Document:

EX-10.15

 

Exhibit 10.15

AETNA INC.

2000 STOCK INCENTIVE PLAN

INCENTIVE STOCK UNIT AGREEMENT

Pursuant to its 2000 Stock Incentive Plan (the “Plan”), Aetna Inc. (the “Company”) hereby
grants to the person named below the stated number of Incentive Stock Units on the terms and
conditions hereinafter set forth in this Agreement (the “Agreement”). All capitalized terms used
herein which are not otherwise defined herein shall have the meaning specified in the Plan.

	 	 	 	 	 	 	 
	Effective Date	 	Social Security No.	 	Grantee	 	Number of Incentive Stock Units
	02/14/2006
	 	 	 	RONALD A. WILLIAMS	 	75,000

	 	 	 	 	 
	Installment	 	Shares	 	Vesting Date
	     1
	 	25,000	 	02/14/2007
	     2
	 	25,000	 	02/14/2008
	     3
	 	25,000	 	02/14/2009

ARTICLE I

DEFINITIONS

	(a)	 	“Change in Control” shall be as defined in the Employment Agreement.
	 
	(b)	 	“Cause” shall be as defined in the Employment Agreement.
	 
	(c)	 	“Code” means the Internal Revenue Code of 1986, as amended.
	 
	(d)	 	“Common Stock” means shares of the Company’s common stock, $0.01 par value per share.
	 
	(e)	 	“Effective Date” means the date of grant of this award of Incentive Stock Units as set forth
above.
	 
	(f)	 	“Employment Agreement” means the Amended and Restated Employment Agreement between the Company
and Grantee dated as of December 5, 2003, as amended January 27, 2006 and as further amended from
time to time.
	 
	(g)	 	“Fair Market Value” means the closing price of the Common Stock as reported by the
Consolidated Tape of the New York Stock Exchange Listed Shares on the date such value is to be
determined, or, if no shares were traded on such date, on the next preceding day on which the
Common Stock was traded.
	 
	(h)	 	“Grantee” means the person named above to whom this award of Incentive Stock Units has been
granted.
	 
	(i)	 	“Installment” means a portion of this award of Incentive Stock Units as set forth above.
	 
	(j)	 	“Qualifying Event” shall be as defined in the Employment Agreement.

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	(k)	 	“Restricted Period” means the period during which this award of Incentive Stock Units is not
vested.
	 
	(l)	 	“Successor” means the legal representative of the estate of a deceased Grantee or the person
or persons who shall acquire the right to the Incentive Stock Units by bequest or inheritance
or by reason of the death of the Grantee.
	 
	(m)	 	“Vesting Date” means the date any Installment shall vest in accordance with the terms of this
Agreement.
	 
	(n)	 	“Section 162(m) of the Code” means the exception for performance-based compensation under
Section 162(m) of the Code and any applicable Treasury regulations thereunder.
	 
	(o)	 	“Section 409A of the Code” means the nonqualified deferred compensation rules under Section
409A of the Code and any applicable Treasury regulations thereunder.

ARTICLE II

RESTRICTED PERIOD; DISTRIBUTION

	(a)	 	The Incentive Stock Units will vest in Installments on the dates set forth above or on such
earlier date(s) as provided in Article IV or under the terms of the Employment Agreement.
	 
	(b)	 	The Incentive Stock Units, to the extent vested, shall be paid to Grantee by distribution in
whole shares of Common Stock, registered under a Registration Statement on Form S-8 (that is
kept current) with the Securities and Exchange Commission, six months after Grantee’s
termination of employment. The number of shares distributable shall be equal to the number of
vested Incentive Stock Units on the distribution date. In addition, any cash representing
fractional shares shall be paid on the same distribution date. The distribution of shares of
Common Stock shall be delayed beyond the date six months after Grantee’s termination of
employment to a date later in the same fiscal year, to the extent permissible under Section
409A of the Code without causing any additional tax on Executive under Section 409A of the
Code, if the Company reasonably anticipates that the Company’s tax deduction with respect to
such payment would be limited or eliminated by application of Section 162(m) of the Code, such
payment shall be delayed to the earliest date in which the Company anticipates that its tax
deduction for such payment will not be limited or eliminated.
	 
	(c)	 	When distributed, the Incentive Stock Units will be settled
on a net basis. Prior to issuing shares of Common Stock, the Company will withhold an amount sufficient to satisfy the minimum
federal, state, local and withholding tax requirements related to the Incentive Stock Units.

ARTICLE III

CAPITAL CHANGES

The Incentive Stock Units shall be adjusted in the same manner as the underlying shares of Common
Stock in the event of a Fundamental Corporate Event.

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ARTICLE IV

ACCELERATED VESTING

Upon the occurrence of a Qualifying Event or a Change in Control, each Incentive Stock Unit shall
become immediately vested.

ARTICLE V

TERMINATION OF INCENTIVE STOCK UNIT

Except as otherwise provided herein, in the Plan or in the Employment Agreement, if any Installment
of this Incentive Stock Unit is not yet vested on or before the Grantee’s termination of
employment, such unvested Installment shall be forfeited.

ARTICLE VI

EMPLOYEE COVENANTS

	(a)	 	As consideration for the award of Incentive Stock Units evidenced hereby, the nondisclosure,
nonsolicitation, noncompete and nondisparagement employee covenants included in the Employment
Agreement are incorporated herein by reference and made a part hereof as set forth herein.
	 
	(b)	 	If any provision of the provisions incorporated herein pursuant to Article VI(a) is
determined by a court of competent jurisdiction not to be enforceable in the manner set forth
herein, the Company and Grantee agree that it is the intention of the parties that such
provision should be enforceable to the maximum extent possible under applicable law and that
such court shall reform such provision to make it enforceable in accordance with the intent of
the parties.
	 
	(c)	 	Grantee acknowledges that a material part of the inducement for the Company to award the
Incentive Stock evidenced hereby is Grantee’s covenants incorporated herein pursuant to
Article VI(a) and that the covenants and obligations of Grantee relate to special, unique and
extraordinary matters and that a violation of any of the terms of such covenants and
obligations will cause the Company irreparable injury for which adequate remedies are not
available at law. Therefore, Grantee agrees that, if Grantee shall breach any of those
covenants or obligations, Grantee shall not be entitled to vest in the Incentive Stock
evidenced herein or be entitled to retain any income therefrom and the Company shall be
entitled to an injunction, restraining order or such other equitable relief (without the
requirement to post bond) restraining Grantee from committing any violation of the covenants
and obligations incorporated herein pursuant to Article VI(a). The remedies in the preceding
sentence are cumulative and are in addition to any other rights and remedies the Company may
have at law or in equity as a court or arbitrator shall reasonably determine.

ARTICLE VII

OTHER TERMS

	(a)	 	Neither the execution and delivery hereof nor the granting of the Incentive Stock Units shall
constitute or be evidence of any agreement or understanding, express or implied, on the part
of the Company or any of its Subsidiaries to employ or continue the employment of the Grantee
for any period.
	 
	(b)	 	Grantee shall not have any rights as a stockholder by virtue of this grant of Incentive Stock
Units.

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	(c)	 	Grantee shall be entitled to dividend equivalents on the Incentive Stock Units, which
dividend equivalents shall be invested into additional Incentive Stock Units based on the Fair
Market Value of the Common Stock on the date such dividend equivalents are paid. Any such
additional Incentive Stock Units shall vest ratably in accordance with the vesting schedule
set forth herein for the underlying Incentive Stock Units in effect on the date such dividend
equivalents are paid. Upon distribution of the Incentive Stock Units, any fractional shares
shall be distributed in cash.
	 
	(d)	 	The Incentive Stock Units shall represent an unfunded contractual obligation of the Company
to pay to Grantee shares of Common Stock; provided, however, that nothing in this Agreement
shall permit Grantee a claim against particular assets of the Company or require the Company
to segregate or otherwise set aside assets for payment of any obligation hereunder.
	 
	(e)	 	During the Restricted Period, the Incentive Stock Units shall be nontransferable and
nonassignable except by will or the laws of descent and distribution.
	 
	(f)	 	This Agreement is subject to the Plan heretofore adopted by the Company and approved by its
shareholders. The terms and provisions of the Plan or a successor plan (including any
subsequent amendments thereto) are hereby incorporated herein by reference. In the event of a
conflict between any term or provision contained herein and a term or provision of the Plan,
the applicable terms and provisions of the Plan will govern and prevail.
	 
	(g)	 	If any provision of this Agreement (or of any award of compensation, including equity
compensation or benefits) would cause Grantee to incur any additional tax or interest under
Section 409A of the Code, the Company shall, after consulting with Grantee, reform such
provision to comply with Section 409A of the Code; provided that the Company agrees to
maintain, to the maximum extent practicable, the original intent and economic benefit to
Grantee of the applicable provision without violating the provisions of Section 409A of the
Code.

[Remainder of Page Left Blank]

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     IN WITNESS WHEREOF, the Company has caused this Agreement to be executed on the Effective
Date, and Grantee has accepted the terms and provisions hereof.

	 	 	 	 	 	 	 
	 	 	AETNA INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/: John W, Rowe
 

Chairman
	 	 

	 	 	 	 	 
	Accepted:

	 	/s/: Ronald A. Williams
 

(Signature)
	 	 

	 	 	 	 	 
	Name:

	 	Ronald A. Williams
 

	 	 

This Agreement will not be effective and will automatically expire unless it is signed by Grantee
and returned to Executive Compensation Administration, Aetna Human Resources within forty-five days
(45) of receipt of this Agreement.

Page 5<PAGE>
                                                                    Exhibit 10.2

                        Summary of Director Compensation

     Currently, each director who is not an employee of Platinum Underwriters
Holdings, Ltd. (the "Company") (other than Mr. Newman) receives an annual
retainer of $35,000. In order to attract and retain qualified directors,
commencing with the 2006 Annual General Meeting of Shareholders (the "Annual
Meeting"), this annual retainer will be increased to $75,000. In addition, the
Chairman of the Audit Committee receives $20,000 per year, and each member of
that committee receives $10,000 per year. The Chairmen of the Compensation and
Governance Committees each receive $15,000 per year, and each member of the
Compensation, Governance and Executive Committees who is not an employee of the
Company receives $7,500 per year. Each nonemployee director (other than Mr.
Newman) also receives $2,500 for attendance at each meeting of the Board and of
any committee of which he is a member, other than the Preferred Dividend
Committee, for which no fees are paid.

     Commencing with the Annual Meeting, each nonemployee director (other than
Mr. Newman) who is elected at an Annual General Meeting of Shareholders, will
receive on such date restricted share units under the 2002 Share Incentive Plan
(or, if approved by the shareholders at the Annual Meeting, the 2006 Share
Incentive Plan) equal to the number of Common Shares that could have been
purchased with $40,000, based upon the closing price of the Common Shares on the
business day immediately preceding the date of such grant. These restricted
share units will convert on a one-to-one basis into Common Shares on the date
that is the earlier of one year following the date of grant or the date of the
next Annual General Meeting of Shareholders provided that the director continues
to serve on the Board through the date of conversion. These awards of restricted
share units are in lieu of options to purchase 5,000 Common Shares with an
exercise price equal to the price of the Common Shares on the business day
immediately preceding the date of grant, which had been granted annually to the
non-employee directors (other than Mr. Newman) through the 2005 Annual General
Meeting of Shareholders.

     On October 27, 2005, the Company amended and restated its letter agreement
with Mr. Newman dated March 1, 2002, as amended on June 14, 2002, pursuant to
which Mr. Newman agreed to continue to serve as Chairman of the Board (the
"Amended Newman Agreement"). The term of the Amended Newman Agreement commenced
on November 1, 2005 and shall end on November 1, 2007 (which date may be
automatically extended from year to year, unless written notice is provided by
the Company or Mr. Newman, at least six months prior to the end of the term,
that the term shall not be extended). Pursuant to the Amended Newman Agreement,
the Company shall use its best reasonable efforts to nominate Mr. Newman for
election to the Board at each Annual General Meeting of Shareholders held during
the term of the Amended Newman Agreement and to cause Mr. Newman to be appointed
Chairman of the Board. The Amended Newman Agreement provides that Mr. Newman, as
Chairman of the Board, shall be entitled to receive an annual fee of $275,000
payable in equal quarterly installments and that the Company shall indemnify Mr.
Newman and make permitted advances to him, to the fullest extent permitted by
law, if he is made or threatened to be made a party to a proceeding by reason of
his being or having been a director of the Company or any of its subsidiaries or
affiliates or his having served any other enterprise as a director at the
request of the Company. Mr. Newman is also entitled to benefit from any
directors and officers insurance coverage maintained by the Company for the
benefit of its directors and officers to the same extent as the officers and
other directors of the Company so benefit.

<PAGE>

     Pursuant to the Share Unit Plan for Nonemployee Directors (the "Share Unit
Plan"), 50% of all fees earned by a director who is not an employee of the
Company or any of its affiliates (including retainer fees, meeting fees and
committee fees) during each calendar quarter are automatically converted into
that number of share units equal to the number of Common Shares which could have
been purchased with such fees, based upon the closing price of the Common Shares
on the last day of the calendar quarter. In addition to the 50% mandatory
conversion, each nonemployee director may elect to have up to a total of 100% of
his fees converted into share units, provided the election is made before the
start of the calendar year in which the fees are earned. A nonemployee director
will receive a distribution under the Share Unit Plan in respect of his share
units upon the expiration of five calendar years following the year in which he
was credited with such share units or upon termination of his service on the
Board, if earlier, each such share unit valued at the closing price of one
Common Share on the date of such expiration or termination. Each distribution
under the Share Unit Plan will be made, at the discretion of the Board, either
in cash or Common Shares or a combination thereof. The Share Unit Plan provides
that a total of 150,000 Common Shares may be issued thereunder.

     Under the 2002 Share Incentive Plan, an option to purchase 25,000 Common
Shares was granted to Messrs. Baldwin, Bank, Carmichael and Pruitt and an option
to purchase 975,000 Common Shares was granted to Mr. Newman effective upon
completion of the Initial Public Offering. The exercise price of these options
is $22.50 per Common Share, the offering price of the Common Shares in the
Initial Public Offering. Each option has a ten-year term and is exercisable in
three equal annual installments beginning November 1, 2003. Upon his election to
the Board at the 2005 Annual General Meeting of Shareholders held on April 26,
2005, Mr. Deutsch received an option to purchase 25,000 Common Shares with an
exercise price of $27.40 per Common Share, the closing price of the Common
Shares on the business day immediately preceding such date. This option has a
ten-year term and is exercisable in three equal installments beginning on April
26, 2006.

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