Document:

exv10w1

Exhibit 10.1

NORDSTROM, INC.

INDEMNIFICATION AGREEMENT

     THIS INDEMNIFICATION AGREEMENT (the “Agreement”) is entered into effective as of February 24,
2009, between Nordstrom, Inc., a Washington corporation (the “Company”), and ___, a director
of the Company (“Indemnitee”).

RECITALS

     A. Indemnitee is a director of the Company and in such capacity is performing valuable
services for the Company.

     B. The Company’s directors have certain existing indemnification arrangements pursuant to the
Bylaws of the Company (“Bylaws”) and may be entitled to indemnification pursuant to the Washington
Business Corporation Act (the “Statute”). Nevertheless, the Board of Directors of the Company (the
“Board”) recognizes the limitations on the protection provided by such indemnification and the
uncertainties as to its availability in any particular situation.

     C. The Bylaws specifically provide that the indemnification arrangements provided thereunder
are not exclusive, and that contracts may be entered into between the Company and the members of
its Board with respect to indemnification of such directors.

     D. The Company has determined that it is reasonable and prudent for the Company to minimize
any uncertainty regarding the availability of indemnification protections and that in order to
facilitate the Company’s ability to attract and retain qualified individuals to serve as directors,
the Company should act to assure such persons that there will be increased certainty of such
protection in the future so that the Company’s directors are able to continue to serve free from
undue concern that they will not be adequately protected.

     E. This Agreement is a supplement to and in furtherance of the Bylaws and any resolutions
adopted pursuant thereto, and shall not be deemed a substitute therefor, nor to diminish or
abrogate any rights of Indemnitee thereunder.

     F. In order to induce Indemnitee to serve or to continue to serve as a director of the
Company, the Company has agreed to enter into this Agreement with Indemnitee.

     NOW, THEREFORE, in consideration of the recitals above, the mutual covenants and agreements
set forth in this Agreement, and Indemnitee’s service as a director after the date hereof, the
Company and Indemnitee agree as follows:

     1. Indemnification

          a. Scope. The Company agrees to hold harmless and indemnify (and shall also advance expenses
as incurred to the full extent permitted by law and as set forth herein) Indemnitee to the fullest
extent permitted by law against any Damages (as defined in Section 1(d)) incurred by Indemnitee
with respect to any Proceeding (as defined in Section 1(e))

 

 

to which Indemnitee is or is threatened to be made a party or witness, notwithstanding that
such indemnification is not specifically authorized by this Agreement, the Company’s Articles of
Incorporation (“Articles”) or Bylaws, the Statute or otherwise. Such right to indemnification
shall be without regard to the limitations in RCW 23B.08.510 through 23B.08.550; provided, however,
that Indemnitee shall have no right to indemnification on account of (i) acts or omissions of
Indemnitee finally adjudged to be intentional misconduct or a knowing violation of law;
(ii) conduct of Indemnitee finally adjudged to be in violation of RCW 23B.08.310; or (iii) any
transaction with respect to which it is finally adjudged that Indemnitee personally received a
benefit in money, property or services to which Indemnitee was not legally entitled. To the extent
not prohibited by applicable law, the indemnification shall apply without regard to negligent acts
or omissions by Indemnitee. In the event of any change, after the date of this Agreement, in any
applicable law, statute or rule regarding the right of a Washington corporation to indemnify a
member of its board of directors, such changes, to the extent that they would expand Indemnitee’s
rights hereunder, shall be within the scope of Indemnitee’s rights and the Company’s obligations
hereunder, and to the extent that they would narrow Indemnitee’s rights hereunder, shall be
excluded from this Agreement; provided, however, that any change that is required by applicable
laws, statutes or rules to be applied to this Agreement shall be so applied regardless of whether
the effect of such change is to narrow Indemnitee’s rights hereunder.

To the extent that Indemnitee is a party to (or a participant in) and is successful, on the merits
or otherwise, in the defense of any Proceeding or any claim, issue or matter therein, the Company
shall indemnify Indemnitee against all Expenses actually and reasonably incurred by Indemnitee or
on Indemnitee’s behalf in connection therewith. If Indemnitee is successful, on the merits or
otherwise, as to one or more but fewer than all claims, issues or matters in any Proceeding, the
Company shall indemnify Indemnitee against all expenses actually and reasonably incurred by
Indemnitee or on Indemnitee’s behalf in connection with each successfully resolved claim, issue or
matter and any claim, issue or matter related to each such successfully resolved claim, issue or
matter to the fullest extent permitted by law. For purposes of this Section 1 and without
limitation, the termination of any Proceeding or any claim, issue or matter in a Proceeding by
dismissal, with or without prejudice, shall be deemed to be a successful result as to such
Proceeding, claim, issue or matter. To the extent that Indemnitee is, by reason of Indemnitee’s
corporate status, a witness in any Proceeding to which Indemnitee is not a party, Indemnitee shall
be indemnified to the fullest extent permitted by applicable law against all expenses actually and
reasonably incurred by Indemnitee or on Indemnitee’s behalf in connection therewith.

          b. Nonexclusivity. The indemnification provided by this Agreement shall not be deemed
exclusive of any rights to which Indemnitee may be entitled under the Company’s Articles or Bylaws,
any vote of shareholders or disinterested directors, the Statute or otherwise, whether as to
actions or omissions by Indemnitee in Indemnitee’s official capacity or otherwise.

          c. Included Coverage. If Indemnitee is made a party (or is threatened to be made a party) to,
or is otherwise involved (including, but not limited to, as a witness) in any Proceeding, the
Company shall hold harmless and indemnify Indemnitee from and against any and all losses, claims,
damages, costs, expenses and liabilities actually and reasonably incurred in connection with
investigating, defending, being a witness in, participating in or otherwise being involved in
(including on appeal), or preparing to defend, be a witness in, participate in or

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otherwise be involved in (including on appeal), such Proceeding, including but not limited to
attorneys’ fees, judgments, fines, ERISA excise taxes or penalties, amounts paid in settlement, any
federal, state, local or foreign taxes imposed on Indemnitee as a result of the actual or deemed
receipt of any payments pursuant to this Agreement, and other expenses (collectively, “Damages”),
including all interest, assessments or charges paid or payable in connection with or in respect of
such Damages.

          d. Definition of Proceeding. For purposes of this Agreement, “Proceeding” shall mean any
actual, pending, threatened or completed action, suit, claim, investigation, hearing or proceeding
(whether civil, criminal, administrative or investigative and whether formal or informal) in which
Indemnitee is, has been or becomes involved based in whole or in part on or arising out of the fact
that Indemnitee is or has been a director, officer, member of a committee of the Board, employee or
agent of the Company or that, being or having been such a director, officer, member of a committee
of the Board, employee or agent, Indemnitee is or was serving at the request of the Company as a
director, officer, employee, trustee or agent of another corporation or of a partnership, joint
venture, trust or other enterprise (collectively, a “Related Company”), including but not limited
to service with respect to any employee benefit plan, whether the basis of such action, suit,
claim, investigation, hearing or proceeding is alleged action or omission by Indemnitee in an
official capacity as a director, officer, employee, trustee or agent or in any other capacity while
serving as a director, officer, employee, trustee or agent; provided, however, that, except with
respect to an action to enforce this Agreement, “Proceeding” shall not include any action, suit,
claim, investigation, hearing or proceeding instituted by or at the direction of Indemnitee unless
such action, suit, claim, investigation, hearing or proceeding is or was authorized by the Board.

          e. Notification. Promptly after receipt by Indemnitee of notice of the commencement of any
Proceeding, Indemnitee will, if a claim in respect thereof is to be made against the Company under
this Agreement, notify the Company of the commencement thereof (which notice shall be in the form
of Exhibit A hereto); provided, however, that failure to so notify the Company will relieve
the Company from any liability that it may otherwise have to Indemnitee under this Agreement only
if and to the extent that such failure can be shown to have prejudiced the Company’s ability to
defend the Proceeding.

          f. Determination of Entitlement.

               i. Upon the final disposition of the matter that is the subject of the request for
indemnification, a determination shall be made with respect to Indemnitee’s entitlement thereto in
the specific case. If a Change in Control shall not have occurred, the determination shall be made
by: (A) a majority vote of a quorum consisting of directors not at the time parties to the
proceeding; (B) a majority vote of a committee (duly designated by the Board) consisting solely of
two or more directors not at the time parties to the proceeding (even though less than a quorum of
the Board); (C) by Special Legal Counsel; or (D) if so directed by the Board, by the shareholders
of the Company. If a Change in Control shall have occurred, the determination shall be made by
Special Legal Counsel. Any determination made by Special Legal Counsel pursuant to this Section
shall be in the form of a written opinion to the Board, a copy of which shall be delivered to
Indemnitee. Indemnitee shall reasonably cooperate with the person or persons making the
determination, including providing to the person or persons upon

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reasonable advance request any documentation or information which is not privileged or
otherwise protected from disclosure and which is reasonably available to Indemnitee and reasonably
necessary to the determination. Any costs or expenses (including fees and expenses of counsel)
incurred by Indemnitee in so cooperating with the person or persons making the determination shall
be borne by the Company (irrespective of the determination as to Indemnitee’s entitlement to
indemnification), and the Company hereby indemnifies and agrees to hold Indemnitee harmless
therefrom.

               ii. In making any determination as to Indemnitee’s entitlement to indemnification hereunder,
Indemnitee shall, to the fullest extent not prohibited by law, be entitled to a presumption that
Indemnitee is entitled to indemnification under this Agreement if Indemnitee has submitted a
request for indemnification in accordance with Section 1(e), and the Company shall, to the fullest
extent not prohibited by law, have the burdens of coming forward with evidence and of persuasion to
overcome that presumption.

               iii. The termination of any Proceeding or of any claim, issue or matter therein by judgment,
order, settlement or conviction, or upon a plea of nolo contendere or its equivalent, shall not of
itself create a presumption: (A) that Indemnitee did not act in good faith and in a manner which
Indemnitee reasonably believed to be in or not opposed to the best interests of the Company; (B)
that with respect to any criminal Proceeding, Indemnitee had reasonable cause to believe that
Indemnitee’s conduct was unlawful; or (C) that Indemnitee did not otherwise satisfy the applicable
standard of conduct to be indemnified pursuant to this Agreement.

               iv. For purposes of any determination of good faith, to the fullest extent permitted by law,
Indemnitee shall be deemed to have acted in good faith if Indemnitee’s action is based on the
records or books of account of the Company, as applicable, including financial statements, or on
information supplied to Indemnitee by the officers of such entity in the course of their duties, or
on the advice of legal counsel for such entity or on information or records given or reports made
to such entity by an independent certified public accountant, appraiser or other expert selected
with reasonable care by such entity. The provisions of this Section 1(f)(iv) shall not be deemed to
be exclusive or to limit in any way other circumstances in which Indemnitee may be deemed or found
to have met the applicable standard of conduct to be indemnified pursuant to this Agreement.

               v. The knowledge or actions or failure to act of any other director, officer, employee or
agent of the Company shall not be imputed to Indemnitee for purposes of determining Indemnitee’s
right to indemnification under this Agreement.

               vi. If a determination as to Indemnitee’s entitlement to indemnification shall not have been
made pursuant to this Agreement within 60 days after the final disposition of the matter that is
the subject of the request for indemnification, the requisite determination of entitlement to
indemnification shall, to the fullest extent not prohibited by law, be deemed to have been made in
favor of Indemnitee, and Indemnitee shall be entitled to such indemnification, absent (A) a
misstatement of a material fact in the information provided by Indemnitee pursuant to Section 1(e)
or an omission of a material fact necessary in order to make the information provided not
misleading, or (B) a prohibition of such indemnification under applicable law;

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provided that such 60-day period may be extended for a reasonable time, not to exceed an
additional 30 days, if the person or persons making the determination in good faith requires such
additional time to obtain or evaluate any documentation or information relating thereto.

               vii. For the purposes of this Agreement, a “Change in Control” of the Company shall be deemed
to have occurred if: (A) any “person” (as such term is used in Sections 13(d) and 14(d) of the
Securities Exchange Act of 1934, as amended), other than the Company, a trustee or other fiduciary
holding securities under an employee benefit plan of the Company or a corporation owned directly or
indirectly by the shareholders of the Company in substantially the same proportions as their
ownership of stock of the Company, is or becomes the “beneficial owner” (as defined in Rule 13d-3
under the Securities Exchange Act of 1934), directly or indirectly, of securities of the Company
representing more than 15% of the total voting power represented by the Company’s then outstanding
Voting Securities; (B) individuals who, as of the date of this Indemnification Agreement,
constitute the Board (the “Incumbent Board”) cease for any reason to constitute at least a majority
of the Board, provided that any individual becoming a director subsequent to the date hereof whose
election or nomination for election by the Company’s shareholders was approved by a vote of at
least two-thirds of the directors then comprising the Incumbent Board shall be considered as though
such individual were a member of the Incumbent Board; (C) the shareholders of the Company approve a
merger or consolidation of the Company with any other corporation other than a merger or
consolidation which would result in the Voting Securities of the Company outstanding immediately
prior thereto continuing to represent (either by remaining outstanding or by being converted into
Voting Securities of the surviving entity) at least 80% of the total voting power represented by
the Voting Securities of the Company or such surviving entity outstanding immediately after such
merger or consolidation, or the shareholders of the Company approve a plan of complete liquidation
of the Company or an agreement for the sale or disposition by the Company of (in one transaction or
a series of transactions) all or substantially all of the Company’s assets; (D) a transaction or a
series of transactions causes the class of equity securities of the Company which, as of the date
of this Agreement, is subject to Section 12(g) or Section 15(d) of the Securities Exchange Act of
1934, as amended, to be held of record by less than 300 persons; or (E) a transaction or a series
of transactions causes the class of equity securities of the Company which, as of the date of this
Indemnification Agreement, is either listed on a national securities exchange or authorized to be
quoted in an inter-dealer quotation system of a registered national securities association to be
neither listed on any national securities exchange nor authorized to be quoted in an inter-dealer
quotation system of a registered national securities association.

               viii. For purposes of this Agreement, “Voting Securities” shall mean any securities of the
Company that vote generally in the election of directors.

               ix. For the purposes of this Agreement, “Special Legal Counsel” shall mean an attorney or firm
of attorneys, selected by Indemnitee and approved by the Company (which approval shall not be
unreasonably withheld), who shall not have otherwise performed services for the Company or
Indemnitee within the last three years (other than with respect to matters concerning the rights of
Indemnitee under this Agreement, or of other indemnitees under similar indemnification agreements).

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          g. Survival. The indemnification provided under this Agreement shall apply to any and all
Proceedings, notwithstanding that Indemnitee has ceased to be a director, officer, employee,
trustee or agent of the Company or a Related Company.

     2. Expense Advances

          a. Generally. To the extent not prohibited by law, the right to indemnification conferred by
Section 1 shall include the right to have the Company pay Indemnitee’s attorneys’ fees and other
expenses in any Proceeding as such expenses are incurred and in advance of final disposition of the
Proceeding (such right is referred to hereinafter as an “Expense Advance”).

          b. Conditions to Expense Advance. The Company’s obligation to provide an Expense Advance is
subject to the following conditions:

               i. Undertaking. If the Proceeding arose in connection with Indemnitee’s service as a director
of the Company or member of a committee of the Board (and not in any other capacity in which
Indemnitee rendered service, including but not limited to service to any Related Company), then
Indemnitee or Indemnitee’s representative shall have executed and delivered to the Company an
undertaking (in the form of Exhibit B hereto), which need not be secured and shall be
accepted without reference to Indemnitee’s financial ability to make repayment and without
reference to Indemnitee’s ultimate entitlement to indemnification under this Agreement or
otherwise, by or on behalf of Indemnitee, to repay all Expense Advances if and to the extent that
it shall ultimately be determined, by a final decision not subject to appeal rendered by a court
having proper jurisdiction, that Indemnitee is not entitled to be indemnified with respect to the
Proceeding for which the Indemnitee sought the Expense Advance under this Agreement or otherwise.
Indemnitee’s obligation to reimburse the Company for any Expense Advance shall be unsecured and no
interest shall be charged thereon.

               ii. Cooperation. Indemnitee shall give the Company such information and cooperation as the
Company may reasonably request.

               iii. Affirmation. If required under applicable law, Indemnitee shall furnish a written
affirmation of Indemnitee’s good faith belief that Indemnitee has met all applicable standards of
conduct.

     3. Procedures for Enforcement

          a. Enforcement. If a claim for indemnification made by Indemnitee hereunder is not paid in
full within sixty (60) days, or a claim for an Expense Advance made by Indemnitee hereunder is not
paid in full within twenty (20) days, after written notice of such claim is delivered to the
Company, Indemnitee may, but need not, at any time thereafter bring suit against the Company to
recover the unpaid amount of the claim (an “Enforcement Action”). In the alternative, Indemnitee
may pursue Indemnitee’s claim specified in this section through arbitration subject to the rules,
terms, and conditions of the American Arbitration Association (AAA).

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          b. Presumptions in Enforcement Action. In any Enforcement Action the following presumptions
(and limitations on presumptions) shall apply:

               i. The Company shall conclusively be presumed to have entered into this Agreement and assumed
the obligations imposed hereunder in order to induce Indemnitee to serve or to continue to serve as
a director of the Company;

               ii. Neither: (A) the failure of the Company (including but not limited to the Board,
independent or Special Legal Counsel or the Company’s shareholders) to make a determination prior
to the commencement of the Enforcement Action that indemnification of Indemnitee is proper in the
circumstances; nor (B) an actual determination by the Company, the Board, independent or Special
Legal Counsel or the Company’s shareholders that Indemnitee is not entitled to indemnification
shall be a defense to the Enforcement Action or create a presumption that Indemnitee is not
entitled to indemnification hereunder; and

               iii. If Indemnitee is or was serving as a director, officer, employee, trustee or agent of a
corporation of which a majority of the shares entitled to vote in the election of its directors is
held by the Company or in an executive or management capacity in a partnership, joint venture,
trust or other enterprise of which the Company or a wholly-owned subsidiary of the Company is a
general partner or has a majority ownership, then such corporation, partnership, joint venture,
trust or enterprise shall conclusively be deemed a Related Company and Indemnitee shall
conclusively be deemed to be serving such Related Company at the request of the Company.

          c. Attorneys’ Fees and Expenses for Enforcement Action. If Indemnitee is required to bring an
Enforcement Action, the Company shall hold harmless and indemnify Indemnitee against all of
Indemnitee’s attorneys’ fees and expenses in bringing and pursuing the Enforcement Action
(including but not limited to attorneys’ fees at any stage, and on appeal); provided, however, that
the Company shall not be required to provide indemnification for such fees and expenses if a court
of competent jurisdiction determines that any of the material assertions made by Indemnitee in such
Enforcement Action were not made in good faith or were frivolous.

     4. Defense of Claim. With respect to any Proceeding as to which Indemnitee has provided
notice to the Company pursuant to Section 1(e):

          a. The Company may participate therein at its own expense.

          b. The Company, jointly with any other indemnifying party similarly notified, may assume the
defense thereof, with counsel reasonably satisfactory to Indemnitee. After notice from the Company
to Indemnitee of its election to so assume the defense thereof, the Company shall not be liable to
Indemnitee under this Agreement for any legal fees or other expenses (other than reasonable costs
of investigation) subsequently incurred by Indemnitee in connection with the defense thereof
unless: (i) the employment of counsel by Indemnitee or the incurring of such expenses has been
authorized by the Company; (ii) Indemnitee shall have reasonably concluded that there may be a
conflict of interest between the Company and Indemnitee in the conduct of the defense of such
Proceeding; or (iii) the Company shall not in

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fact have employed counsel to assume the defense of such Proceeding, in each of which cases
the legal fees and other expenses of Indemnitee shall be borne by the Company. The Company shall
not be entitled to assume the defense of a Proceeding brought by or on behalf of the Company or as
to which Indemnitee shall have reached the conclusion described in clause (ii) above.

          c. The Company shall not be liable for any amounts paid in settlement of any Proceeding
effected without its written consent.

          d. The Company shall not settle any Proceeding in any manner which would impose any penalty or
limitation on Indemnitee without Indemnitee’s written consent.

          e. Neither the Company nor Indemnitee will unreasonably withhold its or Indemnitee’s consent
to any proposed settlement of any Proceeding.

     5. Maintenance of D&O Insurance

          a. Subject to Section 5(c) below, during the period (the “Coverage Period”) beginning as soon
as practicable following the date of this Agreement and ending not less than six (6) years
following the time Indemnitee is no longer serving as either a director or officer of the Company
or any Related Company, or, if later, such time as Indemnitee shall no longer be reasonably subject
to any possible Proceeding, the Company shall maintain a directors’ and officers’ liability
insurance policy (“D&O Insurance”) in full force and effect, providing in all respects coverage at
least comparable to and in similar amounts as that obtained by other comparable companies.

          b. Under all policies of D&O Insurance, Indemnitee shall during the Coverage Period be named
as an insured in such a manner as to provide Indemnitee the same rights and benefits, subject to
the same limitations, as are accorded to the Company’s directors or officers most favorably insured
by the policy.

          c. The Company shall have no obligation to obtain or maintain D&O Insurance if the Board
determines in good faith that such insurance is not reasonably available, the premium costs for
such insurance are disproportionate to the amount of coverage provided, or the coverage provided by
such insurance is so limited by exclusions as to provide an insufficient benefit.

          d. It is the intention of the parties in entering into this Agreement that the insurers under
the D&O Insurance, if any, shall be obligated ultimately to pay any claims by Indemnitee which are
covered by D&O Insurance, and nothing herein shall be deemed to diminish or otherwise restrict the
Company’s or Indemnitee’s right to proceed or collect against any insurers under D&O Insurance or
to give such insurers any rights against the Company or Indemnitee under or with respect to this
Agreement, including but not limited to any right to be subrogated to the Company’s or Indemnitee’s
rights hereunder, unless otherwise expressly agreed to by the Company and Indemnitee in writing.
The obligation of such insurers to the Company and Indemnitee shall not be deemed reduced or
impaired in any respect by virtue of the provisions of this Agreement.

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     6. Limitations on Indemnification; Mutual Acknowledgment

          a. Limitation on Indemnity. No indemnification pursuant to this Agreement shall be provided
by the Company:

               i. On account of any suit in which a final, unappealable judgment is rendered against
Indemnitee for an accounting of profits made from the purchase or sale by Indemnitee of securities
of the Company in violation of the provisions of Section 16(b) of the Securities Exchange Act of
1934 and amendments thereto; or

               ii. For Damages or Expense Advances that have been paid directly to Indemnitee by an insurance
carrier under a policy of D&O Insurance or other insurance maintained by the Company; or

               iii. In connection with any action, suit or other proceeding (except for an Enforcement Action
brought by the Indemnitee pursuant to Section 3) initiated by Indemnitee (including any such
action, suit or other proceeding (or part thereof) initiated by Indemnitee against the Company or
its directors, officers, employees, agents or other indemnitees), unless: (A) the Board authorized
the action, suit or other proceeding (or part thereof) prior to its initiation; or (B) the Company
provides the indemnification, in its sole discretion, pursuant to the powers vested in the Company
under applicable law.

          b. Mutual Acknowledgment. The Company and Indemnitee acknowledge that, in certain instances,
federal law or public policy may override applicable state law and prohibit the Company from
indemnifying Indemnitee under this Agreement or otherwise. For example, the Company and Indemnitee
acknowledge that the Securities and Exchange Commission (the “SEC”) has taken the position that
indemnification is not permissible for liabilities arising under certain federal securities laws,
and federal legislation prohibits indemnification for certain ERISA violations. Furthermore,
Indemnitee understands and acknowledges that the Company has undertaken or may be required in the
future to undertake with the SEC to submit for judicial determination the issue of the Company’s
power to indemnify Indemnitee in certain circumstances.

     7. Subrogation. In the event of any payment under this Agreement, the Company shall be
subrogated to the extent of such payment to all of the rights of recovery of Indemnitee, who shall
execute all papers required and take all such actions necessary to secure such rights, including
but not limited to execution of such documents as are necessary to enable the Company to bring suit
to enforce such rights.

     8. Severability. Nothing in this Agreement is intended to require or shall be construed as
requiring the Company to take or fail to take any action in violation of applicable law. The
Company’s inability to perform its obligations under this Agreement pursuant to court order shall
not constitute a breach of this Agreement. The provisions of this Agreement shall be severable, as
provided in this Section 8. If a court of competent jurisdiction should decline to enforce any of
the provisions of this Agreement, the Company and Indemnitee agree that such provisions shall be
deemed to be reformed to provide Indemnitee indemnification by the Company to the maximum extent
permitted by the other portions of this Agreement that are not

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unenforceable, the remainder of this Agreement shall not be affected, and this Agreement shall
continue in force.

     9. Governing Law; Binding Effect; Amendment and Termination

          a. This Agreement shall be interpreted and enforced in accordance with the laws of the State
of Washington.

          b. This Agreement shall be binding upon Indemnitee and upon the Company, its successors and
assigns, and shall inure to the benefit of Indemnitee, Indemnitee’s heirs, personal representatives
and assigns and to the benefit of the Company, its successors and assigns.

          c. No amendment, modification, termination or cancellation of this Agreement shall be
effective unless in writing signed by both parties hereto.

          d. Nothing in this Agreement shall confer upon Indemnitee the right to continue to serve the
Company in any capacity. If Indemnitee is an employee of the Company, then, unless otherwise
expressly provided in a written employment agreement between the Company and Indemnitee, the
employment of Indemnitee with the Company shall be terminable at will by either party.

          e. This Agreement may be executed in two counterparts, each of which shall be deemed an
original, but both of which together shall constitute one and the same instrument.

     IN WITNESS WHEREOF, the parties have executed and delivered this Agreement effective as of the
day and year first set forth above.

	 	 	 	 	 
	“Company”	 NORDSTROM, INC.
 	 
	 	By  	/s/ Blake W. Nordstrom	 
	 	 	Blake W. Nordstrom, President 	 
	 	 	 	 
	“Indemnitee” 	 	 	 

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EXHIBIT A

NOTICE OF CLAIM

     1. Notice is hereby given by the undersigned,                     , pursuant to
Section 1(e) of the Indemnification Agreement (“Agreement”) dated as of                     , between
Nordstrom, Inc., a Washington corporation (the “Company”), and the undersigned, of the commencement
of a Proceeding, as defined in the Agreement.

     2. The undersigned hereby requests indemnification with respect to the Proceeding by the
Company under the terms of the Agreement.

     3. [Add brief description of the Proceeding]

     Dated:                     ,                     .

            
                     
                    
                  
         

 

 

EXHIBIT B

STATEMENT OF UNDERTAKING

	 	 	 	 	 	 	 	 	 
	STATE OF
	 	 	 	)	 	 
	 
	 	 

	 	 	 	 	 	 
	 
	 	 	 	) ss.
	 	 
	COUNTY OF
	 	 	 	)	 	 
	 
	 	 	 	 	 	 	 	 

     I,                     , being first duly sworn, do depose and say as follows:

     1. This Statement is submitted pursuant to the Indemnification Agreement (the “Agreement”)
dated as of                      between Nordstrom, Inc., a Washington corporation (the
“Company”), and me.

     2. I am requesting an Expense Advance, as defined in the Agreement.

     3. I hereby undertake to repay the Expense Advance if and to the extent it is ultimately
determined by a final, unappealable decision rendered by a court having proper jurisdiction that I
am not entitled to be indemnified by the Company.

     4. The expenses for which advancement is requested are as follows:

[Add brief description of expenses]

     DATED:                     ,                    .

                                                                   
             

SUBSCRIBED AND SWORN TO before me this                      day of                     ,

	 	 	 
	 
	 	 
	(Seal or stamp)
	 	Notary Signature
	 
	 	 
	 
	 	 
	 
	 	Print/Type Name
	 
	 	Notary Public in and for the State of
	 
	 	 

	 
	 	residing at
	 
	 	 

	 
	 	My appointment expiresexv10w2

Exhibit 10.2

	 	 	 
	Nonqualified Stock Option Grant Agreement 

Time-Vested Option

	 	2009

A NONQUALIFIED STOCK OPTION GRANT (hereinafter the “Option”) for the number of shares of Common
Stock as noted in the 2009 Notice of Grant of Stock Options (the “Notice”), of Nordstrom, Inc., a
Washington Corporation (the “Company”), is hereby granted to the “Optionee” on the date set forth
in the Notice, subject to the terms and conditions of the Agreement. The Option is also subject to
the terms, definitions and provisions of the Nordstrom, Inc. 2004 Equity Incentive Plan (the
“Plan”) adopted by the Board of Directors of the Company and approved by the Company’s
shareholders, which is incorporated in this Agreement. To the extent inconsistent with this
Agreement, the terms of the Plan shall govern. The Compensation Committee of the Board has the
discretionary authority to construe and interpret the Plan and this Agreement. The Option is
subject to the following:

	1.	 	OPTION PRICE
	 
	 	 	The option price is one hundred percent (100%) of the fair market value of the Company’s Common
Stock (“Common Stock”), as determined by the closing price of the Common Stock on the New York
Stock Exchange on the date of grant. For this purpose, the “date of grant” is indicated in the
Notice and reflects either the date the Compensation Committee approves the grant, or if this
date falls within a closed trading period, the first trading day thereafter that falls within an
open trading window.
	 
	2.	 	VESTING AND EXERCISING OF OPTION
	 
	 	 	Except as set forth in Section 5, the Option shall vest and be exercisable pursuant to the terms
of the vesting schedule set forth in the Notice.

	 	(a)	 	Method of Exercise. The Option shall be exercisable (only to the extent vested) by a
written notice in a form prescribed by the Company that shall:

	 	(i)	 	state the election to exercise the Option, the number of shares, the total option
price, and the name and address of the Optionee;
	 
	 	(ii)	 	be signed by the person entitled to exercise the Option; and
	 
	 	(iii)	 	be in writing and delivered to Nordstrom Leadership Benefits (either directly or
through a broker).

	 	 	 	The Company has made arrangements with a broker for stock option management and exercises.
	 
	 	(b)	 	Payment upon Exercise. Payment of the purchase price of any shares with respect to which
an Option is being exercised shall be by:

	 	(i)	 	check or bank wire transfer,
	 
	 	(ii)	 	the surrender of shares of Common Stock previously held for at least six months by
the Optionee, or where not acquired by the Optionee by exercising a stock option, having
a fair market value at least equal to the exercise price, or
	 
	 	(iii)	 	giving an irrevocable direction for a broker approved by the Company to sell all
or part of the Option shares and to deliver to the Company from the sale proceeds in an
amount sufficient to pay the option exercise price and any amount required to be withheld
to meet the Company’s minimum statutory withholding requirements, including the
employee’s share of payroll taxes.
	 
	 	 	 	(The balance of the sale proceeds, if any, will be delivered to

the Optionee.)

	 	 	 	The certificate(s) or shares of Common Stock as to which the Option shall be exercised shall
be registered in the name of the person(s) exercising the Option unless another person is
specified. An Option hereunder may not at any time be exercised for a fractional number of
shares.
	 
	 	(c)	 	Restrictions on Exercise. These Options may not be exercised if the issuance of the
shares upon such exercise would constitute a violation of any applicable federal or state
securities or other law or valid regulation, or the Company’s Insider Trading Policy. As a
condition to the exercise of these Options, the Company may require the person exercising
the Options to make any representation and warranty to the Company as the Company’s counsel
advises and as may be required by the Company or by any applicable law or regulation.

	3.	 	ACCEPTANCE OF OPTIONS
	 
	 	 	Although the Company does not require the Optionee’s signature upon accepting the grant, the
Optionee remains subject to the terms and conditions of this Agreement.
	 
	4.	 	NONTRANSFERABILITY OF OPTIONS
	 
	 	 	The Option may not be sold, pledged, assigned or transferred in any manner otherwise than, in the
event of the Optionee’s death, either indicated on a valid Nordstrom Beneficiary Designation
form, by will or the laws of descent and distribution and, except as set forth in Section 5
below, may be exercised during the lifetime of the Optionee only by the Optionee or by the
guardian or legal representative of the Optionee. The terms of the Option shall be binding upon
the executors, administrators, heirs and successors of the Optionee.
	 
	5.	 	SEPARATION OF EMPLOYMENT
	 
	 	 	Except as set forth below, a vested Option may only be exercised while the Optionee is an
employee of the Company. If an Optionee’s employment is terminated, the Optionee or his or her
legal representative shall have the right to exercise the Option after such termination as
follows:

	 	(a)	 	If the Optionee dies while employed by the Company, the persons named on the Optionee’s
Beneficiary Designation form may exercise such rights. If no Beneficiary Designation form is
on file with the Company, then the person to whom the Optionee’s rights have passed by will
or the laws of descent and distribution may exercise such rights. If the Option was granted
at least six months prior to the death of the Optionee while employed by the Company, it
shall immediately vest and may be exercised during the period ending four years after the Optionee’s death, but in no event later than 10 years after the date of
grant. If the Option was granted less than
six months prior to death, such Option shall be forfeited as of the date of death.
	 
	 	(b)	 	If the Optionee is separated due to his or her disability, as defined in Section 22(e)(3)
of the Internal Revenue Code, the Option, if granted at least six months prior to such
separation and the Optionee provides Nordstrom Leadership Benefits with reasonable
documentation of the Optionee’s disability, shall immediately vest and may be exercised
during the period ending four years after separation, but in no event later than 10 years
after the date of grant. If the Option was granted less than six months prior to separation
due to the Optionee’s disability, such Option shall be forfeited as of the date of
separation.
	 
	 	(c)	 	If the Optionee is separated due to retirement between the ages of 53 and 57 with 10
continuous years of service to the Company from the most recent hire date, or upon attaining
age 58, the Option, if granted at least six months prior to such retirement, shall continue
to vest and may be exercised during the period ending four years after separation, but in no
event later than 10 years after the date of grant. If the Option was granted less than six
months prior to retirement, such Option shall be forfeited as of the date of separation.

1 Nonqualified Stock Option Grant Agreement Time-Vested Option

 

	 	(d)	 	If the Optionee’s employment is terminated due to his or her embezzlement or theft of
Company funds, defraudation of the Company, violation of Company rules, regulations or
policies, or any intentional act that harms the Company, such Option, to the extent not
exercised as of the date of termination, shall be forfeited as of that date.
	 
	 	(e)	 	If the Optionee is separated for any reason other than those set forth in subparagraphs
(a), (b), (c) and (d) above, the Optionee (or Optionee’s beneficiary) may exercise his or
her Option, to the extent vested as of the date of his or her separation, within 100 days
after separation, but in no event later than 10 years after the date of grant.

	 	 	Notwithstanding anything above to the contrary, if during the term of this Option, the Optionee
directly or indirectly, either as an employee, employer, consultant, agent, principal, partner,
shareholder, corporate officer, director or in any other capacity, engages or assists any third
party in engaging in any business competitive with the Company; divulges any confidential or
proprietary information of the Company to a third party who is not authorized by the Company to
receive the confidential or proprietary information; or improperly uses any confidential or
proprietary information of the Company, then the post-separation vesting and exercise rights of
Options set forth above shall cease immediately, and all outstanding vested and unvested portions
of the Options shall be automatically forfeited.
	 
	6.	 	TERM OF OPTIONS
	 
	 	 	The Option may not be exercised more than 10 years from the date of original grant of these
Options, and the vested portion of such Option may be exercised during such term only in
accordance with the Plan and the terms of this Option.
	 
	7.	 	ADJUSTMENTS UPON CHANGES IN CAPITALIZATION
	 
	 	 	The number and kind of shares of Company stock subject to this Option shall be appropriately
adjusted, pursuant to the Plan, along with a corresponding adjustment in the option price to
reflect any stock dividend, stock split, split-up, extraordinary dividend distribution, or any
combination or exchange of shares, however accomplished.
	 
	8.	 	ADDITIONAL OPTIONS
	 
	 	 	The Compensation Committee of the Board of Directors may or may not grant the Optionee additional
stock options in the future. Nothing in this Option or any future grant should be construed as
suggesting that additional grants of options to the Optionee will be forthcoming.
	 
	9.	 	LEAVES OF ABSENCE
	 
	 	 	For purposes of this Option, the Optionee’s service does not terminate due to a military leave, a
sick leave or another bona fide leave of absence if the leave was approved by the Company in
writing and if continued crediting of service is required by the terms of the leave or by
applicable law. But, service terminates when the approved leave ends unless the Optionee
immediately returns to active work.
	 
	 	 	If the Optionee goes on a leave of absence approved by the Company, then the vesting schedule
specified in the Notice may be adjusted in accordance with the Company’s leave of absence policy
or the terms of the leave.
	 
	10.	 	TAX WITHHOLDING
	 
	 	 	In the event that the Company determines that it is required to withhold any tax as a result of
the exercise of this Option, the Optionee, as a condition to the exercise of their Options, shall
make arrangements satisfactory to the Company to enable it to satisfy all withholding
requirements.
	 
	11.	 	RIGHTS AS A SHAREHOLDER
	 
	 	 	Neither the Optionee nor the Optionee’s beneficiary or representative shall have any rights as a
shareholder with respect to any Common Shares subject to this Option, unless and until (i) the
Optionee or the Optionee’s beneficiary or representative becomes entitled to receive such Common
Shares by filing a notice of exercise and paying the Option Price pursuant to this Option, and
(ii) the Optionee or Optionee’s beneficiary or representative has satisfied any other requirement
imposed by applicable law or the Plan.
	 
	12.	 	NO RETENTION RIGHTS
	 
	 	 	Nothing in this Option or in the Plan shall give the Optionee the right to be retained by the
Company (or a subsidiary of the Company) as an employee or in any capacity. The Company and its
subsidiaries reserve the right to terminate the Optionee’s service at any time, with or

without cause.
	 
	13.	 	CLAWBACK POLICY
	 
	 	 	This Option is subject to the Clawback Policy adopted by the Company’s Board of Directors, which
provides as follows:
	 
	 	 	To the extent permitted by law, if the Board of Directors, with the recommendation of the
Compensation Committee, determines that any bonus, equity award, equity equivalent award or other
incentive compensation has been awarded or received by a Section 16 executive officer of the
Company, and that:

	 	(a)	 	such compensation was based on the achievement of certain financial results that were
subsequently the subject of a material restatement of the Company’s financial statements
filed with the Securities and Exchange Commission,
	 
	 	(b)	 	the Section 16 executive officer engaged in grossly negligent or intentional misconduct
that caused or substantially caused the need for the material restatement, and
	 
	 	(c)	 	the amount or vesting of the bonus, equity award, equity equivalent or other incentive
compensation would have been less had the financial statements been correct,

	 	 	then the Board shall recover from the Section 16 executive officer such compensation (in whole or
in part) as it deems appropriate under the circumstances.
	 
	 	 	In the event the Clawback Policy is deemed unenforceable with respect to the Options, then the
award of Options subject to this Agreement shall be deemed unenforceable due to lack of adequate
consideration.
	 
	14.	 	ENTIRE AGREEMENT
	 
	 	 	The Notice, this Agreement and the Plan constitute the entire contract between the parties hereto
with regard to the subject matter hereof. They supersede any other agreements, representations or
understandings (whether oral or written and whether express or implied) that relate to the
subject matter hereof.
	 
	 	 	This Agreement may not be modified or amended, except for a unilateral amendment by the Company
that does not materially adversely affect the rights of the Unit holder under this Agreement. No
party to this Agreement may unilaterally waive any provision hereof, except in writing. Any such
modification, amendment or waiver signed by, or binding upon, the optionee, shall be valid and
binding upon any and all persons or entities who may, at any time, have or claim any rights under
or pursuant to this Agreement.
	 
	15.	 	CHOICE OF LAW
	 
	 	 	This Agreement shall be governed by, and construed in accordance with, the laws of the State of
Washington, as such laws are applied to contracts entered into and performed in such State.
	 
	16.	 	SEVERABILITY
	 
	 	 	If any provision of this Agreement shall be invalid or unenforceable, such invalidity or
unenforceability shall attach only to such provision and shall not in any manner affect or render
invalid or unenforceable any other severable provision of this Agreement, and this Agreement
shall be carried out as if such invalid or unenforceable provision were not contained herein.
	 
	17.	 	CODE SECTION 409A
	 
	 	 	The Company reserves the right, to the extent the Company deems reasonable or necessary in its
sole discretion, to unilaterally amend or modify this Agreement as may be necessary to ensure
that all vesting or delivery of shares of Common Stock provided under this Agreement are made in
a manner that complies with Section 409A of the Internal Revenue Code of 1986, as amended,
together with regulatory guidance issued thereunder.

2 Nonqualified Stock Option Grant Agreement Time-Vested Option

 

Stock Options

  Notice of Grant

			

	 	 	 
	 	 	 
	Name
	 	Employee No: xxxxx

Grant No: xxxxx

Effective February 27, 2009, you were awarded nonqualified stock options under the Nordstrom, Inc.
2004 Equity Incentive Plan (the “Plan”) to purchase X,XXX shares of Nordstrom, Inc. stock at $13.47
per share.

Your grant is governed by your 2009 Nonqualified Stock Option Agreement and the terms of the Plan.
Your options under this grant will vest over the four-year vesting period as outlined below:

	 	 	 	 	 
	Shares	 	Vest Date	 	Expiration
	x,xxx
	 	2/27/2010	 	2/27/2019
	x,xxx
	 	2/27/2011	 	2/27/2019
	x,xxx
	 	2/27/2012	 	2/27/2019
	x,xxx
	 	2/27/2013	 	2/27/2019

Please keep this Notice for your records. If you have any questions about your grant, please
contact Nordstrom Leadership Benefits at 206.303.5855, tie line 8.805.5855, or
leadership.benefits@nordstrom.com.

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