Document:

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                                                        Exhibit (10)(ii)(A)(xiv)

                                   APPENDIX A

                                APPROVAL OF 1997
                         AMERICAN GREETINGS CORPORATION
                   1997 Equity and Performance Incentive Plan

1.   PURPOSE. The purpose of the 1997 Equity and Performance Incentive Plan (the
     "Plan") is to attract and retain directors, officers and other key
     employees for American Greetings Corporation (the "Company") and its
     Subsidiaries and to provide to such persons incentives and rewards for
     superior performance.

2.   DEFINITIONS. As used in this Plan,

     "Appreciation Right" means a right granted pursuant to Section 5 of this
     Plan, and shall include both Tandem Appreciation Rights and Free-Standing
     Appreciation Rights.

     "Board" means the Board of Directors of the Company and, to the extent of
     any delegation by the Board to a committee (or subcommittee thereof)
     pursuant to Section 16 of this Plan, such committee (or subcommittee).

     "Change in Control" shall have the meaning provided in Section 12 of this
     Plan.

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

     "Class A Common Shares" means Class A Common Shares, par value $1 per
     share, of the Company or any security into which such Common Shares may be
     changed by reason of any transaction or event of the type referred to in
     Section 11 of this Plan.

     "Class B Common Shares" means Class B Common Shares, par value $1 per
     share, of the Company or any security into which such Common Shares may be
     changed by reason of any transaction or event of the type referred to in
     Section 11 of this Plan.

     "Common Shares" means Class A Common Shares, Class B Common Shares or both.

     "Covered Employee" means a Participant who is, or is determined by the
     Board to be likely to become, a "covered employee" within the meaning of
     Section 162(m) of the Code (or any successor provision).

     "Date of Grant" means the date specified by the Board on which a grant of
     Option Rights, Appreciation Rights, Performance Shares or Performance Units
     or a grant or sale of Restricted Shares or Deferred Shares shall become
     effective (which date shall not be earlier than the date on which the Board
     takes action with respect thereto).

     "Deferral Period" means the period of time during which Deferred Shares are
     subject to deferral limitations under Section 7 of this Plan.

     "Deferred Shares" means an award made pursuant to Section 7 of this Plan of
     the right to receive Common Shares at the end of a specified Deferral
     Period.

     "Exchange Act" means the Securities Exchange Act of 1934, as amended, and
     the rules and regulations thereunder, as such law, rules and regulations
     may be amended from time to time.

     "Exercise Right" means the price payable upon exercise of a Free-Standing
     Appreciation Right.

     "Free-Standing Appreciation Right" means an Appreciation Right not granted
     in tandem with an Option Right.

     "Incentive Stock Options" means Option Rights that are intended to qualify
     as "incentive stock options" under Section 422 of the Code or any successor
     provision.

     "Management Objectives" means the measurable performance objective or
     objectives established pursuant to this Plan for Participants who have
     received grants of Performance Shares or Performance Units or, when so
     determined by the Board, Option Rights, Appreciation Rights, Restricted
     Shares and dividend credits pursuant to this Plan. Management Objectives
     may be described in terms of Company-wide objectives or objectives that are
     related to the performance of the individual Participant or of the
     Subsidiary, division, department, region or function within the Company or
     Subsidiary in which the Participant is employed. The Management Objectives
     may be made relative to the performance of other corporations. The
     Management Objectives applicable to any award to a Covered Employee shall
     be based on specified levels of or growth in one or more of the following
     criteria:

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              1.  cash flow/net assets ratio;
              2.  debt/capital ratio;
              3.  return on total capital;
              4.  return on equity;
              5.  earnings per share growth;
              6.  revenue growth; and
              7.  total return to shareholders.

     Except where a modification would result in an award no longer qualifying
     as performance based compensation within the meaning of Section 162(m) of
     the Code, the Board may in its discretion modify such Management Objectives
     or the related minimum acceptable level of achievement, in whole or in
     part, as the Board deems appropriate and equitable.

     "Market Value per Share" means, as of any particular date, the fair market
     value of the Class A Common Shares as listed on NASDAQ as of the close of
     business on such date or the latest such date in which there is a listing.

     "Non-Employee Director" means a Director of the Company who is not an
     employee of the Company or any Subsidiary.

     "Optionee" means the optionee named in an agreement evidencing an
     outstanding Option Right.

     "Option Price" means the purchase price payable on exercise of an Option
     Right.

     "Option Right" means the right to purchase Common Shares upon exercise of
     an option granted pursuant to Section 4 or Section 9 of this Plan.

     "Participant" means a person who is selected by the Board to receive
     benefits under this Plan and who is at the time an officer, or other key
     employee of the Company or any one or more of its Subsidiaries, or who has
     agreed to commence serving in any of such capacities within 90 days of the
     Date of Grant, and shall also include each Non-Employee Director who
     receives an award of Option Rights or Restricted Shares.

     "Performance Period" means, in respect of a Performance Share or
     Performance Unit, a period of time established pursuant to Section 8 of
     this Plan within which the Management Objectives relating to such
     Performance Share or Performance Unit are to be achieved.

     "Performance Share" means a bookkeeping entry that records the equivalent
     of one Common Share awarded pursuant to Section 8 of this Plan.

     "Performance Unit" means a bookkeeping entry that records a unit equivalent
     to $1.00 awarded pursuant to Section 8 of this Plan.

     "Reload Option Rights" means additional Option Rights granted automatically
     to an Optionee upon the exercise of Option Rights pursuant to Section 4(g)
     of this Plan.

     "Restricted Shares" means Common Shares granted or sold pursuant to
     Section 6 or Section 9 of this Plan as to which neither the substantial
     risk of forfeiture nor the prohibition on transfers referred to in such
     Section 6 has expired.

     "Rule l6b-3" means Rule 16b-3 of the Securities and Exchange Commission (or
     any successor rule to the same effect) as in effect from time to time.

     "Spread" means the excess of the Market Value per Share on the date when an
     Appreciation Right is exercised, or on the date when Option Rights are
     surrendered in payment of the Option Price of other Option Rights, over the
     Option Price or Exercise Price provided for in the related Option Right or
     Free-Standing Appreciation Right, respectively.

     "Subsidiary" means a corporation, company or other entity (i) more than 50%
     of whose outstanding shares or securities (representing the right to vote
     for the election of directors or other managing authority) are, or (ii)
     which does not have outstanding shares or securities (as may be the case in
     a partnership, joint venture or unincorporated association), but more than
     50% of whose ownership interest representing the right generally to make
     decisions for such other entity is, now or hereafter, owned or controlled,
     directly or indirectly, by the Company except that for purposes of
     determining whether any person may be a Participant for purposes of any
     grant of Incentive Stock Options, "Subsidiary" means any corporation in
     which at the time the Company owns or controls, directly or indirectly,
     more than 50% of the total combined voting power represented by all classes
     of stock issued by such corporation.

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     "Tandem Appreciation Right" means an Appreciation Right granted in tandem
     with an Option Right.

     "Voting Power" means at any time, the total votes relating to the
     then-outstanding securities entitled to vote generally in the election of
     directors of the Company.

3.   SHARES AVAILABLE UNDER THE PLAN.

     (a) Subject to adjustment as provided in paragraph (b) below and Section 11
         of this Plan, the number of Class A Common Shares and Class B Common
         Shares that may be issued or transferred (i) upon the exercise of
         Option Rights or Appreciation Rights; (ii) as Restricted Shares and
         released from substantial risk of forfeiture thereof; (iii) as Deferred
         Shares; (iv) in payment of Performance Shares or Performance Units that
         have been earned; (v) as awards to Non-Employee Directors; or (vi) in
         payment of dividend equivalents paid with respect to awards made under
         the Plan, shall not exceed in the aggregate 4,500,000 Class A Common
         Shares and 500,000 Class B Common Shares, respectively, plus any shares
         described in paragraph (b) below. Such shares may be shares of original
         issuance or treasury shares or a combination of the foregoing.

     (b) The number of shares available in paragraph (a) above shall be adjusted
         to account for shares relating to awards that expire; are forfeited; or
         are transferred, surrendered, or relinquished upon the payment of any
         Option Price by the transfer to the Company of Common Shares or upon
         satisfaction of any withholding amount.

     (c) Notwithstanding anything in this Section 3 or elsewhere in this Plan to
         the contrary, the aggregate number of Common Shares actually issued or
         transferred by the Company upon the exercise of Incentive Stock Options
         shall not exceed 4,500,000 Class A Common Shares or 500,000 Class B
         Common Shares, respectively, subject to adjustments as provided in
         Section 11 of this Plan. Further, no Participant shall be granted
         Option Rights for more than 500,000 Common Shares during any period of
         five years, subject to adjustments as provided in Section 11 of this
         Plan.

     (d) Upon payment in cash of the benefit provided by any award granted under
         this Plan, any shares that were covered by that award shall again be
         available for issue or transfer hereunder.

     (e) Notwithstanding any other provision of this Plan to the contrary, in no
         event shall any Participant in any period of five years receive more
         than 500,000 Appreciation Rights, subject to adjustments as provided in
         Section 11 of this Plan.

     (f) Notwithstanding any other provision of this Plan to the contrary, the
         number of shares issued as Restricted Shares shall not in the aggregate
         exceed 450,000 Class A Common Shares and 50,000 Class B Common Shares,
         respectively, subject to adjustments as provided in Section 11 of this
         Plan; and, in no event shall any Participant in any period of five
         years receive more than 500,000 Restricted Shares or 500,000 Deferred
         Shares, subject to adjustments as provided in Section 11 of this Plan.

     (g) Notwithstanding any other provision of this Plan to the contrary, in no
         event shall any Participant in any calendar year receive an award of
         Performance Shares or Performance Units having an aggregate maximum
         value as of their respective Dates of Grant in excess of $3,000,000.

4.   OPTION RIGHTS. The Board may, from time to time and upon such terms and
     conditions as it may determine, authorize the granting to Participants of
     options to purchase Common Shares. Each such grant may utilize any or all
     of the authorizations, and shall be subject to all of the requirements,
     contained in the following provisions:

     (a) Each grant shall specify the number of Class A Common Shares or Class B
         Common Shares to which it pertains subject to the limitations set forth
         in Section 3 of this Plan.

     (b) Each grant shall specify an Option Price per share, which may not be
         less than the Market Value per Share on the Date of Grant.

     (c) Each grant shall specify whether the Option Price shall be payable (i)
         in cash or by check acceptable to the Company; (ii) by the actual or
         constructive transfer to the Company of nonforfeitable, unrestricted
         Common Shares owned by the Optionee (or other consideration authorized
         pursuant to subparagraph (d) below) having a value at the time of
         exercise equal to the total Option Price; or (iii) by a combination of
         such methods of payment.

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     (d) The Board may determine, at or after the Date of Grant, that payment of
         the Option Price of any option (other than an Incentive Stock Option)
         may also be made in whole or in part in the form of Restricted Shares
         or other Common Shares that are forfeitable or subject to restrictions
         on transfer, Deferred Shares, Performance Shares (based, in each case,
         on the Market Value per Share on the date of exercise), other Option
         Rights (based on the Spread on the date of exercise) or Performance
         Units. Unless otherwise determined by the Board at or after the Date of
         Grant, whenever any Option Price is paid in whole or in part by means
         of any of the forms of consideration specified in this paragraph, the
         Common Shares received upon the exercise of the Option Rights shall be
         subject to such risk of forfeiture or restrictions on transfer as may
         correspond to any that apply to the consideration surrendered, but only
         to the extent of (i) the number of shares or Performance Shares;
         (ii) the Spread of any unexercisable portion of Option Rights; or
         (iii) the stated value of Performance Units surrendered.

     (e) Any grant may provide for deferred payment of the Option Price from the
         proceeds of sale through a bank or broker on a date satisfactory to the
         Company of some or all of the shares to which such exercise relates.

     (f) Any grant may provide for payment of the Option Price, at the election
         of the Optionee, in installments, with or without interest, upon terms
         determined by the Board.

     (g) Any grant may, at or after the Date of Grant, provide for the automatic
         grant of Reload Option Rights to an Optionee upon the exercise of
         Option Rights (including Reload Option Rights) using Common Shares or
         other consideration specified in paragraph (d) above. Reload Option
         Rights shall cover up to the number of Common Shares, Deferred Shares,
         Option Rights or Performance Shares (or the number of Common Shares
         having a value equal to the value of any Performance Units) surrendered
         to the Company upon any such exercise in payment of the Option Price or
         to meet any withholding obligations. Reload Options may have an Option
         Price that is no less than the applicable Market Value per Share at the
         time of exercise and shall be on such other terms as may be specified
         by the Directors, which may be the same as or different from those of
         the original Option Rights.

     (h) Successive grants may be made to the same Participant whether or not
         any Option Rights previously granted to such Participant remain
         unexercised.

     (i) Each grant shall specify the period or periods of continuous service by
         the Optionee with the Company or any Subsidiary following the grant
         which is necessary before the Option Rights or installments thereof
         will become exercisable and may provide for the earlier exercise of
         such Option Rights in the event of a Change in Control or other similar
         transaction or event.

     (j) Any grant of Option Rights may specify Management Objectives that must
         be achieved as a condition to the exercise of such rights.

     (k) Option Rights granted under this Plan may be (i) options, including,
         without limitation, Incentive Stock Options, that are intended to
         qualify under particular provisions of the Code; (ii) options that are
         not intended to so qualify; or (iii) combinations of the foregoing.

     (l) The Board may, at or after the Date of Grant of any Option Rights
         (other than Incentive Stock Options), provide for the payment of
         dividend equivalents to the Optionee on either a current or deferred or
         contingent basis or may provide that such equivalents shall be credited
         against the Option Price.

     (m) The exercise of an Option Right shall result in the cancellation on a
         share-for-share basis of any Tandem Appreciation Right authorized under
         Section 5 of this Plan.

     (n) No Option Right shall be exercisable more than ten years from the Date
         of Grant.

     (o) Each grant of Option Rights shall be evidenced by an agreement executed
         on behalf of the Company by an officer and delivered to the Optionee
         and containing such terms and provisions, consistent with this Plan, as
         the Board may approve.

5.   APPRECIATION RIGHTS.

     (a) The Board may also authorize the granting to any Optionee of Tandem
         Appreciation Rights in respect of Option Rights granted hereunder at
         any time prior to the exercise or termination of such related Option
         Rights; provided, however, that a Tandem Appreciation Right awarded in
         relation to an Incentive Stock Option must be granted concurrently with
         such Incentive Stock Option. A Tandem Appreciation Right shall be a
         right of the Optionee, exercisable by surrender of the related Option
         Right, to receive from the Company an amount determined by the Board,
         which shall be expressed as a percentage of the Spread (not exceeding
         100%) at the time of exercise.

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     (b) The Board may also authorize the granting to any Participant of
         Free-Standing Appreciation Rights. A Free-Standing Appreciation Right
         shall be a right of the Participant to receive from the Company an
         amount determined by the Board, which shall be expressed as a
         percentage of the Spread (not exceeding 100%) at the time of exercise.

     (c) Each grant of Appreciation Rights may utilize any or all of the
         authorizations, and shall be subject to all of the requirements,
         contained in the following provisions:

         (i)   Any grant may specify that the amount payable on exercise of an
               Appreciation Right may be paid by the Company in cash, in Common
               Shares or in any combination thereof and may either grant to the
               Participant or retain in the Board the right to elect among those
               alternatives.

         (ii)  Any grant may specify that the amount payable on exercise of an
               Appreciation Right may not exceed a maximum specified by the
               Board at the Date of Grant.

         (iii) Any grant may specify waiting periods before exercise and
               permissible exercise dates or periods and shall provide that no
               Appreciation Right may be exercised except at a time when the
               related Option Right (if applicable) is also exercisable and at a
               time when the Spread is positive.

         (iv)  Any grant may specify that such Appreciation Right may be
               exercised only in the event of a Change in Control or other
               similar transaction or event.

         (v)   Each grant of Appreciation Rights shall be evidenced by an
               agreement executed on behalf of the Company by an officer and
               delivered to and accepted by the Participant, which agreement
               shall describe such Appreciation Rights, identify the related
               Option Rights (if applicable), state that such Appreciation
               Rights are subject to all the terms and conditions of this Plan,
               and contain such other terms and provisions, consistent with this
               Plan, as the Board may approve.

         (vi)  Any grant of Appreciation Rights may specify Management
               Objectives that must be achieved as a condition of the exercise
               of such rights.

6.   RESTRICTED SHARES. The Board may also authorize the grant or sale of
     Restricted Shares to Participants. Each such grant or sale may utilize any
     or all of the authorizations, and shall be subject to all of the
     requirements, contained in the following provisions:

     (a) Each such grant or sale shall constitute an immediate transfer of the
         ownership of Common Shares to the Participant in consideration of the
         performance of services, entitling such Participant to voting, dividend
         and other ownership rights, but subject to the substantial risk of
         forfeiture and restrictions on transfer hereinafter referred to.

     (b) Each such grant or sale may be made without additional consideration or
         in consideration of a payment by such Participant that is less than
         Market Value per Share at the Date of Grant.

     (c) Each such grant or sale shall provide that the Restricted Shares
         covered by such grant or sale shall be subject to a "substantial risk
         of forfeiture" within the meaning of Section 83 of the Code except (if
         the Board shall so determine) in the event of a Change in Control or
         other similar transaction or event, for a period of not less than three
         years to be determined by the Board at the Date of Grant.

     (d) Each such grant or sale shall provide that during the period for which
         such substantial risk of forfeiture is to continue, the transferability
         of the Restricted Shares shall be prohibited or restricted in the
         manner and to the extent prescribed by the Board at the Date of Grant
         (which restrictions may include, without limitation, rights of
         repurchase or first refusal in the Company or provisions subjecting the
         Restricted Shares to a continuing substantial risk of forfeiture in the
         hands of any transferee).

     (e) Any grant of Restricted Shares may specify Management Objectives which,
         if achieved, will result in termination or early termination of the
         restrictions applicable to such shares, and each grant may specify in
         respect of such specified Management Objectives, a minimum acceptable
         level of achievement and shall set forth a formula for determining the
         number of Restricted Shares on which restrictions will terminate if
         performance is at or above the minimum level, but falls short of full
         achievement of the specified Management Objectives.

     (f) Any such grant or sale of Restricted Shares may require that any or all
         dividends or other distributions paid thereon during the period of such
         restrictions be automatically deferred and reinvested in additional
         Restricted Shares, which may be subject to the same restrictions as the
         underlying award.

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     (g) Each grant or sale of Restricted Shares shall be evidenced by an
         agreement executed on behalf of the Company by any officer and
         delivered to and accepted by the Participant and shall contain such
         terms and provisions, consistent with this Plan, as the Board may
         approve. Unless otherwise directed by the Board, all certificates
         representing Restricted Shares shall be held in custody by the Company
         until all restrictions thereon shall have lapsed, together with a stock
         power or powers executed by the Participant in whose name such
         certificates are registered, endorsed in blank and covering such
         shares.

7.   DEFERRED SHARES. The Board may also authorize the granting or sale of
     Deferred Shares to Participants. Each such grant or sale may utilize any or
     all of the authorizations, and shall be subject to all of the requirements,
     contained in the following provisions:

     (a) Each such grant or sale shall constitute the agreement by the Company
         to deliver Common Shares to the Participant in the future in
         consideration of the performance of services, but subject to the
         fulfillment of such conditions during the Deferral Period as the Board
         may specify.

     (b) Each such grant or sale may be made without additional consideration or
         in consideration of a payment by such Participant that is less than the
         Market Value per Share at the Date of Grant.

     (c) Each such grant or sale shall be subject to a Deferral Period of not
         less than one year, as determined by the Board at the Date of Grant
         except (if the Board shall so determine) in the event of a Change in
         Control or other similar transaction or event.

     (d) During the Deferral Period, the Participant shall have no right to
         transfer any rights under his or her award and shall have no rights of
         ownership in the Deferred Shares and shall have no right to vote them,
         but the Board may, at or after the Date of Grant, authorize the payment
         of dividend equivalents on such shares on either a current or deferred
         or contingent basis, either in cash or in additional Common Shares.

     (e) Each grant or sale of Deferred Shares shall be evidenced by an
         agreement executed on behalf of the Company by any officer and
         delivered to and accepted by the Participant and shall contain such
         terms and provisions, consistent with this Plan, as the Board may
         approve.

8.   PERFORMANCE SHARES AND PERFORMANCE UNITS. The Board may also authorize the
     granting of Performance Shares and Performance Units that will become
     payable to a Participant upon achievement of specified Management
     Objectives. Each such grant may utilize any or all of the authorizations,
     and shall be subject to all of the requirements, contained in the following
     provisions:

     (a) Each grant shall specify the number of Performance Shares or
         Performance Units to which it pertains, which number may be subject to
         adjustment to reflect changes in compensation or other factors;
         provided, however, that no such adjustment shall be made in the case of
         a Covered Employee.

     (b) The Performance Period with respect to each Performance Share or
         Performance Unit shall be such period of time (not less than three
         years, except in the event of a Change in Control or other similar
         transaction or event, if the Board shall so determine) commencing with
         the Date of Grant (as shall be determined by the Board at the time of
         grant).

     (c) Any grant of Performance Shares or Performance Units shall specify
         Management Objectives which, if achieved, will result in payment or
         early payment of the award, and each grant may specify in respect of
         such specified Management Objectives a minimum acceptable level of
         achievement and shall set forth a formula for determining the number of
         Performance Shares or Performance Units that will be earned if
         performance is at or above the minimum level, but falls short of full
         achievement of the specified Management Objectives. The grant of
         Performance Shares or Performance Units shall specify that, before the
         Performance Shares or Performance Units shall be earned and paid, the
         Board must certify that the Management Objectives have been satisfied.

     (d) Each grant shall specify a minimum acceptable level of achievement in
         respect of the specified Management Objectives below which no payment
         will be made and shall set forth a formula for determining the amount
         of payment to be made if performance is at or above such minimum but
         short of full achievement of the Management Objectives.

     (e) Each grant shall specify the time and manner of payment of Performance
         Shares or Performance Units which have been earned. Any grant may
         specify that the amount payable with respect thereto may be paid by the
         Company in cash, in Common Shares or in any combination thereof and may
         either grant to the Participant or retain in the Board the right to
         elect among those alternatives.

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     (f) Any grant of Performance Shares may specify that the amount payable
         with respect thereto may not exceed a maximum specified by the Board at
         the Date of Grant. Any grant of Performance Units may specify that the
         amount payable or the number of Common Shares issued with respect
         thereto may not exceed maximums specified by the Board at the Date of
         Grant.

     (g) The Board may, at or after the Date of Grant of Performance Shares,
         provide for the payment of dividend equivalents to the holder thereof
         on either a current or deferred or contingent basis, either in cash or
         in additional Common Shares.

     (h) Each grant of Performance Shares or Performance Units shall be
         evidenced by an agreement executed on behalf of the Company by any
         officer and delivered to and accepted by the Participant, which
         agreement shall state that such Performance Shares or Performance Units
         are subject to all the terms and conditions of this Plan, and contain
         such other terms and provisions, consistent with this Plan, as the
         Board may approve.

9.   AWARDS TO NON-EMPLOYEE DIRECTORS. The Board may, from time to time and upon
     such terms and conditions as it may determine, authorize the granting to
     Non-Employee Directors of Option Rights and may also authorize the grant or
     sale of Restricted Shares to Non-Employee Directors.

     (a) Each grant of Option Rights awarded pursuant to this Section 9 shall be
         upon terms and conditions consistent with Section 4 of this Plan and
         shall be evidenced by an agreement in such form as shall be approved by
         the Board. Each grant shall specify an Option Price per share, which
         shall not be less than the Market Value per Share on the Date of Grant.
         Each such Option Right granted under the Plan shall expire not more
         than ten years from the Date of Grant and shall be subject to earlier
         termination as hereinafter provided. Unless otherwise determined by the
         Board, such Option Rights shall be subject to the following additional
         terms and conditions:

         (i)   Each grant shall specify the number of Common Shares to which it
               pertains, subject to the limitations set forth in Section 3 of
               this Plan.

         (ii)  Each such Option Right shall become exercisable to the extent of
               one-fourth of the number of shares covered thereby one year after
               the Date of Grant and to the extent of an additional one-fourth
               of such shares after each of the next three successive years
               thereafter. Such Option Rights shall become exercisable in full
               immediately in the event of a Change in Control or other similar
               transaction or event.

         (iii) In the event of the termination of service on the Board by the
               holder of any such Option Rights, other than by reason of
               disability or death, the then-outstanding Option Rights of such
               holder may be exercised to the extent that they would be
               exercisable on the date that is six months and one day after the
               date of such termination and shall expire six months and one day
               after such termination, or on their stated expiration date,
               whichever occurs first.

         (iv)  In the event of the death or disability of the holder of any such
               Option Rights, each of the then-outstanding Option Rights of such
               holder may be exercised at any time within one year after such
               death or disability, but in no event after the expiration date of
               the term of such Option Rights.

         (v)   If a Non-Employee Director subsequently becomes an employee of
               the Company or a Subsidiary while remaining a member of the
               Board, any Option Rights held under the Plan by such individual
               at the time of such commencement of employment shall not be
               affected thereby.

         (vi)  Option Rights may be exercised by a Non-Employee Director only
               upon payment to the Company in full of the Option Price of the
               Common Shares to be delivered. Such payment shall be made in cash
               or in Common Shares then-owned by the Optionee for at least six
               months, or in a combination of cash and such Common Shares.

         (vii) Common Shares acquired upon the exercise of these Option Rights
               may not be transferred for one year except in the case of the
               director's death, disability or other termination of service as a
               director.

     (b) Each grant or sale of Restricted Shares pursuant to this Section 9
         shall be upon terms and conditions consistent with Section 6 of this
         Plan.

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10.  TRANSFERABILITY.

     (a) Except as otherwise determined by the Board on a case-by-case basis, no
         Option Right, Appreciation Right or other derivative security granted
         under the Plan shall be transferable by an Optionee other than by will
         or the laws of descent and distribution. Except as otherwise determined
         by the Board on a case-by-case basis, Option Rights and Appreciation
         Rights shall be exercisable during the Optionee's lifetime only by him
         or her or by his or her guardian or legal representative.

     (b) The Board may specify at the Date of Grant that part or all of the
         Common Shares that are (i) to be issued or transferred by the Company
         upon the exercise of Option Rights or Appreciation Rights, upon the
         termination of the Deferral Period applicable to Deferred Shares or
         upon payment under any grant of Performance Shares or Performance Units
         or (ii) no longer subject to the substantial risk of forfeiture and
         restrictions on transfer referred to in Section 6 of this Plan, shall
         be subject to further restrictions on transfer.

11.  ADJUSTMENTS. The Board may make or provide for such adjustments in the
     numbers of Common Shares covered by outstanding Option Rights, Appreciation
     Rights, Deferred Shares, and Performance Shares granted hereunder, in the
     prices per share applicable to such Option Rights and Appreciation Rights
     and in the kind of shares covered thereby, as the Board, in its sole
     discretion, exercised in good faith, may determine is equitably required to
     prevent dilution or enlargement of the rights of Participants or Optionees
     that otherwise would result from (a) any stock dividend, stock split,
     combination of shares, recapitalization or other change in the capital
     structure of the Company; or (b) any merger, consolidation, spin-off,
     split-off, spin-out, split-up, reorganization, partial or complete
     liquidation or other distribution of assets, issuance of rights or warrants
     to purchase securities; or (c) any other corporate transaction or event
     having an effect similar to any of the foregoing. Moreover, in the event of
     any such transaction or event, the Board, in its discretion, may provide in
     substitution for any or all outstanding awards under this Plan such
     alternative consideration as it, in good faith, may determine to be
     equitable in the circumstances and may require in connection therewith the
     surrender of all awards so replaced. The Board may also make or provide for
     such adjustments in the numbers of shares specified in Section 3 of this
     Plan as the Board, in its sole discretion, exercised in good faith, may
     determine is appropriate to reflect any transaction or event described in
     this Section 11.

12.  CHANGE IN CONTROL. For purposes of this Plan, a "Change in Control" shall
     mean if at any time any of the following events shall have occurred:

     (a) The Company is merged or consolidated or reorganized into or with
         another corporation or other legal person, and as a result of such
         merger, consolidation or reorganization less than a majority of the
         combined voting power of the then-outstanding securities of such
         corporation or person immediately after such transaction is held in the
         aggregate by the holders of Common Shares immediately prior to such
         transaction;

     (b) The Company sells or otherwise transfers all or substantially all of
         its assets to any other corporation or other legal person, and less
         than a majority of the combined voting power of the then-outstanding
         securities of such corporation or person immediately after such sale or
         transfer is held in the aggregate by the holders of Common Shares
         immediately prior to such sale or transfer;

     (c) There is a report filed on Schedule 13D or Schedule 14D-1 (or any
         successor schedule, form or report), each as promulgated pursuant to
         the Exchange Act, disclosing that any person (as the term "person" is
         used in Section 13(d)(3) or Section 14(d)(2) of the Exchange Act) has
         become the beneficial owner (as the term "beneficial owner" is defined
         under Rule 13d-3 or any successor rule or regulation promulgated under
         the Exchange Act) of securities representing 20% or more of the Voting
         Power;

     (d) The Company files a report or proxy statement with the Securities and
         Exchange Commission pursuant to the Exchange Act disclosing in response
         to Form 8-K or Schedule 14A (or any successor schedule, form or report
         or item therein) that a change in control of the Company has or may
         have occurred or will or may occur in the future pursuant to any
         then-existing contract or transaction; or

     (e) If during any period of two consecutive years, individuals who at the
         beginning of any such period constitute the directors of the Company
         cease for any reason to constitute at least a majority thereof, unless
         the election, or the nomination for election by the Company's
         shareholders, of each director of the Company first elected during such
         period was approved by a vote of at least two-thirds of the directors
         of the Company then still in office who were directors of the Company
         at the beginning of any such period.

<PAGE>

     Notwithstanding the foregoing provisions of Section 12(c) and (d) above, a
     "Change in Control" shall not be deemed to have occurred for purposes of
     this Plan (i) solely because (A) the Company; (B) a Subsidiary; (C) any
     Company-sponsored employee stock ownership plan or other employee benefit
     plan of the Company; or (D) any family member of Jacob Sapirstein
     (including lineal descendants, spouses of such descendants, the lineal
     descendants of any such spouses, the spouses of any such spouses' lineal
     descendants and trusts [including voting trusts]) either files or becomes
     obligated to file a report or proxy statement under or in response to
     Schedule 13D, Schedule 14D-1, Form 8-K or Schedule 14A (or any successor
     schedule, form or report or item therein) under the Exchange Act,
     disclosing beneficial ownership by it of shares, whether in excess of 20%
     of the Voting Power or otherwise, or because the Company reports that a
     Change in Control of the Company has or may have occurred or will or may
     occur in the future by reason of such beneficial ownership or (ii) solely
     because of a Change in Control of any Subsidiary.

13.  FRACTIONAL SHARES. The Company shall not be required to issue any
     fractional Common Shares pursuant to this Plan. The Board may provide for
     the elimination of fractions or for the settlement of fractions in cash.

14.  WITHHOLDING TAXES. To the extent that the Company is required to withhold
     federal, state, local or foreign taxes in connection with any payment made
     or benefit realized by a Participant or other person under this Plan, and
     the amounts available to the Company for such withholding are insufficient,
     it shall be a condition to the receipt of such payment or the realization
     of such benefit that the Participant or such other person make arrangements
     satisfactory to the Company for payment of the balance of such taxes
     required to be withheld, which arrangements (in the discretion of the
     Board) may include relinquishment of a portion of such benefit. The Company
     and a Participant or such other person may also make similar arrangements
     with respect to the payment of any taxes with respect to which withholding
     is not required.

15.  FOREIGN EMPLOYEES. In order to facilitate the making of any grant or
     combination of grants under this Plan, the Board may provide for such
     special terms for awards to Participants who are foreign nationals or who
     are employed by the Company or any Subsidiary outside of the United States
     of America as the Board may consider necessary or appropriate to
     accommodate differences in local law, tax policy or custom. Moreover, the
     Board may approve such supplements to or amendments, restatements or
     alternative versions of this Plan as it may consider necessary or
     appropriate for such purposes, without thereby affecting the terms of this
     Plan as in effect for any other purpose, and the Secretary or other
     appropriate officer of the Company may certify any such document as having
     been approved and adopted in the same manner as this Plan. No such special
     terms, supplements, amendments or restatements, however, shall include any
     provisions that are inconsistent with the terms of this Plan as then in
     effect unless this Plan could have been amended to eliminate such
     inconsistency without further approval by the shareholders of the Company.

16.  ADMINISTRATION OF THE PLAN.

     (a) This Plan shall be administered by the Board, which may from time to
         time delegate all or any part of its authority under this Plan to a
         committee of the Board (or subcommittee thereof) consisting of not less
         than three Non-Employee Directors appointed by the Board. A majority of
         the committee (or subcommittee) shall constitute a quorum, and the
         action of the members of the committee (or subcommittee) present at any
         meeting at which a quorum is present, or acts unanimously approved in
         writing, shall be the acts of the committee (or subcommittee). To the
         extent of any such delegation, references in this Plan to the Board
         shall be deemed to be references to any such committee or subcommittee.

     (b) The interpretation and construction by the Board of any provision of
         this Plan or of any agreement, notification or document evidencing the
         grant of Option Rights, Appreciation Rights, Restricted Shares,
         Deferred Shares, Performance Shares or Performance Units and any
         determination by the Board pursuant to any provision of this Plan or of
         any such agreement, notification or document shall be final and
         conclusive. No member of the Board shall be liable for any such action
         or determination made in good faith.

17.  AMENDMENTS, ETC.

     (a) The Board may at any time and from time to time amend this Plan in
         whole or in part; provided, however, that any amendment which must be
         approved by the shareholders of the Company in order to comply with
         applicable law or the rules of the NASD or, if the Common Shares are
         not traded on NASDAQ, the principal national securities exchange upon
         which the Common Shares are traded or quoted, shall not be effective
         unless and until such approval has been obtained. Presentation of this
         Plan or any amendment hereof for shareholder approval shall not be
         construed to limit the Company's authority to offer similar or
         dissimilar benefits under other plans without shareholder approval.

<PAGE>

     (b) The Board shall not, without the further approval of the shareholders
         of the Company, authorize the amendment of any outstanding Option Right
         to reduce the Option Price. Furthermore, no Option Right shall be
         cancelled and replaced with awards having a lower Option Price without
         further approval of the shareholders of the Company. This section 17(b)
         is intended to prohibit the repricing of "underwater" Option Rights and
         shall not be construed to prohibit the adjustments provided for in
         Section 11 of this Plan.

     (c) The Board also may permit Participants to elect to defer the issuance
         of Common Shares or the settlement of awards in cash under the Plan
         pursuant to such rules, procedures or programs as it may establish for
         purposes of this Plan. The Board also may provide that deferred
         issuances and settlements include the payment or crediting of dividend
         equivalents or interest on the deferral amounts.

     (d) The Board may condition the grant of any award or combination of awards
         authorized under this Plan on the surrender or deferral by the
         Participant of his or her right to receive a cash bonus or other
         compensation otherwise payable by the Company or a Subsidiary to the
         Participant.

     (e) In case of termination of employment by reason of death, disability or
         normal or early retirement, or in the case of hardship or other special
         circumstances, of a Participant who holds an Option Right or
         Appreciation Right not immediately exercisable in full, or any
         Restricted Shares as to which the substantial risk of forfeiture or the
         prohibition or restriction on transfer has not lapsed, or any Deferred
         Shares as to which the Deferral Period has not been completed, or any
         Performance Shares or Performance Units which have not been fully
         earned, or of a Participant who holds Common Shares subject to any
         transfer restriction imposed pursuant to Section 10(b) of this Plan,
         the Board may, in its sole discretion, accelerate the time at which
         such Option Right or Appreciation Right may be exercised or the time at
         which such substantial risk of forfeiture or prohibition or restriction
         on transfer will lapse or the time when such Deferral Period will end
         or the time at which such Performance Shares or Performance Units will
         be deemed to have been fully earned or the time when such transfer
         restriction will terminate or may waive any other limitation or
         requirement under any such award.

     (f) This Plan shall not confer upon any Participant any right with respect
         to continuance of employment or other service with the Company or any
         Subsidiary, nor shall it interfere in any way with any right the
         Company or any Subsidiary would otherwise have to terminate such
         Participant's employment or other service at any time.

     (g) To the extent that any provision of this Plan would prevent any Option
         Right that was intended to qualify as an Incentive Stock Option from
         qualifying as such, that provision shall be null and void with respect
         to such Option Right. Such provision, however, shall remain in effect
         for other Option Rights and there shall be no further effect on any
         provision of this Plan.

18.  TERMINATION. No grant shall be made under this Plan more than ten years
     after the date on which this Plan is first approved by the shareholders of
     the Company, but all grants made on or prior to such date shall continue in
     effect thereafter subject to the terms thereof and of this Plan.<PAGE>
                                                               Exhibit (10)(xvi)

                                    AGREEMENT

         This Agreement ("Agreement") is made this 26th day of March 2002,
between William S. Meyer ("Meyer") and American Greetings Corporation ("AG" or
"Company").

         In consideration of the mutual promises contained herein, the parties
agree as follows:

         1. TERM. This Agreement will be in effect from March 26, 2002, until
March 31, 2006.

         2. POSITION. Meyer is employed by AG as the Company's Senior Vice
President and Chief Financial Officer. Meyer will perform any and all duties
commensurate with that position, including without limitation, assisting in the
hiring of a new Chief Financial Officer and orderly transition following that
hiring.

         3. END OF ACTIVE EMPLOYMENT. It is understood that Meyer's employment
with AG, whether pursuant to this Agreement or otherwise, is terminable at-will,
and may be terminated by either party at any time for any reason or for no
reason. If not sooner terminated, on April 1, 2003, Meyer will end his active
employment with AG ("End Date"). As of the End Date, Meyer will not be entitled
to or receive any benefits or privileges of employment or post-employment,
except for those specifically provided herein.

         4. COMPENSATION AND BENEFITS.

         a. PRE-END DATE. For the period March 26, 2002, through March 31, 2003,
         or until Meyer voluntarily resigns or is terminated for cause prior to
         March 31, 2003, the Company will pay Meyer as compensation for his
         services:

                  i. ANNUAL BASE. An annual base salary of $335,000, less
                  payroll taxes and other withholdings, which amount will be
                  reviewed and may be adjusted to an annual base salary of
                  $350,000 by Morry Weiss on September 1, 2002, based on Meyer's
                  performance;

                                       1
<PAGE>

                  ii. BONUS. Meyer will participate in the FY03 bonus plan, the
                  actual pay out amount, if any, will be based upon a Senior
                  Vice-President level in enterprise management, and the
                  individual performance component, if any, will be calculated
                  at 100% of the FY03 target bonus for Senior Vice Presidents.
                  The actual pay out to Meyer will be less payroll taxes and
                  other withholdings;

                  iii. OPTIONS. Meyer will receive as of March 1, 2002, a grant
                  of options equal to the number of stock options granted to
                  Tier 3 Senior Vice Presidents. If a grant of stock options is
                  made generally to Senior Vice Presidents between the date of
                  this Agreement and July 1, 2003, Meyer will be granted such
                  number as are granted to other Senior Vice Presidents. If the
                  number of options granted depends in whole or in part on
                  Meyer's performance, he will receive such number of options as
                  are granted to Senior Vice Presidents who are eligible for
                  100% of their target bonus (currently these would be Tier 3
                  Senior Vice Presidents); and

                  iv. OTHER BENEFITS. The other regular benefits offered to
                  Senior Vice Presidents, including but not limited to, health,
                  life and disability, profit-sharing and 40l(k) benefits,
                  401(k) maximizer and profit-sharing restoration benefits.

         If Meyer voluntarily resigns or is terminated "for cause," as defined
         herein, between March 26, 2002, and March 31, 2003, he will no longer
         receive the compensation and benefits set forth under subparagraph 4.a.
         as of the effective date of such resignation or termination.

         b. POST-END DATE. If Meyer has not voluntarily resigned or been
         terminated for cause before April 1, 2003, the Company will pay Meyer
         or ensure that he will participate in the following:

                  i. SALARY CONTINUATION. From April 1, 2003, through March 31,
                  2006, an amount equal to Meyer's annual base salary as of
                  March 31, 2003, which shall not be lower than $335,000
                  annually, for each April 1-March 31 period through March 31,
                  2006, payable twice a month in the regular payroll cycle;

                  ii. HEALTH CARE. From April 1, 2003, through Meyer's 65th
                  birthday, AG will make available to Meyer and his wife, if
                  any, those health

                                       2
<PAGE>

                  care alternatives made available by AG to active associates in
                  Meyer's then current area of residence. For this coverage,
                  Meyer will pay the full rate that would be paid by a pre-age
                  65 retiree who has Meyer's years of service as of March 31,
                  2003, and Meyer's actual age, for the health care coverage
                  chosen by Meyer. AG will pay to Meyer this same amount, less
                  the amount that an actively employed associate would pay for
                  this same coverage, grossed up by 40% to cover applicable
                  taxes. Following his 65th birthday, Meyer and his wife, if
                  any, will be eligible to participate in AG's health care plans
                  for AG retirees, if any, by paying the full amount for such
                  coverage for post age 65 retirees. These obligations by both
                  parties will be made as adjustments to the amounts paid to
                  Meyer hereunder. If these obligations cannot be satisfied by
                  such payments, Meyer shall promptly pay AG the balance due;

                  iii. OTHER PLANS. From April 1, 2003, through March 31, 2006,
                  participation in the life insurance coverages, including but
                  not limited to, the current basic and executive life
                  coverages, if and to the extent that any is available to
                  Senior Vice Presidents generally, with AG paying the full cost
                  of such coverages;

                  iv. SERP. Supplemental Executive Retirement Plan benefits
                  accorded participants who have vested and are age 55 or older
                  when they retire, payable pursuant to the terms of the plan as
                  of March 31, 2006; and

                  v. CAR. From April 1, 2003, until February 18, 2005, Meyer
                  will be entitled to use his existing company car. During this
                  time, AG will make all lease payments, insure the car and make
                  material repairs, and Meyer will pay for all gas and other
                  routine maintenance. On or before February 18, 2005, Meyer may
                  purchase the car from AG, free and clear of all liens and
                  encumbrances, upon payment of $28,574.00.

         If between April 1, 2003, and March 31, 2006, Meyer breaches the
         provisions in paragraphs 5. and/or 6. below, the payments and benefits
         set forth in paragraph 4.b.(i) and (ii) shall cease and any such future
         payments and benefits shall be forfeited.

                                       3
<PAGE>

         The compensation and benefits set forth above in subparagraphs
         4.b.i.-v. constitutes the complete list of post-End Date compensation
         and benefits due, payable and available to Meyer.

         Meyer will not be deemed to have "voluntarily resigned" should he
         consent to a written request by AG to cease performing the duties and
         obligations of his position prior to April 1, 2003.

         c. STOCK OPTIONS VESTING AND EXERCISABILITY. All options in Company
         stock granted prior to and on July 1, 2003, shall vest on April 1,
         2006, if they have not already vested by April 1, 2006. All such vested
         options shall be exercisable for ten (10) years from the date of grant,
         unless the plan under which they were granted provides for a shorter
         period of exercisability after April 1, 2006.

         d. FOR CAUSE. "For cause" as used in this Agreement is defined as
         termination as a result of Meyer's personal dishonesty, gross
         incompetence, willful misconduct, breach of fiduciary duty involving
         personal profit, material and willful violation of any law, rule,
         regulation or AG policy (other than traffic violations or similar
         offenses) or final cease-and-desist order, or material breach of this
         Agreement.

         5. CONFIDENTIAL AND TRADE SECRET INFORMATION. Meyer acknowledges that
in the course of his employment with AG, he has and will have access to
confidential information and trade secrets, oral or written ("Confidential
Information"), misuse or disclosure of which could adversely affect AG's
business. Meyer agrees that he will not, either during his employment with AG or
at any time thereafter, use for himself or others, or disclose or convey to
others (except as is necessary in the ordinary course of his employment) any of
AG's Confidential Information. This paragraph shall not prohibit disclosure of
information, which has become public, unless it became public through Meyer's
breach of this Agreement.

         6. NON-COMPETITION; NON-DISPARAGEMENT. In consideration of AG's
agreement to employ Meyer under the terms of this Agreement, Meyer agrees that
he will not for the following periods engage anywhere in the United States or
Canada, directly or indirectly, in any business activities, either as principal,
agent or consultant or through any corporation, firm or organization in which he
may be an officer, director, employee, substantial shareholder, partner, member
or be otherwise affiliated that are in competition with AG's businesses at such
time:

                                       4
<PAGE>

(i) for the period of his active employment from March 26, 2002, until March 31,
2003, and (ii) during the period he is receiving monies under paragraph 4.b.(i).
Further, Meyer agrees that at no time during or following his employment with AG
will he directly or indirectly disparage AG, its affiliates and subsidiaries or
any of AG's directors, officers, employees, agents and representatives.
Notwithstanding the provisions of subparagraph 8.d., AG may seek injunctive or
other equitable relief in any court of competent jurisdiction if Meyer breaches
the provisions of this paragraph 6.

         7. CONFLICT OF INTEREST. Meyer represents and warrants that he has no
interest or obligation that is inconsistent with or in conflict with this
Agreement or that would prevent, limit or impair his performance of any part of
this Agreement.

         8. MISCELLANEOUS.

         a. ENTIRE AGREEMENT; MODIFICATIONS. This Agreement constitutes the
         entire understanding between Meyer and AG relating to the subject
         matter contained herein and effective March 26, 2002, this Agreement
         supersedes any previous oral or written agreement(s) and
         understandings, including without limitation, the employment agreement,
         dated December 1, 1987, between AG and Meyer. This Agreement may not be
         changed, modified, or altered without the express written consent of
         Meyer and AG.

         b. NO WAIVER. Either party's failure to insist upon strict adherence to
         any term of this Agreement on any occasion shall not be considered a
         waiver or deprive the other party of his/its rights thereafter to
         insist upon strict adherence to that term or any other term of this
         Agreement.

         c. SEVERABILITY. If any part or section of this Agreement is found to
         be contrary to law or unenforceable, the remainder shall remain in
         force and effect.

         d. GOVERNING LAW; DISPUTES. This Agreement will be governed by and
         construed in accordance with the law of the State of Ohio. Any disputes
         regarding this Agreement that cannot be resolved amicably shall be
         resolved through AG's "Solutions" alternative dispute resolution
         program or its successor, if any. If such dispute cannot be resolved
         through mediation under that program, it shall be resolved by binding
         arbitration in Cleveland in accordance with the applicable rules of the
         American Arbitration Association.

                                       5
<PAGE>

         e. RETURN OF AG PROPERTY. Upon Meyer's retirement or termination,
         regardless of the reason, Meyer will promptly surrender to AG any of
         its property, except for his company car, in Meyer's possession
         including, but not limited to, all correspondence, memoranda, notes,
         records, reports, plans, computer printouts, reproductions, slides,
         electronic data, and any other papers or items, and copies thereof,
         received or made by Meyer in connection with his employment with AG.

         9. REVIEW BY ADVISORS. Meyer acknowledges that he has had ample
opportunity to consult with his legal and financial advisors, has carefully
considered this Agreement, and fully understands its provisions. He has not
relied on any other representations or statements, written or oral.

         10. SURVIVAL. The following paragraphs shall survive the expiration or
termination of this Agreement: subparagraphs 4.b.ii, 4.b.iv. and paragraphs 5,
6, and 8.

AMERICAN GREETINGS CORPORATION              WILLIAM S. MEYER

BY:  _______________________________        __________________________________

NAME:  ____________________________

TITLE:  ____________________________

                                       6

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