts of which they are beneficiaries
are exercised by members of the Board of Trustees of such investment trusts, candidates are selected by such Board among its members. 

  

	 	b)	 When voting rights linked to shares held by employees (or by investment trusts of which they are beneficiaries)
are exercised directly by such employees, candidates shall be appointed further to a vote as per Article L.225-106 of the French Commercial Code, either by employee shareholders in a meeting convened
specifically for such purpose, or by a vote in writing. Only candidates put forward by a group of shareholders representing at least 5% of the shares held by employees exercising their individual voting rights shall be admissible.

  

	8.	 Procedures for appointing candidates when such provisions are not laid down in law and regulations in force, or
by these Articles of Incorporation, shall be determined by the Chairman of the Board of Directors, in particular with respect to the timing of the appointment of such candidates. 

 

  
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	9.	 A list of all validly appointed candidates shall be prepared. This list shall comprise at least two names. The
list of candidates shall be appended to the notice convening the Shareholders’ Meeting called to appoint the Director representing employee shareholders. 

 

	10.	 The Director representing employee shareholders shall be elected at the Annual General Meeting of
Shareholders on the same terms as those applicable to all appointments of Directors, upon proposal from the shareholders as provided for by Article L.225-102 of the French Commercial Code. The
Board of Directors shall table the list of candidates at the Shareholders’ Meeting by order of preference, and may give its approval to the first candidate appearing on such list. The candidate referred to above who shall have received the
greatest number of votes from shareholders present or represented at the Annual General Meeting of Shareholders shall be appointed as the Director representing employee shareholders. 

 

	11.	 Such Director shall be disregarded for the purposes of determining the maximum number of Directors stipulated
under Article L.225-17 of the French Commercial Code. 

  

	12.	 The term in office of any Director representing employee shareholders shall be three years. However, his term
in office shall end forthwith, and the Director representing employee shareholders shall be considered to have resigned automatically upon his ceasing to be an employee of the Company (or of a company or economic interest group affiliated to it as
per Article L.225-180 of the French Commercial Code) or a shareholder (or a member of an investment fund, at least 90% of whose assets comprise the Company’s shares). Until the date of appointment or
replacement of any Director representing employee shareholders, the Board of Directors may hold meetings and vote validly. 

  

	13.	 In the event the seat of the Director representing employee shareholders shall become vacant, for any reason
whatsoever, such Director shall be replaced in the manner specified above, such Director to be appointed at the Annual General Meeting of Shareholders for a new three-year term. 

 

	14.	 The provisions governing the sixth paragraph of this Article 11 shall cease to apply when, at the close of any
given financial year, the percentage of equity held by the Company’s employees and those of the companies affiliated to it as per aforementioned Article L.225-180, within the framework stipulated by the
provisions of aforementioned Article L.225-102, is equal to less than 3% of all issued share capital of the Company; notwithstanding the foregoing, the term of any Director appointed pursuant to the
sixth paragraph of this Article 11 shall only expire at its term. 

  

	15.	 The provisions governing the third paragraph of this Article 11 shall not apply to the Director representing
employee shareholders. Nonetheless, this Director representing employee shareholders shall hold, either individually, or through an investment trust governed by Article L.214-165 of
the French Monetary & Financial Code, at least one share or a number of stocks in such investment trust amounting to at least one share. 

  

	16.	 When the Company satisfies the provisions of Article L. 225-27-1 of the French Commercial Code, the Board of Directors shall also include one or two Directors representing employees. 

 

	17.	 The Company’s Central Works Council shall appoint one Director representing employees. When the number of
Directors appointed by the Shareholders’ Meeting exceeds twelve, the Company’s European Works Council (“European Council”) shall appoint a second Director representing employees. The procedures for voting in the Central Works
Council and the European Council to appoint Directors are the same rules used to appoint the Secretaries of these Councils. 

  

	18.	 Pursuant to Article L. 225-28 of the French Commercial Code, the
Director appointed by the Central Works Council must hold an employment contract with the Company or one of its direct or indirect subsidiaries whose registered head office was located on French territory at least two years before his or her
appointment. Notwithstanding, the second Director appointed by the European Council must hold an employment contract with the Company or one of its direct or indirect subsidiaries at least two years before his or her appointment.

  
 6 

	19.	 The Central Works Council and the European Council shall be informed of changes in the number of Directors
appointed by the Shareholders’ Meeting taken into account for purposes of applying the seventeenth paragraph of this Article. 

  

	20.	 Neither the Director representing employee shareholders elected by the Shareholders’ Meeting pursuant to
Article L. 225-23 of the French Commercial Code and these charter and bylaws, nor the Director or Directors representing employees are taken into account to define the twelve-member threshold mentioned above,
since this twelve-member threshold is determined when the employee Director or Directors are appointed. 

  

	21.	 The term of office of a Director representing employees is three years. Nevertheless, his or her term of office
ends at the close of the Ordinary General Meeting that approves the financial statements for the previous fiscal year during which the said Director’s term of office expired. 

 

	22.	 In case the number of Directors appointed by the Ordinary General Meeting falls to twelve or less, the term of
office of the Director appointed by the European Council continues to the end of his or her term. 

  

	23.	 If at the close of a Shareholders’ Meeting, the number of Directors appointed by the Meeting increases to
more than twelve, the European Council shall appoint the second Director representing employees no later than within six months from the said Meeting. 

  

	24.	 The provisions governing the third paragraph of this Article shall not apply to the Directors appointed by the
Central Works Council and the European Council. 

  

	25.	 In the case where the obligation to appoint one or more Directors representing employees pursuant to L. 225-27-1 of the French Commercial Code should cease to apply, the term of office of the Director or Directors representing employees shall end at the close of the Ordinary
General Meeting that approves the financial statements for the year during which the obligation ceased to apply. 

  

	26.	 The Directors representing employees shall be disregarded for the purposes of determining the maximum number of
Directors stipulated under Article L.225-17 of the French Commercial Code and for purposes of applying the first paragraph of Article
L.225-18-1 of the said Code. 

ARTICLE 12 – ORGANIZATION OF THE BOARD OF DIRECTORS 

The Board appoints a Chairman (Président du Conseil d’Administration) from among its members who must be a natural person.

 The Chairman of the Board of Directors represents the Board of Directors. He organizes and directs the Board’s work, and reports
thereon to the shareholders at Shareholders’ Meetings. He ensures the proper functioning of the Company’s bodies and ensures, in particular, that the Directors are able to carry out their duties. 

The Board may also appoint one or two Vice Chairmen (Vice Président du Conseil d’Administration). The rights and duties of
the Chairman and of the Vice Chairman or Chairmen may be withdrawn from them at any time by the Board. The Chairman’s rights and duties cease automatically no later than on the date of his or her
70th birthday. 
 The Board also designates a natural person to act as secretary, who is
not required to be a Board member. 
 The Board may establish one or more committees responsible for considering questions submitted by the
Board or by its Chairman for their consideration and opinion. The Board determines the composition and the powers of the committees, which carry on their activity under the supervision of the Board. 

The Directors receive attendance fees, the amount of which, determined by the shareholders acting at a Shareholders’ Meeting, remains in
effect until a new decision is taken. 
 The Board apportions attendance fees among its members in whatever way it considers appropriate. In
particular, it may allocate a larger share to Directors who are members of the above-mentioned committees than the amount apportioned to other Directors. 
  

  
 7 

 ARTICLE 13 – BOARD OF DIRECTORS’ DECISIONS 

The Board of Directors meets as often as required to serve the Company’s interests. A Board meeting may be called by any means, even
orally, and even on short notice depending on the urgency, at the initiative of either the Chairman or a Vice Chairman, or by one-third of its members. Such meeting may be called to be held either at the
registered office, or at any other place indicated in the notice. 
 The presence in person, or when the law so authorizes, via
videoconference or telecommunication means determined by decree, of at least one-half of the Board members, is required for valid deliberations. 

Decisions are made by a majority of the votes of the members present or represented. In the case of a tie vote, the Chairman of the meeting
holds a casting vote. 
 ARTICLE 14 – BOARD OF DIRECTORS’ POWERS 

The Board of Directors determines the guidelines governing the Company’s activity and oversees their application. Subject to the powers
explicitly attributed to shareholders and within the limits of the business purpose, the Board considers any question affecting the proper operation of the Company, and its decisions settle the matters concerning it. 

The Board of Directors performs such auditing and verification as it considers appropriate. Each Director is entitled to receive all
information required for the performance of his duties and may obtain any documents he considers useful. His requests must be addressed to the Chairman of the Board of Directors. 

ARTICLE 15 – GENERAL MANAGEMENT OF THE COMPANY 
  

	 	1)	 General management of the Company is performed under the responsibility of either the Chairman of the Board of
Directors (Président du Conseil d’Administration), or by another natural person appointed by the Board of Directors and bearing the title of President (Directeur Général). 

The Board of Directors selects one of the aforementioned methods of exercising general management under the quorum and majority provisions set
forth in Article 13 of the present charter and bylaws. The Company shall inform its shareholders and third parties of its determination in accordance with applicable regulations. 

Once the Board makes such a determination, it remains in effect until a contrary decision is made pursuant to the same procedure. 

Any change in the method of exercise of general management will not in and of itself effect any change in the present charter and bylaws. 

The Board is required to meet to consider a possible change of methods for exercising general management either at the request of the Chairman
or of the President, or at the request of one-third of the Board members. 
  

	 	2)	 When general management of the Company is assumed by the Chairman, the legal, regulatory or statutory
provisions relative to the President are applicable to him, and he takes the title of Chairman of the Board, President and Chief Executive Officer (Président - Directeur Général). 

When the Board of Directors determines to separate the functions of Chairman of the Board of Directors (Président du
Conseil d’Administration) and President of the Company (Directeur Général), the Board appoints a President, sets the term for his appointment, and the degree of his powers.
Decisions by the Board of Directors limiting the degree of the powers of the President of the Company are not enforceable against third parties. 

The President of the Company must be less than 67 years old during the exercise of his or her duties. Upon reaching this age limit during the
exercise of his or her duties, his or her appointment terminates automatically (subject to the following sentence), and the Board of Directors appoints a new President of the Company. Notwithstanding the foregoing, the President of the Company
remains in office and continues exercising his or her duties beyond the termination date until the date on which 

  
 8 

 the Board appoints his or her successor. Subject to the age limit described above, a
President remains eligible for reappointment. 
 The President of the Company may be terminated at any time by the Board of Directors. 

In the event that the President of the Company is temporarily unable to exercise his duties, the Board of Directors may delegate his functions
to a Director. 
  

	 	3)	 The President is invested with the most extensive powers to act in the Company’s name under all
circumstances. He exercises the said powers within the limits of the business purpose and subject to the ones explicitly assigned by law to the shareholders and to the Board of Directors. He represents the Company in its relationship with third
parties. 

 The President of the Company may request the Chairman of the Board to call a meeting of the Board of Directors
regarding a specified agenda. 
 If the President of the Company is not also a member of the Board of Directors, he may attend meetings of
the Board of Directors to provide advice, but without a vote. 
  

	 	4)	 On the basis of a proposal by its President, the Board may appoint one to five natural persons at most
responsible for assisting the President and bearing the title of Executive Vice President (Directeur Général Délégué). The Board determines the extent of their powers and their term of office, it being
understood that Executive Vice Presidents hold the same powers as the President in representing the Company in its relationships with third parties. 

The Executive Vice President or Executive Vice Presidents may be terminated at any time by the Board of Directors, upon motion by the President
of the Company. 
 In the event that the President is temporarily unable to perform his duties or ceases his duties, the Executive Vice
President or the Executive Vice Presidents retain their duties and powers until the nomination of a new President, unless the Board of Directors decides otherwise. 
  

	 	5)	 The President of the Company and, if applicable, one or more Executive Vice Presidents, may be authorized to
grant substitutions or delegations of their authority within the limit of applicable law or regulations. 

 Fixed or
variable remuneration, or fixed and variable remuneration, may be granted by the Board of Directors to the Chairman of the Board, the President of the Company, and to any Executive Vice President, and, more generally, to any other natural persons to
whom duties are delegated. Such compensation shall be charged to business expense. 
 ARTICLE 16 – AUDITORS 

The shareholders acting in a Shareholders’ Meeting designate the statutory and deputy auditors in accordance with applicable law. 

  
 9 

	
	 TITLE IV

Shareholders’ Meetings

 ARTICLE 17 – NOTICE – PARTICIPATION IN SHAREHOLDERS’ MEETINGS 

 

	 	1)	 Shareholders’ Meetings may be called in accordance with applicable law. 

The meetings take place at the registered office or at any other place indicated in the notice of meeting. 

All shareholders may attend Shareholders’ Meetings, irrespective of the number of shares held. 

Any shareholder may vote by mail, by using a form conforming to applicable regulations. 

Any shareholder may delegate voting authority at Shareholders’ Meetings in accordance with the terms and conditions provided for by
applicable regulations. 
 Legal entities that are shareholders take part in the meetings through their legal representatives or through any
agent designated for that purpose. 
  

	 	2)	 Participation in general meetings, in any form whatsoever, shall be subject to registering or recording shares
under the conditions and within the time periods provided for by regulations in effect. 

 The Board of Directors shall
have the option to accept ballots and powers of attorney that should reach the company after the 
 deadline provided for by regulations in
effect. 
 It also has the option to decide that shareholders may participate and vote in any meeting by videoconference or other means of
telecommunication under the conditions established by regulations in effect; the electronic signature that may result from any reliable identification process shall guarantee its connection with the instrument related thereto. 

ARTICLE 18 – HOLDING SHAREHOLDERS’ MEETINGS – DECISIONS 

The Shareholders’ Meeting is chaired by the Chairman of the Board of Directors, and failing this, by a Vice Chairman, and in his absence
by a Director designated by the Board. 
 The Shareholders’ Meetings, whether ordinary, extraordinary or combined, make their decisions
pursuant to the quorum and majority conditions applicable to the provisions governing the type of meeting, and they may exercise the powers attributed to them by law. 

There is secret voting when such voting is demanded by several shareholders representing at least one quarter of the share capital. 

Subject to the following provisions, each meeting member is entitled to as many votes as he possesses or as many shares as he holds proxies
for. 
 However, a double voting right is granted, in the light of the share of the share capital they represent, to all registered shares
paid up in full that have been entered in the name of the same shareholder for at least two years, as well as, in case of a capital increase by incorporation of reserves, profits or premiums on shares, to the registered shares that are allocated
without charge to a shareholder in connection with previously existing shares for which he benefits from the said right. Any merger of the company would have no effect on the double voting right, which may be exercised within the absorbing company,
if the latter’s articles of association have created a similar right. 
 The double voting right shall terminate automatically in
respect of shares that are converted to bearer form or are transferred. Nevertheless any transfer from registered share to registered share, due to inheritance ab intestat or testamentary inheritance, division of community property between
spouses, or donation inter vivos to the benefit of the spouse or of relatives eligible to inherit shall not interrupt the period set above or shall retain the acquired right. 

 

  
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 At Shareholders’ Meetings, no shareholder may cast, by himself and through a proxy, in
connection with the simple voting rights attached to the shares he holds directly or indirectly and in connection with the powers of attorney granted to him, more than 10% of the total number of voting rights attributable to the company shares.
However, if he also holds, on an individual basis and/or as agent, double voting rights, the limit set in this way may be exceeded taking account solely of the additional voting rights resulting therefrom, without all of the voting rights that he
exercises being able to exceed 20% of the total number of voting rights attributable to the company shares. 
 For the application of the
above provisions: 
  

	 	•	 	 the total number of voting rights attributable to the company shares taken into account is calculated on the date
of the Shareholders’ Meeting and is brought to the shareholders’ attention at the opening of said meeting, 

  

	 	•	 	 the number of voting rights held directly and indirectly is to be understood as including the ones that are
attributable to the shares held by a natural person in his own behalf, either on a personal basis or in connection with joint ownership, or are held by a company, grouping, association or foundation, and as including the ones that are attached to
the shares held by a controlled company in the meaning of Article L.233-3 of the French Commercial Code, by another company or by a natural person, association, grouping or foundation, 

 

	 	•	 	 for the voting rights cast by the Chairman of the Shareholders’ Meeting, one disregards, in connection with
the limitations set forth above, the voting rights that are attached to shares for which a power of attorney has been returned to the company without any indication of an agent and which, individually, do not violate the prescribed limitations.

 The limitations provided for in the above sections have no effect on the calculation of the total number of voting
rights, including the double voting rights, attributed to the Company shares and which shall be taken into account for application of the legislative, regulatory or statutory provisions laying down special obligations with reference to the number of
voting rights existing in the Company or referring to the number of shares having voting rights. 
 In addition, the limitations provided for
above shall lapse, without any need for a new decision by an Extraordinary Shareholders’ Meeting, when a natural or legal person, acting alone or in concert with one or several natural or legal persons, comes to hold at least two-thirds of the total number of Company shares following a public offer for all of the Company’s shares. In such a case, the Board of Directors would take note of the said lapse and carry out the related
formalities concerning modification of the charter and bylaws. 
  

	
	 TITLE V

Company Financial Statements

 ARTICLE 19 – FINANCIAL YEAR – FINANCIAL STATEMENTS 

The financial year begins on January 1 and ends on December 31. 

At the end of each financial year, the Board of Directors draws up an inventory, an income statement and a balance sheet, as well as the notes
supplementing them, and establishes a management report. It also establishes the Group’s consolidated financial statements. 

ARTICLE 20 – ALLOCATION OF RESULTS 

The net income for the financial year, after deduction of the overhead and other social charges, as well as of any amortization of the
business assets and of any provisions for commercial and industrial contingencies, constitutes the net profit. 
 From the said profit,
reduced by the prior losses, if any, the following items are deducted in the indicated order: 
  

  
 11 

	 	1°/	 5% to constitute the legal reserve fund until the said fund reaches
one-tenth of the share capital; 

  

	 	2°/	 The amount set by the shareholders at a Shareholders’ Meeting with a view to constitution of reserves of
which it determines the allocation or the use; 

  

	 	3°/	 The amounts that the shareholders decide at a Shareholders’ Meeting to carry forward.

 The remainder is paid to the shareholders as dividends. 

The Board of Directors may pay out interim dividends. 

The Shareholders’ Meeting held to approve the financial statements for the financial year may decide to grant an option to each
shareholder, with respect to all or part of the dividend or of the interim dividends, between payment of the dividend in cash and payment in shares. 

The Shareholders’ Meeting may decide at any time, but only on the basis of a proposal by the Board of Directors, to effect a complete or
partial distribution of the amounts appearing in the reserve accounts, either in cash or in Company shares. 
  

	
	 TITLE VI

Dissolution – Disputes

 ARTICLE 21 – DISSOLUTION – LIQUIDATION 

At the time of the Company’s expiration or early dissolution, the shareholders acting at a Shareholders’ Meeting determine the
liquidation procedure and appoint one or several liquidators whose powers and compensation it determines. 
 ARTICLE 22 – DISPUTES

 Any disputes that may arise during the Company’s existence or at the time of its liquidation, either between the
shareholders and the Company or among the shareholders themselves, on the subject of business matters, shall be subject to the jurisdiction of the competent courts of the registered office. 

  
 12

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