Document:

QuickLinks
 -- Click here to rapidly navigate through this document

Exhibit 10.10  

 
 

EDISON MISSION ENERGY
  BV SALE RETENTION PLAN—UK    
    

 
 
 

TABLE OF CONTENTS    
    

	 
	 	 
	 	Page

	ARTICLE 1	 	ESTABLISHMENT, TERM, AND PURPOSE	 	1
	 	 1.1	 	Establishment of the Plan	 	1
	 	 1.2	 	Purpose of the Plan	 	1
	ARTICLE 2	 	DEFINITIONS	 	1
	ARTICLE 3	 	PARTICIPATION	 	2
	 	 3.1	 	Participation	 	2
	 	 3.2	 	Termination of Employment	 	3
	 	 3.3	 	Re-Employment	 	3
	 	 3.4	 	Notice of Termination	 	3
	 	 4.1	 	Right to Retention Benefit	 	3
	 	 4.3	 	Timing and Manner of Payment	 	3
	ARTICLE 5	 	TAXES	 	4
	ARTICLE 6	 	PAYMENT OBLIGATIONS	 	4
	 	 6.1	 	Liability for Payment	 	4
	 	 6.2	 	Payment of Obligations Absolute	 	4
	 	 6.3	 	Unsecured General Creditor	 	4
	 	 6.4	 	Other Benefit Plans	 	4
	ARTICLE 7	 	RESOLUTION OF DISPUTES	 	5
	 	 7.1	 	Claim	 	5
	 	 7.2	 	Claim Decision	 	5
	 	 7.3	 	Request for Review	 	5
	 	 7.4	 	Review of Decision	 	5
	ARTICLE 8	 	RESOLUTION OF DISPUTES—ARBITRATION	 	5
	ARTICLE 9	 	SUCCESSORS AND ASSIGNMENT	 	6
	 	 9.1	 	Successors to the Company	 	6
	 	 9.2	 	Assignment by the Participant	 	6
	ARTICLE 10	 	ADMINISTRATION OF THE PLAN	 	6
	 	 10.1	 	Committee Action	 	6
	 	 10.2	 	Powers and Duties of the Committee	 	6
	 	 10.3	 	Construction and Interpretation	 	7
	 	 10.4	 	Information	 	7
	 	 10.5	 	Compensation, Expenses and Indemnity	 	7
	ARTICLE 11	 	MISCELLANEOUS	 	7
	 	 11.1	 	Release Agreement	 	7
	 	 11.2	 	Term of the Plan	 	7
	 	 11.3	 	Employment Status	 	7
	 	 11.4	 	Beneficiaries	 	8
	 	 11.5	 	Payments on Behalf of Persons Under Incapacity	 	8
	 	 11.6	 	Gender and Number	 	8
	 	 11.7	 	Severability	 	8
	 	 11.8	 	Modification	 	8
	 	 	 	 	 

i

 

	 	 11.9	 	Notice	 	9
	 	 11.10	 	Applicable Law	 	9
	 	 11.11	 	No Sale Obligation	 	9

ii

  

 
 

EDISON MISSION ENERGY
  BV SALE RETENTION PLAN—UK
  
    ARTICLE 1
  ESTABLISHMENT, TERM, AND PURPOSE    
    

        1.1    Establishment of the Plan.    Edison Mission Energy hereby establishes a retention plan to be known as the
"Edison Mission Energy BV Sale Retention Plan—UK" (the "Plan"). This Plan shall become effective February 19, 2004 (the "Effective Date"). 

        1.2    Purpose of the Plan.    The purpose of this Plan is to provide key employees of the Employers with an incentive
to remain in the employ of their respective Employers through the completion of a sale of MEC International, BV ("BV") and to provide for continuity in the management and operations of the Employers
(as such term is defined below) during such time by offering compensation for loss of office in the event that their employment is terminated by their respective Employers for redundancy or otherwise
without Cause (as such term is defined below). 

 
 

ARTICLE 2
  DEFINITIONS    
    

        Whenever used in this Plan (and/or the Participation Agreement), the following terms shall have the meanings set forth below (such defined terms are in addition
to the defined terms set forth above) unless the context clearly indicates to the contrary: 

	(a)
	"Base
Salary" means the Participant's base salary of record for benefit purposes paid to a Participant by the Company and/or one or more Employers (whether or not deferred), but
excludes (1) incentive, retention, signing or other bonus compensation and (2) pension contributions any other form of compensation or benefit.

	(b)
	"Beneficiary"
means the persons or entities designated or deemed designated by a Participant pursuant to Section 11.4.

	(c)
	"Board"
means the Board of Directors of the Company.

	(d)
	"BV
Sale" means one or more transactions outside of the ordinary course that amount, in the aggregate, to a sale of all or substantially all of the assets or interests of BV, provided
that a transaction included in the BV Sale must be specifically approved by the Board in advance of the consummation of the BV Sale. For purposes of this definition, "substantially all" shall mean
stock or interests in and assets of BV (including stock and interests in Subsidiaries) (including EcoElectrica) representing or generating at least 90% of BV's 2003 revenue base as set forth in the
attached Exhibit A; provided that the Board may, in its discretion, lower the 90% threshold in light of all circumstances existing at the time of the sale and the degree to which the Company
has exited the international market; and provided further, that for purposes of this definition, the assets of the BV shall be deemed to include the interest of Mission Energy Wales (U.S.) in the
Mission Hydro Ltd. Partnership (UK);

	(e)
	"Cause"
means the occurrence of any one or more of the following:

	(1)
	The
Participant's conviction for, or pleading guilty to, committing an act of fraud, embezzlement, theft, or other act constituting a criminal offence for which a custodial sentence
can be imposed;

	(2)
	A
significant adverse change in the Participant's performance of or any material breach or non-observance of his or her duties (which duties shall include, but not be
limited to, the Participant's customary duties or express or implied obligations arising from his or her 

1

 

employment
as well as any reasonable duties that may be assigned to him or her to help effect the BV Sale), including but not limited to a failure to comply with the Company's policies and
instructions regarding the BV Sale and the confidentiality of certain information related thereto and including any refusal to comply with any reasonable and lawful instructions given by the Employer;
or 

	(2)
	The
willful engaging by the Participant in misconduct that: (i) if the event giving rise to the termination of the Participant's employment occurs before the sale of the
Participant's Employer or while the Participant is otherwise employed by an Employer, is in violation of the Company's and/or the Participant's Employer's policies and practices applicable to the
Participant from time to time; or (ii) if the event giving rise to the termination of the Participant's employment occurs after the sale of the Participant's Employer when the Participant is no
longer employed by an Employer, would have resulted in the termination of the Participant's employment by the Company or the Participant's Employer under the Company's and/or the Participant's
Employer's policies and practices applicable to the Participant in effect immediately prior to such sale. However, no act or failure to act, on the Participant's part, shall be considered "willful"
unless done, or omitted to be done, by the Participant not in good faith and without reasonable belief that his or her action or omission was in the best interest of the Company and his or her
Employer.

	(f)
	"Code"
means the United States Internal Revenue Code of 1986, as amended.

	(g)
	"Committee"
means the Board or one or more committees appointed by the Board.

	(h)
	"Company"
means Edison Mission Energy, a Delaware corporation, or any successor thereto as provided in Section 9.1.

	(i)
	"Disability"
shall mean, for all purposes of this Plan, the Participant's eligibility for benefits under his or her Employer's long-term disability plan applicable to the
Participant, as determined by the Employer.

	(j)
	"Employer"
means the Company or any Subsidiary or affiliated business of the Company that employs the Participant.

	(k)
	"Participant"
means any person who is a participant in this Plan as determined in accordance with Article 3.

	(l)
	"Purchaser"
means any person or entity or affiliate thereof that has purchased all or any part of the assets or interests of BV outside the ordinary course in a transaction that is
included in the BV Sale.

	(m)
	"Retention
Benefit" means the retention benefit set forth in Article 4 of this Plan.

	(n)
	"STI"
means the short term incentive program, if any, maintained by the Company or by an Employer in which a Participant participates.

	(o)
	"Subsidiary"
means any corporation or other entity a majority of whose outstanding voting stock or voting power is beneficially owned directly or indirectly by the Company. 

 
 

ARTICLE 3
  PARTICIPATION    
    

        3.1    Participation.    The Company's management, in its sole discretion, shall determine those employees of an
Employer who will be Participants in the Plan and the benefits to which each Participant may become eligible to receive under the Plan. In order to participate in the Plan, each Participant must
promptly sign and return to the Company a participation agreement in the form 

2

 

provided
by the Company (a "Participation Agreement"), which shall set forth whether the Participant may become eligible for a Retention Benefit under the Plan and additional details about the Plan. 

        3.2    Termination of Employment.    Notwithstanding anything else contained herein to the contrary, a Participant
shall not be deemed to have terminated employment if his or her employment by an Employer terminates but he or she continues as an employee of another Employer or his or her employment by an Employer
transfers to a Purchaser by operation of law. 

        3.3    Re-Employment.    Notwithstanding anything else contained herein to the contrary, a Participant
shall have no right to benefits hereunder with respect to a termination of his or her employment if, in connection with such termination, he or she is otherwise entitled to benefits under this Plan
but, prior to the payment or delivery (or commencement of payment or delivery, as the case may be) of such benefits, the Participant becomes re-employed by his or her Employer
or by another Employer or by any other affiliate of the Company. Notwithstanding anything else contained herein to the contrary, a Participant's right to continuing or additional benefits under this
Plan shall automatically terminate (but the Participant shall have no obligation to re-pay benefits previously paid) if the Participant becomes re-employed by his or her
Employer or by another Employer or by any other affiliate of the Company. If a Participant is re-employed and his or her employment is subsequently terminated and the Participant again
becomes entitled to benefits under the terms of this Plan in connection with such later termination of employment, the amount of payments otherwise payable to the Participant hereunder in connection
with such later termination of employment shall be reduced by the amount of any payments paid under this Plan to the Participant in connection with any prior termination of his or her employment. 

        3.4    Notice of Termination.    Any termination of a Participant's employment by his or her Employer for Cause shall
be communicated by Notice of Termination. For purposes of this Plan, a "Notice of Termination" shall mean a written notice which shall indicate the specific termination provision or provisions in this
Plan relied upon. The Notice of Termination shall be effective on the date specified in Section 11.9 of this Plan. 

 
 

ARTICLE 4
  RETENTION BENEFIT    
    

        4.1    Right to Retention Benefit.    The Company's management, in its sole discretion, shall determine if a
Participant shall be eligible to receive a Retention Benefit pursuant to this Article 4. A Participant who has been designated as eligible to receive a Retention Benefit pursuant to this
Article 4 shall be entitled to receive from the Company a Retention Benefit if he or she remains employed by his or her Employer until the first to occur of: (1) a termination of the
Participant's employment by his or her Employer without Cause (and other than due to the Participant's death or Disability), (2) a sale by the Company of the Participant's Employer,
(3) the BV Sale, (4) a public announcement by the Company that the BV Sale has been terminated, or (5) July 1, 2005. If a Participant's employment by his or her Employer
terminates prior to July 1, 2005 other than in the circumstances described above for any reason other than by his or her Employer without Cause (and other than due to the Participant's death or
Disability), then such Participant shall not be entitled to a Retention Benefit. 

        4.2    Retention Benefits.    If a Participant becomes entitled to a Retention Benefit pursuant to Section 4.1,
the amount of such benefit shall be set forth in the Participant's Participation Agreement. 

        4.3    Timing and Manner of Payment.    Any Retention Benefit shall be paid by the Company to the Participant (or his
or her Beneficiary) in the form of a single lump sum cash payment within 60 days after the date such benefit becomes payable pursuant to Section 4.1. 

3

 

 
 

ARTICLE 5
  TAXES    
    

        The Company and/or the Participant's Employer, as applicable, has the right to withhold from any amount otherwise payable to a Participant under or pursuant to
this Plan the amount of any taxes or other statutory deductions that the Company or such Employer may legally be required to withhold with respect to such payment (including, without limitation,
income tax and National Insurance contributions, and any other foreign, state, city, or local taxes). In the event that tax withholding is required with respect to amounts or benefits payable or
deliverable by the Company or the Participant's Employer to a Participant and the Company or the Employer cannot satisfy its tax withholding obligations in the manner described in the preceding
sentence, the Company or the Employer may require the Participant to pay or provide for the payment of such required tax withholding as a condition to the payment or delivery of such amounts or
benefits. 

        Each
Participant, former Participant and Beneficiary shall be solely responsible for all income and employment taxes arising in connection with participation in this Plan or benefits
hereunder. 

 
 

ARTICLE 6
  PAYMENT OBLIGATIONS    
    

        6.1    Liability for Payment.    The Company shall be liable for the payment of benefits under this Plan with respect
to each Participant. 

        6.2    Payment of Obligations Absolute.    Subject to the Participant's compliance with Section 11.1 and the
agreement contemplated thereby and subject to Section 3.4 and Article 5, the Company's obligation to make the payments and the arrangements provided for herein shall be absolute and
unconditional, and shall not be affected by any circumstances, including, without limitation, any offset, counterclaim, recoupment, defense, or other right which the Company may have against the
Participant or anyone
else except as provided in Section 3.3 and/or Section 3.4. All amounts payable by the Company hereunder shall be paid without notice or demand. Each and every payment made hereunder by
the Company shall be final, and the Company shall not seek to recover all or any part of such payment from the Participant or from whomsoever may be entitled thereto, for any reasons whatsoever,
except as otherwise provided in Section 3.4 or Article 8 and subject to the Participant's compliance with Section 11.1 and the agreement contemplated thereby. 

        6.3    Unsecured General Creditor.    Participants and their Beneficiaries, heirs, successors, and assigns shall have
no legal or equitable rights, claims, or interest in any specific property or assets of the Company. No assets of the Company shall be held under any trust, or held in any way as collateral security
for the fulfilling of the obligations of the Company under this Plan. Any and all of the Company's assets shall be, and remain, the general unpledged, unrestricted assets of the Company. The Company's
obligation under this Plan shall be merely that of an unfunded and unsecured promise of the Company to pay money in the future, and the rights of the Participants and Beneficiaries shall be no greater
than those of unsecured general creditors. 

        6.4    Other Benefit Plans.    All payments, benefits and amounts provided under this Plan shall be in addition to and
not in substitution for any pension rights under the Company's or other Employer's tax-qualified pension plan in which the Participant participates, and any disability, permanent health
insurance or other Company or other Employer benefit plan distribution that a Participant is entitled to, under the terms of any such plan, at the time his or her employment by his or her Employer
terminates. Notwithstanding the foregoing, this Plan shall not create an inference that any duplicate payments shall be required. Payments received by a person under this Plan shall not be deemed a
part of the person's compensation for purposes of determining the person's benefits under any employee welfare, pension or other benefit plan or arrangement, if any, provided by an Employer, except
where explicitly provided under the terms of such plan or arrangement. 

4

 

 
 

ARTICLE 7
  RESOLUTION OF DISPUTES    
    

        7.1    Claim.    A person who believes that he or she is being denied a benefit to which he or she is entitled under
this Plan (hereinafter referred to as "Claimant") may file a written request for such benefit with the Committee, setting forth his or her claim. The request must be addressed to the Committee
at the Company's principal place of business. 

        7.2    Claim Decision.    Upon receipt of a claim, the Committee shall advise the Claimant that a reply will be
forthcoming within 90 days and shall, in fact, deliver such reply within such period. The Committee may, however, extend the reply period for an additional 90 days for special
circumstances. 

        If
the claim is denied in whole or in part, the Committee shall inform the Claimant in writing, using language calculated to be understood by the Claimant, setting forth: (a) the
specific reason or reasons for such denial; (b) the specific reference to pertinent provisions of this Plan on which such denial is based; (c) a description of any additional material or
information necessary for the Claimant to perfect his or her claim and an explanation why such material or such information is necessary; (d) appropriate information as to the steps to be taken
if the Claimant wishes to submit the claim for review; and (e) the time limits for requesting a review under Section 7.3. 

        7.3    Request for Review.    Within 60 days after the receipt by the Claimant of the written opinion described
above, the Claimant may request in writing that the Committee review the determination. Such request must be addressed to the Committee, at the Company's principal place of business. The Claimant or
his or her duly authorized representative may, but need not, review the pertinent documents and submit issues and comments in writing for consideration by the Committee. 

        7.4    Review of Decision.    Within 60 days after the Committee's receipt of a request for review, after
considering all materials presented by the Claimant, the Committee will inform the Claimant in writing, in a manner calculated to be understood by the Claimant, of its decision setting forth the
specific reasons for the decision and containing specific references to the pertinent provisions of this Plan on which the decision is based. If special circumstances require that the 60 day
time period be extended, the Committee will so notify the Claimant and will render the decision as soon as possible, but no later than one hundred twenty days after receipt of the request for review. 

 
 

ARTICLE 8
  RESOLUTION OF DISPUTES—ARBITRATION    
    

        8.1    A Participant or Beneficiary must complete the claims procedure described in Article 7 before submitting any claim
or controversy arising out of or in connection with this Plan to arbitration as described below in this Article 8. 

        8.2    Except in so far as precluded by s.203 of the Employment Rights Act 1996, any dispute arising out of or in connection
with this contract, including any question regarding its existence, validity or termination, shall be referred to and finally resolved by arbitration under the London Court of International
Arbitration Rules, which Rules are deemed to be incorporated by reference into this clause. 

        8.3    The number of arbitrators shall be one. 

        8.4    The seat, or legal place, of arbitration shall be London, England. 

        8.5    The language to be used in the arbitral proceedings shall be English. 

        8.6    The governing law of the contract shall be the substantive law of the State of California, United States of America. 

5

 

 
 

ARTICLE 9
  SUCCESSORS AND ASSIGNMENT    
    

        9.1    Successors to the Company.    The Company will require any successor (whether direct or indirect, by purchase,
merger, consolidation, or otherwise) of all or substantially all of the business and/or assets of the Company or of any division or subsidiary thereof (the business and/or assets of which constitute
at least fifty percent (50%) of the total business and/or assets of the Company after the BV Sale) to expressly assume and agree to perform the Company's obligations under this Plan in the same manner
and to the same extent that the Company would be required to perform them if such succession had not taken place. 

        9.2    Assignment by the Participant.    None of the benefits, payments, proceeds or claims of any Participant shall
be subject to any claim of any creditor and, in particular, the same shall not be subject to attachment or garnishment or other legal process by any creditor, nor shall any such Participant have any
right to alienate, anticipate, commute, pledge, encumber or assign any of the benefits or payments or proceeds that he or she may expect to receive, contingently or otherwise, under this Plan.
Notwithstanding the foregoing, benefits that are in pay status may be subject to a court order of garnishment or wage assignment, or similar order, or a tax levy. This Plan shall inure to the benefit
of and be enforceable by each Participant's personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees, and legatees. If a Participant dies while any
amount would still be payable to him or her hereunder had he or she continued to live, all such amounts, unless otherwise provided herein, shall be paid to the Participant's Beneficiary in accordance
with the terms of this Plan. 

 
 

ARTICLE 10
  ADMINISTRATION OF THE PLAN    
    

        10.1    Committee Action.    The Committee shall act at meetings by affirmative vote of a majority of the members of
the Committee. Any action permitted to be taken at a meeting may be taken without a meeting if, prior to such action, a written consent to the action is signed by all members of the Committee and such
written consent is filed with the minutes of the proceedings of the Committee. A member of the Committee shall not vote or act upon any matter which relates solely to himself or herself as a
Participant. The Chairman or any other member or members of the Committee designated by the Chairman may execute any certificate or other written direction on behalf of the Committee. 

        10.2    Powers and Duties of the Committee.    The Committee shall enforce this Plan in accordance with its terms,
shall be charged with the general administration of this Plan, and shall have all powers necessary to accomplish its purposes, including, but not by way of limitation, the power and authority to do
the following: 

	(a)
	To
determine eligibility for and participation in this Plan;

	(b)
	To
construe and interpret the terms and provisions of this Plan;

	(c)
	To
compute and certify to the amount and kind of benefits payable to Participants and their Beneficiaries, and to determine the amount of withholding taxes to be deducted pursuant to
Article 5;

	(d)
	To
maintain all records that may be necessary for the administration of this Plan;

	(e)
	To
provide for the disclosure of all information and the filing or provision of all reports and statements to Participants, Beneficiaries or governmental agencies as shall be required
by law;

	(f)
	To
make and publish such rules for the regulation of this Plan and procedures for the administration of this Plan as are not inconsistent with the terms hereof; and 

6

 

	(g)
	To
appoint a plan administrator or any other agent (which may include, without limitation, one or more employees of the Company), and to delegate to them such powers and duties in
connection with the administration of this Plan as the Committee may from time to time prescribe. 

        10.3    Construction and Interpretation.    The Committee shall have full discretion to construe and interpret the
terms and provisions of this Plan, including whether, for purposes of the Plan, a termination of a Participant's employment has been with or without Cause, which interpretation or construction shall
be final and binding on all parties, including but not limited to each Employer and any Participant or Beneficiary. The Committee shall administer such terms and provisions in full accordance with any
and all laws applicable to this Plan. 

        10.4    Information.    To enable the Committee to perform its functions, each Employer shall supply full and timely
information to the Committee on all matters relating to the compensation of all Participants, their death or other cause of termination, and such other pertinent facts as the Committee may require. 

        10.5    Compensation, Expenses and Indemnity.    The members of the Committee shall serve without additional
compensation for their services hereunder beyond that which they are entitled as authorized by the Board. The Committee is authorized at the expense of the Company to employ such legal counsel as it
may deem advisable to assist in the performance of its duties hereunder. The Company shall pay expenses and fees in connection with the administration of this Plan. To the extent permitted by
applicable law, the Company shall indemnify and save harmless the Committee and each member thereof, the Board and each member thereof, and delegates of the Committee who are employees of the Company
against any and all expenses, liabilities and claims, including legal fees to defend against such liabilities and claims arising out of their discharge in good faith of responsibilities under or
incident to this Plan, other than expenses and liabilities arising out of willful misconduct. This indemnity shall not preclude such further indemnities as may be available under insurance purchased
by the Company or provided by the Company under any bylaw, agreement or otherwise, as such indemnities are permitted under state law. 

 
 

ARTICLE 11
  MISCELLANEOUS    
    

        11.1    Release Agreement.    Notwithstanding anything else contained herein to the contrary, the Company's obligation
to pay benefits to a Participant is subject to the condition precedent that the Participant execute a valid and effective Release Agreement in the form attached to the Participant's Participation
Agreement (or such other form as the Committee may require) and such executed agreement is received by the Company no later than 60 days after
the date the Participant becomes entitled to a Retention Benefit pursuant to Section 4.1 and is not revoked by the Participant or otherwise rendered unenforceable by the Participant. 

        11.2    Term of the Plan.    This Plan will commence on the Effective Date and shall continue in effect through the
date that benefits are triggered pursuant to Section 4.1. 

        11.3    Employment Status.    Except as may be provided under any other written agreement between a Participant and
his or her Employer, the employment of the Participant by his or her Employer may be terminated by either the Participant or the Employer at any time, subject to applicable law. Payments made under
this Plan shall not give any person the right to any benefits provided to persons retained in an Employer's employ (such as, without limitation, health and dental benefits). Except as may otherwise be
required by law or set forth specifically in such plans or as otherwise expressly provided in this Plan, such benefits shall terminate as of the date the Participant's employment by an Employer
terminates. 

7

 

        11.4    Beneficiaries.    Subject to the other provisions of this Section 11.4, the person or persons
(including a trustee, personal representative or other fiduciary) last designated in writing by a Participant in accordance with procedures established by the Committee to receive the benefits
specified hereunder in the event of the Participant's death shall be the Participant's Beneficiary or Beneficiaries. 

        No
Beneficiary designation shall become effective until it is filed with the Committee, and no Beneficiary designation of someone other than a Participant's spouse shall be effective
unless such designation is consented to by the Participant's spouse on a form provided by and in accordance with procedures established by the Committee or its delegate. 

        If
there is no Beneficiary designation in effect with respect to a Participant, or if there is no surviving designated Beneficiary, then the Participant's surviving spouse shall be the
Beneficiary. If there is no surviving spouse to receive any benefits payable in accordance with the preceding sentence, the duly appointed and currently acting personal representative of the
Participant's estate (which shall include either the Participant's probate estate or living trust) shall be the Beneficiary. In any case where there is no such personal representative of the
Participant's estate duly appointed and acting in that capacity within 90 days after the Participant's death (or such extended period as the Committee determines is reasonably necessary to
allow such personal representative to be appointed, but not to exceed 180 days after the Participant's death), then Beneficiary shall mean the person or persons who can verify by affidavit or
court order to the satisfaction of the Committee that they are legally entitled to receive the benefits specified hereunder. 

        Notwithstanding
anything else herein to the contrary, in the event any amount is payable under this Plan to a minor, payment shall not be made to the minor, but instead be paid:
(a) to that person's living parent(s) to act as custodian; (b) if that person's parents are then divorced, and one parent is the sole custodial parent, to such custodial parent; or
(c) if no parent of that person is then living, to a custodian selected by the Committee to hold the funds for the minor under the Uniform Transfers or Gifts to Minors Act in effect in the
jurisdiction in which the minor resides. If no parent is living and the Committee decides not to select another custodian to hold the funds for the minor, then payment shall be made to the duly
appointed and currently acting guardian of the estate for the minor or, if no guardian of the estate for the minor is duly appointed and currently acting within 60 days after the date the
amount becomes payable, payment shall be deposited with the court having jurisdiction over the estate of the minor. 

        11.5    Payments on Behalf of Persons Under Incapacity.    In the event that any amount becomes payable under this
Plan to a person who, in the sole judgment of the Committee, is considered by reason of physical or mental condition to be unable to give a valid receipt therefor the Committee may direct that such
payment be made to any person found by the Committee, in its sole judgment, to have assumed the care of such person. Any payment made pursuant to such determination shall constitute a full release and
discharge of the Committee and all Employers. 

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

        11.7    Severability.    In the event any provision of this Plan shall be held illegal or invalid for any reason, the
illegality or invalidity shall not affect the remaining parts of this Plan, and this Plan shall be construed and enforced as if the illegal or invalid provision had not been included. Further, the
captions of this Plan are not part of the provisions hereof and shall have no force and effect. 

        11.8    Modification.    The Committee or the Board may from time to time amend this Plan in any way it determines to
be advisable; provided, however, that no such amendment shall be effective without the consent of each affected Participant (or the Participant's legal representative). No provision 

8

 

of
this Plan may be waived unless as to a Participant such waiver is agreed to in writing and signed by the Participant (or the Participant's legal representative) and by an authorized member of the
Committee (or the Board) or its designee or legal representative. 

        11.9    Notice.    For purposes of this Plan, notices, including Notice of Termination, and all other communications
provided for in this Plan shall be in writing and shall be deemed to have been duly given when delivered or on the date stamped as received by a recognized international courier (such as Federal
Express) postage and mailing fee prepaid and addressed: (a) if to the Participant, to his or her latest address as reflected on the records of the Company or his or her Employer, and
(b) if to an Employer, to the attention of the Company's Corporate Secretary at the address of the Company's principal executive offices; or to such other address as either party may furnish to
the other in writing for the delivery of notices to that party, with specific reference to this Plan and the importance of the notice, except that a notice of change of address shall be effective only
upon receipt by the other party. 

        11.10    Applicable Law.    To the extent not preempted by the laws of the United States, the laws of the State of
California shall be the controlling law in all matters relating to this Plan. Any statutory reference in this Plan shall also be deemed to refer to all applicable final rules and final regulations
promulgated under or with respect to the referenced statutory provision. 

        11.11    No Sale Obligation.    Notwithstanding anything else contained herein or in any Participation Agreement or
other agreement related to the Plan to the contrary, the Company and its subsidiaries have no obligation to close, negotiate or otherwise pursue any sale or other disposition of all or substantially
all of BV or any component thereof. The existence of the Plan, the Participation Agreements, and the conditional rights of Participants under the Plan shall not limit, affect or restrict in any way
the right or power of the Company or any of its subsidiaries to make or authorize (or to refrain from making or authorizing, as the case may be): (a) any adjustment, recapitalization,
reorganization or other change in capital structure or business; (b) any merger, amalgamation, consolidation or change in ownership; (c) any dissolution or liquidation; (d) any
sale or transfer of assets or business; or (e) any other corporate act or proceeding by the entity. 

        IN WITNESS WHEREOF, the Company has caused its duly authorized officer to execute this Plan as of the date first set forth above. 

	 	EDISON MISSION ENERGY
	

 	

 
	 	

9

 
 
 

EXHIBIT A    
    

Edison Mission Energy

International Revenue Base  

	Project
 
	 	Country
	 	2003 Revenues from Consolidated Subsidiaries
	 	EME Ownership Interest
	 	EME Share of Revenues
	 	2003 Revenues of Unconsolidated Subsidiaries
	 	EME Ownership Interest
	 	EME Share of Revenues
	 	2003 Revenue Base
	 	Percentage of

International

Revenue Base
	 
	Europe	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	First Hydro	 	United Kingdom	 	$	367,633,000	 	100	%	$	367,633,000	 	$	—	 	 	 	$	—	 	$	367,633,000	 	20	%
	 	Derwent	 	United Kingdom	 	 	—	 	 	 	 	—	 	 	106,316,000	 	33	%	 	35,084,280	 	 	35,084,280	 	2	%
	 	ISAB	 	Italy	 	 	—	 	 	 	 	—	 	 	480,685,000	 	49	%	 	235,535,650	 	 	235,535,650	 	13	%
	 	Italian Wind	 	Italy	 	 	—	 	 	 	 	—	 	 	83,234,000	 	50	%	 	41,617,000	 	 	41,617,000	 	2	%
	 	Doga	 	Turkey	 	 	123,956,000	 	80	%	 	99,164,800	 	 	 	 	 	 	 	—	 	 	99,164,800	 	5	%
	 	Spanish Hydro	 	Spain	 	 	22,739,000	 	95	%	 	21,706,000	 	 	 	 	 	 	 	—	 	 	21,706,000	 	1	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	 	 	 	 	 	514,328,000	 	 	 	 	488,503,800	 	 	670,235,000	 	 	 	 	312,236,930	 	 	800,740,730	 	44	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	Asia	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Paiton	 	Indonesia	 	 	—	 	 	 	 	 	 	 	485,018,000	 	40	%	 	194,007,200	 	 	194,007,200	 	11	%
	 	PT Momi	 	Indonesia	 	 	17,994,000	 	100	%	 	17,994,000	 	 	 	 	 	 	 	—	 	 	17,994,000	 	1	%
	 	PT Adro	 	Indonesia	 	 	—	 	 	 	 	—	 	 	—	 	8	%	 	—	 	 	—	 	 	 
	 	CBK	 	Philippines	 	 	1,424,000	 	100	%	 	1,424,000	 	 	65,625,000	 	50	%	 	32,812,500	 	 	34,236,500	 	2	%
	 	TECO	 	Thailand	 	 	—	 	 	 	 	—	 	 	214,119,000	 	25	%	 	53,529,750	 	 	53,529,750	 	3	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	 	 	 	 	 	19,418,000	 	 	 	 	19,418,000	 	 	764,762,000	 	 	 	 	280,349,450	 	 	299,767,450	 	16	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	Australia	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Loy Yang B	 	Australia	 	 	178,531,000	 	100	%	 	178,531,000	 	 	 	 	 	 	 	—	 	 	178,531,000	 	10	%
	 	Valley Power	 	Australia	 	 	16,250,000	 	80	%	 	13,065,000	 	 	 	 	 	 	 	—	 	 	13,065,000	 	1	%
	 	Kwinana	 	Australia	 	 	38,914,000	 	70	%	 	27,239,800	 	 	 	 	 	 	 	—	 	 	27,239,800	 	1	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	 	 	 	 	 	233,695,000	 	 	 	 	218,835,800	 	 	—	 	 	 	 	—	 	 	218,835,800	 	12	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	New Zealand	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Contact Energy	 	New Zealand	 	 	755,524,000	 	51	%	 	385,317,240	 	 	 	 	—	 	 	385,317,240	 	 	21	%	 	 
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	 	 	 	 	 	755,524,000	 	 	 	 	385,317,240	 	 	—	 	 	 	 	—	 	 	385,317,240	 	21	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	Americas	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Eco Electrica	 	Puerto Rico	 	 	—	 	 	 	 	—	 	 	234,896,000	 	50	%	 	117,448,000	 	 	117,448,000	 	6	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	 	 	 	 	 	—	 	 	 	 	—	 	 	234,896,000	 	 	 	 	117,448,000	 	 	117,448,000	 	6	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	Non Project	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	Total	 	 	 	$	1,522,965,000	 	 	 	$	1,112,074,840	 	$	1,669,893,000	 	 	 	$	710,034,380	 	$	1,822,109,220	 	100	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 

10

QuickLinks

EDISON MISSION ENERGY BV SALE RETENTION PLAN—UK

TABLE OF CONTENTS

EDISON MISSION ENERGY BV SALE RETENTION PLAN—UK ARTICLE 1 ESTABLISHMENT, TERM, AND PURPOSE

ARTICLE 2 DEFINITIONS

ARTICLE 3 PARTICIPATION

ARTICLE 4 RETENTION BENEFIT

ARTICLE 5 TAXES

ARTICLE 6 PAYMENT OBLIGATIONS

ARTICLE 7 RESOLUTION OF DISPUTES

ARTICLE 8 RESOLUTION OF DISPUTES—ARBITRATION

ARTICLE 9 SUCCESSORS AND ASSIGNMENT

ARTICLE 10 ADMINISTRATION OF THE PLAN

ARTICLE 11 MISCELLANEOUS

EXHIBIT AQuickLinks
 -- Click here to rapidly navigate through this document

Exhibit 10.11  

 
 

EDISON MISSION ENERGY
  BV SALE SEVERANCE PLAN—UK    
    

  

 
 

TABLE OF CONTENTS    
    

	ARTICLE 1	 	ESTABLISHMENT, TERM, AND PURPOSE	 	1
	 	1.1	 	Establishment of the Plan.	 	1
	 	1.2	 	Purpose of the Plan.	 	1
	ARTICLE 2	 	DEFINITIONS	 	1
	ARTICLE 3	 	PARTICIPATION	 	4
	 	3.1	 	Participation.	 	4
	 	3.2	 	Termination of Employment.	 	4
	 	3.3	 	Benefit Offset.	 	4
	 	3.4	 	Re-Employment	 	4
	 	3.5	 	Notice of Termination.	 	5
	ARTICLE 4	 	SEVERANCE BENEFITS	 	5
	 	4.1	 	Right to Severance Benefits.	 	5
	 	4.2	 	Severance Benefits.	 	5
	 	4.3	 	Minimum Benefit for Designated Participants.	 	6
	 	4.4	 	Timing and Manner of Payment of Severance Benefits	 	6
	ARTICLE 5	 	TAXES	 	6
	ARTICLE 6	 	PAYMENT OBLIGATIONS	 	7
	 	6.1	 	Liability for Payment.	 	7
	 	6.2	 	Payment of Obligations Absolute.	 	7
	 	6.3	 	Unsecured General Creditor.	 	7
	 	6.4	 	Relationship to Other Plans.	 	7
	 	6.5	 	Other Benefit Plans.	 	7
	ARTICLE 7	 	RESOLUTION OF DISPUTES	 	8
	 	7.1	 	Claim.	 	8
	 	7.2	 	Claim Decision.	 	8
	 	7.3	 	Request for Review.	 	8
	 	7.4	 	Review of Decision.	 	8
	ARTICLE 8	 	RESOLUTION OF DISPUTES—ARBITRATION	 	8
	ARTICLE 9	 	SUCCESSORS AND ASSIGNMENT	 	9
	 	9.1	 	Successors to the Company.	 	9
	 	9.2	 	Assignment by the Participant.	 	9
	ARTICLE 10	 	ADMINISTRATION OF THE PLAN	 	9
	 	10.1	 	Committee Action.	 	9
	 	10.2	 	Powers and Duties of the Committee.	 	9
	 	10.3	 	Construction and Interpretation.	 	10
	 	10.4	 	Information.	 	10
	 	10.5	 	Compensation, Expenses and Indemnity.	 	10
	 	 	 	 	 

i

 

	ARTICLE 11	 	MISCELLANEOUS	 	10
	 	11.1	 	Release Agreement.	 	10
	 	11.2	 	Term of the Plan.	 	10
	 	11.3	 	Employment Status.	 	11
	 	11.4	 	Beneficiaries.	 	11
	 	11.5	 	Payments on Behalf of Persons Under Incapacity.	 	11
	 	11.6	 	Gender and Number.	 	12
	 	11.7	 	Severability.	 	12
	 	11.8	 	Modification.	 	12
	 	11.9	 	Notice.	 	12
	 	11.10	 	Applicable Law.	 	12
	 	11.11	 	Compliance with Statutory Obligations.	 	12
	 	11.12	 	No Sale Obligation.	 	12

ii

  

 
 

EDISON MISSION ENERGY
  BV SALE SEVERANCE PLAN—UK    
    

 
 

ARTICLE 1
  ESTABLISHMENT, TERM, AND PURPOSE    
    

        1.1    Establishment of the Plan.    Edison Mission Energy hereby establishes a severance plan to be known as the
"Edison Mission Energy BV Sale Severance Plan—UK" (the "Plan"). This Plan shall become effective February 19, 2004 (the "Effective Date"). This Plan is intended to be an "employee
benefit plan" within the meaning of Section (3) of the Employee Retirement Income Security Act of 1974, as amended. 

        1.2    Purpose of the Plan.    The purpose of this Plan is to provide key employees of the Employers with an incentive
to remain in the employ of their respective Employers through the completion of a sale of MEC International, BV ("BV") and to provide for continuity in the management and operations of the Employers
(as such term is defined below) during such time by offering compensation for loss of office in the event that their employment is terminated by their respective Employers for redundancy, or otherwise
without Cause (as such term is defined below) or by the key employees for Good Reason during the term of the Plan (as such term is defined below). 

 
 

ARTICLE 2
  DEFINITIONS    
    

        Whenever used in this Plan, the following terms shall have the meanings set forth below (such defined terms are in addition to the defined terms set forth above)
unless the context clearly indicates to the contrary: 

	(a)
	"Base
Salary" means the Participant's base salary of record for benefit purposes paid to a Participant by the Company and/or one or more Employers (whether or not deferred), but
excludes (1) incentive, retention, signing or other bonus compensation and (2) pension contributions or any other form of compensation or benefit.

	(b)
	"Beneficiary"
means the persons or entities designated or deemed designated by a Participant pursuant to Section 11.4.

	(c)
	"Board"
means the Board of Directors of the Company.

	(d)
	"BV
Sale" means one or more transactions outside of the ordinary course that amount, in the aggregate, to a sale of all or substantially all of the assets or interests of BV, provided
that a transaction included in the BV Sale must be specifically approved by the Board in advance of the consummation of the BV Sale. For purposes of this definition, "substantially all" shall mean
stock or interests in and assets of BV (including stock and interests in Subsidiaries) (including EcoElectrica) representing or generating at least 90% of BV's 2003 revenue base as set forth in the
attached Exhibit A; provided that the Board may, in its discretion, lower the 90% threshold in light of all circumstances existing at the time of the sale and the degree to which the Company
has exited the international market; and provided further, that for purposes of this definition, the assets of the BV shall be deemed to include the interest of Mission Energy Wales (U.S.) in the
Mission Hydro Ltd. Partnership (UK);

	(e)
	"Cause"
means the occurrence of any one or more of the following:

	(1)
	The
Participant's conviction for, or pleading guilty to, committing an act of fraud, embezzlement, theft, or other act constituting a criminal offence for which a custodial sentence
may be imposed; 

1

 

	(2)
	A
significant adverse change in the Participant's performance of or any material breach or non-observance of his or her duties (which duties shall include, but not be
limited to, the Participant's customary duties or express or implied obligations arising from his or her employment as well as any reasonable duties that may be assigned to him or her to help effect
the BV Sale), including but not limited to a failure to comply with the Company's policies and instructions regarding the BV Sale and the confidentiality of certain information related thereto and
including any refusal to comply with any reasonable and lawful instructions given by the Employer; or

	(2)
	The
willful engaging by the Participant in misconduct that: (i) if the event giving rise to the termination of the Participant's employment occurs before the sale of the
Participant's Employer or while the Participant is otherwise employed by an Employer, is in violation of the Company's and/or the Participant's Employer's policies and practices applicable to the
Participant from time to time; or (ii) if the event giving rise to the termination of the Participant's employment occurs after the sale of the Participant's Employer when the Participant is no
longer employed by an Employer, would have resulted in the termination of the Participant's employment by the Company or the Participant's Employer under the Company's and/or the Participant's
Employer's policies and practices applicable to the Participant in effect immediately prior to such sale. However, no act or failure to act, on the Participant's part, shall be considered "willful"
unless done, or omitted to be done, by the Participant not in good faith and without reasonable belief that his or her action or omission was in the best interest of the Company and his or her
Employer.

	(f)
	"Code"
means the United States Internal Revenue Code of 1986, as amended.

	(g)
	"Committee"
means the Board or one or more committees appointed by the Board.

	(h)
	"Company"
means Edison Mission Energy, a Delaware corporation, or any successor thereto as provided in Section 10.1.

	(i)
	"Deferred
Stock Unit" means an award granted by Edison International, the Company or an Employer in the form of a bookkeeping entry which serves as a measurement relative to shares of
Edison International common stock for purposes of determining the payment, in cash or stock at some time after vesting, of the award.

	(j)
	"Disability"
shall mean, for all purposes of this Plan, the Participant's eligibility for benefits under his or her Employer's long-term disability plan applicable to the
Participant, as determined by the Employer.

	(k)
	"Dividend
Equivalent" means a dividend equivalent granted by Edison International, the Company or an Employer in connection with a Stock Option grant.

	(l)
	"EDCP"
means the Edison International Executive Deferred Compensation Plan, as amended from time to time. EDCP shall not include the Edison International Affiliate Option Deferred
Compensation Plan, the OGDP, or any other nonqualified deferred compensation plan.

	(m)
	"EIX
Severance Plan" means the Edison International Executive Severance Plan.

	(n)
	"Employer"
means the Company or any Subsidiary or affiliated business of the Company that employs the Participant.

	(o)
	"Exchange
Act" means the United States Securities Exchange Act of 1934, as amended.

	(p)
	"Executive
Incentive Award" means the annual incentive bonus, if any, paid to the Participant by his or her Employer(s) (or deferred by the Participant) under the Edison International
Executive Incentive Compensation Plan or any similar successor plan. Executive Incentive 

2

 

Award
does not include special retention bonus, signing bonus, one-time or special project bonus, or any other form of bonus, or any other form of compensation or benefit. 

	(q)
	"Executive
Retirement Plan" means the Southern California Edison Company Executive Retirement Plan, as amended from time to time, or any similar or successor plan sponsored by an
Employer.

	(r)
	"Good
Reason" means, without the Participant's express written consent, a material reduction by the Participant's Employer of the aggregate value of the compensation (including
current compensation and long-term incentive opportunities) and benefits paid and provided, as the case may be to the Participant; provided, however, that in no event shall the BV Sale or
a sale of the Participant's Employer, in and of itself, constitute a reduction of compensation or long-term incentive award opportunities and further provided that the Participant's
Employer shall not have remedied the issue giving rise to the Good Reason within 30 days of it being brought to the Employer's attention by the Participant. For the avoidance of doubt, where
the Purchaser provides a benefit package which is no less favourable in aggregate the fact that long term incentive opportunities and benefits previously provided by the Employer have ceased to be
provided shall not constitute a Good Reason.

	(s)
	"Minimum
Benefit Percentage" means, if benefits are triggered under this Plan, the minimum benefit to which certain designated Participants may become entitled pursuant to
Section 4.3.

	(t)
	"OGDP"
means the Edison International Option Gain Deferral Plan, as it may be amended from time to time.

	(u)
	"Participant"
means any person who is a participant in this Plan as determined in accordance with Article 3.

	(v)
	"Performance
Shares" means an award of units denominated as "performance shares," the value of which is based on the value of a related number of shares of Edison International stock
and the earn-out of which is based on the passage of time or the attainment of one or more performance criteria. However, Stock Options, Dividend Equivalents, and Deferred Stock Units
granted or credited under or in accordance with Edison International's Affiliate Option Exchange Offer, any other offer by Edison International, the Company or an affiliate to exchange outstanding
awards, or any plan of deferred compensation maintained by the Company or an Employer shall not be deemed to be Performance Shares.

	(w)
	"Purchaser"
means any person or entity or affiliate thereof that has purchased all or any part of the assets or interests of BV outside the ordinary course in a transaction that is
included in the BV Sale.

	(x)
	"Qualifying
Severance Event" means, as to a Participant, the occurrence of either of the following events during the term of the Plan:

	(1)
	A
termination of the Participant's employment by his or her Employer, without the Participant's consent, for reasons other than Cause (and other than due to the Participant's death or
Disability); or

	(2)
	A
termination of employment by the Participant for Good Reason.

	(y)
	"Severance
Benefit" means the severance benefit set forth in Article 4 of this Plan.

	(z)
	"Severance
Date" means, in the case of a Participant who becomes entitled to benefits under this Plan, the last day that the Participant is actually employed by an Employer in
connection with the event that entitles the Participant to such benefits. 

3

 

	(aa)
	"Stock
Option" means an option granted by Edison International, the Company or an Employer to purchase shares of Edison International stock.

	(bb)
	"Stock
Option Retention Exchange" means the exchange on November 29, 2001, pursuant to a Participant's election, of Stock Options for Deferred Stock Units.

	(cc)
	"Subsidiary"
means any corporation or other entity a majority of whose outstanding voting stock or voting power is beneficially owned directly or indirectly by the Company. 

 
 

ARTICLE 3
  PARTICIPATION    
    

        3.1    Participation.    The Company's management, in its sole discretion, shall determine those employees of an
Employer who will be Participants in the Plan and the benefits to which each Participant may become eligible to receive under the Plan. In order to participate in the Plan, each Participant must
promptly sign and return to the Company a participation agreement in the form provided by the Company (a "Participation Agreement"), which shall set forth whether the Participant may become eligible
for a Severance Benefit under the Plan, the definitions of the components of the Severance Benefit to which the Participant may become entitled to receive, the Participant's Minimum Benefit
Percentage, if applicable, and additional details about the Plan. 

        3.2    Termination of Employment.    Notwithstanding anything else contained herein to the contrary, a Participant
shall not be deemed to have terminated employment if his or her employment by an Employer terminates but he or she continues as an employee of another Employer or his or her employment by an Employer
or his or her employment by an Employer transfers to a Purchaser pursuant to the Transfer of Undertakings (Protection of Employment) Regulations 1981. 

        3.3    Benefit Offset.    Notwithstanding anything else contained herein to the contrary, any benefits otherwise
payable or deliverable under this Plan to a Participant shall be offset or reduced by the amount of severance benefits payable or deliverable to the Participant under any other redundancy, severance
or other plan, program, or agreement (including, without limitation, any employment agreement) of or with the Company, the Participant's Employer, or their respective affiliates whether contractual,
statutory or otherwise (to the extent the Participant remains entitled to any such benefits after giving effect to the Participant's agreement to waive his or her entitlement to such benefits pursuant
to his or her Participation Agreement); provided, however, that any benefits payable to a Participant under this Plan shall not be offset or reduced by the amount of any benefits payable to such
Participant under the Company's Sale Incentive Plan or the Company's BV Sale Retention Plan, except to the extent that any amounts payable to a Participant under the Sale Incentive Plan and/or BV Sale
Retention Plan are included in the calculation of the Participant's minimum benefit (if applicable) pursuant to Section 4.3. 

        3.4    Re-Employment.    Notwithstanding anything else contained herein to the contrary, a Participant
shall have no right to benefits hereunder with respect to a termination of his or her employment if, in connection with such termination, he or she is otherwise entitled to benefits under this Plan
but, prior to the payment or delivery (or commencement of payment or delivery, as the case may be) of such benefits, the Participant becomes re-employed by his or her Employer or by
another Employer or by any other affiliate of the Company. Notwithstanding anything else contained herein to the contrary, a Participant's right to continuing or additional benefits under this Plan
shall automatically terminate (but the Participant shall have no obligation to re-pay benefits previously paid) if the Participant becomes re-employed by his or her Employer or
by another Employer or by any other affiliate of the Company. If a Participant is re-employed and his or her employment is subsequently terminated and the Participant again becomes
entitled to benefits under the terms of this Plan in connection with such later termination of employment, the amount of payments otherwise payable to the Participant hereunder in connection with such
later termination of employment shall be reduced by 

4

 

the
amount of any payments paid under this Plan to the Participant in connection with any prior termination of his or her employment. 

        3.5    Notice of Termination.    Any termination of a Participant's employment by his or her Employer for Cause or by
a Participant for Good Reason shall be communicated by Notice of Termination. For purposes of this Plan, a "Notice of Termination" shall mean a written notice which shall indicate the specific
termination provision or provisions in this Plan relied upon. The Notice of Termination shall be effective on the date specified in Section 11.9 of this Plan. 

 
 

ARTICLE 4
  SEVERANCE BENEFITS    
    

        4.1    Right to Severance Benefits.    Subject to Section 11.1, a Participant shall be entitled to receive from
the Company, for and on behalf of the Participant's Employer, the applicable Severance Benefits described in this Article 4 if, during the term of the Plan, the Participant incurs a Qualifying
Severance Event. If a Participant's employment by his or her Employer terminates for any reason other than a Qualifying Severance Event, then such Participant shall not be entitled to any Severance
Benefits hereunder. If more than one Qualifying Severance Event occurs with respect to a Participant, such events shall constitute a single Qualifying Severance Event and the provisions of this
Article 4 shall apply with respect to the Participant only once. A Participant's continued employment shall not constitute a consent to, or a waiver of rights with respect to, any circumstances
constituting Good Reason for purposes of determining if a Qualifying Severance Event has occurred with respect to the Participant provided the Participant serves his or her Notice of Termination
within the term of the Plan. 

        4.2    Severance Benefits.    

        4.2.1    If a Participant becomes entitled to receive Severance Benefits in accordance with Section 4.1, then such
Participant shall become entitled to the following benefits, each of which is defined in Exhibit C to such Participant's Participation Agreement: (a) a Cash Severance Benefit,
(b) a Pro-Rata Bonus Payment, (c) an Outplacement Benefit and (d) Non-Cash Severance Benefits. 

        4.2.2    If a Participant's employment by an Employer transfers by operation of law to a Purchaser, or following a BV Sale, the
Company ceases to control the voting power of the Employer then such Participant shall become immediately entitled to the following benefits, each of which is defined in Exhibit C to such
Participant's Participation Agreement: (a) a Pro-Rata Bonus Payment and (b) Non-Cash Severance Benefits. 

        4.2.3    Notwithstanding the foregoing, if a Participant's employment by an Employer transfers by operation of law to a
Purchaser, or following a BV Sale, the Company ceases to control the voting power of the Employer and within 12 months of the sale or transfer the Participant's employment with such Purchaser
is either terminated by the Purchaser for any reason other than for Cause or by such Participant for Good Reason, then such Participant shall become entitled to the following benefits, each of which
is defined in Exhibit C to such Participant's Participation Agreement: (i) a Cash Severance Benefit, calculated as though the benefit became payable upon the date the Company ceased to
own or control the business employing the Participant and (ii) an Outplacement Benefit; provided that the amount of such benefits, if triggered, shall be reduced by the amount of severance
benefits payable or deliverable to the Participant under any severance plan, policy, program or agreement of the Purchaser or any of its affiliates. The Board shall make the determination of whether a
termination of a Participant's employment by a Purchaser qualifies as a termination for Cause, or whether a termination of employment with a Purchaser by the Participant qualifies as a termination for
Good Reason, and in such context shall treat the Purchaser as the Employer for purposes of the definition of such term. 

5

 

        4.3    Minimum Benefit for Designated Participants.    

        4.3.1    The Company's management, in its sole discretion, shall determine if a Participant shall be entitled to receive a
minimum Plan benefit pursuant to this Section 4.3 and, and with respect to each such Participant, his or her Minimum Benefit Percentage. Each Participant's Participation Agreement will indicate
whether the Participant is subject to this Section 4.3 and will set forth the Participant's Minimum Benefit Percentage, if applicable, which may vary amongst Participants. 

        4.3.2    If a Participant who has been designated as eligible to receive a minimum Plan benefit under this Section 4.3
becomes entitled to a Cash Severance Benefit pursuant to Section 4.2, then the sum of the participant's Cash Severance Benefit, any Pro-Rata Bonus Payment, any amount payable to
such Participant under the Company's Sale Incentive Plan, any other severance benefits payable to the Participant under local law or otherwise (including without limitation, any severance paid to the
Participant by a Purchaser or any of its affiliates in the circumstances contemplated by Section 4.2.3), without duplicating any offset of benefits as provided for in Section 3.3, and
any amount payable to such Participant under the Company's BV Sale Retention Plan, must be at least equal to the Participant's Minimum Benefit Percentage of the Participant's annualized rate of Base
Salary in effect immediately prior to the Participant's Severance Date. If such minimum amount is not satisfied, the Company, for and on behalf of the Participant's Employer, shall increase such
Participant's Cash Severance Amount by the amount of the shortfall as a supplemental benefit paid on the same terms as the Cash Severance Amount. To the extent that such an increase is made and the
Participant later becomes entitled to benefits with respect to the Sale Incentive Plan, BV Sale Retention Plan or additional benefits with respect to this Plan (in either case, to the extent that such
benefits were not included in the calculation of the initial shortfall amount), then the amount by which the Cash Severance Amount was increased for the shortfall will offset any such benefits
otherwise due to the Participant. 

        4.4    Timing and Manner of Payment of Severance Benefits.    Any Pro-Rata Bonus Payment shall be paid by
the Company to the Participant (or his or her Beneficiary) in the form of a single lump sum cash payment within 60 days after the Participant's Severance Date. Any Cash Severance Benefit shall
be paid by the Company, for and on behalf of the participant's Employer, to the Participant (or his or her Beneficiary) in the form of a single lump sum cash payment within 60 days after the
Participant's Severance Date or in a series of substantially equal payments (without interest), no less frequently than monthly, over a period not to exceed 12 months, with the first payment to
commence upon the first day of the month immediately following the Participant's Severance Date. The Company shall determine, in its sole discretion, whether such Cash Severance Benefit shall be paid
in the form of a single lump sum or a series of installments. Subject to Section 7.1, any Outplacement Benefit and Non-Cash Severance Benefit, as applicable to the Participant,
shall be paid in accordance with the terms set forth in Exhibit C to the Participant's Participation Agreement. 

 
 

ARTICLE 5
  TAXES    
    

        The Company and/or the Participant's Employer, as applicable, has the right to withhold from any amount otherwise payable to a Participant under or pursuant to
this Plan the amount of any taxes or other statutory deductions that the Company or such Employer may legally be required to withhold with respect to such payment (including, without limitation,
income tax, National Insurance contributions and (if applicable) any United States Federal taxes, and any other foreign, state, city, or local taxes). In the event that tax withholding is required
with respect to amounts or benefits payable or deliverable by the Company or the Participant's Employer to a Participant and the Company or the Employer cannot satisfy its tax withholding obligations
in the manner described in the preceding sentence, the Company or the Employer may require the Participant to pay or provide for the payment of such required tax withholding as a condition to the
payment or delivery of such amounts or benefits. 

6

 

        Each
Participant, former Participant and Beneficiary shall be solely responsible for all income and employment taxes arising in connection with participation in this Plan or benefits
hereunder. 

 
 

ARTICLE 6
  PAYMENT OBLIGATIONS    
    

        6.1    Liability for Payment.    Except for the benefits related to Performance Shares, Deferred Stock Units, Stock
Options and/or Dividend Equivalents which shall be paid by the appropriate entity as determined under the provisions of the incentive plan under which the award was granted, and in the case of
benefits payable under Article 4 hereof, the Company, for and on behalf of the Participant's Employer, shall be liable for the payment of benefits under this Plan with respect to each
Participant. 

        6.2    Payment of Obligations Absolute.    Subject to the Participant's compliance with Section 11.1 and the
agreement contemplated thereby and subject to Section 3.4 and Article 5, the Company's obligation to make the payments and the arrangements provided for herein shall be absolute and
unconditional, and shall not be affected by any circumstances, including, without limitation, any offset, counterclaim, recoupment, defense, or other right which the Company may have against the
Participant or anyone else except as provided in Section 3.3 and/or Section 3.4. All amounts payable by the Company
hereunder shall be paid without notice or demand. Each and every payment made hereunder by the Company shall be final, and the Company shall not seek to recover all or any part of such payment from
the Participant or from whomsoever may be entitled thereto, for any reasons whatsoever, except as otherwise provided in Section 3.4 or Article 8 and subject to the Participant's
compliance with Section 11.1 and the agreement contemplated thereby. 

        Participants
shall not be obligated to seek other employment in mitigation of the amounts payable or arrangements made under any provision of this Plan, and the obtaining of any such
other employment shall in no event effect any reduction of the Company's obligations to make the payments and arrangements required to be made under this Plan. 

        6.3    Unsecured General Creditor.    Participants and their Beneficiaries, heirs, successors, and assigns shall have
no legal or equitable rights, claims, or interest in any specific property or assets of the Company. No assets of the Company shall be held under any trust, or held in any way as collateral security
for the fulfilling of the obligations of the Company under this Plan. Any and all of the Company's assets shall be, and remain, the general unpledged, unrestricted assets of the Company. The Company's
obligation under this Plan shall be merely that of an unfunded and unsecured promise of the Company to pay money in the future, and the rights of the Participants and Beneficiaries shall be no greater
than those of unsecured general creditors. It is the intention of the Company that this Plan be unfunded for purposes of the Code and for purposes of Title I of the Employee Retirement Income Security
Act of 1974, as amended. 

        6.4    Relationship to Other Plans.    By accepting participation in this Plan, each Participant (a) consents
to the payment terms set forth in this Plan, (b) agrees that this Plan amends the otherwise inconsistent terms of any Company or Employer compensation, incentive, benefit or perquisite plan or
program, and (c) agrees that such sections of this Plan will control to the extent that any inconsistency may exist between those sections and the terms of any Company or Employer compensation,
incentive, benefit or perquisite plan, policy or program. 

        6.5    Other Benefit Plans.    All payments, benefits and amounts provided under this Plan shall be in addition to and
not in substitution for any pension rights under the Company's or other Employer's tax-qualified pension plan in which the Participant participates, and any disability, permanent health
insurance or other Company or other Employer benefit plan distribution that a Participant is entitled to, under the terms of any such plan, at the time his or her employment by his or her Employer
terminates. Notwithstanding the foregoing, this Plan shall not create an inference that any duplicate payments shall be required. Payments received by a person under this Plan shall not be deemed a
part 

7

 

of
the person's compensation for purposes of determining the person's benefits under any employee welfare, pension or other benefit plan or arrangement, if any, provided by an Employer, except where
explicitly provided under the terms of such plan or arrangement. 

 
 

ARTICLE 7
  RESOLUTION OF DISPUTES    
    

        7.1    Claim.    A person who believes that he or she is being denied a benefit to which he or she is entitled under
this Plan (hereinafter referred to as "Claimant") may file a written request for such benefit with the Committee, setting forth his or her claim. The request must be addressed to the Committee
at the Company's principal place of business. 

        7.2    Claim Decision.    Upon receipt of a claim, the Committee shall advise the Claimant that a reply will be
forthcoming within 90 days and shall, in fact, deliver such reply within such period. The Committee may, however, extend the reply period for an additional 90 days for special
circumstances. 

        If
the claim is denied in whole or in part, the Committee shall inform the Claimant in writing, using language calculated to be understood by the Claimant, setting forth: (a) the
specific reason or reasons for such denial; (b) the specific reference to pertinent provisions of this Plan on which such denial is based; (c) a description of any additional material or
information necessary for the Claimant to perfect his or her claim and an explanation why such material or such information is necessary; (d) appropriate information as to the steps to be taken
if the Claimant wishes to submit the claim for review; and (e) the time limits for requesting a review under Section 8.3. 

        7.3    Request for Review.    Within 60 days after the receipt by the Claimant of the written opinion described
above, the Claimant may request in writing that the Committee review the determination. Such request must be addressed to the Committee, at the Company's principal place of business. The Claimant or
his or her duly authorized representative may, but need not, review the pertinent documents and submit issues and comments in writing for consideration by the Committee. 

        7.4    Review of Decision.    Within 60 days after the Committee's receipt of a request for review, after
considering all materials presented by the Claimant, the Committee will inform the Claimant in writing, in a manner calculated to be understood by the Claimant, of its decision setting forth the
specific reasons for the decision and containing specific references to the pertinent provisions of this Plan on which the decision is based. If special circumstances require that the 60 day
time period be extended, the Committee will so notify the Claimant and will render the decision as soon as possible, but no later than one hundred twenty days after receipt of the request for review. 

 
 

ARTICLE 8
  RESOLUTION OF DISPUTES—ARBITRATION    
    

        8.1    A Participant or Beneficiary must complete the claims procedure described in Article 97 before submitting any
claim or controversy arising out of or in connection with this Plan to arbitration as described below in this Article 8. 

        8.2    Except in so far as precluded by s.203 of the Employment Rights Act 1996, any dispute arising out of or in connection
with this contract, including any question regarding its existence, validity or termination, shall be referred to and finally resolved by arbitration under the London Court of International
Arbitration Rules, which Rules are deemed to be incorporated by reference into this clause. 

        8.3    The number of arbitrators shall be one. 

        8.4    The seat, or legal place, of arbitration shall be London, England. 

        8.5    The language to be used in the arbitral proceedings shall be English. 

8

 

        8.6    The governing law of the contract shall be the substantive law of the State of California, United States of America. 

 
 

ARTICLE 9
  SUCCESSORS AND ASSIGNMENT    
    

        9.1    Successors to the Company.    The Company will require any successor (whether direct or indirect, by purchase,
merger, consolidation, or otherwise) of all or substantially all of the business and/or assets of the Company or of any division or subsidiary thereof (the business and/or assets of which constitute
at least fifty percent (50%) of the total business and/or assets of the Company after the BV Sale) to expressly assume and agree to perform the Company's obligations under this Plan in the same manner
and to the same extent that the Company would be required to perform them if such succession had not taken place. 

        9.2    Assignment by the Participant.    None of the benefits, payments, proceeds or claims of any Participant shall
be subject to any claim of any creditor and, in particular, the same shall not be subject to attachment or garnishment or other legal process by any creditor, nor shall any such Participant have any
right to alienate, anticipate, commute, pledge, encumber or assign any of the benefits or payments or proceeds that he or she may expect to receive, contingently or otherwise, under this Plan.
Notwithstanding the foregoing, benefits that are in pay status may be subject to a court order of garnishment or wage assignment, or similar order, or a tax levy. This Plan shall inure to the benefit
of and be enforceable by each Participant's personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees, and legatees. If a Participant dies while any
amount would still be payable to him or her hereunder had he or she continued to live, all such amounts, unless otherwise provided herein, shall be paid to the Participant's Beneficiary in accordance
with the terms of this Plan. 

 
 

ARTICLE 10
  ADMINISTRATION OF THE PLAN    
    

        10.1    Committee Action.    The Committee shall act at meetings by affirmative vote of a majority of the members of
the Committee. Any action permitted to be taken at a meeting may be taken without a meeting if, prior to such action, a written consent to the action is signed by all members of the Committee and such
written consent is filed with the minutes of the proceedings of the Committee. A member of the Committee shall not vote or act upon any matter which relates solely to himself or herself as a
Participant. The Chairman or any other member or members of the Committee designated by the Chairman may execute any certificate or other written direction on behalf of the Committee. 

        10.2    Powers and Duties of the Committee.    The Committee shall enforce this Plan in accordance with its terms,
shall be charged with the general administration of this Plan, and shall have all powers necessary to accomplish its purposes, including, but not by way of limitation, the power and authority to do
the following: 

	(a)
	To
determine eligibility for and participation in this Plan;

	(b)
	To
construe and interpret the terms and provisions of this Plan;

	(c)
	To
compute and certify to the amount and kind of benefits payable to Participants and their Beneficiaries, and to determine the amount of withholding taxes to be deducted pursuant to
Article 5;

	(d)
	To
maintain all records that may be necessary for the administration of this Plan;

	(e)
	To
provide for the disclosure of all information and the filing or provision of all reports and statements to Participants, Beneficiaries or governmental agencies as shall be required
by law; 

9

 

	(f)
	To
make and publish such rules for the regulation of this Plan and procedures for the administration of this Plan as are not inconsistent with the terms hereof; and

	(g)
	To
appoint a plan administrator or any other agent (which may include, without limitation, one or more employees of the Company), and to delegate to them such powers and duties in
connection with the administration of this Plan as the Committee may from time to time prescribe. 

        10.3    Construction and Interpretation.    The Committee shall have full discretion to construe and interpret the
terms and provisions of this Plan, including whether, for purposes of the Plan, a termination of a Participant's employment has been with or without Cause or for Good Reason, which interpretation or
construction shall be final and binding on all parties, including but not limited to each Employer and any Participant or Beneficiary. The Committee shall administer such terms and provisions in full
accordance with any and all laws applicable to this Plan. 

        10.4    Information.    To enable the Committee to perform its functions, each Employer shall supply full and timely
information to the Committee on all matters relating to the compensation of all Participants, their death or other cause of termination, and such other pertinent facts as the Committee may require. 

        10.5    Compensation, Expenses and Indemnity.    The members of the Committee shall serve without additional
compensation for their services hereunder beyond that which they are entitled as authorized by the Board. The Committee is authorized at the expense of the Company to employ such legal counsel as it
may deem advisable to assist in the performance of its duties hereunder. The Company shall pay expenses and fees in connection with the administration of this Plan. To the extent permitted by
applicable law, the Company shall indemnify and save harmless the Committee and each member thereof, the Board and each member thereof, and delegates of the Committee who are employees of the Company
against any and all expenses, liabilities and claims, including legal fees to defend against such liabilities and claims arising out of their discharge in good faith of responsibilities under or
incident to this Plan, other than expenses and liabilities arising out of willful misconduct. This indemnity shall not preclude such further indemnities as may be available under insurance purchased
by the Company or provided by the Company under any bylaw, agreement or otherwise, as such indemnities are permitted under state law. 

 
 

ARTICLE 11
  MISCELLANEOUS    
    

        11.1    Release Agreement.    Notwithstanding anything else contained herein to the contrary, the Company's obligation
to pay benefits to a Participant is subject to the condition precedent that the Participant execute a valid and effective Release Agreement in the form attached to the Participant's Participation
Agreement (or such other form as the Committee may require) and such executed agreement is received by the Company no later than 60 days after
the Participant's Severance Date and is not revoked by the Participant or otherwise rendered unenforceable by the Participant. 

        11.2    Term of the Plan.    This Plan will commence on the Effective Date and shall continue in effect through the
first to occur of (1) July 1, 2005 or (2) a determination by the Board that a BV Sale is not reasonably expected to occur on or before July 1, 2005; provided that the Board
may, in its discretion, extend the term of the Plan beyond such date. Notwithstanding the preceding sentence, the Plan shall continue beyond such date with respect to a Participant to the extent that
a contract is in place on July 1, 2005 to complete the sale of the Employer at which such Participant is then employed, in which case the Plan shall continue with respect to such Participant
until the earlier to occur of: (1) the completion of the sale of such Employer or (2) the expiration or any other termination of such contract without the sale being completed.
Termination of the Plan shall not modify the 12-month severance protection provided in Section 4.2.3, and such protection shall continue pursuant to its terms 

10

 

until
the applicable 12-month period has expired. In addition, the termination of this Plan shall have no effect on any other severance protections provided pursuant to other severance
programs maintained by an Employer or any affiliate. 

        11.3    Employment Status.    Except as may be provided under any other written agreement between a Participant and
his or her Employer, the employment of the Participant by his or her Employer may be terminated by either the Participant or the Employer at any time, subject to applicable law. Payments made under
this Plan shall not give any person the right to any benefits provided to persons retained in an Employer's employ (such as, without limitation, health and dental benefits). Except as may otherwise be
required by law or set forth specifically in such plans or as otherwise expressly provided in this Plan, such benefits shall terminate as of the date the Participant's employment by an Employer
terminates. 

        11.4    Beneficiaries.    Subject to the other provisions of this Section 11.4, the person or persons
(including a trustee, personal representative or other fiduciary) last designated in writing by a Participant in accordance with procedures established by the Committee to receive the benefits
specified hereunder in the event of the Participant's death shall be the Participant's Beneficiary or Beneficiaries. 

        No
Beneficiary designation shall become effective until it is filed with the Committee, and no Beneficiary designation of someone other than a Participant's spouse shall be effective
unless such designation is consented to by the Participant's spouse on a form provided by and in accordance with procedures established by the Committee or its delegate. 

        If
there is no Beneficiary designation in effect with respect to a Participant, or if there is no surviving designated Beneficiary, then the Participant's surviving spouse shall be the
Beneficiary. If there is no surviving spouse to receive any benefits payable in accordance with the preceding sentence, the duly appointed and currently acting personal representative of the
Participant's estate (which shall include either the Participant's probate estate or living trust) shall be the Beneficiary. In any case where there is no such personal representative of the
Participant's estate duly appointed and acting in that capacity within 90 days after the Participant's death (or such extended period as the Committee determines is
reasonably necessary to allow such personal representative to be appointed, but not to exceed 180 days after the Participant's death), then Beneficiary shall mean the person or persons who can
verify by affidavit or court order to the satisfaction of the Committee that they are legally entitled to receive the benefits specified hereunder. 

        Notwithstanding
anything else herein to the contrary, in the event any amount is payable under this Plan to a minor, payment shall not be made to the minor, but instead be paid:
(a) to that person's living parent(s) to act as custodian; (b) if that person's parents are then divorced, and one parent is the sole custodial parent, to such custodial parent; or
(c) if no parent of that person is then living, to a custodian selected by the Committee to hold the funds for the minor under the Uniform Transfers or Gifts to Minors Act in effect in the
jurisdiction in which the minor resides. If no parent is living and the Committee decides not to select another custodian to hold the funds for the minor, then payment shall be made to the duly
appointed and currently acting guardian of the estate for the minor or, if no guardian of the estate for the minor is duly appointed and currently acting within 60 days after the date the
amount becomes payable, payment shall be deposited with the court having jurisdiction over the estate of the minor. 

        11.5    Payments on Behalf of Persons Under Incapacity.    In the event that any amount becomes payable under this
Plan to a person who, in the sole judgment of the Committee, is considered by reason of physical or mental condition to be unable to give a valid receipt therefor the Committee may direct that such
payment be made to any person found by the Committee, in its sole judgment, to have assumed the care of such person. Any payment made pursuant to such determination shall constitute a full release and
discharge of the Committee and all Employers. 

11

 

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

        11.7    Severability.    In the event any provision of this Plan shall be held illegal or invalid for any reason, the
illegality or invalidity shall not affect the remaining parts of this Plan, and this Plan shall be construed and enforced as if the illegal or invalid provision had not been included. Further, the
captions of this Plan are not part of the provisions hereof and shall have no force and effect. 

        11.8    Modification.    The Committee or the Board may from time to time amend this Plan in any way it determines to
be advisable; provided, however, that no such amendment shall be effective without the consent of each affected Participant (or the Participant's legal representative). No provision of this Plan may
be waived unless as to a Participant such waiver is agreed to in writing and signed by the Participant (or the Participant's legal representative) and by an authorized member of the Committee (or the
Board) or its designee or legal representative. 

        11.9    Notice.    For purposes of this Plan, notices, including Notice of Termination, and all other communications
provided for in this Plan shall be in writing and shall be deemed to have been duly given when delivered or on the date stamped as received by a recognized international courier (such as FedEx)
postage and mailing fee prepaid and addressed: (a) if to the Participant, to his or her latest address as reflected on the records of the Company or his or her Employer, and (b) if to an
Employer, to the attention of the Company's Corporate Secretary at the address of the Company's principal executive offices; or to such other address as either party may furnish to the other in
writing for the delivery of notices to that party, with specific reference to this Plan and the importance of the notice, except that a notice of change of address shall be effective only upon receipt
by the other party. 

        11.10    Applicable Law.    To the extent not preempted by the laws of the United States, the laws of the State of
California shall be the controlling law in all matters relating to this Plan. Any statutory reference in this Plan shall also be deemed to refer to all applicable final rules and final regulations
promulgated under or with respect to the referenced statutory provision. 

        11.11    Compliance with Statutory Obligations.    Benefits payable under this Plan are intended to satisfy, where
applicable, any Company or other Employer's obligations under the Employment Rights Act 1996, the Federal Worker Adjustment and Retraining Notification Act and any similar obligations that the Company
or any other Employer may have under any successor or other severance pay statute. 

        11.12    No Sale Obligation.    Notwithstanding anything else contained herein or in any Participation Agreement or
other agreement related to the Plan to the contrary, the Company and its subsidiaries have no obligation to close, negotiate or otherwise pursue any sale or other disposition of all or substantially
all of BV or any component thereof. The existence of the Plan, the Participation Agreements, and the conditional rights of Participants under the Plan shall not limit, affect or restrict in any way
the right or power of the Company or any of its subsidiaries to make or authorize (or to refrain from making or authorizing, as the case may be): (a) any adjustment, recapitalization,
reorganization or other change in capital structure or business; (b) any merger, amalgamation, consolidation or change in ownership; (c) any dissolution or liquidation; (d) any
sale or transfer of assets or business; or (e) any other corporate act or proceeding by the entity. 

        IN WITNESS WHEREOF, the Company has caused its duly authorized officer to execute this Plan as of the date first set forth above. 

	 	 	EDISON MISSION ENERGY
	

 	
 	

12

 
 
 

EXHIBIT A    
    

Edison Mission Energy International Revenue Base  

	Project
 
	 	Country
	 	2003 Revenues from

Consolidated Subsidiaries
	 	EME Ownership

Interest
	 	EME Share of Revenues
	 	2003 Revenues of

Unconsolidated Subsidiaries
	 	EME Ownership

Interest
	 	EME Share of Revenues
	 	2003 Revenue Base
	 	Percentage of

International Revenue

Base
	 
	Europe	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	First Hydro	 	United Kingdom	 	$	367,633,000	 	100	%	$	367,633,000	 	$	—	 	 	 	$	—	 	$	367,633,000	 	20	%
	Derwent	 	United Kingdom	 	 	—	 	 	 	 	—	 	 	106,316,000	 	33	%	 	35,084,280	 	 	35,084,280	 	2	%
	ISAB	 	Italy	 	 	—	 	 	 	 	—	 	 	480,685,000	 	49	%	 	235,535,650	 	 	235,535,650	 	13	%
	Italian Wind	 	Italy	 	 	—	 	 	 	 	—	 	 	83,234,000	 	50	%	 	41,617,000	 	 	41,617,000	 	2	%
	Doga	 	Turkey	 	 	123,956,000	 	80	%	 	99,164,800	 	 	 	 	 	 	 	—	 	 	99,164,800	 	5	%
	Spanish Hydro	 	Spain	 	 	22,739,000	 	95	%	 	21,706,000	 	 	 	 	 	 	 	—	 	 	21,706,000	 	1	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	 	 	 	 	 	514,328,000	 	 	 	 	488,503,800	 	 	670,235,000	 	 	 	 	312,236,930	 	 	800,740,730	 	44	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	Asia	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Paiton	 	Indonesia	 	 	—	 	 	 	 	 	 	 	485,018,000	 	40	%	 	194,007,200	 	 	194,007,200	 	11	%
	PT Momi	 	Indonesia	 	 	17,994,000	 	100	%	 	17,994,000	 	 	 	 	 	 	 	—	 	 	17,994,000	 	1	%
	PT Adro	 	Indonesia	 	 	—	 	 	 	 	—	 	 	—	 	8	%	 	—	 	 	—	 	 	 
	CBK	 	Philippines	 	 	1,424,000	 	100	%	 	1,424,000	 	 	65,625,000	 	50	%	 	32,812,500	 	 	34,236,500	 	2	%
	TECO	 	Thailand	 	 	—	 	 	 	 	—	 	 	214,119,000	 	25	%	 	53,529,750	 	 	53,529,750	 	3	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	 	 	 	 	 	19,418,000	 	 	 	 	19,418,000	 	 	764,762,000	 	 	 	 	280,349,450	 	 	299,767,450	 	16	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	Australia	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Loy Yang B	 	Australia	 	 	178,531,000	 	100	%	 	178,531,000	 	 	 	 	 	 	 	—	 	 	178,531,000	 	10	%
	Valley Power	 	Australia	 	 	16,250,000	 	80	%	 	13,065,000	 	 	 	 	 	 	 	—	 	 	13,065,000	 	1	%
	Kwinana	 	Australia	 	 	38,914,000	 	70	%	 	27,239,800	 	 	 	 	 	 	 	—	 	 	27,239,800	 	1	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	 	 	 	 	 	233,695,000	 	 	 	 	218,835,800	 	 	—	 	 	 	 	—	 	 	218,835,800	 	12	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	New Zealand	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Contact Energy	 	New Zealand	 	 	755,524,000	 	51	%	 	385,317,240	 	 	 	 	 	 	 	—	 	 	385,317,240	 	21	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	 	 	 	 	 	755,524,000	 	 	 	 	385,317,240	 	 	—	 	 	 	 	—	 	 	385,317,240	 	21	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	Americas	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Eco Electrica	 	Puerto Rico	 	 	—	 	 	 	 	—	 	 	234,896,000	 	50	%	 	117,448,000	 	 	117,448,000	 	6	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	 	 	 	 	 	—	 	 	 	 	—	 	 	234,896,000	 	 	 	 	117,448,000	 	 	117,448,000	 	6	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	Non Project	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 
	Total	 	 	 	$	1,522,965,000	 	 	 	$	1,112,074,840	 	$	1,669,893,000	 	 	 	$	710,034,380	 	$	1,822,109,220	 	100	%
	 	 	 	 	
	 	 	 	
	 	
	 	 	 	
	 	
	 	 	 

13

QuickLinks

EDISON MISSION ENERGY BV SALE SEVERANCE PLAN—UK

TABLE OF CONTENTS

EDISON MISSION ENERGY BV SALE SEVERANCE PLAN—UK

ARTICLE 1 ESTABLISHMENT, TERM, AND PURPOSE

ARTICLE 2 DEFINITIONS

ARTICLE 3 PARTICIPATION

ARTICLE 4 SEVERANCE BENEFITS

ARTICLE 5 TAXES

ARTICLE 6 PAYMENT OBLIGATIONS

ARTICLE 7 RESOLUTION OF DISPUTES

ARTICLE 8 RESOLUTION OF DISPUTES—ARBITRATION

ARTICLE 9 SUCCESSORS AND ASSIGNMENT

ARTICLE 10 ADMINISTRATION OF THE PLAN

ARTICLE 11 MISCELLANEOUS

EXHIBIT A

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00065-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00065-of-00352.parquet"}]]